tv Mad Money CNBC June 10, 2015 6:00pm-7:01pm EDT
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secondary off to the races. what happened? tim seymour bought the stock. look at it today breaking out. lgf. that will get you done. hi, michael. he watches, by the way. >> i know he does. hi, michael. i'm melissa lee. thanks for watching. see you back here tomorrow at 5:00 for more 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 prompt to help you find it. "mad money" starts now. >> hey, i'm cramer! welcome to "mad money." welcome to cramerica. other people want to be friends. i'm just trying to save you money. my job is not just to entertain but teach, educate, and put things like this into context. call me. or tweet me @jimcramer. so that's all it takes. a better agreement between germany and greece? some sense that this monstrous
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issue from far away will be behind us because we hear talks have begun finally in earnest about bursting this greek stalemate? is that it? is that -- why the dow more than 236 points the s&p more than 1.2%, nasdaq robbing at 1.25%. i think it's soo simplistic. the truth is there are things happening underneath if this deal works out that are showing positive signs. even if those science may not necessarily lead to all the good things they seem to be pointing to down the road. so let's start with this greece thing. i'm not going to bore you. i'm going to try to put this in language so you really get why this market could rally on this stuff. for months we've waited for someone to finally blame, put an end to this ridiculous standoff. today we got word that german chancellor angela merkel might work a stretch-out of payments that solves the issue for now. that matters. by the way, it's the plan we've been recommending for months. the 30-year stretch i keep talking about. because it gets under the circumstances out of a jam.
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it would certainly bring some certainty. as cliche as it sounds, the market does have more uncertainty. getting this issue off the front page would make investing, make all our lives so much easier. of course you have to understand that perception is different from reality. greece in greece out, doesn't matter. however, there are plenty of hedge fund managers here and there that believe greece were to leave the eurozone it could be a catastrophe on the same order of lehman brothers when it collapsed in this country. nothing changes their opinion. they just have to sell the if this happens. that's why it's always led to a selloff in anticipation in europe, whenever it looks like the talks were going to collapse. remember, our markets again ridiculous. they become inextricably linked since the great recession. so that means if europe goes down, we have to go down. it's almost one for one, as ridiculous as that is we will by no means be hurt as badly as they'll be. you can't speak rationally about the issue. the downward bias from europe
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goes away. if this issue disappears. we've had our hopes dashed before on many occasions. i'm sure a lot of people sold today because theying if your it will fail again. but you have to admit unlike with lehman brothers, the europeans have plenty of time to prepare in cases of the worst happens. if you go read stress test by former treasury secretary tim geithner, which is a great book you know in the financial crisis we had in this country, events happened too fast to control. but the greek crisis is about as slow maegs as you could see. there would be no catastrophic systemic risk especially since ireland, spain, and italy are doing better and there are plenty of central bank safeguards in place. it would be slo-mo not the incredible speed we had, breath taking speed in this country. second positive we've seen interest rates rise in germany as expressed by the german tenure which has gone up
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dramatically. at one time i would have said any dramatic increase not decrease, increase anywhere is bad news. however, rates in germany were insanely low and frightening to many investors who couldn't find out whether something terrible was looming. it was just scary they had gotten so low. but now that the german ten-year has gone from yielding half a percent to 1% we're out of the fear range. [ cheers ] it's a sign of improving economic health that german rates are going higher. you know what? positive. and why shouldn't things be better. we've had a dramatic decline in energy prices and that's helped business in europe. more lending, retail pickup, that means europe, a gigantic market, which has been offline except for germany, may be back online. good for american businesses and for the 25% of chinese exports that go there. more important the strength in europe has relieved the pressure from the freaking strong dollar. super freaking. i've been adamant that the
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dollar peaked earlier in the year and the euro is in an upswing. that has been a minority view. today the euro broke out to the upside. check the chart. and that caused the stocks of u.s. companies to compete with europeans to roar. i always look at ppg if you want a kind of proxy. and companies that do business in europe like fed ex flew. it can be a huge positive for 27 of the 30 stocks in the dow jones average. i actually calculated. 27 of them can have their numbers raised if the dollar is indeed done going higher. no wonder they all went up today. it makes sense. something else is going on that's inspiring confidence we don't talk about. this have you noticed the fall with russia? they sort of sense there's this new awful status quo that the major powers all live with. the cold war between russia and europe also paralyzed businesses. one you probably didn't look at. ge entered a 16-year deal wa
