tv Mad Money CNBC December 8, 2017 6:00pm-7:00pm EST
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>> so it sounds like i'm contrarian to carter but it sets up likely, defined risk, bearish into the event i'm melissa lee. check out our lee. we'll see you back next friday "mad money" starts right now my mission is simple to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere, 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 to make friends, i'm just trying to make you some money my job isn't just to entertain you but to educate and teach you. call me at 1-800-743-cnbc or tweet me @jimcramer. don't look a gift horse in the mouth. sometimes things really are as good as they seem.
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that's exactly how i felt about the labor department's none pharma payroll report which showed better job growth s&p advanced .55% and the nasdaq climbed .40 percent. the jobs report frankly has something for everyone, good manufacturing growth, tame wage growth i know it's not great for the vast majority of people who work for a living, but it is terrific if you're a business that wants traits to stay relatively low. at the same time there was enough ammo for the fed to tighten when it meets next week, and the federal funds rate is so low we can handle some rate hikes before it starts hurting this smoking hot economy rate hikes trade into booming earnings for the banks, one of the biggest groups in the whole s&p. let's not get ahead of ourselves. there's a lot going on before we get to a wednesday where i'll talk about the swan song, not the black swan, the swan song.
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when we come in on monday, look out. you'll be able to trade bitcoin futures. that's right the cboe will seek to create a two-way market in the so-called crypto currency. when i say tame, i don't mean it will go down, i have suspicions future sellers will use it for it to go lower bit cone is the least transparent bubble i've ever seen that ends sunday when the futures start trading on the cboe and we'll see if they can survive the scrutiny that comes being listed on a prominent exchange at the very least i think bit cone holders will want to hedge. some have to be frightened the most recent rally is what we called a walk-up, meaning hedge funds walked up the price of bitcoin on little volume so they
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could get short at high levels and blast the darn thing to keng dom come on monday we find out what happens when there's a real market for this thing. it's going to be revelatory. this morning one of my favorite analysts put out a devastating piece about how 3m should be sold because its big tail winds are turning into headwinds remashed arguments about how things can't continue to be this good for the men associate that giant. i thought he was dead wrong. he assumes they're a static company that can't adjust to the changes coming time and time again under the ceo, 3m innovated itself out of difficult situations don't take it for me on tuesday 3m holds an analyst meeting that will tell a compelling story that justifies the stock's 33% gain for the year i see today's weakness as a
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buying opportunity he got you out of ge, told you how bad things were were the troubled industrial when others were in complete denial. nobody is right all the time i think the underperform rating he has on 3m, it's ill advised how about janet yellen, last fed chair press conference, oh, boy, i'll miss her. we'll all miss her when she's gone i believe she'll tell a story why it makes sense to raise the federal funds rate by .25% without hurting the economy. she's been an effective fed chief, gets little credit i think. one of the people that served the country incredibly well. managed the federal reserve terrifically, always took her oun counsel. the commentators that want her to jack up rates quickly for fear of phantom inflation, she didn't listen to them. i bet we'll look back and marvel how she helped engineer the stronger economy, one with very little inflation i think the people who don't give her the credit she
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deserves, you should be ashamed of yourselves. yes, she's that good i wish her the best of luck when she leaves the fed, and we are most for rat for her service i expect no surprises on wednesday. i'm now convinced, if she doesn't raise rates we'll get a big bank selloff thursday is a huge earnings day. we'll hear in oracle, costco, adobe. these are important stocks that will impact the entire market. the first, costco generated incredible monthly numbers and i think will give an excellent report like home depot costco has been able to triumph over amazon in a club basis last quarter they beat themselves up about their online offerings. they ears merciless towards themselves let's see if they're feeling more satisfied now maybe that's why costco is so good they're never satisfied. oracle, a tough one. lately they've been getting
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number cuts by research firms, but doing it on surveys of the software giant's business. it's all centered on how it's not able to compete with the likes of afl bit, amazon or microsoft which is as your when it comes to the cloud. last year oracle popped when it reported but then gave up the whole game maybe it pops again, but the trajectory from after that last quarter, it makes me wary. last month he spent time with adobe ceo and went to the san francisco office, beautiful offices in san francisco boy did i like what i saw. he is harnessing artificial intelligence to make better presentations and applications doeb has become the premier marketer of the web with truly breathtaking tools we're in a strange environment right now. tech goes in and out of favor in a single session like today, where the internet of things, semis and cell phone stocks started incredibly strong on an up day and finished down my feeling is trading doeb may
