>> grasso? >> apple. >> karen? >> roll down some puts, buyer low strikes. >> guy? >> hyg, does it hold the low? >> i'mmoney" with jim cramer starts right now. 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. i'm just trying to save you some money. my job is not just to entertain you but to educate you. call me at 1-800-743-cnbc or tweet me #jimcramer. it's as if everything we once liked we now hate. everything we once hated we kind of, sort of like.

hence why the averages keep getting hammered. nasdaq plummeting over 3% today, a truliy hideous day. a wake-up call for everyone who ignored our repeated warnings. first up, commodities. it's no secret that china is not just slowing. its industrial demand seems to be downright exhausted. which means all companies that help extract or produce commodities are performing horrendously and will continue to do so. why don't we start with one of the lowest cost pouroducers of iron ore is the colonssal brazilian mining company. the price of iron ore has been

cut in half in this year alone. two companies are gigantic producers along with tons of small producers. you need iron to make steel. but right now we don't need steel. there's way too much of it. so iron is getting crushed. i'm just using this as an example. plus brazil's currency is being annihilated. if you own this stock, you're getting killed both ways. the other two major iron producers, they're not much better. how about copper? the biggest copper producer in this country is freeport, fcs. this corporation has stock that's dehydrated down from 58 to less than $9 right now. it also has a huge oil business. carl icahn has bought 100 million shares or 8.8% of the company.

it's somewhat icronic that icah has a video coming out tomorrow. you have to wonder if he will make up his losses. maybe his hedge bet against junk bonds, he's a canny guy. again, china is the marginal buyer of copper. they use about 40% of the stock. freeport is unlikely to turn itself around. same goes for the black hole that is glenncorps, a gigantic copper miner that has fallen 77% for the year. remember, though, this is glenncorps's stock price. the company's bonds represent much more of its capital structure. they're down less as a percentage but much more in absolute terms. that's the real point of pain in the system. it's not only the actual miners. the street used to crave companies that did business in

china. few did better than caterpillar with earth movers that china bought hand over fist. now caterpillar's stock is over 30% for 2015. it yields nearly 5%. the earnings and revenue estimates in my opinion are still way too high, which means they can be sliced. and when that happens, stocks go lower. yes, the minerals and mining is that bad. some are trying to buck the trend like alcoa, which is splitting into two companies, one that is rightly or wrongly linked to china metals. we'll hear more about this breakup when we speak to alcoa's al kleinfeld later in the show. second, anything oil and gas is just despised, okay? i'll do it during the commercial

break. it's real show. i just said that. i can't believe that. oil and gas is hated with a furious passion. i can't stress how important that hatred is. as hated as this tie. it extends to every part of the oil complex including independent oil and gas companies, the big oils like chevron, the drillers like insco, the master limited partnerships, and pipelines like williams which just got a takeover bid and is still being crushed. the worst, why do i mention glenncorps? this is what i wake up and i'm concerned about. this one is a disaster. you might look at the brazilian state oil companies and say, what's the big deal, the stock is down from 75 bucks a year ago to three and change. a sixth of pbr costs more than a share of pbr. but again, you're looking at the wrong part of the capital

structure. with $170 billion in debt, i'm worried. it gets harder and harder to pay at the riyal weakens against the dollar. volkswagen's inconceivable riddle rigging of emissions tests could cause our stock market to drop between 5 and 10%. i'm not making that up. that's what i believe. third area that was in favor of and is now loathed, biotech. for the longest time companies in this cohort were adored because of pricing power. that's now being called into question because the companies have been so aggressive in

raising prices. again, there's no thought being given for how important it is for these biotechs to make monies because they spend billions to make drugs, many of which fail. they've invented great products for small groups of people, which is something deemed positive when the congress passed orphan drug laws. now without that pricing power, you can't figure out how much these companies will be worth in the future. these stocks tend to be owned by hedge funds who sell them for fear that they can't ever get into the black. the bioteches are now in bear market territory. with today being the worst day in history for the group. none of the individual stocks can fight back. they don't have dividends, they're like zebras being chased by lions. they are just prey to the hunters. fourth are the companies that need a ready source of cheap debt to grow. many of these companies are

what's known as rollups, businesses that make acquisitions that are cheap because the federal reserve is keeping rates down. i'm not going to blame the fed for this denoument. nobody wants a shrinking role. that's not why you buy them. let me think about the collapse of specialty products. sun edison, down 64%. they need a constant source of debt to maintain their growth. that market, which carl icahn is most critical of, is giving them fits. i wish i could be more bullish. i can't. finally, this market dislikes companies that don't have much in the way of earnings and frowns on the companies that you keep emailing me or asking me about #jimcramer on twitter. general mills, conagra, i talk