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russian company today. do you think that could happen last year? today we didn't even get notice. the russian issue can always come back to bite us, but don't overlook it. go clear across asia and two pieces of good news. first japanese central bank made it clear last night the yen is about as low as they want it to be. but the devalued yen has allowed many of their exports to take share from ours -- this could spell the last act in that horror show, foreign companies, then there's china. we've steen a couple signs the deceleration in the economy could be running its course. we saw the first substantive increase from the $600 level, a key measure of commerce showing china is doing terribly little uptick. and today we heard from vale, the colossal brazilian mineral company that china is going to be making less iron otherre and buying more. iron ore has been the metal in
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the world because china has said we don't need anymore. so how is it possible they might need more? the answer is it must be stabilized. maybe even accelerating in its growth rate. that could explain another piece of the puzzle that's been bothering me oil. yesterday we learneded that the u.s. is currently pumping more oil than at any time in the last 40 years. that's right. even though oil has plummet etted. but crude rallied today by more than a dollar. okay. we're pumping it out. supply is obviously not the reason why it's going up. there's more than ever. more than ever this-in the last 40 years. kit only mean one thing, right? it means there's growing demand for oil. again, this is a sign that business is picking up. it could ameliorate any slowdown caused by the run in interest rates, which i'm not spening a lot of time on because everyone else is. another ingredient that may have played a role in today's trading, again one we don't talk about because it seems kind of arrogant and fresh. but the fed's gone silent.
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this has to be one of the longest stretches i can recall where no federal reserve gas bag has grabbed the mike and talked about the inevitability of a rate hike. don't underestimate how important it is that the fed heads has shut up. they listen to me. remember when i said shut up? i thought they were going to call my ma. but, no they shut up. they create more uncertainty on a daily basis than pretty much everyone else. we saw many stocks rally today. might have take an plunge if one of those guys -- i did not call them clowns or chowder heads because i'm showing respect here. anyway, from the fed, silence is totally golden. finally there's absolutely no let nextel cup the takeovers and breakups that incite people endlessly. today johnson controls broke off their auto division which i suggested 18 months ago. better late than never. tokio marine shelled out $7.5 billion to buy a u.s. insurer, hcc. nobody cares because insurance
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is boring. these are big moves in the mass order of things. let me give you the bottom line on this huge rally. if you're a bull you have to be heartened that a worldwide growth without inflation thesis broke out today. that said, the one thing we know about 2015 there's almost never any followthrough. we're borrowing from whatever rally we could get with a greek resolution. so don't think we're out of the woods yet. accept we're in a beautiful meadow with some sun, no trees falling down upon us at least for the moment. let's go to hoozlen in california. >> caller: boo-yah from berkeley, california. >> i love berkeley. how can i help? >> caller: my girlfriend and i are reading "get rich carefully carefully." >> big reading always. >> caller: i feel like this one stock has bottomed and with their penetration into the automotive industry and international expansion, there might be some judgment side
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potential. but with the recent announcement from apple with their beats audio services what are your thoughts on pandora media? >> pandora is a football stock, a short squeeze stock. they move it up and down. you mentioned a stock within your query, apple. i have to tell you i am now starting to finally get people stop me on the street saying they own apple, they're not trading it. we're getting through to people. you and your girlfriend, when you're reading "get rich carefully," i want you to do the mantra thing, chimes in your head, own apple, don't trade it. that kind of thing. dmaif arkansas david. >> caller: jim, great big boo-yah from arkansas. first time caller, long time listener. just want to know about experian therapeutics. >> now, this was a stock that has run up. we had them on a bunch of times. what you have to know about it people felt that regeneron got roughed up in front of the panel
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and the high-cholesterol drug. amgen got approval today, too from the panel. therefore they said no one will want what experian has. overreaction. but experian didn't move up too much. i toll you to be careful of it. it may not be done going down but i want you to buy regeneron. i'm not here to undermine today's positive action but understand we aren't out of the woods yet. we're in a calm grassland. at least for today. on "mad money" today, one share of the stock will cost you 235 bucks, but don't let you scare you away from the massive bottom. then in flute player left for dead but up over 10% in the last month on a legit turnaround. and here's a hint -- you'd be nuts not to buy it. plus, game-changing app that puts your doctor in the palm of your hand. stick with cramer! >> don't miss a second of "mad
