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tv   Mad Money  CNBC  April 18, 2019 6:00pm-7:01pm EDT

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it's -- >> she was she tried to compliment me, but it wasn't a real compliment. it was an under -- >> backhanded compliment >> final trade >> boeing, it comes out. >> that does it for us and see you ckere ba hon "mad money" with jim cramer starts right now have a great weekend 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 entertain, but to educate and teach you so call me at 1-800-743-cnbc or tweet me @jimcramer even though this was a solid day for the average, the s&p advancing 1.6%, nasdaq inching up .02%, i am not a happy man.
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why? because we got our first sign that this market is getting genuinely overexuberant. today the public went gaga for pinterest and zoom with their newly minted stocks soaring into the stratosphere, like nasa rockets oremus:00 rockets if you want a capitalist simle. if we get a few more hope i will overvalued deals and pinterest and zoom are hopelessly overvalued, they'll start to feel the pressure. that will lead to a sell-off like we haven't seen in ages more on that froth later for now, we just have to say we're going to be concerned because people are getting too bullish. i don't mind it bullish, but too bullish, not for me. so now you've been warned. with that out of the way, let's get to the game plan for next week all i can say is let the wild rumpus roar, as we head into the heart of earnings season where we have a ridiculous number of
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companies reporting all at once, we're going to be playing where the wild things are rules. don't lift a finger until the last conference call is finish and you know everything there is to know. don't trade off the headlines. if you try to trade off those hey better than expected, worse than expected, cut forecast nonsense, i guarantee you you're going lose money it's a losing strategy, because many of the fastest headlines are written by computer news, and even humans often get the stuff wrong. kimberly clark kicks thing off on monday. this stock has been on fuego because of the earnings yield. i want to hear about the raw costs and world market share and freight issues this company is frequently disappointed, either due to rising raw costs, mostly steel with mortgage rates down and the housing improving, whirlpool should be doing so well. you can't bet on these guys, though too unreliable
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tuesday morning we hear from verizon, united technologies, coca-cola, and procter & gamble. now i expect a good quarter from verizon,ably be greeted positively united technologies has the unenviable position of putting it after honeywell which delivered one of the best industrial quarters of 2019. i think they'll do fine. they're getting close to the breakup, otis elevator and aerospace that will unlock a ton of value coca-cola similarly rotten as is united technologies. they have to follow a picture-perfect accelerated growth quarter from pepsico, so they're in a tough position. too tough for me how about proctor? i mentioned kimberly-clark if freight and plastic are under control for kimberly, you can get beathea should be for p & g too. if it goes down, i consider buying some. we have two stocks that are
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being beat meaning they tell us how entire sectors will trade. centene in the morning and texas instruments for the semiconductors i believe centene will report a terrific number. but health care is hated right now. oh, it bounced a little today, but if the stock can rally anyway, let's just say it's good news for this horrendous group take your cue from centene to see if we can go back to hp or pms, health care as for the semis, they need the temperature taken constantly, telling us whether the group is too hot or just right. i don't care all that much about snap but its stock has doubled since the start of the day in light of the enthusiasm for pinterest, we take a good hard look at the level of euphoria in this market to make sure things aren't totally out of control. there is ebay's review i hope they break up the company. i think stub hub is worth a great deal i hate wednesday and thursday because the number of companies reporting is downright ridiculous i can barely have them fit on the screen i just picked a handful.
