>> much better than a substitute teacher. >> thank you. >> celgene! it's lower in the after-market. you buy on this weakness in the juno headline. >> i'm simon hobbs. catch more "fast money" tomorrow at jim starts right now. >> my mission is simple to make you money. i'm here to level the playing field for all investors. there is 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. my job is to explain this stuff, to teach you. call or tweet me. what the heck were those early morning tip buyers thinking.

when the market looks so good. it was so rotten underneath. dow finishing down 350. s&p and nasdaq plummeting. needless to say it was the worst day of the year. i believe dips are often buying opportunities. but do you mind if we at least get one first? there there is a lot of insanity in this. do you know how many times i said i didn't like the set up. i particularly didn't like the extreme level of complacency here. ease and desire to be the firsthand over fist buyers. it was exact the wrong thing to do. how did we become such poly annas. how did we become so blind? europe has 770 million people. they matter plenty. you only get that optimistic

presumption if you actually think our market isn't linked to europe but everything that's happened suggested we had to be down more than we were at the garden variety decline open. we're linked. that is the way it is. get used to it. first, most people actually believe that near the end of the talks the greeks were still truly negotiating in good faith. whatever gave investors that idea? what have we been telling you on this show? they elected a government that is meant to redudeiate their debts but people somehow seem to that government will agree do a deal that will keep wiping out that date. not we'll keep your stick and stick to austerity. kpleessy sycomplacency item one, the believe there would be a deal. and then the slap in the face of

a referendum. wow, were they ever unprepared in germany. complacency sign number two. the idea when our markets could a sustain a day when most of the europe's markets were done 4%. that means something. i know how small greece is but i'm surprised germany didn't have a better handle on it. it is going to be a bad quarter now because of these clowns so it makes sense their stocks get hit today. it is no at contagion or a fire but a setback. third sign of complacency, the federal reserve still has officials like new york fed pret bill dudley who said today that a rate hike in september is very much on the table. hey look maybe it is. that's already. do they really have to say it today? is this the day to make the declaration? why not just say nothing on a day like today. come on bill i've known you for

a long time. you are better than that. what is the hurry? you want to send the stock market lower? good. success. well done. the fourth sign of complacency, a belief that the world hasn't aligned when greece is falling apart. stabbing him in the back when they least expect it. but it wasn't always like that. there was one so i'm in the last month that tsipras was all smiles. do you know when? when he visited russia and met with vladimir putin. when he was there he gave a speech trashing the eu. russians are suspected to be bankrupt. but that's non sense. russians have plenty of cash. i know many who are asking themselves why am i here and not in brussels? i'm here because i believe it is the rule of country seeking to

explore all potential to reach success in every area. meaning hey we can get better terms in russia than from the germans. it gets worst. we in europe were delusional for some time. we believed we were the center of the world. however the economic center of the planet has shifted. there are now new emerging forces playing a role economically. when i read that i knew the writing was on the wall. and you don't go to putin, the sworn enemy in the west and declare her a relic while making clear that his allegiances are with russia and therefore by also implication china. i'm surprised tsipras didn't call for the over throwing of the ukrainian government followed by occupation. i am surprised. not being facetious. this is a model here. last year venezuela.

who bought it? the russians and china. they lapped it up. you know they will do it for greece. why not? they will be first in line for repayment. anyone remember the truman doctrine in 1947? maybe i'm so old i do. complacency sign five. the idea stocks could easily bounce down 1%. i found this puzzling. it's reassuring the euro went up today. our countries can't afford another decline in europe. i think we need to go lower. we have a big down opening, fine. we have a big opening sold to you. i couldn't believe how many people on the floor of the exchange told me they were buying the first dip.