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after one of the best days for stocks in ainges ss in age where is the averages roared based on germany might be able to do a deal with grease, we still have to deal with the united states where a looming rate hike from the fed can put a serious dent in the averages and the economy. it's always possible the fed could tighten anytime, anytime soon, in which case it will probably be because the economy is too weak to handle even though they care about getting something done. you know that's my theme. they seem to just be etched in stone they're going to do it regardless and that is precisely, precisely why we focused on health care the ultimate secular growth sector that can keep putting up good numbers regardless of what
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happens in the wider world or the border economy or the fed. specifically i've been telling you about health care costs because in a world where the gigantic bebe boomer generation is increasingly made up of citizens and depending on which experts you trust, the affordable care act has ek tended insurance coverage to 16 million people who previously would have been uninsured, controlling previously runaway health care costs which is ludicrous. whether or not the streaking strong dollar goes lower. ♪ super freak ♪ whether or not this greek deal we hear about actually happens, we still need companies that can bring down the cost of health care. hence why i'm giving you my health care hot list. a dozen of my favorite health care cost containment plays i think are forget for when the fed raises rates. i'm prepping you, people. last week i took you through cvs, walgreen, and they roared
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today. this week i'm highlighting the drug distributors, a sweet spot in this environment. there are three major companies, cardinal health a player to be named later i'll tell you about tomorrow and civil mck. mckesson has a long history. they were founded back in 1833 as a wholesale importer of drugs and chemicals. there are some bloodlines. but today they're the top dog in the health care logistics base. this is a stock steadily powering its way higher for years and years. it's portfolio manager's favorite. more than 13% for 2015, 27% in the last year 106% in the last two year 168% in the last three years, more than 239% in the last five years. in short, mckesson is a powerhouse. even at these levels trades at just 18.6 times 2016 earnings estimates, by the way, that happens to be just what the average stock trades at this year. ♪ alleluia ♪ it's a bargain. not only does this company supply to 120,000 pharmacies and hospitals and more than 26 but
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mckesson is quietly the fourth largest pharmacy operator in the u.s. with 2,900 operations undering brands like health mart and lloyd's pharmacy they're number one in drug distribution in the u.s. and canada number one in medical and surgical distribution to alternative care sites, number one in generic distribution, number one in hospital automation number one in medical management software and number two in special pharma distribution. more than half of all u.s. hospitals use their technologies and services. look at hit the way. roughly one-third of the pharmaceuticals taken every day in north america are supplied by this company that you probably never heard of until now supplied by mckesson. in short, this company is a power house. mckesson's vast scale gives them tremendous bargaining power to negotiate down the cost of drugs. they're not just in the drug business. think thai deliver host of health care products including technology equipment and related services. there's offices, surgery centers, long-term care
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facilities across the country. in the 2015 fiscal year their distribution business generated -- i thought it was a typo -- $176 billion in revenues. get this up 31% year over year. that's huge. growth margin increased by 60 basis points to 5.6%. operating profit up 23% for the year. beyond distributing pharmaceuticals and other medical supplies mckesson is a small technology business where they provide software and consulting services to hospitals, doctors offices, imaging centers and home health care agencies. point of this business is to help providers reduce the cost of health care while improving patient safety and efficiency. however, the tech side of the company which at kths for less than 2% of the company's sales is shrinking, down 8% in the last fiscal year. itthe distribution business. this is the king of distributors that makes this company so exciting. as i've said, that ka business is booming. they've been able to power higher year after year because
