funding himself and part of the process. >> new hampshire in a week. >> ford and snap down sharply after hours. disney and chipotle strong number flat or only slightly. >> i want a update on the spicy kwaso. and carne. assada. >> "fast money" begins right now. live from new york's nasdaq market site, this is "fast money" and we have got a big show tonight here to guide you through steve grasso, chyron finerman and guy adami and chris verrone from strategas. tonight tackling three big money head scratchers. what else? tesla, the stock captiving everybody. surging 13% after a day late-day pullback in the options market things more crazy break down the action. how much some may have made.

head scratcher number 2. late day reports about the takeover offer from the company that owns the new york stock exchange why in could be a game changer for you, the retail investor, bringing us to head scratcher number three the rally. stocks having the best day since august the nasdaq a new record close. what happened to all the fear and loathing around the coronavirus? we get answers to all three questions and much more of course all ahead but we have to begin with this speaking of threes, the magic number snap ford and disney, all on the move after reporting results as always of course we have full team coverage for you. standing by to break down the names and the reaction lets kick it off with the biggest of them all, disney. the question is did baby yoda and streaming rule the quarter julia boorstin in l.a. with more and great news her exclusive interview with bob ig are. julia, take it away.

>> that's right, brian disney shares moving higher in after hours trading and better than expected results when it comes to revenue, earnings and all-important streaming subscriber numbers disney ended the quarter with 26.5 million paid streaming subscribers. and bob iger announced they added more than 2 million additional paying subscribers since the start of 2020. this despite the fact that the flagship show, the mandalorian had come to an end he announced the mandalorian is coming back this fall and he said they were not updating the guidance of having between 60,000,090 million subscribers by 2024. take a listen. >> we were heartened by the fact that after the original episode of the mandalorian were made available we didn't see significant churn from that. as i said early questioner we see subscriber growth from the end of the year, december 28th

through yesterday. >> now we also asked him of course about the impact of coronavirus, disney has closed shanghai disney as well as hong kong disney. ceo -- cfo said the closure of hang shy disney could impact the operating income by $135 million in the next quarter, assuming that the park is closed for two months take a listen to how iger plained that potential impact. >> in shanghai, the business there has been really strong and it's a shame we had to shut down but obviously this is something that is a big concern to us as well we have thousands of people that work for us in that area of the world. and we have concerns for them. and concerns for the world as well and the people of china of course we'll talk about it more in terms of specifics but it's hard to be very specific without knowing how long this could last. >> iger noting that of course this come off significant growth

in the parks division, growing revenue 8% and operating income 9% in in past quarter. but iger was overall optimistic that there would not be meaningful impact outside of china, though of course it is an issue that and his team is monstering chosely back to you guys >> julia boorstin with the exclusive there and the great interview as always. julia thank you very much. guy adami what do you make of the disney quarter. >> the sub -- the disney plus numbers are ridiculous astounding i don't think you get kmurn with disney once people are on they stick regardless of john dloer yan whatever movie i didn't see is out there now. the real problem is can you get arms around valuation? that's been the knock a while and grown into the valuation so 23 and a half times next year's number given the growth rate probably not absurd but it shouldn't trade at such a huge preem up. the viacom and comcast need to

get ratcheted. >> looking at subs there were rumors of apple going ahead of hulu and disney disney would have had to have a nackout number on subs growth. above the 30 million mark. that would have impressed the street more. i'm looking for multiple expansion going forward. it's below the 50 day outline. i'll wait to put money to occur work if if crosses over the 50 day. >> it's the new rpud 2 or whatever you want to call it. >> you should coin that. >> i just did. lets forget, karen -- the parks are a bigger part of business than people think. we rarely talk about them. and now a couple of parks in china closed for a fairly long time. >> it was interesting where they came up with the $35 million potential impact it's tremendous usiness. but i think people will look through the coronavirus and give

