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tv   Mad Money  CNBC  June 9, 2015 6:00pm-7:01pm EDT

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teva. both saying show us what you've really got. there's more to come in myelin. >> guy. >> risk reversal. nice job on that linked in. delta like the way it trades two times normal volume reverse adl. >> quidy my mission is simple. to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere. and i promise to help you find it. "mad money" starts now. hey, i'm cramer! welcome to "mad money." welcome to cramerica. other people want to make friends. i'm just trying to save you a little money. my job is not just to entertain you, but to educate and teach you. so call me at 1-800-743-cnbc or tweet me @jimcramer. sometimes the world seems divided between companies that are doing something to help their shareholders and companies
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that think they're doing something to help their shareholders. but really aren't. the market can't make up its mind. dow dipping three points. nasdaq declining. we tend to focus on those companies that are at least trying to do something to get their stocks going. that's because in a trendless market with a bias to the downside like you have right now, you've got a shawshank redemption environment where companies need to get busy living or get busy dying. if management domtadopts a laissez faire attitude, they don't go anywhere, or worse swept away with the tide sometimes dramatically lower. we prefer executives who actually try here on "mad money." take netflix. here's a company run by the brilliant reed hastings. yesterday, we learned that netflix was making a movie, "war machine," a look at the work of
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general stanley mccrystal and it's starring brad pitt and it's going to be released first in select movie theaters so it can compete for academy awards. the company that brought you "house of cards," the most popular show in china, should be able to make a high quality movie that will garner plenty of awards and p.r. and then disappear. where? to your home with an oscar in hand. next thing you know, if you want to see this oscar winner you have to subscribe to netflix, as if there's someone who doesn't already do that? just being facetious. there are millions who don't do that. and this movie could get some of them off the schnide. while it's completely cosmetic netflix is talking about a 5 or 10-to-1 stock split. given the few shares you can buy for $1,000, this makes sense psychologically, as stocks with $647 price tags are thought to be out of reach for many smaller investors. of course, if the price to earnings multiple of the stock is the expensive stock, but most people don't get that. unless you can explain in 140
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characters or less on twitter, you aren't going to teach anybody anything. a 10-to-1 split would help bring in investors who aren't glued to the day-to-day. you can argue, but it does show that netflix's management is always thinking of ways to get both new subscribers and new shareholders two things that i adore about this company. it's trying to bring everyone in. stock, and subscribers. at the other end of the spectrum there's mary barra and general motors. i think barra truly believes she's doing everything in her power to create value for shareholders, but gm's allegedly huge buyback is a bust. it's done nothing for the stock. the company is very much about building shareholder value, and barra is incredibly quick to say they don't see any need. no need for a merger. let's see. she's already told a group of hedge funds that gm needs to keep a huge amount of cash in the balance sheet. can't be more aggressive than
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it's already been. now she's shining talks with fiat chrysler ceo as totally unnecessary before they can even begin. i say what the heck here. bf chrysler ought to go buy gm. i know facetious again. but he seems uniquely driven to get the stock higher, while barra seems satisfied with her poorly performing $35 forever stock. i think she should be considering anything, anything logical, including this merger if it could get gm on the move. the stock, that is. there's no sin in focusing on the stock. it's okay. it's part of the ethos. it's part of the ether. it's part of your job! sometimes it seems like a company is doing everything but moving the needle. i'm mystified about how general electic doesn't go higher.ric doesn't go higher. announced this morning. i think there's a sense that gm won't do anything that's good with the money, or that it doesn't matter because the company is so huge. in the end, i say you have to be
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stoned, deaf and blind not to recognize how hard ge is trying to make its stock higher. i keep thinking if this company is on an unstoppable quest to make you rich. to get bigger faster. brilliant acquisition. get more market share in all things cellular including the watch. yeah. everyone thought the apple developer conference was such a bust for the watch. i went and signed up. there. a bust. with each move it takes, avago is basically saying how can you not buy my stock? what the heck are you thinking? but then there's the opposite. twitter! here's a company that i increasingly think is going to report a horrendous quarter. while twitter has made some acquisitions it's clear that everyone is unhappy with how the core business is doing. is twitter going to end up being my space? eight track? i was as enamored of my eight track as i am of twitter. although my eight track didn't attack me 24/7 or call me an