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we're going to start with boeing which will most likely guide down it hasn't mattered one bit to the stock. are the buyers about to get burned i doubt it any certainty about the max's path back to the skies will be viewed as a major positive caterpillar is another stock that won't quit. usually that means people expect the trade deal with china is eminent. the amazing numbers we heard from united rentals last night and today when they talked, while these guys don't use caterpillar's equipment, the demand for the rentals, should be able to put up very good number at least domestically that will take people by surprise so maybe perhaps the domestic and the international size of the business have returned to growth at the same time, godsend. if you think that's the case, it's worth owning. after the close microsoft and facebook report. microsoft has become one of the great growth stocks of the year. we own it for the charitable trust and have been reluctant to take profits because we strongly
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believe in satya nadella facebook has like the old timex ads taken a licking but keeps on ticking. i wish they would come on "mad money" and say listen, everybody, i compromised everyone's information and hey, i told cramer everything this is another stock my charitable trust has owned forever. the home is that instagram is still growing like crazy one of my bigger regrets is we sold our last bit of paypal. paypal has had an amazing run here so if it gets hit, i would love for the trust to buy it back do you know that 3m has quietly moved up 20 points on nothing? here is the thing. if 3m doesn't deliver or at least restructure on thursday, i think it gets hammer after the close we hear from amazon and ford. i'm betting both will be terrific in their own way. amazon should have excellent web services ford, maybe the bad numbers behind them. i expect a good number 6% yield amazon has a trend to trade
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erratically, but i like them both we also get results from starbucks. this stock has run up 25 points almost straight, all based on how ceo kevin johnson has changed the way better through-put and better promotions china remains a wild card, though, and it's not a joke. friday is oil day. we get both chevron and exxon. chevron won't have much to add what they told us last week and talked about the anadarko acquisition, which you know i like and i like chevron itself. still do i think it's exxon's turn to do a big deal i suggest exxoneog a gigantic producer that i didn't highlight yesterday exxon could devour it by size. finally, colgate reports, and i also think its time in purgatory might be over. that said, i prefer procter & gamble when it reports, because i have to tell you, i think that proctor is more consistent than colgate any day of the week. it used to be just the opposite, even as recently as two years
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ago. bottom line, it's going to be a crazy week but remember, the only thing that can crush the point of view earnings we've seen so far is an avalanche of new supply from all these overvalued ipos. today we got the first taste of what i believe will be many more deals that are just too expensive for my tastes. so keep that in mind, okay you've got the red flag now, and even expect some terrific quarters buried in next week's reports, call me wary. jason in arizona jason? >> caller: hello, jim. love the show. >> oh, thank you, jason. what's going on? >> caller: not much, just wanted to ask a question, basically so jetblue, ticker symbol jblu. >> jblu. >> caller: they recently announced they're going to start service to london in 2021. >> yeah, but it's not until 2021 it's real fun to fly, but it's united continental that is the one to buy that is a great
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conference call they just had. let's go to georgette in california georgette? >> caller: hi, jim my question is about tandem. i have watched tandem since you had the ceo on in early march. they have a great product, good growth, and improving margins, yet the stock is down almost 30% in four weeks. is tandem just collateral damage with decline in the health care sector >> yes, exactly, georgette that's exactly what it as a matter of fact, they came after the device stocks really hard, and then tonight intuitive surgical, a lot of people think is not going to be that great. it could be another house of pain day but i got to tell you, i think tandem is the real deal. you saw the ceo. i saw the ceo. i would buy it right here. stefan in pennsylvania stefan >> caller: big boo-yah, jim. >> i like a big boo-yah from pennsylvania what's going on? >> caller: i'm calling on behalf acb. due to the coverage that was just initiated by bank of america, in what ways do you think that it will impact the stock as well as how close do
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you think we are to a big investor as well as my other stock friends are waiting for? >> well we know now that anchorage got a prelude to a big from canopy, and canopy son the palette for everybody. here is the problem. i think bruce litton is simple congratulations to be able to get him on the show. but i think the group has to cool off again and anyway, the one to buy is canopy growth. earnings season is off to a good start. the only thing that could brighten the momentum is a flood of supply of overvalued stocks as we saw today in ipos. on "mad money" tonight, how do big banks score on their quarterly report cards and then zoom did its name justice this thorning when it debuted, soaring 70% in the first day of trading is the move justified? how about the fact that the founder was denied a visa eight times? isn't that wild? i'm eyeing this newest player. and everyone loves a bargain does that mean you should be reaching for retailer 5 below?
