fine, overshot to the down side, i have to try to play for some reversion to the mean. and then comes where the real buyers step in and say, you know, there's fundamental value or there's relative value or the bond market is going to ease enough to let equities recover further. we have to see. >> we are out of time. thank you for watching that does it for "closing bell." >> have a great evening. "fast money" begins right now. ♪ live from the nasdaq market site overlooking new york city's times square this is "fast money" i'm melissa lee. your traders on the desk are pete najarian, tim seymour and guy adami. we begin with an earnings alert on uber, that stock hitting the skids after reporting its biggest loss ever, but uber is reclaiming some of the losses, down just under 5% now the company's conference call is kicking off at this moment we have full-team coverage listening to the call. "fast money" friend gene munster is manning the red phone

de dedra bosa, what did we miss >> they looked particularly ugly next to lyft's yesterday its quarterly loss was its biggest ever, now a large part of that was cost related to its ipo. but uber's also facing ride-sharing competition in markets abroad like latin america and india. competition is even stiffer in food delivery. we saw that play out in this earnings its either business, ceo telling us that it is likely they will keep losing money here for years as, quote, there's a lot of capital chasing a lot of growth. as for the question of overall profitability, this is what really matters most to the street, while lyft was pretty direct on their path last night, saying that last year was, in fact, peak losses for them, uber's ces on was less clear telling us, quote, we think that 2019 will be our peak investment year, and we think that 2020, 2021, you'll see losses come down i think our break even is something that we can push the

company to break even if we really wanted to frankly, he added, no doubt in my mind that the business will eventually be a break even and profitable business. the question of course is when guys, digging into the idea that the price wars are easing in ride-sharing, this has been a theme this year, something that both uber and lyft have been suggesting, now, that may be true in the u.s. which is why you may have seen lyft post really good results, but look at uber's revenue in latin america, an extremely important market to the company and ride-sharing at large. revenue actually fell by 24% the story here is that chinese ride-sharing firm dd has been moving in aggressively now, in the u.s. and canada i should note, which makes up a bigger proportion of the total, but where there may be less opportunity, ride-sharing grew 19%. that is still far below lyft's number asked about the shortfall in revenue and gross bookings, he said the developing markets develop and the law of large numbers at some point catch up with you melissa, back to you. >> deidre, thank you

we will check back in with you in a little bit. but in the meantime here, i mean if that is a path of probability, it is like saying go that way and keep walking i mean it is hardly a path, guy. >> i think i'm going to play for the giants tonight, but it is not going to happen. he thinks a lot of things over the next three years, none of which might come to fruition as the ceo of the company i think you have to have a little more certainty in something. with that said, you know, i'm glad deidre brought up latin america because that's their second biggest region, down 24% year over year that's a big deal. now, granted, u.s. and canada is four times the size, but when you have those kinds of rate -- when you have that kind of loss or decline, that's problematic on top of that, the fact that they don't seem to have a path to profitability -- and last night we heard lyft may have one -- makes you sort of say, you know what, lyft is a better quarter last night than we probably thought at the time it goes to show that uber probably continues to be a no touch. >> what i think is really interesting is it is a tale of two days here and these are two

different companies. despite the fact every lyft you get in that guy is probably driving for uber and every uber that guy is probably driving for lyft. >> are you guy adami >> the point is if you believe in this whole rideshare business and you think it will continue to grow for years and years and you believe in awe tutonomy, wew it is easier to model for a whole host of reasons. these two quarters tell you that i would rather take a shot at lif lyft if you think it is a technology you want to be exposed to for a long time the losses at both companies are staggering, and this will be a story we will be talking about there will be tons of volatility quarter to quarter about losses that we see for years to come. >> deidre was talking about investment, and it is not just investment in the moon shot businesses and food delivery but they're investing in the autonomy part. lyft is doing joint ventures. >> they have to. >> it seems to be a better,

safer way of approaching it. >> i think they're playing defense. you are talking about the pure play versus the other play and where -- look, in north america you have robo taxis. gm is getting into the space you have a lot of significant players. yes, you need to have international. by the way, i would not discount the chinese on this. i think they're a real competitive. think where we are day over day, both in terms of what was said by lyft and by uber and what the market has done. uber was up 8.5% today you are up 3% over the last couple of days, having digested earnings that could have been problematic. i don't know where we will trade tomorrow, but judging by the market interpreting the news and call to this point, it is not a huge surprise uber is pulling back yes, the profitability needed to be different yes, industry trends lyft talked about yesterday you didn't hear uber talking about and they sound like they're playing defense. >> what does it tell you, pete >> it tells me lyft is winning right now. >> in the u.s. >> lyft is winning in the u.s. you look at the revenue growth they show even if you take out latin america.