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they've been a steady grower. they grew revenues to 2014, $179 billion. in its fiscal year 2015 fiscal year for the current fiscal year, management's forecasting my single-digit revenue growth and 10% to 14% earnings per share growth. i know after i just gave you that litany that sounds like a big deceleration from earnings growth last year but remember this past year was when the afford rabble mckesson act -- i'm sorry, the affordable care act, really kicked in extending health care coverage to millions of people who otherwise would have been uninsured and this dramatically increased the demand for drugs and medical supplies, another reason why mckesson makes out so well. plus i wouldn't be at all surprised if they're being conservative with the guidance because they know how to underpromise and overdeliver. they know how to run a xoen and a stock. then there's the potential for consolidation. in december of last year, they finalized a deal for a controlling 75% stake in a
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german based pharmaceutical wholesaler and retailer for $5.4 billion. the company is doing its best to buy the remaining 25%. it said it could boost earnings per sharewy bianywhere from a buck to a buck-20. and even if their stake stays around 75%, the transaction will still be very positive for company's earnings. they know how to buy things. in late april mckesson turned and said it was spinning off brazilian operations. a move that makes the recent acquisition more attractive. so who else could mckesson buy? it wouldn't shock me if they contemplate taking over one of their smaller competitors, eve an cardinal health. that's only half the size of mckesson. or if the company wants to grow its technology division it can always by the fast-growing cloud software. i don't like it but it would be worth more to mckesson in the
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health care world than on the open market. the bottom line joining cvs, rite aid walgreenss and cardinal health in the pantheon that is my health care hot list is mckesson. the biggest in the wholesale drug distribution and me cal supplies space. it is a beast. this is a well-run company with consistent growth and a stock that's darn cheap. don't let that $235 price tag fool you. i wish they did a 10-1 split. i think mckesson is a bargain, even right here and i would absolutely be a buyer. mckesson. beast mode. much more "mad money" ahead. one of the most surprising turnarounds i've ever seen. the stock haas made wall street nuts for years. ha-ha. that's all changing. and going to the doctor might be one of the most time-consuming chores in life but not anymore. there's an app changing all that. don't miss my skwloouf doctor on demand. and mr. t. can teach us a thing or two about the stock market. i pity the fool who hiss this.
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ago suddenly sports a spectacular quarter, you have to sit up and take notice. look at diamond foods. dmd. that's a snack company that makes emerald nuts that i was snacking on. they were delicious. kettle flavored potato chips, one of my favorite and pop secret popcorn, which i don't use at all. five years ago diamond was a red-hot stock, a fast-growing snack food play that everybody wanted a piece of that had that niche that is growing, but then the company lost its mojo with the stock plunging from $92 down to $27 in a matter of months. since then it's never really recovered. what went wrong? first, never helps, accounting scandal, then an s.e.c. lawsuit followed by market share losses flailing sales numbers and a really clunky balance sheet. after years of being on the ropes it had become very hard for money managers to trust diamond or believe in any sort of turnaround story, even as everyone knew that their stuff was high quality in the supermarkets. however, lately diamond foods has managed to pull off a pretty impressive turnaround. after the numbers they reported
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last week i'm ready, i'm ready to declare diamond investable again. this stock is some of the fastest earnings growth in the snack foods aisle in the supermarket, one of the fastest, by the way, any, for that matter. it might not be an a natural and organic name like cramer wait white rate, which rallied today after acquiring vega. but this company, diamond, has some of the best earnings growth of any packaged food company i follow with a valuation much closer to an old-school food stock like general mills than whitewood. even though diamond has now reported a series of strong quarters, incredibly the stock is up less than 10% year to date. with the vast bulk of those gains coming in the last week after the company's most recent earnings report. it's almost like wall street doesn't care about diamond's most impressive numbers because most portfolio managers think of it as a habitual screw-up. it's one of the worst that i've
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seen. consider that diamond reported a nice earnings feedback from december but the stock sold off more than 5% between that quarter and the next one. in march, the company raises full-year earnings guidance sent the stock soaring more than 10% the next trading day, yet in three months before the next quarter they sold off again more than 5%. once again i think the market couldn't accept the company had turned the corner. finally, last thursday diamond delivered another quarter and at this point i think come on guys, you have to accept the third time is the charm here and management has turned things around. this is no longer the feckless diamond foods of old. even though the stock spiked more than 70% on the news it seems more important than this growth rate. if you wonder why i'm positive on diamond, break down the latest quarter. sure the sales were a bit light but diamond earned 23 cents a share. wall street was looking for 15 cents. monster beat. in spite of the recent spike in almond prices, something has offset by walnut prices.