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idiot while watching me like a hawk. it just can't of sat there, like twitter management, except when they're selling stock. some companies try to do things but they just don't have the horses. i used to think that sears made the best tools in the world. now i think it makes the best losses. the company's same store sales just keep falling. this time in a flagship with a 14% decline. relax, sears tells you. it will extract the value of the company's huge real estate holdings. all in all, i think everyone would prefer better sales over better financial engineering. beggars can't be choosers. however, for every sears that can't get things rolling there's other guys saying don't do tricks don't do gimmicks. like fedex. just put through a 25% dividend boost. it didn't need to. it didn't need to do this because the stocks gave a 25% run-up over the last 12 months and 83% run-up over the last two years, but that's what fedex does. it cares about you. that's why it's everyone's favorite transport. fedex doesn't say we've got to
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wait for greece to get better. its management is just driven. driven out there all the time to reward shareholders. it's paying off. what i find amazing is that it's not all that hard to do what's right. executives know that shareholders want growth either through intrinsic sales acceleration or through smart mergers, or they want growth earnings. so the blueprint for a higher stock price is both accessible and easily followed. if a ceo can't or won't follow it, the money will flow away from their company's shares towards someone else who gets it. it's not rocket science. it's just common sense. but sense that sure seems to elude the obtuse or smug ceos who think they're giving her all she's got, when in reality they aren't doing squat. let's go to bippen in indiana. >> caller: boo-yah, jim. my question to you. before you answer that the stock has been under pressure
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lately. the company announced -- come on jim. how much smaller can they get? >> well, all right, look. let's understand boeing is doing incredibly well. the stock is not doing that well, but it's been a real horse. jim mcinerney doing well. that's always been a catalyst for boeing. as part of this international cohort of stocks, even though you have to buy boeing planesstocks in dollars. it's another one of those super freaking problems but i like bogey. let's go to barry in massachusetts. barry. >> caller: hey, jim thank you for taking my call. >> of course. >> caller: and i have a question about exxon. i'm holding it for 50 years. i don't know whether it's something i should keep or sell or hold. >> i'm not going to tell you to
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sell exxon at 3.5% yield. the company is very well run. it's uniquely set up for when things aren't going that well which is right now. i'm not going to tell you to sell that stock. i can't tell you to buy it. 4% yield, i would. bob in california. bob? >> caller: hi jim. i was a very early keurig stockholder. given the shelf space at every supermarket, why is the market so discounted of the advantage keurig now has? >> the most recent keurig is a complete bust. who do i get that from? themselves. they're totally flummoxed. the cold keurig people are concerned it's going to cost too much money. own through coca-cola, which has a big position and also gives good dividends. let's go to malcolm in california. >> caller: hey, jim, boo-yah from the golden state. how you doing? >> couldn't be better. how about you? >> caller: presenting around the corner of a health care
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conference again. like three and change and seven and change. i'm sort of just in the money right now, so should i listen to goldman and listen to valuation and get out, or should i listen to jeffries and others and let it run? >> okay mankind is a very controversial stock. if the doctors like it like jeffrey said the stock goes er. i thought the jeffries' note was very cogent but the stock got hit today. in a battleground like mankind, you have to do your own work and make up your mind. i very rarely punt but i very pilloried for saying to sell it and went down to nine. i now say you are on your own. the jeffries note was cogent but so was the goldman note. sometimes i'm just going to say it's on the viewer. to all the ceos out there, you want a higher stock price, do something about it. it's not all that hard to do what's right. on "mad" tonight, the biggest tax payer in the land. there's fraud all over the place. let's see what h&r block has to
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say. then, what rocks the runway this week that could be a come pleat joke tomorrow? should you bother even investing in retail? oh, boy, you don't want to miss my take tonight. plus are we on the brink on a big downturn? we're going to go off the charts. i think it's an unemotional way of finding out. stick with cramer! don't miss a second of "mad money." follow @jimcramer on twitter. have a question? tweet cramer, #madtweets. send jim an e-mail to madmoney@cnbc.com. or give us a call at 1-800-743-cnbc. miss something? head to madmoney.cnbc.com. you probably know xerox as the company that's all about printing. but did
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you know we also support hospitals using electronic health records for more than 30 million patients? or that our software helps over 20 million smartphone users remotely configure e-mail every month? or how about processing nearly $5 billion in electronic toll payments a year? in fact, today's xerox is working in surprising ways to help companies simplify the way work gets done and life gets lived. with xerox, you're ready for real business. the pursuit of healthier. it begins from the second we're born.