we look at lyft yesterday and the road to profitability and it seems to be more clear for lyft than uber. it tells me what we were thinking last night, hey, lyft is probably taking bits and pieces away from uber. granted, uber was much larger, but they're taking a bit of that market share away. because of that they see the path to where they can make money at some point in time. i'm not as sure as deidre was in terms of talking about uber and the profitability. when when i don't know when do we actually see that i don't know it was very clear i thought it was actually pretty foggy in terms of, oh, we will make money, but it is basically what they said we're going to make money some day. when that's the issue i think lyft showed us, hey, we're not that far away from being a profitable company. >> to be fair, a company that recently went public that supposedly is a high-growth company, you would forgive them for not having a path to profitability. why is this case different >> and how different is lyft -- >> because their growth is not as strong?

>> and how long did lyft ipo -- i mean these are similar companies. i know lyft came first, but still, mel, why does lyft have a better vision going forward right now than uber? that to me is puzzling. >> i think the way public companies and private companies are coming to market today, i think the bar should be profitability by the time they come to market so private companies are paid to have growth and to be basically investing in the future, but the extended duration of how these private companies are incubating in the private markets, having raised record amounts of capital, by the time you come to the public markets i think you need to be coming with a public model that is profitability, because the private markets don't care >> let's get more reaction to uber's quarter and bring in loup ventures founder and "fast money" friend gene munster gene, we should note uber has turned around in the after market it is down only 2% compared to what it was initially. you know, the staggering more than $5 billion loss really stung investors, but what do you think is pulling the stock higher at this point >> well, i'm surprised that the

stock is not down materially on this i don't have a good answer of what is pulling it higher. i want to jump back on the call. ultimately, what we have here is there's a yield question specifically about international. this is an international growth story. when you invest internationally you give on the revenue per rider because they tend to skew a little bit lower demographics in terms of income, but you gain on adding riders in this recent quarter, the revenue per rider went from basically 33 to $32 sequin she'll recall that lyft went from 38 to 40 but the rider growth sequin she'll was the same percent between lyft and uber, up 6% you can say the law of large numbers, it is a 98 million versus a 22 million, but it is not a law of large numbers gain we are in right now. it is still an emerging market we are talking about the potential of a billion and a half people globally that could do some form of ride-sharing 98 million is a small number so i don't have a good answer of

any sort of rebound in the stock here beyond this notion that investors who believe in the story are willing to continue to wait this out. it is in essentially strong hands. >> it sounds like you think that in the emerging markets where uber is banking on for growth in terms of rideshare, gene, you think the competition is much more stiff than we had anticipated? >> yes, that's effectively what has happened i mean the mexico example is representative, i think, of what potentially they're facing globally and in the u.s., we are here with lyft and uber and you would think that uber kind of has free rein outside of the u.s. to gain market share hand over fist, and that is not the case and so you have two companies operating in the same general markets with very different strategies here. i would say that uber is the more aggressive company and in growth mode international and

all of these other bets with either and freight, but ultimately it begs the question, when you have this type of investment window, a multi year investment window, is it best to be in more of aggressive mode or focus mode it seems that my read on this as far as looking at the last two nights here, it seems the focus mode is the better play. >> so lyft is the better play at this point when you compare apples to apples, gene, in the united states, as pete was wondering if we should believe that lyft is slowly taking away pieces of uber's business here is that your conclusion? >> yeah, undoubtedly i mean the numbers are quite staggering, the difference of what is happening in the u.s so lyft growing at 70%, the growth of uber in the u.s. -- again, it is all u.s. -- is probably somewhere in the high single digits to 10% that gap has widened in the last quarter, and so i think that if you just look at the u.s. as the best path to profitability,

recall that lyft is having the advantage of raising prices in the u.s. that's not what is going on with uber's overall business. i think that there is a strong case to be made that, you know, this market share loss is symptomatic of what is going to happen in the future in the future for uber. >> gene, great to see you. i'll let you get back to the conference call and we'll check in with you later on. >> thank you. >> would you rather? >> would you rather, lyft or uber >> yes, straightforward. >> straight, bang, right out of the gates. the answer has to be lyft. i'm not saying you have to destroy uber here, i don't know where uber is going. but in terms of both over the 24-hour period, lyft gives you the indication they might be on the right trajectory even i know that it seems to be a bit of a bad formula for uber. >> i'll take uber. why not? >> fake it. >> i look day over day, if you think about the market moves, right now uber on a two day

