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tv   Mad Money  CNBC  May 11, 2018 6:00pm-7:00pm EDT

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>> mike khouw? >> happy mother's day to my lovely wife. >> and -- >> one-up you. happy mother's day to my mom and my wife. options setting up interesting 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 some money. my job is not just to entertain but to educate and teach you so call me at 1-800-743-cnbc or tweet me @jimcramer. maybe time to cool off a little why not. i mean this market has been up straight line for a week
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dow gained 92 points nasdaq declined. in one sense we are going up on a more optimistic take this time we are getting a hopeful view on world trade. some degree that is wishful thinking it worked when it came to the unlikely progress with north korea. of course we don't know which prism the market will use. maybe go back to the glass half empty mode we know this we know what to watch for. monday morning we hear from an israeli come that has fascinated so much of you mazer robotics i recently opined on the show that mazer had run enough and we
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should wait for it to come down. now it is may. and if you garden like i do, that means it is time to go to home depot for gardening supplies home depot reports tuesday and conference calls have been pure joys for ages. what is doing well and how management views the state of the consumer i bet home depot will have a remarkable quarter the staff is fantastic, but what has me jazzed is their technological edge on the competition includes lowe's which has allowed them to consistently take market share by all means pay close attention to the cfo who will give you the update on the health of american consumer i take her word as gospel. yesterday we caught a brutal downgrade of macy's. from hold to sell.
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the company has been doing so much right under ceo the piece had a two-pronged pieces the big gains of real estate sales are behind macy's, and the instore sales may be weakening have you checked it out lately it is terrific now i know the weather wasn't terrific for retail this quarter. but macy's will tell a good long quarter. may wife was there in the fifth floor of bloomingdale's that won't count for this quarter both have a track record of reporting excellent numbers.
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when it comes to take 2. lots of people have been concerned about the prop -- popularity take 2 will have a similar fabulous story to tell especially with the red dead redemption game. cisco caught fire under the leadership of robbins. as the company moves aggressively into software i hope he talks about the $200 million acquisition of company. this is run by brilliant amy chang. watch for that acquisition thursday we get results from
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walmart. earlier this week, walmart she would out to buy flip card wall street hated it and sent the stock down. the last time walmart reported, ecommerce showed a deceleration and the stock was hammered i have to believe the weak number will get ignored. and a number just a little positive will get the stock higher again can jcpenney get out of its own way? the problem is this company has no real differentiating factors being one of the homes for sephora, to me, that is all it has going for it
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penny's hasn't been able to generate good news two bucks and change doesn't make it cheap. after the close, nordstrom reports and i have been taking members of the actualownersplus.com that this is a lower reserve nordstrom has a new store in manhattan. the nordstrom tried to take this company private at $50 a share i feel they may feel confident about the chains long-term process. applied materials, each time it reports late, there is always some issue with its clients. the semis are finally acting well so i bet applied materials can rally on a better than expected
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quarter. deer and campbell soups. farmers around the world with flush on cash. campbell's, beaten down entire market the food group its older products are what defines the business and it defines it negatively. i hope they put themselves up for sale i doubt that will happen though while we have seen a bunch of downgrades, i think courtesy of tax reform could result in surprises. we might have what we need for yet another bullish backdrop as long as there is no sudden disruptions all of our world
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trade talks that are going on right now. shaun in california. >> caller: happy friday booyah the stock in question is control 4. i am up about 14% since then and my question is why did it retrace the way it did from previous high? >> everybody feels that all of the companies that are involved with say home automation are going to be destroyed by amazon or alphabet. i think that is wrong. i think you are right to be able to be in that stock. it has come down way too much. i think you have a good one. michelle in missouri. >> caller: jim, i am buying a new home and want extra money.
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i am talking about u.s. concrete instead of being up 20%, it is down 20. what do i do >> i tell you what, i am as kpa exacerbates as you are i think you have to stick with it it is a matter of time shane. >> caller: what is going on with all the chinese volatility and even after crushing the earnings, to be more specific, can you enlighten me on weibo, wb. give got to tell you, i think alibaba is going higher.