about these companies all the time. it's just become a nightmare for the turbo charged stocks. they'll bounce back someday, but this is not their day. we have five kinds of once-loved stocks that are now hated, five problems that won't resolve themselves until we get lower prices or solutions or both. clay in arizona. clay? >> caller: hey, big chicago cubs booyah, jim. >> congratulations. booyah. >> caller: my question pertains to microsoft. in light of recent revelations that windows 10 is basically a black box recording your every move, and microsoft has signed a letter to congress supporting data sharing electricians, do you foresee users and ultimately investors punishing the stock? >> clay, i think that's too strong. microsoft has a lot of good things going, the cloud

business, the xbox business, a new iteration of microsoft regulatory utility. it's 16 times earnings. it could drop a multipoint. 39, 38, i would buy it no matter what the problem you just outlined are. i think that's realistic. let's go to hani in washington. >> caller: hi, dr. cramer, thank you for taking my call. dr. cramer, i'm just checking on abro pharmaceutical. i got in earlier this year. i just wanted to see your input on it. >> you have to understand, these stocks have fallen so out of favor. immunotherapy, there are about a half dozen of them. they're all going lower. anticholesterol, i could do the same thing, for migraine, for cancer, they're all going lower. they're not for the faint of heart. one day they will be good. this is not that day.

what was once loved is now hated. what we hate we now kind of sort of like until we get lower prices or fixes, that's the way it will be, people. this is why i keep warning you night after night on "mad money." we've got alcoa separation announcement, the brightest news we've had in this market. i'm sitting down with the ceo to talk about its plans for the split. and i'm telling you what's behind the bear market. and does gamestop have the will to win when it comes to the shorts? 44 percent of it sold surehort. stay with cramer. follow will he #jimcramer on twitter. send jim an e-mail to madmoney@cnbc.com or give us a call as 1-800-743-cnbc.

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i'm a gas service rep for pg&e in san jose.. as a gas service rep we are basically the ambassador of the company. we make the most contact with the customers on a daily basis. i work hand-in-hand with crews to make sure our gas pipes are safe. my wife and i are both from san jose. my kids and their friends live in this community. every time i go to a customer's house, their children could be friends with my children so it's important to me. one of the most rewarding parts of this job is after you help a customer, seeing a smile on their face. together, we're building a better california. we've got some stunning news out of alcoa.

it's in airplanes, automobiles, and residential construction. the ceo decided it's time to break the company up. the idea is simple. alcoa will split into two separate businesses. one being commodity metals and the other, high valued engineered products. the stock rallied 6%. it made sense to split off the lower cost aluminum. and historically i'm a big fan of breakups to unlock value. let's hear from klaus kleinfeld. welcome to "mad money." how would you answer the dichotomy between growth and

income? >> you and i have been talking publicly about those two value ends that were inside of alcoa. on the value that we've created, it has these attractive businesses catering to aerospace and automotive, titanium, nickel alloys, doing all this cool stuff. on the one hand you have this very cool upstream business that's extremely competitive. basically it stands on five legs, a competitive box side business, extremely competitive aluminum business. we unbundled the pricing from the aluminum side. we can use them internally. then it has value-add products. then a smelting business that we have reduced and resized and made more competitive. depending on what you want, you have two very attractive companies. both will be fortune 500

companies. we've basically got them to scale and strength. they are both competitive. they have a different profile. in future you have a choice between both of them. >> over the years we've known each other, you've been closing plants that, let's say, were expensive. you've been bulking up on the value side with acquisitions. this deal would not have been done unless you got ahead of the cost curve and made those acquisitions. a year ago you couldn't have done this deal. >> that's absolutely correct. there's a lot of parts we put in over time. some of those i just mentioned, the unbundling of alumina from the pricing of aluminum. 75% of ours sales go on this bases. enormously important change. another enormously important

change on the upstream side was using energy in a different way. in the past we thought about it like this. we had the energy source. can we sell the energy on the open market and get more proceeds than if we made metals with it? today we sell it on the open market and get more money from that. the upstream business stands on five very different businesses there that have their own streams of profit. and all are very good. >> i was with an aerospace executive today, and it's very clear that your company is now one of the largest producers of materials that go into every single aircraft, not unlike precision cast parts, which just got bought by warren buffett. what's the valuation of the high value added, which is a lot like precision cast parts, versus what buffett paid? what's the difference, the spread? >> well, i mean, now that you mentioned it, when this news