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after all, healthier doesn't happen all by itself. it needs to be earned... every day... using wellness to keep away illness... and believing that a single life can be made better by millions of others. healthier takes somebody who can power modern health care... by connecting every single part of it. for as the world keeps on searching for healthier... we're here to make healthier happen. optum. healthier is here.
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the only sure things in this world are death and taxes. i'm drawing the line. taxes can be a lucrative business, and not just for the government. take a look at h&r block. hrb. the largest stock preparation firm. it went up today. i've locked h&r block for some time partly because it's been trying to sell its banking
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business, a relatively small division, by subjecting it to government rules about how much money can be returned to you as shareholders. even though the sale has been repeatedly delayed, the upside can still be enormous. h&r black can dramatically boost its dividend. this company is all about helping consumers wade through the increasingly complex tax regulations to avoid various penalties that have only gotten worse ever since the affordable care act went into swing. h&r block just reported earnings for the last quarter as well as the full 2015 fiscal year. a 29 -- 269 basis. the revenues were in line. tax preparation fees and royalties increased by 2.3%. do it yourself business up 12%. even though h&r block prepared forrer tax returns, the company offset that cost. let's check in with bill kaat.
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welcome back to "mad money." you're in one of those businesses where this is the quarter. you have to be happy that you were able to make this much money. even as you not necessarily were able to have as many clients, so to speak. >> yeah we had a good year. this company has not grown revenue for a number of years. we had a terrific year in diy, do it yourself. grew double digits in revenue. our margin wound up at 31%, to your point about controlling expenses. we're about to issue our 211th consecutive dividend in a row. so things are good at h&r block. >> let's talk about things i felt discouraged. you were out front in saying let me be clear, while we respect the work of the regulators, we are frustrated by this process, the sale of this bank. obviously you're not a regulator and can't tell the regulators
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what to do but it is a little absurd. >> yeah i use the word frustrated. we have answered every question. we've been very cooperative. they're doing their job. under their pace it might be rolling along fine. but it's been frustrating. our investors are, you know frustrated also. we're a little bit stymied, as you said. we have a billion dollars of excess capital on our balance sheet. so we're anxious to get this moving forward. like i said i do believe on its merits, this transaction will be approved. >> you're not allowed to borrow a billion dollars and be able to return it that way and pay it back? >> well, no because we have capital requirements. as a savings and loan holding company, in addition to the capital we have to hold at the bank. so we have way too much capital tied up for retail. >> let's call it a high quality problem, though because it has to be resolved eventually. >> exactly. >> in the shareholder's favorite. >> well, yes. that is what we want to do. we said yesterday on the call once this is approved, once we
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close on the bank we will immediately be back to our shareholders with the plan. >> even though we have no idea when. >> even though we have no idea when. >> the other thing that scared me, you spend a lot of time in cyber security in our little show. we've had cyber. we've had palo alto. i kept thinking what are people doing with all those social security numbers? to be crystal clear, we believe the shift is driven by fraud. your cfo said that on the call. >> yes. >> millions. >> if you look at the last year that was reported stolen identity theft, tax fraud, it was up by over a million tax returns. >> that's incredible. >> all the fraud is done through diy channels. especially if it's free. because you can retain anonymity. i am going to washington on thursday. i've been working with the irs commissioner and other industry leaders. we are leading the fight against fraud. we have got to do more as an
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industry. our standards on diy are not even up to online banking. we don't have secure -- >> i get your social security number, i beat you to the filing, i get your check. i mean that is crazy. this is america. >> exactly. you are then tied up in procedures with the irs. i've talked to other members of the business community, they say what is going on? this is an industry-wide problem. we have come together as an industry. we have to do more, though to protect our taxpayers. >> right. >> in terms of how they authenticate who they are so that people aren't stealing their identity. >> i'm sure some of their viewers had it stolen. what can they do to prevent it? they hire you to help get through it once you've been nailed? >> they can certainly do that. we came out with a product called the tax identity shield, which is a product designed --
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it's the only prublgtoduct that i know of around tax identity theft. a scan to talk about what threat you're under. we actually have a notification if someone has filed your taxes. we'll do restoration services. i highly recommend it. i think it's a terrific product for us. we launched it in january. >> one last thing. affordable care act. people are paying this penalty. the penalty goes up really big next year. i mean this is -- like the government's running amuck and also not helping you, right? >> well, the penalty does increase almost double next year. but you also have you know more people enrolled in the exchanges. documentation requirements will go up. they're a little light this year. we spent a lot of money on training. we actually did a great job positioning ourselves as the experts in terms of the intersection of health care and taxes. >> but you didn't get the rush you thought you would. >> yeah what happened was, we have said all along the multi-year problem, the multi-year issue it's going to roll out. a little shorter than we thought in year one.
