tv Mad Money CNBC June 1, 2018 6:00pm-7:00pm EDT
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>> calling for reversal there. >> jim >> apple if you are bull bish. >> our time has expired. i am melissa lee, don' 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. let's see, italian bonds spiked in the sky, it didn't fall we put tariff steel on the moon,
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and the wheel, they didn't fall off the bus. then we got today's amazing employment report and the market showing the true colors. dow gaining, nasdaq pole vaulting 1.51% our economy is in great shape some of when our stocks trade on the united states not italy or germany or china or canada, we roar higher. the single most data point for the market is the labor department's payroll figure. and this was nothing short of spectacular. the thing you need to remember about the employment numbers is that everything else that you hear about on tv or in the paper its impact lasts i did a study on this particular aspect on "get rich.
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that positive prism will suf fuse the thinking of portfolio managers or 5% for emd yes, it is that powerful and we will keep viewing things through that positive filter until we see the next number. so let's go over our game plan for next week, we start with cybersecurity. o one of our strongest long-term in the show. but monday night, we hear from the grand daddy of the groups and that is palo alto networks usually in the first couple of paragraphs you learn they partnered with these guys. lately this has struggled to demonstrate any real consistency, let's work through this only proof point and nice have been able to claim they have
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setbacks fire eye is making a come back and as for palo alto, it did have to have a reset ceo told us it would take a bit to fix and it did. and it was fixed a few years back we met with a retailer because we heard from -- this is a chain that buys close out merchandise business model works nationwide. we hear from alli's on tuesday, and i think it will be a good
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quart quarter. wednesday we hear from 5 below as much as i hate to use this term, five below is a company that has experiential quality. fun place to shop. while lacks the consistency of olies, it is putting up financial numbers as of late i bet you will like what they have to say. also an unlikely tariff play brown-forman we know that eu wants to strike back, and it is jack daniels that is in the cross hair. still, the brown -- they could have a great quarter and i don't know if anyone is going to care. then signet jewellers.
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i think the new ceo is turning signet around. re-setting expectations, cleaning up the culture and make the company into a jeweller. not an easy transition but i think this could be a beginning of the term. 3.5% yield good balance sheet expectations are low what happened to thor industries which has plunged from 161 to $93 since the market peaked in january. the better thing to ask is what hasn't happened to thor. we heard the labor was tight, tight where they assemble a lot of their products. now people think that thor is going to be hurt by the steel and aluminum tariffs, they don't actually buy much of this raw stuff but that is what people are going to think we need to know if the
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inventories came down enough and if the stocks are safe to own. a few of these people have been crushing this stock and they don't want to hear about thor again. i have a suspicion this is not going to do a quick u-turn once upon a time, there was a semiconductor company, and it's name was avago and then changed its name to broadcom, and then proceeded to go after qualcomm. more than p10% of its shares. the stock is starting to scorch higher like the old days finely on friday, we get the german industrial number i am watching this thing like a
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hawk because right now the strength of the german economy depends on its experts especially its automobile exports germany doesn't want the door slammed and it can't afford to have a slow down it can't a weak industrial production number may force that government at last, it has been so darn independent to negotiating table with our country i think the germany that is -- if the number is good, it could be a protracted struggle the employment numbers got a rosy hue you can take on more risks despite all of the political insecurities a boom produces more winners
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than losers, keep that in mind it is possible you are not being aggressive enough. mark in my home state of pennsylvania mark >> caller: how are you tonight >> couldn't be better because it is a weekend, how about you partner? >> caller: feeling the same way. i have a question and i want to isolate a certain idea 98% of uranium comes from adversarial nations. all of them have been slapped with large tariffs, 60 million americans. most of it is coming from importation. >> right. >> my question is, it looks like uranium prices are about to rebound from historic lows and when they do, boy do they
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rebound with veracity. >> i'm sorry, i don't -- are you going to ask about ccj >> caller: exactly looking for a company not to buy the farm, because when i look back at 2007, 2008 >> well, look, mark, here is the deal, okay, it is not a great company. yeah, you can take a speculation in it, but i like to recommend high quality companies with good balance sheets with have good consistent earning patterns. and i can't recommend that it is not good enough for you or for "mad money." i need to go to gabe in new jersey >> caller: hey, jim, how's it going? >> couldn't be better.
