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tv   Mad Money  CNBC  March 11, 2019 6:00pm-7:00pm EDT

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>> follow twitter. people or twitter are why don't you call it what it should be called, buy or sell. >> you guys are no fun that does it for us here on "fast. we'll see you back here tomorrow at 5:00. don't go anywhere, 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 isn't just to entertain but to teach you call me at 1-800-743-cnbc. tweet me @jimcramer. want to know why the market surged higher today? simple last week sentiment got too negative and when everybody's negative that means there's
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hardly anyone left to sell. >> the house of pain. >> with no national sellers the market can roar across the board. even the dow which was held down by another tragic plane crash, something that sent the averages down 242 points at the opening, well, the dow ended up falling 201 points monumental move because boeing is a big part of the dow and the s&p gained 1.47% and the nasdaq rocketed higher as the day went on, closing up 2.01%. ♪ hallelujah all right, so how do we know these things how do we know that it was about sentiment and not substance?chi.
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oil was stable, higher those are the things i look for. rallies can be spotted well ahead of time. you just need to watch the call. the white and blue skull and ribbons at the bottom of your screen see that see that i was anticipating a run because of the way that the stock market closed on friday despite that weak -- unemployment earning when you start with a big downdraft based on what looked like a horrific jobs number on friday, at least at first glance and then you
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erased all the losses you know the market is going down i believe that jobs number was profoundly misleading between the bad weather and the government shutdown, too many one off negatives to extrapolate anything from the labor report that's why it had absolutely zero pin apple forget about me. ten years ago ben bernanke -- on 60 minutes he sat down with them and powell didn't understand the power of his words when he called for multiple rate hikes to cool down the economy take that, economy even if it meant overshooting and causing a slowdown then the stock market got obliterated and powell back checked, taking a more prudent wait and see approach. i keep hearing cat calls about
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powell's reversal. that it was based on pressure from president trump or that it was because of the stock market some kind of bailout to the rich buddies on wall street that's crazy last time powell made it crystal clear that they're independent and trump's attacks had no impact at all. he saw that a host of factors got less so it wasn't correct to keep tightening it help's not appeasing wall street in short, the climbing stock was merely a reflection of the fears of the economy ♪ hallelujah go back to the 4:30 a.m. thing work with me so when i saw the stocks of facebook and apple popping in the early morning, it was -- courtney reagan, i'm listening, like look at that app, look at that facebook. that told me we'd get some big
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upgrades maybe it's even legal. sure enough, facebook was taken from hold to buy with a statement piece entitled a new story to tell. bank of america upgraded apple saying risk/reward risk/reward turns favorable. ten reasons to be bullish. here's the amazing thing about both of the pieces of research they are like "seinfeld. the new story to tell facebook i didn't see any new ones in the piece. the main thesis the transition of the stories appears to be faster than we thought maybe faster than demure a thought but it's been out there for ages i think we ran out of new negatives for facebook in fact, what we got last week was zuckerberg calling for a kinder, gentler facebook last week we were fretting that they'd gain the most important constituency that sent the stock down, but upon further review, most people
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use instagram to tell stories to everyone despite all the negative press facebook hasn't lost users but gained them through instagram. it's put out some cheap stocks and they're planning to slash costs over time. nothing new. sounds okay. how about the apple upgrade? all right, there was nothing sailant in this thing whatsoever what were some of the bank of america's ten reasons to be bullish? okay, well, first, gross profit dollars reversing from declines to growth in the second half no kidding a loyal user base. known. strong free cash flow. possibility of m&a on the capital return the only thing new here is the resell race of the apple service revenues but i found it fatuous. because it was about the chinese who were cracking down hard on gaming i call that thin gruel, people don't get me wrong, i still
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think you own apple. but there was nothing revelatory here where's something new? no then there's the third catalyst. nvidia's acquisition of mellanox i know it sounds like maalox but it's because of gaming and the cryptocurrency mining. the sign of nvidia, is the artificial intelligence data side and not just because it helps them grow in the fastest part of commuting but because it blocks intel from working with a company that would have given intel a lot more flexibility the deal may be defensive versus intel but allows nvidia to play offense. and they have been on defense for so long, which is why i predict a slew of upgrades i'm trying to envision when i get up at 3:30 tomorrow, i felt like i missed a lot of stuff you will see a lot of inindividualia going up 2, 3, 4,