came through in august, it made me smile. you know how we have built out the aerospace business, howive been so positive on the aerospace business. we had organic growth with all the innovations, aluminum, lithium, we've expanded on that. then we made the acquisitions with rti, right? and we've done all this in the last 18 months. and then warren comes and buys pcc for a good sum of 37 billion, a company that has about 10 billion revenues. in the space, overlapping and comparing to the 10 billion, we have almost 6 billion there inside of this newly-formed future value add company. so the rest is pretty much math that you can make yourself. >> i've been pushing you to do this for years. you've always said the same thing, jim, until we get ahead of the curve, we won't do it. some people say you were pushed

on it. i think you've been working very hard to get to where you could do it. >> if there is one thing i'm pushed by, it's ourselves and our team and our approach to it. i mean, we've sat many times, we're going to do anything that is necessary to create the right value. and we'll manage to create these two value engines. the great thing about what has happened in the last year, we've built optionality, where both now have enough size and enough scale and are competitive so we can launch both of these vessels for a safer environment for our employs and customers and are more beneficial to our shareholders. when you have a company that's 120 years old, you have to think these things through and invent

and reinvent ourselves, otherwise alcoa wouldn't be here for such a long time. >> i know you have debt outstanding. the debt market has been hit. how do i know your preferred is protected in this kind of split? >> at this point in time, we have not fully determined the capital structure. one thing that we've said already today is we want the value of the company to be investment grade rated, and we want the upstream company to be on the upper end of noninvestment grade. that's all i can say at this point in time. the rest will get sorted out. we will obviously look after our bondholders as we will look after our customers and our employees and the shareholders. we look at the whole picture. but this is not yet fully sorted out other than the data points i gave you. >> fair enough. this is a bold move that i think is -- let's say not overdue but

at the correct time. great to see you, sir. >> thank you. this is how you bring out value. the company needed to do that now that both sides have been bulked up. remember, this is a very difficult market. but the stock was up, actually the only stock i've followed that's up. one company is trying to change the way you get treatment starting with your smartphone. teladoc is the first company to bring medical services to your mobile device. with more than 11 million members and a nearly perfect client satisfaction rate. despite happy customers, the stock is down about 30% since its ipo. can it still be your ticket to healthy gains? or should someone call the doctor? cramer's sitting down with the ceo, next.

nothing's more difficult to recognize than that one of the chief forces behind stocks doesn't have to do is stocks. it has to do with bonds, specifically high yield bonds, which carl icahn has been warning us about. we're seeing a wholesale slaughter in the bond market for companies trying to do deals.

if your company has debt, your stock is being punished and there's not much to be done except watch the carnage, wait it out, or take a loss. next in point, a logistics company whose ceo came here and talked about how his stock is doing badly. xpo is a vehicle used by the ceo to buy other companies in order to get growth or dominate an industry. xpo logistics recently announced the purchase of conway, a giant trucking company, for $2.7 billion, on top of another acquisition, this time another large one, the purchase of a european logistics company for 3.5 billion back in april. xpo has the borrowing capacity. it's getting money raised for an attractive rate. you would think this conway deal would be amazing given that conway is a terrific company, it's being bought at a price

appreciably below where it was trading just a year ago. however the market is punishing compani companies. despite the, i felt, a very good defense of the acquisition on our own show on friday. jacobs who is xpo's largest shareholder says this is the price shareholders have to pay for growth. but in this environment, a deal that would have been applauded a year ago and actually driven the stock much higher, this conway deal, is hated because the times have changed. so the stock is being pulverized. don't take xpo personally. the big drug company rollup, it came out today and said everything was fantastic. it got clobbered, 16.5%.

the huge slide in hedge funds that are in this, holy cow, how about platform specialty products? its ceo was on the show. he had a long term plan. this is down 55%, another 9% decline today. is it logical? i think if a company's future growth is going to rely on acquisitions, those acquisitions need debt. the window for cheap debt for these kind of roll-ups is closing. one company had to borrow at 9.75% last friday to get the money to finance the deal. that's just way too high an interest rate for most companies, one that's unrealistic to pay without risking default. we also had questions about sun edison. it was at 12, five weeks ago.

