you can wait a little. i think there's value here. >> amd is going to be positive today, just telling you. >> that does it for us see you back here tomorrow at 5:00 "mad money" starts right now my mission is simple, to make you money i'm here to level the playing field for all investors. there's always a bull market somewhere and i promise to help you find it. "mad money" starts now hey, i'm cramer. welcome to "mad money. welcome to cramerica other people want to make friends. i'm just trying to make you some money. my job is not just to educate, but it's to teach and coach you. so call me at no. or tweet me @jimcramer. right now, right now behind the scenes, practically every money manager out there is wondering if it is time to swap out of the safety stocks. >> sell, sell, sell sell, sell, sell

>> and into some of the more economically sensitive groups that have gotten too cheap to ignore >> buy, buy, buy, buy, buy, buy! >> on a day when the s&p inched 1.4%, the nasdaq, where a lot of these tech stocks that i'm talking about advanced .68%, a stunning rotation out of defensive food and drug stocks and into the now red hot semiconductor names. now rotations can be hard to understand most of the time you can't figure out why the heck the market suddenly decided to turn and its brace its dogs if you want to get your head around this move, you need to understand how stocks bottom and how they peak, because as i said the other day, this is a bob dylan market, and the times, they are a-changing. the process started last night when three semiconductor companies reported, texas instruments, xilinx and lam research texas instruments, everything from autos to homes, all kinds of devices, including ones plugged into the internet of things a ho-hum quarter, frankly.

an area that suffered when fed chief powell decided to get all gung-ho about fighting inflation. its stock still rocketed up 7%, in spite solve cautionary words. how about xilinx, xx-i-l-i-n-x their quarter a thing of beauty. really, every red hot market from the fence to artificial intelligence to self-driving cars, machine learning, and the best of all, 5g, the next generation wireless technology the carriers are building out right now. they need xilinx chips to do it. this company was ebullient about its prospects. they made it clear that it's pretty much the first quarter for 5g some would say the build-out hasn't even started yet, but xilinx is by far the best way to play it. suddenly the stock exploded higher it was up 18% today. come on! that's just an unbelievable move it's better than many takeovers.

and threaten is cramer fav lam research, the semiconductor equipment maker meaning their machines help other companies manufacture chips like d-rams and flash memory, both of which have been in free fall in terms of pricing oh, boy has lm been a tough own. every time they report, the market seems to hate their numbers. >> the house of pain >> which is why the stock plunged from 234 at its highs last spring down 139 last night. wow. but this time it was very different. this time lam crushed the estimates, gave you an outlook that suggests the worst may be over as management bobbed and weaved on the conference call about whether or not this was the last bad quarter they didn't point-blank come out and say it, but i interpret it like that. i read three times that's the way i interpret it. now maybe you believe them, maybe you don't. hey, you know what maybe you say wait a sec this some new ceo. tim archer, the man brought in to replace martin an sis who was

dismissed for personals on the call nothing financially. personally, i don't mind archer comes from novellus, a good coaching tree, as they would say in the nfl novellus, the fabulous company that lm acquired a few years ago. and this man is a totally hands-on guy more importantly, archer's actions speak a lot louder than his words. at the same time he reported that fabulous number, guess what he announced a $5 billion buyback, $5 billion ♪ halleluja ♪ lamb is only a $21 billion company this morning that's gargantuan. i say it's a sign la is about to find the bottom. taking a page from the old handbook where the company always came in and bought its own stock hand over fist whenever management truly believed the management was about to turn. why buy the stock back now why not wait until you see the whites of their eyes, the actual bottom simple they know the playbook works he knows the stock will almost

always bottom before the company's profits do if you wait until the turn, it's a sure thing saying listen, i need more evidence, you'll miss most of the move wall street knows it too which is why lam's wonderful stock surged 16% today in short, the semiconductor plays have some incredible gains. but what's really amazing is even after these runs, the stocks of texas instruments and lam research, they're still cheap. latter sales were 11 times earnings, 2.7 yield. yet you heard me even after these incredible moves, lam and texas instruments can still be bought. xilinx is more expensive, but is the other two are simply too cheap to ignore. why else would lam try to buy back a quarter of its share count? now the pin action from these three spread to the rest of the semiconductor aided by the proliferation of etfs, in this kind of rotation, the good rallies along with the bad we have a lot of stocks running, even though we don't know how they're doing or whether they'll

