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tv   Mad Money  CNBC  November 5, 2019 6:00pm-7:00pm EST

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left. >> chairmanwoman. >> hitting on it a fau times facebook all caps process i like it here. >> couldn't help biese bought shake shack. you aren't in when everyone else is running. >> "mad money" with jim cramer starts right now "mad money" with jim cramer starts right now my mission is simple -- to make you money i'm here to level the playing field for all investors. there's always a bull market somewhere. and i promise to help you find it "mad money" starts now hey, i'm cramer. welcome to "mad money. welcome to cramerica other people want to make friends. i'm just trying to make you some money. my job isn't just to entertain but to educate and teach you so call me at 1-800-743-cnbc. or tweet me @jimcramer. let's play a game. let's call it mercy and no mercy as in market is showing mercy towards some stocks and no mercy toward others. why does this matter because today was a virtual
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mosaic day where lots of stocks went their own way based on the whims of traders, not investors. the nasdaq climbed 0.2%. we'll start with the stock of kroger up 11% today for ages the market has been brutal to this supermarket chain writing it off but kroger had an analyst meeting and mercy mercy me it got up after it's been guiding down for years just when everyone started to give up on this one, fleeing from the stock because of competition from costco, from walmart, from amazon, by ail dlalinddi they tell us they'll earn 230 to 240. the street was looking for 219 it makes sense that kroger stock
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roared higher. when i spoke to rodney mcmullen, a true gentleman he made it clear many of his long-term initiatives that he's talking about to win customers are working, especially the restock kroger brand i know it sounds simple but rodney said they're telling the story about food kroger is food first he regards it as a distinct competitive advantage and had success with personal finance initiative where they teamed up with u.s. bancorp and developed a terrific consumer business goods business that helps customers sell more product in the stores they're rolling out its master brands you'll see a lot of about that in the coming days i think it could be a big hit. mcmullen told me there's tons of rooms for kroger to thrive and $1.5 trillion food industry and after a hideous hiatus it has returned tons of mercy.
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♪ hallelujah >> on the other hand, no mercy for uber let's see my no mercy uber chart. this is it no mercy i love this. ha, you bet. yes, this is the ride sharing -- >> hit it. >> oh. >> okay, okay, that was that was ill-advised. a ride sharing company that reported a decent quarter but it could have been a great one if it weren't willing to lose so much money on uber eats. because food delivery has become the bataan death march for everyone in the industry the competitiveness of this delivery space has crushed all the players and unless someone blinks like i have because i have something in my eye whether it's uber eats or grubhub or door dash, no one is going to make any money in this crummy armageddon filled business i think this was the quarter where everyone including uber realized how devastating the
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gross margins are. it's not innocent. it's a bunch of guys running around with like stuff i see them in my restaurant all the time guys picking up stuff. that's a business? okay i'll get in that now, that's one reason why uber got slammed. down 10% today but i don't want to get too caught up in the fundamentals the main reason the lockup on inside selling expires tomorrow. as many as a billion shares will be free to trade hey, 1 billion given that the company seems committed to losing money in uber eats i suspect that many of these with a cost basis below $25 will be eagle story take whatever profits they can get and watch the stock go down from here >> sell, sell, sell. sell, sell, sell sell, sell, sell >> wow what the hell is that? broke my nail. now, uber is promising it will reach profitability in 2021. bowl claim i don't see how they can get it.
