>> those are dead. it's no emoticon movie. >> microsoft outlook, i want to use emojis all the time when i'm e-mailing people very frustrating. >> that's a technology they need the people we know working at microsoft, get the emojis in outlook. >> we know someone who has a birthday today, in fact. eric, thank you very much. that does it for "closing bell." "ta "fast money" begins now. "fast money" begins right now, overlooking new york city's time square, i'm lisa lee. pete najarian, guy adami shares getting crush today after another blow from amazon which stocks can escape the wrath of the e-commerce? plus, tesla ceo elon musk talking about his company's high flying stock over the weekend. what he said that put investors on edge. later, netflix reporting earnings moments ago the co-founder of the streaming giant mitch lowe will join us to tell us the one thing he thinks

the company needs to do to keep the stock soaring. we start off with netflix. that stock is taking off after hours to an all-time high after crushing earnings expectations for subscribers growth let's get to julia boorstin for the latest details. >> reporter: melissa, netflix's investment in original on tent is paying off driving the company to beat on the top line and with that all important subscriber number. netflix added a total of 5.2 million new subscribers in the second quarter that's 2 million more than the company projected in what's a seasonally, usually a seasonally slow quarter the company's also projects better than expected growth in the third quarter as well. saying it expects 4.4 million new subscribers in q3, that's nearly half a million more than wall street was projecting so, what's driving this growth it's content lots and lots of new content including 14 new seasons of netflix global originals, such as "13 reasons why," and "stranger things."

13 original comedy specials, six original documentaries, and nine original feature films as the company invests more in movies that will debut on netflix first. now, netflix making a point in the letter to shareholders, about netflix's commitment to making movies like "okja" and "war machine" that debut on netflix while could be in theaters saying it's breaking all sorts of hollywood rules but he believes internet tv can reinvigorate the film business also factor driving growth, partnerships with consumer electronics companies and video game consoles to make it easier to sign up for netflix and watch netflix. they cite netflix's partnership with altese in france which was announced in q2. in his letter to shareholders, hastings dismissed concerns about competition saying the exclusive nature of content on hbo, amazon and netflix, means they're not direct substitutes for each other an they're all growing, the shift to on-demand internet tv. hastings talking quite a bit an

this new renaissance of internet tv we're in right now. melissa? >> julia, thank you so much. julia boorstin in los angeles. another blowout quarter under its belt, is netflix a must-own stock, even up here 10%? i go to david first because you pitched in the fast pitch netflix last week. >> guy backed me 100%. look, it was pretty clear early on in the quarter three weeks into the quarter they basically backed their guy, said they had 40% of the subs that they guided for already booked which is incredible so you look at this number, blowout number obviously have the tempo down, figured out how to guide the street correctly it's all about the international subs they knocked the ball out of the park this is a name you stick with. i don't know if i'd run out tomorrow and buy this thing where it is, maybe it settles in a little bit this is a name long term you have to own. >> what do you think, dan? >> david did call it right on friday afternoon i was a bit skeptical. the stock sold off maybe 15% from early june highs and came roaring back in the last couple weeks. to me, i think the bull bear debate was playing itself out in the stock over the last month or

so, but i don't chase stocks like this. i think obviously this is really important here, i mean, you know, u.s. subscription growth just reaccelerated again this is something that i think a lot of investors had expected to really take a back seat to the international subs but they also killed it there. i'll just go back to what julia said about this original owned content. we saw this last october, the stock exploded nearly 20% the day after they reported their q3 earnings they saw a big spike in u.s. domestic subs, bigger than expected because of things like "stranger things," that sort of thing. they seem to be able to dictate some of the growth when they have a string of hits. the question is, how much does it cost to create those hits how reliable are they to forecast out >> if the street is at $1.8 billion in free cash flow losses for 2017, how much -- at what point do investors say, you know what, how much money are you spending in order to achieve these numbers? >> which has been the -- >> right, right, when does that spe

speak? >> i don't know where he stands on it now, i don't want to speak out of turn, that's been the bare case, bare thesis for some time i do know the answer to this, david basically had this earnings report in his hand on friday because everything he said came to fruition. we've been steadfast on this name to answer your original question, can you stay with it absolutely it was the third quarter guidance there's absolutely no reason for netflix to give, in my opinion, the type of guidance they gave they raised eps guidance by about 35%. if you look at it. i mean, pretty significant numbers. what's the point the point is, you can talk about competition all you want, there's no competition for netflix right now. >> with apple we talk about it, know later on we're going to talk about katie hubertey. having that what they want to use as a way to get their video. taungs about europe specifically so what does all that mean it means they've got the

