its prospectus ahead of a public offering says shareholders plan to register 56 million shares for sale it's going direct with no underwriters it's not going the issue new shares but there will be plenty on the market. >> there will be liquidity to take advantage of. we will see if the buyers scoop it up. >> that does it for the "closing bell." "fast money" begins right now. >> "fast money" starts right now. live from the nasdaq market is site overlooking new york city's times fair tim seymour, guy adami and dan nathan tonight, facebook heading for its worst week since 2014 as it continues to come under fire the company saying it is outraged what is next for the social media giant and what it may mean more the mark. tom lee says forget the off coins. bitcoin is still your best bet first we start off with the fed's moment of truth, jerome powell getting ready to spread

his wings in his first news conference as fed chair which he is i had withly expected to hike interest rates and wall street will be hanging on his every word as the ten year yield -- can the markets withstand the attack of a hawkish fed? >> i don't believe they can. i thought the fed was going to derail the rally for the last five or six years. and frankly they have threaded the needle for that period of time brian was here a few weeks ago he said the markets like to test new fed chairs i'm in accord with that. i think they are going to raise rates four times this year and my sense is it's going to create more violent vo tilt i think it's market negative >> do we see more volatility already in anticipation of the four rate hikes? >> we z. agree with what guy is saying inthe question is how much has this fed been priced into the

market and are people aligned with a fed that's going to move three or four times this year. 127 on september last summer to being at 233, in that's extraordinary when you consider the sensitivity i think a lot of households have to libor and short-term interest rates. people are expecting the fed to be not pushing the apple cart. i think you have to be careful about that >> remember weeks ago we had jerome powell in front of the financial services committee he was too optimistic. the market sold of to. then he comes back and tempers the enthusiasm my sense is there. jeffrey gun lack was out last week warning 3 thrz on the ten year treasury yield is going to be a problem for equities. i think it depends how quickly it happens i don't think powell issing go to be overly optimistic tomorrow getting people to price in four hikes this year. then you have a situation where

it's back to the other stuff, about valuation. >>io political concerns b the rate of growth how is q 1 gdp coming along. that sort of thing i don't think it is a big disaster because i don't think we are going to see four hikes consecutively this year. i think the market has time to figure it out. >> it's important to have it unchained from a das% suspective three and two -- >> you are following the dots when the dots have been way off. >> there are lots of missing dots >> the language in getting a little bit more hawk ir. if they do move next year a lib and push it out. i think the language supports it maintaining a 3 and having more hoggish language is sweet spot scenario and the markets then, the fear of essentially falling behind the surf curve are alleviated. inthat's a super important point the make falling behind the curve could be the biggest rick for the fed. i think the market is looking at

it that way. >> that indicates we have got problems and that there is inflation there. that's the danger zone. >> i'm with you but the data thus far has been positive we have had ebbs and flows on that ultimately there is a concern we do fall behind the curve falling behind the curve is more negative than raising rates and having yields go above 3%. >> here's one thin i want to say with the federal and the market. the fed -- remember the sequel of button on the ham radio in the '70s the schedule of button would essentially take down the noise. i think the fed has been doing that the last eight years. that's clearly out of way. i think when the market spiked up to 40 that the fed could step in and then them out that's not going to happen. >> there is no more put. >> the fed is not going to go. i don't believe that >> to put the price lower. >> we might be in a environment where if the fed raises four times it's market negative and

if they don't it's market negative people will say after eight years what did they see that we don't, and what are they concerned about. >> eight year period into the recovery is important. when you think about '04, '05, '06, it was a foregone conclusion we were going to get fed funds back up to 5% or something like that. they did that. we were in a raging bull market. i think the big thing now is we have gotten down with qe and zerp they have got a lot of wood to chop over the next couple of years. the question is does the recovery stall out before that i don't think we have to worry about overheating and inflation. i think it's more about when does the bull market peter out and we go into the next recession. >> let's say you are right. >> probably am. >> maybe not maybe the market overheats or maybe there is not enough growth

ultimately that takes the pressure off the fed i believe the markets are priced in that we have record corporate earnings, we have higher multiple price to sales, price to book is very expensive here. from a market perspective, there are two thing you just described. don't let that market go higher. >> let's say tomorrow goes perfectly. >> meaning what? >> they move and no change to the dot. three this year they say and the commentary weighs on being on theistic do you buy the market? the market will rally. do you jump in and buy the market as we move higher or do you get concerned about other head winds. >> that was going to be my question >> i'm sorry. >> no no if we are pricing 100% tomorrow, 0% for june and the last one is in the air what do you do? chances are that's what's going to happen. do you think jerome powell is going to leave the door open >> yes, i think he is going to leave the door open.

