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tv   Mad Money  CNBC  April 5, 2019 6:00pm-7:00pm EDT

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options action see us back here next friday at 5:30 p.m. eastern time "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 crameric ark. my job is not just to entertain but to educate and teach you call me. or tweet me @jimcramer you couldn't really tell from the action today, dow inching up 40 points, s&p advancing, nasdaq gaining .59% we got a pitch perfect employment report for the month
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of march today it couldn't have been more bullish had i fabricated the darn thing myself. yet the labor department gave you goldilocks number with just the right amount of job growth and just the right amount of wage inflation, meaning robust and meager adding 196,000 new jobs allows us to take the recession fears off the table. and tepid wage growth tells us there's no reason for the federal reserve to raise interest rates there's no data point more important to the stock market than this employment report. if the numbers to inflationary, that could be devastating because there will be immediate calls for the fed to tighten if the number is too weak, everyone goes on recession watch. as investors in the stock market, a labe report that shows strong growth with little wage growth is the perfect combination. it's not so great if you work for a living and were hoping for a raise. great for the stock market,
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though the amazing thing is you would expect full employment to sky rocket inflationary, and that hasn't happened. maybe we aren't at full employment because so many people left the labor force in the recession or maybe we need to update a lot of economics textbooks. either way, it's bullish, which begs the question, why did the market roar higher today geez, because we have been up for seven straight days. a lot of muchy betting we could get a strong jobs number in other words, it was already baked in with that in mind, what's the game plan for next week? okay, because the u-curve is still inverted and we don't know how the trade negotiation with china will play out. we're going to run an economic gauntlet in the week ahead for instance, monday, we'lion tl to factory orders and durable goods orders we want them to robust enough that it puts the recession worries to bed at least for now. tuesday, we get results from wd-40. this is a company with a dynamite story we had them on the show a month
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ago. gary ridge wowed me when he talked about how wd-40 has become an innovation machine if you missed that interview, you have to look at it because it was really good that said, you don't buy this iconic brand for a quick trade this is one of those stocks where if you like the product, you do the homework, and then you buy and hold the stock worst case scenario, it sells off and you get a chance to buy more in two weeks. let's check the chart out, you know what i mean wednesday, jpmorgan kicks off its retail conference where you'll hear from a bunch of incredible stories they'll turn incredible stories. i can't think of a better timed conference i especially look forward to hearing from michelle gause, the fabulous ceo of kohl's which is a very undervalued stock that we own from a charitable trust where you can follow all of my moves. i want to hear what she says about the amazon tie-up, by the way. and then bed bath and beyond, a company that has been a total
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dog for so long that a bunch of smart activists have come in today, morgan stanley upgraded the stock from sell to hold, arguing they might be able to bring in a new ceo if they get hit on a bad quarter, maybe you actually buy it it's in the low teens. amazon has been crushing these guys, but it really doesn't have to be that way next up, conagra they have a big analyst meeting. the last time these guys reported, they were able to put to rest the idea they had bitten off more than they could chew. could they keep up their momentum the horrendous quarter from kraft heinz perhaps marking a bottom for the difficult sector. conagra is well run. it could be a very important meeting. i attended many analyst meetings over many years, but you know what i can't recall anything that was as important as the disney confab will be on thursday disney stock has been marking time seemingly for ages. even as the company has
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reinventedself, buying fox's entertainment assets, building out streaming services i think bob iger will have good news and bad news. the good news, an unprecedented movie schedule, and that's before the addition of the fox deal that gives them everything from simpsons to avatar, x-men bad news, disney's reinvention costs money. lots of money. that could potentially means we get an earning guide down and how 2019 is an investment year will people sell the stock or realize disney stock has done nothing for ages because these worries were already well known. i don't know, but i recommend buying half a position before the meeting. maybe on this day, half. and then, well, you know, if the meeting has, creates fear because of this issue involving investment, then you buy the other half here. i think that's the best way to approach this thing. that way if it sells off, you get a better cost basis. friday will be the most fraught