when i expressed caution on twitter last night people derided me. i do like to show pictures of my garden and dog. let the darn market come down. there is nothing wrong with that. especially in a earnings season. sign of complacency six. did people they that puerto rico wouldn't matter? i know investor who is spent a fortune buying bonds down there. wrong. it is just beginning. many munis guys are heavily invested. they are going lose fortunes. it is always the margin hedge funds that are the most paid. final sign of complacency. rest of the world. what the heck's going in china. not long ago they had the greatest bull market in history. now they have a world's greatest

bear market. no wonder al bab is sinking. alibaba. now before we get too loommy this is not lehman. someone will blink in germany or greece or greece will pay back in chocolates. as long as china and russia shore up their banks, obviously being in a different orb. can we please at least wait for real dip before we buy the dip. that is the prudent thing. be patient, wait for stocks to come down. i think you get your chance. but if there is another opening tomorrow no dice. doug in colorado. >> caller: i've been looking at gold again since its taken such a hit. is it a good buy?

and if so what form? do you buy coins, funds? >> you would buy the actual bouillon if you wanted to. gold shouldn't have been up more but there is always a place for gold. rand gold is cheaper than the price it's selling. everybody else is losing a lot of money. bill in michigan. >> caller: with the price of b.p. the clean up spill being reported between 68 and 66 billion dollars, what do you think that is going to do tot the price of the stock and the dividend. >> i thought that decision was outrageous. kind a dealt a blow to my thinking that b.p. could perhaps have a good 2015/16. so we'll have to stay away. what a series of bad breaks. but then again, if you are an environmental list you get what you pay for. the dip is tempting but how

about a real dip? maybe we get that tomorrow. up opening, you are on your own. i'm going unveil a great way to win right now no matter what what happens in athens. nike crushed its latest quarter. did it set the bar too high or can it keep beating the street? plus the stock up more than 40% this year that i think has a lot more room to run, of course after it goes down from greece.

looking for bright spots on a hideous today like today is

never easy. given we can't break free from the orbit of europe. we haven't been able to and we're not. but there were some bright spots in data at least. you have to really look for them. you needed this. but i have one. so rather than tearing your hair out or curling up on the floor crying like a baby i always beg you not to do that. i say look for opportunities. get the shopping list out. this morning we got a whopper of impending home sales number and nobody paid attention to it at all. we're all riveted to greece. but we're now back to 2006 home buying levels. before the great recession. except this time the loans are going to produce few --. people who buy homes are way over qualified. sometimes i have to laugh you only get a mortgage if you don't need one. houses numbers are amazing. midwest, 95-111.

south, 110-127. and the west where prices got out of hand early is good. we want that. the prices of new homes are up spartly year over year. that is wrong to be worried about that. it is okay. because people are tired of buying homes and immediately losing money on them. people stay in apartments and pay rent if they think buying a house means you lose money. we accept you lose money on a car when you drive off the lot. not a house. we're growth nation going into the great recession. meaning more people. one illegal immigration where no-doc loans lowed people to buy in certain areas. and two, a strong birthrate because business was strong and

people could move out to start their own families rather quickly. when this household formation number dropped from 1 million in the early 2000s to an astounding 500,000 post recession. it was shocking to everybody. especially the home builders. we bumped at these levels for ages and people either stayed with parents or rent. they couldn't afford to buy a house or they thought it was a suckers game. but when the household formation number jumped to an astounding $2 million. took the whole industry by surprise. now the home builders will begin the process of constructing whole new planned developments and finally using the land. 2 million new households. home . if you own the conference calls to these new home improvement

chains especially home depot. you are going to hear the average amount of the home is a percentage of what it used to be. that is because it is regarded as an expense. but when you hear the numbers today you know it is flipping. homes are once again a good investment. and higher interest rates won't change that. the bottom line is simply housing is now the brightest spot in the investing universe. even hotter that be cars. and even greece can't take that away. let's go to george in new york. >> caller: hey george a big fat greek booyah. to your health in greek. >> i like that. what's up sf. >> caller: my question is regarding the reach sector jim. way back you had sort of an a

likingeingeingeing anally capital. >> when the -- i know longer feel comfortable recommending that stock without mike. despite the gloom doom there are still good spots in the market. and then nike. and it is a family business. i don't think it is done going higher. i'll tell you why to adopt the stock. and bio techs.

at a time when we're supposed to be terrified by how much damage a strong dollar can do to the earnings. when china and europe are supposed to be weak. when we just don't believe american companies can compete in a world of cheap labor. along comes nike to blow all those rumors away. nike knocked it out of the park last week.