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i'm talking to the ceo 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. or give us a call at 1-800-743-cnbc miss something head to madmoney.cnbc.com. ♪ ♪
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they look like whipped dogs after the brutal hearings in front of congress. ooh, they looked terrible, huh but then they started reporting last friday. then they started reporting last friday and the numbers looked pretty good. they were able to rally on the news and rally hard. i think we got two stories going on here. on the one hand, when the expectations get low enough, it doesn't take much to produce a strong result. that's been the case of many of these. on the other hand, some of these other major financials reported genuinely fantastic growth numbers. it's a wonder they're doing that well during what should have been a less than stellar quarter. what does that mean that things get better during the four days when we hear from the major banks friday through yesterday, some solid mid single digit rallies led by jp morgan and morgan stanley, up 7.6% and 7.% respectively buzz they delivered the best quarters but not far behind is citigroup, up 7% right here even though their earnings were only i would say good, the stock
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was so cheap and beaten down, it rallied nearly as much as the brothers mortgage. bank of america and goldman sachs both had solid 2 to 3% gains, even though wall street didn't exactly love the results. and only lowly worm wells fargo came out of the period in the red, down 0.4% which is not bad when considering it delivered the worst of the banks let's go through them one by one. i want you to know this group has gotten its mojo back jp morgan posted a truly magnificent quarter totally out of no noey. a better than expected return on total capital and terrific cost drills this was a $9.2 billion winner the only segment that fell short of expectations was wealth management, which makes sense when you consider so much wealth was destroyed during the fourth quarter of the bear market it really shrunk the size of the assets every other line item came in above wall street's expectation. while the brokerage business was
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still down year-over-year, experiencing an incredible recovery versus interest previous quarter, the commodities trading business actually saw its sales double versus the efourth quarter the thing that really stood out here was jp morgan's expense control. as represented by what's known as the efficiency ratio. the percent of the net inning that goes to noninterest expenses which they got down to an astounding 55%, below is positive ceo jamie dimon did some major belt tightening this quarter and still beat on nearly every single line item and even the flattened yield curve, he reaffirmed his previous guidance. no wonder the stock worked i'm happy to say we own jp morgan for the charitable trust. you can follow all our moves aft actionalerts.com the club is pretty happy also we heard from wells fargo they told an entirely different story. a bottom line beat with a mild top line miss with tepid deposit and loan growth numbers. they used to have the best on the street more importantly, the company
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seems a little lost. as much as i respect tim sloan for take one for the team and announcing his resignation a couple of weeks ago, it's hard to endorse wells fargo here when we don't even know who the replacement is going to be a lot of names floated around. some of them from legal, some of them from tech isn't that interesting the stock isn't even that cheap compared to the rest of the group anymore. i say wells isn't in slowing mode which means you don't want to own it until they show us they got their house in order. especially that they guided down some very key items related to interest rates the one break they did get is they weren't secured in washington because tim sloan resigned this monday we heard from citigroup. it was fine. but from another name we own citi, citi has long been the deepest value player among the major value banks, at least before goldman sachs started getting slammed by the fraud/corruption basically a solid quarter that was not as strong as jp morgan, but it's well capitalized, insanely cheap and trading in line with the tandem book valley it's totally vetted.
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remember what that means tangible book is what you would get if you closed the bank and liquidated everything tomorrow and i know they're not going to do that. so it's theoretical, but it's real cheap management knows the stock is a bargain. why? because they've been buying back stock hand over fist they crunched about 9% of the shares outstanding in the past year incredible given how much the stock has run over the past week, it's back at 70 i don't want the chase citigroup is worth owning here, but if you want to own more, may i suggested a pullback tuesday we got results from bank of america and goldman sachs while the headline numbers weren't anything super special, 4% earnings beat after 60% basis, tiny revenue miss, bank of america, the underlying results with pretty strong brian moynihan has slowly but steadily built bank of america into the most consistent performer of the large banks efficiently ratio came in better than expected. profitability looked good. best of all, bank of america started breaking out its digital banking numbers which are