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be a bad call. i like it as an investment, if you're willing to buy the stock and hold it giving the dominance in online marketing. can i just say it's a very hard stock to hold on to. but you've got to believe because the company has built a fabulous business. we also get a clinic in life sciences and environmental services among a plethora of other businesses, when dan very wong, a favorite holds the analyst meeting. the stock of these health care instruments has been on a tear i told members of the club in our monthly conference call this week that danner in has long been one of the best run american companies, and it's put together an amazing mosaic of health care related divisions that really hums by the way, they all floated their more cyclical businesses even when one business lags like they have, like its dental division, it adjusts and does the right thing. i'll be following this meeting closely and pass along whatever happens. it's probably going to be i think a pretty rah rah session finally on friday we have an
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analyst meeting with centene i don't know if you remember them the ceo has been able to offer health care at reasonable prices all across the country his company profited mightily from obamacare wait a second i think it will profit in any environment bay eve got a lot of exposure in medicaid you need to keep your eyes on this one in case paul ryan takes an axe to health care spending centene would be the buy, let it come down and buy it that's the right strategy now for four years all week we'll be hearing about the conference committee on the tax bill and follow every turnabout corporate rates and pass-throughs and how it's already paid for we'll hear chatter, i understand, that the president is going to plow ahead with the gigantic infrastructure bill i can't imagine that going anywhere in this congress. either way the bottom line is simple we're in a market that turns on a dime until we have more stability, you need to be ready to buy your fave rigts on market-induced
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weakness as nearly every stock seems susceptible to fickle agony and ecstasy you can profit from if you can handle the emotional thicket, because the direction of the market and all the records are up jack in connecticut, jack. >> caller: jack, boo-yah from fairfield county, connecticut. >> fantastic what can i help you with >> caller: i'm looking at biotech to rebound i'm interested in your thoughts on my three favorites. first, are they all heading straight up and secondly how do you prioritize in this type of environment with buy i don't tech the first is alexia, up about 7% today. it's got 52-week spread at 96 to 150 and sitting at about 14. tell general is up 3% and blue burg buy i don't is the third one. >> let's take them blue berg buy i don't, i like their science. sell jean has been upgraded a couple times, told me it's
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finally bottomed this alex i don't know, elliot is in there, elliot partners i like the really high quality work not going to go wrong with that. let's say sell jean is the most, say plain vanilla. alex i don't know, bit up today. i don't care for that. blue berg is total spec. nate in washington nate. >> caller: hey jim, love the show, love your book. >> thank you >> caller: my thought is et see, i bought in around 14 bucks a share. and last -- the stock gradually went up. last month they reported a 15 cent earning beat and the stock flat lined recently and been on a tear despite amazon's home made platform. is this uptick, can it be attributed to the holidays if so, should i ring the register >> no. this is brooklyn's own
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i went by their headquarters just the other day i have to tell you, this company is now run by professionals, it is doing a remarkable job. i've always liked it my daughter sold stuff on it it's a crafts -- remember, we're a crafts country where do you buy crafts? amazon can't shoot them down you go to ek see the site is a lot better i think you got a win fler this market has a fickle mind of its own. that's why you need to be ready to buy your favorites because the overall direction as we know from the new highs that we got is up. on "mad money" millennials are bulking up on what besides instagram? protein. i'll give you my take. what does the tax bill mean for the home builder i'll sit down with ceo navigating the changes in california first, a revolution going on in your home and one company is taking the share of the new market you may not see it tonight i'm shedding light on a stock that could be ready to
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shine. the term is light. stick around for an enlightening idea and stay with cramer. >> don't miss a second of "mad money. foll follow send an e-mail to mad money at cnbc.com or give us a call at 1-800-743-cnbc miss something head to "madmoney.cnbc.com [lance] monica, it is absolute chaos out here! gale force winds, accumulations up to 8 inches... ...don't know if you can hear me, but [monica] what's he doing? [lance] can we get a shot of this cold front, right here. winter has arrived. whooo! hahaha
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when a stock that was written off and left for dead makes a miraculous comeback, you better believe i take notice consider the case of cree, a leading player in the l.e.d. lighting business. they make both l.e.d. chips and actual bulbs with a stock that's gone from dog to market darling in just a matter of months i've got to tell you, i thought the move is surprising i decided to drill down and figure out what was going on years ago when the obama