16 percent earnings with a quarter that reams s reminds how much of a power house they can be. how did they do it? first amazing execution and a total "take no prisoners" strategy. it is how the gross margin expanded 120 basis points. not only 12% growth in north america but the western european business is up 15% and china up 18%. two of the most troubled regions in the globe turned out to be this company's strongest markets. in part nike can deliver these numbers because it has truly amazing technology. under armour hasn't cornered the market in r and d and tech space. nike has cornered the market.

and we'll find nike has created a whole new model down to manufacture manufacturing. they can engine the shoes down to the pixel. and there is fly weave, a space age performance weaving process that compares lightness with superior strength that nike introduced this year. and plus the website let's young make customized sneakers allowing you to create pretty funky designs. and they are not just letting you create better shoes. they are coming with dry fit light. pulling sweat from your body. and something the company is using in a new line of bras. no wonder they can compete with under armour. they don't have the monopoly on the stuff. still what stands out is the incredible strength of nike's brands. the air jordan was introduced in

1984. michael jordan retired more than a decade ago. yet the air jordan xx 9 has become one of the hottest selling shoes on earth. a typical one selling 225 dollars. with lebron and kevin durant sneakers selling as much as 300 dollars. they may sound like insane price points but people are willing to pay and the resale value is even higher honestly. meanwhile nike's pegasus, a brand that is 30 years old has been reinvented with new technology and they are on fire. i think some of the strength here has to be doing with the ascendance of basketball as the sport, not just in this country but worldwide. nike owns basketball. as the 40 endorsement deals, 70% were nike.

you know i'm a huge fan of under armour but in endorsement deals nike is unparalleled. also in the nfl. they have a five year uniform deal. and not to mention huge college sport partnerships. including duke and university of connecticut. on top of that though nike has an incredibly value incredibly lucrative direct consumer business that includes retail stores and the company's on fire e-commerce business. overall they grew at the 15% clip this past quarter. and the e-commerce generated more than a billion dollars in sales. they view the web as a way to boost growth and also build deeper connections with you the customer. and it is not just like nike has a website here. earlier this year they launched instagram shop which lets users click on a photoand be taken directly to the nike.com page

where the item is being sold. so smart. the company has a fortress balance sheet. and you are basically left with two major sneaker and athletic apparent plays that have real global appeal. nike and under armour. and i think there is more than enough room in this space. under armour places extremely strong emphasis in training. they are all about blood sweat and tears before stepping on the court. nike likes to sensationalize highlighting epic moments on the court. in short under armour is going after incredibly dedicated athletes while nike is targeting everybody else. although they still have plenty of stuff for superior athletes. we know china's consumption has been struggling so badly they

are even cutting back on chocolate consumption. but they are still buying air jordans. so many other companies have lad to lower forecasts but nike is not one. and i think it deserves to go a lot higher. maybe not as high as the very expensive under armour but nike still has plenty of room to run. it is the ultimate senior growth stock. just when it seemed like all is lost and nothing is going right anywhere in the world nike reported a spectacular quarter with incredible growth in china and europe that everyone would believe would be trouble spots. in short nike had such a powerful brand, amazing brands that it can transcend the kind of woes that brought down the averages today. and given the track record this is the kind of stock i would be a buyer in the weakness that the

market is going to give you. look, we just heard from them. we know this company is on fire. much more mad money ahead. including a stock up 40% this year on brands you may have in your closet right now. i'll unveil. and is bio tech your best medicine against the greek financial strain? i'm putting the hottest names under the microscope. plus let's start with your call monday rapid fire special decision of the lightning round.