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absolutely incredible including buying growth on zell, their peer to peer payments platform two niggling problems with bank of america first, it's getting kind of expensive. ten times everything, only slightly less expensive than jp morgan still it's a real good story it should be a go-to name. the only other problem being i would like a bigger dividend but the government regulates that how about goldman sachs? monster earnings beat. frankly, i've been a bit dumbfounded by what the stock market is choosing to value here it's got it all wrong. they're ignoring the fabulous long-term value creation that is going on right now created by david salm the new ceo i was happy to say they spent less than expected this stock remains dirt cheap. it's barely trading its book value. it's like eight times earnings but they're really missing out a great story. here
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we own it for the charitable trust. as it goes down toward book, keep buying. finally, there is morgan stanley. all right. now this is hard it's reported a blowout divert yesterday. got a downgrade today. i thought it was quite wrong this was a magnificent top and bottom line beat the ceo topped expectations for both of his major business units, institutional securities and wealth management. the only sub unit below was investment banking business. another week or two later and you would have had that number way, way later i wouldn't be too worried about that business right now as morgan stanley was the lead underwriter on today's incredible zoom deal i think it's still worth own even after yesterday's terrific run. i think you can go much higher the group is doing better than we thought, and even after this latest leg higher, many of these stocks remain dirt cheap and getting revalue higher almost every day since they reported. much more "mad" ahead. we just mentioned the shares of zoom, and they are zooming higher could the move continue? i'm eyeing the newly minted
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company. and five below, it's not a recreational equipment it's not about weather it's about deals, deals, deals can you still find one in the stock? and the 2020 presidential campaign is set to get in full swing, but the spotlight is medicare for all, and it's given the health care a lot of jitters. i'll tell you how to safeguard your portfolio so stick with cramer what's a target date fund? what's a hedge fund? a mutual fund? an index fund? what should i ask my investment professional? how do i know if they're even legit? edgar? who's edgar? how do i read a 10-k? what about fees? what's an etf? 529 plan?
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401(k)? how do we plan for retirement? where do i start? empower yourself with the free tools and resources on investor.gov. before you invest, investor.gov.
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. froth, froth it's finely happening, and i hate froth that's because the top of the market always comes when there is tremendous euphoria today we saw that euphoria in the two deals that went off hot. i'm talking about pinterest, the online advertising site and zoom video communications which does, you guessed it, video communications there is a lot to like here. zoom just put up triple-digit growth, the cash flow positive and even managed to turn a profit last year pinterest is a loved company that is just to be get profitable and is a nice alternative to owning, say, twitter or snap or facebook, all which at one time or another
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come under massive government scrutiny pinterest is about caring. facebook is about sharing. namely sharing your data and sharing in this case is definitely not caring. they're both well run. zoom's team used to work at web x and left after the company was bought by cisco. it provides a video first communications platform. it's a cloud native platform that drivers quality high quality video. i used the product to communicate with members of the actionalerts.com club when i do my monthly updates it's terrific, and its only real competitor is webx from cisco, which does have a very good product. pinterest is an old hand that is a compelling model of a compelling nature. i like the fact this company is still growing well and has just scratched the surface of monetization it offers quality work before it
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became public says it could make profit in 202022 so far so good, right? there is only one problem. it infects both issuers. from the moment they opened, they debuted with wildly overvalued stocks. they were too high frankly, it's hard to offer any comparables. that's how, because no others -- i couldn't find any stocks that are even remotely related in size and scale that are anywhere nearly as expensive as these two are. after pricing 36 zoom stock almost doubled when it opened going immediately to 65 before ending the day at 62 that puts the valuation of this $18 billion company at 52 times fiscal '19 sales that's crazy remember, that's not earnings, of which by the way at 52 times earnin earnings, that would be expensive. i'm talking about sales. the market thinks this company is going to grow to the moon
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it does have an amazing project. but that's dangerous you heard me dangerous. sure it can good higher. anything can go higher call me at these levels an absolute abundant time size -- >> sell, sell, sell. >> how about pinterest closing price at $24.40, worth nearly $16 billion and sells at more than 20 times last year's sales, but the sales are growing 60%. i thought this one expensive the top of the range i thought it was expensive and that original range was 15 to 17. so 24 and change doesn't cut it. even if the company is about to become profitable. interesting that atlantic initiated with an overweight before the company became public that it be priced in the teens it was using a $23 price target. given where it went out today, a dollar above the price target, does that mean should it be downgraded next week >> sell, sell, sell, sell, sell, sell, sell, sell, sell >> come on, it won't be downgraded each has ataint in its own way
