tv Mad Money CNBC November 7, 2017 6:00pm-7:00pm EST
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>> speaking of sea legs, have your dramamine ready royal caribbean. tying it all together, mel >> i'm melissa lee thanks for watching. see you back at 5:00 don't go anywhere. spial itecedion of "mad money" from san francisco with jim cramer begins right now. my mission 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 cram america. of course welcome to cnbc at one market in san francisco. my job is not just to entertain by to educate and teach you. call me at 1800 krcnbc or tweet
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me @jim cramer whenever i speak to a truly competitive company they're playing both offense and defense using the power of digital using the power of technology. they have no choice. if you don't imbrass -- embrace technology you'll be left behind the dow did 9 points s&p, zero and nasdaq up .0 clueless companies getting left in the dust because their consumers are going away every november we come out to sales force dream conference ford to learn about this dynamics we come out with open ears and eyes to see what companies are doing. ask questions to find out whose keeping hold of their turf
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whose invading the turf. we got time to see them all but we have to if we're going to figure out what's going on with this market. the actually play of entrepreneurs that want to take on the -- like adobe's platform, softwares of service as a kind of a force kwaulzer. a sole proprietor will say 50 bucks a month ho to the make their department look big. business online, no rent, no expensive employees, infrastructure, take a look at the stocks that have infrastructure, holy cow they can take a simple sketch, turn it into a product, that's how insanely powerful adobe can
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be speaking of hand and glove, yesterday, mark told us about a partnership with google. sales force is helping customers interpret data gathered by google to figure out what people might want before they even know they want it themselves. this partnership which is infused with artificial intelligence will be terrific for those companies who compete with amazon on the retail side and prefer not to give their cloud business to amazon webbed services think about it, you don't pay your opponent when you're fighting them tooth and nail, not if you can afford it at least not until the sales force google team up that we managed to identify and bring to you yesterday. take today's action, just
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yesterday a trade public case announced amazon might be moving into the furniture industry. we have no idea whether amazon truly decide no go into that business whenever you hear that amazon is entering a new space, all the stocks in that space gets slacked. sure enough, jie gantic ko hurt got hit today to william snow may and even way fare or online furniture. these guys are considered the amazon of the furniture space. amazon trades like the amazon, amazon space let's say you're one of these companies and you love working with amazon, giving you major leverage over panels who don't know how to tell their story or
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anticipate new customers and reach them now they're hearing amazon's moving in on the industry they're going to start selling furniture. google started offering similar analytics and marketing ecosystem. it's defense and offense judging by declines of the brick and mortar segment of this margaret, it seems like not enough companies in that sector has a digital strategy that is strong on both sides of the fields dinosaurs. the news that rocked dream force happened in the atmosphere this is a huge potential deal, we don't know if it's going to happen it's all about another sworn digital opponent that can't really be considered an upstart anymore. it's about netflix
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at one point it seems like the whole component was given away fuelling the streaming video pioneer's worldwide growth some feel the company sowed the seed of their own demise, netflix has a good demand of what everybody on earth wants to watch. netflix got to critical mass using other people's content, now they rely on their own cob tent the industry is trying to strike back yesterday i witnessed a presentation by 21st century fox itself about how it uses sales force.com to get in touch with its real customers it was a brilliant presentation. it showed me that fox truly know what is it needs to do in digital media informed by sales force to hold its own in the new world dominated by machine y' l
