tv Mad Money CNBC April 26, 2018 6:00pm-7:00pm EDT
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similar to buying it. >> dan >> microsoft. it goes to 100. >> guy. >> two week high in macy's today, mel. >> i'm melissa lee. thank you so much for watching. "mad money" with 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. 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 but to teach you call me at 1-800-743-cnbc. or tweet me @jimcramer you know how it matters in this market, a day when the s&p climbed 1.6% what, matters is
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f.a.n.g. but also tariffs and trade insane as that pairing may sound it's what is important it's what can launch a real rally. far too many people believe the only thing that matters here is the ten-year treasury. hear that all the time, right? >> "humble and kind. if our rates go above 3% people wliendly sell. oh, come on. that's a sideshow. central issues are trade if president trump plays hardball with china or europe and they choose to retaliate stock also get hit. also the stocks themselves particularly tech. what happens if there is a truce? what happens if the chinese or europeans fold i think you get more action like we had today a huge rally embracing pretty much every sector. today's rally, though, there's no mistake bit it was led by f.a.n.g., facebook, amazon, netflix and google now, alphabet. facebook gave you such an amazing quarter.
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moving this $500 billion stock up 9% and giving the rest of tech a beautiful halo and once tech gets rolling, big wheels, this strength creates its own rising tide. lifts all ships in the sector. something more likely than not when the "a" in f.a.n.g., amazon reported an astounding quarter this very evening. sending the stock up an incredible $100 in after-hours trading. amazon is $1,515 stock, at least that's what it closed or where it was before it reported its number i'm breathless so maybe $100 on top of that isn't as spectacular as it sounds still, though, it's a $730 billion market cap so, it's a pretty big deal remember, i said it will probably be the first stock to go to a trillion dollars and i'm telling you, it's going to get there of course, interest rates were benign going down ever so slightly to a tick below 3%.
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i'm sure these bond aficionados will be crowing that ten-we're is in charge and that's why we rallied. they see it being about the bond market that is hogwash. >> sell, sell, sell. >> buy, buy, buy >> i get angry this. run began last night when facebook put up that incredible number much better than anyone was looking for. sales were excellent, bottom line, hefty. chatter about the next quarter where they'll face the full fallout from cambridge analytica -- and what could happen when the new european privacy regulations kick in, in response, this stock shot up 10%. that's stunning. there were two conclusions that jumped out at me from this conference call. first it seems facebook is actually, well, let's say the users feel differently
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again, we don't know what happened in the month of april this quarter comprised january, february, march but facebook's first quarter showed a step up in engagement, something few were anticipating. perhaps more important advertising was off the charts, up 43% last night i talked about awe alphabet shocked us with that sky high number even though this spending is still necessary to meet the cloud services. it kept its spending in line with predictions their cap ex budget grew like crazy but we knew it was coming. memo to i will fathalphabet, ger handle on your spending and your stock will go higher not cloeer. accident at facebook was so good that it even took off the bedraggled alphabet. the best thing about facebook it doesn't have to pay for content. you create your own content and give it to them for free same with instagram. that means they make fortunes by
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broadcasting your copy the worst thing about it is this has drawn the wrath of congress. if we get another scandal, it's entirely possible congress might decide to start regulating facebook like a media company instead of merely mindless pipeline for con fence if that happens it could crimp their growth even if today's mammoth run facebook stock is still a heck of a lot cheaper than most slow growing companies. procter & gamble, pepsico. facebook sells for 19 times next year's earnings, even as it's going at a breakneck pace up 60% in the latest quarter. why so cheap because big money managers are convinced something bad will happen and that they will run into a retaining wall either here or europe if you thought zuckerberg's appearance in congress was painful you should see what happens when he didn't show up
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in britain this google, i know i spent a lot of time talking about it last night well, it was up 20 bucks and then after the close today, it was up even more i come back and say if you want the cheapest and the f.a.n.g.s now it's probably google now alphabet facebook had a help in tech land today. but you know what else worked service now one of our cloud kings reported fantastic beat and roared 7 bucks and, you know what, amd gave you a strong number and the stock zoomed 13% more on that later let's not bury one of the lede amazon was up, $1.27 instead it printed $3.27 i've never seen a beat -- this is the biggest beat -- i don't