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i think it was due to the documentation requirements not being very stringent. they increase next year. >> and people are beginning to get nailed. >> we're going to help them not get nailed. >> well, i like it so that someone else doesn't get my tax return before i do. i thought that the call was scary. like the government should be talking about it every day. that's bill cobb the president and ceo of h&r block. i hope you win in washington because this is insanity. millions of people being hacked. that's what they're getting. that's what they want. >> yep. >> "mad money" is back after the break. coming up shop or drop? the mall just got a lot more interesting. the biggest names in retail are sending mixed signals on wall street. so, which of these brands should you put in your portfolio? cramer's surprising answer is next.
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checking out the listing on zillow i sent you? yeah, i like it. this place has a great backyard. i can't believe we're finally doing this.
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all of this... stacey, benjamin... this is daniel. you're not just looking for a house. you're looking for a place for your life to happen. zillow. you know what's maddening
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about this market? the radical inconsistency that we see in the retail stocks. every single day. take today. you just heard burlington stores. one of the best stores out there. consistently positive ever since it became public. before private equity got involved, you never knew how this company would do. we just came through a very cold winter. when burlington reported it showed a pretty dramatic deceleration in same store sales. going to .8%. burlington had been a terrific performer since this idea two years ago. suddenly it's a burnout. really remarkable. that's a big deceleration. then there's five below. i don't have enough fingers to count how many times this retailer has caused consternation if not tears. the currencies are too numerous perhaps. five below rally going into a quarter only to have all hopes dashed by shockingly inferior
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numbers. it posted a sensational quarter. people have just given up on the darn thing. apparently they gave up to the bottom, as the five below has been roaring ever since last thursday. urban outfitters is riding one of the hottest streaks in all retail. while the smallest concept, it's been terrific. the longest time both anthropology and flagship urban failed to meet expectation. soon after the flagship change did the same urban outfitters were suddenly firing on all cylinders. $47 at the peak this past march. then the company lowered the boom and crushed everyone with a severe disappointment. after grinding its way from $47 down to 40 over the couple months urban then plummeted down to 34 in the blink of an eye. trying to stabilize at the 35, 36 level. you trust it? then there's lululemon, which has had a history of guiding down pretty consistently.