even give us a positive outlook. micron, applied materials, it done matter. the whole semiconductor sector deserves to run if the industry is about to bottom just hold your horses. their industrial business got hurt because the fed got too aggressive in october. now that powell is taking a series of lockstep rate hikes off the table, business is starting to do better. texas instruments should be able to bounce back that would be rational sure, the move could be challenged tomorrow because intel, wow, intel report kind of a bummer number, pretty number estimate forecast. it was a bad cut but i believe after pausing on that negative news, the semi run can continue and even broaden out to other dirt cheap industrial sectors but let me give you the flip side of this rotation, okay. i'm trying to make you come alive. a lot of times i get caught in my own thinking as a former hedge fund manager oh, they rotated into soft goods. that's not good enough there isn't much new money coming into the market so the money to buy the semis has to come from somewhere, and

it's coming from what we call the slowdown stock, companies with earnings that should not be hurt by a slowing economy. so take mccormack, all right the spice company that i like very much. this stock had been on a tear ever since they acquired frank's hot sauce, you know. it's really good stuff you can tell by the label. and french's mustard in august of 2017. rallies from the 90s up to 156 in the highs in october. over the past six weeks, though, mccormick has slowly been drifting lower today that stock changed it went into free fall, losing 10.5% of its value notice i didn't drop this. why? because this is some -- really, that's the last thing you would drop, right? ooh, geez. the ravens didn't do so hot. mccormick missed wall street earnings estimates they gave just 1% revenue growth they guide ed down

substantially. where the heck did that come from current condiments the ultimate safety i guess not. mccormick still sales for 21 times earningsing. they get much more stock than texas instruments or lam research mccormick's one big advantage, consistency, turned out to be an illusion we hope it isn't one off like this bottle. oso now let's put it together. let's put it so you make some sense. so you can be able to build your own portfolio in the correct fashion. today a host of money managers recognized that they're paying too much for the safety stocks, the drugs and the foods and paying too little for the building block stocks. by the way, the rotation isn't spare any expensive stock. the clouds, adobe, salesforce, they got hurt. none of the semiconductor companies that led us higher had anything positive to say about the current generation of cell phones today's fund managers say what the heck do i need safety for when it is so darned overpriced.

they realized they can buy semiconductor stocks on the cheap and make their whole year in a day that's what this rotation is all about. that's what happened today and it's really a one-day phenomenon, by the way, which means it's not too late to buy the newly loved chip makers which could be down tomorrow off of intel to trim the now despised safety stocks, especially if you have huge profits and you don't want to see them drown without a life raft we need to go to eric in missouri, please eric >> caller: ba-ba-ba-boo-yah, big daddy cramer how are you today? >> i often think of myself as big daddy. i'm glad you included me in that cohort what's up? >> caller: i wanted to talk to you about take two interactive >> yeah. >> it's still meandering down in december lows while most other stoblgs have popped 5 to 10% from the december lows this one is still kind of hanging down there i'm ready to pull the trigger on it, but i wanted to better understand what might be keeping

that stock low. >> here's what happens this stock has been going down what's the rap the rap is somebody somewhere, somewhere whispered to another person who told another person that grand theft auto has had a slowdown i do not know if that's the case i do know that this is the best of the three, best of the electronic arts, okay, activision blizzard, take two, they're the best but we did is some fortnite people on. remember, there is 80 million people playing fortnite. and it is starting to cut into all the other games. let's go to ernest in florida. ernest >> yes, mr. cramer how you? >> yes i'm doing all right. how are you? >> caller: good. i wanted to find out about boeing they have earnings coming out on the 30th see what your thoughts are on it >> i think you have good cash flow i think they're going to do a real good job. the day that will better ross says i can see for miles, miles, miles and i don't see a trade agreement while at the same time wondering how people who are poor don't have any money, i find that whole thing

disingenuous, frankly. but if the trade talks go bad that day, boeing's stock will go down no matter what they said, okay and i got to tell you, i wish i could and we could all write checks to the people who work for the federal government who are not getting paid, because that is a the dumbest thing i've ever heard let's go to joseph in new jersey, please joseph >> caller: hi, jim love your show. >> thank you >> caller: my question is on citigroup. i had it before i sold it in the high 70s, and i was going to buy it back at around 50, and i didn't, and i'm wondering if it's too late. >> no, no. we did the same thing. i told the people at the action owners club you should sell some lower and then buy back higher this thing is sell iin ining fo times earnings i think they're doing a good job. $153 billion company but it's too cheap. i say -- >> buy, buy, buy >> was this the one he did at alberthal? the alberthal concert was maybe one of the greatest concerts ever but maybe i'm just showing -- i learned that from my father. i didn't know that myself.