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and i don't need to go down the food chain the consumer is stronger and i think that will allow the retailers reporting this week to deliver positive not negative surprises. on "mad money" tonight n the age of amazon, warehouse power house pro logics a deal. i am talking tothe ceo what you would you rather own ko coors or kors. 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
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if you want to own a real estate investment trust in this environment of rising interest rates, i told you over and over again i prefer to stick with the reits. think the data center reits and the logistic reits that benefit from the cloud a couple of weeks ago, the logisti logistics base got a lot more interesting. pro logics is acquiring. the deal makes pro lodgis more attractive let's check in with the chairman and ceo of prologis. what it means for the future of the company. welcome back to "mad money." >> happy friday to you.
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>> thank you i love this deal and you know that. and one of the things i love about it is that you are a seasoned player when it comes to buying and then integrating quickly the best properties. so why don't you outline what you are going to do with it. >> dct is a company that we have had a high regard for. probably the closest strategy to prologis in the u.s. and highest quality portfolio of significant size that is out there. we want to use that platform to sear serve our customers better but along the way generate savings through synergies, certainly on the cost size but more importantly on the revenue size the size and the scale of the prologis platform. fabulous factories in the west southern california, demand
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there. chicago, would they be integrated easily in those areas? >> yes the overlap is almost perfect. they are in every single market. that we are present. perfect overlap. once we go through the portfolio, we are going to retain over 93% of the assets. >> now, i know there was a funny moment in the conference call when the analyst says what it will do for dividends, but if you can lay it out this will allow prologis continue its great record of raising dividend and raising earnings per share. >> for sure. we haven't issued the formal guidance, but we think it is going to accelerate our growth over time and it is driving down
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the cost of doing business by creating scale i think we can add value by reducing the cost of capital and being able to run the platform more efficiently. but by virtue of scale all of those other good things that happen to you when you are part of a large global operating company. >> now, when you have customers like an amazon or xpo logistics, some of these europe companies, i know they can't demand anything of prologis, but they ask you to do these things. >> increasingly they are historically the landlord has had the luxury of leasing four walls and a roof increasingly in this interconnected world of supply
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chains and change, you know the landlords, at least the good ones should be helping their customers in many other directions and we are really reengineering the customer experience, making it much easy for our customers to move in and utilize the space more efficiently and really, the data side of the business is increasingly important. if you look at it, these two platforms together will be almost 750 million square feet and as you i think know 2% of the global gdp goes through our buildings. so we haven't really started to scratch the surface on the information side and information side of the business. >> you had some really interesting opportunities. dct has vacant land. is that something you start with your architect and figure out let's get more business up you definitely need them
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>> dct has historically not been a large developer. so their land bank is modest but very well located and they have a number of buildings under construction and we will cleat those when this transaction, or if this transaction is approved. and start on the remaninder of the land we have a robust business on our own and more attractive when the two companies combined. >> where are we on ecommerce i keep saying we are very early. a lot of people are saying it has got to be late what is your impression. you probably see more than anyone in this business. >> well, it is interesting, i was at the conference where there was five different individuals, two from the retail business, a couple of customers and a venture capitalist
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and that question was asked. and the vc answered 100% which is of course optimistic. and the retail property owners said maybe a few points more today it is 10%. i would guess it would be north of 30% and 40% and i think overseas it is going to be sooner come to get into their prime buying age i think that percentage is going to start move up good shopping centers will continue to do really well but i think it is all good for logistics business. >> you have done so many things right and i congratulate you on a great deal you spot them and you are buying
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them and congratulations. chairman ceo of prologis the visionary in this field. "mad money" back after the break. >> announcer: these two companies may be off sits in both style and substance but does one of them belong in your portfolio it is coors versus kors. next ♪ ♪ (baby crying)
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how can you tell between the difference between a broken stock and a broken company i have a perfect example a pair of stocks that got slammed last week. stocks that have nothing in common except their names. i am talking about kors versus coors. that is michael kors versus