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that makes it less appealing that pinterest pretty much anywhere there was also an attraction to pinterest stock being priced below its last private rally, the money it raised before it became public. the stock immediately took out those levels so there goes the bargain thesis unlime zoom, which i regard as having the potential to be challenged by cisco, pinterest is a unicorn specifically designed pour the new web generation that allows it to be priced at some premium to the others in the cohort, but not an insane premium like it has now which brings me to why i'm really worried about froth the ability of buyers to control themselves rather than just lose all objective reality and pay up so much versus quality, existing merchandise is what's happening right now. that's what happened with pinterest and zoom if you recall for months i've been saying that the only thing i thought could slay the bull after jay powell went on a rate hike vacation was an abundance
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in the supply of pricey merchandise. aided by the fact that the shareholders in deal were somehow able to shell stock rather than wait the yurkt usuat 100 days before they can unload it the lockup crushed buyers. i had hoped with cull the enthusiasm for the deals that after today is clearly not the case so we're going to bring a hole new class of unseasoned investor into this market who are gaming the ipos, and that kind of investor usually arrives after the easy money is made >> the house of pain >> second worry, i think there isn't enough money run by stock picking mutual funds with the growth orientation to buy all these new stocks in the queue. more than 50% of the new money coming into the market, and there isn't that much new money to begin with ends up in index funds. that means they can't be buyers as these stocks aren't in the indices. growth funds will have to sell some of their holdingsin order to buy some of these new
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holdings by the way, that happened all morning today. finally the issue with supply itself one of the reasons why i've liked this market is because it's known as being tight as a drum that's wall street speak for meaning there isn't a lot of excess stock flying around, not a lot of supply. we had almost no issues the first quarter courtesy of the government shutdown. well also had gigantic buybacks fuelled in part by the change in the corporate tax code they have sopd up an immense amount of supply now when i look at the queue, which includes old hands such as slack, uber, i'm concerned there will be more hot money pouring in, and that money won't be able to take any pain in the downturn if you hear about the first day stocks in pinterest and zoom, you're going to go to the gaming takes and hope to get some stock in the next deals. i'm talking about the worst kinds of holders, holder tass are your enemy 23 you are in the stock that may dominate. but only that, but so many
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stocks have rallied so much. there is no need to panic yet. today's really just day one of the overvaluation process. that's way too early to hit the road as these deals flood the market, though, you'll see across the board precious as existing stocks are liquidated by the new ones sellinging cheap to fund expensive like pinterest or zoom is a loser's game, but many will end up playing it. the bottom line, now that investors or traders or flippers are beginning to pay outrageous multiples to sales, not earnings, but sales, beware. that's a train that is headed to overvaluation hell and you'll have to jump off before it crashes. jim in new york, jim >> caller: hi, jim how you? >> jim, it's a good day. how about you? >> caller: i'm doing great i'm doing great. thanks >> good deal. >> caller: i watch "mad money" every night. >> ah, you're a gem. thank you. >> caller: you're the man. as you correctly predicted,
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money has flowed out of my stock twice prior to the latest round of ipos. on each dip down, i've added a little bit to my position. jim, going into earnings now, what's the latest scoop on twilio >> i've been telling club members here, we think twilio's got another leg down, and at that point we want the pounce on it people don't like the chart. people think it's too expensive. it's the kind of stock that is being sold to buy zoom you get the slacks, you get even uber, twilio is going to come under pressure but then you're absolutely right. we want to do something. >> buy, buy, buy buy, buy, buy! >> but not yet pinterest and zoom, they're both well run companies and hey, you know what pinterest is a loved company with compelling products, but they are incredibly overvalued so you got to be careful here. you know what? i could say ka-ching ka-ching if i got any of that stock. more deals are going to flood the market much more "mad money" ahead. does five below remain a step
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above in this market i'm eyeing the company's potential to head higher when i sit down with the floe they're in philly, by the way. and then i am challenging you to a game of am i diversified and telling you why the move that some stocks reminds me why i created the game in the first place. well, at least let's just say we're not going the play but we're going learn why we do play and all your calls rapid-fire in tonight's edition of the "lightning round." so stay with cramer. i consulted with your grandmother's doctor.