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almost like clock work. suddenly it's nothing but net. a stephen curry three-pointer. yes, swoosh! swoosh is nike. sorry. curry is under armour and the stock jumps more than 10%. still, speaking of swoosh after so many weak quarters i found myself wondering, will nike step up and buy lulu before its shares roar even higher? or is it just a one off good quarter? we don't know! how about kohl's? that would have been the greatest department store turnaround in ages. the rebirth of a once fabulous growth company, up to $79 in april. last may, kohl's told us things weren't so good. holy cow. one-way trip down to 62. pbh, they put up a quarter after quarter disappointment. to the point where they gave up all the beautiful gains it got. and then out of nowhere, reports stellar international numbers just last monday from calvin klein. and it's lights out. 15 points up. retail is so inconsistent as to
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drive you crazy, which is saying something pretty amazing. sure, some changes are like clock work. sears tries to put lipstick on a pig. wal-mart stock down nearly 16% for the year. looks like there's no respite. costco's put up consistently good numbers, but not good enough. now the stock's been beaten to death from 153 to 138. it's enough for me to say hold it. retail's been a crap shoot. look elsewhere. but here's the bottom line. unless you have a special situation, like target or a long-term secular growth story like all the drugstores, i totally get how you are fed up with this group. i say stick with something that's got an edge or else, look elsewhere. sometimes you have to recognize that something's too hard. retail has just gotten too hard to profit from. a shame. jude in new jersey. jude? >> caller: hi, jim, how are you? >> all right how are you, jude? >> caller: your staff is terrific. >> indeed.
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>> caller: i have a simple question. is macy's still -- is macy's still a good investment with all the shows? >> i think macy's is a very good investment. here's the problem with macy's. i think there's something going on in terms of hedge funds agitating. the stock doesn't go down when they reported not so good numbers last time. however, the stock is cheap. i worry about the strong dollar hurting tourism to its flabship store in new york. but it's well run. emilio in texas. >> caller: hey, jim, a big texas, austin boo-yah to you. >> definitely. we get a lot of callers from there. it's terrific. what's going on? >> caller: i'm calling about michael kors k-o-r-s. we've seen the recent quarterly earnings report. it's now close to a 52-week low. >> i need a reason. i need a catalyst. i've got to tell you, i'm not getting it from them. these handbags and accessory
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stores, when they go bad, they stay bad a long time. i'm not a bottom fisher. crap shoot. david in kentucky. david? >> caller: hey, jim, thanks for taking my call. >> of course. >> caller: so i bought skechers sks, at $74 and i was wondering if you thought i should continue to hold on to it. >> here's the problem with that. i want to contrast that. the fact that the skechers people are doing an unbelievable job and the stock is still not that expensive. i think you take some off the table and let the rest run because they are doing a magnificent job. retail has been in a rut. there's plenty of other places you can profit from. there's just a limited number of retailers that you can gain right now. much more "mad money" ahead, including a deep dive into all the growing correction chatter. are we in for a major decline? let's go off the charts the find out. then it's a company in one of the hottest areas of technology taking share from some of the biggest dogs in the business. i'll reveal it just ahead. plus your calls, rapid fire in the lightning round. stick with cramer!
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in this kind of confusing market where each day can seem disconnected from the last we've got real worries. the continued greek nonsense in europe. sometimes i think it's worth taking a step back and looking at stocks with a calm, cool, empirical lens of technical analysis, t.a. the charts can be wrong, but at least they're not emotional. that's why we're going off the charts with the brilliant technician who joins this website. one of my colleagues i communicate with at realmoney.com. we want to puzzle out where the s&p 500 and the index might be headed. the last time we checked in with her was at the end of march. she told us she was throwing down a yellow flag, and we needed to get cautious about the market, as remitted by the s&p 500, which she had been very bullish on until then. i want you to take a look at this long-term monthly chart. when we last spoke with her, she said the market's long-running rally could be running out of
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steam. at least for the moment. the s&p 500 had already breached the pretty darn bullish upside targets she gave us over a year ago. a powerful ceiling of resistance. that last update was a little over two months ago. and guess what. since then the s&p 500 has indeed rallied into a brick wall. boroden told us the s&p 500 faced a concrete ceiling of resistance at 2138 and even though we rallied, we just couldn't cover those last four points needed to breakthrough the ceiling, just as she predicted. boroden told us almost exactly where the s&p 500 would peak at least in the near term and she was dead-right. so of course we've got to go back to her now. how did she come up with that target? remember, her analysis is based on observations from the italian mathematician in the middle ages who discovered a key series of ratios tends to repeat
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themselves over and over again in nature. 26.3%, 38.2%. you can see these ratios in the way plants grow flowers bloom contours of snail shells pine cones, and somewhat surprisingly, they tend to pop up pretty regularly in the stock market. boroden looks at past swings of a given stock or an index, and runs those through the prism of ratios, finds levels where a stock might change its trajectory. don't ask me to explain how it works. but the fact is it does work. it has worked for you and for us years on the show. the fibonacci ratios have allowed boroden to report highs and lows in securities. it's undeniable that she's done this. she told us it represented a major 161.8% fibonacci extension of a huge decline from october of 2007 through march of 2009. at 2138 the s&p would have