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5. we were correctly -- from the tragedy of the ethiopia airline or the crash just like the indonesia airline not that long about. both were 737 air maxes and it would have been legitimate if that stock had gotten us down. there weren't that many investors left who what abouted to sell. maybe you think this is the time to take profits. sell sell sell sell. maybe you think this rally can't last why not take the top two to ring the register tell you what, because rally is based on the sentiment switch, think of it like this. if you're an analyst and you have been in the foxhole for a week because the selling was so heavy, now you have an opportunity to come out and be positive i bet you get a host of bullish calls tomorrow and wednesday with nvidia stock rallying as much as target and mellanox and with apple rallying when
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something is true for years why not upgrade yourself hold the buy moves bottom line, and today won't be the last good session we have. especially with the wave of positive analyst notes, i'm expecting this week now that the coast is clear denise in minnesota. >> caller: hey, thanks for taking my call so my company reported revenues up 59% for the quarter and up 79% for the full year. fourth quarter membership, this is up 86% and since then it's sold off by 20%. what's going on with teladoc and is this a buying opportunity >> when i read the report i was surprised they only beat the estimates by a penny this is a high priced earning story. it's in the penalty box.
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it was supposed to fall away this quarter archie >> caller: i'm from the springs. >> what's going on >> caller: i was stopped at a neo -- the company, you know, earnings report and they had the negative guidance, but goldman sachs reinstituted the buy rating with the $10.70 price target what do you think about the company? >> look, it got hyped from 6 to 10 off the positive "60 minutes" piece and then down here, you know, i think you can play it again sam. all the way down at six. i don't think the quarter was that good but i think the stock will go to four. so it might be okay. but remember it's trade. rallies based on sentiment, people, are so good. as a matter of fact, the switch as an harbinger for a higher price. coming up, we heard from
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plenty of retailers last week, but not all of these belong in your closet or pantry. i'll tell you what to shop or drop. and then a fantastic quarter a few weeks ago, but the stock took part. is there more to the story i have the ceo, so stay 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. 300 miles an hour,
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i am so sick of stock market anniversaries. it's been ten years since the beginning of this bull market. and now we're hearing that the entire thing is a castle built on sand with every plan aided
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and abetted by the federal reserve. every time we hit one of the anniversaries it tends to bring out lots of so-called experts who sound skeptical. but they believe in nothing. hey, we want to destroy some villain in the dostoyevsky novel. they use the event to argue that the whole thing was bogus. they want you to believe that dow 6500 down was built on nothing but grand conspiracies between the federal reserve and wall street money men. next they'll be talking about the tax -- or the illuminati, or john carpenter's they live so i'm here to chew bubblegum and kick some bearish butts, i'm all out of bubblegum the problem though is that people automatically assume they're more rigorous than the bulls. if you want to defend the moves of 2009 and why it would need
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defending it's made people fortunes the bad faith bears accuse you of being a lightweight someone who is revealed as the total charlatan once the whole house of cards comes crashing down, even though you made a fortune. see, that's one of the big reasons i have become so microfocused because it's easier to defend being bullish. think of it, in march of 2009 many were companies were doing quite well, with stocks that had been taken down at levels where they sported much higher yields than u.s. treasuries that had no problem paying them. those were the real opportunities in this market during the whole period we would pour over stocks with yields over 4%. the accidentally high yielders i call them to figure out if there were any risks to the payouts. if there were big pension problems or too much debt we'd eliminate them because the credit markets were frozen for the markets. thank you to my forensic accountant for going over this that give us a list relative
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sleep at night stocks that i put in my charitable trust and they compounded for years and other stocks backed up by great growth stories like salesforce were amazing buys if you examine the market on a case by case basis, you discover there are the little engines called companies that can progress in a way that is nothing to do with the fed and little to do with the animal spirits of the moment. look at it like this if you go back in time what caused that bottom it was fed chief ben bernanke going on "60 minutes"s we won't let any more banks fail. he we could have side stepped if he rolled it out a year earlier. if you had been in one of those real black holes, general motors, ai or any bank including the dozens that went under you never came back. but at johnson & johnson, microsoft, amazon, not a problem. did the fed aid microsoft?