content, that's been strong. they are putting the money down to do that but they're also executing well enough that people are very excited to still continue to be there and you can obviously see something of the growth in front of it. so, do you chase it? i agree. i'm not sure you've got to chase it on this when they say, there's no more gas, no more room for the kind of growth they had and put up a quarter like this and the guidance, says there's plenty of room to the upside. >> is there a readthrough? even if the readthrough is the first earnings out of the gate, the area of growth for investors, people are looking for these stocks to deliver on earnings because the stock have run up so much. >> is there a readthrough to other paying stocks in particular i think the next best setup is amazon unquestionably the next best setup. i look at that and say, gross marg margin, second half of the year, that's going to be improvement that's a name. i know it's had a massive run. just like netflix did, that's a stock you can stand by the ones that have risk to it, i look at facebook, say there's a

concerning -- it's concerning with google l as well. >> i would say this, you just mentioned apple. think about it, one of the big growth drivers for apple is services when you look at this company growing sales, you know, 28% year over year, i know you get excited about apple services growth in the teens year over year when you consider their installed base of a billion ios devices, it's pretty unimpressive to me that's the takeaway i sigh when you look at a company like this, destroying it on revenue growth obviously, negative free cash flow for years seems to be a page out of the amazon model they tell you, we're not going to make money. we're not going to make money really for the most part but we're going after consumers and going after revenue growth then let's see where the chips fall where they may. >> mitting t is reid hastings hd job. that's the key to the story. tesla, that's an execution story. netflix evolved into an

execution story. they hit everyappropriately. >> is netflix more like a tesla than it is a facebook or google? >> yes yes. i believe that's the case. it's a story you need to believe in, and need to believe in reid hastings i think without reid hastings, it's a completely different story. i don't know if the story even exists, frankly, without reid hastings i agree, i think it's more like tesla. you know, say this again i mean, all the bear arguments have been made now for the last few years. at a certain point, you got to start believing it's a land grab and they are -- with the exception of one time, they took one misstep when they raised prices seemingly out of nowhere. >> that was years ago now. >> years ago now outside of that, they've been flawless. >> this is why you always look to specific analysts, though, every one of these stocks. we bring it up all the time. mark ma haney, has he ever wavered on this stock at all we've had him come on the show and actually debate. there are guys out there and gals out there who are

phenomenal in a certain spac and just a month ago is when he came out and talked about content, he talks about penetration, he talks about satisfaction all of those things and all of a sudden what did we get today we hit everything. >> all right for more on what reid hastings can do or should do to build on this momentum, let's turn to nit politics co-founder mitch lowe who joins us on the fast line. it seems like the companies can deliver on important metrics investors are watching so closely, what the next leg of growth for netflix, where does that come from, in your view >> well, i think we're right at kind of the early stages of a complete conversion in the way people watch television. i really believe that subscriber growth still has a lot ahead of it, not only in the states but internationally. but the real way to measure their performance going further forward is how they monetize this content the great news is they're building an amazing library of

content that they can monetize over the comal ye the coming ye behind time warner and disney and others, how many dollars they generate for every dollar of content i think they have huge potential there and they just, you know, begun to go down that route. >> hey, mitch, you know, obviously netflix has a lot of competition. we know apple's coming we know amazon's there and a lot of other when it toms to streaming video. do you see netflix, do you think it makes any sense for them to set their sets on the streaming audio segment? obviously spotify is growing fast, very fast, growing faster than apple music, pound for pound, 55 million paying subs. is that something you see as an extension of their strength here and they could probably get a hot lot of bang for their buck, take down a lot of costs, raise spotify's margins. >> my guess is no. you know, i remember reid always told everyone in the organization, i think this is one of the key things to

netflix's success is focus on that one thing you can do better than anyone else and continue to build that and don't get distracted by other businesses so i don't see that. you know, anything could happen, but i -- you know, i think as long as they see continued growth, built-in subscribers and monetizing the content, i don't see the distraction of going into other side businesses >> mitch, i don't know if you heard our conversation before, i'll paraphrase quickly. i said the one misstep they've taken is they raised prices seemingly under the cloak of darkness one day and the stock got obliterated. now four, five years later, is their customer base conditioned enough where if they were to raise prices, it wouldn't hurt as much as it did hatlf a decad ago? >> well, definitely, you've got, you know, with the kind of satisfaction rates they have and the huge leads, being able to identify the right content, i mean, look how quickly they achieved what it took hbo many,