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millennials. now i hear disney's talking to fox about buying entertainment assets that i just saw sold off few minutes before that. all which want to be bigger in the entertainment business and all which have the artificial to know what you want to watch. we don't know whether it'll be a deal or not but we do know netflix is forcing disney and fox to do things unthinkable fox is a 100-year-old company. people are talking about stopping netflix as they were last year talking about blunting amazon sometimes the stock is so powerful that there are no winners whatsoever that what it seems like today in power space. price line joining expedia,
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they're saying they have to do more to keep up with their competitors. price line fell 257 points, that's only 13%. i don't know who wins these wars, it's too early i don't know if the fangs remain on top of the world. from many of my trips to the west coast i can tell you they're winning right now. one note of concern i am worried about this new etf coming tomorrow morning it's more like a kind of a future where you own the fangs and couple other high gross stocks and whether there's irony ahead. that said, not a lot of money has been made investing in irony. it concerns metafang, which we created on the show is something so main stream we're supposed to throw money at the bottom line is no matter what the industry, if you own shares in a company that doesn't
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have, not a digital strategy but a winning digital strategy your goose is cooked. the other guys in the sector will set the oh venue at 500 degrees and burn your stock to the crisp. john in florida. >> caller: hi jim. >> oh man how have you been? >> caller: been a while. jim, this coming friday dinah vaks hepatitis b is coming up for approval, what is your outlook for dinah vaks going forward? >> i am concerned a lot of time after you get good news you get a sell off john i'd suggest taking a bit off the table before we get
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that i'm so glad your back in the fold thank so much for calling. braden in louisiana. >> caller: hey jim allow are you doing? >> i'm doing well how about you braden >> caller: good good i got a question about lie tum possession troll lum a few weeks ago you had a customer ask and you didn't like the differentials. the oil is significantly higher and the third quarter earnings were out and in my opinion we're very bullish has your thoughts changed on it especially if it can stay around that 50 to $60 window? >> everybody says oil is going higher some guy gave me a hard time saying hey, listen you burned me on apache. not everything can a gem but apache got the cost.
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rbg reliability is what we're on that's what i'd prefer you buy let's go to philip in new york >> caller: on november second i came across chemmet that had $41 per share, selling around $25 per share. the analyst rev is stating a strong buy then the following day the stock tanked, dropped 33%. it traded $30 a share. can you tell us what's going on with this company? >> you know what i can't, that's crazy. philip, i've got to do more work on that. this thing is the greatest buy in the world or something is so wrong people say it shouldn't be up on it we're doing more work on kim met, i don't know the answer
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glen in florida. >> caller: hello jim, how are you tonight? >> i am really fired up, again how about you? >> caller: i'm excellent jim, first of all i want to thank you for your profession and the service that you provide. second of all, before we get started i just want to ask you is the air-conditioning here in the background disturbing your phone call in any way? >> no actually -- i -- no. actually i kind of like it it's soothing. >> caller: appreciate and jim i appreciate your sense of humor excellent. >> oh okay we can crank it up but it's pretty good in here. what's the question? >> caller: jim we liked what mark pena had to say yesterday you were interviewing the force ceo, first of all with everything a little of our veterans deserve first class service. their family and all
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companies -- the stock question of interest is lice, lice. >> right i'm not quite sure the tie up to veterans but i do know that is a highly volatile stock and its not been my cup of tea let's talk about tech baby there are wars happening and if you want to be on the winning side you got to have a winning digital strategy that's what we learn on one market tonight maybe you need new -- they have companies like mob, rbi and carnival run better in the cloud. we'll continue to drive the stark hard which is up 80% for the year it's time to hop aboard royal caribbean. i'm talking to the ceo to see if it's smooth sailing.