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no microsoft aided microsoft. j&j aided j&j. proctor aided proctor. it's easier to mouth about the averages and the etfs, but a lot of individual stocks bottomed ten years ago because they lost any contact with the underlying businesses they had gotten to the cheap to the point of absurdity that's why that not the fed is ultimately why they came roaring back much more "mad money" ahead. i'm going over the retail details to tell you which play could be worth considering 83% of new drugs were approved using veeva's technology could that power your portfolio higher i have the exclusive with the ceo. last month, president trump made the development of ai a priority i'm focusing on the future of medicine with the man leading the charge so stay with cramer -i call it my comfortable future plan.
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last week, in addition to the first serious pull back in months, we had a fabulous glimpse into the future of retail thanks to the series of earnings reports and some major updates on where amazon might be headed put it all together, we have a very different picture of the retail landscape than a week ago so i have to go over this. it's really important. among kohl's, costco, kroger and amazon, let's take them one by one. these are big stocks of companies a that you go to and i want you to think about them when at the stores last tuesday, kohl's reported a good quarter i think we have been waiting -- we have calls for my charitable trust and you follow along where
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i have an important call on thursday this one has been tough to own of late. now i'm a big believer in kohl's and the current ceo, but they got poleaxed in the bear market. even as they were reporting terrific numbers we use that weakness to get a better cost basis for the charitable trust and the stock started to rebound nicely in january. but then another bizarre reaction, kohl's raised but not cut raised the four year guidance yet because they gave you the update on the same day that macy's announced a disappointment, they saw their stock get slammed again. since then kohl's is doing nothing which brings us to last tuesday as the earnings reported -- the investors seemed wary of calls. all of the department stores for that matter. you got the sense that michelle goss and her team needed to prove themselves they beat inline store sales and kohl's put through a 10%
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dividend boost that brought up the yield. hey, always an encouraging sign. see, we want a higher yield because the dividend goes up not because the stock goes down. we got monster earnings guidance up to $6.16 per share, much higher than the number that wall street was looking for the only piece of hair on this quarter kohl's noted that the first quarter same store sales can come at -- closer to flat than up to 2% due to softness in february and the first quarter of gross margin might slip a little bit management said it was the weather with cold temperatures throughout large swaths of the company and the rain and snow. and that's true. they reported -- i'm giving them the benefit of the doubt you know what i love about this one? the stock pole vaulted from 66 to 71 on the news. 3.6% gain and then they gave back the gains even after today's bounce till trading at $69.55
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you're not getting that last great quarter for free oh, that's a nice discount oh, it doesn't hurt that kohl's is a ridiculous bargain, and so cheap. good fundamentals, nearly 3.69% yield a heck of a lot better than the u.s. treasuries what's driving the strength of kohl's some comes down to the experimental partnership with amazon remember, kohl's has a deal that they get to sell the gadgets and at the same time, some of the stores serve as a kind of depot that you can return the merchandise in person, just bring it back, you don't have to do anything. here, take it. regular viewers know i love this idea amazon customers can return it for free and kohl's gets new foot traffic because you have to go back into the back to give the merchandise back they're expanding the programs and they're selling the amazon gadgets from 100 to 200, a lot more to come what about the parts of retail that were less positive? well, we have some mixed news
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from the grocery space remember, we just rathered that amazon is going to further expand their supermarket footprint, rolling out more stores on top of the existing whole foods locations. so some investors were spooked from kroger and costco i told you not to prejudge anything and amazon was not the be all end all because costco and kroger told different stories. costco had terrific same store sales and wall street was only looking for 5.5. company has been able to expand the margins as it takes market share across the country which is why the stock exploded friday vaulting 5%, though it's still 15 bucks from the all-time highs six months ago got room to run. i adore the membership model i re-up, i think it's one of the best value propositions right now because the bargains at costco are unbeatable. kroger on the other hand, the antithesis of costco