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know why i've been doing this for. 35 years it's the biggest beat i've ever seen w that amount of profit they can afford to pay the post office even more than what the president warrants them to we're so used to amazon delivering monster sales and didn't see the big earnings coming and that's how a stock jumps $100 after it was already up $57 the same session. no, it's -- i didn't believe it. i thought it was a typo. you know what's a shame, here's what's a shame intel picked this evening to report one of the most unbelievably good quarters i've ever seen. forecast by a billion dollars and earning 82 cents when the street was looking for 72 cents. that sent its stock up $3 on top of the $3 it already rallied i feel bad for brian, the rodney dangerfield. he's up huge, won't get the respect because of the incredible number from amazon. still, as good as the numbers
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from facebook were they can't be responsible for today's giant rally nor can amazon and had a lot of help when president trump's chief economic adviser and my old co-anchor larry kudlow came on "squawk on the treat" to talk it was terrific to see him these were the kudlow and cramer days no free passes so we peppered him with questions about how hard the president might be on china. he's going to china soon while he doesn't think they play fair he is an optimist that we can come to an agreement that's all the market needed to hear after larry gave us a positive view of how the chad dispute could shake out. i will say this, larry is always an optimist. i worked with him for cheers i do think he may be too opt mystic but you know what, you
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couple the book ends of facebook and amazon with the incredible numbers that we get from intel and you marry that with larry kudlow's assurances and we could have another strong day ahead of us so here's the bottom line. at least for today we stop worrying about trade, didn't focus on that stupid ten-year and we're able to think about amazing earnings from facebook and then later this evening from amazon and intel i think the earnings and the less than tough talk on trade makes you feel obviously good as you lead the session behind but remember if larry is optimistic you'll regret you were too greedy if you don't take something off the table in tomorrow's session lou in florida lou. >> caller: hey, jim, thanks for having my call i appreciate it and thank you for your team for allowing me to speak tonight. i appreciate that so much. >> team is awesome makes me look good you don't even know the half of
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how they made me look good today on this crazy day. go ahead. >> caller: okay, and i just want to add something, when you and david faber aren't on sunday and i regret that my wife and i will look at each other with boredom over coffee if we have a great time it a job but it's a great time. >> caller: it's a job. i understand but it's a great job. >> thank you thank you. >> caller: listen, my concern is i own carnival cruise stock, long term. it recently raised its dividend. the last quarter was i see great. buybacks are coming in and bookings way up, 30 plus percent. we're avid cruisers and see the rooms filling up fast demaending a higher price and people are paying such as we are. >> right. >> caller: the industry we think is strong. it's just my opinion royal caribbean reported today
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and they had positive things on cruise as well >> yes. >> caller: i just wanted to get your genius. >> royal caribbean guided not as strong as we thought and that caused carnival to go down i think you buy carnival i think you buy it rocky in montana rocky. >> caller: hey, jim, how is it going? >> it's going well wow, breathless. how about you? what's going on? >> caller: not too bad doing pretty good. i just had a question on gopro what do you think if you would buy, sell or sit on the stocks you currently have. >> i want to you sit it out. i'll tell you why. because we have incredible stocks like amazon literally that i would pay all the way up here for rather than be in that stock. there's just too many things going right at amazon. f.a.n.g., tariff, trade, that's what matters i just can't get over amazon and we got sprint and t-mobile talking to each other. hey, i don't want this day to
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ever end on "mad money" the helm of domino's is going out with a bang not a whimper a mea culpa on the ultimate -- >> trump stock. >> and my exclusive to find out how this country is doing and find out what it means for interest rates so stick with cramer >> announcer: don't miss a second of "mad money." follow @jimcramer on twitter have a question, tweet cramer, #madtweets send jim an e-mail to madmoney@cnbc.com or give us a call at 1-800-743-cnbc miss something, adhe to madmoney.cnbc.com. [phone ringing]
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oh hi sweetie, i just want to show you something. xfinity mobile: find my phone. [ phone rings ] look at you. this tech stuff is easy. [ whirring sound ] you want a cookie? it's a drone! i know. find your phone easily with the xfinity voice remote. one more way comcast is working to fit into your life, not the other way around. holy cow domino's pizza did it again. when the fabulously run pizza chain reported it delivered another blow-out sending the stock up $17, domino's posted a monster 23-cent earnings beat off 1.77 basis with much higher than expected revenues up nearly