many years to accomplish with the quantity of emmys and the quantity of solid content that people love. so, yeah, i think they're on a great pace to continue that march. >> what's the one thing on the conference call, mitch, you would like to hear reid hastings talk about >> well, i would love to hear about, you know, what that plan is you know, how are they going to build other revenue streams from that -- this great content that they're developing you know, is there -- is there branding use, is there products, is is there, you know, i mean, done an amazing job at theme parks and other things what's the -- obviously netflix isn't going that route, but what is their plan to increase the dollars per/dollar spent, the dollar revenue on their content? that's what i'd love to hear more of. >> are you convinced, mitch, that threat politiat netflix hae

original content strategy down pat? we put up the q2 content winners of some of the most watched shows on netflix in the second quarter, two of them are on their final seasons. right? "house of cards" and "orange is the new black. "unbreakable kimmy schmidt" in the third season during the quarter they canceled a number of shows such as "blood line" as well as "the getdown" after only one season. what do you think of their strategy at this point is it working? are they still finding their ground >> yeah, it's willfully not an easy thing to do it's not all science or -- and analysis it takes a combination of the creative and the analytics to understand what your subscribers want to see and how much they want to see it and what impact it has on both churn and acquisition and i think netflix is way ahead of everybody on that the problem, always, is you have

to bring in the creative element. it's not like you can actually, you know, force directors or writers to create the exact kind of content that you know is right. so, i think that netflix has a proven team that understands content and understands how to utilize the analytics behind not only choosing, but also on how to promote it. so, you know -- time will tell there definitely will be missteps along the way, but if you correct them quickly and learn from them, which i so far have seen them do, i would have a lot of confidence in their able to add more content to replace those ending seasons. >> all right mitch, great to speak with you thanks so much for phoning in. we appreciate it mitch lowe, co-founder of netflix. ceo of movie pass. so i send it back to you in terms of what do you think of the strategy, are you worried these cancelations could upper shadow more missteps >> i'm not

a couple points. look, content is king. they've been investing it in properly a couple l things to point out dan's point of chasing the stock, don't chase the stock up here because there's a massive short interest i think 26 million shares short. you're going to see covering in the next couple days two, their investment, you heard him mention on the call, in content, has been off the charts and driving the stock. they're going to continue to do that three, i think this company does get acquired i think disney is the potential company that buys them i give it less dhanthan a year. >> you've been a proponent of that for a very long time. why would reid hastings want to sell he's the king of the world right now. >> you know what, at a certain point, at a certain point you have to say, is this the right time to make the exit strategy i mean, it's been true all throu through mankind. this could be the quarter that says if i can get a $100 billio deal done, $80 billion market cap company probably with this move i've said it for a long time now i thought disney would buy them.

that's $10, $20, $30 on the stock. i do think reid hastings would be the perfect person to take over from bob igor. >> i would say that i think this guy's thinking another 10 or 15 years out. i don't think hi wae wants to b acquired why i asked the question about spotify. i suspect they're going to go somewhere down the media spectrum he's going to continue to do -- i mean, listen, they have 100 million sub in video and spotify with 55 million. want to better compete with apple, better compete with amazon, start going who zontically i think. >> when you get to full growth potential, what's a appropriate multiple among the story make the assumption, look forward, say, in 2020, let's say you're looking at possibly $10 in earnings. let's say it ramps to $10. 2020, 2021 throw a multiple on it and do the math reverse engineer, say, can they grow into their earnings >> amazon never did. it's a $450 billion company. i mean, my point is, this thing could continue to go as long as we have a bull market. you know, i mean, right? coming up, earnings season

in full swing. the chart master's three stocks reporting this week that could be big winners for your portfol portfolio. plus, wall street bulls are running toward apple as it gears up to launch the iphone 8. could the super cycle be facing major delays we'll explain. later, tesla under pressure after ceo elon musk said the stock was overvalued even after its recent 20% selloff we'll hear what he had to say, next much more "fast money" still ahead.

welcome back to "fast money. tesla shares sinking 2% after ceo elon musk once again called the stock overvalued that kicks after our top trades. musk spoke about the 50% gains this year at the national governors' association on saturday >> i find it quite tough when there are very high expectations i try to actually tamp down those expectations as, you know, if possible. in fact, i've gone on record several times as saying that the stock price is higher than we have any right to deserve. and that's for sure true based on, you know, where we are today and have been in the past. so, the stock price obviously reflects a lot of optimism about where tesla will be in the

future >> he followed up on those comments today in a tweet saying "i should clarify, tesla's stock is obviously high based on past and present, but low if you believe in tesla's future, place bets accordingly we should note in the last hour the company announced it was adding 21th century fox ceo james murdoch and linda jaunsen to its board this, of holders wanted the board to be a little more diverse and also not as too friendly in, you know, closeness. >> this is not going to be nearly as friendly as it was the question is, at 319 1/2, what to with tesla now, $387 stock, i think a month or so ago, so the selloff has been pretty dramatic. i think everybody would agree with that. i still think you have to -- everything he said, by the way, it is expensive in terms of the past and in terms of the present. you can say that about a lot of stocks the point we make all the time