>> if language is usually weird. >> it has not been epically strong or accurate. >> in the past. >> we will play the game we go back to a conversation we had last week where it's is this now a sell the rally market? i would suggest it if you were to see the market rally tomorrow on the back of this -- listen, today's performance, the s&p was up four handles after yesterday, custom is typically a turn around tuesday. nothing turned around frankly. i don't think today's price action was all that good. >> i've been consistent about this if you look at the selloffs we had in the summer of 2015, august and september we had a double bottom. we had a situation where septembered tested august and then you go to q 1 of 2016, january and february, the same thing. february tested. i think there is a test of the february lows coming in thenex couple of months i think the high that he would saw on the nasdaq is in. we are going to talk about the tech stuff later. >> weren't you just constructive about this environment >> i understand.

tim, you have got to understand. what i'm talking about is the parabolic move since tax cuts has been taken out the fact that the s&p 500 didn't make a new high with the they had win. and the nasdaqs have a top to them near term i think s&p underperformance is important, inthe russel is expensive and we are going to test the february lows i'm not saying we are crashing or the bottom is coming out. >> i agree with you. >> i looked at names i found compelling from a valuation or near term catalyst perspective it's difficult in this environment. i don't care the sector. >> with earnings season coming up >> i can find nichy names that i like and appreciate that have near term catalysts and i will be able to make big on biotech i feel it's blah. >> you said biopharma right now is blah? mark this date on your calendar.

>> even the financial trade has been wearing itself out a little bit for the near term. i found a difficult time today buying thing. >> will the fed trigger more market volatility. let's ask greg davis he i don't have sees $5 trillion of vanguard investments. greg, great to have you with us. >> great to be on with you. >> i don't think we have spoken since your promotion congratulations to chief investments officer. >> thank you very much. >> it's great to have you with us what is going to happen. >> i believe we will see a quarter percent rate hike tomorrow in line with market expectations in likelihood we will see three quarter point rate hikes this year. >> and for next year >> we are assessing it to be three as well. but it's ly going to be a scenario where it's depending upon the economic data that comes in and specifically around inflation and whether or not we see a pick up in inflation over the thyme. >> what do you think the tone jerome powell is going the take?

do you think he will be hawkish or dovish? he has to answer q and a presumably it will have political questions which he will have to walk a fine line on >> i think it's going to be a steady as she goes type of mentality where he is going the try to remain calm and assure the market they are on the rite path but they have to verify that with the data that comes in over type and adjust accordingly. i don't think he is going to come out and try to surprise the market in any way there. >> greg, it's tim. in terms of very spreads because that's been the part and that's really what you are watching, if you see the economy start to slow down a lib where do you think we are going to feel that? which markets right now do you think are not priced for that? >> i think you will see it both in the investment grade market as well as high yield. we have seen high yield spreads widen out a touch this year. if you look at where investment grade spreads are relative to historical levels they are relatively compressed. trading at 25 percentile relative to long termaverages.

if we were to see a deterioration we think those investment grade spreads could go wider >> your forecast greg in terms of three this year, three next year, and steady as she goes, is that the most bullish scenario for the markets at this point? >> that probably is. i mean it's kind of what the market is pricing in and it basically says hey the economy is running along at a pace that's favorable and we haven't seen any upside pressure from an inflation standpoint and that's like the goalie locks. solid growth, moderate inflation, and that's the scenario where we think that credit spreads could remain anchored and that's supportive for equity valuations as well. >> what kind of valuation should goldilocks have? >> i would say that if you look at again investment grade spreads, you know, what we would say from that standpoint is that, you know we are probably at fair levels at this point in time provided all goes well. if there is any type of surprises in terms of the fed being more aggressive there is