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day of the week. that's when we get the first bevy of major earnings reports jpmorgan wells fargo they'll both be good i just don't know if anyone will care that they're good because that darn yield curve. which means they can't make as much money off their deposits as they would otherwise i expect them to have a strong quarter. as for wells fargo, it may not matter the ceo just announced his resignation. because he's taking so much fire from congress for the sins of his predecessor, he decided to fall in the short rather than put his company back in the cross hairs. we own jpmorgan for the travel trust because i can't remember a time when it's been thit cheap on an earnings basis wells fargo is cheaper although there are people who don't want to earn that ahead of the upcoming grilling on capitol hill that starts the week after. whoa throughout this whole week, we'll hear about the status of the tlad talks with china. i still believe the chinese want a deal their economy is coming in hot now, but it will be hard to make
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one because president trump is unwilling to roll back the tariffs. he wants to keep them on as enforcement mechanism. there's little incentive for china to make a deal if they can't get rid of tariffs if we do come to an arrange; it may be viewed as a bit of a letdown by wall street unless they immediately allow companies such as visa and mastercard to start doing business in people's republic without signing ruinous joint ventures that then steal your intellectual property bottom line, we -- really, this number today, this excellent employment number, was terrific, but that bullishness was backed into the average, which is why we didn't soar today keep that in mind as we run the gauntlet all next week david in new jersey, david >> caller: good evening, jim i'm calling on mtw, the man atuwalk company. back in february, you liked the stock. the company has since successfully restructured its financing, currently trades at or near book value my question is, do you think
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this is a possible buy out target or perhaps they're looking to acquire someone else? where do you see it from here? >> i'll not sure exactly what the law is because they did a spli splitd-off here. you bought it for earnings if the world comes back, you have a decent stock. it's very cheap. without that, no catalyst. cameron in north carolina, cameron. >> boo-yah from raleigh, north carolina >> it's gorgeous there what's up? >> caller: nothing just want to thank you for everything you do. >> thanks a lot. >> caller: absolutely. so the question today is relatively diversified but looking into getting into a different segment, more obviously restaurant type of food type market and i have listened for years and i know that the best in the breed is domino's, but my question today with the rebranding recently and off its 2016 fiasco, what do you think about papa john's for maybe a
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long few year -- >> i think that is too competitive a segment right now. because i think that domino's is struggling i mean, struggling is a relative issue, but the stock hasn't come back my two favorites are garden and yum. darden, then yum how about mike in florida. mike >> caller: hey, jim. thank you for all that you do for us >> oh, you're very welcome thank you. >> caller: hey, in the context of the u.s./china trade deal, you mentioned that our liquid natural gas supplies are locked up and the companies like dominion and cheniere have 20-year companies for l & g sales. in this environment, what do you think of tellurian >> it's not the ceo, but i am very confident that he will be able to develop a brand-new l & g powerhouse, but you have to wait a long time for that, so if you don't have patience, you're going to regret that you purposed the stock
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patience, okay one weakness we couldn't have asked for more bullish non-foreign pay roll number, but now for next week, the focus will be china and of course the beginning of earnings season "mad money" tonight, i'm revealing the one retail stock i think you should be buying then the ipo rush hasn't slowed down with five ipos held between tuesday and thursday alone i'm eyeing one of the latest to take to the type and telling you it could be worth considering. >> and is all the drama surrounding oliver pharmaceuticals giving you a headache i'm sitting down with the ceo to find out what this migraine drug maker is saying. so stay with cramer. >> don't miss a second of "mad money. follow @jimcramer on twitter have a question. tweet cramer #madtweets send jim an email to madmoney@cnbc.com.
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or give us a call. 800-743-cnbc miss something head to madmoney.cnbc.com. for your heart...