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administration started phasing out bulbs, cree became red hot, climbing to from the teens to the 70s and then pulled back and then back to 70 before it gave up the coast in 2017 at the end of the day the l.e.d. chips, they're a commodity product which means it's easier for competitors to come in and flood the market with supply that's exactly what happened for many years, the stock ended up in the low 20s. and that's where it stayed, that is, until a few months ago starting in august, this thing began to take off again, cree has made a remarkable move, up from 22 to 34, up more than 50% in more than three month's time which begs the question what the heck is going on here? let's start by looking at what cree has done. the company is three divisions, lighting products that we all
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know, meaning the lighting systems you can buy -- they sell a ton of them at home depot. l.e.d. products, chips and components used to make displays for everything from computers to smart phones to television sets, to other company's lighting systems. a third division that i never even thought about, that division is called wolf speed, one word, wolfspeed. a catch all-for their power radio frequency chips. they began a major restructuring in their l.e.d. business, cutting costs to better handle this incredible l.e.d. glut. cree did manage to stabilize its l.e.d. segment, then the lighting and semi conductor business went negative in the summer of last year they announced another dramatic move. they played to sell this wolfspeed division to a german chip maker infineon for $850 million in cash. wall street initially cheered
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the move analysts jumping all over themselves to raise the target by this january the company delivered a huge top and bottom line beat. management gave guidance for the next quarter that was wishy-washy that put a damper on the comeback when it seemed that cree might be getting its act together, the wolfspeed sale fell apart. the reason, it ended up being blocked by the committee on foreign investments in the u.s normally you only hear about these guys when a u.s. company is being bought by a firm based in china, ukraine, middle east but the one exception to that is technology still they rarely block a deal with a close ally like germany, right? that's exactly what happened back in february the committee on foreign investments determined that this wolfspeed bill posed a national security risk to the united states so they flat-out blocked it. suddenly the deal was off. it seemed like you were left
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with the same old cree again, stock stuck in the 20s for ages. when they posted in april, a substantial miss, instantly lost 11% of its value ouch, this thing has been such a bear but then in may cree realized they needed to change. the chairman and ceo had been there forever, he announced he was retiring as soon as the board found a replacement. stock record on that news, rallied 13%. a classic case of addition by subtraction if you ask me. the real term in september, cree named greg lowe, the former ce o. that sold itself to nxp semi. lowe is the real deal. when the company reported mid october, they finally got it right. at first it was the same old
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same old, initially the stock sold off a bit after the market opened, it turned around and ended up folding up 16% than 34, the highest level in two years why? get this everybody got real excited about wolfspeed, the power and rf semi conductor division the company had tried to dump the year before even those wolfspeed is the smallest division, the ceo admitted it's on fire. huge sequential increase wolfspeed's biggest problem, what's keeping it back lack of production capacity to meet the demand. mcdef rin went on to explain they'd be investing more going forward with the goal of doubling capacity by the end of next year. when lowe began speaking, he talked about evaluating and focusing the strategy of the company, end quote he sold free scale to nhp semi which qualcomm is trying to
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recover right now. the presumption is he's going to focus on the chip business why is this wolfspeed division so hot it is the smallest part of the company. 15% of their sales last year they tried to sell the darn thing under previous leadership. they nearly doubled sales in 2015 fiscal year it would have done better if not so neglected by the old regime they have many applications including electric vehicles, yeah always exposure to the 5g wireless networks. on the radio frequency side, they make amplifies used in aerospace. electric cars, 5g, airplanes can you believe the dopes wanted to sell this they should have been trying to sell everything else except wolfspeed. no wonder they brought in a semi guy like lowe to run the
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company. it's been sitting on the hidden gem all along. deutsche bank upgrading the stock to buy a stealth play and i know what you love, electric vehicles put it altogether, and i think the rerating, that's the term of cree as an actual semi conductor company has only just pe gun here is the bottom line, better to be lucky than good, people. cree was very lucky when the regulators blocked them from selling their best business to the germans with the company's non-l.e.d. semi conductor business catching fire and a smart ceo running things, i think you should buy cree. ideally maybe a bit of a pullback because this cree is a lot better than the old one. much more "mad money" ahead including my take on the power of protein in this market. is it time to start looking for a play in this space or could you be counting chickens before they hatch how can taxes impact the housing
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market the labor department released the unofficial figures for november this morning, are they worth celebrating? i'll give you my take. stick with cramer. at t-mobile, when you holiday together, great things come in twos. like t-mobile and netflix. right now when you get an unlimited family plan, netflix is included. ho ho ho! t-mobile covers your netflix subscription... best christmas gift ever! ...so you can binge watch all year long. now you're thinking christmas!