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entirely erased that decline and rallied another 61.8% on top of it. rallies often tend to terminate when they hit this 161.8% fibonacci extension from a previous move. it worked. sure enough, the s&p 500 has not been able to break out above above .2138. there's another long-term reason boroden thinks we need to be cautious here. it took us 91 months to go from the peak in the year 2000 to the peak in 2007. at this point after the new high, the s&p 500 in may, it's now been 91 months between the peak in 2007 and the peak last month. this makes boroden somewhat concerned that we can be due for a nasty reversal. let's zoom in and take a look at the s&p 500's weekly chart, so we can understand what happened when the index made its most recent high on may 20th. before declineing, roughly 2.6%
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in the week since then, in this chart, you can see that. when the s&p peaked during the week of may 20th, it was running up against a whole cluster of fibonacci price extensions that boroden says can often signal a change in trajectory, especially when they're grouped together like this a very tight cluster. she thinks this may 20th high is very important. we need to drill down even further and look at it on the s&p 500 daily chart. the key thing to remember here is that boroden can apply her fibonacci methodology to both the y axis of the chart and the x axis. she can predict which is likely to suffer a reversal. she plotted, showing where these fibonacci time cycles tend to cluster. you see there were a whole bunch of them that came due from may 21st through may 23rd. the days immediately following the peak on may 20th. since then the s&p has been working its way lower pretty consistently. in other words, you get time and you get the price here. where does she think the s&p 500
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is headed? first of all you'll be glad to hear that boroden believes the s&p is still within an up trend. that high on may 20th was very important. boroden says if the s&p can't rally back through those may 20 highs, if it can't cross up, she thinks the market could be vulnerable to a deeper downside correction. it's got to punch through! that doesn't mean necessarily that we'll get a big correction but it does mean that one could be in the cards. this is new for her. what would make a serious decline more likely? boroden points out that we've got a nice fibonacci base floor of support running from 2075 to 2079, just a few points below where we're currently trading. if we fall through that floor, there's another key level at 2067. see that? these are some. go through that. go through that. and then this. that is the most recent low from back on may 6th. as long as the s&p holds above that particular level 13 points below earnings, boroden believes we can bounce.
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if that crucial level is taken out, the prediction is for another leg down as the long awaited correction might start to unfold. this is your key number everybody. that must hold. in short, right now, the s&p 500 is caught in a no man's land 2067 and 2134. if we break out above the high end, boroden thinks we can breathe a sigh of relief. if we break down below the low end, you've got to get more cautious. take a gander at this weekly chart of the dow jones transportation average. a crucial barometer of our country's economic health because if goods are going to be sold, they first need to be shipped. the transports have been hammered of late. boroden thinks this index may be running up against a floor of support that might keep it from going slower. this could be the short squeeze i've been talking about. she believes it's possible the dow jones transportation index made a pivotal low the last week of may and may have found a bottom here. if these may lows get taken out once again, we could go lower and it could take the whole market down with it. here's the bottom line. the charts as interpreted by carolyn boroden, believe it
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could be reaching very low levels. if either index goes much lower, she thinks you need to brace yourself for even more pain. if we hold the line here it's a proverbial line in the sand and the future could start looking a heck of a lot brighter. "mad money" is back after the break. tomorrow, kick off the trading day with "squawk on the street." live from post nine at the nyse. >> do you think you could pay enough to anybody in america to have them tweet at 3:43? it takes a complete insomniac to tweet at 3:43. ♪ ♪
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it is time! it's time for the lightning round! and then the lightning round is over. are you ready? it is time for the lightning round. curtis in north carolina. curtis! >> caller: boo-yah jim, thanks for taking the call. talking to you about wells
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fargo. buy, sell, or hold? >> one of the biggest if not the biggest at the end of the day. it is the best financial in the world. and that's why we own it. good job, ceo. ryan in california. ryan? >> caller: jimmy, live for the show. >> thank you. >> caller: small cap chemicals. iosp. >> a webinar i'm doing. it's tomorrow. looking at yesterday. i think it's a really good company. didn't fit my profile, but you've got a winner. i've got to talk more about that one. let's go to neil in maryland. neil. >> caller: boo-yah from the land of pleasant -- >> from where? the land of somewhere. it sounded good. okay. perhaps we take another call. why don't we go to brian in pennsylvania. brian? >> caller: yes. >> you're up. >> caller: i need to know if southwest is grounded or not. >> okay southwest is now too late to sell. i've been saying sell it.