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it's a save more with a new kind of wireless network store. it's a look what your wifi can do now store. a get your questions answered by awesome experts store. it's a now there's one store that connects your life like never before store. the xfinity store is here. and it's simple, easy, awesome. so many retail stocks have screened higher here of late that i have to ask myself, who's left who's left who could still play catch-up? i think it's burlington stores, the off-price apparel chain. the last time this company reported about a month ago, it had a not so hot quarter it was highly unusual for these guys historically, they have a
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terrific track record. but last time they were up against tough comparisons and they came in below management expectations what happened? the stock plunged from $167 down to $147 in a single day. quite jarring. and to me, it overreacted. an extreme overreaction, and it's been creeping back up of late sorry. but you know what? look at this it's still nowhere near where it was. and that might be the opportunity. the truth is, excluding some women's appearel issues and the lack of winter wear, it's doing fine in fact, the rest of the line items were way above plan, which is pretty meaningful when you consider this company hasn't been a pure player in women's coats for a long time. they sell the whole shooting match. unfortunately, burlington's self effacing ceo tom kingsbury was so intent on being transparent that the conference call made his team sound like the gang
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that couldn't shoot straight that's very different from the unrepentant masters of the universe tone you expect from most other executives in the sail position who have big winners. right now, we're in an unusual moment for retail because we had a cold, wet winter, and most weren't prepared for it, including burlington believe me, they're not just using the weather as a bogus alibi. home depot was the first company to blame the extreme weather for a quarter that didn't go as well as expected. wall street awarded honestly by crushing the stock people couldn't stop worrying home depot was caught up in a downdrift. turns out it really was the weather. sin then, we heard from so many other retailers who told us the same story that's allowed home depot stock to mount a stunning rally. it's now trading not above but well above where it was when they reported that allegedly weak quarter i think burlington stores could follow a similar pattern they'll forget why they sold the stock and like they did with
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home depot, they'll give the company the benefit of the doubt. they know if the weakness was caused by excessively cold or wet winter, then the company should have no trouble bouncing back whatsoever. what about the other issues? look, kingsbury has a fantastic team, and don't think they're going to repeat whatever fashion mistakes they made last quarter. they're too talented to mess up the same way twice more importantly, this stock has a catalyst burlington speaks next week. i'm wbetting they'll use that t tell us how the spring forweath helped their fortune that's why you should buy the stock ahead of the meeting own wednesday when i everyone hears the burlington issues have cleared up i really like the risk/reward here burlington stores is a great company that deserves the benefit of the doubt after its brief stumble. the market should have given it to them, but this mistake means you can buy the stock near where
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it went to was the rock bottom, but at near rock bottom price. how about we go to red in texas? red. >> hello, jim, boo-yah >> boo-yah, red. >> caller: proud texas tech alumni and here in minneapolis right now. let's go, red raiders. i oh, yeah very exciting team very exciting. i covered the red raiders when they played florida state in the 1977 tangerine bowl. what's going on? >> caller: defense, baby defense. >> yes, indeed >> caller: calling today about stock ticker bzun. >> i debated i debated, but remember, i am willing to do alibaba, which is a great company, and baidu this one is a very, very good technology infrastructure play, but i'm going to have to say not for me, but i don't mind if you do buy best of luck to the red raiders. >> okay, burlington will bounce back, and now is a good time to buy the stock at this great company. watch more "mad money" at the second ipo worth more than one million dollars hit the tape,
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but should you use caution before getting tangled up in the trade web. in the a biotech love triangle has wall street talking. i'll ask its ceo how its larndming the dispute, and you probably stored away hundreds maybe even thousands of emails, tonight, one company that can protect your online kraunls when i turn in tonight's homework so stay with cramer.