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we in cramer are always on the lookout for powerful secular growth themes and trends that can drive monster multiyear gaens. tonight we have a big one i need to elaborate on. i'm talking about protein, specifically how millennials seem to love protein like it or not, millennials are the future and there's milt euns of them. i know this sounds silly they made fun on me on "squawk on the street. more important, aren't
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millennials supposed to be going vegan or vegetarian at alarming rates? as it turns out, the younger generation does love protein the one they really love is chicken. i think millennials are so image conscious -- en sta grahaming each other, they'll do anything to avoid eiding carbs including going full carnivore they love chicken so much roar capital is taking buffalo wild wings private. that's the tip of the iceberg. before buffalo wild wings there was popeye's remember them? the parent company of burger king acquiring popeye's louisiana chicken. the company has had two full quarters under its belt. so far the rilts aring looing good hence why the stock is up 27% for the year even as it sold off pretty hard over the past couple weeks, because they're based in canada. they don't seethe same benefit from reform as an american-based chain would in its taxes
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then just last week we got confirmation that arby's which belongs to roar capital would be snapping up buffalo wild wings for 42% premium versus where the stock began trading. those rumors were pretty shocking as buffalo wild wings has been performing pretty poorly for quite some time one chicken chain getting acquired, okay, isolated incident but two? i think two is the beginning of a pattern. there might be more deals in the works. on monday a must follow dan prime mack of axios reported arby's has greater ambitions and is amazing a war chest to fund future deals more important, the poultry bull market goes well beyond the restaurant space it's a two-prong story the second prong is cramer fave tyson foods which i think of as a gigantic butcher shop. they have exposure to beef and pork and prepared foods, but
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lately running because of the strength in the country's poultry business make no mistake, tyson is on fire, faltered from the mid 50s in may up to 83. that's an enormous food for a large cap food company some of that is because management has made a series of strategic changes designed to improve the business, also pandering to millennials tyson embraced sustainability, selling antibiotic-free poultry. two things, they really hate antibiotics. we had tyson on. they look at the labels and stuff. they made a smart acquisition picking up this thing called advanced pierre, a package food company with a big sandwich business the last acquisition, hill shire farms has worked out so well as ceo tom hayes told us, a lot of the strength here once again comes down to this
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sure enough, the stock is giving a terrific 17% gain since the last time i recommended it just two months ago even better tyson reported a strong quarter in mid november with management reiterating bullish guidance for all of 2018 best of all, what's the commentary on the conference call which sounded giddy as dennis leather by, the chief financial officer said, we have a tremendous amount of momentum going into fiscal 2018 as we come off 21% earnings per share growth then he added, quote, our first quarter fiscal '18 is off to a good start in terms of the chicken bull market, ceo tom hayes explained the company's adding chicken capacity because the demand has been outstanding and outpacing hayes wants to keep supplies short of demand. that's how you get higher prices so many people want so much chicken they've needed to increase their supply anyway in short, tyson sees strength in all of its protein categories,
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beef, pork and chicken as we head into 2018 there's no seen of demand for meet abating how do you play the protein bull market for starters, let's not overthink this i like tyson, b even up here the fundments have continued to improve. stock is cheaper, 14.4% nextier's earnings estimates that's too low tyson is only a tiny bit more expensive than when i recommended it back in october back then it was trading at 13.6 times next year's numbers. a lot of room to run what about the restaurant side of things. with popeye's -- i used to pronounce it pup eyes. my kids made fun of me buffalo wild wings getting acquired have you thought about wingstop? wingstop could be next i don't know about a takeover bid. it turns out both the company and the stock are doing quite well wingstop is giving a fabulous 43% gain since we spoke to ceo