definitely downside risk had he it comes to investment grade when it comes to treasury securities. >> in terms of the economic data points that we've seen so far, are there any data points that you would look to and say maybe that could cause powell to deviate from script. if you look at the underemployment rate we have been talking about the unemployment rate being at 17 year lows. but if you look at the unemployment rate relative to where it was in 2000 that's at 8.2% and the low was 6.8. there is a lot of room custom factors in unemployment, those working part-time because they can't find full time jobs as well as those who are marginally attach from a slack standpoint there could be room that's not factored into the straight unemployment rate. >> greg, thank for your time >> what do you think >> i think greg is a brilliant

man, does thoughtful work. i think three and three would be market friendly. i also think -- tim was just in florida at spring training allow me to do this. baseball is a great time a lot of guys can pitch the fifth sixth and seventh inning very few people can close. mr. powell has found himself to be the closer for the fed. i'm not certain he can close because this game is getting nasty. >> what do you think. >> back on track here. >> that was on track >> it was not on track >> spring sport here i will say this, we were just talking about this is the longest economic expang post war that we've had and we have also had one of the lonnest bull markets in over 90 years. here's the thing we have never seen it of about last night tony dwyer was saying guys kmil out. until the yield curve inverts we are not going to have -- you know how tony -- blah, blah.

but again we are not going by the same playbook. they are threading a needle here so the margin for error is slim. >> what did we do today? today being the setup for the fed. >> i'm preparing for volatility. i've thrown out some iwm shorts. i think small caps are under a little bit of pressure i think qqqs continue to -- they are now proved the me as opposed to the ones that were holding up i don't think it's run for the hills. i think dan and i are believing the same things here i think it is a similar backdrop except for the fact in a now you can be questioning certain things going on in washington, start to think about losing a total majority >> the risk to the downside. >> look at 3% on the ten year bond that's are different than where we were six months ago when the skies were totally blue. >> i do believe tech is the next

head wind. i think it's very priced here and i'm taking money off the table. >> coming up, facebook on track for its worst week in four years, down more than 9% how much worse can it get? what does it mean for the markets. plus check out shares of fed recollection, giving back all of its gains. now down more than a percent the conference call kicking off. we will tell you what is behind that. >> and later tim seymour steps up to the plate. he is going to pitch one stock he says has transformed itself he will explain what that means and why he is so bullish you are watching "fast money." live from the nasdaq market site in times square. much more "fast money" after this demand the best. demand a cfa charterholder. cfa institute. that's it. i'm calling kohler about their walk-in bath. nah. not gonna happen. my name is ken. how may i help you? hi, i'm calling about kohler's walk-in bath.

excellent! happy to help. huh? hold one moment please... [ finger snaps ] hmm. the kohler walk-in bath features an extra-wide opening and a low step-in at three inches, which is 25 to 60% lower than some leading competitors. the bath fills and drains quickly, while the heated seat soothes your back, neck and shoulders. kohler is an expert in bathing, so you can count on a deep soaking experience. are you seeing this? the kohler walk-in bath comes with fully adjustable hydrotherapy jets and our exclusive bubblemassage. everything is installed in as little as a day by a kohler-certified installer. and it's made by kohler- america's leading plumbing brand. we need this bath. yes. yes you do. a kohler walk-in bath provides independence with peace of mind. call for a free kohler nightlight toilet seat with consultation or visit kohlerwalkinbath.com for more info. let's hold ourselves to the highest standards of ethics. as investment management professionals, let's measure up.

cfa institute.

welcome back to "fast money. the facebook fallout continues today as strikeout me over the company's data practices sent the stock reeling this week. we have got team coverage of the story. julia boorstin, bob pisani on wall street. julia, let's start with you. >> facebook hosted a packed internal meeting in -- this afternoon facebook issuing a statement saying quote merrick cheryl and their teams are working around the clock because

they understand the seriousness of this issue. the entire company is outraged we were deceived we are commitmented to enforcing our policies and will take whatever steps are required to see this happens. facebook shares closed down 2% on among other things facebook saying it expects a letter from the ftc with questions about misuse of data facebook saying quote we are aware of the issues being raised but cannot comment whether we are investigating. we take allegations of violations of our consent decrees seriously as we did in 2012 in a case involving google. this comes as leaders in many countries raised red flags for investigations and for duckerberg -- zuckerberg to testify.