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>> caller: with the recent news of their vice president charged with insider trading, what do you think of goldman sachs >> my travel trust owns it and i think that vice president, i am giving him the j.r. smith ill-advised information award. that guy has got to be, he is as dumb as a bag of hammers you have to check. i read the whole complaint j.r. smith has nothing on that guy just to conflate the two past times kelsey in new jersey. >> caller: hi, jim, love your show i am a long-term follower and first time caller. i got into therapeutics md
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shortly after you have the ceo on your show finally received approval for menopausal drug and in spite of that its stock dropped 10% curious on your take. >> people recognize this is going to happen. and i thought this was a good company and i still do and i think the drug is a good drug i would not sell this drug at five i think it could work higher that guy has nothing to do with the goldman sachs that i worked at or the goldman sachs that exists now what a beautiful tape we saw today. i think the employment number will continue to color the market and that means there is more winners than losers on mad tonight, i will explain why we actually be in one. then prince harry? tonight i am highlighting a company with a royal possessite
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for you. and i always say i have the smartest audience. i am catching up on homework on a friday night 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 head to madmoney.cnbc.com. alerts -- wouldn't you like one from the market when it might be time to buy or sell? with fidelity's real-time analytics, you'll get clear, actionable alerts
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you want to know what the perfect economy looks like at least from the perspective of the stock market honestly, it looks like this one where we of fabulous job growth and little inflation for years we have heard that good news is bad news meaning as business gains steam, the frat reser -- federal reserve is going to raise rates.
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today's report undermines that dogma. one caveat obviously stagnant wages are not great for people who work for a living, but fabulous for the stock market and it is "mad money" and not mad job growth 6,000 in machinery, manufacturing economy has added. retail tactile transportation warehousing added 19,000 jobs. despite bad weather for much of the country, construction companies hired. health care, with only 29,000 new jobs health care is taking up a larger and larger share of our
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gross domestic product while there are good reasons for it, it is the one sector that is not tied to the strength of the border economy i don't think we would have seen these amazing numbers without tax reform i keep hearing pundits say that the windfall is going right to the stock market the real gaining factors is the pool of workers that are available. when union pacific is offering bonuses for $26,000 a head, they are telling you they want to do more hiring. the good news, formally considered to be by some as undesirable. are now getting the jobs they deserve. the bad news is we have such tight immigration laws that we are not going to see the influx
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of workers needed to keep. there are so many benefits to stronger employment. raising the amount of money the government gets from taxes more households will be formed that supports consumer spending. college graduates with huge debts might get out under it how can we not cheer for this and with this economy being this strong, we have an opportunity to try to stand up to our trading partners like china who tip the scales with ton of unfair practices i would be worried about the retaliation. i feel like the administration has had a missed opportunity here if we try to work with our allies rather than targeting them, maybe be able to organize
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a concerted efforts. thanks to this amazing economy, i am less worried about the consequences when these countries inevitably retaliate tariffs can do damage to the stock market even as they do make things fair for our great american companies let's not lose the take-away, a boom, is a boom, is a boom and good news is good news for all to see "mad money" back after the break. the line between work and life hasn't just blurred.
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wagon around stock that market perceives. all week i have been recommending the cloud kings biggest and best claims on this seemingly cloud computing. adobe, up 43%. salesforce 28% service now up 39% red hat up 30% splunk up. workdays vmwear number was extraordinary last night the cloud kings have been making you a killing and why i have insisted and have had the ceos of the cloud kings on endlessly. and i am going to keep bringing them to you because this is where the money is when the averages got slammed,
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most of these cloud stocks got dinged it is not like the kings are the only way to play the powerful secular growth trend take coupa software. here is a stock that has been a huge winner. posting a perfect 16% gain coupa may be too small to be a cloud king, it is a $3 billion company, but certainly a cloud prince what has made this thing such an incredible performer and more importantly, can it continue to sustain its momentum maybe it is a cloud jack coupa software offers its customers a cloud based platform to manage.
