money" history. amazing, right? >> good minnesota company, pedro talked to me about it before, target. got to hold this 65 level. >> that will get you done. >> all right. i'm melissa lee. thank you so much for watching. see you back here tomorrow at 5:00 for more "fast." in the . my nation is simple, to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere and i promise to help you find it. "mad money" starts now. hey, i'm cramer. welcome to "mad money." welcome to cramerica. other people want it make friends, i'm just trying to save you money. my job, not just to entertain but to teach and educate. so call me. or tweet me. @jimcramer. >> something has to go right or we will stuck with days like today, with rumors of a twitter

takeover over apple's run can send stocks higher. everything else is for sale with the dow falling 200 points. s&p plunging 2.4%. nasdaq down 1. 5%. no new money coming in. just slashing all over the place. on a day like today, nothing to slosh into. least today there is mar reeves market.t reeves market.h reeves markea reeves market. let's start with the drug stocks. today they simply took your breath away. how can they fall from 101 down to 73 despite making on its

hepatitis c? ? despite having so many irons in the fire, how can regeneron, the stock is down now to 38 of. nothing happened than sales were more fabulous than we thought. i almost hesitate it answer this question because it touched on the third rail. there is a growing believe that republicans can lose the house and senate because of issues at the top of the ticket. if that's the case and we do get a democratic wave, then the democratic bite could be as bad as her bark when it comes to controlling drug price. the market is screaming that it won't pay as much for drug stocks as it would before when it seemed like the upcoming elections would leave us with the divide in government because the uncertainty and consequences could be too great.

given that republicans will still be able to filibuster the senate even if they lose majority, this does seem like an extreme reaction to me. but i understand the senate. we could go from a situation where a president has a bully pulpit to where where she has the power to bully a whole industry. regardless of realities, you can't feel comfortable buying the drug stocks on the way down until after the election. now this happens to be a new reality post the infamous videotape that i hate to describe. it is a price to earnings for everything forward. and all that i heard about, many institutions are chatting about it. it doesn't help that i lumina, which makes medical instruments, supported a massive shortfall last night. stock dropping, causing tremendous angst. did you see those? folding battery situation and the soon to be part by st. jude is even worse. that device group is hideous.

i always say that you can judge the industrials by what alcoa has to say. and because it reports first. well if you judge by alcoa, wow, then this earning season, you're seeing a pretty serious slow down in most every single industrial market save orders with heavy trucks and aerospace really getting hammered. this morning i spoke with c ceo claus, spin off making aerospace parts and he was calling them teething issues. he said three times it was teething issues given the slow down in orders though people have to wonder whether it is really teething or whether you have your teeth knocked out. by the industrials. the reverberationes from alcoa down guidance fell across the board. a lot of bad action. aerospace related companies,

honeywell, eaton, united, all selling. so many times like today we fall to somewhere else. fall of dubai. they do a ton of business overcents a dollar is too strong as of late that could hurt their earnings. doesn't do much difference when interest rates are going higher as they have been. 3% yield is a safe haven. what about the banks? huge group. they start reporting this week. and we didn't get a rate hike this quarter. even as fed heads, yammering about an imminent one, that means banks can be as bullish about their quarters. stocks look cheap but that's not enough for the gigantic root. same thing with utilities. you don't want it own them when interest rates are going higher. too much competition from risk free instruments really hurts that cause. the oils, they need the price of oil of crude to go up everyday in order to rally. tomorrow we might see a big inventory draw down and in interim you can't buy stocks in oil loses momentum.

retail is tough. so are restaurants. consumers spending as much as three months ago. and no one found out why. it is really a quandary which brings us to tech. i do like tech. i like it a lot pf facebook amazon netflix google. let's stop it with the alpha bet already. but in a sell-off they generally don't work the first day. you have to wait for things to calm down before you pick at them. if only because they run so much. can you buy small but not large tomorrow. these moves are very j exaggerated. i continue to like the stock of pretty much any company that tries to dominate the social mobile cloud internet of things, artificial intelligence, augmented reality or virtual reality spaces. opening our eyes to still more of the future in some important things last week that it revealed at dream force. twitter stock over 7 point from

where it was last week. but much more has it happen before gop can occur. well we low 29 which has a descent ring compared to twitter at 24. not so much at 18. and having to find a deep-pocket partner. none of that may be possible. one area we know you can't gravitate to is cybersecurity stocks. a very good company, we spoke to prove point and palo alto last week and they sounded stroke those stocks will be crushed right along with fort net. with every tough day comes a silver lining. while there is nowhere to republican or hirun or hide, tech gives you the most for the bounce back buck. important to not be too big of a slave because with the s&p selling off badly with three-week low you think who the heck needs this. the answer, someone who want to make money a little longer term.

