i think you sell it here. look to kensho's 50-day moving average. that is about 5002. >> welcome back, sister. this allergan story ain't over. 5:00. "mad money" 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. my job is to help you find it. "mad money" starts now. hey, i'm cramer. welcome to "mad money." welcome to cramerica. other people want to make friends. i'm just trying to save you money. my job isn't just to entertain but to educate and teach you. call me at 1-800-743-cnbc. or tweet me @jimcramer. how do you price in disappointment? how does the market decide whether some companies' weak results have pin action?

meaning their indicative of some broader trend and the whole sector has to be avoided. or maybe it's one off. that's what's confounding people today. the dow dropped 24 points. nasdaq down .42 points. we'll start out with a company that has a reputation for consistency. buffalo wild wings. this has been one of the best performers of the year. a month ago they were trading at 207. today it fell a staggering $32. more than 17% single session. what went wrong with buffalo wild wings? what didn't go wrong? same-store sales usually the key metric, showed a dramatic deceleration with franchise

restaurants seeing a small increase. the quarter to date, they've only generated 2.8% increase in sales. analyses were expecting a 5.5% increase. guidance went from 13% to single digits. wage pressures resulted in an ugly set of numbers. so what does this weakness in buffalo wild wings portend for the rest of the group? we saw some serious pin action. every restaurant chain got hammered. the garden, olive garden, was down. equity, parent of ihop and applebee's, fell. panera bread got obliterated. the already beaten down chipotle

sank. now we have to ask, is this sell-off justified? is it right? first, unlike other restaurants, except for chipotle, buffalo wild wings wasn't priced for perfection. it's possible the whole blow-up was a monetary pause. we get a ball game like broncos and packers on nbc, that could boost buffalo wild wing's numbers, especially if the mets make a comeback in the world series after kansas city. then again, you come back to labor costs, insurance costs, food costs. these are across the board issues facing all restaurants with t. the disappointment makes some sense. making these more palpable, two

chains got dinged today. mcdonald's and domino's. domino's has a monstrous $800 million buyback. domino's is the antithesis of the typical restaurant stock because it takes franchise fees. these costs are borne by the franchises. buffalo wild wings has higher cost, lower customer count. in other words, stay away. the saving grace, as these restaurant stocks come down, they get cheaper. i'm inclined to wait three or four days to get the lay of the land. i'll be speaking to howard schultz tomorrow morning on "squawk on the street." that company reported what looked to be a disappointing quarter but we can't opine until we sit down and listen to the conference call. then there's the case of nxp semiconductors, nxi on the

sticker. honestly, it gave horrible guidance. including this curious verbiage. the company has seen, and i increased, increased and significant degree of uncertainty, unquote, including, quote, lower than planned sell-through and higher channel inventory. translation: prices have to be slashed across the board for their semis. that's why the stock plunged $18. nxp semioften gets lumped into avago, who supplies chips to the same customers. maybe it's not as across the board. nxp semi has plenty of exposure. and it's fear field communication chips that enable mobile applications. apple just told us cellphones are incredibly strong and the inventories are lean.

apple was so positive, i think apple has real leg. but my take here is there should be no pin action. nxp's issues may have more to do with nxp and the particular kind of chip they have that goes in apple's mobile pay initiative. few others in this space have that. especially given what we've heard from the chip companies i follow, we do want to buy this group, and not sell it. although avago and skyworks i do believe are too risky for the moment because they're expensive. texas instruments is much more my cup of tea because they have less expensive valuations. i would avoid the chip maker for go pro. they admitted their new product is a bust and go pro's management said they got complacent. why don't we ask the ceo of chip

supplier and superstar avnet? but i've got to tell you, nxp's problems, i think they're nxp's problems. finally, there's delphi, an auto parts maker who severely disappointed wall street. lear, another auto parts maker, is flying high. ford and general motors just report reported, and it becomes a buy too. for me, there's no automobile slowdown. sherman williams, the paint company, give you very good numbers, good for the likes of home depot and fortune brands. even if their stocks didn't really benefit today, i would buy any of those. the market happily embraced the