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♪ when the stock of a fantastic company sells off part of a seem zbli good quarter, maybe you ought to consider that as a buying opportunity. just consider the case of adobe system marketing software that's been taken cloud by storm for years now. if you want your company to put its best food forward on the we you got to go to adobe
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when adobe reported mid-september the share got slammed. went from 155 down to 145. that was your moment to pounce because the weakness lasted a mon month. october the stock is up 75%. this is why i'm talking about buying the stock of great american companies when nothing's going wrong except when the seller is taking profit and buying out i got a chance to sit down with the bank bl chairman and ceo of adobe, an exciting company that's doing so much to democratize business around the world. take a look. >> sean, we're here at this unbelievable adobe facilitate in san francisco. i just saw a product that will revolutionize the way people think of things. $50 a month is what it cost for me to get that >> well the creative cloud as
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you know, jim is all about revolutionizing creativity for all of us. the more power we can put it in hands of everyone who has a story to tell, the better off. it's great to welcome you here at adobe >> thank you i'm dazzled. i keep thinking if i was a small business person i can compete against a big business person which is become democracy. there's a level of economic democracy which is far better tan any government can do. >> digital is the key point in -- and the more adobe can do in digital to be an enabler for everybody's business that's when we're putting the power after digital expediences and everybody to your point. whether it's travel hospitality, airlines or education, digital's going to transform the business. >> companies must be digitized to compete with others
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i don't know another way to be able to do it better than adobe. i also know, can people figure it out, i mean because it's so explosive that sometimes our own minds are the gaining effect >> the trick is going to be when someone has this incredible creative idea how artificial intelligence and what we're doing with adobe can really trands form it we had our max conference and introduced five new products, one of thin we actually showed was that people can talk and says find me an image that has a mountain in it change the orientation, add color to it. i think everybody can speak to computers. if we can hard necessary that idea then we can put it in the hands of every single creator. >> i'm not hearing the need to be a programmer. >> we always changed stem to be steams clearly the magic that's lapping
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is from our product people who are the computer science geniuses who are making this available. >> what's interesting to me at the most recent conference you raised the adjustable market for all the clouds one went up to $83 billion and people reacted with a plause could it be a trillion dollars one day? >> we're in a very fine atmosphere as it relates to a company that's growing our top line, growing the bottom line, 30% of our targets for next year -- >> but you're not a small company, you're one of the largest examines on earth and you're growing at that level >> the two strategics that we have is empowering people to create and helping businesses transform has never been more relevant the fact we've provided those two opportunities where business is front and center we're in a unique place
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>> i've noticed throughout a theme microsoft azure combinations with you make it quickly so people variations in the cloud. it tells me that democracy is what >> we -- associated with as people are moving to the cloud how can you do everything from infrastructure is that they provide from marketing and creative services. we signed a partnership with them on signatures so now our signatures are going to be embedded in office as well as in sharepoint i think when companies have a shared vision on how to put companies front and center and executing against it, magic can happen >> we got the big holiday season, i'm a retailer, i recognize these millennials don't want to go to the store. can i compete with bricks and mortar just with this? >> we have the mobile index point. we just announced some
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statistics yesterday we think it will be the first $100 billion online digital season ever. we announced mobile will cross the pc in terms of where all of these transactions are happening and we gave a glimpse of some of the key things that are top of mind for consumers if we can flozploktize that information something with great goods can always have good resources. >> okay, someone in a home with an idea for pillows, blankets, they can create it by just doing a sketch, put it online and it may look like they're the major department store in the world. >> if someone has a creative idea and they want to correspond with someone around the world who can do the manufacturing, instead of that process going from electronic, digital to
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paper, from digital to paper it's something everybody is expiring towards >> i know retailers. you get on the conference call and say we have to cut the time from nine months designers to when it's in the store because it's out of date, is this nine hours? >> it could be potentially be nine hours or nine minutes if you're ordering it. again as we spoke to sfloktizing the whole aspect of what is creativity for me and putting that in the hand of people and helping the businesses transform. what is happening on the business side is when you're mcdonald's you're moving all the screens to now be digital and you can order online with the mobile device. if your mastercard you're transforming looking at all the information that you've got. making that power and harnessing that power i think the s going to be a unique advance for us. >> how discuss adobe help in
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school districts where they otherwise would be left behind >> well, john and chuck who cofounded the company, they decided to give back way before it came popular. we have been given away 1% of net profits to underprivileged kids our beleft when you're growing up and you don't have access to digital, how do we enable everybody in high school or in k through 12 who has a story to tell, to have access to digital literacy and be able to further their cause. it's a very meaningful story for every adobe employee and we're proud to be part of that >> one last thing, a lot of people think of adobe as pd f. they are being used for digital now. >> pd f has become the -- for