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26% year over year better still its domestic same-store saleses grew at 8.3% and international numbers grew by 5%. that's better than last time remember when everyone was so worried. under the leadership of patrick doyle domino's became a powerhouse that's how it's gone from $10 when he first came on the show in early 2010 to $250 as of today. talk about leaving a company in better shape than you found it so let's check in with patrick doyle, successor rich alison, better sense of the quarter and the reign that was mr. doyle's mr. doyle and mr. alison welcome back >> thanks, jim. >> i'll let you do something i'll let you tell our audience how big those shoes are. >> big shoes for sure to fill.
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>> do you think you'll take the techny logical mantel or has everything been done you've done hot spots and got virtual assistant dom to talk about. >> we have a lot of runway left in terms of the technological innovation that we're driving in the company. just launched hot spots as you mentioned, now almost 200,000 of those around the country and just this week we've been talking about our dom artificial intelligence natural voice ordering. >> how does that work. >> it's incredible you know, you -- just like you would use siri or alexa, you'll -- when you call domino's, natural voice response system will take a pizza order for you any one of the 30 million or so variants you would have and really is, it's our path to being a 100% digital company. >> you put it on course. how did you see it most execs are just now discovering the digitalization of things. i mean, jeff bezos blow-out, amazon -- he was there and you
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were there how did you know that it had to be a technology company in order to be able to beat the other guys >> you know, we started ex-peernlting with it the first digital orders were actually taken in our uk business and we started seeing the economics of it and understanding, you know, how good the customers felt about it and we just decided, you know, there's something here there's a big opportunity here and we think we can own it we think if we do it ourselves, we can create some real competitive advantage here and the team has been amazing and keep coming up with more ideas and more ideas. >> you've uniquely captured the zeitgeist of a whole generation of people who don't like to use the phone to talk. >> it's just a better experience for the customers and we ran an ad you call our store on a busy friday night, it may not be a great experience, right? it's busy, the people are running around making pizzas and the easier we can make that for them to take gait care of our
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customer, the better overall experience will be. >> why are you so confident that you started your campaign with -- you started your reign with an ad about how the box tasted better than the pizza why were you always willing to take such risks. >> you've got to do what's right for the business and we're a good midwestern company. we'll tell you the truth and we know we had a problem with the food and we'll tell you straight up and thankfully it worked. >> it's why we started you though that. you put the no cheese button on. >> rich, there are still five out of six, i got this from the conference call, five out of six pizzas are not yours how do you get to 50%? >> you know, we're in a great position now, jim. we're the number one pizza company in the u.s. and around the world but still one out of every six pizzas in the u.s., one out of every 15 outside the country so we have a lot of
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ability to gain share. >> international was soft last time and then -- patrick reassured us, how can we know reassurance is for real. >> so what happened, jim, we got back to value again. you know, all of our same-store sales growth in q1 was order count driven which is the healthy way to grow a restaurant company over time. and so that's how i feel good about the business is i think our franchisees are focused on that core value positioning with our consumer. >> hot spots to me, you're going out with a bang with hot spots tell people what it is you've earned your right go ahead. >> yeah, so almost 200,000 hot spots now so what we did is we gave customers the ability to order a pizza to a fonsi traditional address so to a park, to a beach, to a sports stadium, to, you know -- >> to where we want it. >> to where you want it. not only is it going to be a great opportunity to pick up
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sales but frankly, if you order domino's to a picnic or a sports event and watching your eagles, you know, you're going to remember, right? you're going to associate our brand with something that was really cool and outdoors, it's going to help people feel great about our brand so excited not only by the incremental sales but i think how it's going to connect us to people having a really good time. >> how do you feel about gps, what can you do with it. >> we're piloting gps in the u.s. and california, jim and we're actually using it quite extensively in some of our international market, australia, uk we think that will be a key innovation as we think about the next generation of delivery. >> okay. >> if you think about it, it ties closely in with what we're doing around autonomous vehicles and thinking about the best way to get our food to our consumer sdmrz to praise who you always do but don't get enough time talk about what it's like to be -- to have people create something by being drivers, delivery people and then what they went on to do.