companies known as f.a.n.g., they remain the best ways to showcase cloud and artificial intelligence. netflix has been repairing itself. facebook keeps going higher. and because of that it became a too large a part of the portfolio, a good stock to trim ahead of earnings. without a spectacular quarter, you can expect a sell-off. let's circumstantial back to apple. so many people told me in the last 72 hours that there's just no way apple can keep going higher, no matter what it reports. that was wrong. when you see so many millions of iphones sold at dramatically higher than expected selling prices, the all-time high could come back into play. i want you to own apple, not trade it. however, let's hope this is the last quarter where the analyst community try to get more of a

read on apple from what its suppliers are saying, because that really led you astray. if you want to play apple, stop playing apple. invest in the darn thing. trying to figure out pin action is harder than going to the bowling alley. not every company gets slammed along with the rest of the sector. once you identify those resilient names, you get a chance to buy high quality stocks at discount prices because someone drilled a lucky strike. brad in california? >> caller: booyah, jim. >> booyah. >> caller: my question is about l.i.i., lennox international. over the last few years they've tripled their footprint. they have exclusive relationships with big box scores like costco and do business with homemakers. they're up to 130 today.

are they a growth play, a value play? >> it is the fastest growing member of of the hvac community. i didn't know they had -- united technologies, okay. honeywell, okay. these guys are the pure play. you're onto something. i wish i had been onto it earlier. sometimes you have to own the fact that you didn't get it early enough. will in california. >> caller: booyah from san clemente, jim. >> oh, man. i can't talk about it. >> caller: okay. a few months ago i spoke to you about re-vance therapeutics. today they announced very positive results comparing their injectable medication with botox. keeping in mind that the cfo, a

strong biotech m&a background, including a stint with allergan, what do you think? >> i saw that and immediately said, oh, boy, allergan will be -- wait a second, they're in talks with pfizer. that was really a good study. i believe that is too small a company, that something goodwill happen. i felt even up 5 today, up 10, now you can wait for pullback. chris in texas. >> caller: booyah, jim. and a booyah to your professional staff. my stock is mrkt. i would like to know your thoughts. >> this is an extremely well-run financial service company. when i saw that intera aactive a bid, i said to myself, market, which came public not that along ago, that would be a terrific acquisition for another company. kathleen in new york. >> caller: great job last night by you and the panel at the

republican presidential debate. >> thank you. >> caller: sell or hold? >> i have to do more work. this is so over the map and issues so many press releases. let me come back on this. i'm not up to date enough at this very moment to give you the right call. it's not easy to determine whether pin action makes sense or not. but sometimes it will give you a chance to buy stocks at a bargain price at a lucky strike. "mad money" tonight. there's been a huge disparate in the semiconductor space. i'm sitting down with the ceo of a company to help us answer some of the conundrums. i'll explain. and speaking of bears, animal health has become an incredible theme. one of the major players in the space has stalled here. could it be a buying opportunity? why don't you stick with cramer!

second of "mad money." >> announcer: lightning round is sponsored by td ameritrade.

avnet is the number one distributor of electronic components including semiconductors as well as being one of the largest suppliers of technology hardware, software and services. they had higher than expected sales that increased 2.6% over the previous quarter. the stock barely budged. a pretty good quarter. let's check in with rick hamada.

>> all i can tell you, jim, is we did very well on the component side of the house. our computer business in europe has two quarters of sustained momentum behind it. overall the european market is being underestimated on how strong it is for the industrial sector. >> is it possible it underinvested because it was much later coming out of the recession? >> we thought the fresh cycle for technology was delayed due to the last downturn to. that's what we're seeing today. on the component side of the business, a lot of concentration for us in the central region like germany. >> in other words, you're one of the people in an anomalous

situation. a stronger dollar has helped your customers because the weaker euros lead them to export more. but the translation is not that great for you. >> that is absolutely right. the european markets have become more competitive on the global stage but it translates to less calories when we get back to the u.s. financial statements. >> i'm looking at the transformation you talk about. it's the social, it's mobility, it's big data, analytics, and cloud. no let-up, continuing strengthening the internet of things, the semiconductor market? >> absolutely, jim, technology is still a great place to be. all these forces of change are creating wonderful new opportunities to help solve some of these problems and extend digital platforms for businesses. put me in the camp that says all businesses today are digital businesses. how do you create value for your customers and suppliers, how do you gain more efficiencies out of your supply chain overall?

we're seeing it play out across the broad base of customers that we have the honor of serving. >> in the intel quarter, there is a kind of bottom going on in pcs. the new pcs have a lot of power to it. are you willing to say that maybe pcs have bottomed, even though it's been a secular downturn? >> jim, i always stay away from calling bottoms. for the portion of the business in the component space, we do see some resources assigned to that business. >> you would be the early guy. you would be the first guy to be able to see that, certainly the pc companies wouldn't, though. >> i tell you, i think we're more coincident with what's going on in the industry as opposed to in front or behind it.