that's who. gary in michigan. gary? >> caller: dr. jim. i saw your show on technicals a few weeks ago. thank you for that and all of the other nice things you've done all the way back to cuddle and cramer man. i've got your back. >> thank you so much. i've got your back and you've got mine. what's up? >> caller: is this heavy shoulder bad the last six months or what? along with the crude and oils and expecting prices hopefully much lower. given that scenario who is a long term point and i'm thinking 40 bucks. what do you think jimmy, help me out. >> first of all, thank you for the kind words. i'm an royal dutch fan. i do prefer in the large and majors. i prefer chevron. this yields 7% though. i don't want to get in the way of that. absolutely committed to that dividend. with oil proclaiming at 50, i think they could be good for it. i don't want to touch it either

way. i'm a fundamentalist and i'm not crazy about that stock. dave in illinois. dave? >> caller: jim, retail space is unquestionably challenging as e-giant amazon continues to gain market share. walmart add bad week on disappointing forecast citing more work is needed on their rebuilding. recently walmart acquired on-line retailer jet.com, added to their investment in alibaba competitor and is competing with india's largest retailer, flip cart. i see important buildings ploks for future success. how do you see it? >> i see it just the way do you, dave. i'm not afraid of owning walmart. once it breaches 3% yield level, and i wasn't at all deterred about their quarter, spending for the future, that's what you need to do. by the way, if you want to know the truth, if amazon comes down for two more days people will want it pounce on that one.

nowhere to run, nowhere to hide. the market theme of the day. after big decline, keep your eyes out for even bigger opportunity. on "mad money" tonight, disney, starbucks, general election may not seem to have that much in common. but charts are saying something else. i will tell what you impact the stocks are having on the oversul market when i tackle the technicals. good news samsung is ending its relationship with the 7, lighting on fire. and a generational struggle going down and founder of the ride sharing startup reaping the rewards. don't miss my exclusive with the founder of lift. so stick with cramer. >> don't miss a second of "mad money." follow @jimcramer on twitter. have a question? tweet cramer. #madtweets. send jim and e-mail to cnbc.com. or give us a call.

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rough day for the

averageetses. i always think it is good to get a deeper sense of what could be ailing this market. and not just alcoa. the price of oil just went down. but deeper issues that could be lurking under the surface. that's why tonight we're going off the charts of robert marino. he happens to be my colleague at real money.com as well as publisher. he is furious about why the bulls might be losing traction. one of the worst days for the s&p. we have it look at this stuff. marino points out over the course of 2016 a bunch of high profile leaders seem to have fallen out of favor across a wide variety of sectors. every one we will cover. that's not a good thing for the market. even though this is a good year for stocks, marino point out that once beloved stocks like general electric, under armour, disney, starbucks, are all underperformers and all four

names are learning what it feels like to be a lose per. what makes this worse is that marino fears that continued weakness in household name stocks could weigh on the entire market. why don't we start with one that everybody knows. let's start with disney. this is a weekly clart. this one years was one of the most consistent around. stocks steadily go up in practically a straight line. from october 2011 to october 2015 disney stock price more than tripled and only outperforming s&p 500 for 52% during period. since it peaked rough lay year ago, disney lagged the s&p by roughly 31%. that's what marino means when he talks about leader becoming laggers. in disney's case wbt stock was taken out just back of shy. after people worried about a slow down in the growth of espn. you can see what went wrong. after going steadily higher for ages, increased volatility last

year, with stock oscillating around the 200-day moving average, that's the blue line, which marino says is a sign of conflict between buyers and sellers. but sellers want out and at the beginning of 2016, well, the stock broke down from its uptrend line. underneath its 40-week moving average, every time the stock needs to get lift, it runs right into the ceiling of resistance, here we go. and that was a ceiling just as the key won't move the average and comes right back down. and you think it is stablizing. look at this, marino points out that superior stock trades in a tight range are often falling by weeks and when it comes to disney, technical indicators think that any big move will be lower. why is that? first, he is looking at relevance strength index up top. that is pretty tepid. trading below center line which