i wasn't even around all right. so maybe i was times, they are a-changing we're undergoing rotation right now and that's rarely a one-day thing. intel may have knocked it offkilter, but lam research, xilinx and texas instruments on "mad money" last night, there were a few narratives that were frustrating. the company up on earnings today. has the spell been broken? i'm going to talk to the outgoing and the incoming ceo. and then it's a stock up more than 20% over the past year, but i still think it's too cheap to ignore. i'll reveal the name and what the company can do so that it doesn't lose its mojo. and last year i named ok o-k-t-a a cloud prince but it still hold the clown -- the clown. the crown, stupid. i'm finding out whether the company could be worth buying right here so i say stay with cramer. 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. place, the xfinity xfi gateway.

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i got a treat for you tonight. you know what's changed the last few weeks? take a look at the stock of united rentals, the largest rental company in america with a stock that pulled more than 6% today making up an excellent quarter. the last time united rentals reported in october, very good, maybe not perfect but good, yet its stock got eviscerated. why? because fed chief jay powell just decided to squeeze the life out of the economy with a series of lockstep rate hikes that would have been real bad for a cyclical company like this one, even though it has a secular growth pattern buried in it. we're going to talk about that earlier this month powell backed away from that plan. they delivered a solid earnings number than expected, terrific guidance the stock caught fire. it's now up $30 from the lows the day after christmas. it's like a takeover earlier this month united

rentals announced that its long-time ceo and frequent guest on "mad money" mike kneeland would step down in may and matthew flannery replaces him. let's dig deeper with mike and matt, the once and future ceos of united rentals, to learn morn about the quarter and where the company is headed. welcome back to mad money. >> thank you >> mike, i'm going give you a chance, because you didn't get enough chance in terms of the ayes are the buy side, from what you created, what you built from when you got there to what it is now. >> we completely transformed the company. if you think about our customer mix has very diverse in comparison from all construction to more construction and industrial, and now 23% of our business is now specialty related, which is very high volume and also return assets. >> now matt, will you continue with the acquisition strategy that has really created a national rental company where there was just the regional one? >> as you noticed, we're a very

acquisitive company. we think that's a core competency for us. we bought nine companies in the past four months it's career to say we have a lot on our plate to absorb we like the bigger platform. if we get the right tuck-in that meets the criteria, absolutely >> the ambulance sheet is as good as ever and the cash flow is bountiful >> by the end of 2019, our leverage will be back down to the bottom of our range at 2.5%. >> just a juggernaut mike, sometimes i look at the company and i think why don't people realize what it really is a secular change from wanting to own equipment, which is expensive and sloppy, there is insurance, big issues, to wanting to rent. and even though you do have some cyclical up and down, the real story here is the rent economy. >> oh, absolutely. we've talked about this in the past, that the sharing economy. >> yes. >> where people are shifting away from ownership. and that's ongoing and we think that we still have more legs on that to grow the company in the future. >> and you've also become much

more of a technologically digitized company. a lot of times tech guys come on and say you can't believe whose digitized these days united rental is digitized >> absolutely. we've put a lot of investment. the board supported us we're usie ining occu liss for training we're using gps to track assets to help our customers drive productivi productivity. >> you guys are the most open. you changed your revenue recognition. some people are concerned jim, you got to ask these guys, are you changing the way that you report is it as transparent as some like >> really what we changed is a fleet productivity metric. people were getting myopically focused on the rate and time there is a whole another component which is mix we change and add fleet productivity which still has rate, still has time, still are important, but adds the mixed component. so we see it as a more comprehensive metric. >> that's good i felt your business has changed