where they both reported in terrible market conditions, in good market conditions, uber out performed by 4% including these numbers. so the fundamental stories at their core are the exact same. it is the same industry, it is just one is a core play, one is not. a lot of people have given a lot of credit to uber having all of the other businesses i don't think we should forget about them. >> coming up, more on today's mighty market comeback, stocks staging another monster rally. is it the all clear for your money? we're digging into that. later, a biotech beat down ar will tell you what sent shes of amarin tumbling in after hours. much more "fast money" coming your way after this quick break. so ...how are you feeling?

on a scale of one to five? one to five? it's more like five million. there's everything from happy to extremely happy. there's also angry. i'm really angry clive! actually, really angry. thank you. but what if your business could understand what your customers are feeling... and then do something about it. turn problems into opportunities. thanks drone. customers into fanatics change the whole experience. alright who wants to go again? i do! i do! i have a really good feeling about this.

from the 5am wakers, to the 6am sleepers. everyone uses their phone differently and in different places. that's why xfinity mobile created a wireless network that auto connects you to millions of secure wifi hot spots. and the best lte everywhere else. xfinity mobile is a different kind of wireless network designed to save you money. save up to $400 a year on your wireless bill. plus get $250 back when you buy an eligible phone. click, call or visit a store today.

welcome back to "fast money" it was another wild day on wall street stocks surging with the major averages reclaiming most of their losses from monday's market meltdown. the s&p and nasdaq are positive for the week if you got scared off earlier this week, is it the all clear to get back in pete, what do you say? >> i don't know it is the all clear because frankly i look at it as algorithm moves to the upside i know volatility came out of the market from 25 back into the 17s, but i don't see where we're not one tweet away from the volatility going back to 24 or

25, and some of the concerns about the trade war or, pete najarian, the commentary from anybody involved with the white house could push the volatility higher fast. >> what does it mean stay on the sidelines? >> i think you have to be very selective is what it means for me i made a couple of adds over the last couple of days but not nearly what i was making weeks ago for sure. >> listen, i think you want to keep an eye on the ten-year treasury yield i know there was a lot of noise about it trading 16 where it was 2% a week and a half ago, now it is at 1.7. the equity market caught a bit here and it feels better the other thing is the dix is stuck here, too. i think those two things where they are are more indicative of where equities go right now. i think if there's another low in yields i think equity will go lower because i don't think you will get the positive headline you are hoping for it won't be substantive when it comes down they're going to try to jaw bone some stuff the question is what do you do there are some good opportunities tonight, and there are things that were reported

and you have opportunities to get things that filled in earnings gaps over the last few weeks. they had good reports and you want to get back into them one was disney and another was google and nails like that make sense. >> if you think about where we were on monday and clearly the sentiment was ridiculous on monday we had a special on cnbc and if you asked was there universal bearishness. if you look at the readings we are at levels mid to late december on terms of bulls we have had a massive change in sentiment. if you look at what performed since monday and how it performed, banks continue to be very much under performing small caps, very much under f r performing there's no reason the trends don't change what are people doing when they wake up in the morning as dan said, they're checking the ten-year, checking the yuan and probably checking oil. >> if you listen to the shows, not only am i a participant but

a viewer as well. >> right now >> right now i'm speaking so i'm a participant. >> i'm trying to understand what you're saying. >> if you listen, i'll make my point. >> keep talking. >> pete said something last night that stuck with me you will see volatility of the volatility index it is interesting and he is right. you will see the vix now go between 16 and probably 24 over the next month, month and a half what we said last night was, you asked me do you feel better about the market today i said yes, you had that flush, the market came back, set up today perfectly. now if you are looking for an exit point, just the opposite of what we saw the other day. you are looking for a huge move to the upside early followed by a slow cratering, and that's going to probably be a top i think you are going to see that pattern for the foreseeable future. >> all right if you think this rally is for real, our next guest has three ways you might want to play it let's go off the charts with oppenheimer head of technical analysis, ari walls. what are you looking at? >> we had a nice snap back today, but in general when market volatility hits, and thinking about a buy list and what not, our focus shifts to

our highest conviction ideas that includes technology i think the points about the tech sector, as much as it ranks high in our momentum work, you can't understate enough that no other sector has shown the type of broad-base participation across both capitalizations and industry so let's chart three tech stocks from three different industries, all setting up tactically well in our work. first one, paypal. top down tail winds from a strong mobile payments industry. check out the i pay etf. here is what you have to know about the chart. right here is the 200-day moving, note it is rising. pull back into the 200-day we define that as a near-term opportunity to buy long-term strength no damage to the trend how we see it next chart, semi conductors, texas instruments.