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call me skeptical. s that said even if you believe them, the market is showing uber no mercy marriott international reported and shed more han 1% based on the headlines. what went wrong? depending on which story you read pretty much everything. forecast tepid bottom lines soggy i figured it would get murdered especially since the beloved ceo has pancreatic cancer. having good growth worldwide even if north americas that slowed down. but more important, we got good news we got an update on his health, the ceo, he told us and i'm going to quote him i completed cream mow and radiation and immunotherapy. next step surgery. i'm working throughout and still
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gets in my morning rungs, end quote. but those incredibly encouraging words the market decided to show mercy which is why it ended up rallying 2.2% today. we do not want an arnieless marriott arrangeny, you keep fighting starbucks. not long ago it soared to 99 on accelerati acceleration both here in china and it was hard to understand why. they just reported another good quarter last week. this market is showing no mercy to traditional high-profile growth stocks because investors are banking on an economic rebound thanks to the recent rate cut if the economy surges, the consistent growth of starbucks looks a lot less enticing compared to say the more cyclical stocks that can put up numbers that are huge during a renewed expansion. no mercy for starbucks even
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though i just had a triple cappuccino with skim milk called the cramer boeing, cnbc aired a stunning interview with its chairman david calhoun with beck questy and joe kernen calhoun admitted his company made mistakes and told you the ceo is foregoing his salary until he rights the ship and made it clear they could have done a better job with the system, no kidding but he did admit it all this within the context of acknowledging boeing's role in the two terrible 737 max crashes, the response, wow what candor can do it was a shower of mercy that sent the stock up 2.1% then there's shake shack the burger chain reported a
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slight miss. new partnership with grubhub i ask are these delivery companies. are they not -- they're a blight -- if you're a restaurant chain with a high priced multiple you can't have a minor slipup which is why the stock got obliterated. verdict, no mercy. rcs which used to be hated is catching upgrades today. why? because the free fall for dram and flash chips and the two basic building blocks of technology, lam makes machines you need to manufacture the stuffer. when are they recommending the stuff? there was a big push today on it when the stock is up 100% already this year. massive mercy. at the same time, here we go you knew this was going to
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happen the hangar -- the thousands of dollar hangar used in my house for dirty lulu lemon pants nope as peloton reported and put in incredible growth and a much smaller loss than people were looking for. but that's the problem this ex-er cycle company and in the end it is ex-er cycles even it has the screen, it's still losing money that's what she does and ali and all those people what is that i know millions -- listen, after giant run-up before trading opened peloton gave back all during the conference call i made my comments this morning saying it was running. in conference call they're trading profitability for hyper growth that's the opposite of what the market wants we don't want that with good taste. we want good taste in tuna no wonder peloton got clocked down 7.6%.
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you know what, the stock came in at $29 no prisoners, in mercy suboptimal the bottom line, i like this mercy, no mercy game i may play it again. maybe even tonight i don't know because it shows you how capricious and or theirry the market conditian be. they wanted you to compromise. they wanted you to get rid of profitability and go for big sales. the crazy thing at this pace value will soon be regarded as expensive and the growth stocks i said we showed no mercy toward, well, guess what, unless we get a trade deal or economic hits a road block at which point, the money, it will go right back into the growth names that they are showing no mercy to mercy, mercy me. where is marvin gaye gwhen we need him j.p. in colorado >> caller: boo-yah, mr. cramer
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thoughts on prudential earnings beating back earnings with high employment -- >> did you read the downgrade this morning get ahold of the downgrade it was hideous we'll have to stay away from pru. the downgrade was very, very effective in making me think there's lot ofs of worries oh, mercy, mercy me. all right. things ain't what they used to be this market is a capricious one. favorites will change, though, if the value keeps going higher and the growth keeps going lower. on "mad," americans are voting in state and local elections one year before the 2020 presidential peter alexandelect. i'm talking to fire eye to see how it's protecting the ballot box. stocks that can offer a combination, i'm revealing a few players that could pay in tonight's off the chart segment. three buys and speaking of no mercy, trulia
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said it got the math wrong how does arithmetic go wrong when you have all those guys that are geniuses? i will talk to the ceo stay with no mercy cramer. >> announcer: 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. only one thing's more exciting than getting a lexus...