enough that the metrics should change too real total u.s. construction spending climbing. that's good. but we've got a government shutdown more than 30 days. you've got people who affected negatively we've had someone on our show, the commerce secretary talking about people why did you have to go to the food bank. i'm in new jersey, we have a food bank that's active because of this shutdown this shutdown started to impact people's psyche. what happens here? >> well, it depends over time. how long does this go on and we don'tknow to your point, it does eventually affect the sentiment of customers and employees, all across north america but we haven't seen any discernible impact to this point, but we keep our eyes and ears open to the ground. >> and you guys were adamant that even though there is a lot of turmoil like in december, you said point-blank, it has not translated to your business. >> sometimes it felt like we were yelling into the wind, but we absolutely have had this confidence we have 1200 locations throughout the u.s. and canada people with ears to the ground so we felt confident >> i know that you can't necessarily tell me who you're

going to acquire next, but what would be the next -- you've got the great mosaic now is there any area you want to be bigger in both regionally oris it end market? >> i would say any time we have the opportunity to add to the offerings to our customers. >> right >> so new products, new services is something we'd be most interested in. and that's part of our specialty growth as far as organic growth, we're very focused on that as well what's lost in our m & a, 10% was pro forma growth so on top of the acquired assets >> that's one of the reasons why i loved your stock. >> it's so misunderstood but it seems to be getting moved a few seconds to the left. what do you want to do >> i'm going to be chairman of the board. >> come on you want to go fishing, play cars, go watch netflix >> no, absolutely not. i'm still going to be active >> you know that you're young or is that somebody else's perspective? >> i'm 65 young, yes, absolutely, jim.

>> well, congratulations. >> thank you. >> and everything you did for shareholders you're a total trooper, always standing by, always coming on. congratulations for you. i wish you both the best of luck, and you deserve it, because you're terrific guys okay that's mike kneeland and matthew flannery, the once and future ceos of a stock i like very much that i think is too misunderstood. it's united rentals. "mad money" is back after the break. halftime report, weekdays noon eastern on cnbc (vo) we're carvana, the company who invented car vending machines and buying a car 100% online.

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pay no attention to the day to day gyrations of the major averages. >> buy, buy, buy, buy, buy, buy! >> sell, sell, sell, sell, sell, sell >> if you're going to manage your own portfolio of individual stocks and i still believe this is the best way to create great wealth, even as you should always keep some of your retirement money in an index fund, you don't need to make money every single day or week or month or hour

no, your job is to identify high value companies and buy stocks much cheaper than they deserve today. don't let the volatility shake you out of the market. volatility means you're getting a chance to buy great stocks at a discount let me give you one of the most classic examples that i don't talk about enough. merck. merck, the pharmaceutical saw shares slammed today, down 3%. it's part of the rotation out of the safety stocks. >> sell, sell, sell, sell, sell, sell >> and into the big semiconductor and tech stocks. >> buy, buy, buy, buy, buy, buy! >> merck has been an amazing long-term performer. over the past decade the stock has nearly tripled it's rallied even though the s&p is down. the source of its strength, wall street has gone gaga for key trude da, which has been wracking up incredible sales growth, especially as a treatment for lung cancer. plus, if you're worried about a global slowing economy or even if the government shutdown keeps dragging on, merck is exactly kind of company that investors circle the wagons around because

it doesn't need a good economy, it's not worried about chinese trade talks to make the numbers. however, even though merck ran up dramatically last year, i think the stock remains way too cheap. and as the rotation plays out, it could get even cheaper, meaning you could get an even better buying opportunity. we're talking about a best of breed drug company, yet it's not getting the premium multiple i think it deserves. merck has a higher valuation than many companies. that's roughly in line with j&j. yet as much as i like j&j and it's pennsylvania all a part of my charitable trust, it's perhaps the most hated stock in the space at the moment because management gave us a pretty cautious full-year forecast. now, i have to tell you, i didn't think it was as cautious when i dug into it, but i know that was the street's rap, so i have to accept it. the verdict is in. merck is a heck of a lot cheaper than eli lilly, another one of my favs that trades 17 times next year's numbers. 14 for merck