texas is really integral to what was a 19-year breakout in the index dating back to the year 2000 now, here is texas on a one-year chart, also getting through one year resistance. breakout in the chart, often former resistance becomes support. i think it is check back to that support level. i think building a base and set to start to turn higher. texas semi setting up well then finally, software now, sap, a bit of a deeper pullback here but also into its rising 200-day there's a gap in the chart there as well. when we talk about themes, no -- how we see it, no stronger theme in the market than software. probably rattle off 50 software charts that are going from the bottom left to the upper right them themeattically we believe you can buy the pull backs in a name like sap. >> ari, why don't you come over

and join us on the desk. >> right. >> jonah will bring the chair in. >> it is interesting you said that as if you were considering not inviting him over you know what? what don't you come over. >> you know, every moments there's a choice to be made. i could have easily not invited ari, but i have questions for ari. >> it is open. it is fluid. >> we are talking about this market rally, s&p and nasdaq up for the week what do you make of the big turnaround does it indicate strength in the market or how do you view this >> i see this volatility that we saw more recently and the volatility that we saw in may as well as really a shake out you know, kind of how we're framing it, we have been in -- we are at the tail end of a bear market rather than the start of one. if you look, for instance, at the msci all country world index, i think as a proxy for risk, risk peaked in january of 2018, bottomed in december of 2018 that was the bear market you know, since -- the strength we have seen this year, this has reversed some down trends. i think we're in the process of

basing, but as we talk about these non-confirmations and small caps, transports, overseas equities, i think it is more backward looking i see those indexes in a stronger position now than they were last year when they were breaking down from distributor tops i think they're basing now you still have to see the confirmation, that's the all-clear, but i think we're getting there. >> ari, to be bullish in software or tech, for example, or semi conductors, you have to believe there's some u.s./china deal on the horizon or no? >> i think that's probably more correlated to the semi trade semi conductor's really been trading on/off, in line and coinciding with the trade deal headlines. i think software has really been the all-weather leadership, you know, whether rates are going up or down. software in reason years hcent s been able to withstand the oscillation. >> you are right, it is holding up across a number of different asset classes, but how about

commodities? how about the breakdown in resource names but definitely oil? because these are charts that are breaking down and they're leading indicators in some sense in terms of where the global economy is. >> you're absolutely right the equal weighted commodity index falling below multi-year support. if you look back historically, you want to see that stabilize i do think we are at a point where commodities are in a longer term range, much like how they straytraded in the 1950s a '90s >> as they do. >> that's been good for the stock market less so for the stocks tied to the commodities. that's why you have to stay clear of energy. >> s&p 500 has been an outperforming on a relative basis almost to every other equity index in the world. you talked about the january 2018 high. since then the s&p 500 has made three new incremental highs, one last year in october, we had one earlier this year and another

one in july. they've been really slight, like 2% of the prior one. what does that tell you? to me it tells me the only time it makes sense to buy stocks is when we get one of the pullbacks but we're getting sharp pullbacks over the last 19 months. is there enough to break it out? i don't see it was the catalyst is. >> right well, the strength in the s&p, it is really all a play on tech. u.s. over world, it is -- because s&p has more tech. big over small, it is because s&p has more tech. growth over value, because growth has more tech to get the definitive breakout you need to see participation broaden. you need to see some of the non-confirmation, banks, transports get in the action we are not there yet we are stuck in the in between where we haven't gotten the confirmation yet but we're setting up to do so. i think the markets are basing, not breaking down. >> ari, thank you. ari wald of oppenheimer. pete, do you like ari's picks? >> one thing he mentioned when

we talk about the different commodities is gold. that's been on an absolutely unbelievable run to the upside, mel, which tells me people are running for a bit of cover that's why i think we're seeing gold and silver moving to the upside oil, it hit that 51 level and bounced off it again, the and it has happened multiple times now. so i can see there's a little bit of -- he almost is sort of saying, hey, look, there's a little bullish enough but enough bearishness he is not fully committed that the market is ready to scream to the upside. all right. up next, all over uber that stock in lows after hours we will bring you the big headlines plus a double dose of movers on our radar. we will tell you what is driving the big action in amarin and symantec much more "fast money" right after this

do you have concerns about mild memory loss related to aging? prevagen is the number one pharmacist-recommended memory support brand. you can find it in the vitamin aisle in stores everywhere. prevagen. healthier brain. better life.