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>> it is the most rewarding thing for me and what we do is i mean over 90% of our franchisees in the u.s. started as hourly workers. they work up through the system. they run a store, they're successful we give them the opportunity to buy a store and become an entrepreneur and we're this little entrepreneurial factory it's what's most special it's what i will miss. these amazing people that created this opportunity for themselves and the people in their business. >> we are going to miss you but we're happy that rich came here to start the -- start over and get it from 250 to 500 worthwhile goal. thank you so much to patrick doyle outgoing president and rich alison who is incoming ceo and current president of domino's international gentlemen, thank you so much. >> thanks, jim once there was an organism so small
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some companies just can't catch a break. not long after donald trump won the election i told you whirlpool might end up being the ultimate trump stock we put this button on for it. >> trump stock, trump stock. trump stock. >> it's american manufacturing that was being swamped by the unfair practices of our trading partners i figured the president would take action to protect them mainly from south korean firms that were dumping washing machines on the u.s. market at ridiculously low prices. sure enough in january the president did exactly that remember, trump's protectionist turn didn't start with steel and aluminum but on imported washing machines and, yes, solar panels. at the time it looked like wh l whirlpool would reap a major windfall company had operational issues but i figured the washing machine tariff would more than balance that out turns out that was a mistake that i made. >> boo >> yep, i got it wrong
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since then the stock has come down 31 points, ouch while some of this has to do with the fact that the market is preliminarily gotten a lot more challenging in the last few months other parts of the story are company specific i should have been more cautious someya kulpa what made me whiff so badly and what you should do with the stock, i expected whirlpool to get a big boost from the washing machine tariff but tariffs can cut both ways. when the president put on more duti duties, it hurt whirlpool. there are a lot of issues, on the other hand just today obviously sensing that the stock is way too low the company started what's called a modified dutch auction tender offer they're repurchasing $1 billion worth of stock and willing to pay anywhere from 150 to $170 per share depending on where the auction ends up. this is an $11 billion company
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so retiring $1 billion worth of stock is significant it suggests whirlpool's management believes their stock has gotten way too cheap suddenly with the not so hot earnings on the downside but the positive dutch tender offer now on the table this has become one controversial stock. yesterday morning goldman sachs cut their price target for them. but credit suisse raised it from 16 ato 170 and the analyst community is having trouble coming to a consensus here so with whirlpool down dramatically in the market what are we supposed to do? the last time we talked about whirlpool the analysts also couldn't agree either. i mentioned a downgrade from raymond james and an upgrade from key bank. in retrospect i should have given more credence to raymond james. among other things they told us whirlpool would likely be the victim of higher costs that was right and trump's steel and aluminum tariffs only make
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the situation worse. fast forward to monday when whirlpool reported its latest numbers and they were not reassuring, delivered a 19-secet earnings miss. on top of that whirlpool's ongoing operating margin stayed flat at 6% that's not what we wanted to see. the president's slapped a big tax on them and whirlpool can't expand its margins their raw costs have risen substantially. their word not mine. meanwhile whirlpool is burning cash at a much faster rate and the international business is doing, i don't know, horribly. when you back out the impact of the weaker dollar their sales declined in every region overseas get this, europe and the middle east down 8% latin america down 3%. asia less than % and not only that the north american businesses are in great shape but the stock rallied on this disappointing quarter for a couple of reasons. first whirlpool maintained its full year earnings forecast.