>> rick, i was thrown off today. a company i really like, i'm not asking you to give up any sensitivities, but the internet of things, automotive, near field which i love, they gave really, i'm going to say it, horrendous guidance. what would a company that is playing in what is basically the mobile, social, and cloud business see on the horizon that would be so bad? >> jim, i haven't read all the commentary there. i know they know their markets very well overall. generally when i hear of major disconnects from one of our key suppliers, my first suspicion is always that there's something going on at the top of the triangle, in that direct customer space. that distribution, by the way, generally doesn't have visibility. there's something going on at the top of their customer triangle with some kind of

change or shift or some type of technology, something going on that's causing disruption from them from an overall direct perspective. so it's not uncommon for that to happen. and as you said, i certainly don't want to speak for any of my suppliers. that's usually my first suspicion. what's going on in the direct space versus the broad base that we serve. >> asia, particularly, again, i know it's become a common pattern, asia just is not that good. now, this is the fastest growing region in the world. >> you're absolutely right, our evening scorecard said europe was the strongest, asia was at the bottom of the list. it was more a question of slowing down as opposed to a shift from positive to negative overall. we also staged some inventory getting ready for this december quarter in anticipation of some supply chain engagements that we are planning on for this particular quarter. and it was baked into the

guidance we laid out which is very much in line for what we would expect to be normal seasonality. >> the cheapest investment is in your own stock right now, not any other little company to buy? >> jim, we view it as an investment, that's exactly how we phrase it. we've always tried to communicate clear and consistent capital allocation priorities. when we've said we believe our own equity is a very good investment, we'll step up and do it. and we did it last quarter. >> you're buying back 5% of the company. that's a real statement. i've seen when you've not been in the market at all. >> we are very disciplined. we still have over 400 million in authorization outstanding at this point. >> i think this is a great buy situation. i know i'm ahead of a lot of other people on this. i could be wrong. when i listen to you, to intel,

texas instruments, i'm feeling much more upbeat about the group. rick hamada, thank you, sir. >> thank you. >> i want you in some technology. that's avnet. "mad money" is back after the break. >> announcer: coming up, a bear market has swiped down its share of victims. is there a herd of bulls stampeding their way into the limelight? cramer is revealing the stocks standing up to the attacks, next.

we've got roving bear markets all over the place these days. the bears maul healthcare, then go after the international industrials, then the restaurants. the averages may be having a great month, today's pullback notwithstanding, but underneath, there's plenty of pain. who has proven immune? the bears ram paged during this period. where can we find some solid bull markets that can trample over any bear that comes into range? i've got two obvious bulls. auto parts stores and defense stocks. come on, they're big enough for everybody. o'reilly automotive is the most

consistent player in the industry. every time it happens, analysts are still blown away. that's what occurred today today. the stock gaining more than $12 or nearly 5%. it's truly amazing that nearly every major auto parts dealer is trading at its 52-week high. that is very rare. most retailers don't trade together like this. the auto parts have two secular tail winds bolstering their sales. the high priced huge debt load you have to deal with when you order or buy a new car, i don't know if you've shopped for one lately, holy cow! just how positive are these tail winds? here's a company that's been serial buyer of its own stock, it now has 31 million shares. the management recognizes the tail winds. it's certainly profiting for them. the best investment they have is their own stock.

you know, how to gauge the and encompassing fill os -- philosophy? it's pep boys. a long underperforming chain based in my hometown of philadelphia. pep boys had been a real dog, that is until this week when bridgestone paid a hefty premium to acquire this chain. added to bridgestone's stores, voila, 3,000 stores. when it gets that kind of takeover bid, you know you're looking at a strong sect. the other raging bull, defense. an incredible group, one that is continually overlooked even though it's riding a powerful demand. now that the united states is no longer the world's policeman while russia and iran are throwing their weight around. the rap against defense contractors was that thing called the sequester.