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real time visibility into and control over how they are spending money takes all of your business procurement, and analyzes it and find a way to save coupa platform manages $680 billion the most attractive thing about it for me is that it is a cloud prince and not a cloud king yet. even the smallest of the kings splunk is more than five times the size of coupa. much more in common with new relic. these smaller companies tend to be more speculative hence why i waited until friday to recommend coupa. the fact that they are small
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means it is easier for them to sustain real rapid growth. down from 40% last year to a less impressive 23 the numbers will start to accelerate again coming back to 27% by 2020. the flip side is that it is very, very pricey. coupa has had a monster run. and i would be crazier than i already am if the valuation didn't give me pause what can i say, it is the metric you have to rely on and the darn thing is still pricey. the stock sells for 13 times this year's sales and nearly 11 times next year's unanimousnumb. but it has the highest price to sales ratio. unlike coupa, adobe can gate
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aw - get away with it coupa is not yet profitable so valuation is more of a stretch and this is what makes it so hard to talk about forcing the analyst to boost their estimates, it can maintain this valuation because the stock is a lot cheaper the thing is you need to understand if you are buying it here, you are betting on it. this is why barkley's downgraded the stock last week. normally i don't dawn this downgrade seriously, but this piece is about defending the valuation of the cloud stock let me put it another way. this company came public in late 2016 the stock started breaking out in the last six months what made it finally catch fire,
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i think this move is a perfect example of what happens when wall street anoints a stock as a winner and i talk about that all the time they say this is the winner, they, being the collective group of growth stock managers in december coupa shook people up in the next couple of months, the analyst started falling all over themselves. taking the industry by storm and growing like a weed. keeping the momentum going the company had an incredibly bullish here you need to exercise a little caution. coupa reports on monday and the stock has run up dramatically and a run up into the corner for a company that is based on revenues is always worrisome.
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now the company delivered much better than sales smaller than expected loss and gave small robust guidance. it was an excellent quarter, i read the notes before the ceo came on. and yet what happened? in the two weeks leading up to the last quarter, the stock rallied up but then dropped 3% the next day and spent six weeks trading sideways that is the price of great expectations coupa does have a great story. the market opportunity is enormous as ceo told us when he came on not that long ago, tons of companies still use paper to track expenses given the reaction to the last quarter, i want you to be ready for coupa to hit
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if it ends up roaring higher, then blame me for being a moron. and if it gets dinged on great numbers again, that is when you want to pass a lot to love about this cloud prince, but what worries me is at these rewards risk is not accept to me frank in texas. >> caller: i have held nxpi since recommended on your show and i have been 14% growt-- 104 growth is it time to accept the tender offer or sell the holding? >> i am going to be talking to the ceo of qualcomm. that said, the club, we owned
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it, actualownersplus.com and we sold it in the 20s i think you have to take some off the table. we don't know what is going to happen with china. kyle in kansas. >> caller: booyah from chief kingdom. want to talk to you about sierra wireless you liked it back in august and the ceo has recently retired what is your thoughts? >> wow, that has been killed shoot, i got to come back on that i did not know that sierra wireless had fallen that low and i don't know the interim ceo there is not a full time ceo i have got to come back. i'm sorry. i am shocked that thing has fallen as much as it has we will do homework. and go chief dan in california.