on an awful day like today -- and it was awful. you know what? how about we take a deep broet, cam down and focus on what's been woshing and ingwoshing and continuing to work. that's why i'd like to draw your attention to a stock that hardly ever comes down. giii pearlapparel. what is the secret? company is similar to a

pharmaceutical roll up. they acquire cast off brands and reinvigorate. and they have been consistently underestimated by wall street. so why has giii been working and why do i think it will continue to work? somewhat unusual for a publicly traded entity giii is essentially a family business. the current ceo is the sun son of the company's founder and owns approximately 23% of the shares. and the relatives are also major shareholders which gives him a lot of reason to worry about the stock price, because if the shares go down and he loses the family's money, that next family gathering is going to be the house of pain. historically they have made much money licensing big names like calvin kline and tommy hilfiger and then selling all sort of

clothing under these brands. and it is not just fashion brands. giii they also deal with all four professional sports leagues. which allows them to sell licensed licensed apparel. but in the last decade giii has gotten in the business of straight up acquiring unwanted brands and turning them around. and eliza j and jessica howard for dresses. and i can't pronounce it for swim wear but i had one on yesterday. and wilson's leather. most recently bass. november 2013. into the footwear business. and let's look at this deal. i think it worked out exactly the way that i think giii can make things work for unloved brands. they have begun selling bass

through wholesale channels not just resail the way pbh did. and they also licensed out the bass brand. at the same time they have cleared out all of bass's legacy inventory and introduced new products. the results? spectacular. they got a positive update in the bass business. a monster 17% increase in same stores sales on the retail side. extraordinary. plus i quote, we believe there is plenty of room for growth in bass and we are confident this will be another textbook case study of our ability to seamlessly innovate operations quickly, leverage a brand and create positive thank you through acquisition. thanks to this savvy deal making they are up nearly 200% over the

last two years. but you never get a chance to buy it because we don't have selloffs like today where everyone panics and throws out even the good ones. if you want to understand how they have almost tripled in the last two years, a big part of the story is analysts keep underestimating this company. quarter after quarter. they have a long track record of blowing away the numbers. how could a company stay so underestimated for so long? in part i think because it is similar to a company like dillards. totally non promotional andetc. and it makes hard for wall street analysts to get a handle on the company. another reason they keep being under estimated is because this story is about more than just the numbers. this is a squishy ethereal subjective component to this

stock. talking about giii's heritage as the family run business. normally we wouldn't consider it as a positive even when the ceo has a ton of skin in the game. but in this case there is more to its than that. take a look at this clip back in december 2013. >> what i think is important is that for people to understand is that morris goldfarb is fully invested in giii. you are not going to do this and then go to gm and when you retire you are going to be a fit investor. you are with this company. >> it's my company. i've been there 42 years. where am i going? i'm not qualified to do anything else. >> a i love that. not just the ceo owns a gigantic stake in the company. he's also industry expert who's been the game four decades. and he's fully invested in the business. and he knows how to execute that

vision. so many of these guys have lost their way. not morris. by the way since our last interview the stock gained 113%. and a 19% long-term growth rate. let me give you the bottom line. not only are they a roll up like an apparel version of --. but it is also a family run business and they really know fashion and has a lot of skin in the game. and everybody loves their nfl stuff and a great set of brands. put it all together and you got a company that keeps beating wall street earnings. i bet the trend is far from over. they are exactly the kind of company that will continue putting up numbers. which is why i'm telling you this is the kind of stock you buy into european related weakness that i know we're going to have tomorrow. mad money is back after the break.