but now it's over. nearly all the candidates running for president want to spend more money on defense. and the budget limitations are finished. northrop grumman won a gigantic contract to build the next generation bomber. i can't believe they're still building b-52s. i had never seen this before. when northrop won, it vaulted. fort worth boeing nor lockheed martin gave up much of the gains they had, because these companies are truly lean mean fighting machines. bears need not apply unless they want to be stampeded underfoot by buyers. kimberly in california. >> caller: hi, jim! i'm hoping you can help us home gamers out and explain to us what is going on with general

dynam dynamics. i thought they had a good earnings call. why is the stock trading lower? >> let's give it its due. a week ago the stock was at 141. now it's 149. that's called opportunity. i think that general dynamics quarter was driven. was it as good as lock heed martin's? i would argue better. probably not as strong as raytheon. i like lockheed martin. amare in texas. >> caller: 22-year investor here. the announcement report was pretty decent. i want to know whether jetblue has some growth. >> i thought jetblue was good. i thought delta was better. i thought southwest was best. i think you have to put those

all together and understand that jetblue at 25 is not as good as delta right now. got it call it as i see it. jetblue's quarter was good. but i would swap in delta. sure, the averages don't look bad at the top. but the truth is the bears are feasting all over the place. it's my job to find you a bull market wherever it is. right now, auto parts and defense stocks are in bullish mode. much more "mad money" ahead. did you know that it's national cat day? we're celebrating on "mad money." why not? i have some pets you need to know about. plus one way to keep your money climbing year after year. does your portfolio pass the test? and are you ready, ski daddy, for the lightning round? stick with cramer!

we know the whole human healthcare cohort has been taken to the cleaners over the last six weeks or so. what about animal health? idexx is the world's leader in diagnostic tools for animals, all kinds of instruments, and associated consumables, as well as providing outside reference lab services. over the summer the company just rolled out a revolutionary diagnostic system that can detect kidney disease in cats or dogs many months or years earlier than standard care. they say this could be the most significant veterinary invention in 30 years.

they sell customer information management systems for veterinary clinics. they also sell diagnostic tests for livestock poultry. this stock was hanging in there pretty nicely. but then idexx reported on wednesday morning. wall street found it disappearing. even though they beat estimates by a penny, the killer was management's guidance, weaker than expected. that's why idexx lost some value yesterday, plunging from 76 to 69. of course the stock started bouncing back today. i have to wonder if idexx has been punished enough, maybe unfairly. jonathan ayers is the company's ceo. good to see you. >> great to be back. >> i think over the quarter closely. other than a minor tweak with brazil and a little bit about europe, i thought that it was not that bad.

and i'm always kind of asking for a do-over. it didn't seem like the reaction was in keeping with the quarter. >> no, i think we had a very strong operational quarter. all of our strategies to bring innovation to veterinary medicine are on track. it was really about a currency issue. >> to me, i saw you wrote moderated market growth trends in europe. and i was thinking, are the vets not spending on equipment in europe? that can't be. >> in fact we had great instrument placements there. but a little tick down in rate of visit. >> who doesn't bring their pet in regularly? honestly, was that some sort of fluke? >> people love their pets in germany as much as in the u.s. >> do you follow cute cats on twitter. >> i do. >> isn't it cool? >> cats rule the internet. >> every time slams me, a troll,

i send them a picture of a cute cat. and it's national cat day. >> it's great to be here on national cat day. i have four cats myself. i'm a cat person. cats need to go to the vet too, just like dogs and humans. >> then tell me about this new machine. >> kidney disease is a really important category. kidney disease is to cats and dogs like heart disease is to humans. and so we've launched a revolutionary new test. we think it's the most revolutionary diagnostic in the last 30 years. it's an early screen for kidney disease to determine before it becomes apparent by regular methods -- >> what do they have if a cat has kidney disease? can something save it? >> you can change their diet, change the amount of fluids. if you catch it early, the cat or dog has a chance of living a long, normal life. >> you're a veterinary