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what's the biggest threat to this market? as i told you over and over again, it's the coming deluge of initial public offerings where massive quantities of freshly issued stock could overwhelm the demand for equities and therefore knock down the averages even if the market can withstand this glut of stock supply, there are going to be particular groups that get crushed. why? because money managers need cash to participate in these ipos without lots of new money flowing in, the only way they can do that is by selling something they already own we saw the cloud stocks. i think a lot of that has to do with the ipo market. that's why we're going to be on ipo watch. this is a real risk that not enough people seem to be worried about and they should be those are the risks that can really hurt us, the ones that nobody is thinkingunts let the other guy worry about
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brexit let the other guy worry about the inverted yield curve i'm worried about supply the whole point is they're too appealing to ignore. a well choreographed ipo can make a lot of people a lot of money in a short time. as we keep an eye on all of these companies coming public, we're also on the lookout for potential opportunity. right now, we reached a point where the deals are coming like clockwork. this week, between tuesday and thursday, we got five ipos, including the second largest deal of the year yesterday, trade world market this teal was mastered earlier in the week, the underwriters increased the size of the offering by 33% and boosted it by around 10% and priced it at $27 above the market in the $24 to $26 range what's happened? it's been fantastic. the stock exploded higher right out of the gate. opening up nearly 27% at $34 and change yes, instant wealth. unlike the ignominious lyft
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deal, although with the stock back at $74 and change, it's looking better by the tade, trade web managed to hold on to the gains, tacking on another $1.50 and the stock barely got dinged this morning before bouncing back, closing up more than 2%. that's how you do a successful underwriting well handled why was there so excitement for this deal? besides the fact it's fintech. they have all sorts of fixed income products and derivatives. 62 countries they have corporate bonds, interest rate swaps, equities, and money markets, can their technology keeps getting better and better, making the markets more and more efficient. how about the financials wall street is on the hunt for accelerating growth. and last year, they gross revenues increased by 21.6%, up from an 8.6% growth rate the year before. their net profit margin expanded
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to 33.3% over the same period. very nice. trade web's balance sheet has no meaningful debt. even though they paid a $100 million to the company's founders right before the ipo, they still had $304 million in cash and equivalence most of the proceeds from the deal don't go to trade web they're going to existing shareholders who are ringing the register now, i'm not too worried about that because trade web's business is really good. last year, their average daily volume grew by 37% we also got numbers from january and february january was the best month ever. february looks like it would have been better if not for the fact, well, how many days in february 28 i like this story. pretty straightforward while the stock market went digital a long time ago, the fixed income drivative markets are more old fashioned so you have to get on the phone with multiple dealers to compare quotes and then get back on the phone to confirm your order and settle the trade via fax we knew that digitization is the future of this business. it's more efficient, more
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transparent and there's little justification for the voice market model of trading. in fact, in many cases it's starting to gee government manitated which is good for trade web. plus, as we invent more and more types of financial securities, they're getting more and more opportunities, and the company still has plenty of room to expand overseas. tw gets 48% of its revenue from subscription fees and minimum volume floors. we love recurring revenue on "mad money," as it insulates the moneys against periods of low volatili volatility trade tradeweb is also profitable. it might not have the sky high growth rate from let's say lyft, but it's already making money. that means you're never going to have to worry about how to pivot from profitability, plus the presence of earnings makes the stock much easier to value last but not least, they have major support from the wall street fashion show. you might call this a ridiculous conflict of interest, but tradeweb is owned by a cons
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consortium of the largest credit groups they all collectively own 46% of the company before the ipo the rest belong to blackstone, the gigantic alternative asset manager, while some of these firms sold part of their positions in the ipo, they're still major shareholders at the same time, trade web is also used by the traders who work for the same investment banks. i don't want to imply improi y pryty here but let's say i wouldn't be surprised if the analysts end up thinking very highly of this stock, taking it another leg up on the other hand, tradeweb's complex ownership structure is the biggest negative even after the ipo, it has four classes of shareholders and they own llcs within corporations with additional outside shareholders all you need to know is that the class-a shareholders the shares that sold as part of the ipo have only a 2% voting interest
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in the company if you buy the stock, blackstone and the banks are calling the shots and you're along for the ride after yesterday's gigantic spike higher, does it make sense to think about owning tradeweb? that's depends on the valuation. based on back of the envelope map, i think it could be selling for roughly 31 times this year's earnings estimates that's much more expensive than the major stock exchanges, but these aren't necessarily good comparisons. i think the best comparison here may be market access which is another electronic trading platform for bonds you know i like that very much we had them on the show, always welcome them back. market access sells for 50 times earnings that makes tradeweb seem like a bargain, especially when it has a bigger growth rate that cements my liking of tw when you look into tradeweb, it's easy to see why its ipo was a huge hit the staug is far from cheap, but you have my blessing to buy this one.