17 for eli lilly why does it trade at is multiple premium compared to the rest of the group, and is there anything that merck can do to close the gap? we had lilly's ceo on the show a couple of weeks ago. didn't you love him? they have a phenomenal diabetes franchise not to mention terrific management team that is willing to make opportunistic acquisitions be threw is one thing in particular that i think sets lilly apart. last year the company did something very savvy they spun off their veterinary division as a separate business, elanco animal health and this has unlocked a tremendous amount of value since it announced that lilly stock has rallied nearly 30% that's right meanwhile lilly's expanded from 14 times earnings to the 17 earnings level it is now there is more to it than the elanco deal, of course but that was definitely a major catalyst, made people really focus on lilly

i mentioned this because, get what merck's also got an animal health business. when lilly told us they were spinning off elanco, so maybe merck should do the same thing hey, it worked for lilly it will work for merck that's way wall street thinks. frankly, it might even be better for merck because their animal business is more attractive than elanco the business was basically stagnant, hardly any sales growth in 2015 merck's sale is larger that's even better than the mid single digit growth that the company's core pharmaceutical business i want a piece of this now you think this high quality animal health asset would help pull merck's valuation higher, and i actually think merck believes that. i don't believe that's the case at all they know drugs. i know stocks. the problem is buried within the larger company, no one's going to pay attention to it most money managers hate complexity they want nice clean simple stories because they'd rather watch netflix when they get home or have a cocktail

i don't know what they do, but it's not the kind of work. they don't look at merck they ignore the veterinary biz they don't give it any credit. that's why a breakup makes so much sense i bet its stock gets a dramatically higher price-to-earnings multiple how much higher? elanco trades at three times next year's earnings estimates hey, how about cramer fav idexx labs that's pets as basically humans in your home it's called the humanization of pets if merck splits off its animal business, it gets a higher multiple than what it's getting as part of a larger drug company. ideally they could hold on to average laer ownership stake like louie's done with elanco. i bet they would get a similar valuation as lilly if merck were valid, you have a $73 stock that would probably go to 90 if it follows the same trajectory, and i think it will. of course, that's not the only reason i believe in merck here

they buy back stock, support dividends and a lot of exciting stuff this the pipeline. but the key to this story is keytruda that merck uses to treat nonsmall cell lung cancer melanoma it's being tested for a host of other cancers. in 2015, keytruda was a $5 hundred million drug in 2018 a $3 billion drug. the fda approves it for more and more types of cancer in the first three quarters of 2018, keytruda sales doubled year-over-year to more than $5 billion. i believe the numbers will keep getting better because keytruda is literally a life-saver. the more we learn about the drug, it's head and shoulders above the competition. the data spoke and keytruda is beating t ing thing the heck the numbers are solid. like the stock very much and i

like to sell in combination. but they did tell us they're voluntarily withdrawing their fda application for another cancer immunotherapy compound. this is yet another setback for merck's chief rival. i was surprised that this didn't work out, frankly. and it's very good news for merck, though, although you wouldn't know it from the lousy action today which is dragged down by that rotation i keep talking about. as i explained at the top, i don't think this will a one and done move. expect more selling in the drug stocks over the next few day thanks to keytruda, it's a growth pharmaceutical company. you can buy it into weakness here bottom line, merck has done an incredible job of developing a blockbuster anti-cancer franchise here, but even after the stock's run last year, i don't think it gets enough respect. if merck would just take its cue from eli lilly and spin off its animal health division, i bet the stock would get a much needed boost it has plenty of upside here i just hit the there would be even more upside if merck splits off its animal biz

be patient with your buying. you want to scale into the stock gradually as i expect some analyst downgrades not of merck, but of the safety stock, and that will be your chance to buy the stock of this great american franchise at an even bigger discount let's take calls let's go to steven in north carolina steven >> caller: hi, jim thank you for having me on the call today. >> of course >> jim, i'm calling because i am heavily invested in beck and dickinson. seven days ago bdx had a press release that stated their earnings and future guidance will be very strong, and then two days ago they issued another press release that in record level increases to the quarterly dividend i'm calling because the media hasn't said one word about these two amazing press releases i don't know why that is maybe you have a view on that. and the second question is what's your view of this company? >> okay. >> caller: thank you.