people know aflac. aflac! but not when to use it. do i use aflac when the kids get slime in the plumbing? no. that's home owner's insurance. slime in my motorcycle. no. that's motorcycle insurance. slime everywhere? ughhh nooo, there's no insurance for that. do they help when i have bills health insurance doesn't cover? yeah! that's it! aflac! gross guys. get help with expenses health insurance doesn't cover. get to know us at aflac.com

♪ >> welcome back to "fast money". shares of via tech company amarin falling hard in the after hours session. let's get straight to meg tyrrell for details. >> they have been on a tear since they reported their hard drug which is derived from fish oil, shown to reduce the risk of heart attack and other cardiovascular events. the neck stxt step was to have approval, which means the company could market around it and give a revenue boost from that amarin said this afternoon the fda notified it this afternoon it will hold an advisory meeting in november to discuss the data. because of that the label expansion decision likely will be pushed back from september to december that wasn't the only big tech this afternoon sarepta was dropped. the event was posted on an

online fda database. it took a few hours but the company clarified it posted what was an error the safety issue result quickly and an oversight board recommended the trial continue the stock didn't recover through the afternoon, melissa back to you. >> the move for amarin, it is amazing three months cost the stock 23%. >> there are some questions about whether people will wonder if the fda is going to look more closely at the data or for some reason it has questions about it when the fda has an advisory committee meeting, it often means it wants more information from outside advisors to help it make a decision it it wi it will have some people scratching their heads. >> meg tirrell on the two biotech movers guy. >> it is interesting you were holding your collective breath was sarepta was halted. i have to dig into what happened here obviously there was a glitch

the concern if you are a technician is the major double tops around 153. the best name out there in my opinion continues to be amgen. at 13 times forward earnings, trading around 185 with their pipeline and the drugs they have in market now, it seems to me like a logical place they don't get the credit they should probably get and it should make a run towards its all-time high as we last saw around 205 or so. >> a similar take with a different way to look at it. amgen is being criticized because acb and hiv are businesses that seem capped and the pipeline is not sexy but they don't have these types of issues popping up over and over again and have a tremendous balance sheet. if you look at ibb, that trend is down on the chart it is not a trend i want to buy. >> what is your top pick >> you guys are right on amgen when you look at the fundamentals it is basically a big cap. it looks more like a pharmaceutical to me i own merck and i have owned pfizer for a long period of

time if i were to jump into any of the biotechs those two i like, and they have great pipelines still. we are watching shares of symantec on the move in after hours. let's get to josh lipton in san francisco with the story behind this josh. >> reporter: so, melissa, broadcom making it official they're going to acquire the security business of symantec for 10.7 billions in cash. there's a conference call going on, hock tan saying it has strengthened the company's position across hardware and software, it was the logical next step for broadcom following the acquisitions it says there will be meaningful cross selling opportunities. he says that this is going to drive more than 2 billion of sustainable incremental revenues and generate more than 1 billion, hock tan saying, of run rate cost energies within 12 months. interesting, i checked in with bernstein, stacey, who covers broadcom he says you can make the case

why it makes strategic sense you are adding cybersecurity software to your portfolio but he notes questions to be considered, he notes symantec has operating margins in the high 40s versus low teens for the enterprise segment and the enterprise segment is facing competition from companies like crowdstrike and prove point. back to you. >> thanks, josh. josh lipton in san francisco pete, do you like this deal for broadcom >> i do. i think it makes sense and they're doing it at the right time i am looking at symantec and the option activity we had in august they needed to move fast they got it. those were $0.60 and now all of a sudden they're worth over a dollar and change. i love what we're seeing right now. i think in the derivatives market i have never seen it hotter in terms of indicating where stocks are moving. it has been absolutely on fire june, july and august. >> yes, so this seems like a company that's trying to map out the next 20 years of its existence. you know, they tried to buy qualcomm a couple of years ago, that got dinged.