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you want to manage your own portfolio, you need conviction in the high quality companies that you believe in. so when everyone else is panicking like they were in the fourth quarter of last year, you can be opportunist innic take cramer fav five below these stores have a terrific feel to them i love going to them and more importantly, they're fuelling the kind of regional to national growth story, the potential to produce monster multi-year gains when 5 below sold hard dragged down by trade war worries, my charitable trust pounced we figured we wouldn't get a better chance to buy this one. sure enough, since then it has given us a 40% plus gain i've been recommending it on the show for years
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and hey, if you were still worried about this one at the end of march, the company reported a real good quarter, proving that five below is back, or it would be back except for it never really left and i think it's got a lot more upside over many years but do not take it from me let's check in with joel anderson, the president and ceo of five below to learn more about the quarter and what is fuelling the tremendous national growth story mr. anderson, welcome back to "mad money." good to see you. have a seat. >> thanks, jim good to see you. good to be back. >> joel, his company is located in the old cast iron building in philadelphia where my mom works. so it's still near and dear every time i go near where you are. i want to talk longer term. >> okay. >> i feel that when i see a store that works, i think about the great peter lynch at imagine jael l magellan he said if you see a store that works in your area, you have a chain. >> it's amazing. we finished the year at 750 stores we've shared with everybody that we believe there is 2500 plus in
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the united states. so we're barely over a third of the way. we entered california two years ago. in fact, just a few weeks ago, we went into iowa and nebraska so, look, it's been working on the coast, and now it's working in the middle of the country we feel there is a runway across the entire united states >> there are stores you don't want in the mall and stores that you want i sense that five below is one that the landlords want. >> well, look, we want to be in healthy, vibrant malls. >> yeah. >> as much as landlords need healthy vibrant retailers. and what's great about our customer is we bring young, vibrant, lots of footsteps and so it's a win-win for both us and the landlords >> i find when i go to your place, i can't believe that the stuff costs 5 bucks. it should be much more to me there is all sorts of things that i always think that you're taking a beating on. how you able toe source like
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this so you actually make a profit >> well, look, we got a great merchandising team in fact, a whole group of them are overseas right now and so we get as close to the factory as possible. and in fact, some of the products we have up here right now will all be in the store starting on monday you go in the stores today, it's all full of easter starting monday it really turns over, and you're going the start to see towels and string lights and just lots of great spring product here not to mention slime slime has been a great friend for almost two years now. >> incredible. >> incredible. and it's just about making it fun. that one's flarp so it's got fun noises we love slime. >> all right, so joel, you're saying you are going where you have to go you have to talk to us about china. well once joked about 550. we're still sourcing well. >> absolutely. sourcing well. this is made in india. you know, our towels come from
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india. t-shirts from honduras so we're kind of all over the world where we need to be. and certainly china is one country we source from but we're feeling really good about all the countries. >> so what's with this ten below? >> look, attend of the day, five below and what we mean to our customer is we deliver a great customer experience. >> right. >> in a treasure hunt environment that delivers value, right? >> right what 10 below is about more value. so the areas we've been testing in, the feedback from the customer is oh, my gosh, that's incredible value and so what will be consistent whether you're in five below or anything priced above that will be about value. >> you're telling me there could be a second big concept here >> well, listen, let's not put the cart before the horse. we love five below we only got 750 open we are fully focused on that we continue to innovate.
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and that's one of the areas we're innovating and testing higher price points. >> you had the benefit from the closing of toys r us what happens when you anniversary all the good will that toys r us gave you in closing? >> i was with you about a year ago. >> yes, you were >> and all the concerns was how do we anniversary the spinners from 17. >> you're so right you're so light. >> now you're asking me how am i going to enter a anniversary >> endorse you'd the whole time. you want -- i mean, you the next bed, bath & beyond what do you want me to say to you? >> what i want you to say is when our customers discover five below, they love what they see if it takes a trend to discover us like it was spinners in '17, toys in '18, they get in, they like what they see and they come back those customers that have discovered news holiday for toys are now coming in for spring product. and they've been in there for easter products. it just exposes more people to the brand. >> i know you've been wowing people what does the wow mean in philadelphia >> well, in philadelphia, it
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means an amazing headquarters. you know, we have record unemployment we've got bryce harper now so clearly you can come in our stores and get all the harper product you need and it just shows you that we're always on trend. >> jp morgan conference? >> yes. >> the consumer is not necessarily spending everywhere, but spending on value. is that something that you see that's like a big trend, what, post the great recession why are people still hung up on value? in the old days, we used to get people starting to spend more. >> look, we just completed 13 consecutive years of positive koympx unbelievable. >> and on our last earnings we guided to a 14th consecutive year value is really done well, and i think what we do special in value is we deliver it with a great customer experience. and that treasure hunt environment just you're constantly coming in to try new things, buy new things. >> so many people are worried about the tariffs.