franchise, 6% growth. do you need all your divisions? >> we're an animal health diagnostics company. the water is microbiology diagnostic. it's the same core technologies around the world. we do 80% of the industry r&d. we've launched virtually every novel test in diagnostics in the last 30 years in animal health. we've launched more tests in the last five years in animal health. it's really -- we're quite an innovation machine. it's a just a great case in point. >> sometimes when i read about this, i don't have pet insurance, are some of these things too expensive for the average customer? >> there is pet insurance available. there are wellness plans available. but really, the amount of medicine you get for your dollar

in veterinary medicine is extraordinary in relation to human medicine. people love their pets. so they're generally -- you know, the big issue we have is pet owners really being fully informed of the value of pet healthcare and what impact they can have on the longevity and health of their pets. >> my dog bug was just diagnosed, i kid you not, with a torn acl, on the pup list, won't play for another year. are there things we're discovering about dogs and cats, they have injuries that you all have machines for? i mean, certainly we're like humans when it comes to some of this. >> yes, i think we treat our dogs and cats like humans. in fact, we're innovating in veterinary medicine in a way that will come to human medicine. humans get kidney disease too. we really launched this test, and humans are mammals just like dogs and cats, but we launch tests, and the way we launch them is interesting, jim, we

automatically include them in all chemistry testing at no charge. >> that's why i love your business. >> it was a vertical adoption curve. never before in the history of veterinary medicine had a test been adopted by 40% of the market. >> that's why i love your business. there's nobody coming in against you. that's jonathan ayers, chairman of idexx. this is really the only vet company that i trust. "mad money" is back after the break. (vo) what does the world run on? it runs on optimism. it's what sparks ideas. moves the world forward. invest with those who see the world as unstoppable. who have the curiosity to look beyond the expected and the conviction to be in it for the long term.

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make benefits simple and accessible... from anywhere. hula dancing? cliff jumping! human resources can work better. with xerox. it is time. it is time for the lightning round. >> it is time. it is time for the lightning round. you say the name of the stock. i don't know the calls or the name of the stock ahead of time. i tell you whether to buy or sell. when you hear this sound -- [ buzzer ] -- then the lightning round is over. are you ready, skee-daddy? that, ladies and gentlemen, is the conclusion of the lightning round. i'm a yield guy when it comes to

telco. that will put me square into verizon if i want a little growth. t-mobile i think got oversold when they reported. let's go to buzzy in maryland. buzzy? >> caller: booyah to you, jim. thank you for all you do for us little guys. >> i appreciate it. >> caller: i'm into sierra wireless at about 28. should i stay or should i go? >> i don't know. this internet of things, it's been heavy, but i think sierra wireless is good. there's so misdemeanor consolidation. i would hold on to it. kevin in minnesota. >> caller: dr. cramer, i want to know if you think there is room in the club for the club provider rackspace. >> maybe this quarter it can pull it out. this thing has just been reeking at this point. robert in california.

>> caller: a booyah to you. wtw, buy, sell, hold? >> it's had a big move because of affiliation with oprah. i think it's time to take the game. just take the game. let's go to brian in arizona, please. >> caller: in the spirit of halloween, boo-yah! >> very scary booyah. >> novavax? >> they are doing much better than the stock indicates. i say buy. key in florida. i know it's not getting any respect. i want to stick with it. how about roger in california? roger? >> caller: yes. >> you're up, roger.

>> caller: i would like to know about aac holdings. >> i can't opine on it. i don't know it well enough. don't know it. let's go to tony in connecticut. >> caller: jim, happy halloween, big booyah to you. >> i like aerospace, but i'm going to go boeing. i'll stick my head in the lion's den. i would go alcoa at $8. clark in florida. >> caller: big booyah out to you, jim, from our fellow february 1955 baby boomers. >> we rule. go ahead. what happened to clark? what happened to my fellow baby boomer clark?

i'll say it's okay. speculation, given your age, it's the same as around my age, i don't know how much you want to speculate. dig in virginia, please. >> jim, on the cyber security, they missed their earnings. >> the guidance was weak. and that's why i think palo alto. fortnet was surprisingly weak guidance. i understand the desire to play it. that is the conclusion of the lightning round. [ buzzer ] >> announcer: the lightning round is sponsored by td ameritrade. what are you working on? let me show you. okay. our thinkorswim trading platform aggregates all the options data you need in one place that lets you visualize that information for any options series.