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you would have expected a different number and made two major announcements selling their compressor business and the transaction should close early next year and doing that 1 billion tender offer i mentioned earlier. the one that just might retire 10% of the share count basically selling the compressor business to pay for this big buyback. so if you own whirlpool should you tender shares and get rid of it, just say i've had enough remember, the debt tender auction process began today. it's the company's going to be paying between 150 and 170 and $1 $155 stock is the bearish goldman s. going to be right? or will the more bullish but cautious credit suisse be right with its $170 forecast goldman is pretty skeptical about whirlpool's ability to make the numbers and see raw costs continuing to rise and margins are only going to come under more pressure as companies like lg and samsung start opening factories here in the
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u.s. to get around the new washing machine tariffs. they're all going to be -- >> trump stock, trump stock. >> give them where the think the stock is headed they don't think this tender is the most brilliant idea credit suisse, this firm is not enthusiastic about whirlpool they have a neutral rating on the stock and see a lot of risk and only raised the price target by 5 bucks to account for that repurchase i'm talking about still that makes a more bowelish on whirlpool than most it may be offset rising costs by rising price and think it possible that they can turn around its international business if you ask me, and i've obviously been biten up by this one i think it's pretty thin whirlpool's saving grace they have a cheap stock and trades ten times the midpoint of their earnings forecast but given how badly they missed numbers when reporting earlier this week you need to be skeptical about their ability to hit that target i am not reassured by their assurance they can make the numbers. clearly wall street is skeptical
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too. stocks don't get this cheap when investors believe they can meet the earnings estimates when something sells for 10 times earnings it tells me that a lot of people believe those estimates need to be cut so where do i come down? look, i think this dutch auction over the next .could help give them a short-term boost so you may get a better chance to sell and i think you should take that opportunity. when a company misses like whirlpool did it's stock goes in the penalty box and doesn't come out until it shows it can make the numbers going forward. the bottom line on this, a stock i got wrong, what the government giveth, the government can taketh away. i liked it because of the president's tariff on imported washing machines but that's only one small part of the business and now whirlpool is getting hit by the new steel and aluminum tariffs that affect nearly everything they make i think it can go higher if the president issues a lot of exemptions for the steer tariffs next week but i would sell whirlpool into that strength not worth the risk not in this environment.
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there are a lot of easier ways to make some money in the stock market let's go to roberta in new jersey >> caller: hi, jim i've been a faithful viewer since the kudlow and cramer days. >> maybe you saw me with larry this morning. >> caller: i certainly d i want to thank you for the education and advice you provide. >> that's what we're trying to do so thank you for recognizing what we're up to and appreciate it of course, new jersey, how can i help >> caller: well, based on the renewed interest in industrials i bought a small position in cleveland cliff. it's held up well in the current downturn i'm concerned about how paris may affect this stock. should i buy more, sell or hold? >> no, i don't want to you buy more it's a battleground stock. we don't know where the president will come down don't know what iron ore will do it's a commodity maker it's too much of a dice roll so i say no.
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let's move on. let's go to brian in georgia, please brian. >> caller: hey, mr. cramer boo-yah. >> boo-yah >> caller: my question is, the stock price for lowe's companies has decreased by about $24 over the past three months. spring has sprung for over a month and more people will be remodeling their homes, manicuring their yards, painting various rooms in their house and updating appliances, my question is would now be the time to pick up a few shares of lowe's companies? >> i was going over this very story with matt who writes with me, my writing partner and both felt the stock was breaking down and you know what i'm not a technician as much as i am a fundamentalist but i cannot recommend the second best when the best is out there. i think you should buy home depot for all the reasons that you said you wanted to buy lowe's time to wash your hands of whirlpool. mia cull pa there's potential the stock can go a bit higher but that's when you want to sell it's not worth the risk.