now at 7 bucks. it borrowed too much. stock is getting slaughtered. back to xpo, this company can cut costs, then it will be a fabulous buy. one day the stock will rail lly maybe rebound like crazy. right now xpo is in the vortex of what's hated. this market wants as little risk as possible. these kinds of debt finance deals are being viewed rightly or wrongly as being totally toxic. that day hone day they won't be. that day has yet to call. let's talk to mike in texas. >> caller: in reference to the news that equity transfer has agreed to acquire williams, is it likely shareholders will approve and if so do you think etp will remain an mlp and where do you see distributions given that they have a lot of signed

contracts? >> etp have said it's going to stay an mlp. they've said it's not going to do what morgan did. the whole acquisition has been a disaster. the williams company is owned by hedge funds. this company is loaned by hedge funds. the distribution is north of 10%, that doesn't matter, it's getting killed. i think this group will one day come back. etp beat the numbers gigantically and can raise its distribution. but nobody cares, mike. i've got to tell you, we're not buying any etp until it goes down another 10%, which frankly, sadly, will be likely. let's go to bob in new jersey. bob? >> caller: hey, jim. big fan of the show. my question is regarding swift transportation, s-w-f-t. they've announced a share repurchase. >> that guidance decline, bob,

was brutal. it came on the heels of the xpo of conway. the trucking business has gotten hard. i'm not fighting anymore, but raise rates. but can we please have one bit of input? business in this country is really slowing. that's what you can tell from a swift, which i've got to tell you is just not ownable right here. how about that? the market doesn't want any risk right now. and it doesn't want you to own any stock that has any hedge funds either. any kind of debt-financed deal is viewed as toxic. if you're company is involved, you're going to get slaughtered. sorry, don't take it personally. is gamestop's stock in trouble? stock is up 20% for the year. i'll sit down with the ceo and find out. then the doctor will see you now, online. a company trying to change the way you visit the clinic. stock is down 30% since its ipo. is the story behind this company

still healthy? stick with cramer.

in an environment like this one, it's ugly, you need to

become very good at seeing which stocks you need to avoid like the playing and which ones you can pick as they go cheaper. gamestop has been on fire since a month ago as the company continues diversification. then shares fell 8% in a single session after the company reported back on august 27th. what was wrong with gamestop's results? when you go through the actual quarter itself, numbers were very strong. nice top line and bottom line along with expanding margins. the company gave guidance for the next quarter that was regarded as being disappointing, trumping the good news. but it's sporting a 3% yield, still up 20% for the year. we have to wonder whether the guidance was simply management being conservative. paul raines is the ceo of gamestop. we have to hear more about how

the company is doing. mr. raines, welcome to "mad money." >> jim, great to be here, thank you. >> i know a lot of people are betting against the stock thinking all you are is a place to go get videogames. nobody does that anymore. >> right. right. it's unfortunate, but that's okay, because we believe in our story. jim, we've been around a long time. we'll continue to be very successful. we comped 8% last quarter, not a bad quarter. earnings were up 41%. gross margin expanded 110 basis points. our business is healthy. i would love to talk about any of the segments. our business is strong. unfortunately some investors have chosen to flee. they'll be back. >> let's talk about the idea of what you call loot, which is go i didn't realize was very powerful. we're going into "star wars," okay? what does gamestop have for "star wars" as a good example?

>> jim, we love loot, the collectibles category is a $20 billion category in the united states. we've studied it and understand it. it's very exciting. we've got a ton of" star wars" product. i hope you kept that yoda i sent you. i use it a lot. here's the sku you need, the bb 8 for this year. this is the kind of robot you need for your business. it's an exciting category. there are a multitude of skus, license being collectible products. this is a think geek store. we made that acquisition in the spring. we think the collectables business will be 200 to 250 million this year, 500 million by 2018. you can see behind me there's a lot of customers here at the florida mall in orlando. >> can you tell me what this company is going to look like a few years ago?