this is all against the backdrop of reports of management disessential at facebook as its chief information security officer reportedly prepares to leave in august after pushing for faster disclosures of security issues. >> facebook shares meantime tracking for the worst week in four years bob pisani has more. >> facebook is a big issue for the markets for several reasons. first technology was the big market leader last year and into 2018 and it was partly because social media stocks were big market movers nomt just facebook, snap, pandora, twitter, groupon, other social media stocks atracked a lot of new money last year. the social media etf was up over 20 in 2017 its assets under management went from $3 billion to $6 billion. now social media in general is under attack of it is neat clear if this will be a market leadership group tanymore.

that's a problem the other problem is risk of increased regulation the platforms have been lightly regulated since the first laws were written in the 1990s. with calls for investigations in congress gaining steam all we need are one or two more nasty revelations and lots of bills will be introduced with lots of implications for other tech and supply stock companies as well finally, if you are hoping this will force changes in management forget about it. zucker bergen sured that won't happen that's because he owns the majority of the voting rights in the.can. class b shares, controlled by zuckerberg and a small group of insiders, four other people, have about 18% of the shares outstanding. zuckerberg controls about 14% of the shares outsand standing. but their class b votes have ten

votes per share. the class a votes held by the public only have one vote per share. zuckerberg and a small class of share holers control 70% of the shares in facebook good luck changing management with those kind of voting rights >> what do you make of this swaying. >> i think it's preposerrous people are calling for zuckerberg's head. we have just scratched the surface. we live in a world where people expect instant response. when you think about, this is a company expected to do $70 billion in sales they went public five years ago. you know what i mean the his tearia has to calm down here the importance of what's going on i think is massive. okay, but -- >> you are acting like -- you are giving them the benefit of the doubt that this was something that just popped up. and to not have communicated in

any way i think is wrong bottom line is whether they vote the shares or not investors will toetd vote with their feet. >> that's right. >> i think if you are a investor there is a whole new valuation that's going the come on the ability to cyber hedge and protect yourself and the quality of management ambition is going to affect valuations for their companies facebook, yes they shouldn't rush to judgment but it's as if it's not something they were thinking about come on. that's the basis of their business. >> i think from an earnings standpoint this isn't going to have a material impact i don't believe to earnings over the next several quarters. it may not show up immediately the thing they have lost is trust. >> hold on why do you say that. >> think about the regulations coming down the pike. >> i hear you but ad buyer surveys indicate that facebook is still the go to and premiere network. that could slip quickly. >> you are saying they are not

going to use anything to the degree,whether it be engagemen or user. >> i'm not saying it's to the going to have impact but it's not going to have material impact on earnings that would detrail fundamental story. in the eyes of most investors. what they have lost is trust, i think that's bigger. >> user base and advertiser. >> how about the investor base the investor base on the institutional side it's been about a month where we started to see cracks in tun dags from the standpoint to their ability to buy into this story they have lost confidence in my opinion. i think you are going to see weak hands coming out. >> we don't know how it's going to impact business model or user engage member or the number of users. we don't know if even the self imposed fixes they will decide to do will affect margin under pressure and on top of that this is a stock that underperformed the nasdaq and the s&p 500 for the last five or six months. what do you want to do as a

investor. >> i think there is downside, significant downside i agree. a lot of time you could look at this as an expeerian type of situation with this stock. it traded 162 and bounced not that that was a significant level. but it bounced if you are looking to trade against something, five times normal volume in facebook is significant. >> it has underperformed qqqs for two years. underperformed the nasdaq for two years by 5%. >> are you buying? are you buying >> i think this is a weakening of a position that people had already put their best money to. >> it was my final trade to sell the stock yesterday. i have been a long time facebook bull there is a difference between business and sentiment right now, it's sentiment affecting the story.