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how can you tell when a stock that's been languishing for ages is finally ready to make a sustained comeback? the question we need to ask about fire eye with the best forensic division in the industry they don't just protect you from hackers. when you get hacked they help you figure out who did at this time last year it was charging a multiyear high at $20 and change come december it got dragged
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down eventually bottoming in the low teens. fireeye seems to have gotten its groove back. the company held a bullish analyst meeting a month ago and reported a solid quarter last week what is spewing it speculation fireeye might be willing to put part or all of its business up for sale owe can we trust this move every time they've gotten momentum, people, it feels like something has gone wrong and investors burned ainge maybe this time it will be different let's take a closer look with kev kevin mandia to see where it's headed welcome back to "mad money." >> jim, great to be back on. >> kevin, you did a terrific report your inaugural one give us a sense of some of the insights you discovered about companies and their cybersecurity protection >> yeah, well, this report is a little bit different than what we normally do
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we call m trends which is what are we witnessing on the front lines responding to breaches and it's our lessons learned helping companies dig themselves out of some kind of security incident what this report is we went out and polled over 800 folks and it was our way -- we know a lot about what's going on in the places where we respond to breaches but wanted to go global and get a feel when folks aren't under duress, what are you worried about? what are the things you'll spend money on what will you invest on? what matters most to you and we did that and really when i looked at it, i'm not convinced i got surprised by anything. but it was just another data point to better understand our customers and better understand the cybersecurity landscape. >> there is a sense among a lot of consumers and not just talking about consumer companies that, you know what, i'll be protected no matter what there's someone looking out for me if someone steals money i'll be protected. will there come a day when
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someone has a serious breach and the company tells you, sorry, you're out of luck you didn't read the fine print supply think first off those things may have already happened, jim. the reality is and i went right to the banking community when you have somebody's account get hijacked and transfers happen, most of the financial services, especially in the united states and europe have done a great job of backstopping all their technical safeguards but sometimes manual checks. is this bob doing the wire transfer or somebody hijacking hills private bank account based on a user i.d. and password so we've gotten better at that. the good news most consumers, they can't lose $150,000 to $500,000 in their account and that can make it whole it becomes more of an issue when a corporate account gets hijacked and some kind of unlawful transfer occurs and sometimes it's hard to claw back that money we learned that with the bank of bangladesh when $81 million was
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traens forred via swift. a lot of that money was, in fact, lost. >> kevin, i have not seen -- knock wood i have not seen the giant headlines about some huge retailer that's been hacked lately this used to be a matter of -- you were involved in a lot of forensics. have they gotten better, hushed up what are you seeing? >> when you deal with ceos after they have a breach, one of the first things they'll tell you we can't go through that again. that can't happen again. a lot of folks that have taken the walk down the victory lane, victim lane, i mean, they've learned lessons and do a lot of tweaks to their program. what we've just seen is a shift. you're reading about these ransomware attacks ways for the criminal element to just encrypt drives and hold it ransom until you pay for it. that happened to state government agencies and criminals will always go after
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that low hanging fruit and make money where they can and just can do that with these attacks but we're still as busy as ever responding to breaches and responding to more this year than last but these are not headline breaches. you can get in there and respond and contain before you have a breach of consequence where you have to go public about it. >> okay, now, kevin, we have pretty much talked to all the cybersecuritycompanies and spent time with symantec and al these companies want your business they all seem to want your business is that one of the reason why the stock has been flatty the competition, they'll mention you offline and say we're taking this from fireeye. who know what is they're really doing. has it gotten too crowded? >> there's thousands and thousands of security companies and at some point i think you'll sigh a normalization one thing unique to fireeye we
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know what the security community needs to build to defend folks we to see when technology is thwarted how they're circumventing our seaguards and for the top 1%, the red teams from russia, iran or china or north korea, they do win whether they put their mights to it today but i think we can turn that over time we're all going out doing different things, e-scalers are different than on prem we're going through the transition like several other companies of ace historical origin of appliance with ip embedded into hardware and bringing it to the cloud a lot of companies in flux but you have to safeguard them where they're at. >> you've been steadfast and not willing to address the question about breaking up or selling, merging with someone but why does it keep coming up because the stock has been
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flat-lining since you've been here or everyone says it ultimately has to happen >> you know, i don't know where the rumors come from i wake up every day, jim, go in to work to build the company to last when you look at my whole career, i've been in cybersecurity since 1993 this is what i do and love doing and what the people at fire love doing so we know what we want to do next and after that and know what the market needs and we're just waking up every day looking to execute on that plan. >> all right last question, 2020, election, we know that you mentioned some countries that, geez, there are a lot of people that would like to influence our elections and will be much more clever than 2016 are they calling you in? 2016 was a wake-up call. >> i think we're ready there's a lot of different ways to hack the election the way i'm most worried about the influence operations to just change the hearts and minds of the american citizens that are going to the polls to vote
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that is a tough thing to prevent. there's anonymity on the internet and people can start facebook walls or communicate behind the veil and you don't know if it's an element from another nation to sway the 5% to the right or to the left when it comes to hacking the polls, i don't think that's going to happen. in a direct attack on any of the systems whether successful or not, the evidence is going to be there. it's not going to be tolerated very well by our government and i just think all the vendors are coming together with government agencies to safeguard the alexander so i feel confident. we'll do a lot of work between now and then i'm not worried about the vote count. i'm more worried about influence operations that, you don't even know they're happening to you and worried about what can you trust as news? you know, that fake wave document that's -- sounds like someone but isn't or fake video that looks like something occurred but didn't. as we get more ai-based stuff there are nations or elements
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more willing to use that kind of fake creations than most countries would be willing to accept. >> i'm glad you're bringing it to our attention i don't want to say a lot are gullible but it seems so real anyone could be confused thank you for your service out to the air force academy friday and to salute more people like you so thank you so much. ceo of fireeye, "mad money" is back after the break (vo) the moth without hope, struggles in the spider's web.