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all documentation in the world the old tower of babble that existed, pd f has solved that problem. we have great outcome with pd f. when you have a technology that's deep for decades it continues to make great progress >> identify got to tell you sean you've revolutionized the world. the president of ceo of adobe, adbe, a stock that's one of my favorites. stay with cramer
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quarters this morning. a very bullish outlook for 2018. this isn't just, hey i think it's going well. in short you may think cruises are for old people, the truth is we're cruising more than ever before and millennials love it because the cruise is the ultimate instagram experience. don't believe it, go ask my daughter the stock is $3.89 can it keep climbing let's check in with richard feng the ceo of cruises welcome back to "mad money." >> hi jim. thanks for having me >> i got to tell you richard, this is the quarter where everybody said wait a second, the middle name is caribbean, the caribbean had the hurricanes, don't expect a good quarter. what did you do to make it so that you triumphed over natural
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causes >> well i won't say we triumphed over national causes but it shows how strong the market was. to overcome all those problems was amazing, and by the way, thank you for your daughter's help the instagram comment is absolutely on. people want those experiences, she's absolutely right >> well, i've been reading about your new ships, and the new ships are not just looking out at the water, they've got tremendous back drops. as my daughter would say, i'm rebranding on this cruise. this is how people speak the 20s and 30 years old love what you offer and they love the bargaining proposition >> and the millennials bring they're parents. once they try us we own them and their parents. that is the whole thing, the new ships, new experiences, new technology, all of those things keep people in touch, allow
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people to face time, allow people to instagram from the ship all of those things is what is driving this frankly incredible strength we're really quite excited to see it and i must say it's very fulfilling now, richard i know you and your company's done a lot to try to help the situation in caribbean. but you've also talked about how it's coming back online and people are going to destinations that we thought three months ago y you couldn't return for for a year >> one of the things is the energy we bring to these places. they see that too. they see the value of cruise tourists bring in the economic benefits that will help them recover quickly. they also put the effort into bringing themselves back if you go to most of these places today, as a tourist you don't see much evidence.
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i'm convinced that in the future they will actually look back and say we're better than ever i think this looking for silver liner i think you'll be surprised at how quickly they'll recover and how much it will be even better than it was before >> well, i don't want to dwell on the caribbean because the chinese numbers show me the party and ruling people in that country clearly are encouraging cruises over a lot of forms of vacation, these companies demonstrate that and you're putting more ships over there. >> well, for cruises to be mentioned as a significant driver for their five-year plan that was a big boom to our industry yes, this year we've had bumps in the road over there, political issues, we're convinced china is a big part of our future, we're investing heavy in it, we think the investment are worthwhile. we think we are the cast in china.
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like you said the government is for it we're very bullish in china. >> we're out here visiting san francisco, i'm not sure you can see it, it's clear the companies that are in every single company are relying more and more on technology how much more technology is there on a ship and at your company than there was five years ago? >> oh, there's no comparison and technology, you know, probably if you and i had talked a year ago, talked about this subject i would have said people are wanting it they're wanting to see the technology and that will be a differentiator, i think we're beyond that. people surchly expect it it's a price of entry, you have to have the technology and we're investing huge sums in it. i'm here in new york because we're having a big reveal of some of the new technology both on the digital side on everything else. and it's everything that we do, it's the passengers, the crew,
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the travel agents, it's everything, it's safety and environment. all of those things are now so driven by technology that we just have had to invest heavily in it. we've been doing it for a few years which give us a leg up, and we've been doing it for 20 years because it's now a requirement of our business as frankly any business >> we're finding in a bull market do not digitize you'll lose the customers how about onboard spending, how is that holding up >> so onboard spending is holding up and somewhat ironic because people want to overall experience retail is still a factor but so are all the other things, the dining, internet and those sort of things. the online spending booms for us we make it more accessible, coming back to your point. the technology makes it easier for people to do these things.
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people expect it to be easy and they go where it is easy we are expecting to push on that and for us it's been very successful proud of the team that's been working on that and putting it together >> one last question, whether you look at the bookings, i'm trying to explain to people, you actually have a good forecast, it's not just a company that says, you know what i'm feeling good about it, i'm talking about another company. you have hard dollars indicating how you're doing right now, right? >> one over the things we've been proud of is our revenue management system. we book forward, at any point at time we're booked out for half of the following 12 months we get a good indicator of what people are going not, we think they're going to do this, people are buying today. if there's a small glitch now we know how that'll impact us, three, six, nine months into the future so our forecast has been remarkably accurate.