>> until zuckerberg gets control of the story, i think from a regulatory standpoint i think you he can to us on the fab they have four popular apps messenger, their facebook app, instagram, and what's app. to me, that's the big risk to the story. i think it will continue to unperform. >> still ahead, shares of fedex seeing a reversa in after hours sessions stocks is now down after being up 4%. i'm melissa lee you are watching cbs, first in business worldwide. >> the bulls are back, tom lee says this is just the beginning of the crypto come back. plus, tim seymour is stepping up to the plate with one stock that's up 30% this the past year. and he says it's worth the gamble he will tell us the name and why he's so excited when "fast money" returns

t i'm a sur. t i'm a sur. after my heart attack, my doctor prescribed brilinta. it's for people who have been hospitalized for a heart attack. brilinta is taken with a low-dose aspirin. no more than 100 milligrams as it affects how well brilinta works. brilinta helps keep platelets from sticking together and forming a clot. in a clinical study, brilinta worked better than plavix. brilinta reduced the chance of having another heart attack... ...or dying from one. don't stop taking brilinta without talking to your doctor, since stopping it too soon increases your risk of clots in your stent, heart attack, stroke, and even death. brilinta may cause bruising or bleeding more easily, or serious, sometimes fatal bleeding. don't take brilinta if you have bleeding, like stomach ulcers, a history of bleeding in the brain, or severe liver problems. slow heart rhythm has been reported. tell your doctor about bleeding new or unexpected shortness of breath any planned surgery, and all medicines you take. if you recently had a heart attack, ask your doctor if brilinta is right for you. my heart is worth brilinta. if you can't afford your medication, astrazeneca may be able to help. every day we hear from families who partnered

with a senior living advisor from a place for mom to help find the perfect place for their mom or dad thank you so much for your assistance in helping us find a place. mom feels safe and comfortable and has met many wonderful residence and staffers. thank you for helping our family find our father a new home. we especially appreciate the information about the va aid and attendance program. i feel i found the right place. a perfect fit. you were my angel and helped guide me every step of the way thank you. the senior living advisors at a place for mom partner with thousands of families every month, listening and offering local knowledge and advice to help find the best senior living communities across the country and it won't cost you a cent. this is a free service. call today. a place for mom. you know your family. we know senior living. together we'll make the right choice.

sna welcome back to ib time. companies that jumped on the blockchain band wagon are reaping the benefits ibm's ceo sat down with cbs n earlier today about its push into blockchain. >> it is a different company than ten, five, three years ago. break out the pieces for one, new products and services and we do return to growth in the first quarter. 40% of what we make today are products and services are growing at 11% and new to the ibm company. a strong pipeline behind it. blockchain, quantum. a strong pipeline. >> blockchain is still a small

part of the company. is ibm a bitcoin stock bitcoin stock or not let's play >> can i ask one question? what's the materiality threshold. >> that's lame because then i cap answer my own question it has nothing to do with night stock, stock stock. >> why >> because it doesn't make the threshold in my mind and no one is going give me one. >> so you are saying it is not a bitcoin stock? >> right i'm so wrapped up in my own lather here. sorry. i don't think it is a bitcoin stock. >> is ibm a bitcoin stock or not. >> not a bitcoin stock >> very good siebert, good answer in terms of it being very direct >> there are no bitcoin stocks >> correct. >> so it's not a bitcoin stock >> it is a blockchain.

>> listen, this time last year there was estimated $700 million of black chain services, and ibm had 30%. this is a company that's going to do $80 billion in sales this year half of their solutions is not growing. and this is growing. >> are they making the right move -- [ overlapping speakers ] >> it is not a bitcoin stock i'm just waiting for a reaction. >> it was a little -- >> i'm concerned >> i should say it is because i like the checkmark and i want to ding ding ding but i will say this n no way shape or form is this bitcoin stock. $80 billion this year. they will do $8 in terms of bitcoin revenue. >> for xs. cryptocurrencies are coming back with a vengence after being pummelled over the weekend it's up 20% from its weekend

lows our next guest tells us bitcoin is your best crypto bet. >> a lot are saying they are not worried about bitcoin as a threat to financial stability. doesn't seem like they are going to regulate. >> headlines were less draconian than they were worried about that's been the case every time there has been a regulatory event. in general, in reality, i think bitcoin is starting to sit clearer away from the line increasingly i think investors are comfortable that down is likely to be viewed as a commodity. whether regulations change around security token and registration, bitcoin kind of sits in its own sphere. >> let's get to your most recent know in that know you said the all the coin market is over. but you are not saying to invest in alt coins root now. >> we measure the alt coin cycles the percent it tripled over 90 days