is you have to believe in the vision and the story that's the point that b.k. makes. i'm a believer i do think there's a potential for it to trade down to the 285 level, the all-time double hot top we saw a couple years ago. with that said, if it gets down there, i think you buy with both hands because i do -- i've said it many times, people, institutions that own the stock are in for the long haul. >> i think you have to think about what is expected when this company is going to report their q2 on august 2nd why are you laughing at me you know, they give us monthly deliveries the stock had already gotten t hitt hit, right. >> it doesn't come down to earnings it comes down how many model 3s are they going to be able to make this year and that really to me is the most important thing and that's why you would buy the stock with two fists -- or whatever guy's saying, at 285 because you believe -- >> two fists. >> i forgot who i said. >> whatever. i'll get my fist in there. that's the story at this point. >> that skounounds a lot like te netflix story. >> it's a little different you're really seeing execution

broad based in netflix i think people question -- >> with you don't think -- >> i think it's -- >> tesla, a longtime for the model 3. >> i think you also have to look at it, actually it is very similar, you look at a company like netflix, say to yourself, from an earnings perspective, laid out in 2020, you question the valuation. look at a tesla, say to yourself the same thing, if you're expecting tesla to gain 100% of the electric car market, you guy the stock. i look at the valuation and say it's very momentum driven, talk about the fact the institution the shareholder base loves it. i don't know if i believe that right now. i think there are some questions. >> i'd lean more toward -- >> a huge bull. >> huge bull he was talking about, hey, this is a software company that sells hardware oh, by the way, they have the giga factory on the other side as well. there's a lot of different things what do you put a value on right now? in what point in time? the one disagreement i have with you, dan, tim brought this up, too, the model l 3, the deliveries that's if you still think this is still a car company

that is huge -- monstrously important. >> yeah. >> i don't think it's just a car company. so for that reason, however they end up delivering these, everybody will monitor that, i still think it's more important to look underneath to see if it's a software company, energy company. >> i don't disagree withny of that when you think of the technology that goes into the car, that story is going to play out in years to come. a company that sold 105,000 cars last near. probably what comes off gm and ford's assembly line a day we're actually in agreement, at some point, you could see them licensing a lot of their technology, a much higher margin business than selling cars at some point. >> guy was talking about netflix with disney. i still say when i look at tesla, it just seems like the easiest thing ever to have some sort of a combination with apple. why wouldn't apple be -- >> combination meaning what? >> some form of investment from apple with tesla to develop this -- >> not an acquisition. >> not an acquisition. >> no. >> there's a short term story and long-term story,

right? if they totally whiff on model 3, don't tell me that stock is not going to fall off a cliff. it will if -- >> i'll play the game with you i think a couple years ago it's that type of headline would have come out, the stock would be taken out to the wood shed to pete's point, i think it's an evolving company now it's not just an auto company like it was a few years ago. >> i think -- >> you know, they say it's going to cost $35,000. and a lot of people say, not a chance so, you know, all of a sudden now you have a car that's upwards the model 3 and the x are $100,000 car >> add on -- >> when you add on whatever, you have a low-end car that's not low end anymore so you really are kind of whittling down your market for what's supposed to be a mass market electric vehicle. >> mel and i test drove a -- >> the model s. >> we don't have the footage we had fun remember there was snow. >> throw him under the bus. anyway, speaking of apple, stock moving higher today after morgan stanley upped the price target to 182, pushed iphone 8

shipment expectations back to october in light of recent delay rumors despite the delay, the firm did say hype for the highly anticipated new smartphone is not yet priced into the stock. new features could spark the next supercycle. really not priced into the stock, pete? >> i agree with that not only is that not priced in, i don't think repatriation is taxed in >> that shouldn't be. >> i agree with you, it shouldn't be, but it's not how many times with we heard, well, a lot of different stocks are moving up because the trump policy which obviously is repatriation, tax reform, all the rest i don't believe that i don't think that's priced in yet. what you're trading on apple now is just the numbers. i still think it's cheap there's the potential, if this is a supercycle like i tend to believe. katie has been nothing but right. she raise the the price target about a month ago. she comes out today and pushes it up to 18 2 because she's looking further out at some of the numbers there. so because of china, because of the u.s., because of retention levels, i think she's going to