>> look, this company is not far from where i live. it is -- steve, i totally share with you a love for this company. it is one of the least promotional companies i've ever seen i've wanted them on for i don't know, 14 years i want them on very badly. i think they're terrific let me throw in dan hurst. the company does similar things. they won't come on because they won't come on, i think that's why they have a 20 multiple they need to be able to tell their story. i would love to be able to tell it in the meantime, buy it. it's just too cheap. go to mark in alabama. mark >> caller: ba-ba-boo-yah, mr. cramer. >> i like that southern boo-yah. what's going on, man >> caller: early december, i picked up some hca health care >> you know i love hca love hca >> caller: so i was a little surprised that later in december when the market was getting destroyed, that hca and a lot of the other health care stocks went down as well. and the reason i was surprised

is because these stocks don't really have any exposure to china. so my question is this when the feds raise interest rate the way they did, does it affect the health care industry as a whole or do you think this was a special case where nobody was safe the market is so negative. >> special case. special case do you know every time if you bought hca on a discount of this magnitude, you've made money thing is one with the ongoing rotation into the cheaper semis and out of the more expensive stocks, hca is getting lost, because you and i both know it is not expensive and should be bought i like it. both these stocks that we just mentioned, hca and beckton dickinson are going to be caught up in the rotation out of the soft goods that i've been talking about. it doesn't matter. th that's the opportunity even with that one, the stock is too darn cheap much more "mad money" ahead. it's a stock that gained 149% in 2018 alone

but if okta continues its climb in the new year, i've got its ceo. and all your calls, rapid-fire in tonight's edition of the "lightning round." so stay with cramer. week day, kelly evans connects investors to newsmakers stirs up high stakes debates and digs behind the numbers. strengthen your investing strategy on "the exchange" weekdays 1:00 p.m. eastern

when you spot a powerful long-term theme, you don't back away from the companies that benefit from it just because their stocks are getting hammered a lot of these pullbacks are incredible buying opportunities. just look at okta, that's ok o-k-t-a that helps other businesses protect their networks from hackers. these guys handle everything from your log-in and credentials, user names, pass words, your mother's maiden name, the your favorite pet, the hospital you were born, whatever cyber security is a fantastic long-term theme, particularly when it affects people, software as service companies but plunging from 75 to under 42 in its late november lows. and then after an amazing quarter and its stock was off to the races. now it's back to 79. set an all-time high today it was the company's ten-year anniversary yesterday, and they just hit $100 million registered

users. so could the stock have a rough side let's check in with todd mckinley, to hear more about the company's prospects. welcome back to bad money. >> thanks very much for having me it's great to be back on the show, jim. >> congratulations there are 100 million people that are you are now registered. how many of those know that they're registered >> well, we're changing their world. we're making it incredibly easy for them to connect to all their technology, whether they're logging into their business applications at work or they're a customer, one of our customers logging into a website, making their customer experience more enjoyable and more secure. they're big fans of okta >> one reason i think is i know that i am on okta because i studied okta because of you. but i think a lot of people just think, well, wait a second, who in the heck are these guys i was out with zora. same thing who are these guys, jim?

you are probably one of their users and you just don't know it, right? it is difficult to get the word out. >> yeah, i mean, we're -- we help our customers both directly in terms of like their end users can see what we do in some cases. but in many cases we're behind the scenes we're the plumbing we're the infrastructure that is making their technology secure and making the end user experience super enjoyable we're happy to play both roles, because at the end of the day, it's about making customers successful with the technology any technology they want to use. and whatever they choose to use, we'll fit in it w it and make their lives productive >> you had excelled billing growth from 53% to 58% what happened? did you hit some critical mass where people realized that all that really matters is the enterprise knowing who and what you are and not just using some sort of firewall or network perimeter? >> yeah. you mentioned it before. this is our ten-year

anniversary, and we're incredibly excited about ten years. and during those ten years, we benefitted from several trends that are really lifting us to these new heights. the main one is cloud, cloud computing. and cloud has progressed tremendously over the last ten years. but the most exciting thing is it's really just getting started. if you look at the overall i.t. spinning market, it's over a trillion dollars of i.t. spent but cloud, everyone talks about the cloud. they think the cloud has come of age, but it's still only 20% of it it's about $200 billion. so we're still in early days of cloud adoption and so we're very excited about the runway ahead and the value we can provide in that context of really cloud taking over the world. >> one of our favorite companies is adobe comes on all the time. and they are a big okta customer so a lot of people use -- look, my daughter is on an adobe product every day. i can't tell hervey okta