on january 18th it hit 78% normally a top in january we thought you needed to rotate back into the large caps becausethat's what happen this indicator has been falling yesterday it fell to 3%. we think that the alt coin bear market is largely overmeaning. >> can you define alt coin for folk at home. >> we are defining it as small cap tokens i think that's not among the 50 largest, cryptocurrencies. which is a liquid universe, something smaller. when it hits 3% it falls into a conservation phase we think it's going to be a long phase. that means the alt coins don't rally until mid august or september. >> in terms of mid caps what are we looking at in terms of the

bitcoin misery index which was dismal the last time you were here. >> how does someone feel if they own bitcoin. it was 18 last time i was here, which was the worst reading since 2011 it's back to 24. it's still in the zone of misery, but of course less miserable. >> i like the ementallies. >> fantastic. >> that's not the way how tom publishes the misery index >> that's right. that's your adaptation it is a very creative -- >> when we look how it's actually depicted in his notes and you can decide what you like better, these with the emojis or that >> that's a little more technical. >> i like the emojis. >> we like the emojis. >> tom, let's talk -- it seems like light-years ago when bitcoin broke out at $6,000 in november it had that huge gap and weapon for the six or eight weeks to about $20,000. it's still in a down trend we are having a lot of these kind of 20% rallies off of low

but it's still in a down trend do you think there is a chance it could round trip back to $6,000 or $5,000 and still the fundamentals of the whole ecosystem still be very much intact take out some of the you farria we saw in such a short approximateert i would say that's the technical view from our technician who does think he would feel better if this picture touched $67,000% a -- $6,000 and rallied from there. when you down the number of hours we spend below $6,000 recently it was less than an hour in february you only had an hour to buy it below $6,000 i think you should view it as a touch. i would still be buying bitcoin here even if there is the possibility it goes lower because as you know we talked about the fully loaded cost of money in bitcoin across the world is around $8,000 so you are buying bitcoin at aren't cost today. >> all right

tom lee of fund strat. tom mentioned the alt coins, the smaller coins. you were talking before about etear yum and how it might be under pressure because of potential regulations around the icos lot of which are built on the etear yum platform that might be continued head wind. >> all of the smaller alt coins went into this purgatory people were selling etear yum as they would sell out of these other coins. when you think about the regulatory environment obviously that platform, the ethereum platform is going to be under more scrutiny than a mega cap coin like down. >> are you still in ethereum >> i am, where are they going to go if ethereum were the play to build upon it's recognized as one of the obvious places to go. >> in the last week we saw at that lightning labs rolled out the lightning network that's going to make transactions on bitcoin faster

as the whole thing evolves, you can't just watch a couple of things there is a lot of moving parts here ifs, ands and butts. >> coming up, the fed recollection company conference call is underway right now we will tell what you is driving the stock. >> tim is rolling the dice to an stock he says made a transformation that could send shares surging find out what it is when "fast money" returns at the marine mammal center, the environment is everything.

we want to do our very best for each and every animal,

and we want to operate a sustainable facility. and pg&e has been a partner helping us to achieve that. we've helped the marine mammal center go solar, install electric vehicle charging stations, and become more energy efficient. pg&e has allowed us to be the most sustainable organization we can be. any time you help a customer, it's a really good feeling. it's especially so when it's a customer that's doing such good and important work for the environment. together, we're building a better california.

welcome back to "fast money. we have got an earnings alert on fedex. morgan brennan has the details >> the ceo and chairman saying economic growth around the world remains broadly base and he expected u.s. tax reform to boost growth and investment. but the fedex's founder is seen as a thought leader on groebl trade did comment on the trump administration's new tariffs. >> fedex is concerned about the prospect of increased protectionist tariffs. as history has shown repeatedly that protectionism is counter-productive to economic growth the better approach is to encourage open markets and free exchange of products and services and to reduce barriers to trade >> now on peak season since this was the holiday quarter for fedex, the company saying the decision to not apply a broad

residential peak surcharge helped gain significant business in small and medium customers, touting service levels and highlighting ground segment which handles the bulk of e-commerce the company said it will accelerate investments thanks to tax reform cap exfor fiscal 2018 revise lower to $5.8 billion due to lower spending in ground pay increases by hourly works by six months to april. that's something that could impact year on year leebor expenses lastly,'s addressing the package explosion that took place earlier this morning in texas. an incident that is under federal investigation. on that, smith saying there were no serious injuries at the facility and that fedex does continue to assist authorities this call is underway. fedex shares popped in after hours trade and now they are slightly lower.