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it is time. it is time for lightning round. are you ready? i'm going start with rose lee in wisconsin. >> caller: i'm a senior senior citizen and i want to know if i should have wisconsin energy worth a long hold. >> they currently trade 3 and 3/4%. when it that gets to 4% and i think it will pull the trigger. i want to go to dave in virginia virginia. >> caller: big southern booyah from richmond. i'm in this position long where the funding changed. is it time to get rid of tap? >> no if we get a transaction, tap is going to be a big

beneficiary. they will be able to buy something that has to be sold because of the big transaction that maybe involves bud. so hold on to it. how about steve in big missouri. >> caller: booyah steve. how about t. rowe price? >> not a bad situation. i don't mind it. and thank you and mr. and mrs. bond for stopping by last night for missouri. you guys are fabulous. one of the greater senators missouri ever had. hello big joe. >> caller: love your show. never miss i. herman miller. >> office furniture. not bad. not bad. but i happen to like way fair which is home furniture and i think that on the pull back is better. matt in jersey.

>> caller: booyah from hoboken. i've been long on ova science. but it's been killing me lately. >> let me do work on this. that is a hard call because there are a lot of companies in that space and it is not as good as it used to be. sally in north carolina. >> booyah from charlotte. sell or hold duke? >> it's hold. yields 4.4. wouldn't surprise me if it yields 5. mike in new hampshire. >>. >> caller: booyah thanks for taking my call jim. >> of course. >> caller: question for you. couple months i invested in dell frisco group and since then the stocks slipped about 5%. should i hold or. >> i want you to hold on to it. the restaurant group has gotten

tough again. they have a lot of levers to do better. don't sell itdown here at 18. and with that that is the conclusion of the lightning round. random? no it's all about understanding patterns like the mail guy at 3:12 every day or jerry, getting dumped every third tuesday. this happens every third tuesday. we have pattern recognition technology on any chart, plus over 300 customizable studies to help you anticipate potential price movement. there's no way to predict that. for all the confidence you need. td ameritrade. you got this. when you're not confident your company's data is secure the possibility of a breach can quickly become the only thing you think about. that's where at&t can help. we monitor network traffic worldwide, so we can see things others can't. mitigating risks across your business.

leaving you free to focus on what matters most.

after a hideous session like this one, we can see just how fragile our stock market really can be. given the financial woes of

greece a country is size of louisiana can indeed have a affect. the truth is this is an increasing global economy. we're stuck with it. and what happens in europe does matter. more importantly it can eviscerate our whole market. weakness there causes them to sell s&p 500 futures over here. and last night, when it started they were down hideously as much as the market closed today and then rallied but it was phony. i got to keep you out of the phony rallies. and now it feels like the economy is in chaos. what do you do when there is chaos around the world? i got something so koount intuitive it is going to blow your mind. you buy very special bio techs that refused to come down until now. opportunity to pick up the speculative development stage bio tech names that haven't had

price break in ages. why specifically? typically when the market is hammered you want safe haven stocks. isn't when merck and pfizer should come into play? here is the thing. these tend not to come down except when you get a broad market selloff like now. and i suspect there are going to be big decline here's. and i have the ones that are going to bounce back the hardest. and just as important in this week of speculation, bio tech does represent a kind of safety. that is because they are immub to global chaos. before i give you my three favorites let me explain why bio tech is immune. it doesn't supply to unmet needs, especially medical needs. there will be the same number of people who suffer migraines or

any chronic medical condition. if you got a serious the disease you keep get treated no matter how crazy the greek situation gets. bio tech is all about getting resolved these serious unmet needs. they don't represent economic growth or interest rates. on top, the big drug companies have been snapping up small companies left and right. and big pharma is going to lose patent protection soon. so they are desperate to buy small bio techs that can provide future growth. they basically exist to make acquisitions in the space some companies. and it isn't just old line pharma that wants in. cell gene put 1 billion dollars

into juneau therapeutics at the close. that is a totally speculative play. maybe that is exactly what we're looking for. and there is another reason i like them. that is because they generally trade higher going into drug approvals. with the exception of the major players with more than one drug in the pipeline. my favorites have multiple ways to win. which means there are a lot of ways these stocks can go higher. which bio techs would i back up the truck in here as the market goes down -- now i'm not oblivious. market is going town. i'm not a polyian that i know what's happening. i'm trying to. radius health and all alder pharmaceuticals. these three all have. let's start with alder.