be right that this is going to be a supercycle. >> so up 29% that does not price in the notion of a supercycle agree or disagree? >> that's a pretty big move. i mean -- >> yeah. >> the super -- i think it prices in considerable amount. how about that but let me say this real quick, the aforementioned gene munster, they have a quarter coming up apple on august 1st. that's right around the corner let me tell you, it will be there like that. >> he mentioned this might be the quarter with you see the selloff down into the mid or high 130s. >> let's say one thing, this phone that's been pushed out is supposedly between $1,000 and $1,s 200. i don't think there's demand for that phone the phone they'll release on time will look like the s, sf 6 or 7 people have not been inspired enough to upgrade their phones frequently if you get a form factor that looks like the 7 and 6s, i don't

think you should expect that you get whatever the ten-year anniversary -- >> timeframe in which people upgrade -- it's almost consistently a two-year level where people upgrade nothing to do with inspiration at all. >> okay. >> we saw cell phone -- we saw their, you know, their units decline year over year for the first time ever last year. >> i think it's somewhat priced in here. i think 18 is2 is a fair numberr the stock. i think it's going to be a successful launch, delayed or not. the street is factoring that in. they don't care if it's delayed as long as the units are solid. the chart mast eer is here with three names that could be big winners this week, and three names he wouldn't touch with a ten-foot pole. i'm melissa lee. you're watching "fast money. in the meantime, here's what else is cominge ining up on "fa. amazon is crushing the competition. don't worry, if your portfolio is feeling the heat, the traders have four stocks they're calling amazon proof. plus -- >> show me the money >> that's what nelson peltz is

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to improve short-term memory. prevagen. the name to remember. welcome back to "fast money" live at the nasdaq market site check out shares of netflix soaring, after beating expectations and giving strong guidance for the third quarter shares up. 11% right now. here's what's else is coming up in the second half of the show activist investor nelson peltz will peltz turn things around for the struggling consumer giant? should you follow in the billionaire's footsteps? we have a special report. plus it's the one retail stock that serves more than 10%

from its low last week one of the traders on this desk says it's going even higher. we'll fwgive you the name. first we start off with earnings, a big chunk of the dow and s&p 500 on deck to report. dom chu is back at headquarters with more. hi, dom. >> reporter: it's early in the earnings season, melissa, but that doesn't mean we won't be pretty busy on the news desk now we're slated for now to have around 67 companies in the s&p 500 report earnings this week. and like it always is, big banks are going to be a big part of that conversation. now, the jp morgan, wells fargo and citigroup are off the board, it's time to look at the other biggies this week. of course, bank of america and goldman sachs reporting tomorrow shares of "b" of "a" up around 9 % year to gait goldman down around 4% there's morgan stanley which reports wednesday and up 8% there as well. there big transportation-related stocks in the mix, too you've got rail operator csx and united continental airlines reporting after the close on

tuesday. united stock is up right in line with the overall market about 10% up, but csx, i mean, that's been a standout. up 52% so far year to date while the overall tech sector has been killing it, this year it's been hot. some members haven't exactly been doing all that great. qualcomm, chip company, reporting after f the bell on wednesday. that's a stock that's lost 13% so far in 2017 so, melissa, plenty of potential earnings movers to keep an eye on this time around, and by the way, in case any of our viewers or listeners are curious, if all goes as expected this season, early on right now, earnings are expected at s&p 500 companies to grow at 8.2% sales by 4.6 4.6% according to thompson reuters. keep an eye on that, guys. back over to you. >> thank you, dom, in the newsroom pete najarian, what earnings stand out to you >> financials with morgan stanley, throw in goldman sachs, too. interesting to see what kind of numbers they can put up.

we've already seen obviously from jp morgan and others. what will they be able to produce now? the numbers produced already were strong but the reaction was a little different they started pressing to the down side. is this something that could be a catalyst to moving forward goldman sachs had a pretty impressive run to the upside of late >> i think goldman is actually the most unimpressive. think about it, really underperformed their peers xlf is down 4% on the year yeah, bounced 5%, 6%, 7 % in the last month of so this is 10% from the all-time highs made on march 1st. to me, i think the underperformance is notable. don't forget last quarter they reported q1, the stock was down 5% the day after so if they put up a bad quarter then gives kind of squishy guidance, this stock is probably going back to test those lows from april, may, in my opinion. >> and there was concern -- preview out today, right, there was a concerning preview going into numbers essentially, somebody citing essentially a weaker quarter. >> if it's okay -- >> i'd be surprised if they followed up what was a lousy quarter to dan's point with another equally lousy quarter.