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obviously at these prices, a little more speculative. be careful, buy it slowly. hopefully you'll get a pullback so you can get more in at a better basis lee in virginia, lee >> caller: boo-yah, jim. i want to talk to you about smart sheet, which i just added to my portfolio. i think it's a cloud play to become one of your cloud princes. it's up more than 50% for the year, but after i bought my shares, it dropped 10% >> you're right. it's got -- it's a little niche. it's a little niche, but let's do more on it for you because i didn't understand why it just dropped. i'm hoping it was just part of the anti-cloud move we had, but i can't say that without knowing more fred in pennsylvania fred >> caller: hi, jim my question is on dropbox. ipo'd march of 18. it reached a high of $43.50 around june of '18 it's howeverering around $21 to $22. the last two quarters were good, but last quarter had somewhat of
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a glitch i'm down on the stock. should i sell or buy >> i'm going to say hold it here look, we're big fans when it became public. and we still like it i know it's not been a great stock. and sometimes you just pick stocks and, well, what can i say? it hasn't done a lot i think drew is do a good job. i think it's a matter of time before it does better. know your ipo, people. you have my blessing to buy trade web even if it is for speculation because it's moved up so much that's why you have to trade it carefully. much more "mad money." what a headache with amgen and novartis over the drug amavig, and pharmaceuticals stuck in the middle i'm asking the ceo what it means for the company. >> good news if the dog ate your homework i did it for you and it could make you money >> and all your calls rapid fire in tonight's edition of the
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lightning round, so stay with cramer
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right now, there's a knock down drag out fight going on in the pharma space over migraines. as someone who suffers from migraines, i'm glad so many companies are working on new treatments but i worry about the competition. you have amgen, eli lilly, novartis, a bunch of other smaller players. here's the development stage biotech with a migraine drug that could hit the market hopefully as early as next year. other stock has been a tough one to own it roared out of the gate after it became public in 2014, but over the next few years, it plummeted back to earth and then investors almost forgot about it, but last year, they brought in new management and now their most important drug candidate is
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much closer to being approved. could the stock get momentum let's take a closer look with bob, the new no longer new ceo of alder biopharmaceuticals. welcome to "mad money. good to see you, bob have a seat. >> good to see you >> all right, bob, the community is very anxiously waiting your drug and i think it's important for you to point out this is not a me too drug. this is a different kind of drug >> that's absolutely correct we believe based on our promise two data which was focused on chronic migraine that we saw really robust responses in terms of patients getting a 50% or 75% response rate and the speed at which the prevention starts will be very attractive to patients and physicians >> the team of people i work with for my migraines say it could even be as early as that day. >> that is true. we're so confident in it because of 100% bioavailability that in our statistical analysis plan we wanted to see if we could start
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beating placebo within 24 hours and we are statistically significantly different within 24 hours to start prevention >> you want to talk about the amivig, lilly, teva. they're like boom, like that you have a drip, right >> an iv an infusion for 30 minutes >> only for 30 minutes so people can go in and literally once every quarter >> it's once every quarter what you see with chronic migraine patients is many are seeing their doctors on a quarterly basises or more frequently it will match up with their cadence going to see the clinician. >> let me ask you. are there people, the amivig type drug, it might not work for them but maybe yours works >> that's a possibility. i think it's early to see if you move from one to another but what they tell us is if you get an inadequate response on one of the subcutaneous products, they would like to try it because of 100% bioavailability