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people -- this isn't -- people are crazy for this new 100 calorie nut packs. people are into portion control now. and that's what's on fire. excluding these discontinued products, the nut sales increased by 7.2%. that's not bad. at the same time diamond's snack business declined by 0.3% storm growth in kettle potato chips offset by high levels of pronotion nal spending on pop secret popcorn. as pop secret increases market share by 2.46% in the latest period. when they bought this, i was skeptical and the ceo that came on, the guy now there, said general mills sold it you shouldn't have bought it from them. that was right. even with not so hot revenue growth, diamond earnings before interest taxes, depreciation, amortization amortization, a good clip. diamond's gross margins came in at a 21% increase versus last year driven in part by transition to much cheaper packaging for peanuts.
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remember you said this really cool like silos. my kids liked sleek packageingpackaging. diamond has had three good quart national weather service a row. this year earnings are expected to increase by 67%. this is a food company! begs the question, why they have money managers salivating over this stock. even on the 3% gain today, still up a lotless than the numbers deserve. i think most portfolio managers view it as a perpetual loser, tainted by its past problems, the sins of the father. the management team that got the company in trouble, bye-bye. former ceo, michael mendes dismissed back in february of 2012. former ceo left soon after. current ceo brian driscoll took over in may of 2012 and while he came from hoes tez, which has
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gone through bankruptcy, he wasn't promotional at all. suspicious accounting activities prompted a major s.e.c. investigation, which blew up diamond's proposed deal to buy pringle from procter & gamble, a major blow. but last year they set wld the s.e.c. for $5 million. no longer any accounting issues associated with this company. problem solved but it would have been nice to snag pringles. money managers also think of it with a hideous balance sheet, another problem cleared up. last year they did a major refinancing, cut the debt and now the debt is down to $647 million. manageable. the old diamond that was a perpetual house of pain it's gone. done. the new diamond can now focus on growing its business something they've been doing with alacrity. in the popular kettle potato chip business they've had suck sesds rolling out in flavors. ched bar beer maple bacon, not
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the healthiest on earth but it sells. and an organic chip line. they're trying to add new flavors to their products that don't directly complete xooet with other nuts on the market. they've changed packaging from expensive canister containers to stand-up gainbags. but the price per pound of nut is actually higher. diamond has gotten religion when it comes to containing costs. they can generate overall cost savings of 2% to 3%. on top of that, diamond is expand inging with products intending to go nationwide with newer flavor of kettle chips which accelerate the growth segment in the earliest quarter. sooner or later, the markets finally going to start giving diamond foods the credit it deserved. if it doesn't, it could be easily be acquired by a larger
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competitor. diamond sells at 24 times earnings. okay seems expensive. for traditional packaged food company but it's cheap when you consider their terrific earnings growth. bottom line, diamond foods may not have the sex appeal of a white wave or others but it has a fabulous turnaround story being dramatically undervalued by a market that wrote this stock off ages ago. that's why i think diamond is worth buy. and i'd like it even more on a pullback. patty in florida, patty! >> caller: hi jim. my question is about whole foods. i believe in it. i shop there all the time. it is always busy yet the stock is way down and keeps creeping down every day even before they talked about a cheaper division. should i take my losses and sell it or hold on? >> this was on the united natural foods conference call the dire and on that call we
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heard whole foods was doing badly. when i hear that i want to wait to see the quarter before i would tell you to buy whole foods. a good turnaround story is a true gem. i mean, really. there they're so hard to find. if you're searching for one, i want you to look no further than blue diamond, diamond foods. a lot more on "mad money" ahead, including tired of sitting in waiting rooms, missing work? then amr. t. had more tricks up his tank top. don't miss my take on what he can teach us about stocks. lightning round! stick with cramer. hey, what are you doing? you said you were going to find out about plenti, the new rewards
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program. i did. in fact, i'm earning plenti points right now. but you're not doing anything right now. lily? he's right. sign up, and you could earn plenti points just for being a wireless customer. in the meantime, i just kick back and watch the points roll in. where did you get those noodles? at&t cafeteria. you mean the break room... at&t - the only wireless carrier to be a part of plenti now when you add a new phone line to your wireless plan you get 5,000 plenti points to use in lots of places. you wouldn't take medicine without checking the side effects. hey honey. huh. the good news is my hypertension is gone. so why would you invest without checking brokercheck? check your broker with brokercheck.