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charley morrison on february 2nd right before the super bowl. make a note we have to have him on -- no, i'll be in minneapolis. what makes it so strong? thanks in part to the protein bull market, our insatiable demand for chicken notice this one prop it's ridiculous. where is all the other protein wingstop is one of the few restaurant chains that's still putting up lots of stores. some of ha is because they're pretty small the fact remains this is a rare growth restaurant stock and the numbers have been good in the latest they increase 14d.6% per year. they have 1,088 locations. same store sales up 4.1% protein bull market. that said, wingstop stock is expensive, 43 times the 2013 estimates. i don't expect to be taken private. after all wingstop used to be private. guess who owned it roar capital, the same guys who
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just bought buffalo wild wings until the ipo. wow, good numbers. i'm not going to recommend buy more at this level i think the stock can go higher because the wingstop is mostly domestic and pays 36% effective tax rate a big winner from tax reform here is another one that you know i like, but it's moot young brands they're the parent company of pizza hut -- they're going to start delivering beer -- taco bell and the chain i'm interested to hear kfc, which i love this stock is up more than 30% for the year with taco bell and kfc being the main drivers what can i say people can't get enough protein. young trades at 26 times nextier's numbers. it used to be a very inexpensive stock. you can get 22.5 times number for 2019 it's not my favorite, you have my blessing to buy this one.
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a pull back. why? it's a really well-run company i don't like paying that high multiple here is my bottom line it may sound like a silly these sis and people laughed initially. protein is red hot i think because image conscious millennials are desperate to avoid eating carbohydrates the best way to play with it stick with tyson foods tyson is a buy, buy, buy we just changed our menu, we added a whole bunch of chicken dishes, literally because of the poultry bull market. donna in north carolina. >> caller: hi, jim, bu yeah. love your show. >> thank you >> caller: jim, my question, i have twin sons that are millennials, and i wish to get them interested in investing because one day they may inherit stocks from me what advice would you give me
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and other parents that would spur those millennials' interest and mainly patience for long-term investing, getting them to be savvy investors so that they will understand what they will be doing >> this is a great question, donna. i've addressed it a couple times. let me be really, really succinct what do they like? that's what you have to start with if they like to go to mcdonald's, we have a possibility. they like to go to wendy's if they like to shop, on amazon, facebook we need it to be there are things that they like so they'll stay interested and buy more because they like it that's the way to go phil in south dakota >> caller: hi, jim how are you? >> i'm good. how about you? >> caller: my question is about domino's pizza. >> up nicely today did you see that let's talk about domino's.
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this company -- this stock has been under pressure for a long time people keep thinking the last quarter wasn't that great and international is not growing that well. can we just give patty doyle a little slack here? he's built a great multiyear situation. you know what? it's not a what have you done for me lately situation with domino's i think you sock it away why? because they are a technology company that delivers pizza on time and, yes, i like the banana peppers and no cheese. press that no cheese option. it's a tomato pie. it's delicious millennials are muscle in on protein. there's power in these stocks. i say bulk up with tyson foods much mover "mad money" a leading california home builder, how are the wildfires ravaging the region affecting his business? then what's today's unemployment number mean for your portfolio going forward? all your calls, rapid fire
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how long can the home builders keep flying high here this group has been red hot. things are -- there's a couple things in the way that could hurt them. next week the federal reserve is certainly going to raise traits. as they tighten, mortgage tends to become more expensive at the same time this tax bill is going to conference between the senate and the house we don't know how the end product will affect the industry the mortgage interest be reduced? will homeowners be able to deduct property taxes? these things matter huge if you're buying a house. let's check in with try point group, tph, huge exposure in california, nevada, arizona, virginia, rallying like crazy, up 53% for the year. could this be a buying opportunity or do we need to be more cautious? let's take a closer look with doug bauer, ceo of try point to get a better sense of how the company is doing welcome back to "mad money."