you made a series of acquisitions. people still regard it as the store in the mall where you go and buy the xbox, which is a really good business. but you've done cellphones. i need you to give people the full mosaic. >> jim, what we are is a portfolio, a family of diversified technology brands, making your favorite technology products simple and affordable. the reason we call it that is what we are trying to do is smooth out the cycles in video gaming. you brought out technology brands, our mobile and apple division. that business has gone from 70 stars to about 730 stores in only two years. that will be, you know, a dollar of eps by 2019. and it will be a billion dollars of revenue. that's an exciting business. we are a diversified company in that we bring to the consumer a lot of common things. we bring excellent store execution, which is great service, great inventory management, great real estate. we bring a loyalty program, 40

million members of power up rewards around the world, a great compelling program that overlaps across the board. we have a buy-sell-trade business. we have disciplined capital allocations. we have a lot of things that are very common across these retail formats. what we're trying to do is bring you technology products in different ways that leverages our knowledge of specialty retail, both online and in physical stores. >> how did you get 14 million royalty? how did you get that many? >> you know, jim, it's an interesting story, but we came here almost ten years ago, and one of the things that we've identified is that video gamers at that time were a very clan-ish group that really likes to be with authentic video gamers in-store. that's why we invest so much in education for our associates. we hit the market very hard with this launch of power-up rewards.

we were able to move rapidly. then we went to international markets and added about a third of that number internationally. we've been fortunate, it's a strong roll-out. if you think about think geek, that's the kind of business that people love. they have a very significant loyalty program of their own. they overlap with our customers. our mission is to promote to these customers at think geek and gamestop, products from the other markets. i have a guy who came in from fort lauderdale. that's an excited customer. we have to find ways to serve them and be authentic to compete with our big box and online competitors. it's working, jim. >> i don't want you to trump your own conference call, but you've got "call of duty," "halo 5." thinks could get lucky. the idea that you were so downbeat might be eclipsed by how much good stuff is going to

be coming out. >> there's a lot of good stuff coming, jim. and the fourth quarter, we'll see what the fourth quarter guidance looks like. as i said on the call, we've been told many times by investors, make sure you have set targets you can hit. we'll do that. that does not mean we can't drive hard and manage our business. you have to believe those comp numbers are pretty good. we'll continue to push forward. i think we'll be happy in the fourth quarter. >> that's why i know you've been buying back stock. paul raines, ceo of gamestop, thanks for coming on "mad money." >> thank you, jim, take care. set up guidance to be sure you can beat that guidance. that's what you want. this is a company, good dead, good buyback. it's the opposite of what's going down, okay? "mad money" is back after this. on squawk box, from cyber

security to mobile computing. the former ceo's vision for the future of technology. squawk box, tomorrow on cnbc. nlk about. that's where at&t can help. at at&t we monitor our network traffic so we can see things others can't. mitigating risks across your business. leaving you free to focus on what matters most.

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over. are you ready, skee-daddy? tom in virginia. tom? >> caller: jensen controls. >> this company has so much going for it. it has climate. very good air conditioning company. it's got a really good battery business. it's for sale because it's industrial. we won't be able to pull the trigger at this level. brady in florida. >> caller: booyah, jim. i'm calling about jacobs engineering. >> jacobs engineering is p perceived to be an energy stock. energy is in free fall. it's only down 18%. believe it or not, that's relatively strong. lynn in california. lynn? >> caller: hi. >> how are you doing? >> caller: good, how are you? >> i've seen better. what's up? >> caller: nice to meet you.

i'm new to investing. i hardly know what i'm doing. i have stocks in la jolla pharmaceuticals company. >> if you're new to investing, i think you have to start with a little less risk. i'm talking about a stock that's come down a lot that we like, like a bristol-myers, got hit very badly, or eli lily. la jolla is very risky. why? it doesn't have any earnings or ditch dividends. that's what determines risk profiles. ernie? >> caller: thanks for taking my call. i would appreciate information on the sherwin-williams company. >> if earnings matter, you would be buying sherwin-williams right here. but earnings don't seem to matter right now. i think it's a good company. bpg is at 84 down from 118, down 27%. it's very similar businesses. i would rather own bpg and accept the consequences that it's not coming down. jimmy in arizona.

>> caller: hey, jim. how about a lightning two-fer here? i put some money into superior energy and horizon pharmaceutical. >> these are very much the heart of what's mattering right now. verizon pharmaceuticals is believed to be a company that buys old drugs and raises price, people don't want that, that's what congress is worried about. superior energy, that's in the vortex of energy. i hate to be such a downer, but everyone knows i tell it like it is. it's my 11th year of the show. why should i be bullish just because i want people to feel better. no. i am concerned. not a buyer. sal in new jersey. >> caller: hi, jim. booyah. jim, i just want to say thank you for all your recommendations. you've paid for my portfolio many times over. >> we're being careful here. how can i help? >> white wave. >> reported a terrific quarter.