is what matters. and cmf, that's an oscillator, measuring buying and selling in a stock. firmly negative for a long time for disney. this is very, very bad here, okay? that suggested big institutional money managers continue to bail over this one. right now marino point out there is a floor of support at 90 bucks. there's the floor. down around two bucks from what it is currently trading. if the stock breaks below the floor he expects to get it for another wave of selling pressure. i think the terrific long-term this chart is clearly not friendly to the course. a bad chart. let me give you another example of the leader turning lagger stock that i really like. the weekly chart of starbucks. this is another high quality company with amazing management. never put up less than sub optimal performance from 2015. stock peaking end of last year. shifting below 40-week moving

average. making lower highs against a flat support. that's disney's pattern. greener notes the stock has begun to trade in a tighter range. now sitting just below long-term support at 53 bucks. just like with disney. the index is below the center line. bad sign. and trending lower and the money oscillator is negative since june. again a bad sign. starbucks making a triangle chopping pattern. you can see the triangle created by the slope and the flat floor of support. height of the triangle tells you how far the stock can fall if it breaks support. if starbucks falls below 53 on a weekly basis, marino wouldn't be shocked to see it sinking past low 40s. i like the long-term story here. you can follow along. but i admit this chart is not a pretty picture. i'm cognizant like everybody else. this stock acts poorly.

this segment is about stocks who act poorly. how about under armour? take a look at this weekly chart. under armour spent years as total market darling and turbo charge seeming unstoppable. a little over a year ago it peaked. here goe again, right? the last 12 months, stock underperformed s&p by astounding 48%. for the last year marino points out that they are in a large wedge formation. however lately stocks trading range has gotten tighter and tighter. and we now appear to be approaching the end of the wedge pattern which typically means we are dealing with a stock on the verge after break down or break out. marino believes that the break down is a more likely scenario. why? first of all, the moving average convergence to vergens or indicator a tool that helps chart detect changes and reject before they happen has been trending lower and is stuck in negative territory.

second, that pesky money flow entering negative territory, too. under armour's floor support is at 37 bucks, okay? a little more than a dollar below where the stock currently trades. marino says if this floor fails to hold we could be looking a what he described as a monster decline here. based on the sign of the wedge pattern under armour has been stuck in all year they could plummet to $20. although admitting this might be too adwraggressive. it issiesy to imagine the bulls on the mass. talk about a house of pain. remember a this is a collection of charts that are bad. doesn't mean the companies are bad but the charts are bad. we've got one more leader that marino says completely lost its mojo. now we are talking about general electric. ge is general pretty well

correlate thaend pattern hasn't held up. as stock said before the s&p 500 for 11%. by the first half of the year ge is in good shape with a series of higher highs. doing well. higher highs. this is a great period, right? and this is exactly what you want to see from the chart, frankly. last month, stock broke down and the 40-week moving average which is crucial. now fears of ge in danger of killing this whole rally that started right here. and the indicator has been trending lower. the money flow oscillator, negative territory in august. it's only gotten uglier since. meaning big boys are doing sell pg. if ge closes the week below 29 then the stock would quickly retreat to 25. we own this one from travel trust too. we would love to buy more at levels that he doesn't like. but you need to be aware that marino is just simply not a fan of this stock.

ge has a lot of aerospace which is today's big freak-out. so i understand the weakness. i understand the $25 is huge but unlikely bargain. i do not think that ge breaks down here. here is the bottom line. while marino doesn't like what he is seeing in charts of disney, starbucks, under armour or ge, all market darlings be we is trying to make a broader point. when you see the market turning against former leaders, that spreads doom and gloom and pessimism. i don't know if his dire prediction will play out but it is something you at home need to keep an eye on. . billy joel said once we didn't start the fire. but same can't be said for samsung. now any production of galaxy note 7, i'll tell you about. and getting from here to there, i'm talking to the founder of lyft, l-y-f-t. see how it changes your commute

and how it changes the concept of the city and how the guest feels special and unique. may be the happiest place on earth but not without help. i'm talking to a ceo of the company helping the house of mouse understand visitors. stick with cramer.

in the age of the exploding smart phone, this has taken on a whole new level of paranoia. we eyed each other suspiciously as we waited for the plane to board. is that a samsung phone the man across me fr me is cradling? is that the woman to the right plugging her phone hiding the galaxy label or is is it happenstance her sweater is block the name plate. then i look to the left. what is that man hiding?