the ca acquisition last year, you know, think what was interesting, what josh said on the consumer business who is hurting them some of the newer companies that are cloud based. here is a semi conductor company trying to get into enterprise software and doing it in a big way, $30 billion worth of deals in a very short period of time after they weren't able to buy something that they wanted to buy a couple of years ago. so to me the jury is -- >> is that desperate >> no, what i'm saying is there's a reason it trades at a discount right now they've taken on a lot of debt to do this and the transformation will have to play itself over the next couple of years to get this thing back to kind of a multiple that some of its peers have >> so it is a tbd in your vision >> i do think so then you have to see about all of this integration. >> all right we are keeping an eye on uber in the after hours session. now the stock is down by more than 4% right now. the conference call is under way. you will hear what the ceo just had to say about the quarter, plus release "the insider"s. there's something major happening in the red hot ipo r urspl oue could eltrbl foyo money we will explain with "fast

money" returns it never questions the tasks at hand. but this year, there's a more thrilling path to follow. (father) kids... ...change of plans! (vo) defy the laws of human nature... ...at the summer of audi sales event get exceptional offers now!

bell cowelcome back to "fas money" kraft heinz getting crushed today, the stock plummeting nearly 9%. the company posting sales

decline in first half of the year it signalled more write downs to come kraft heinz touching its lowest level since it was formed in a movement orchestrated by warren buff evident this comes after it wrote down $15 million on the kraft and oscar mayer brands in its portfolio. what is going on here? >> when it was announced it looks like a genius deal of financial engineering where the parties could come together, squeeze all of the extra fat out of the machine for a long time, they had better margins than their peers they were up 600 basis points on margins to their peers the fact is that their core brands are losing at consumer appeal in general. >> they're not relevant anymore. >> they're not relevant. private label brands are eating their lunch -- pun intended -- and you have a dynamic where the company has so much financial leverage they can't get out of their own way right here that's if you assume everything as reported. frankly, there's a lot of things that people just don't know behind the scenes. >> they need like a beyond hot

dog or something. >> why >> impossible dog. >> people don't want to eat what they have to sell. >> you're right. i don't want to say it is that sort of -- dan has mentioned death spirals on this show before. >> you think this could be a death spiral >> i'm not -- to your point -- >> you brought it up. >> well, because it trades that way. i mean they have every lifeline thrown to them and it continues to trade to the down side. i mean at a certain point you say, you know what, maybe it is circling the drain. >> the drain. >> i was going to say something else but he beat me to the punch. >> when you think of the stock though, it would be devastating. think who put the deal together, the sharpest minds in the investment world those were the most trust behind them, brought everybody into this deal, and this deal has been a disaster. >> it makes you wonder how many other bombs there are waiting out there when you think that berkshire hathaway owns 26% of the thing and it has imploded. it has a $33 billion market value and $31 billion in debt. the genius minds who loaded these things up, you know, this is bull market stuff

when we start seeing some of this stuff unwind, there might be more of this. >> the activity, does it indicate circling-the-drain kind of -- >> i don't know if it is circling the drain. >> i don't know if it is written yet. >> that's an option i would like to see. >> but there's all kind of activities in a variety of the names. this name is hitting a lot. >> all right. >> we'll see let's switch gears here. it has been a hot year for ipos and that means a flood of lockups are about to expire. could a russian insider selling lead to a beat leg lower leslie picker is here onset with the low down on the lockdowns. >> thank you so much >> welcome. >> if ipos had levies they would come in the form of lockups. their purpose is to prevent the flood of sales by insiders after an ipo but six months later the flood gates open when the lockup expires and anyone is allowed to sell this excess supply can pressure a new company's stock price. for example, on twitter's lock y up expiration day speak

occurred lyft moved up the lockup expiration date to about a month to august 19th just the news alone that lyft's lockup period was scheduled to he end sooner than expected reversed some of the earlier gains the company got on better-than-expected earnings. analysts and investors are waking up to the idea that the hot ipo market of the first half of the year could actually be a headwind for the market in the second half. companies raised more than $38 billi $38 billion through ipos they floated on average about 15% of their companies in this ipo process, and the remaining 85% represents upwards of $215 billion worth of stock that could come available for sale as cnbc analysis found. this includes names like lyft, levis, pen tris, zoom, uber and chewy. not everyone will sell when their lockups expire, not even

close, but more supply of stock in the recent ipo market could spook investors with the lockup expirations, especially if the market turns to become more risk off, more volatile some of the stuff we saw earlier this week, melissa. >> ipos tend to come in waves because market conditions are good, the gates open so to speak and a flood of ipos hit. so we must have been in this sort of situation before, no >> yes obviously in 2000, which is the -- the marker that we're always looking at with any kind of superlative in today's market that's what we saw so soon after that dot-com boom where we saw a huge flood of activity with ipos, we know how that story ends, with market correcting also, the window for ipos is open right now the good thing about windows or the bad thing about windows is they can close as well one thing that closes an ipo window faster than anything else is the after market performance of recent ipos going poorly. if you start to see some of the names we just mentioned really turning down, it could begat