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s. lately i've been spending a lot of time talking act the health care stocks particularly cost containment place. even during a euphoric session like today, most of the time we talk about controlling health care costs we mean companies that can use scale to negotiate drug prices with drugmakers or hospitals. tonight we're going off the tape to check in with a cutting-edge private held company revolutionizing the idea of health care cost containment. dr. on demand, a service that enables patients to videoconference with their doctors toef web, something that's made getting medical care a heck of a lot cheaper and more convenient. businesses can provide it as a benefit to their employees like they do at comcast, the parent company of this network. but walgreens today announced they plan to expand their own telemedicine service in 25 state base the end of the year and teledoc, the largest company in the industry just filed publicly a week and a half ago. not only is it a game changing concept, it could be an
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investable one. adam jackson is co-founder of doctor on demand. hear more about how his company is doing and the broader face of the health care landscape. mr. jackson, welcome to "mad money." good to see you. have a seat. >> thanks for having me. we teased this to use the technical term for tv, this morning on "squawk on the street" and immediately three people on the set told me they use you, doctor on demand. >> great. >> it was all these instances you say, why do i have to go to the doctor for? i know exactly what's wrong. why do i have to lose a half a day? this must be the common experience you replace. >> that's it. we hear that exact phrase every day from our users. you read our app store reviews, they say the same thing. they say i can't believe this worked. it was that easy. >> when you do it there's -- i have to believe that if you're, say, for comcast or something, there's a screening mechanism, you know, i don't want to see any old doctor so, to speak. how do i know i'm seeing the
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right doctor or a good doctor? >> our application you can browse a list of our physician, see where they went to school. our promise is we only employ board-certified american-trained medical doctors. not a nurse or p.a. american board certified. >> teledoc, walgreens. what if they had the same promise? why would i use you versus them? >> there's a couple options. if you're a consumer and hear a about us on tv or in the app store, you're going to use us because we're the only ones that go direct to consumers. you can get us in the app store. even if you don't have insurance, it doesn't matter. put your credit card in for $40 you can see a doctor a lot cheaper for $200 for urgent care or the e.r. if you're getting it through your employer like your benevolent comcast, it's built in and covered. >> okay. at what point does the doctor say, listen you got to come in? >> yeah. it's about 8% to 9% of our
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cases. >> that's it. ? that's about it yeah. >> do you think that's because it's younger people and workforce people? i was reading in "usa today" the people who are medicare older, 80 they're using all of the medical -- most of the people you deal with have an illness as opposed to people who are ill. >> not totally true. a reasonable assumption but not actually true with us. we have folks in their 80s and 70s using our service, about 10%, 15% of our population is over 65. these people do have chronic conditions. but they know inherently that they can't get treated for get a cancer diagnosis or get diagnosed with diabetes over video. not appropriate. you have to go in for that. people realize this is a video interaction, well, i know for pink eye or for a pediatric question or something simple, this will probably work. they're sort of self-selecting. >> how about if there's a medicine that is not a lifesaving medicine but more moskos mettic or aler again or