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it's offering income you can't find anywhere else that's why some of the best performers in the dow have been stocks with bountiful yields and going after the charts with the help of dan fit patrick who is the founder of stock market mentor as well as being colleague at real money.com where i blog because you're going to highlight some of his winners. last thyme we checked in with him he told united states apple and microsoft were ready to roar a lot of people laughed. microsoft up nearly 5% but apple is up 70% since he made the call i got to go back to fitz he nailed those two tech titans recommending three dow dividend stocks, if interest rates stop going higher these will be terrific dow chemical second verizon and third walgreens since we just learned the latter could and putting big quotes around it could soon be taken private although it would be an immense deal and want to be careful recommending it on
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that basis first let's start with the daily chart of the broader dow jones industrial average fitz likes what he is seeing breaking out from a symmetrical triangle pattern since then it's been making a series of lower highs and higher lows an this is called a classic continuation pattern meaning that the dow is merely resting before resuming its long march higher resting, resting, resting, taking a nap, zzz. most securities tend to move in phases you get a monster rally followed by consolidation phase and demand results in another leg higher meaning there's not enough overhead stock, come in and buy and that's how a stock moves up hey, when you get this breakout fitzpatrick says you want to buy as early in the process as possible what makes him so confident? for one thing the volume
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the dow tends to break out -- tends to decline on weak volume and rally on strong volume a sign of increased buying activity plus when you measure the july peak to august low, the dow's recent range is 1,900 points okay so you can see the august lows, you can see where it's done. technicians like fitzpatrick, all right, good-looking charlotte, add that number to the odd -- to the ole ceiling of resistance giving them a measured move price target which this case could take the dow to 2900 oh, boy, that is an extremely bullish forecast isn't it it makes sense to me now that we've taken the recession fears offer the table and the fed is very much our friend that's nirvana no reason why it can't go up if it's ready to roar which of the components we should get involved in, which are the ones that could lead the charge now, this is where i differ with fitz brings us back to the dow
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dividend stocks. walgreens boots, dow chemical and verizon so i want you to take a look at the daily chart this is a company i have been skeptical of i've repeatedly told you i prefer cvs which reports tomorrow because it has the aetna business but walgreens reported a solid quarter and learned it's -- dom people are saying it's going to take itself private. it has a nearly 3% yield why does fitzpatrick like this one? simple walgreens spent seven months wallowing in a pretty tight trading range after a big breakdown in the spring. 52-day moving average was basically flat-lining. the 250-day moving average kept falling. basically the stock was building a base in the low mid-50s and eventually everyone willing to sell at those levels had where bailed and that's where we found ourselves yesterday when it broke out above $58.