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molson coors think about it michael kors is the maker of luxury apparels and accessories. like these handbags. mols molson coors is a brewery. that makes champagne of beers. doesn't have quite the same cultural cache granted both make chaichael kor. and molson coors are very well-know well-known about 12 months ago, kors started turning around in a
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major way. and since then, it has nearly doubled. kors is a comeback story molson coors on the other hand, more like a come back to earth story. the pain has just accelerated. a week and a half ago, molson coors reported a hideous quarter. and it plunged after that kind of move, i don't blame anyone for wanting a drink. although you probably need something a little bit stronger than a coors light so why has kors been performing this much better and coors a little bit worse let me give you background
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michael kors is a major fashion brand. hundreds of stores in america and hundreds more overseas now michael kors came public with a bang in late 2011 thanks to the law of large numbers, the growth slowed and this stock was a total dog how about molson coors you know these guys also in blue moon, carling and keystone, could be a bunch of craft and specialty brands the big transformation for molson coors came at the end of 2016, for years had a joint
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venture. thus giving them more heft to compete with the likes of anheuser-busch allowed monson to snap it up we thought this would be a transformative deal. but in fact we got this one dead wrong. missed it. i hate to see what thanksgiving looks like in the dust molson, why can't you be more like your brother michael? so how did michael kors pull off its tail spin. a lot of it is company specific. the general sense is that the business has started to turn and that is because last year michael kors acquired jimmy c w
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choo i happen to be a big customer for my wife because of the toe cleavage they talk about just a couple of weeks ago, michael kors caught an upgrade arguing that the company is in the middle of its turn around. they are marking down a lot of less merchandise the brand seems to be getting more traction. a lot of people thought they overpaid and they didn't the stock of kors has been soaring. when tapestry reported an ugly quarter. and the pin action of that took down coors down too. a lot of the problems with tapestry were company specific that is why michael kors is a
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broken stock not a broken company. i say it is a buy. molson coors, this is a coors of a different color. here is the problem in a nutshell the acquisition was complicated and turned out to be poorly timed. just as consumers were increasingly turning to fancier craft beers. molson coors reporting a no good very bad atrocious quarter just a gigantic bottom line mis. so what really separates michael kors from molson coors while michael has been benefitting from the renaissance in the apparel space, molson has been crushed by marijuana. smoked by legalization
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the apparel come back is self-explanatory look at nike, or higher department stores like macy's. but what the heck is molson coors getting steam rolled by this slow wave of can bus legalization it turns out beer and weed are not two great tastes that go together remember, kids, just say no. in states that legalize medicinal marijuana, alcohol sales have fallen by an average of 15% holy cow now the booze business was already shifting away from the mass market beers that coors specializes. but the weed thing, turns out people like to be only one kind of intoxicated at a time their stocks trade at similar
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levels michael trades as 13 times next year molson trades at roughly 12 times next year's earning estimates. coors might turn out to be more expensives expensive as it seems. at michael kors, the numbers are going in the other and right direction. when it comes to coors versus kors go with the one that is on the rebound. it is a broken stock and not the one that is in free fall fleeing from the mass beer market in groves i got to tell you, they got to stay the heck of molson coors after seeing those hideous numbers just last week ram in texas. >> caller: booyah from texas
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where everything is big. my question is from cigsignet jewellers. do you think that new direction will help make a good investment in the coming days >> that is a great question. because you have to say wait a second, we love tiffany, but signet old model is a model based on lending is out. and it is frankly not nearly as profitable so i say stay away when it comes to kors, the retailer versus coors the retailer, i say stick with the retailer i have a one-on-one with the ceo
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of nice business and my dog nvidia is a rescue mutt maybe that is why i feel compelled to rescue nvidia and all your calls and tonight's edition of the "lightning round. and a look back at the week that was. so stick with cramer
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now that technology has come back into style. let's talk about one of my favorite big picture themes, the rise of data nvidia intelligence software
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i am talking about nice limited. an israeli analytics company they also used the platform to fight financial crime preventing fraud, stopping money laundering and ensuring banks comply with regulations and a lot of this is fueled by the artificial intelligence nice reporting numbers were nice higher than expected revenues of 10% year every year. their cloud business which we are going to focus on is growing at a 32% clip. stock climbed 1% on the news and rallied hard going into the quarter. let's take a quicker look at the ceo. we are familiar with the space, but why don't you go over where you fit in data analytics.