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>> thanks, jim good to be on board again. >> your stock has been on fire people say wait a second, california, the property taxes are high, tray and local you've got to be able to deduct or they won't buy homes. it's the opposite. it's been fabulous in california, hasn't it? >> it really has our third quarter performance, orders are up 36%. backlog was up 32%, our eps is up over 100%, and our deliveries are up 9%. overall, when you look at the housing market right now, it's very good. demand is very good. it's really broad-based, too it's not only entry level, but move up in luxury. while we continue to fight some of the constraints that are going on in the industry, most notably, land, labor and regulations as i always talk about. >> now, there will be people who watch from the east who will say how is this possible we see these terrible wildfires
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in california. it's expensive as all get out in california what is it that makes it so people do not seem to care, they want to live there >> well, jim, when you look at california in particular, we build in eight states, as you mentioned earlier. california, though, is one of our biggest markets. the state of california is really in a housing crisis as far as supply. so the biggest impediment here in california is land entitlements and having the land available to build on. as we talked before, one of the great investment benefits th that tri pointe has, we own and control over 17,000 lots in california and from that reverse merger that we had with warehouser self years ago, all that land came over at their basis. so we have a distinct advantage from san diego up to l.a. producing a lot of product that is in high demand right now. >> one thing i saw in your most recent conference call, we're
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talking about what's going to happen to state and local taxes. but we also know that tax rates are coming down. i was shocked, you with 37% -- you're the highest company i've talked to. you 37% taxpayer this could be a windfall for tri pointe shareholders. >> we're a big believer in tax reform, not only for the corporate side of it you were talking a little earlier about the overall -- when you look at the overall tax reform package, both from the house and senate we really view it as it needs to be a balanced approach the american home and buying american homes has been part of our culture, part of the american dream the american home is where people save money and also consume. as the senate and house get through conference, we hope they take a more balanced approach to all aspects of the bills,
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whether it's interest deductions, the s.a.l.t. and property tax deductions. needs to be a more balanced approach frankly, i don't really agree that the doctors and lawyers in california, new jersey, new york should be paying for a corporate tax break for apple. i think there needs to be a more balanced approach. >> one last question, because you're not in the area where i'm from, but i need to get a sense. i have a house in jersey everybody around me says your property has lost 10% to 15% just on this tax bill alone if it goes through. you're not in jersey -- you're not in new york. do you think that is a calculus, if they keep this the way we're hearing on s.a.l.t., is that an actual possibility >> no, i don't i think when you look again at the fundamentals of housing in california, and we're not in jersey, as you said, but there's such a shortage of supply in especially california, and there's such a strong demand
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that i don't think these tax reform packages are meaningful enough to effect pricing that way. but i still just fundamentally believe in a more balanced approach that the house and senate should take. >> boy, i sure hope they do that you're absolutely right. you're in the right states, no doubt about it you've got to right communities doing fabulously well. doug power, tri pointe ceo we like the housing situation going on because of the shortage they've got the best land. "mad money back in a minute. i've asked chase sapphire reserve cardmembers to find my next vacation. uganda, what are you up to? that's a real silverback gorilla. i'm freaking out! 3x points on travel and restaurants. sapphire reserve, from chase. make more of what's yours.