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is part of a bigger picture. that bigger picture is statewide mutual aid. california years ago realized the need to work together. teamwork is important to protect the community, but we have to do it the right way. we have a working knowledge and we can reduce the impacts of a small disaster, but we need the help of experts. pg&e is an integral part of our emergency response team. they are the industry expert with utilities.
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whether it is a gas leak or a wire down, just having someone there that deals with this every day is pretty comforting. we each bring something to the table that is unique and that is a specialty. with all of us working together we can keep all these emergencies small. and the fact that we can bring it together and effectively work together is pretty special. they bring their knowledge, their tools and equipment and the proficiency to get the job done. and the whole time i have been in the fire service, pg&e's been there, too. whatever we need whenever we need it. i do count on pg&e to keep our firefighters safe. that's why we ask for their help. the environment with rising interest rates normally you are supposed to stay from higher yielding stocks like utilities they become less attractive as rates rise yet, oddly the utilities in
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particular have been holding up pretty well in recent weeks. even as the yield on the ten-year surged above 3% the other day, just look at american electric power, the company that owns the largest power transmission network in the united states. they've been moving away from the heavily coal based model where they use cleaner energy sources including a major wind farm project in oklahoma that we got to ask about they reported a 2 cents earnings miss and in response the stock moved up nicely and, in fact, it's been grainiaining ground. you think this kind of thing would be going out of favor instead it's hanging in there. a closer look with nick akins, chair and ceo of american electric power to hear about his company's prospects. welcome. >> great to be with you again, jim? great to see you, nick i've got to tell you a lot of people won doctor how can interest rates go up to 3% and then i listened to you about
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your top ten industrial sectors. they tell me maybe it's because business is pretty darned good what do you think? >> absolutely. we're seeing a really big turnaround here for the first time since 2011. we're seeing all of our sectors of the economy pick up all of our companies are improving across the board and our 11-state jurisdiction and all of the customer classes are picking up as well so, again, first time since 2011, the lowest unemployment rate since 2000 and the gdp in our service territory is going at 3.3% versus the u.s. at 2.9% so we're seeing a broad gain here >> a lot of people have been saying to me, you know what, they cut those taxes, didn't matter but you cite the impact of tax reform as one of the reasons. >> absolutely, tax reform has had an impact. obviously from an expansion standpoint and certainly with oil process being higher as
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well primary metals, those kinds of manufacturers are continuing to progress and certainly tax reform helped them >> so talk to me about the individuals too. you do mention that retail is strong and amazon reported tonight so i wonder if brick and mortar is weak and amazon is strong but seems like everybody is doing well >> yeah, we see -- the customer classes across the board, retail is up 1.4% certainly overall our load is up 1.5% and industrials are up 2.5%. so and you're seeing commercial growth as well so across the board, you're seeing the increases and certainly from a customer standpoint, we're seeing customer accounts improve and across the board so great outcome. >> you know, nick, when i follow your company i think about the strength of the region and how great it is and how much you've been able to profit for your shareholders the analysts want to focus on wind catcher can you give me clarity? i know ultimately that will be fabulous for the rate base and,
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of course, for the environment but these guys just -- that's all they seem to want to talk about. can we put it to bed or say give it some clarity as you said in your release >> well, certainly we're hoping to get that clarity in the may/june time frame when the four states that are involved louisiana, texas, arkansas and oklahoma are in the process of revealing it we get the approvals for that, it is a 4.5 billion transaction and if you compare it against m & a, for example, 4.5 billion without a premium so a great opportunity for the company. >> and what does it mean in terms of being able to produce power cheaply that you never thought could have happened say ten years ago? >> yeah, certainly has changed dramatically particularly if you locate it in the right area. this wind power project is the largest projects in the united states 2,000 megawatts of wind, 51% capacity factor which means it's -- the wind is blowing much of the time so certainly it helps from an economic standpoint to have the scope and scale but also the resource