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kroger is much more of a traditional supermarket and the numbers were suboptimal. they posted a 4 cent earnings mess of a 52 cent sis base and weaker than expected revenue even as the same store sales were better than anticipated up 1. % on top of that, kroger's guidance, it was distressing the company said we need to invest $3 billion, resulting in a substantial earnings hit nobody wants to hear you're about to have an investment year investment year is the kiss of death for your stock price basically kroger is doing the best to retain market share in a very competitive environment but there's too many players in the grocery space. costco can thrive because the membership model gives them an edge you join and you get to buy in
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bulk, but kroger has nothing that sets it apart from the rest of the industry which is why they need to fend off the rivals no wonder they lost 10% of the value before dropping another 4.5% on friday kroger has become a punching bag and while the stock might seem cheap here about 11 times earnings it's a value trap only cheap if you believe the company can actually hit those forecasts. i think it's a mighty big if one of those rivals -- you know, one of those rivals eating into kroger it is amazon. now i did some digging over the weekend and it looks like i'm confident to say that amazon will be making a major, major push in the supermarket space. sooner rather than later amazon's expansion here may be much more significant than what we initially thought and after reading that journal article if that's the case, then here's my new ranking amazon is a buy. costco is a buy. kroger is a sell sell sell you know how much i like amazon,
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there's a lot to love here and the latest supermarket expansion is the icing on the cake, people costco has a major -- thanks to the membership model i think they can withstand an onslaught from amazon which is making a more focused push into the industry but kroger, that's the gang that can't shoot straight bottom line, we heard a lot of great retail news from costco and not some great news from kroger amazon is about to boost the supermarket business i think we need to be very skeptical of any other grocery play that's not named costco except perhaps walmart. but that will have to wait until another day. how about we go to christian in oregon christian. >> caller: hey, jim, thank you for taking my call i love the show. >> thank you >> caller: my question today is on treehouse foods once a high flying stock, now struggling to digest the purchase of conagra's private label business
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new ceo. new management strategies announced. is it enough to turn this company around >> no, we have to wait i actually am concerned, treehouse has missed too many times. i need to see -- we don't -- i can't -- i cannot put faith in that company right now let's go to nolan in minnesota nolan. >> caller: jim, how are you doing? >> i'm having a good day, how about you? >> caller: i'm doing good, thank you. so my -- i'm curious about ebay. i have been following them for like a while now i know they had a good february and are putting access on the board. i want to get your opinion on the company. >> i want you to buy ebay. i think the -- does remarkable i think that the ceo, i think he's going with the plan to split up if he doesn't i think he'll be set up for trouble i think the plan itself that elliott has propounded is a great one. own ebay all right, we have a lot of great retail news last week. stick with kohl's and with
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costco i need you to be more -- about the grocery place. and amazon will come in with gun's blazing. it's a company that's quintupled over the last three years and the move may not be over i'll be sit down with the ceo of veeva systems. and can artificial intelligence bring empathy back to medicine? i'll take to a man who is leading the charge and then all your calls on the lightning round so stay with cramer take control of your financial future with the new mad money.com cnbc even your analysis and sound board and plus special access to "mad money" 101 with rules to break down the market for all investors. >> the red flag that makes me drop a - >> it's everything you need right when you need it the new mad money.cnbc.com
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over the past few weeks we have watched the same story unfold over and over again some cloud based software company reports a fantastic
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quarter and then the stock gets slammed in response. it happened to salesforce and it happened to veeva systems the maker of cloud based software, they help pharmaceutical companies comply with government regulations while also making their sales reps more effective. now, veeva has been just been an incredible lodge term performer. they have tripled over the past few years alone. they had amazing guidance and while the stock bounced in after hours trading it quickly sold off the next day since it's rebounded a bit, it's still trading below where it was before the terrific quarter. on the other hand, you get an awesome quarter for free i think this is an awesome buying opportunity let's check in with peter gassner, to see where the company is headed. welcome back to "mad money." >> thanks for having me. >> peter, i love success stories. i don't know, i probably remember more than you, but five