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all right, cramericans. it's time to play "am i diversified." if you're overindulging in one sector of the market, won't let that happen. why don't we get started with a tweet, which is, #jimcramer, am i diversified? visa, disney, wells fargo,

paypal, and wing stop. no. okay. here's the deal. oh, wow. okay. visa and paypal, visa is better than paypal, to be candid. these are both card companies. one is in kind of a different form. we absolutely have to get rid of one. this is tough for me. my travel trust owns this and i like visa. i'll let this be your choice. restaurant, entertainment, bank, i'm okay, but you have to get rid of one of these two. let's go to honey in washington, dc. honey? >> caller: thanks for taking my call. what's going on? i had amazon, netflix, starbucks. am i diversified? >> after tonight's earnings, let

me look at this. okay. this is problematic because we've got facebook and amazon. many would say those are the same. i think that's ridiculous. this is a retailer and this is a social mobile cloud play. retailer with social, mobile, and cloud implications. i'll go with that. netflix, same deal. are these diversified? they all trade together, but they really don't. they just happen to be trading up right now. i think that when i went through the quarter, i feel confident that many of the countries that are balking will pay, not balking, on the fence. starbucks, a quarter widely regarded as disappointing, but we could hear more. restaurant, entertainment, retail, drug, and social internet. i'm going to bless it, even as i know some people would say hey, those trade too often together. i know otherwise. why don't we go to john in california. john? >> caller: booyah, jim, from sack are mento. >> you know i'm a 10th and p

guy. i love sacramento. >> caller: good job last night, i think you have "meet the press" written all over you. >> chuck todd is a friend of mine, so that's terrific. >> caller: all right, buddy. i have berkshire b, at&t, cvs, cx, and cvx chevron. >> wow you have a lot of stocks that sound like over here. cvs health reports tomorrow. i happen to like the drugstore group right now. chevron reports tomorrow. you have a big day tomorrow. 4.9% yield. i think the yield is safe but that's too much emphasis on yield. berk share hatshire hathaway, w that. cement company, telco,

drugstore, conglomerate, oil and gas, i'm blessing that thing big time. we're not done. we're going to craig in maryland. >> caller: jim, thank you so much for all your help. >> quite welcome. >> i have schlumberger, etp, sellgene, target, and ge. am i diversified enough? >> all right. okay. target, i like their holiday plans. ge is the best performing industrial in the stock market right now. sellgene, that's terrific, always welcome on the show. schlumberger, no, you need one or the other. these do trade together. you have to, again, make the decision about whether having one or the other. but i will tell you that i need you to own a defense company if you don't own one, if you sell one of those. and i want to thank all our

guests. remember, you cannot own two oils in this environment. that would be the kiss of death. stick with cramer. cramer, you are super. you are awesome. >> thank you for inspiring me. >> i'm so glad you are on tv. >> you have transformed me. thank you, cramer. try the superior hold... ...of fixodent plus adhesives. they help your denture hold strong more like natural teeth. and you can eat even tough food. fixodent. strong more like natural teeth. fixodent and forget it.

i can't tell you how many times starbucks has reported the time that we're doing the show, and the stock is trading down with numbers that people say are subpar. i'll be talking to howard schultz tomorrow morning on "squawk on the street." that's when we'll get the real story. allergan and pfizer, are they going to merge? allergan is too cheap and too low. valiant, lots of problems with one particular distributor. i still say valiant is too difficult for you to own. there's always a bull market somewhere and i promise to find it for you right here at "mad money." i'm jim cramer. see you to them. -- tomorrow.

[tires screeching] >> flags are up. [screaming] >> hi, i'm jay leno. all: hi, jay. >> hi, everybody. how you doing? and this is a show about cars. it's fun to drive cars that are really different. >> this one's a death trap. >> oh, i see, because-- >> because it's dangerous to ride. >> and motorcycles, and well, anything that rolls... like driving a two-story building. oh, my god, strong as an ox! explodes... i love the smell of napalm in theorning. yeah! or makes noise. >> you ever run a dragster? >> no, i haven't. [engine revving] this is "jay leno's garage." >> start your engine. [wailing]