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♪ let out your inner child at the lexus december to remember sales event. lease the 2018 es 350 for $319 a month for 36 months. experience amazing at your lexus dealer. it is time time for "the lightning round" and then it's over are you ready skee-daddies i'll start with allan in ohio. alan >> caller: thanks for taking my call united states steel. the symbol is x. >> why would you want to do that when we have new core breaking out on an infrastructure play. john in virginia >> caller: jim, a big boo-yah
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from the snowy old dominion, aaxn, axon, been in it since about 2002. >> do you remember this? this is the old taser, and we like it. we think it's doing well sam in pennsylvania. >> caller: what's going on, jim? >> what's going? >> alks. >> i think richard has done a good job peerp odd cli negative press on their drug, it's really good jose in florida, jose. >> caller: what's going on, jim? >> not much. do you tell me. >> caller: first-time investment here wanted to get an opinion from you. just wanted to see if you can help me out. i invested a little bit under a thousand, over a thousand when sprint was just under six. >> sprint is a real long-term situation, jose. if you want shorter term it's
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t-mobile if you want income, it's verizon. time for one one john in alabama, john. >> caller: big boo-yah and roll tide from lower alabama. >> roll tide what's up. >> reporter: want to snow about ipt. >> a little too hot. that may not be my style let's go to brian in florida brian. >> caller: jim my friend, how are you? >> doing good. how about you, brian >> caller: great the market is soaring and soaring, gm is going down. can you ease my fears? >> i don't like the auto stocks, not my cup of tea. and that's the lightning round >> the lightning round is sponsored by td ameritrade >> boo-yah from philly, pa, the home of this year's future super bowl champions, the philadelphia
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eagles. >> how can i help? how about that for pin action? great. >> that's been the big theme by so many -- let me start again. >> cramer! >> yo-yo. >> mobile internet tsunami playing with the house's money only need to get rich once. >> hello from brooklyn, new york. >> boo-yah, jim cramer, my man you're the man, the myth, the legend thank you for all your great advice. >> the reason we still play am i diversified even though on twitter people want me to play am i bitcoin. >> do you know how you play boo-yah in spanish >> no. how would you do that? >> boo-yah. >> i named buck bitcoin today. that's my goal
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lordy, if anyone had ever told me we could get a spectacular non-foreign payroll number that showed employment increasing by 228,000 without also causing interest rates to immediately shoot up, i would have said that you were out of your mind. yet that's exactly what happened today. we had an amazing report with
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new jobs being created at a rapid pace look at the manufacturing side, there's something new, added 31,000 jobs. manufacturing jobs are in diverse industries like fabricating metal products, plastic and rubber, electronic products just the kind of higher-skilled blue collar jobs we want to see. normally this kind of number would be accompanied by inflation which sends inflation rates soaring. not this time though while there's a lot of hiring, there's not much wage growth that's what scares the bond market average hourly pay inched up five cents, $26.55 over the year, wages increased by 65 cent, it shows why we can have fabulous hiring without soaring interest rates we literally have not just growth, but growth without any real inflation that's the holy grail of economics. i can't stress enough how wear this is.
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growth without inflation is one of those things that is impossible in theory you almost never see it in real life, at least not an industrialized country like the united states. it's not something from econ 101 or working at goldman sachs. i'll skill conditioned to look at :30, a minute after the jobs come out, you have to look at it a rm no ber like this would cause bonds to sink. prime rate increase by major banks. we got no reaction at all. look at the bonds. i thought the machine was broken how is this possible economists were in good shape before the election. since then better and better i think deregulation, i asked gary cohen about this this morning, the president's advisory it's given business a remarkable level of confidence. the same goes for the tax cut. some is rebounding for the two terrible hurricanes. whatever it's working
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how do we find ourselves in this remarkable situation where there's no real inflation? i think some has to do with technology as workers become too expensive, what do companies do they automate. much of the manufacturing growth comes from the newly found oil and gas in this country. we're pumping the most we ever have it boosts growth while containing inflation plus more slack in the labor market than you think. so many people left the, would force during the recession that's why we can have a boone in hiring without an increase in wages. not great if you work for a living i know that. i'm not trying to minimize that. i am saying it is "mad money" and this situation isser in van far for stocks i know the current state of things might not last. autonomous driving could lead to a decrease in employment, same for point of sale in retail. there are countless other inventions that could limit wage
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okay everybody this market has got a weird sense of the jitters what opened up the high has finished up the lowest what opened the lowest finished the highest. what do you do in these situations how about looking for the companies that you really like and picking your spot and your price, and when it hits it, you buy. that's what kind of market it is it's a price sensitive market. there's always a bull market somewhere. i promised to find it just for you right here on "mad money." i'm jim cramer i'll see you monday!
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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." ♪ first into the shark tank is jonathan boos with an innovative product line for the well-dressed man. hi, everyone. my name is jonathan boos, and i'm the owner of the men's brand wurkin stiffs,
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