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not a factor >> you know, i think the tariffs are pretty much calmed done on both sides i think both countries realize we need a calming and a cooling off. and we're in a good spot there >> well, you've done a great job. and you make philadelphia proud. i'm sorry to inject hometown pride. but we have a lot of companies where we're from except the parent company of that kind of thing. i want to thank joel anderson, president and ceo of five below. my charitable trust owns it's been a huge win we're not getting rid of it. "mad money" is back after the break. and reaches everywhere. this is beyond wifi. this is xfi. through the at&t network, edge-to-edge intelligence gives you the power to see every corner of your growing business. from finding out what's selling best... to managing your fleet... to collaborating remotely with your teams.
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- she outsmarts me every single time. - checkmate! you wanna play again? - anncr: prevagen. healthier brain. better life. it is time it's time for the "lightning round. cramer goes -- >> buy, buy, buy >> sell, sell, sell! buzz but. >> and then the "lightning round" is over and then the "lightning round" is over. don in florida, don? don? can you hear me? >> caller: yes >> you're on >> caller: all right >> all right >> caller: hey, mr. cramer are you there? >> you bet i am.
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hit me with a stock. >> caller: i want to know about cigna. >> so do i you need to find out its calling. we got to wait p penalty box. jesse? >> caller: boo-yah, jim. how you doing? >> couldn't be better. how you? >> caller: not bad my question is on bunko, the stock. i love it. they're all over the place >> well, i tell you, the reason why they're all over the place is they have some of the absolute best toys and i am saying, look, i'm not just saying funko is great because it's available in those stores, but i have to tell you, i think funko is going to have a great calendar it has the disney calendar sold by five below. so i say -- buy, buy, buy! >> mark in florida, mark >> caller: boo-yah, jim. >> woo, interesting last syllable accentuate boo-yah. what's going on? >> caller: that's right. buy,sell or hold marvel?
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>> i'm marshall to marvell now pascuale in illinois >> caller: hey, how are you doing? >> real strong how you? >> caller: good, good. taylor brands. it is still a good fit >> i like that but i have to tell you, no it's about five sizes too small. i don't want you to touch this one. i think -- >> sell, sell, sell! >> it's not so hot, or nsh let's go to ashkan in california. >> hey, i want to make you money. i want to bring biomed. >> i think it's a great look i think even in the sell-off -- >> buy, buy, buy >> it still went up you. can't keep a good stock down i also like ew jim in florida, jim? >> caller: jimbo, a big sunny naples, florida boo-yah to you. >> oh, i love naples
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tequila there cost me $700 a big mistake. >> i owned kraft heinz, sold it, got into the mid 30, bought it back did i make a mistake >> wow, they cut the dividend. they got very little growth. they have food that lasts even the event of thermonuclear war i'm not a buyer of kraft heinz i just did a piece on campbells, and that says something. i do like general mills had a decent quarter pepsico had the best quarter even up here -- >> buy, buy, buy >> craig in new york, craig? >> caller: alliance bernstein. >> i like that blackstone forever, but i like allian alliancebernstein. i think it's a good situation. mike in florida, mike? >> caller: hey, jim, with health care taking a dip down, how do you feel with an entry point on moderna? >> i think it makes a lot of sense. i liked him very much. i think it's a good place to
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start a position and, that ladies and gentlemen is the conclusion of the "lightning round." >> the "lightning round" is sponsored by td ameritrade i've even built my own historic trading model. and you're still not sure if you want to make the trade? exactly. sounds like a case of analysis paralysis. is there a cure? td ameritrade's trade desk. they can help gut check your strategies and answer all your toughest questions. sounds perfect. see, your stress level was here and i got you down to here, i've done my job. call for a strategy gut check with td ameritrade. ♪
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you know what? sometimes i forget why we play am i diversified i even forget why i came up with the game in the first place. then we get days like this one actually, we've had a whole week of them where i get a savage reminder when a sector throws a temper