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so they get in the full impact of the drug within 30 minutes. >> do you think the fda recognizes that this is not a me too drug, so therefore they can't just say you know what, we already have a lot of approvals, we don't need this one >> i think our engagement with the fda has been fantastic the conversations have been great, so i don't anticipate that being an issue. >> there's some crazy stuff going on you know that amavig's partner is novartis. they're the owner of sandos, they're working with you, and amgen feels that is necessarily a breach what happens you're caught in the middle. will your company be okay no matter what? >> i think we're going to be fine no matter what. it's been an interesting read over the last 24 hours, which has occurred >> i know the amgen people said you better mention we're very unhappy with sando sirs, but th didn't say they're unhappy with you. >> we have had a long standing relationship, and then we signed
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an agreement in 2015, and then we recently signed an amendment in january of 2019 where they're going to make a quantity specified for us for the next five years through 2023. >> okay. >> so two things on that one, we're going to have ample supply, not only the launch in the u.s., but also globally, and even the product that's made in 2023, we wouldn't use that in 2023 we would use that in the years beyond that. so from a supply perspective, for a small biotech, we're in really good shape from an inventory and commercial perspective. >> i care about the patient side and don't want to hear you could be cut off once people get started. $7,000 a year for amavig similar type pricing >> i think that will be a benchmark. we're working through a health economic data right now because we think we have advantages in terms potentially in robustness of response and the whole speed to response, and payers are excited by after a quarter, you'll have a pretty good idea whether or not it works for the patient. >> absolutely. how about awareness of the issue, in 36 million sufferers
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>> so that's one thing that we're passionate about from the alder perspective, is the education element of it. even more so, i don't think people have a really good understanding of what it means to have chronic migraine and so we're really focused on that particular education, and most people think it's a headache, but when you think about the light sensitivity, sound sensitivity, nausea, vomiting, gastrointestinal issue, but they have anxiety, sleep disorders. at the end of the day, i think we can do a whole lot of justice to making sure we're educating on exactly the battle that these migraine patients are going through. >> i want to wish you the best of luck and i tell people this could be a very important company. the ceo of alder biopharmaceuticals we'll be back.
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it is time time for the lightning round and then the lightning round, are you ready? starting with dennis in michigan dennis >> caller: yeah, i'm calling
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about diplomat pharmacy. >> i don't like this, especially pharmaceutical companies i'm sticking by that i need to go to mike in georgia. mike >> caller: hey, jim. thanks for taking my call. >> of course >> caller: i would like to know what your thoughts are on people's united financial. >> i liked them for a long time and it's done nothing for a long time so it's difficult for me to recommend. let's go to noah in pennsylvania noah >> caller: hi, jim how are you? >> i'm good. how about you? >> caller: i'm good, thanks. my question is about tgpx. tg therapeutics. >> this is good. mike weisz used to come on it's a very good speculative play and it remains a very good speculative play you know what? that's all i can say about it. linda ipflorida. linda. hi, this is linda. and you have a number of stocks a couple weeks ago, do you think roku is still on your list >> roku is -- oh, my
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roku, roku is a very good company. and i kept thinking that amazon had to be able to annihilate them, and that was my mistake. it's not happening roku is fine there are other guys who are better at roku, analyzing roku than i am. let's go to dwight in ohio dwight >> caller: boo-yah, jim. this is the first-time caller. >> welcome to the show >> caller: thank you for taking my call. thank you. hey, jim back in 2009, i purchased boone ener energy it ipo'd now below $15 should i sell or hope it comes back >> actually, i have no reason to think that's going to be a very big stock, frankly i just don't see it happening. let's go to peter in connecticut. peter. >> how are you, jim? >> i'm good, peter how about you? >> good. just want your thoughts on tem it's off 60% on the one year >> magnum is better than them.