i have not seen that happen since it's been a publicly traded company i'm sure somebody out there will correct me i don't remember when or if it happened that said, i tend to say this quarter will be better than anticipated. i think the stock does go up. our next guest says he has the best names to buy and sell ahead of earnings this week. chart master carter worth to give us the names. >> when i look through all the names and these are sort of my best guesses, best guesstimates, long and short a whole chunk of companies half the companies in the s&p that aren't reporting this week fall within two areas of the market, financials and industrials. three buys and three sells abbott, see the chart. your eyes can see a lot of things i suppose, but i think one thing you could truly see is this it's clearly something of head and shoulders bottom and the presumption is that we're going to make it back to the high. i mean, most stocks, highs, so a very reasonable thing. i want to be long abbott going into its earnings.

ebay now, sort of a sloppy or erratic up into the right. not a steady uptrend one way to draw the lines would be as followed meaning you've worked yourself into a wedge of sorts. it also has the head and shoulders bottom formation here. either way, a lot of tension and we're starting to break out of the top. i want to be long ebay let's go to the third that seems -- now this is a very orderly, unlike ebay, a very orderly. in fact, look how orderly it is. it has just been in a well-defined channel what we do know, often when you are at the top or at the bottom or at the top or at the bottom, you will make it back to the top. so i'm going to make the bet here that microsoft's going to push on for a bit more at the top. on the other side, stocks that are acting poorly, you can see this sort of big rolling over. you can see this head and shoulders top. it's quite the opposite. i mean, that's why these patterns repeat. we know we have the following. break-in trend.shoulders bac

on there not a great setup. what's really sort of scary is it threw back to trend, failed, and now it's gone the wrong way. not good don't want to be there harley davidson. next one, ibm. same sort of story again, what you got here is a break in trend you've got your head and shoulders top. you have this gap right here where it missed its earnings before you got a hell of a neckline that's not a good setup. i want to be short that. almost draws itself. here we go final name, now i went antedid a really long-term chart here. this is union pacific. and basically let's say you just didn't do anything but were a trend follower this is a five-year chart. when it breaks trend, let's just say you finally decided to get short. when it breaks above, you get long and so forth well, today, not shown here, but it's ever so slightly broke below. not good

i want to be short this stock and i also think what happens is we're failing right at the top >> carter, i think you should come on over >> unilateral decision by you. >> just got to go with it. >> all those red and green arrows it's awesome. >> so, carter, are any of those individual stocks representative of their entire sector >> well, let's see, i mean, if you were to say large cap could use a credit growth in tech, looks like microsoft, it does, whether you want to call it netflix or amazon, meaning stocks that have current things going on that have nothing to do with, let's say, oil or international problems or the dollar or payroll and so forth so microsoft certainly speaks that interesting, union pacific which is the biggest rail and a big stock, it's lagged the transports transports have finally made it back to their all-time highs union pacific hasn't done that each one has its own health care is caught up abbott has got a leg to go as a pattern goes, each one is there for a reason

at least variety, yes. any of these ones that -- >> i rarely take umbrage with carter i don't know what letter it starts with. >> umbrage is being taken with carter. >> slight umbrage. >> all right >> so in my world, carter talked about -- abbott had a tremendous run. it's not cheap it just finished an acquisition. this stock, to me, if you want to buy it, you have to buy it on the breakout above the previous all-time high made in 2015 of $51.50 otherwise, you could potentially see what carter will come back and tell us could be a double top in abbott labs i'd rather buy the breakout than buy it here. >> or at least maybe buy it here to get to the double top, maybe it fails and make that money on the way. >> that's trading lingo, i don't want to get too in the weeds. >> both sides. long to the top. maybe it fails get your double top. >> look at that. surrounding that trade. >> yeah. you really surrounded the umbrage there. >> the umbrage >> yeah. >> real quick question

unp, a name i've been in for a while, so it has lagged. is there potential, is there a level, something you're looking at where you'd say, you know what, if it gets above this, then it is ready to start to catch up to the rest of the transports and actually start to perform? >> right it was a leader off the bottom ksu was struggling, headlines having to do with mexico and knew csx was lagging and had big news related with a new operator union pacific, a lot bigger. would have to get back above the trend line is just broke in the last couple days to sort of save at least from my point of view. >> all right carter, thank you. >> thanks. >> carter, the chart master. all these guys here mentioned coldmmention goldman sachs' earnings. >> there was a lack thereof in the name today. >> what? >> was really interesting. >> inaction today? >> here's the thing. they report tomorrow morning the implied move is greater than the four quarter average, 2.75% on average the stock moved 2.25% over the last four quarters. i'll go and look and see if

there's an interesting flow there, see what sort of volume, open interest, that sort of thing. there wasn't a whole heck of a lot, speaks to a level of complacency. heading into this break, we're lower than they have been over the last couple quarters also kind of affirming that. one of lthe things i think is valely interesting, the thing really has been consolidating for the last couple months since the last earnings. it's above that april level before it gapped down here so to me, i think the selloff is interesting. you used the impression, coiled spring guy said i don't expect them to have two bad quarters in a row if they do make the first quarter look like an apparition or something like that, you could see the stock easily up greater than the 2.75% >> probably got to go to break i used to like when dan used to walk and do this >> you can still do that. >> okay. >> more options action friday 5:30 p.m. eastern time.