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i saw that what is that about look at the spike. with the technicals anticipating today's big news it might be taking profit and continued higher and if it ends up being taken private it will be the larged leveraged buy-out in history. i have to believe that they would pay a meaningful premium the key moving average as a guide fitzpatrick sees a couple of important things. the 52-day moving average is moving higher, the red ever so subtle which tells you we're at the beginning of a uptripped. 250-day moving average is still trending lower but fitz says we'll likely get a bullish crossover in the next couple of weeks and that goes above the longer term 200 a classic trajectory, okay, classic sign that the stock is on the mend which is what we need to see that's why technicians call this the golden cross if you see a golden cross occurring, here or anywhere,
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well, i just say that you ought to buy it hand over fist where is it headed fitzpatrick is betting it could go 70 up above 14% although probably won't go there in a straight line so, again this, is about -- this is fluff, i think, okay. so just discount that and what you're seeing is the nice kind of upwards trend that fitz say we should buy. i don't want to you chase anything like this, though how about dow chemical here's one after being spun up, the newdow chemical lost a third of its mark capitalization and bottomed -- the sellers ran out of -- they ran out of what, merchandise. they were just done. since then fitzpatrick points out they've been buying it hand over fist and you can tell it tends to rally on strong volume and decline on weak volume
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this is -- this is weak volume and that is strong volume. meanwhile dow's 50-day moving average, it turned up when the stock broke out above its multimonth downtrend last month. as of today, it climbed all the way back to 54 and change this is a really impressive move and gotten a bit overextended and recommends buying it into any weakness and i think there will be some but the company is paying you a 5.5% yield just to wait to make things better i think dow is exactly kind of stock you can buy when you realize the risk of recession has been taken off the table i wouldn't be surprised if it stalled and kicking eyeself we sold it for the charitable trust even though we ended up getting a good price but this is now a juggernaut and that's because of the possibility that business is going to get better in this country. finally there's a daily chart of verizon which doesn't fit well with dow this doesn't need business to be stronger get in this spent the better part of a year, one full year stuck at a trading range between
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the low 50s and 60s. every time it hit 61 it gets overwhelmed with supply and ring the register en masse but for a year he noticed they've been making high or lows creating a flat triangle pattern. you can see this is it in that it eventually breaks up to the upside. more recently in the past couple of months it made a smaller flat triangle that's this one right in here, okay, with the floor of the formation at roughly 59, all right. not far from where it's currently trading. this is known as a fractal where you have a small version of a pattern tucked inside a larger version of the pattern and fitz says it can be powerful if you trade them correctly these levels rising still stuck in jail between 61, ceiling, down here, you know, that 59 level. a lot of people feel it's gotten where you worry. fitz recommends breaking out
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above 61 that's when you know the leg will be starting from 61 it will be smooth sailing to $70 based on the length and depth of the con surveillance dags pattern that verizon is stuck in. i don't like to buy them high but low. buy some right here. the bottom line the charts interpreted by dan, the dow jones industrial average has a lot more room to rung and thinks it will be led by the dividend players, verizon, walgreens and dow. i bet fitzpatrick's $70 price target comes true even sooner than he expected remember, we don't take chase tips we leave them. i'm saying it because i'm afraid you'll buy it on a takeover basis. that's not why i'm doing the piece. much more ahead. calculation? trulia was sent tumbling i got the ceo and it is a hot seat believe me like the jenkins hot seat on the side of the nfl. i'm telling you why it could be
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time to curb your enthusiasm when it comes to the market's rally and what's behind the move higher for some of the stock, not these and all these calls in "the lightning round" so stay with cramer. 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.
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what the heck just happened to the stock of twilio through the past july the cloud based communication stock was red hot. it helps app developers embed functionality into their own programs to connect with customers. like lyft and airbnb i thought it was a great story we bought it for my charitable trust which you can follow along by joining the club but at last it peaked at 151 over the summer since then it lost 39% of its value. at first it seemed like one more casualty out of the high-flying cloud stocks nothing more but recently we've seen there's some serious company specific problems that must be addressed. last week twilio reported a mixed quarter with solid
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results. but management revealed a billing issue that caused them to issue 5 million and one-time credits to customers and they were caused to overstate their full year earnings forecast. they only made three cents a year last quarter so tumbled on top of everything else twilio is now at its lowest level since january. it's been a brutal experience for my charitable trust. as much as we love the company and you know we do investors are suffering, people on twitter angry at me. patience is wearing thin we need answers. so let's check with in jeff lawson, co-founder and ceo of twilio mr. lawson, welcome back to "mad money. >> thank you, jim. great to be here. >> okay, jeff, i'm glad you're on and not ducking these issues. i got to figure out what happen happened with the calculation? can you tell us what went wrong here >> yeah, the calculation error