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years ago you came on and you talked about veeva vault talk about what has happened to it in the five years since you have been on. >> yeah, it's been a great success story, jim, for veeva, our employees and our customers. now it's grown from 5% to almost 50% of the revenue it's customers they want a common set of applications that deal with all of things that are the -- they're doing all on a consistent platform, all in the cloud. then we built the business through the customer's success one customer, one application at a time if you work hard at things for five years you can produce some good results >> well, we had andy jassy from amazon web, and he told us the secret is to have the customer pay less and less. you are saving the system. i have to believe that when you bring in veeva you are saving the system money. >> oh, yeah. i do believe that, jim
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individual customer level, yes but also look, if you look at the industry overall, which we're so proud to be a part of, you know, our customers are doing important things they're making medicines to help people live better lives and to save their lives we're increasing the efficiency of that overall $1.7 trillion business by delivering them cloud software that really helps them be more efficient we're doing our part to help get the right medicines to the patients that need them and we're making the overall system more efficient so i'm really proud of the veeva team and what we're accomplishing. >> okay, in your deck, i have -- from 2012 versus 2017 the top ten life sciences. another way to look at what you have accomplished. we have had almost every single one of the companies that were ahead of you you were number nine, and you have leapfrogged over everything in 2017. what are you going to do now what's the encore particularly because you have a billion in sales and you say the total market is $9 billion.
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>> that's true, right? this year we'll reach over $1 billion in sales and that's, you know, a year ahead of our target so we're really happy with that success. but we're in the very early days of this industry cloud for life sciences yes, our total addressable market is over $9 billion but we keep adding new products all the time so i'm really optimistic about our future, jim, especially since medicine is undergoing a real revolution here moving towards medicine using the cell therapy to fix that person that's a long-term revolution in medicine that our customers are just starting on and we're really looking forward to helping them through that so it's early days for veeva. >> well, you know, we have dr. topol on today and he wrote "deep medicine, how artificial intelligence can make medicine human again. a lot is compiled by veeva,
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correct? >> it is we're the brains behind a lot of that stuff you're right. >> i mean, when i look at what you're doing and i look at biotech, okay, would you be able to tell me that all of the bioteches -- great number of bioteches are all more valuable than the stock market says one by one we see the companies that are your clients get bids for 100% more than what the stock is selling for. >> yeah. i would say some of our biotech customers are incredibly well positioned you saw the recent acquisition by spark therapeutics which was a biotech acquired by a large pharmaceutical company roche that shows -- see spark was in the precision medicine area where they're actually fixing a person's genes very targeted therapy in their case to fix a hereditary blindness. there's a premium on innovation and real cutting edge science, jim, because we are at a revolution point that's just starting in medicine and that's what's causing these acquisitions and we're so happy
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to be working not only with the large pharmaceutical companies but the small biotechs like spark therapeutics and blue bird that are doing amazing things. >> we did a piece about the mark -- tree are you worried that salesforce will decide they want to be in your vertical? >> well, you know, i focus on our employees and customers so not really worried about that, but certainly learned a lot from mark in the early days of salesforce.com as well as other stops in my career ibm, people soft also my father in the machine shop when i was a young guy, jim. he really taught me a lot too. so you know, no, not -- we have a great partnership with salesforce.com and really grateful for that. >> let's leave it there. another great quarter and i have to tell you, the fact that this stock didn't go all time high after that quarter makes no sense to me.