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>> caller: thanks for bring sanity in this crazy business. been holding ibm and they have had a large inflow my question is will this be enough to turn opinion. >> i am going to get right on the plank here i thought the last ibm quarter was good and not bad i know the stock has been hammered since then. i know that things have been turned around. and with a 4.5% yield at 141 with the capabilities and the fabulous encryption and their very private cloud, i think you buy it all right. coupa is cloud royalty
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this prince could get hurt when it reports monday, and that is when you want to pounce. good news if the dog ate your homework and i am not just talking about nvidia, i did it for you. never put all your eggs in one basket call me to see if you are diversifies and then the "lightning round." and a look back at the week that was. so stick with cramer
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own homework i always tell you i will circle back after doing research. this is the most interactive show on television think of another one let's do house keeping before all of this homework turns into a summer assignment. on march 20th i was asked about casa systems i said i was going to get back to home. a broad band infrastructure play that is much about the build out of 5g. they have software centric platform that helps service providers deliver voice and data it will be with us for years the stock itself has been a roller coaster when it was called about in late march, it more than doubled from
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the ipo price climbing to 31 since then, it crushed it is at $19 today why is this obliterated? when reported last month the results were excellent the company broke its post ipo lock up early and held what is known as the secondary offering in late april. now anyone who bought on that offering cannot be too pleased down more than 21% at this point, the stock is down significantly from where it was trading when i got the initial question two months ago. honestly i am torn i believe it can do well in the future but don't see any reason to rush into it in the short system given the recent weakness here i wouldn't be surprised if it could go still lower
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it doesn't help that the equity partners still own shares. in short casa systems might be worth putting on your shopping list but i wouldn't own it here as the mechanics of the market and the fresh ipo typically trade. next up on april 11th shane in nebraska wants to know about health equity. i told him i needed to do homework here. here is a country that is a play on health savings account. these are taxed advantaged accounts where you can sock away some money and invest it in order to pay for future health care cost. think of them as iras or 401(k) and instead of retirement they pay for surgery. service 3.14 million accounts. the idea is that health equity
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gives you a cloud based platform how to invest the money and how to find the best treatment options. it has more than tripled its market share in these savings account from 4% to 13% this stock has now run of 20% since shane asked me about it in april. come back, shane shane. the problem is that health equity is too high for me. to recommend levels. oh, google the darn thing. and it is growing like a weed, it is too rich for me. here at 76 i say take a pass.
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let health kwequity come down finally on april 13th in nebraska asked me about epam systems. they help other customers with aspect developer process and business is good for each of the last three years, they put up a consistent equity growth. think of them as the arms dealers for these software developers and even though they have been growing their earnings at a steady clip of 20%. it isn't that pricey
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maybe it has forgotten about i will gladly recommend paying a small premium for the stock. kim in nebraska has horse sense because epam is worth owning here "mad money" is back after the break. welcome to holiday inn! thank you! ♪ ♪ wait, i have something for you! every stay is a special stay at holiday inn. save up to 15% when you book early at hollidayinn.com
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>> announcer: lightning round is sponsored by td ameritrade it is time it is time for the lightning round on cramer's "mad money." that's where i take your calls rapid fire 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." starting with paul in new jersey. >> caller: hey, mr. cramer, how are you? >> good, partner, how about you? >> caller: great what is your outlook on cell gene i worry about the franchise and nothing else is there to replace it tim in florida >> caller: booyah from the
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villages florida thank you for sharing your wisdom the dollar tree overtrend? >> that stock is going to go all the way back before we see another quarter. there were a lot of things that i didn't like about the quarter and they weren't answering the commentary it wasn't good erika in texas. >> caller: booyah, jim, love you, and love your show. i bought chicos after they announced their partnership with amazon >> chicos is, if you want to partner with amazon, you go with kohl's it is not doing that well. m manuel in florida. >> caller: how is it going >> in a few hours, i will be
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garden, that is good >> caller: thanks for all your work it is awesome. i want to know about campbell company soup company. >> i don't like that balance i don't like the quarter i don't know if they have management osha in texas. >> caller: my question about, if we have tariff on calls. >> i haven't heard about that stock in a long time you have a winner there. >> cheryl in new york. >> caller: hi, how are you doing, cramer? >> i am doing good >> caller: can you give me good news on mazor robotics >> i like mazor robotics