my fund owns it. it wouldn't surprise me if it finds a bottom not far from here. dave in illinois. >> caller: will this company be ignited by a single spot? rnce. >> wow. no. i mean, that is, again, one of these companies that even the big earnings, biotechs, are not holding up. they have to hold up first before you can buy that stock. that, ladies and gentlemen, is the conclusion of the lightning round. [ buzzer ] >> announcer: the lightning round is sponsored by td ameritrade. working 24/7 on mobile trader, rated #1 trading app in the app store. it lets you trade stocks, options, futures... even advanced orders. and it offers more charts than a lot of the other competitors do in desktop. you work so late. i guess you don't see your family very much? i see them all the time. did you finish your derivative pricing model, honey? for all the confidence you need. td ameritrade. you got this.

what do would he -- what do we do with fast growing companies like teladoc? it's the largest player in the incredibly disruptive field of tele-health. it's the country's number one purveyor of on-demand healthcare services on the internet. teladoc has 11.5 billion members. the company's revenue increased by 7 8% in its first quarter out of the gate. i feel like this is the kind of concept that would have been embraced in bull market. unfortunately we're firmly in bear territory now. we're up to $28.50 in its first

day of trading. ever since then the stock has been hammered. brutal session today, down 7.7%, but nothing happened. at some point it will fall to the level where it's too attractive to ignore. some people don't feel like there's a safety net. if you want to take some short term pain, you might snag a long term barring on a here. jason gorevic is the ceo of t l telad teladoc. welcome to "mad money." it is true, the market loves companies with super fast growth. the kind of growth you had, there are 50 million people. that growth can hold up for a long time. >> that's exactly right. we have a number of health plans, 20 health plans. we're just about 10 or 15% penetrated there. there's 50 million members of growth in our existing customer base.

>> earlier we had alcoa, that's a customer. did they contact you on behalf of the employees? >> exactly. just like any other employee benefit. why did they do that? we provide better access to care. we provide cost savings for the employer. better productivity because their employers are back in the office and not sitting in a waiting room somewhere. >> how about for a small businessperson who has to be covered by the affordable care act that might not have gotten it before? >> so exactly, we sell a lot through brokers into those small ends of the business. it's not too expensive for us to have a sales force calling directly on those small employers. we work through brokers. we also sell to the big health plans who embed our service in their fully insured plans, like aetna, for example. they do that, many, many states across the country. >> we've had doctor on demand, and they got a deal with cvs. but you got a deal with cvs. how do i distinguish which one i

might like more? >> cvs is trying a bunch of different things in multiple markets across the country. we'll have certain geographic areas where you'll only have teladoc available to you. we'll distribute through some of their digital properties. if we decide, one of our doctors decides you need to be seen in person, we can fast track you into a minute clinic. >> the government is really serious but cutting healthcare. what are they going to do about the medicare? is this the holy grail, if medicare goes for this? >> it would be great if medicare did that. we've had very good conversations at the white house, at hhs. i think it's definitely gone in that direction. they've already said they're willing to pay for chronic care management remotely, via tele-health encounter. i think it's a matter of time until they agree they're going to agree to pay for acute care, episodic care, instead of one running to the emergency room.

>> how many different visits have you calculated would be solved by teladoc versus going to the emergency room or your primary care physician? >> obviously it's an immense market. there are about a billion and a quarter ambulatory care visits every year. and we estimate that about a third of those can be handled by teladoc. that's over 400 million visits. that makes for a $17 billion addressable market for us. >> so there's a republican debate coming up. i kind of feel like i want to ask these people, what's your feeling on teladoc? do you think they even know? >> well, it's growing incredibly quickly, right? if you look at our last couple of years, we grew by 100% in 2013, 120% in '14. the adoption rate is clearly rapidly increasing. we're still early on that adoption curve. >> this is like when people say, oh, the healthcare budget. this is a way to cut it down. >> it's true. i've been in healthcare for over 20 years. i ran a health plan.

you never come across something that's a win-win-win, a win for payers, employers, and consumers, and doctors. this is good politics as well as good business. >> i'm asking everyone, you can't look at the stock price. it's been decided your kind of company is not necessarily what suits people. at the same time, if you just keep blocking and tackling, it's only a matter of time when you want to be profitabilile, becau you can be profitable. >> that's exactly item. there's a huge market out there. it makes sense for us to invest to tackle that market. we've said publicly we see a path to profitability by 2017. we're firmly committed to that. in the meantime, you show me another company that's putting up the kind of growth, the kind of gross margin, and has the big addressable market like we do. >> i don't have one. that's jason gorevic, the president and ceo of teladoc.

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