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>> so weening data analytics article official intelligence and take it with the cloud into two spaces one is customer experience helpi helping organizations of any size and the other part is fighting financial crime. let's talk about fighting financial crime. we had something that was terrible in sim mantic and ppg. what can you spot and how? >> so we connect to hundreds of different of sources in real time and applying complex analytics and decide in real time whether a certain transaction, an atm transaction, or any transaction is legit and we can decide in real time to stop it
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>> the other day i was hacked. and somebody bought something in thailand >> we were deployed in most of the financial services there is good chance it was us. >> and that is a propriety algorithm that other people don't have. >> absolutely. >> this is, i saw a fascinating, nice acquires matters site and we understand, this -- analytic capabilities, uses speech analytics and psychological pro filing to commit customers to the agency that are sufficient to them. who are you trying to sue? >> if you think of what we are doing, we are connecting consumers to enterprise the best possible way whether you use your phone, whether you checked
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with them or e-mailed with then. we have been acquiring companies and innovating ourselves in the space of analytics in order to create that unique experience. the unique one, allows us to use the customer persona to connect you with the first person that provides you that service. >> artificial intelligence figures out whether the person likes to talk or is from a different company? i am trying to figure out what are the characteristics that people can have. >> propriety algorithm, but analyzes the persona of the customer and allows them to connect it to best service we profile those customers to give us the best experience. >> can you tell who might be interested in buying something >> whether it is your cable provider, bank, this is the way
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to provide the best experience of your company. it is a way through their heart and through their company. >> the percent of the big companies that use you, and we have had people on that have been hired by those companies. and no one else is doing what you are doing. >> that's correct. you mentioned the cloud before, that is previous acquisition, we are putting all of those, we put all of those together into 61 platform which is the one that is allowing us, allowing those customers to connects the dots together and provide a cohesive customer experience. >> we know some cloudompanies,
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quickly can you mauove cloud. >> we are not cannibalizing our own base we use clouds in order to grow a total addressable market five fold we stepped into an adjacent market and by developing 61, we have the ability to go into the cloud in a rapid base. >> your company is exciting and when i heard you guys are coming on, i heard these guys are doing something exciting this is a very good company. "mad money" back after the break. i'm not a bigwig. or a c-anything-o. but i've got an idea sir. get domo. it'll connect us to everything that's going on in the company. get it for jean who's always cold.
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no one thought much of itm at all.l people said it just made a mess until exxonmobil scientists put it to the test.
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they thought someday it could become fuel and power our cars wouldn't that be cool? and that's why exxonmobil scientists think it's not small at all. energy lives here. >> announcer: lightning round is sponsored by td ameritrade it is time it is time for the lightning round on cramer's "mad money." we'll play this sound -- [ buzzer ] -- and then the lightning round is over. are you ready, skee-daddy? it's time for the lightning round on cramer's "mad money." stal with jimmy in florida.