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i do like the robotic segment and this is the next isrg. that is hard to do jake in georgia. >> caller: booyah. i wanted to know what you thought about pkg and the packaging and paper industry. >> i love the packaging and paper industry but that is not, i would not recommend pkg not when we can own a stock that i have been telling club members to buy. which is west rock wrk. come down a lot from its high. i would pull the trigger jesse in colorado. >> caller: professor, cramer, how are you? >> thank you for giving me tenure, what is on your mind. >> caller: looking for your take
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on yext. >> it is a good story. i don't think it is a great story. let's go to little john in california. >> caller: booyah. how are you doing? >> great all right. your thoughts on stm stock. >> very good semiconductor company. it is a buy right here and it is very inexpensive arrian in pennsylvania >> caller: booyah, jim how are you? >> very good how are you? >> caller: i have a question on cognizant tech stock. >> i like acm. debra in arizona. >> caller: hi, jim, i love your show. >> thank you >> caller: i wanted to ask you about ge
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>> i think that john flanery is getting his hands around it. it is hard to do because he was not given a strong handl, and i think the stock is bottoming and that is the conclusion of the "lightning round >> announcer: lightning round is sponsored by td ameritrade >> what was that of course the fact that the golden knights just won the first game of the finals serves that nothing is impossible we are not in rome, naples or florence remember, that we look like this, they look like that. someone on twitter said i look tired during last night's show. >> is it a buy, buy, buy
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no, no, no there, i said it come after me, be my guest i can't believe i am wearing a post it for the company that makes post-it is ciao mama mia that's amazing. it's a pretty big deal. so i can trade all night long? ♪ ♪ all night long... is that lionel richie? let's reopen the market. mr. richie, would you ring the 24/5 bell? sure can, jim. ♪ trade 24/5, with td ameritrade. ♪ as a business owner, you need to comply with countless regulations and laws to keep your workers safe and happy. but if things go wrong and an employee takes action against you, legal fees to defend yourself can be huge, even if you're not at fault. employment practice liability insurance
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we know the tape doesn't always show or know its true colors sometimes panic trumps reality what you saw earlier this week and that is why never keep all your eggs in one basket. that is why we call am i diversified. i tell you if your portfolio is diversified. >> next we have a tweet from parth parikh am i diversified >> sadly, i am looking at five unbelievable companies and no diversifications amazon, think it is terrific but that obviates the need, we don't need microsoft oh, man, how am i going to do this we are going to say alibaba is the same as amazon but in china, so we take that out and we buy
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united health. and then we say intel, that is going to keep because it is a hardware company no to facebook we will keep microsoft and then we add united health and then we will add honey well because we want industrial. now, if this were a larger, if there were 15 countries, i would say it but this is a portfolio of tech, this whole thing could go down 3% in three days let's go to rich in wisconsin. >> caller: i am a lifelongan fourth time caller huge thank you and booyah. >> staff makes me look good every single day and also has me losing weight because i eat a lot of things i don't like. >> caller: green garden in full swing. is there anything more a guy can
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ask for? >> no. >> caller: my top holdings are a alibaba, johnson and johnson, home depot and amgen. >> we got retail, we got chinese retail we got j and j which is one of the great companies in the world. doing a great job. pep psi compais the analog. uh-oh, biotech and drug. sorry amgen. we are going to add united technology so we have food, industrial, retail, chinese retail, i am
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sorry amgen, do not take it personally. >> joe in ohio >> caller: booyah. thanks for taking my call. i am a long-term listener, wish i had been listening in '08, '09. and my portfolio could have been bigger i have am vi, paypal, dominion and anally. >> we will have to give rid of abbvie annally. i don't know what they own boeing, aerospace, fantastic
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dominion, i like and i am giving you jpmorgan and that is the kind of diversification. i feel bad for amgen i will rename my dog bug amgen and then everything will be okay stick with cramer. while maintaining a level of protection in down markets. so they're less concerned with market volatility and can focus more on the things they're passionate about. talk with your advisor about shield annuities from brighthouse financial- established by metlife.
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and that 2% cash back adds up to thousands of dollars each year... so i can keep growing my business in big leaps! what's in your wallet? >> spent a lot of time analyzing this and the unemployment number is indeed an important number that we get. it colors almost the entire month and this one was magnificent. great job growth and low inflation. that is the kind of thing that countries just, just do everything they can for. and we have it here and it means the stock market could be fine for a little bit 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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narrator: in this episode of "american greed"... captain darryl wright has a purple heart and isn't afraid to show it. darryl used his purple heart, flaunted it, and he weaponized it. narrator: as a wounded warrior, wright collects more than $700,000 in government benefits until an undercover investigation unravels this "hero's" story. 99.9% of that stuff is not true. that did not happen. i think he enjoyed getting free money. we started to refer to this as the "purple heart fraudster case." narrator: wright's victims are veterans who feel their sacrifices have been tarnished by his lies,
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