should he hiding it because it should be off or at least on airplane mode or is he hiding it because it is a dreaded samsung? it might be. is it a safe older models or combustible galaxy 7. there are about 1.8 billion cell phones and samsung has double apple. even gaining on apple this year. only galaxy note 7 actually explodes. that means there are more than 2 million explosive smart phones out there. we're nuts if we think some warning by a flight attendant would keep the accidental would-be bombers from firing up their phones. anything can happen in a closed cabin. they take my water bottle away, examine my cuff links, make me take my belt off. but say i can take my phone. come on. this is the most devastating recall i've ever seen. it is being handled so poorly.

all part of our own don't trade a thesis on apple which you know if you've watched the show is just one of the more paramount theorys we have. that's why i wasn't at all surprised, surprised at all, when samsung announced it was officially end prague ducks. batteries are too close together. it was never the batteries themselves. it can't be fixed which is why it has to be scrapped. the carriers, they make much more money off of a samsung than apple. deep pocketed targets. even if you think that's ridiculous. i've been sued for things a lot more frivolous than that. samsung hasn't been at all forthcoming in their large et market, china. a totalitarian state might not like apple for being as powerful as it is but at least apple has descended about something so important as whether the issue is a replaceable battery or irreplaceable wiring problem. put yourself in the hand of the

2 million people who bought galaxy note 7. though the real number is probably much higher by now since they kept saying it was fine until today. they can revert it a sler model while they wait for something new or they can switch. but they can't do nothing. you can't live without a cell phone in the year 2016. apple developed a switch app which makes it crazy. it has a music plan which makes samsung irrelevant. people might hate apple, but does it matter? does it matter if you're not an unintentional shoe bomber? i wish ways kidding. no less than four warnings before boarding and before take off for a flight from san francisco to new york. i have no idea why the phones are allowed through tommy thompson sa gat-- through the t

gates at all. after what i saw happen this weekend, my new watch word for the samsung galaxy 7, if you see something, say something. mare nis illinois, marries. >> caller: hey, jim, nice to speak with you. >> same. >> caller: curious about your thoughts on inflight wifi gogo. servicing 1300 planes, promising to bring netflix stream together airplane. and i know you have griped about it over the last two months. >> yeah. i saw gogo yesterday. can't stream what people want. i was watching game cast. oh, fumble. yeah? fumble. i mean, game cast. i want the game. i had gogo flying back from the super ball. what did i get? newton. nothing. no. people want netflix and they want -- they do not want game cast. they want the game. interception.

commercial. what's happening? no. we do not want gogo. we want streaming. chris in california. chris? >> caller: hello, mr. cramer. my pi went up more than $4 today. we would like to know why it went down so much and it is a good time to buy? >> these stocks are turned into a high gross stocks. these are just, the stocks that go down the hardest right now when we had this kind of decline. i think it is a good situation but you have to remember these stocks trade in 10% increments. if you buy it tomorrow it could be down 10% then the day off 10%. when it bottoms, it is the first stock that goes back up. so i think you buy a little then a little more as it goes down. but remember, these stocks bounce because they are good growth situations. douglas in california. douglas? >> caller: thanks for taking my call. i want to con sol indict a little bit because i think i'm too diversified.

the pick up more vrcm. what's a good price rage? >> this is a classic example of what we were just talking about. this stock is 8 points from its high. i like these when they are between 5 and 8 will% decline. this is $170 stock. you've got give it a little room. you have to understand that this stock will be one that bounces back because broad con has fundamental positives all over the place, like nvidia does. these stocks break down and when they do people feel like they have too much at one level. buy small, buy lower, buy small, by lower. you'll get a good position. app th is apple's game. people are believing us. after samsung's devastating recall, you can see once again why i say apple, own it, don't trade it. and if you see something, galaxy, say something. much more "mad money" ahead, including a company trying to make car ownership a thing of

the past. can they really transform your commute and a piece of the american economy? i will find out when i talk to its founder. then disney, pfizer, fedex just to name a few, i have the exclusive and dial for dollars, i'm taking all your calls. rapid fire. tonight's special edition of lightning round. so stick with cramer. i'm just a guy who wants to buy that truck.