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itself that is so prevalent in western oklahoma. >> if had you to do it over again easier to build now? what were the mistakes everyone seemed so focused on >> well, certainly as you go -- look at the size of this project, it really is being pretty out among four different jurisdictions but when you think about that scope and scale, it is a daunting decision to make and the commissions are making a lot of progress. we have settlements in louisiana, arkansas and now a settlement in oklahoma so certainly it's been helpful to move along that process and they see the value and the benefits particularly the benefits of a hedge against natural gas prices. >> yeah, how much both as a utility ceo but also from your region, how much does it matter that we've had deregulation going on since president trump because i get the sense that deregulation has meant a lot to a lot of different industry groups in your area. >> oh, i think it has. certainly the mood of the country but also the ability to
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expand the capital being deployed, certainly from a regulatory standpoint, it really is changing the nature of the positive and optimism that many of our customers have and with that optimism comes growth and investment associated with it and obviously we're the beneficiary of it. >> what is the strongest area of this country because it's going to be within your region so you'll be able to tell us. >> so, obviously in our territory, the central ohio area is really growing very quickly obviously the oil and gas territories in texas as well and these are areas where you're seeing deployment of technologies around oil and gas activity but also in terms of the urban setting with our smart cities project in columbus, it's been very positive to drive investment and really focus on society being in a much better place. >> you're a godsend. i'm so tired of negativity good that people are getting
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it is time it is time for "the lightning round. >> buy, buy, buy. >> sell, sell, sell. >> and then "the lightning round" is over are you ready, skee-daddy? it's time for "the lightning round. start with derek in mississippi. derek. >> caller: hi. my question is about walgreens is it a good buy. >> we think walgreens is way too beat up. i say it's time to buy that one. paul in arizona. paul >> caller: hey, jim, a sunny arizona boo-yah to you >> sweet thank you so much for calling. >> caller: i enjoy your show talk to me about arena pharmaceuticals. arna >> we like these special -- we
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talked about it when we had someone recommended sage and when we did the competition today, you know, our draft and it made me think this is a good one too so i think you got a nice one tyler in virginia. tyler. >> caller: boo-yah, jim. i would like your opinion on dominion energy. >> i got to tell you, you have to buy it. i know it's painful. i say it's time to think longer term it's a good company. let's go to robert in texas. robert >> caller: howdy from houston, texas, jim i am wondering about tower semiconductor. tsem. >> tower is good but i've got tell you i got intel and amd why do i have to mess with tower? paul >> caller: boo-yah, jim. my stock is western union. wu. >> doesn't get any respect it's just too hard to own. so many other stocks flying. i have to say no let's go to chris in new jersey.
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chris. >> caller: hey, jim, idxx. what do you think. >> humanization of pet store remains and i say buy, buy, buy. don in massachusetts >> caller: hi. jim. this company designs, builds, overha overhauls military ships in the u.s. is huntington -- >> i got to tell you -- i got to tell you, take profits all the defense stocks are going lower. now will that end up running out? yes, it will but right now we got to take some profits i need to go to steve in kansas. steve. >> caller: boo-yah >> boo-yah, steve. >> caller: and what i wanted to ask you, jim, is what do you think of glaxosmithkline. >> i like it
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i know a lot of people turned on it it's back up i think the new person who runs the company is doing a fantastic job. gsk is for me. charlie in pennsylvania. charlie. >> caller: hey, jim, long time fan since kudlow and cramer. >> how about larry go ahead >> caller: he's great. >> caller: he's great. what do you think about well, it's earnings season >> caller: he's great. what do you think about once again. >>yeah. sy lot of tech companies are reporting today. in -- >> i don't like it i likal by baba instead that way you can keep your eyes on the big picture.