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now i say you can't sell it. it's just too low. i still think numbers have to come down. i think the analysts are way too bullish. it would be just wrong for me to say, you know what it's still okay. i think that there's three down. and then you'll say to me why did you tell me to sell it if there are only three down? so that's my view. i need to go to arden in indiana. >> caller: boo-yah jim. thanks for taking my call. and happy anniversary to my sweetheart of 23 years. >> there you go. i think that's fabulous news. >> caller: my question is about micron technology. >> numbers are too high micron. they have to come down. very similar to the airline situation. when the numbers come down you have to wait until everyone's cut numbers and only then can you make a stand, and that hasn't happened yet. michael in florida. michael? >> caller: yes, jim, how are you? >> real good how about you? >> caller: good thank you. i'm calling about tg therapeutics. symbol tgtx which i bought at $8 a share.
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>> well you know it's funny, because this is another one i'm looking at for this webinar i'm doing tomorrow because mike weis is fabulous. he did a great job. i think this is a winner. you've got a w, got to take a little bit off the table. but i think tgtx goes higher. and that, ladies and gentlemen, is the conclusion of the lightning round! >> the lightning round is sponsored by td ameritrade. the last play of the game. >> markets absolutely getting hammered today. >> i know it's not easy but i promise to keep fighting for you. >> jim cramer leveling the playing field for all. >> the road is a tough one. but the payoff can be your greatest win of all. >> join "mad money's" training camp. we decided to give ourselves stickers for each feature we release. we read about 10,000 suggestions a week to create features that as traders we'd
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want to use, like social signals, a tool that uses social media to help with research. 10,000 suggestions. who reads all those? he does. for all the confidence you need. td ameritrade. you got this. for the millions of americans suffering from ringing in their ears, there's no such thing as quiet time. but you can quiet the ringing with lipo-flavonoid, the number-one doctor-recommended brand. relieve the ringing with lipo-flavonoid.
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long-term investing, long-term, is all about understanding powerful big picture themes that can give your monster move to your gains. part of my job is to help you understand these things. to do that we need to check in with privately held companies that are really at the cutting edge of a big trend. we know that big data the business of managing and analyzing vast quantity of digital information is one of the hottest areas in tech. that's why i want to introduce you to tallend.
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we're going to go over what that means, rapidly taking market share from its more established competitors, that includes ibm and oracle, plus buyout targets. talend is all about removing the barriers that prevent companies from being data-driven. talend's software lets companies use simple graphical tools to take advantage of the platforms without the need to write their own code and that's a big deal. their opening source business model, where clients sign up for subscription and pay based on the number of the people who use talend's software it's very different from traditional big data software, where you need to make big up front payments and it costs you a fortune to try to switch to somebody else's platform. maybe that's why talend is taking share and growing like a weed. revenues up 78% the last quarter. it might be coming public next year. we don't know.