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was a simple math error in the press release for our quarterly earnings the numbers were all the same. they just got added up incorrectly. the guidance didn't change the mathematical error, of course, is on us, right? we have to make sure to get those things right and instituted additional processes and controls to make sure that such an error cannot happen again. but that is one of the growing pains that we have experienced as we've been growing as quickly as we have as you can see, last quarter, we grew 75% year over year on a revenue base that's now well over a billion dollars and so this credity fast growth is fantastic. but it's come with some growing pain, of course, it's on us to get all that stuff right but it is a cost of growing as quickly as we have. >> i'm not done with this. how complicated is the forecast? is it a simple financial model or are there complicated calculations within that went
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wrong? >> the forecast which is different from the calculation error in the press release, that's complicated 172,000 customers that comprises our customer base and well over a billion dollars of revenue that's a complicated forecast and what we had as far as the error in the billings was a simple clerical error of data entry. >> let's separate the two. the forecast now we'll take the error -- we'll trust you and say that was a calculation that just made a mistake but this forecast is very important because we need to know whether some underlying assumptions changed given the fact you have all this growth or a very hard thing to do. >> ah, got you no -- no assumptions have changed. nothing about our forecast has changed. it is a simple mathematical error of adding two numbers that was an emission when we were ree proofreading the press release because all the information was public and was fixed in the
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revised update so nothing changed about the business all the inputs look incredibly strong and we are as confident about the future of the business and massive opportunity ahead as we have ever been. >> okay. did someone go back to the correction did someone review that before to make sure it plead sense? look, you're a billion dollar company and you're a brilliant man and so i candidly did expect better of you, okay? i think, jeff, i have to just say it like that because there's no doubt that you run a great company but a calculation that was wrong, a forassumption that wasn't right these are not things i expect from you, jeff i just got to put it out there like that. >> absolutely. it's on us to get the simple calculations correct and that's why we've instituted more processes and controls and there were multiple people who pro proofread the documents and looked at them, so we've gone back and said what is the root
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cause of how multiple people can look at a calculation and reworking it so back to the root source of that data it has multiple people calculating every one of those things because it's of course it's on us to give the best information and take that to heart and have gone and working on that infrastructure and fixed several of the causes and in the process of fixing -- >> would this impact your business are there people who might be leaving the company because the stock is not going up? >> no, i don't believe so. the fundamental market that we operate in is still enormous helping every company out there, big and small, new and old, traverse this digital landscape they have and using digital channels to connect with their customers, that is an enormous opportunity and nothing has changed about the very large market we're serving and the incredible growth rates we're seeing customers are pulling us towards this opportunity and that is what is actualing our growth and obviously we have to continue
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investing in the infrastructure, the systems and the processes to be able to keep up with that growth and that's exactly the investment that is we're making. >> how about we do this? you promise to our viewers right here this is not going to happen -- i know there are things that go wrong but that you personally are going to take it upon yourself to be sure these problems are not going to happen again because i know that you're better than these problem, jeff. you're smarter than these problems and i know you can lick them is that a fair perhaps to our viewers? >> that's a fair promise i commit to everybody that i am on top of these and my cfo is on top of these and we are ensuring that the processes we're putting in place are there to make sure errors like this don't happen again. >> fair enough that's what i want to hear you're a gentleman for coming on the show thank you to the ceo, founder of twilio "mad money" is back after the break. sundown vitamins
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[ buzzer ] >> and then "lightning round" is over dave in new york dave >> caller: hey, jim. love the show. i think with delta we'll fly -- in i like delta but i like united more. jan in texas >> caller: jim, i purchased constellation brands at -- >> okay, i like constellation brands but i got to wait for that spiked selzer that will drive numbers. minda. >> caller: i decided to ask you about my stock intel -- >> intel stat. that's one we haven't looked at in a long time i think it is not cheap. had a big run. i'm not so sure i like it. to frances in michigan frances. >> caller: boo-yah, jim. just -- i just want to ask you your opinion on first majestic corporation. >> that's a silver company
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even during the heart of earnings season the actual