you okay, guy? your knees all right still ahead, peltz taking aim at procter gamble. we'll tell you what that means for the stock and tick a look at peltz's past targets. blue apron tanking today on reports that amazon could be entering the meal food kit delivery space we'll get the traders' amazon group stock plays. you're watching "fast money" on cnbc, first in business worldwide. i'm here at the td ameritrade trader offices. steve, other than making me move stuff, what are you working on? let me show you. okay. our thinkorswim trading platform aggregates all the options data you need in one place and lets you visualize that information for any options series. okay, cool. hang on a second. you can even see the anticipated range of a stock expecting earnings. impressive... what's up, tim. see options data like never before. with thinkorswim only at td ameritrade.

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811 is available to any business our or homeownerfe. to make sure that you identify where your utilities are if you are gonna do any kind of excavation no matter how small or large before you dig, call 811. keep yourself safe. welcome back to "fast money. billionaire hedge fund manager nelson peltz setting up for a showdown with procter & gamble we have the latest from headquarters >> reporter: hey, melissa, could be the biggest company ever to engage in such a showdown. peltz wanted one seat on the board. he wasn't looking to replace the current directors, fire the ce o. his firm said his addition would help boost shareholder returns and market share and drive down costs and bureaucracy. peltz spoke can "squawk on the street" earlier today and expressed the need for fresh blood at p&g. >> you have people at p&g for

the most part, no, not for the most part, 99% who have never had another job but p&g. you should have a soft target that at least 25 of them come from other companies because these guys only know one playbook at p&g. okay >> nelson -- >> get together to solve a problem, you know what they're doing? they're talking to themselves. >> p&g fired back saying "trian has not provided new or actionable ideas to drive additional value for p&g shareholders beyond the continued successful execution of the strategic plan that is in place. analyst at morningstar echoed the company writing in a note today, "we failed to see a major impetus behind peltz's approach and little to suggest his oversight would accelerate change." so let's take a look at his track record so far, among his biggest investments, he announced a $1.6 billion stake in dupont four years ago which is up about 53%

since then he put the same amount of money into cisco two years ago which is up 11.5% and $1.3 billion stake in pepsi he purchased four years ago jumped 20% before he exited it in march of last year. but his biggest stakes are trading in the red his $2.5 billion investment in ge is down almost 3% since he disclosed it in october 2015, while p&g, of course, is down almost 1% since he announced a more than $3 billion stake in february melissa? >> all right, leslie, thank you. leslie picker with the rundown on where peltz is putting his stakes in terms of what he has right now, pete, it's interesting, seems like the stakes get bigger and bigger, right, as time goes on and they haven't been panning out so far. >> no, you go back, look at the pepsis of the world. i'm still in pepsi part of the reason was nelson peltz, all the aggressiveness he's had in the past ge is another one. i'm down just as much.

i think it's interesting that he didn't seem -- it doesn't feel like he's as aggressive as people would probably -- >> not at all with this. >> right that's what i think is the most surprising element of this whole thing is, they almost feel like, hey, we got an investment, waed kind of like to be a part of it. >> doesn't bawant to work at th company, the ceo is new, doesn't want to make anying of miss position. he made an account on the call on cnbc earlier today saying they should be managing this company like every penny of their net worth is in the business that's how they should be running after it so my question is, is he going to run after it now? again, it's been a soft touch. like every penny in the net worth is in this company and go after him and make sure they're doing their business. >> i don't expect much to come of this right now. it sheds light on the fact here's a stock trading 22 times earnings, expensive to the market, know what the growth is,s not tremendous. that sort of thing

to me, i'd make your piece, stick with it. hope stuff pans out and just kind of ride it out a little bit. >> what would you tell mr. peltz about p&g and ge at this point >> ge i think is one of those things where the mistakes that general e electric to me were timing mistakes. in our world, timing is bad, same as being wrong. i don't think the fix at ge is all that difficult given the current valuation. procter & gamble is much different. my apprehension back in february i think, when he announced the stake was, listen, i'm sure it's going to work out in the long run but in the short run, go back and look at dupont, september of 2014, that was a $76 stock i think. briefly traded up to 80. within a month and a half, you're talking about a $50 stock, albeit because crude oil was getting crushed. if you follow the guys and girls in on 13-fs, gs, h, i, j, k, you

have to be careful, it doesn't mean you're going have the instant gains you want. still ahead, blue apron shares getting obliterated today on reports amazon is entering the meal kit delivery space. we'll tell you how much worse it could get. we'll take a final look at netflix. the stock still up more than 10% in the after-hours session record high here much for "fast money" right after this you always pay