problems for the remaining ipos in the pipeline because investors who are losing money on the previous ipos won't be willing to pay out for the future ones. >> is it a problem for the broader markets? >> no, listen, we had, what, probably less than $200 billion of ipos, most in the form of uber about three months ago. i think it is important to remember this stuff you can track. you can look and see where it is going to happen here, but also remember, a good example, friend of the show, rick heisman from first mark. >> pintrest investor. >> you know where he owns it like a dollar. the stock is at 33, and that's what vcs do, they take a ten-year time horizon. this is the ideal scenario if you see headlines that long-time private vc investor is selling a good chuck of his steak, it is not exactly bearish. >> talk about something else, there's capitalists everywhere this is what happens as a result of a bull market, money is free. ipos look attractive. >> there's a play where hedge funds will come in two weeks

before the lockup expiration and short it going into this it is not a perfect arbitrage scenario but studies have shown that companies on average decline about 3% on the day their lockup expires. >> good to see you, leslie options traders are betting on a bigger chip rip ahead we will break down the apgs. look at uber on the move we will bring you the latest headlines from that nfencoerce call much more "fast money" right after this - at southern new hampshire university,

we believe in education built for all people. - [woman] snhu was the best experience of my life. - [man] without snhu, i wouldn't be the leader i am today. - [woman] i graduated high school 19 years ago. i still finished. - [man] in the military, you feel that sense of accomplishment. that's what snhu is. - you will march from this arena and say to the world.. i did it. - [woman] you did it. i love you. - [graduate] i love you too.

welcome back to "fast money" amd having its best day since january after google and twitter revealed they were using the company's new chip processor that stock is now up 83% this year and options traders are betting on more wild swings ahead. dan is at the plasma to break it down dan. >> mel, it was a massive day, up 15% on the day, this after the stock had a pretty sharp decline after recent highs here. but options volume is about 2.5 times that of average daily volume call time was about two times that of puts interestingly, the largest churn of the day was a purchase of puts but against stock so buying put, buying stock, out in november it was the november '34 puts. when i look at this, about 5,000

traded for 4.20, it is a play by a trader on future volatility between now and november expiration when you go and you look at the charts here, you say to yourself, i can see why someone might expect this thing to continue to move this is the one-year chart obviously the thing on a couple of occasions this year has found some resistance from a technical standpoint right around 35, and there's been some kind of sharp drops here but those drops get magnified when you look at the five-year chart. look at this thing obviously we know what happened about a year and a half ago, it just went parabolic here we had the crazy peak to trough declines here. to me when you think this thing now is back up towards that 35 resistance level, playing for a move one way or the other or playing for a move, it doesn't matter picking a direction makes some sense i tell you what, here is the last reason why. kbied implied volatility, the price of options in amd, while it is 50%, which is large for

any one stock implying multiple percentage point moves on a day, you look at this and you can see it is at the low end of the one-year range so this one trader in this trade is looking out and saying, you know what, i think option prices are relatively cheap in amd and i think it is going to make a big move one way or another and it is one way to play it. >> thanks for that be sure to catch our full show tomorrow at 5:30 p.m. eastern time up next, more on uber's rough ride the company posting its biggest quarterly loss ever. we heard from uber's ceo on the call we will tell you what he said. look at the cramer cam jim is telling you where to put llur cash after today's big ray. we are live from times square. much more "fast" still ahead "options action" is sponsored by thinkorswim by td ameritrade ♪♪

♪♪ with sofi, get your credit cards right- by consolidating your credit card debt into one monthly payment. and get your interest rate right. so you can save big. get a no-fee personal loan up to $100k.

here, hello! starts with -hi!mple... how can i help? a data plan for everyone. everyone? everyone. let's send to everyone! [ camera clicking ] wifi up there? -ahhh. sure, why not? how'd he get out?! a camera might figure it out. that was easy! glad i could help. at xfinity, we're here to make life simple. easy. awesome. so come ask, shop, discover at your xfinity store today.