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something, they have a website and you call and get a doctor. can dr. on demand affiliate with drug companies? >> i don't think we'll go that route. the reason being we don't want to put any pressure on our physicians, our provider staff, to feel like they're under any obligation to prescribe anything. we've rather have patients come to us because their insurance plan or employer told them about it and get an unbiased medical opinion. >> better to work for united health care. >> yeah. tell tell. >> tell us about that. >> we're built into united health care now. >> built in means what? >> built in means iffer the companies that united serves as a tpa, a benefits administrator, we're now on the menu. if a company that used united to administer says we'd like telemedicine, they get dr. on demand. starting in january of '16, if you're part of their fully insured books of the 8 million or so lives they're at risk for,
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dr. on demand is a covered benefit, meaning you can use it for free or cheap. >> how do you make your money off this? >> our business model is simple. $40 for a visit, period, end of story. >> you share with the doctor. >> the doctor gets about 30 and we take about 10. >> and that's enough to have a thriving business. >> it is at scale. at low volume makes no sense. it's really expensive, we lose money. any kind of reasonable to high volume, we're in shape. profitable. >> how did you get comcast? >> we went in and pitched the benefits group. comcast has an incredibly forward leaning, very open to technology -- their mission with the comcast benefits team is to provide the best available care as soon as possible. >> right. >> so they looked at all the vendors, loved our experience the best loved our business model, and that's how we won the business. >> are there some big accounts that are now going to be jump ball that teledoc's got some money and walgreens wants to be in this? >> we go through an rfp, request
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for proposal process, several per week, sometimes almost ten a week. >> really. >> yeah. with big health plan big self-insured employers, we go ahead with it. >> it's not a public company you but you understand the value proposition is so compelling if it were public we would have to be talking about this during our health care series. because that's how compelling this company really is. that's adam jackson koshgs founder and ceo of dr. on demand really great business model. great stuff you're doing. octor on demand, really great business model. great stuff you're doing. ♪ ♪ ♪ at chase, we celebrate small businesses every day through programs like mission main street grants. last years' grant recipients are achieving amazing things. carving a name for myself and creating local jobs. creating more programs for these little bookworms.
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it is time! it's the lightning round! >> buy, buy, buy! [ indyiscernible ] sonny in illinois. >> caller: a big chicago boo-yah. >> absolutely. although i like the guy who owns the l.a. team there, tampa. what's going on? >> caller: what do you think of brocade? >> it's been working. amazing. after being in the wilderness
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for so long. but whenever i think of brocade, i think of cisco. i am still afire on chuck robbins and cisco. give me a break. let's go to neil in maryland. neil! >> caller: boo-yah to you from the land of pleasant living on the chesapeake bay. >> national bow, help me. >> caller: yeah. hey, look i've been taking some cards in cramerica when you recommended gentherm four months ago. >> i like that stock. there will be consolidation in the industry. johnson controls will keep their business. natural merger situation. i like what i hear. danny in south carolina. danny. >> caller: boo-yah from sunny myrtle beach. bb&t for a while. >> i like the regionals. i hear they're doing a great job. i also like key. i've got to tell you, i think key's best of all. but bbt is doing great. isaiah in kentucky.