i said how often do you use adobe? she said all our friends still use adobe. tell what the interface of okta and adobe is. >> we helped adobe in a couple of really important ways, and they've been a long-time customer of ours the first way is we help their business customers connect into the creative cloud and the second way we help them is we help their 20,000 employees connect into all the applications they need to do their job at adobe adobe is an interesting story, not just because it's an okta customer, but they've done something very amazing they've transitioned their business from a package software business to a cloud business, and you've seen the results in their business and in their strategic position in the market and we were lucky enough to play a helping role as we helped that login securely to that new creative product in the cloud they've had for the past four or five years. >> you see adobe or another product, and have i multiple logins, pass words what do you do for someone like

me how do you protect the enterprise that has that situation? >> we help enterprises get rid of those pass words. our companies, they have one single login credential that takes them into all their credentials. it makes it way more secure and way more productive. at the end of the day, it's about how productive you can make your people and how great you can make the experience and thou attractive you are as an employee and the kind of people you can attract. >> todd, is there anybody that even competes with you when it comes to software as a service side >> there is companies that have similar solutions, but we are really at okta trying to be focused -- we're trying to be focused on what our customers need and not get too caught up in a platform player that's trying to do what we're doing, or a niche upstart that is trying to copy some of our features we're really focused on what do the customers need do they need help connecting to their customers? do they need help with certain security architectures that are emerging as they move to a cloud

model. from the beginning of the company over the past ten years we've been incredibly customer centric, listening to what customers need and that be our north star, and it's worked incredibly well. >> todd, that does sound a little bit like our friend marc benioff. how long did you work for marc >> i worked at salesforce for six years. i learned the ropes of cloud computing from marc and the entire team at salesforce. so it's not a shock that there is a lot of similarity there's >> well, i want to congratulate you. 100 million users in ten years is incredible. the revenue growth is great. the fact that you're free cash flow positive is terrific too. great to see you, sir. "mad money" is back after the break. ♪ ♪

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"lightning round" is sponsored by td ameritrade >> it is time! it's time for the "lightning round. >> buy, buy, buy. >> buy, buy, buy >> sell, sell, sell, sell, sell, sell, sell, sell, sell -- and then the "lightning round" is over are you ready, skee-daddy? start with dennis in georgiament dennis >> caller: hi, jim

boo-yah. >> dennis! >> caller: how are you doing >> i couldn't be doing better. how about you? >> caller: great i'm doing great. thanks for everything you do for us individual investor. >> thank you >> caller: i wanted to ask you what you thought about charles schwab >> yeah, you know, we're getting a little weakness in that group. i did a piece last night a lot of people were buzzing about it, about how that flash crash that we had in december right before christmas is turning a lot of retail investors off. i've got to be a little more cautious about retail because the market is making me more cautious about what it's doing to people who invest without an investigation, of course no investigation of anything let's go to ten in florida ken? >> caller: professor cramer. >> yes >> caller: a number one doors fan requesting your perspicacious opinion on american finance trust and the 12-month outlook and that they keep paying the dividend >> i think they can, but it's a little opaque. i really think you should look at epr epr has a similar mosaic and i

think it's safe and i really like them when they come on the air. let's go to mauricio in california mauricio >> caller: hey, jim, big fan i am wondering if i should sale or hold dbr refining, ticker cvrr >> something is going on the yield is way too high. i think you could be in -- >> the house of pain. >> -- still in that situation. if you want a refinery we like valero and marathon pete alex in california >> caller: hey, what's up, big jim from california. >> there you go. what's going on? >> caller: nothing much. i just had a quick question on k net. we had a pop on light volume, but we have earnings coming up later this month, and i was wondering what your thoughts are. >> you've got to look through. this stock was up as a corollary to xilinx. it really doesn't is that much to do with it, but the etfs drove it up. i think it's inexpensive i don't think you're going to get hurt

it's better than western digital which reported an okay number today and is actually rallying because people felt they were going to say bad things and they didn't let's go to kevin in minnesota kevin? >> boo-yah, jimmy. >> boo-yah >> caller: hey, man, first time, long time with a ticker symbol of mbuu, malibu bolt. >> come on, man, we're best of breed guys we're brunswick guys we're bc we're never going to waiver there. not just because i have a 17-foot boston whaler, and that's about as big as you need, by the way, you big shots. will better ross probably has a 170-foot one but lot of people going to the food bank. that, ladies and gentlemen is the conclusion of the "lightning round" [ buzzer ] >> the "lightning round" is sponsored by td ameritrade trade after the market closes. it's true. so all... evening long. ooh, so close. yes, but also all... night through its entirety. come on, all... the time from sunset to sunrise.