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company that spent $65 million as it revolutionizes how we care for our furry friends. plus the ceo of a drug company caught the eye of cramerica and more than tripled in 2017. "mad money" is next. welcome back to "fast money. blue apron shares tanking 10% to a new all-time low after reports surfaced amazon registered a new trademark for potential meal kit service. meal kit deliveries are hot right now and the market is extremely -- there's a lot of competitors. they're saturated with celebrities like tom brady, martha stewart, who are advocating for some of these brands amazon attempting to take a pieces of the pie, can blue apron survive? i turn to guy who's our resident blue apron expert since you've donned the blue apron. >> i did and i crushed it in that kitchen it you recall >> now the stock's getting crushed. >> it's my footage right there i was like a maestro -- >> look at that. natural. >> moving with it -- no, i made fusili with shrimp and spinach

it was delic doesn't mean the stock is going to be delicious. i still say stay away. karen finerman said it that night, she was shocked it even made it to a public company. >> with it being down so much, would you consider being long? >> no. absolutely not i mean, entry to the space are significantly high all about scale we talked about that when guy cooked us -- scale it costs too much to acquire companies, they can't keep up with that cost the product costs aren't going to come down i think you look at amazon, they're going to eat their lunch. >> amazon-proof stock, pete najarian, give me a name. >> i'd give you home depot i'll go a different direction. i'll give you delta and united airlines i think the airline industry -- you know what, we talk about -- what is it they're after everybody else in the world. i think the airlines are safe. >> that's so -- such a strange -- >> answer? a weird answer. >> like saying railroads for amazon. >> i was thinking about that i was going to throw out the railroads as well.

>> can i go? >> yes. >> mine would be the e-commerce behemoth in china, but not alibaba. we know walmart has been investing in jd.com. i think this is going to be someday a very big global competitor of amazon i think they're kind of amazon-proof right now. >> why are you looking at me like that? >> good question. >> pvh it's all about brands. brands brands brands winning. >> private label. >> this is a brand i think they're going to win gold brand phenomenal story. still ahead, traders will tell you what they're watching for tomorrow stay tuned

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welcome back to "fast money. ais i'm meg tirrell. check out shares of puma biotech. the fda approved puma biotech's breast cancer drug, sending the stock up more than 10% in the after hours. off a huge move earlier this year the stock more than doubled leading into this fda decision getting the fda go-ahead on the breast cancer drug, guys, sending puma up in the after hours. >> thank you, meg tirrell. >> i love puma it's a name we've talked about a lot on the desk. this is a story i stick behind oncology is the place to be. these guy are obviously doing well. >> trade, guy, on puma up 110% in the after hours. >> i know it's got to be -- you stay with it. >> really? >> probably a 32% shortage

instead of saying this is big news this was a $23 stock i think in may. to think it can't move, continue to move from here is a fool's errand people might shoot against this. they shouldn't the stock can go higher from here. let's get another check on netflix. a minute away from the conference call getting under way. the stock was still up by more than 10% solidly here in record territory. as a conference call starts. all right. final trade time pete thnajarian, what do you sa? will love the chips. continue to think the semis have plenty of room to the upside nvidia, this thing is going higher >> david >> restoration hardware. i'm a seller they aggressively bought back stock. i mean, borrowed money to buy back stock i'd be a seller here looming debt coming up. >> nathan? >> goldman, tomorrow northern we talked about if they do not deliver what guy adami expects, sell here. you have a quick trade back to 23, possibly 24 in the last couple months. >> guy >> despite throwing my back out when dan nathan hit me, macy's,

if you watched the shows and the stock turned, i think retail is grim death for a trade, i tell you what, macy's might have put in a short-term bottom last week. >> i'm melissa lee see you back with jim cramer stt right now. >> my mission is simple, to make you money. i'm here to level the playing field for all investors. there's always someone somewhere, and i promise to help you find it. "mad money kwds starts now >> i'm cramer. welcome to "mad money" i'm just trying to make you money. my job is to educate and teach you. call me at 1-800-743-cnbc, or tweet me the big story today is a proxy fight for ar