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just because we're back from san francisco and the market is getting hammered doesn't mean we're going to stop meeting with innovative companies who are transforming wait we lead our lives and do business. look at this ride sharing space which has been a game changer for the transportation industry. you have uber, number one, lyft, next largest. working hard to establish itself as a real rival. lyft is privately held which means you can't buy stock but they have plenty of an interest at the corporate level including gm which bought 9% of lynt for $900 million since january. they are working on a fleet of driveless on demand vehicles. you can hail via an app or future transportation of this

country. a decade from now they think car ownership could be antiquated whether we need to bear down on this. i need to hear all about it. let's check in with john zimmer, co-founder of lyft, and his company. welcome to "mad money." >> thanks for having me. i went through your third transportation revolution and a line sticks out at me. by 2025 private car ownership will all but end in major u.s. cities and yet your biggest partner is gm. isn't that something to the 2025 doom and distruks call? >> every year $2 billion is spent on car ownership. financing the car, fuel, maintenance, everything. over the last couple years as we have been building our business we have talked to all of the major auto companies. when we spoke to general motors at the end of last year they agree with our vision and that

consumers will move towards more after netflix or spotify model where they buy a subscription for transportation and general motors can provide that to them. >> why buy that much? why not just buy the whole shooting match so you are heads against the dooms day scenario you outlined for 2025? >> say that again? >> why zpt ge just buy you so they don't have the dooms day scenario. by the whole thing, not just a percentage. >> lyft isn't for sale. we believe the best way it get to the vision is to, as an independent business, and so we will continue down that path. >> all right. so is your goal, you're behind -- you're moving fast. i know we have traffic numbers from july. you're gaining and gaining and gaining. can you ever catch uber? or does that not matter? >> there's going to be two major networks. just like in phone carriers you have at&t and verizon.

the thing that consumers care most about is they can get a ride within three minutes. then it is about the experience and brand. now that we hit our critical scale in all major u.s. cities, we're in 200 cities, more people are choosing lyft. we increased market share by 8 will 0% year over year and now doing a million rides every two dayes. >> excellent. john, i am concerned there is something fundamental that changed in this economy. when i turned 16, car, license, tabs, boom. i was there. what is happening now with people who turn 16, 17, 18 even 25? what is going on? >> yeah, the idea of american freedom being through getting a car when you're 16 is still alive and well because what we were promised was transportation freedom. but what we got is being stuck in traffic. high bill payment for our car

and dealing with parking and maintenance. what we are delivering at lyft is the freedom that everyone wants and want whed they turn 16, the ability to get where they want to go when they want to go there and i think that's why with the coming of smart phones and lyft you are able to deliver that true freedom. >> but someone my age doesn't think like that. it is true, my car is in the garage the vast amount of time. my wife's car is on the streets. we spend hours looking for parking in brooklyn. that's just our lot in life. but you tell me younger people have looked what we do, decided it is bad waste of time. they are more interested in experiences to use their time. they are not wanting to have their own car? >> yeah, exactly. more and more as millennials are moving to cities and they have access to lyft, they say i'm not dealing with parking a car 96% of the time. average american vehicle is not being used 96% of the time and it cost the average american

$9,000 every year. and when i go out i have to look for parking. the real thing i want is i want the ability to get from a to b and that's what we're doing at lyft. >> lots of talk for instance when i talk about uber. that people tell me listen, they are losing fortunes. does lyft have a sustainable business model so you could show good cash flow? >> absolutely. we're fully funded to a break even. we have raised over $2 billion. and really what's happening is that there is such a massive opportunity as transportation is turning into a service instead of owning a vehicle. and that $2 trillion spent on car ownership will transition more and more to lyft and other services. and in order to invest in that future, and get new users, the majority of what we're spending is on getting those new users. so that's completely controllable and at the right time will be focussing on

profitability versus growth. >> if uber were to say come public within the next few months, would that affect lyft's trajectory? >> i don't believe so, no. i think we've grown up in a very competitive environment and done incredibly well scaling our business. and focussing on what we do is paying off. >> why do you think people are so high on cars, you know, self-driving cars? is it, i know that i've always felt that a drunken issue is very, very important in terms of fatalities. but this is just something that i thought was pie in the sky and david favor and i talk about it every morning. we think this is the most important trend right now in technology. do you see it that way? >> yeah. not only the most important trend in technology, i think the most important trend in our economy and how our cities are desi designed. never before in our lifetime will we have another opportunity to redesign our cities around the economy, around the people,

in our cities, versus the car. so much infrastructure and real estate has been devoted to car ownership and by transitioning that into a service, transportation service, we will be able to shift a lot of things including the way our cities look. >> i think your vision is one that i hope pans out. because it would certainly be less pollution. a better world. i want to thank john zimmer, co-founder and president of lyft. thank you for coming on the show. >> thanks for having me again. i suggest every read "the road ahead" by mr. zimmer. if it comes true, wow, is the world going to be a different place. stay with cramer. it's your tv, take it with you. with directv and at&t, watch all your live channels, on your devices, data-free switch to directv and lock in your price for 2 years,