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boo-yah! >> now that earnings season is in full swing, we need to be on the lookout for themes that are working, in spite of the litany of big picture negatives washington with the shutdown, the slowing global economy and the damage already done by fed chief jerome powell's ill-advised during the fourth quarter. what is a win in this less than ideal environment? i'm going to give you themes aerospa aerospace. when you see pratt & whitney, a big part of the united states technology for 20% plus organic growth, you know the aerospace industry has accelerated dramatically now, there are still some worries about china.

i get that but the and in flow is so strong china may not matter so well i think this bodes well for ge and honeywell, not to mention boeing i like united technologies the boast because of its new aircraft engine, but the whole group is too low that even includes ge, although the story there is a lot more messy thanks to the problems for long-term care insurance and the ailing power division. but honeywell? honeywell is just a buy. my charitable trust joins it we tell people in the actionalerts.com club. buy some honeywell win number two is 5g, starting to make an impact. there is a reason why xilinx reported the best quarter of any semiconductor companies so far they have the most to gain from the early adoptiong. xilinx feels like the new invidia. it has artificial intelligence and machine learning but makes the best next generations. so companies are desperate for the stuff, especially believe it or not the chinese china needs xilinx a lot more

than xilinx needs china. i think the run is for real, even though intel gave us some down beat guidance at the close. third theme, big pharma is making huge bets on anti-cancer drug you have bristol-myers and i think bristol a buy. glaxosmithkline, for ovarian cancer and put it all together, and i think there are a ton of biotechs that might be worth speculating on here. anything with a credible cancer immunotherapy pipeline might be a play fourth digitation. you've heard that many times on the show, is relentless. i think we're still in the earl innings here given by how many companies wins we're seeing in all sorts of industries. that's the message we got from ibm which is doing powerful work in health care when you think digitation, i urge you to think of companies like vmware which is down off this rotation and cisco, which is cheap enough that it wasn't part of the sell-off not a new one, but anything

related to housing or autos should be avoided. let's say you should avoid those stocks like the plague these are no growth industries globally there is nothing good happening here unless we have a great spring selling season which right now i'm not so sure about. the estimates come down for any company. from 3m which normally should be going up to toll brothers to loews. six, when it comes to retailers, get. this there is only a couple. it's walmart, costco, dollar tree, dollar general, burlington, ross stores, tgx and any other store that david fake worry never be caught dead in everyone else -- >> sell, sell, sell, sell, sell, sell, sell, sell, sell >> last but not least there has been a resurgence in procter & gamble even as the stock got dinged today it's led by spending in china. so don't write off every american company think nike or starbucks. interviewing kevin johnson tomorrow on "squawk on the street" by the way

kevin's the ceo of starbucks regardless of what happens with the trade talks telephone government shutdown, remember then the next time everything goes crazy and given the circumstances, you won't have all that long to wait. stick with cramer.

that rocking chair would look great in our new house. ahh, new house, eh? well, you should definitely see how geico could help you save on homeowners insurance. nice tip. i'll give you two bucks for the chair. two?! that's a victorian antique! all right, how much for the recliner, then? wait wait... how did that get out here?

that is definitely not for sale! is this a yard sale? if it's in the yard then it's... for sale. oh, here we go. geico. it's easy to switch and save on homeowners and renters insurance. okay, you know i've been backing kevin johnson, ceo of starbucks since about 52, 53 and now the stock is at 64, 65 i like the look of this quarter, but we're going to speak to him tomorrow morning on "squawk on the street." the interview is been market moving intel is disappointing what can i tell you? it is hard to be able to have that as part of the etf that goes up when they give you that kind of downbeat forecast. they are certainly different from xilinx. i always like to say there is 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'll see you tomorrow

>> 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." ♪ to make the most of a trendy fruit. greetings, sharks. my name is dave goodman. i'm from new york city, and my company is called coco jack. i'm here asking for $125,000 in exchange for 10% of my company. sharks, these are young thai coconuts.