welcome back to "fast money" shares ofuber having a rough ride in after sessions it down 6% let's get back to deidre bosa on the call deidre. >> reporter: hey, melissa. i thought it was interesting an analyst had a question on soft bank's vision, two, whether it could be used to capitalize uber's competitors have a listen. >> as far as soft bank and the vision fund 2.0 were as

awe-inspired as everyone else as far as soft bank's ability to raise capital and put the capital to work. we are sensitive to industry dynamics, so when we talk to soft bank we talk about things that are relevant to us and we leave the investment up to them. >> reporter: now, here is why that is so important soft bank and mazatzan rule the ride-sharing landscape and are a big reason uber is facing competitive pressures around the world. it is becoming a bigger and bigger player in food delivery where he admitted it would take years for uber eats to become profitable soft bank will have a second vision fund to die employ to possibly uber's competitors that could make competition tougher than it is more broadly, he has been vague on the call. analysts asked about how uber balances driving top-line bookings and bottom line he responded it is more of an art than a science again, it is stark contrast from

what we heard from lyft yesterday which is more certainty they're getting to profitability sooner than thought. he was also asked multiple times about competition on take rates. he said he didn't want to get into particulars and at one point he said that car ownership is uber's top competitor against that measure they're faring well. when asked about rising competition in london, this is a market in which they had a lot of issues, he said they're not seeing anything there they're not seeing in 20 other cities around the world guys, i'm not sure if it is meant to be encouraging because london has been one of its strongest and most important markets. back to you. >> deidre, thank you deidre bosa. let's get a final check in with loup ventures founder gene munster. gene, it sound like he is ducking a lot in terms of answering the questions. >> yes, i think part of it is the reality of the business that they're in we're in investment mode as we talked about this is something that will take several years. there are so many moving parts i mean imagine trying to scale

this business globally and effectively seven different countries. it is quite remarkable the number of moving parts that's probably why some of the sidestepping of the questions, i would agree with that response largely a lot of the questions have been side stepped it has been somewhat of a mixed bag. i think at the core you can get caught up in the details here. big picture, still lots of moving parts to this business, number one number two is that when you think about these high multiple stocks and these growth stocks, they need to really comfortably exceed estimates right out of the gate this is the second quarter as a public company they missed companies, the top line by 3%, the most important metric for a growth story. it is not all uber's fault here. there is some analysts i'm sure at fault too to try to get the correct estimates, but usually we don't see that. i think another piece to this about the complexity of the business, it is not just about competitors like soft bank and

dd globally, but there's also changing die naticynamics in th and this impacts lyft as well. it came up on both calls, the lyft and uber call tonight, is this idea about what is going to happen with the treatment of these independent contractors as drivers. one thing that the company said, uber said on this call is that they would like them to remain independent but ultimately give them some of the benefits of employees. when i hear that, in the back of my mind i think that is a potential expense and that might take a year to figure out. but, again, that's just the reality of changing a way of mobility it is many moving parts. >> gene, why don't you write the quarter for us. >> doesn't sound good, i have to tell you i think the grade will be poor. >> what is the rating? we are doing a rating. >> i'm going to give it a three. i kind of had to -- yeah, a

three. at the end of the day, it is this simple. it is not a good rating. it was not a good quarter. as you know, you would probably lose your right to drive as an uber driver if you had threes consistently. >> right. >> it is not the kind of quarter the company wants to have. >> gene, great to see you. thanks for your analysis. >> thank you. >> gene munster of loup ventures that is gene's grade on the erarter, not gene's personal ub rating which i'm sure is a five, if there's any question out there. up next, "final trades." (vo) that's why verizon lets everyone mix and match different unlimited plans. sebastian's the gamer. sebastian. this is my office. (vo) and now with more plans, everyone gets what they need without paying for things they don't. new plans start at just $35. the plan is so reasonable, they could stay on for the rest of their lives. aww, did you get that on camera? thanks, dad! (vo) the network more people rely on gives you more.

♪ time for the final trade pete. >> i got to tell you, huge buying today in snap looking for the upside i'm looking for the upside i bought these calls >> tim. >> interest rates have come down we know what it means for mortgages and re-fis we know it has been very good for the home improvement players. look at the home depot chart if you listened to ari on the call, this is one where you found the support, holding that support. home depot. >> he has already taken off his -- >> what's going on >> 30 seconds. >> i'm just knocking out mel's uber rating. he's 4.94. >> i'm going to work hard to improve that. >> she is wearing her lyft colors today. >> i think you buy lyft into this. >> lyft, not uber. >> lyft since the august 19th

lockup, goes higher. >> bang. >> keith. >> is the highest five i have a 4.9 had. >> wow. >> that's like from the '72 olympics, do you remember that >> nadia komenich. >> i like what ari 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 some people want to make friends, i'm trying to make you some money my job is not to entertain, but to educate call me at 1-800-743-cnbc or tweet me at jim cramer now that the dust has settled, dow gaining