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leer is better i just have no compelling case to own that stock. how about ed in virginia ed >> hello, jim. i love the show. longtime listener. >> thank you >> caller: question is on fire eye. you had the ceo on a couple times. >> they missed the quarter and the inconsistency, i like kevin, but the inconsistency of fire eye is maddening. i think cyberarc is better my travel trust owned paw, and that's a much better company let's go to dewit in delaware. >> caller: boo-yah, jim. jim, jim, buy more or hold wwe >> we had george beras on. he told a good story the stock has been up, but at $89, i can't tell you to buy anymore. no, i just -- it's had a good run. let's go to lee in south carolina lee. >> caller: hey, cramer
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>> lee >> caller: hey, you met with peter miller, ceo of opt, last june for me, a nuby in the market, it's an affordable price of $10.18 how do you feel about it now >> it's a spec and you know, ear, nose, and throat spec. i was interested in it because periodically, i have had those, but i have no real edge on it right now, sorry let's go to mark in wisconsin. mark >> caller: jim, earlier today, on scott wapner's show, josh brown was high on a stock. he's got a buy on it at $30 or lower. my question is, should i buy store ticker symbol -- >> it's a good rate, yields 4% it's not bad
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okay, conclusion of the lightning round. >> the lightning round is sponsored by td ameritrade >> i love to hear from you, cramerica. we have a tweet that says note to the producer, please stop giving this man props. at least nothing that could hurt anyone bye. i stunk a monster when i came home my wife said what is that cologne? i said that is ew demonster. here's another tweet someone gets to stuff a bran muffin into cramer's big fat pie hole ah facts, jim cramer is the spawn of an unholy union we're the most interactive show
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on television. so stick with uncrustables start over (indistinguishable muttering) that was awful. why are you so good at this? had a coach in high school. really helped me up my game. i had a coach. math. ooh. so, why don't traders have coaches? who says they don't? coach mcadoo! you know, at td ameritrade, we offer free access to coaches and a full education curriculum- just to help you improve your skills.
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boom! mad skills. education to take your trading to the next level. only with td ameritrade.
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we are one week into financial literacy month a major initiative for all of us at cnbc. you know i feel passionate about this personally. the "mad money" audience knows we have a laser like focus on doing homework, which is what you need to do before you ever pull the trigger and whenever i get a question about a stock that i don't know or just don't know well enough to give you a good answer, i never cuff it. i always take my time to do the research then come back to you with a more considered response. not necessarily the best it may not always be right, but as considerate as i can be let's catch up on our important homework on december 17th, joshua in
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pennsylvania asked about accelerate diagnostics and i said i would get back to him. this is an interesting story right now, we have a huge problem with the rise of antibiotic resistant diseases. and that problem is made worse by the fact that our diagnostic sixms aren't that good if you want to test bacteria to see which antibioddics will work, it could take two or three days for the results to come back and three days is way too long if someone is really sick. that's where accelerate diagnostics comes in they developed a platform that allows for much faster turnaround times on these tests. they can identify a bacteria or fungus in 90 minutes, and figure out which antibiotic it's vulnerable to in seven hours it's only approved for patients with really bad infections where you have bacteria in your blood stream, but that's exactly when you need a faster test accelerate diagnostics is intriguing but a highly speculative stock that can be a ridiculously wild trader
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last year was devastating for stock holders as early sales of their diagnostic system were surprisingly disappointing, plus they ran into a series of setbacks for their bacterial pneumonia test which is so important. at the beginning of 2018, it was $30. it was $10 by the end of the year you can see why josh wanted to know what the heck was going on. since then, the stock dill stabilize and there's been a rebound, climbing to $18 and change today they got a boost when they announced better than feared results in january, which is one reason why it's up 60% to date as shares have pulled back, down more than 6% today alone, orders for their systems seem to be picking up but i'm still not sold on ccelerate's ability to execute. if you own this stock and you have a nice gain over the past few months, you know what, i have to tell you, i would be inclined to tell you to ring the register it's a $1 billion company with sales of less than $6 million
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last year. their diagnostic machines may be revolutionary, but i can't behind this one until we see more evidence that hospitals want to buy them this one is too risky for me even as i think their orientation is incredibly important, particularly the pneumonia bacteria, because that's what my father died of in the hospital and i just would have loved it had we been able to detect it earlier. >> next um, on january 17th, damian in pennsylvania called about zix corporation, and the symbol zixi. i said i would get back. this is a tiny inherently speculative company. really kind of at the low end of what we talk about and a single-digit stock it's a provider of email security systems including encryption, data loss prevention, archiving and bring your own device to work mobile security in other words, it's a cybersecurity play that helps businesses protect their data.