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what's critical thinking like? a basketball costs $14. what's team spirit worth? (cheers) what's it worth to talk to your mom? what's the value of a walk in the woods? the value of capital is to create, not just wealth, but things that matter. morgan stanley

it is time for lightning round. >> then the lightning round is over. are you ready? lightning round. start with henry in maryland. henry? >> caller: boo-yah, jim. shoutout to mr. marks. i want to know if you want to

buy, hold or sell cabela's. >> cabellas is a trade. you got the bid, move on. take that money, wait for decline and we slowly buy some very good tech stocks. i need go to mark in wisconsin. mark? >> caller: jim, my stalk is overseas ship holding group. ticker symbol osg. i was wondering what your thoughts were. >> i don't want to be involved in the crude oil delivery business. i think it's too hard. go to robber in the maryland. robert? >> caller: hello. >> hi. >> caller: how you doing, jim? >> i'm doing good, how about you, robert? what's up? >> caller: big hello, buddy. thanks for all you do. >> i appreciate it, man. thank you. what's going on? >> caller: my question is about ddr. >> no, don't want to own it right now. don't buy, don't buy, don't buy because rates are going higher. to maggie in connecticut. maggie? >> caller: yes. good evening, jim. >> good evening, maggie.

>> caller: my question is about alibaba. >> this stock is pulling back now. at 105. i suggest 5 to 8% decline. somewhere in there. maybe between 100 and 102. first buy. but only your first buy. this is an erratic market. we don't know how deeply it can go. we buy some, not all. go to don in nebraska. don? >> caller: hey, jim, how are you doing? what do you think about wadell and reed. >> we did a lot of work on them on the street. i don't like how they handled distress merchandise. i'm not suggesting you buy that stock. chuck in new jersey? chuck? >> caller: jim, first thanks for the great job you do. >> thank you, chuck. thank you. >> caller: next, on your show, or show before you this morning at goldman sachs analyst add buy on stnt.

>> that's an ill advised situation but until this morning we thought fort net was doing well. they announced a weaker quarter. we had palo alto. those stocks could be down. i prefer to you be in in those if you want to be in that space. but the money will come out of cybersecurity. that, ladies and gentlemen, is the conclusion of the lightning round. >> lightning round sponsored by td ameritrade. but why don't you just go to thinkorswim's chat rooms where you can share strategies, ideas, even actual trades with market professionals and thousands of other traders? i know. your brain told my brain before you told my face. mmm, blueberry? tap into the knowledge of other traders on thinkorswim. only at td ameritrade.

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if you want a handle on hottest themes in tech and working in a market like social mobile cloud and sometimes you go off the tape with the privately held companies that are really actually leading the way. companies like the world's number one independent provider of data integration software. when we were out in san francisco last week we heard a lot about big data. how companies are harnessing vast quantities of digital information that we create everyday. if you actually want to analyze all this data first you need a firm like informattica.

look, this is not some fly by night startup. a private company taken public last year by the canadian pension plan investment port. these investors recognize that big data is a big lucrative business. i think they are right. ways happy to get a chance to speak with the ceo of the inform attica last week. take a look. >> we hear a lot about big data and what it means for companies. >> we hear a lot about big data and what it means for companies. what does it mean for someone going to disney world? >> right. big data is not just data that's the typical data you find in a dita base but other data you can get about your customers. at disney world, that's constantly telling them the customers which rides they are going on, where they are in the park, how long waiting, et cetera. >> how long they've been waiting? >> exactly. because they can tell the how long the wait line is. >> okay. >> and they can use that to make

sure that the best customers have a great experience. >> let's talk about that. informattica isn't public any more but in order to try to main the data so there are customers you cater to, they can't do it themselves. they don't have the ability. >> that's correct. that's where a lot of the data lakes come in. >> data link? >> data link. you hear that all the time. how do you bring together data of different types from your own data source answers from outside third party data sources. can you bring that together and get business value out of that. in a single environment. and an example like disney's, they have a lot of data about their own customers. those who visit the park. they can also get third party data, demographic data, et cetera thp then all this data in realtime. which rides are these customers going to. what are they spending their time and money at different parts of disney world and bring