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>>. >> caller: my question is on pet med express. >> we go to labs michael in florida. >> caller: xerox >> pitch of the day is to sell xerox. that thing is just, well let's just say [ house of pain >> joseph in texas. >> caller: i love your show. keeping it short and sweet looking into a transportation stock. >> i am going to send you to xpo
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logistics. al in florida. >> caller: i am a big fang fan. >> i would use it to buy, buy, fang joel in pennsylvania. >> caller: booyah to you got a stock that is beaten up. itw. >> i have been telling club members, this thing is good. one division that was week it was just the auto and i think they are better than that you shouldn't be a seller. we bought some lower than we sold higher. and i want to stick with that view ashish in north carolina >> caller: pgla increasingly had
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its blockbuster drug i wanted to get your take on it. >> well, i mean, i think the news is already in the story that is why it didn't go i mean, it is kind of done and i would rather hold out for something better steven in florida. >> caller: yeah, jim symbol stm. >> we are going to go to cisco ahead of the quarter i think they are going to be very good. zack in texas. >> caller: i want to thank you for doing such a great job my question is about price line or booking.com. >> yeah, here is my problem. that group has become crowded all of a sudden. just another good company report this week. i like this company
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historically, and now there is pricing pressure [ sell, sell, sell ] and that, ladies and gentleman, concludes the "lightning round"" >> announcer: lightning round is sponsored by td ameritrade >> i can't make it booyah well, and there is room for optimism when it comes for the stock of general electric? half a brain is too much for this market. you want to use a quarter of the brain at the most. the less brain the better. >> pandora media i listen to it all the time.
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at work, and on the phone. i own shares of it and they came out -- >> main leaders were f.a.n.g facebook amazon netflix and google have you noticed that everybody uses it. but you never heard it copyright by "mad money. i may do something about that. anyway muttering) that was awful. why are you so good at this? had a coach in high school. really helped me up my game. i had a coach. math. ooh. so, why don't traders have coaches? who says they don't? coach mcadoo! you know, at td ameritrade, we offer free access to coaches and a full education curriculum- just to help you improve your skills. boom! mad skills. education to take your trading to the next level. only with td ameritrade.
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you don't name your dog nvidia for nothing you name him nvidia because he is the best dog in the world or one of two of them because his best pal bug is also a congenial star nvidia is a rescue dog and i feel compelled to rescue nvidia stock. the decline of cryptocurrency money. let me point out that nvidia is a remarkable company pioneered graphic chips with so much power they are supplanting cpus if all sorts of applications you need these for data centers autonomous cars. think alexa.
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and nvidias use are bigger, faster, and run cooler it is the holy grail of computing. some of them have ten-year lead time we used to think of it as a gaming company and to be fair, these chips are still behind the incredibly life like quality of so many lifelong games. more kind of like let's say it has rolled out a slew of chips with massive fire power to handle the flood of digital information that is being created by the cloud every nano company. now it makes chips for every company. amazon, ibm, and oracle clouds they have a big lead in semiconductors for driverless cars ever since scott kia told me
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that nvidia made the best chips in the world they make the chips behind amazon alexa nvidia's products are unrival in terms of the amount of processing fire. the heart of the problem with today's action nvidia's graphic cards are so powerful that they can be used to mine cryptocurrency when bitcoin was soaring, snapped up nvidia's cards. and nvidia flagged this issue telling you the nvidia graphic cards were going to slow next quarter would produce a steep dropoff for business
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and cause investors to panic just as i feared just as every other line of business was down right fabulous look, i warned you this would hn and apparently that wasn't enough to prevent the stock from selling off on something that should have been expected by everybody. in part because nvidia stock had run so much and a lot of people felt it was way too expensive and when they heard this news, they had to get out. nvidia stock always looked expensive on the near term earnings but that is not the right method when really matters is how the stock trades in the outyears in 20 sixteens it looked like it was selling -- only been trading at 12 times earnings, not 40 and that is what happens when you keep blowing away the evidence if you strip out the
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cryptocurrency mining business which is basically what will happen next quarter, nvidia stock turns out to be incredibly cheap, which is why i say nvidia is no dog in real life, just in my household and it should be bought not sold what more do you want? stick with cramer.
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huge week for everything let's remember we have been straight up. take a little off the table. i like to say there's always a bull market somewhere. i promise to try to find it just for you right here on "mad money. i'm jim cramer, and i will 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." ♪ is jason lucash and michael szymczak with a creative new technology business. ♪ i'm jason... and i'm mike, and our company is origaudio. we love to travel. we're total travel junkies and have been all over the world. and we also love music. and the great thing is, our company combines both.

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