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peter gassner, founder and ceo of veeva systems they own this market they own it. stay with cramer who says our bank isn't tech enough? everyone, look at your phones. the design thinking, the digital engineering,
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security, blockchain, and we will be first to market! yes. when we do we launch? unfortunately, in 2 or 3, hours. why the delay? cognizant is helping banks use digital technologies at scale to advance speed to market.
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a temporary address, temporary ivory, and help him get tickets to the mozart festival. excuse me, grant likes beethoven! uh, the beethoven festival. pure. love your insurance. >> announcer: lightning round is sponsored by td ameritrade >> it is time. it is time for the lightning round. buy buy buy buy buy, sell sell sell sell sell sell! then the lightning round is over are you ready, skee-daddy? start with richard in pennsylvania >> caller: how are you doing
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>> what's happening? >> caller: i'm trying to buy that lamborghini you were test driving in italy. >> the $500,000.01 or the suv? the suv is only 160. >> caller: oh, i'll take the suv. >> yeah. it's got good -- good lines. what stock >> caller: century link -- >> sell sell sell sell sell. please don't ever put century link in the same sentence as lamborghini. leo in utah. >> caller: hello, i would like to know something about fludm. >> yeah. life sciences stuff. everything in the space is a buy, i know that sounds ridiculous thermo, take a look at how much -- how much is paid for ge's business. it's good to own i need to go to don in massachusetts.
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>> caller: hi, jim how about the battle >> it continues. what's going on? >> caller: okay. this company developed a unique system on a chip design with the focus on video and image the semiconductors can run all kinds of camera systems from the single chip. jim, is amba a buy here? >> i think it's finally come back i was mesmerized by it i think we're okay here. let's go to jim. >> caller: how's it going? hey, my question is on xlm -- i have held this thing all the way down i know they have some issues what do you think the prospects -- >> i think you said it right, they have big-time issues. i was talking about this with ben stoto, rhymes with photo listen, have you seen this stock go down?
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i'm not touching it. so i'm going with photo stoto. brad in michigan >> caller: thanks for taking my call i like money and i like tacos. my question is can they coexist together with del taco >> i think actually beef tastes better than money when it's in a taco i'll ask you to skip that one. instead i send you right to chipotle because brian niccol he be the man to manish in california. >> caller: hi, jim the results on the ad revenue in the last two years, the issues are great. why still is it not trending like facebook? >> you know what i agree with you. i think you have to own it i was watching some espn stuff everybody has their twitter handle everywhere. i think everyone advertises for twitter. i think you should own the stock. we're not done oh, my, here we go, richard in colorado. >> richard >> caller: hi, jim, greetings
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from snowy country colorado. >> how are you doing out there >> caller: well, we're in a snowstorm. i'm a retiree, i appreciate your insights and your advice. >> thank you >> caller: my question today is acimar - >> oh, they have the fire underneath them. i mean it's a great situation. how about to matte in california >> caller: a big california booyah, jim. i purchased orange a couple of months ago and it hasn't done too much. >> i think you swap out orange and go into verizon. a little bit of decline in yield but that's okay. verizon is a better situation. that, ladies and gentlemen, is the conclusion of the lightning round. [ buzzer ] >> announcer: the lightning round is sponsored by td ameritrade
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we're constantly hearing about the revolutionary potential of artificial intelligence and machine learning how the technologies can transform business after business, but do you hear about how ai could have an i want pact on your day to day life? aside from better targeted advertisers from amazon and google and facebook? we have all the computing power and tend result is it gives us the user's better netflix recommendations is that it no there's a lot more to it than that you're not looking in the right places you want to know where artificial intelligence can do the most good? individualized medicine using the human genome to map each patient at the most granular level and then coming up with the bespoke treatments for them. when we talk about medicine, something that has driven the recent deals in the pharma space, like roche's takeover of
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therapeutics and we have one who understands it better than anybody, dr. eric topol. he's from the scripps research translational institute. "deep medicine, how ai can make health care human again" and details how it can help with diagnosing decisions this is important topic. dr. topol, welcome back to "mad money." >> great to see you again. >> have a seat all right, doc, i read your book and i found it liberating because like many other people patients, i always feel like i'm being squeezed in. there's not enough time. ai gives doctors time to be doctors. >> exactly it's the ultimate gift of time by augmenting the performances of all clinicians and nurses that's a big decompression and to look at the data they're generating like a fly wheel you get the patient is taking on more.