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looking at 2018, we're ahead of this year which was frankly an amazing year, both in terms of the volume of bookings and the prices we're getting on those bookings i'm feeling pretty good right now. >> just to be sure i know expedia and price line stocks have been down, that does not in any way core late with royal caribbean. >> no, i think those are just two independent phenomenon we look at our bookings, every single day we get so many bookings and people calling and we look and see and say wait a minute how many of those calls are converting travel agents give us a good pulse on the market. so we get all that information and all of that gives us good indicators in the future >> richard, i want to congratulate you
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that hence why the company has reported another strong quarter today. revenue up, 33% year over year, and more than half the revenue now, reoccurring variety. this stock is up year over year. let's check in with the founder and ceo. hear more about the quarter and where his exchange is happening. lu, welcome back to "mad money." >> thank you for having me >> i look at these companies and i look at 21st century fox >> if you look at -- and we're thrilled to have 21st century fox do such a great deal with us they're becoming a huge company. nearly 2 billion people can access their content online.
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they turned to new relic to instrument everything in the digital experience to make sure they can move fast with confidence >> i know because there have been people talking about digital. mob if it's ever down, people call and they cancel >> right and fortunately they had a fantastic experience, flawless digital experience and we've partnered with them a long time they too understand that in order to build a customer experience nothing can go unwatched. >> that would mean they're trying to run thousands of programs you're capable of handling that load >> absolutely. we collect 1.5 billion data points every minute. that's all coming into the new relic cloud and then we put intelligence on it to make sense
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of the data so we can tell our customers what's wrong, maybe predict the problem before it becomes customer visual. >> so we spent time with adobe, why is that seamless, adobe sits here, new relic sets here how does it work >> the thing about adobe they successfully transitioned to become a cloud company adobe started with a creative cloud transition where all the products went through cloud delivery when the customer uses the product everything was flawless. we make sure their cloud software is working 24/7 because their software is their business >> this produced what seems to be a growth plus, a lot of it happens to be because you have an enterprise that's reoccurring. it's sticky doesn't did to
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somewhere else >> just this quarter we eclipsed 50% of our business coming from enterprise customers our enterprise business is growing faster than historical business now that we got these enterprise business from not only renewing with new relic but growing with them >> are you still doing a lot of stuff at jet.com >> we are yes. >> the numbers we're getting are extraordinary. people aren't talking about it because walmart is looking at the whole system as i would too. can you handle that load that load is -- nan know second, nanosecond order because people signing up for it is extraordinary. >> it is, these are complex environments you won't believe how much software has to work perfect for everything to happen we monitor everything so if everything isn't person we tell them in realtime what's wrong so
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they can fix it. >> if they don't hire you, it goes down, isn't that your greatest calling card? >> well, you know the most visual example was when healthca healthcare.gov went down years ago, they were flying blind. now, companies realize nothing should go into production and new relic is the best company to deliver that implementation. >> we spent a lot of time with carnival, good industry, they are attempting to make it so everybody is hospitality coordinated through digital. if that goes down and they only have a small window to prove -- these are shelf line situations that you have to intervene >> your digital experience is your brand you don't walk into a bank nearly as you fire up its app. think about the how the app is
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becoming more important than the actually bank experience to so many customers just like it is for our -- we have multiple cruise companies, they're digital experience is their brand experience >> and expedia, on the conference call they said we have to spend, be better i presume one of the thing they have to spend on to be better is down time. it's critical we can go to another company that does what expedia does and you pick them up. >> if the site is down you might lose for that one transaction, the customer may never go back you need to earn and maintain that customer's trust every day. the only way to do that is measuring everything that's not easy to do, we do that better than anybody else that's why the customers respect our flat form and go all in. >> i suspect it's going to be up more better than any stronger competitor we came to look out lou, this may have been the best of the ones we've been talking
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>> we're excited about the journey we got a lot in front of us >> the ceo of new relic. stay with us my ambition is to find something. me. ambitions live everywhere. synchrony financial gives people the buying power and financial toolsthat help make them happen. synchrony financial. what are you working forward to?