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turnarounds don't grow on trees. like the snow leopard. they're losive creatures most executives simply don't have what it takes to make a turn happen. that's why it was so enlightening to talk to dr. lisa su, the ceo who turned around the once flailing and almost bankrupt advanced micro devices. whenshe stopped by to chat about her quarter this morning on "squawk on the street," i think it's fair to say that su saved it from the garbage heap and brought it back to life by fixing the balance sheet now she has the whole company humming with its gross margins expanding and earnings on the rise getting them to turn a profit is
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a very, very big deal. ♪ hallelujah >> dr. su is as brilliant as she is humble. she had a big tank ahead of her. had to take on intel, what a company. she had to challenge nvidia for graphics processors. which are used for everything from gaming to datacenters to crypto currency mining even worse she had to do it all with a company that had a tattered balance sheet and somewhat tarnished reputation but from this looks -- from the looks of what i saw today after this quarter that amd just reported dr. su is more than succeeding she is actually taking some decent market share from a spectacularly run intel that's a remarkable achievement if you open it up, it's likely you'll find amd inside you might be using one of their graphics chips that's how you rack up
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$1.65 billion in sales this quarter and 40% increase year over year. that's how you increase gross maragli margins and get the segment showing a $138 million profit versus a loss of $21 million a year ago and that's how you get to the point where you can actually start paying down the debt you inherited to ensure that amd is never in trouble again finally when the stock was at 2 bucks not long after she assumed the ceo job many thought it was a goner. now that the stock is at $11 up 13% in one day alone i think it's going higher. nobody doubts its viability. especially when you hear confidence and confidence, competence and confidence like you heard this morning on "squawk on the street. >> i think that will expand as our margins expand and, yes, we will versus improve our balance sheet over time. i think the idea is, you know, you need to invest when you have, you know, these very, very complex, you know, technologies
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and we are investing in a way that we're improving the bottom line >> the stock of intel is incredibly attractive as you have a fantastic datacenter, excellent personal computer division an awesome take no prisoners ceo and this is incredibly cheap even after the stupendous quarter this evening that awesome upside surprise came from the datacenter and personal computer sales. nvidia run by one of my favorite ceos which is in my charitable trust. nvidia is rolling out a host of competitive chips but a rising tide is lifting all boats including amd which is a ship that wobble would have sunk without the intersense of dr. su crypto currency enthusiasts she thinks there will be numerous surviving currencies, graphic cards accounted for 10% of her business and why it will be
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shrinking as a total part of an expanding pie and says it will remain important to amd. my conclusion after listening to the call and speaking to dr. su, i think it is a buy for the long term and that's a tremendous achievement especially given the rigorous and brilliantly run competition. of course, i like amd more on a pullback would wouldn't i say you can put some on right here and plan to buy more if this wild market gives you any kind of weakness stick with cramer. duncan just protected his family with a $500,000 life insurance policy. how much do you think it cost him? $100 a month?
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$75? $50? actually,duncan got his $500,000 for under $28 a month. less than a dollar a day. his secret? selectquote. in just minutes, a selectquote agent will comparison shop nearly a dozen highly-rated life insurance companies, and give you a choice of your five best rates. duncans wife cassie got a $750,000 policy for under $22 a month. give your family the security it needs at a price you can afford.
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amazon raising the price of prime for new people i think they'll all pay -- i'm leaving out microsoft. a mistake. they had a good quarter and it's just on a night like tonight, what can i say, it was just garden variety fantastic when we had unbelievable -- i like to say there's a bull market somewhere i promise to find it right here for you on "mad money. i'm jim cramer and i will see you tomorrow.
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when everything's connected, it's simple. easy. awesome. >> 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." ♪ with a product she believes will help expecting moms feel beautiful. ♪ hey. my name is deidrea haysel. my company is hot mama gowns, and i'm seeking $30,000 in exchange for 20% equity in my company.
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