>> morgan, what was the reason why the stock went down as much as a percent >> trying to figure that out i think they are reorganizin how they report specialty lodgist ib also pulling for the salary increases and everybody is still sorting through the tax impact on these numbers because the numbers are much bigger and not necessarily comparable to what we've seen in the past so how much of it is the core business and how much is tax reform. >> morgan brennan at headquarters fedex carrying losses after hours. >> i'll give you my response why i think traded up then down. operating mother-in-laws are 5.4% the street was looking for 7.5%. that's a significant decrease in terms of operating margins that's concerning. valuation is reasonable. it's cheaper than ups. but i think people might be concerned that margins are starting to go the wrong way.

>> i think people are concerned about cap ex they have had a couple shipping facilities they had to bring on line i think they are largely overdone i think the tnt creation going to be accretive again. it had a small setback i think it's the ultimately leverage play on the economy if you believe in it. >> but an tariffs, if there are tariffs, how will it impact fedex. >> i wonder if that was the commentary that took the stock down inwill, i would want to buyer hao. trends are strong in fedex i am a believer in the way they are managing the business. i look at cap kpek that was a concern they lowered it. i would stick with the story. >> i am a believer not different than what happen in ups a month and a half ago. lower operating margin is hitting it this tail wind that they had, and amazon is soon becoming a head win is it's going to be an

arm race. >> still ahead, social destruction. facebook, twitter, snap getting crushed today. a social media company has come under fire a i had treer says it could be the perfect buying tune for one of these stocks. plus, tim has a stock he says could be a home run for traders. will the other traders great we will find out after this break.

you might take something for your heart... or joints. but do you take something for your brain. with an ingredient originally found in jellyfish, prevagen is the number one selling brain-health supplement in drug stores nationwide. prevagen. the name to remember.

but i'm not standing still... and with godaddy, i've made my ideas real. ♪ i made my own way, now it's time to make yours. ♪ everything is working, just like it should ♪

welcome back to "fast money. time for an instant replay back in september of 2016 tim stepped up to the plate to pitch lowes. >> i think there is strong support for the stock. if we look at the chart you can see that $64 has been a low that we've hit a couple of times. it was tested last week when announced volume was over 18 million shares that was four times, the third biggest volume day that to me was capitulation. valuation it's now cheap this is the time to come back into lo lowe's and buy this home improvement aim name. >> up 23% since then. >> that was a lifetime ago. >> lowe's is very much a buy now. i actually think -- after that last round of earnings that they are doing is spending the money the government is giving back to them they trail home depot by a major margin but i would buy that stock. >> since that was such a good coal call, head over to the plasma. >> a company that's a little bit

of a caesar. no little caesars. i'm talking about caesar's the gaming facility in las vegas there is a couple of reasons why i like this stock. this is a company that has gone through bankruptcy, in the old days they had the margins that were the worst on the street now they have gone from worst to first. that is crucial. they marked stuff to zero. they are now coming out of bankruptcy they are innovating it, renovating rooms their free cash flow is as good as anybody in vegas. and finally vegas baby vegas. we all know what's going on with the gamers in vegas. they have had passive runs this is no different this is urlt matly pure play on vagus. it is a company that's a transforming aal story a company that's forgotten about. that's being run i think as well as the big boys. vegas is as strong as any place in the world this is name you gant to buy because it has as much leverage

to any of these places. >> i'm to the going to tell you what i'm voting but i will say this. >> you can't, it's not time. >> i said i stopped. my question, tim, there is a shortage interest in this name it is bm a by father play. what do you think the shorts are looking for? >> they are looking at the balance sheet. the free cash flow is going to allow them to pay down liabilities. i think the balance sheet is going lieu the transformation. that was part of the tease a couple of commercials ago. this is a transformational story and those are the things i love to look for in a stock. >> vegas is having an awakening with professional sports, the raters, they have got a hockey team does that play into kind of the vegas, is this going to be a big story that's leifered in vegas like caesar a he is. >> yes, no question that the growth story in vegas turning arnold, if you see the economy