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it is time it's time for the "lightning round. play the sound, and then the "lightning round" is over. are you ready? it's time for the "lightning round. jack in north dakota jack >> caller: booyah mr. cramer apa apache what's up >> i'm not giving up on apache, i still believe but i've before a suffering catfish on this one. cane in texas. >> caller: booyah professor cramer >> what's up >> caller: my stock was at 160 in august. it went back to 120, i bought it at that level. now it's down in the 105 to 109 range which is the same level it was in november and december
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should i sell, hold or buy more of incy? >> it's been discouraging but don't give up the ship bob in arizona >> caller: hey how are you doing mr. cramer [overlapping speakers] >> financial's fantastic it's been incredibly well run virgil in georgia. >> caller: hey how are you doing jim? >> how can i help? >> caller: i wanted to see what you think about on semiconductors >> i like them, nothing there other than net that ladies and gentlemen is the conclusion of the "lightning round. lot of tech companies are reporting today. and, how's it looking? >>i don't know.
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there's so many opinions out there, it's hard to make sense of it all. well, victor, do you have something for him? >>check this out. td ameritrade aggregates thousands of earnings estimates into a single data point. that way you can keep your eyes on the big picture. >>huh. feel better? >>much better. yeah, me too. wow, you really did a number on this thing. >>sorry about that. that's alright. i got a box of 'em. thousands of opinions. one estimate. the earnings tool from td ameritrade. jack: this ridiculously long table in the middle of nowhere? jack: to invite all my friends in the industry to try this.
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jack: fast food's first ever ribeye burger. jack: made with 100% ribeye beef, grilled onions, a red wine glaze and creamy havarti cheese. jack: ahh, here comes the competition now. jack: and of course, since they work for my competitors, i've obscured their identities jack: except for this guy. jack: he is so screwed. jack: try my new havarti & grilled onion and all-american ribeye burgers.
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customers to keep coming they intend to stop the expansion until they figure out what to do, specifically how to keep cost down yet more travel so an operator comes out and says what we all think, there are too many restaurants and a result the company loses 25% of its value for speaking the truth. we wonder where there's so much agent you can only increase wall street if you keep growing your store base a statement about not putting up more stores, this decision will give us needed time to temperature approaches to inform growth wall streets are willing to back any company that seems to not be having any crises. in reality, the whole industry's having a crises with respect to mcdonald's and burger king brands red rob intaught us a lesson, keep putting up the stores or else
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that's the wrong thing most important management question i think is unstoppable, the desire to getting takeout delivery is better tan sticking around at the restaurant for a drink. takeout really does crimp your profitability. red rob insaid it sow a 2.3% to dine in. these figures could end up being dreadful if the takeout trend continues. that's because you have the rising labor lost, food lost and competition. in this company you need the alcohol sales to beat the numbers. that part of the business is getting killed by takeout and no restaurant is willing to come out and say, look we make a fortune on mixed drink and beer
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but not food and of course, here's what it all comes down to, millennials have it figured out. they know restaurant tracer overpriced, as my father used to say that's how they get you. machine y'alls love the burgers but the burgers can travel they can buy some at the store, pick up red robin on the way home this is a nightmare for any restaurant owner and it's the first quarter of this dreaded transformation stick with cramer. ive you unlimh hbo included for life. because you deserve more entertainment. and more spokespeople. talking like this, saying the word more. at&t. it's time for more. am i too close? i feel like i'm too close. get the iphone 8 and with all at&t unlimited plans, get hbo for life.
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you myour joints...thing for your heart... or your digestion... so why wouldn't you take something for the most important part of you... your brain. with an ingredient originally found in jellyfish, prevagen is now the number one selling brain health supplement in drug stores nationwide. prevagen. the name to remember. you know i always say to own apple don't trade it use snap, don't own it holy cow was that quarter bad. mauve over blue apron. i'd like to say there's always a bull market somewhere promise to find it for you here i'm jim cramer i'll see you tomorrow.
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>> welcome to the shark tank, where entrepreneurs seeking an investment will face these sharks. if they hear a great idea, they'll invest their own money or fight each other for a deal. this is "shark tank." ♪ peter ferreira, and dennis iannoti, who are seeking an investment for their pumped-up nut butters. hi, sharks. i'm neil cameron. i'm peter ferreira. i'm dennis iannoti. and we're... all: nuts 'n more. we are seeking $250,000 for a 20% equity stake in our company.
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