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the doctors have to do less. the machine is coming to the rescue. >> can you give the viewers the situation -- i hate to -- cancer cancer is uniquely ai disease, right? >> yes well, it's because there are so many levels of data. there's -- not just the patient and their history, but the genome of the tumor. the scans that can be read through ai the slides, the pathologist. and then of course the big data sets of millions of people that you can figure out from them digital twins. treatments and outcomes. so the future of cancer when you learn from each other with all of the different levels of information could be really transformed. >> well, that's why i read your book i understood why big pharma is spending 5, 6, 7, $8 million on the gene therapy drugs. i mean, it's worth it. >> well, yeah. because now you're getting to the root cause you're actually letting a cure
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be established for the first time for many of the conditions. but it transcends that because we're learning as any doctor sees a limited number of patients and they think all their practice is based on that. even the wiser, older docs but that's fraction tiny segment and we can learn through so much more but it's the difference between machines that have insatiable hunger and us humans that have early satiety of data. >> you said you can have millions of data one of the things that you talked about is if you have the apple watch it's entirely possible, tim cook talks about afib and you talk about perhaps some blood pressure things this can be a life saver, can't it >> well, yeah. i mean, i think the point is that it will diagnose a heart rhythm problem that you didn't know you had, especially if you're at risk because of your age and other factors. if it prevents a stroke, that
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could save a life. but you know most of the time when people are using an algorithm they don't need it, it could lead to a lot of unnecessary testing so we have to be careful of that. >> well, one of the things that i found was fascinating was how many prostate biopsies don't -- people are just doing biopsies for the sake of doing biopsies. >> this is -- welcome to american medicine. there's so much waste and unnecessary stuff. at least a third of the 3.5 trillion that we just are going wild with unnecessary things and hurting people inadvertently. we can do better with this, and as you talked about bespoke, diagnosis and treatment, we need help because of data we can't get our arms around it we have lots of other great attributes that complement machines >> i have so much respect for you and the book is magnificent, but the last page you're on the board of one of our favorites. the board of dex con
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aren't they doing the things that you're crying out for >> i have been on the board for nine years and it was starting to get a use and now it has one that doesn't have any need for finger sticks. it's factory calibrated. easy to put on so it really is one of the first medical sensors to really come alive to make a difference so what i'm hoping for is of course there will be lots of other medical sensors but this is a good, a pace setter for where we can go. people are thinking i'm counting my steps but that's nothing when you're getting your glucoses, blood pressure continuously. >> last question there are -- you deal directly with the worries about ai. how scary it can be. you swat them down but you have to be concerned. >> i have to acknowledge the liabilities. there are so many of them. and we have to respond to each of them. because if we don't -- be
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careful about we implement ai we can hurt people at scale this is a much bigger potential so we have to be rigorous about the research that we do. >> all right the book is called "deep medicine." and that's really -- i didn't even get to the diet stuff are you eating the right stuff that's in there too. i want to thank dr. eric topol, the director of the scripps research translational institute. a thor of deep medicine how ai can make medicine human again. i. ...red-blooded. right this way. you thirst for adrenaline, you hunger for raw power. well, you've come to the right place. the road is yours, dig in. check it out, our unlimited plan on the brand new samsung galaxy s10. oooh. premium entertainment on the infinity screen!
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