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quarter reports aren't that important. drive meese crazy. yesterday a host of siically cal stocks went higher even they they recently reported lower numbers. when cat reported the results were hideous the great machinery company cut forecast and told a negative story about the global economy the stock was looking down 6 bucks to 129 it was in freefall but then it swiftly turned around and now at 146 breaking out like the quarter was fantastic when in reality it was anything but i commitment to maintain the dividend buy back. thanks then union pacific it got slogged when a reporter reported weaker earnings this. is a fabulous railroad but could be considered hostage to china, oil and coal all softer end markets even if
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it's become a much better operator than it used to be, doesn't matter the stock went up 12 points in three days on very little news after really disappointing -- that's not supposed to happen. how about fedex? it doesn't report for awhile though its stock valleyed 8 bucks yesterday totally out of nowhere. didn't give up any of that gain. based on what? trade rumors please, these negotiations aren't going anywhere that can specifically help fedex's growth 8 points it makes no sense. it's not just the transports chevron reported extremely light quarter friday extremely, look at the headlines. you can see why it needed to buy anardarko. chevron needed the growth and should have sold off and stayed down but only fell a couple bucks in premarket trading some can't resist banging stocks down and quickly made up losses and yesterday rallied more than $5 not because of anything company specific but investors were
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feeling more bullish about the economy. that's all this is a rotation based on the idea that the economy is in better shape than the bears thought i wish i could come up with something more concrete. i wish i had an explanation that's better. i've been doing this 40 years and there is no better explanation than what i just gave you one step further i am thinking the rally and si hi cal is based on vicious etf buy. this aren't enough sellers materializing to sop up all the sudden demand. these etfs sucked the lifeblood of the liquidity out of the market real human buyers wouldn't pay up 8 points for fedex on no news unless they think there will be a takeover which there probably isn't. real buyers work in order and wait for sellers to come to them if humans had been directing these trades they wouldn't have valleyed maybe go up a couple bucks before buyers would walk away. machine buyers -- you have to believe they didn't even attempt to get a good piece for their
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customers. unfortunately this increasingly feels like the new normal on up days your first intstinct is to say everyone that wanted to sell sold but that's just plain wrong. [ buzzer ] what if the real problem the machines can't seem to moderate their own buying like the terminator they simply buy stock too fast way too fast for the sellers to be able to offer new shares. they can't reload the sellers. they're not there. i'm often criticized for only caring about these programs when the market goes down that's complete nonsense, chowder heads who say that i hate it when stocks go up like this on nothing. it destroys what makes the american market so great deep liquidity that leads to real price discovery it's totally artificial, people. these cyclicals have not rallied so hard, it's irrational if you ask me this is one of the many reasons why regular individual investors have gotten sick of this whole asset class
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and don't trust it they don't want something to go up 8 points. they know it can go down 8 points i hate markets that rip higher for no reason. i like ones that give me good price, those who criticize me for saying i only complain when it's down on the down says, you just don't know anything go pound sand. at the end of the day this stock market is too thin everyone knows it. no one lifts a finger to stop it the big institutions care more about racking up fees than ensuring orderly markets you know what, the whole darn thing is a travesty. stick with cramer. you should be mad at forced camaraderie. and you should be mad at tech that makes things worse. but you're not mad, because you have e*trade, who's tech makes life easier by automatically adding technical patterns on charts and helping you understand what they mean.
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don't get mad. get e*trade's simplified technical analysis. it's how we care for our patients- like job. his team at ctca treated his cancer and side effects. so job can stay strong for his family. cancer treatment centers of america. appointments available now. doprevagen is the number oneild mempharmacist-recommendeding? memory support brand. you can find it in the vitamin aisle in stores everywhere.
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prevagen. healthier brain. better life. woman: what gives me confidence about investment decisions? rigorous fundamental research. with portfolio managers focused on the long term. who look beyond the spreadsheets to understand companies, from breakroom to boardroom. who know the only way to get a 360 view is to go around the world to get it. can i rely on deep research to help make quality investment decisions? with capital group, i can. talk to your advisor or consultant for investment risks and information. my charitable trust will stick with twilio but it's tough. i understand the trepidation you may feel bit it's a tough one i always say there's a bull market somewhere i promise to find it right here for you on "mad money. i'm jim cramer i will see you tomorrow.
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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." ♪ a lifelong entrepreneur with a new product to pitch. ♪ howdy! i'm cactus jack! welcome to iowa! this is where my heart is. you know, you might look around here and think it's a little bit much, but in the world cactus jack lives in,

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