that together to have a great experience. >> for some who haven't been to disney world or taken their kids, it is a great value as a tremendous vacation but at the same time when you spend a certain amount of money you expect they know you. >> that's exactly right. then the bar is going up. last time we talk about nordstrom. you talk about disney. the bar is going up. you and i were talking before the show, these trips are expensive for families and they want a great experience. companies like disney provide a great experience. now increasingly using the data about the customer. >> a lot of companies know they can't beat them, join them. or have to be part of the amazon ecosystem. again that's not something they would know how to do. you help them? >> we help them a lot pf we work closely with amazon. amazon web services. >> they are a customer. >> a customer and we are a customer of theirs. what we do with amazon is we help customers enterprise

companies. customers are using amazon a couple of different ways. one is they just want to operate their business better. they have data centers but they want to do the same thing on amazon and do it better. that's table steaks now. >> what's new at amazon and really driving the next revolution is bring new types of data together, kinds of data we're talking about, run it on amazon and do things that you could not do in your own environment. you want to say take data and have you a spike in your environment so you want to do data crunching. >> right. >> basically amazon is the world's biggest super computer available. >> right. >> and can you use that data to provide better customer experience and understand your profitability, all kind of things that were hard to do in your own environment. >> how quickly can you get information if there's a spike? >> basically our services can by the louhour. >> the hour? >> yes. turn on your amazon servicees. turn on data services you need. within a couple of hours you

have the analysis you need. >> you're a private company. how much is able to take more risk. can't buy stock in the company but a private company can really go out there and say okay, i may have to lose a little money at the beginning but can i make a lot of money. >> that's exactly right. other flexibility we have is we are able to change our business model to where the future is. traditional software model is sell them licensed software then charge maintenance on top of that. what we announced by amazon marketplace is you buy it by the hour. you just buy what you need. you buy it by the hour. and that's a huge change in our business model. and what we do is not only we sell them the service, not software any more, we sell them this a service and make sure that their experience just like disney and others are doing our customers experience with us, they are happy with us and they buy more as they need. a huge change in business. >> right. you and you do make more money as they go on. >> absolutely. >> that's how you make your

money. >> right. whether it is sales force or sam zon as their growth increases, our growth increases. >> excellent. and chakravarthy is the ceo of inform attica. you need to stay informed so you can make the best he decisions. stay with "mad money." bdecision. stay with "mad money." edecision. stay with "mad money." sdecision. stay with "mad money." tdecision. stay with "mad money." decision. stay with "mad money." attica. you need to stay informed so you can make the best decisions. stay with "mad money." ica. you need to stay informed so you can make the best decisions. stay with "mad money."

okay, remember the progression? there's nowhere to run, nowhere to hide for the moment. that's because there are a lot of different flaws for groups going into earnings season. i think the group with the strongest momentum will will be tech but you have to let tech come down. stocks are 5 to 8% down from the highs is where you buy your first little bit but don't buy at all. leave room. this could be an exaggerated decline. promise to find it for you here on "mad money." i'm jim kram earn i'll see you tomorrow! ckram earn i'll see yo tomorrow! rkram earn i'll see you tomorrow! akram earn i'll see

you tomorrow! mkram earn i'll se you tomorrow! erkram earn i'll se you tomorrow! kram earn i'll see you tomorrow! akram earn i'l see you tomorrow! nkram earn i'l see you tomorrow! dkram earn i'll see you tomorrow! earn i'll see you tomorrow! earn i'll see you tomorrow! arn i'll see you tomorrow! rn i'll see you tomorrow! n i'll see you tomorrow! i'll see you tomorrow! lemonis: tonight on "the profit"... at a family furniture business with nearly 40 years of history... ana: we have great people, we have great clients, we do a great product. lemonis: ...but the future is growing darker by the day. ana: february, march, april -- we almost couldn't make payroll. lemonis: their margins are paper-thin. what jobs are you making money on, 'cause you're not making money on this. their process is non-existent. lemonis: yeah, really bad. steve: they didn't sand it properly. lemonis: and the founder's poor health... ana: he was diagnosed with parkinson's a couple years ago. lemonis: ...has his daughter living in fear. ana: i don't want to see my dad one day just drop dead. lemonis: if i can't help them build a more stable foundation, this great american success story could come to an end.