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isaiah. >> caller: jim my man, shoutout from the bluegrass. tell me how you feel about kyt. >> my friend adam from thestreet.com tweeted this morning that goldman has a health care conference and this company canceled. they make basically an aesthetic aesthetics biotech but it's grooerlt if there's a takeover. if not, the stock will go down. makes it too hard for me to pine on. jake in pennsylvania. jake. >> caller: hey, jim. >> jake. >> caller: i want to know if i should hold on to dwa or sell it. >> i think it's dead money. i won't tell you to buy anything that's dead money. that, ladies and gentlemen, is the conclusion of the lightning round! >> the lightning round is sponsored by td ameritrade. >> caller: cramer you are super, you are awesome. >> i'm a first-time investor. >> thank you for inspire megato
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get in the game. >> your show is the best. i'm so glad you're on tv. >> i want you to know that you have transformed me. thank you, cramer. ade, they're always working. yup, we're constantly making thinkorswim better. like a custom screener on your desktop, that updates to all your devices. and you can share it with one click. wow. how do you find the time to do all this? easy. we combined every birthday and holiday into one celebration. (different holidays being shouted) back to work, guys! i love this times of year. 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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what can be better than that? to me his crowning moment came in that movie asked about his prediction for that upcoming fight and he uttered that single word pain. a succinct moment of cinematic brilliance when a tweeter said he was getting his but handed anymore in facebook and couldn't handle the pain of these huge losses. i wanted to sentence him to watch several full-length mr. t. dramatic expositions because if you think what's been happening in facebook the last few days other than today is painful then you should learn the table right now before you learn what real pain is like. first up i'm not here to talk about the coming apocalypse. we have doomsdayers everywhere these days. a fine film by mel gibson but it fits the negative course i hear every single day with the exceptions of days like today where they set up. this is the perfect time to discuss pain because no one who owns stocks is feeling it today, which means rational decisions
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can be made. i'm not here to tell you what happens when the fed tightens. there's lar well-defined end of the world sense surrounding that too. prefer to wait until other currencies get stronger before tightening, i expect the judgment is going to cur and i'm making my peace with it by recommending stocks that will work once the fed gets the ball rolling like the health care. no. i want to talk about tolerance. let's say you somehow picked the absolute worst moment to buy facebook, march 23rd at $85.31. you're not down that much. a little more than three bucks. you have to be able to take that kind of minor pain if you own stocks. let's deconstruct it. first huge losses that the tweeter mentioned, hardly. even if you bought at the peak and sold out today, you don't have huge losses. they could well earn $3.50 in 2017. is facebook expensive at three times that number given how fast
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it's growing? i would say no. you know what would make it cheap fer the stock went lower and you could buy more in your price. the problem is if you adopt that pain mentality, you'll be a seller on weakness when the stock falls to say 20 times earnings rather than a buyer who used a the decline as a losing opportunity. a losing mentality is best left out of the stock market. it's only good if you're in cash. loser equals cash in some moments. second a five-point drop on an $80 stock, it was down $5 from the high when this guy tweeted, and again, predicting the worst possible moment to buy and sell just isn't that much of a hit. if you think it is please run now because there's not enough oxycodone in the world to handle what you'd feel if facebook goes to $70. would that happen? if that very thought makes you shudder, maybe you should use today's rally as a chance to red shirt. why? because this market is not changing as much off the false statement fundamentals of earnings as it is off the fundamentals of greek talks. it could easily sell at $70 even
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if nothing changes at the actual company. just what happens. it's a stock. in other words, part of the process of owning stocks is having pain dollars. if it hurts too much don't look every day. if that doesn't help sell on the strength of a good day like this one. owning stocks is a leap of faith. you have to believe things will get bet aert the company you own, at the stock market that trades it and in the world in general. that's a tough row to hoe. it's happened quite often, though. the only people who stay the course are the ones who can handle what mr. t. dishes out. if you can take the punishment welcome aboard. if you can't handle it maybe investing in individual stocks just isn't for you, because you never know when real pain might strike. even if the end, the pangos down for the count, just like the irrepressible mr. t. in "rocky iii." stick with cramer.
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some good quarters from some controversial companies after the bell. first box reported a good quarter. remember i told you what would matter ultimately is if they could tell a good story later on because it wasn't a good quarter, a terrible narrative last time. then men's warehouse. wow. this is one of those situations where it changes every single day. there's always a bull market somewhere. i promise to find it for you right here on "mad money." i'm jim cramer and i'll see you tomorrow!
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eight million people. fire two more risottos. that's four all-day-- everything we do is on a mega, mega level. -there's a four-hour wait. -is there, really? all i want to do is just win. win. announcer: 24 thousand restaurants. i'm not gonna close the restaurant. hell to the no. -you're losing money by the minute. -losing money by the minute. our family legacy is on the line here. a million dollars is (bleep). it really is. announcer: three businesses at a crossroads... our goals are the same. we both wanna be (bleep) rich. ...fighting for their piece of a $34-billion industry. you've got to bulldoze your way into (bleep). this is crazy! this restaurant's my life. it's gonna work no matter what. announcer: a budding empire. we've grown a $45 million business. the meatball shop is a proven, successful concept. we need $4 million to open restaurants. either we gotta (ble
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