this company is all about developing antibody based therapies. a pair in clinical trials. preventing migraines, chronic migraines. and other companies which create treatments for arthritis. and -- i think also this could be a legitimate takeover candidate. [inaudible] i wonder where this one wouldn't threaten that franchise. now we know alder is going to be releasing crucial clinical results later this year again, with or without greece so this has a nice building catalyst. however the stock -- last thursday. [inaudible] alder has even more --.

the stock is still trading below where it was before the secondary was announced but i think it can come down still further and that's where i want you to pull the trigger. i'm prepping you for decline, not advance. and next up rocpt. -- this group's drug is called ozamide is in phase three trials. and moving to phase two for crohn's disease. i think this could do 2 to $3 billion in peak sales with those diseases as loan. and -- it is very possible it could help with other diseases

like lupus. their compounds performing better with fewer side effects in every single indication where it is being studied. it's given us a 15% gain since we last spoke to the ceo. and i think the speculation on this is legitimate. when you consider they are only $5.4 billion company and the drug could potentially do that in sales. the big pharma companies want to use this break in the price to figure how to augment their pipelines. they are not sitting there fretting about greece. they are not investors. they are companies that need to have a 10 and 20 year perspective. finally there is radius health. the developer of treatment for osteoporosis and other medicaid mediated disorders.

earlier this month we spoke to for their lead drug. and in phase three trials. preventing bone breaking. radius is working on both injectable version of the drug as well as the trans dermal patch. easier to apply. and plus swreeging early stage projects. vas motor systems of the menopause. and well talk about unmet need. metastatic breast cancer. i like radius because it is game changing osteoporosis drug could hit the market as early as next year. and with the stock pulling back nicely you are getting a good entry point in a stock that feels like it is going higher in a straight lining. i never thought you could get in. do you think i'm going to back away now because of greece?

that's what cowards do? i've been saying wait for a pull back. when we get one, what am going to do tell you no? this time it's my time. and we have the worst kay of the year for stocks look for opportunities in high quality bio techs like juneauo. these stocks will bounce faster and harder and with a vengiance. i like these three. that's how bottoms are formed. stick with cramer. never settle for verizon's overpriced gimmicks.

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♪ and that unlimited 2% cash back from spark means thousands of dollars each year going back into my business... that's huge for my bottom line. what's in your wallet? what am i going to say? this is our 11th year. we're going to see it through this thing together t all right? it is not going to be that bad a sell off but it is a sell of youf. when i find the opportunities we're going to bring them to you. in the meantime keep your palate dry until we get a dip. not this faux dip. i'm jim cramer, see you tomorrow.

lemonis: tonight on "the profit"... -that was pretty good. -mike: [ laughs ] lemonis: ...a custom drum company can't find the rhythm to meet supply and demand. mike: our turnaround time is six to seven months. -lemonis: six to seven months? -mike: yeah. that's created a backlog of unpaid bills and serious cash-flow problems. chris: we don't have enough money to cover payroll for next week. lemonis: i mean, you're kind of closed. chris: yeah. lemonis: the owner and his right-hand man are out of sync. louie: the lack of communication, i think between chris and mike it's like -- it's just...exactly. lemonis: and the two brothers who started this business have split up... scott: what did i ever do to you? mike: i really don't want to get into all that. lemonis: ...causing a whole nother layer of crippling issues. if they can't fix their process and their relationship... mike: fixing the business and this [bleep] is hard enough. lemonis: ...they'll be forced to close their doors forever. mike: i can't take this.