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the let's check with the ceo. welcome to "mad money." good to see you, sir. >> thank you jim. >> so i am with one of these older line companies and i've got my client and you come in to that client and you say that you're better than me. why are you better? >> well, if you're trying to get your data into one of these new platforms, we can do it a lot faster. we can scale infinitely. and, of course it's dramatically cheaper. >> but why is it cheaper? what do you do? you bring in your guys because, i mean code is hard to write. >> so it's not about writing code. it's about the software. because, you know there will be some third party people that are doing implementations, whether it's us or them. arguably ours would be using less of that. when you just compare the software to the software we can do a lot more data. a lot faster. and on a dollar for dollar basis on the software the software itself is cheaper. if you were compare that to one
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of the expensive platforms out there, it's about 20 times cheaper. it's dramatically cheaper. >> i think because you've used the term, and if you went there, you have to help our audience understand what hadup is. >> it's a new so-called bilge data platform. it's a place to put data and analyze it. just like you used to do with oracle or ibm. it turns out this one is more flexible. it's more scaleable. you can put more data in it than one of the old platforms and it's dramatically cheaper. >> you have some examples in your white paper, some of the industries that use it. give me a generic example of who was using old time versus using new time and how much it saves for them. >> it's a lot of the same players that had been using old time that are just more data driven companies, so they naturally start to experiment and start using hadoop as it becomes available. so for example, in retail retail is always a deeply analytical space, of course.
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especially now with internet retail. the number two in the world is a company called otto in europe. they looked at the way that people were analyzing shopping cart abandonment. that's a big deal. a lot of people put data in a shopping cart and never buy. they looked at it and said everyone is analyzing it and figuring out how much money they're losing right? >> right. >> and they said what if we can do that in realtime? can we predict when someone is about to abandon their shopping cart? and then make them an offer right there. >> i abandon my shopping cart on saturday for something. it was just a big pain in the butt. i said enough. enough. and i was telling my wife i said forget this thing. someone should have reached out. but i know from another company that was private that this is -- that the percentage that do that is gigantic. >> exactly. and so if they can get 10% of those back, that's worth hundreds of millions to them. so that is a big deal. >> okay. big data quality.
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quality taking advantage of the massive parallel environment. it's not all even quality either? >> the problem is it has nothing to do with hadoop itself. it's all the data you start with all is dirty ands me messy. >> i don't understand that. >> think of this. if someone is typing in data, like you were buying something and you put in your address, well, a lot of times people make mistakes. turns out your zip code might not line up with your city or your state. how do you fix that? or if you're typing the name of your company. let's say your company was one of these players, ibm. did you type it as ibm, three letters, or international business machines? they should all be the same shouldn't they? >> but what can you do for me to make sure they get it right or that it doesn't matter? >> we can clean that up. we can identify that all these things, all these three different ways of saying ibm are the same. >> that would be hugely valuable to a company. >> exactly. and that's why you can only start analyzing data after you've cleaned up all those mistakes and make it clean and neat and simple. >> i wish all the companies i
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dealt with used you so to speak, because i'm one of those guys who gets stuff rejected all the time. >> well, thank you. maybe after watching your show, maybe they will. >> very good. this company is not public yet. the ceo of talend. but this is a huge business. and you know it yourself. any time you tried to shop you understand the frustration. these guys are fixing it. "mad money" is back after the break.
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when you talk about the market i just believe that you're spot-on. >> oh, i love it. thank you so much. every night we watch you. i have learned and earned. i'm getting more lightning round questions and questions@jimcramer on twitter about the airlines than i have in some time. and that's right. we should be asking about them. southwest, american united delta, spirit. these were the backbones of much of the rally we had. you should be glued to these stocks. if american is the beginning of an up trend, you could be okay. i like to say there's always a bull market somewhere. i promise to try to find it just for you right here on "mad money." i'm jim cramer and i'll see you tomorrow!
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narrator: tonight on "shark tank"... things get even more heated when the men take on the women. the difference between us and the girls is that i actually own businesses that i can place orders for. are you sick? why is it every time there's a female product on this show you guys go out right away? no, it's -- that's crap. narrator: in the tank, hopeful entrepreneurs get a once-in-a-lifetime chance to pitch the sharks in hopes of getting an investment to start, grow or save their businesses. [ laughter ] no! the entrepreneurs must convince a shark to invest the full amount they're asking for or they'll walk away with nothing. this is fraudulent behavior. listen, you're just taking the guy down and making him feel like he can't do this. i'm not finished taking him down! narrator: if the sharks hear a great idea... what was your profit? $2.65 million. you're killing it! narrator: ...they're ready to invest using their own money.

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