turn around, this is a story that is going to struggle. >> time to vote. 32, what do you say. >> i am a buyer. i agree with tim i i think it's difficult to fine nuggets in this market that are worthy i think this is worthy it is a turnaround story you like it. i would be a buyer here. >> generally i don't buy stocks with z's in it >> great approach. >> fur telling me the increased cash flow generation with the recovery story helps them pay down the debt then it's doing to work to the up side for the equity position. i am a buy. >> what does does that mean. >> hail, act three, scene one, the life and death of julius see czar hail means le yes i'm with continue this is an environment where large short interest plays get squeeze. i think hashtag smooth is correct. >> hashtag smooth. >> royal flush for tim on this deck does his pitch make you want to take a tamable on the stock.

vote we will reveal the results later on in the show twitter faces regulatory issues. should investors expect for pain for the stock? lee th tavwihe details much more "fast money" after this

facebook and google have held back the fang stocks recently chinese tech appears unstoppable. in a battle of the tech giants do you stick with fang or the chinese tech stocks. >> stab away throw cena about but ten sent, alley babby and dyed baidu essentially, they are you tube, shall we call it they now have their own alexa coming out the parallels you are following for the tech names over here they are going on over there you could make a argument it is a bigger mark place. i stay stabbing. my stab would have samsung and those other thing. >> we are talking chinese. >> and i split half and half.

alibaba and ten cent i agree, with amazon. their spending is showing up in the top line and people around concerned about earnings right now. as long as they continue that momentum, amazon works and netflix continues to play the subscriber growth game upside surprise. >> interesting what's going on with facebook and the scrutiny here we saw how badly twitter and snat acted over the last couple of years and then in china. m&a in these spaces is kind of done, the whole notion if you thought google or facebook was going to run by twitter or snap chat gone. an no of the chinese are going to be able to do it. >> can i ask you a question when you are done >> sure. >> i value your view. >> it is a one hour show and we are running out of time. >> twitter got 11% today >> we are doing "options action" in a second. will you stop. >> like now. now we are doing it. >>. [ overlapping speakers ]

>> let's go straight to twitter. dan h tim has a question. doesn't mean i'm asking you the question you have a question. we are going to go to dan. options investigators are bidding on what. >> twitter, calls outpaced that of puts. doesn't mean a lot it looked like there was a lot of people selling out of money calls getting out it people were playing for above 35 over the next couple of mondays. the largest trade look like a buy of the may 32 calls. right about those prior highs here we have a one year chart i think this is important for you guy looking to trade off some levels here at 30 bucks it looks like good support there in the near term. >> thank you dan for more options check out "options action" friday at 5:30 p.m. did you like tim's pitch find out the results right after

this so lionel, what does being able to trade 24/5 mean to you? well, it means i can trade after the market closes. it's true. so all... evening long. ooh, so close. yes, but also all... night through its entirety. come on, all... the time from sunset to sunrise. right. but you can trade... from, from... from darkness to light. ♪ you're not gonna say it are you?

when this bell rings... ...it starts a chain reaction... ...that's heard throughout the connected business world. at&t network security helps protect business, from the largest financial markets to the smallest transactions, by sensing cyber-attacks in near real time and automatically deploying countermeasures. keeping the world of business connected and protected. that's the power of and. welcome back to fast tim's pitch was a home run on the desk but twitter says unbreak my heart. with more than 65% of people voting no. >> 65% >> sorry tim final trade. >> that might be a record low. caesar's i'm calling love.

>> zinga, buy it >> i'm short iwm. >> i'm keeping in the casino family wynn resorts >> i'm melissa lee thanks for watching. see you ckerba he at jim cramer 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 save you and make you some money. my job isn't just to entertain but to teach you call me at 1-800-743-cnbc. or tweet me @jimcramer how can this market get it tallahassee back on track after a day with the dow gained 116 points but was up a lot more s&p advanced jus