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that's why zix has a lot of customers in health care, financial services, insurance, and even government agencies like the treasury department and s.e.c. they compete with proofpoint another email security play we had on the show before and we like them. though their technology is easier to use and they offer superior customer service. when zix was trading at $6.16, i got the call over the next month, it rode up to $9 and change at the end of february, they reported a strong quarter with truly tepid guidance, and the stock sold off iolently, which is why it's now back all the way down to $6.85. you know what? down here, i think zix might be worth buying they have a real business. cybersecurity is a powerful long-term theme. and at these levels, the stock is selling for less than 15 times next year's earning estimates. that's especially true when you consider that there's a catalyst here zix is buying ach river, a cloud-based purveyor of
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cybersecurity businesses like web protection and emape encryption this is a small cap stock and it is a wild trader don't think about owning zix for your retirement account. this is not an ira name. this is for your discretionary mad money only finally, on january 17th, ross in virginia wanted to know about chemical financial, chfc, i told him i needed do more digging they're a regional bank with more than 200 locations across michigan, ohio, and indiana. these are areas that are doing well in the economy right now. now, two weeks after we got that call, the company announced it was merging with tcf financial, creating a midwestern banking powerhouse with more than 500 branches across nine states. it's expected to close in the second half of the year and analysts can't wait. while chemical financial saw its stock shoot higher after the announcement, it came right back down over the course of march as the banks got hammered by falling long term interest rates.
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in the last few weeks it's been able to bounce, but i think it's too cheap. whether it would be worth it if you liquidated it entire business tomorrow, and all the bank stocks are cheap, but chemical financial has a catalyst thanks to the upcoming tcf merger, which should create an enormous amount of value. in short, chemical financial, and how smart are our viewers which is so important, because we need to educate many more people about financial literacy. stick with cramer. i'm at work. oh gosh, so late. i know, but guess what? what? i've saved enough to come visit you. well, that's such great news! at u.s. bank, we believe that hard work works. and for everyone working toward a goal, we're here to help.
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oh, wow. you two are going to have such a great trip. thanks to you, we will. this is why voya helps reach today's goals... ...all while helping you to and through retirement. can you help with these? we're more of the plan, invest and protect kind of help... voya. helping you to and through retirement. remember, great employment numbers last for weeks and this was a great employment number and it will be something to fall back on if the market does go down this week like i say, there's always a bull market somewhere. i promise to find it for you i'm jim cramer and i'll see you monday
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>> welcome to the shark tank, where entrepreneurs seeking an investment will face these sharks. if they hear a gre idea, they'll invest their own money or fight each other for a deal. this is "shark tank." ♪ to the dreaded parking ticket. ♪ my name is david hegarty, and i'm from san francisco, california. my company is fixed, and we are seeking a $700,000 investment for 5% equity stake.

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