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tantrum, you don't want it to be aimed at your entire portfolio [ crying ] we play am i diversified so when this kind of thing happens as is the case with health care, at least the pain is only focused on 20s of your holdings. >> the house of pain >> at most because that's the most you should ever invest in one single sector and also in t panic in health care leading to the abyss we've seen the last few days, it's about as vivid remind your can get that you must avoid putting all your eggs into one basket, even if it is an easter basket this health care breakdown which started at the end of march has annihilated the drug stocks, the medical stocks odd, what is your hurry? there is nothing really bad out there. and then that sense of weirdness morphed. how did they know there would be something bad out there but don't know what it is? oh, man, maybe it isn't so bad after all the selling. perhaps it's time to buy even though the damage was as horrendous as i've seen it in
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ages, how bad was it every day there were moments in the tsunami where you couldn't believe the torrent of selling, but at the same time you didn't know what was going to sprangin leak net you saw eli lilly get obliterated. then it went to devices intuitive surgical continues it didn't matter how good the quarters were, the stocks were tagged and thrown away pure farmkri a you might have bought it 40 points ago and was kind of lollygagging around. now you say i don't care if i sell at 120, 125, 130. diversification is so essential. as i always tell you, diversification is the only free lunch in this business if you bought all health care in march, you'd be done for 2019. that's right you'd be toast [ gunshot but being diversified also allows you to play offense
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people don't think enough about this for example, i don't know ultimately where unite id health stock is going the end up. if you had some extra cash or your portfolio didn't have as much health care exposure, you should have bought some unh. the ceo used the conference call to attack the politicians who are pushing for single payer when the stock went to as low as 208. that's 80 points down from its high or at least you buy some and then you get a better bargain later? you know exactly what i mean it was time to at least buy some sure, there may be some kind of health care reform, if boyrp bernie w bernie sanders wins the white house? president obama couldn't even attach a public option to the affordable care act, a cheap government sponsored alternative to the plan's exchanges, and he had a super majority in the senate now we're supposed to believe president sanders would have the votes to wipe out the private health insurance industry?
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will you give me a break still, if you had too much health care exposure, thinking of what i just said, you were most likely paralyzed and you were the ones doing the selling when unh dropped to the 200s so what do we do now i think that any big move up will continue to be met with a barrage of selling by people who just don't want to get hit again. >> sell, sell, sell, sell, sell, sell >> the group tried to rally at the opening today and sellers came in like heat-seeking missiles and the up move was immediately repealed those who are deep into this group are once again getting crushed and their fears are causing them to make bad decision but if you were diversified, you wouldn't have had to scramble or live in fear because you'd only have so much health care exposure no more than 20% at the most then you can look at the sell-off as something else entirely you can look at it as a buying opportunity. >> house of pleasure >> so please play am i diversified with your portfolio. if the market trends shift, if we get that giant sea change, it's the difference between being swept without with the tide or being ready to fish for
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the big ones if you are diversified, you'll be the angler king and if you aren't, between the sharks and the seawater, i'll tell you what's going to happen. you're going down. stick with cramer.
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♪ you know why i highlighted the bank stocks tonight? because so many people keep telling me jim, there is no value in this market it's all going to roll over. you know what? the bank stocks are the antidote to the ipos that are hot you're talking about companies that sell at nine, ten, 11 times earnings that are growing remarkably without a lot of bad loans and making a lot of money if you're depositors there is a place where there is value. where there is not value, some of the ipos. if you have some of these, sell half on monday you hear me? sell half on month 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 am jim cramer, and i will see you monday
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>> welcome to the shark tank, where entrepreneurs seeking an investment will face these sharks. if they hear a great idea, they'll invest their own money or fight each other for a deal. this is "shark tank." ♪ who believes she has a new and improved version of a ubiquitous product. ♪ hi, sharks. my name is ivori tennelle, from irvine, california,

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