them a free pass on this quarter and next quarter as well because i think it takes a while for people to feel comfortable again. and also for the movie bissiger talked in the interview with julia about some of the films they want to release in china, mulan was one. but people aren't going to the theaters in china right now. they have to rethink that a bit. but i think the market gives a free pass on both things. >> i think the chart has to be owned. remember, disney spent five years in a 50 point range and broke out last april this is a new move by our work look at the 140 area, continuing to provide support every big move in the stock over the last year has been on big volume it's being accumulated when you get weakness particularly after hours here, i think to step in and support the stock. this is a long-term leader in a good group own it. >> to guy's point. van guard, state street, blackrock those are passive holders the most part.

you and i with the etfs. 20% of disney is owned by four relatively as passive investment companies. they are not selling. >> you don't care about who is not selling as much as who is the next buyer the next buyer is the growth buyer. that's the one that's why, yes parks at 26 billion-dollar operation but people looking for growth, growth comes through streaming, comes through internet, through that process that's where you get multiple expansion, not parks. >> on the growth though -- they are spending spending spending, and netflix too, spending, spending i don't know when ultimately you need to make money on that so far never. >> never. >> never seems to be the case. >> as lopping as you put it in -- >> i hear what you are saying about the parks. but lets be clear. how many 5.99 a month disney plus subscriptions make fora family of four how much do you spend at shanghai, hong kong, a

lot. >> it was the same thing with apple. it was a hardware company until it wane. it's about services not hardware disney about streaming not parks. >> lets talk about streaming right now because i understand we are going to julia who has breaking news on hulu. >> that's right. disney announcing on the earnings call right now that hulu launches in 2021 internationally after disney plus is through the bulk of the international lawmakers. this is a big deal hulu has been focused here in the u.s. it does -- they did reveal some growth numbers for hulu with 30.4 million subscribers in total. 27.2 million of those just streaming video on demand but that's just domestic this is a big deal when hulu launches internationally in 2021 back to you. >> big international launch in 2021 we'll go back to streaming steve grasso here. because there was a school of thought -- it's a little weird but there -- which is that the

streaming companies may benefit from what's going on because people are confined in china in particular to homes. our bored what do you do watch tv and sign up for new services >> we have seen the run up in the netflix stock and the chinese netflix which is iq busting through resistance at $24. alm of these things should be bought anything china related bought. >> you like streaming. >> i like it. >> more on disney coming up. moving on breaking news from iowa speaking of new numbers getting numbers out of the iowa caucus kayla tausche in iowa with more. kayla. >> brian, with 62% of data reported, the iowa democratic party now says that pete buttigieg, the former south bend mayor is currently in the lead as far as state delegate equivalent counts go at this hour only with 62% reporting but they

say the 62% of data comes from 99 counties. following mayor pete is senator bernie sanders after that senator elizabeth warren after that, the former vice president joe biden. after that amy klobuchar certainly a win at a caucus like iowa would have provided a momentous moment for any of these candidates but notably specifically for pete buttigieg, someone who is a relative unknown just a year ago and would be the first openly gay candidate to win a presidential primary in any state. so that would certainly have been an historic moment if it were a moment that he were able to claim we often see that when you have a winner announced on a caucus night if it would have happened last night you would seen a massive bump in polls going forward. with the debackle developing the last 24 hours. unclear if you will see the jump in the polls

notable, historic momentous to say that pete buttigieg is in the lead with 62% report you can bet, brian other campaigns will take issue. senator bernie sanders's campaign said it had its own data showing he is in the lead expect backlash. >> a lot of questions, kayla i don't want to put you on the spot this is breaking first off do we know when the remaining 38% comes out? also 62% -- we don't have companies reporting 62% of the quarter on the quarterly numbers. people are asking, why 62% why not wait until you know everything before coming out and maybe getting false hopes up and making other people upset? >> well, of course we have questions for the democratic party in iowa we have not been able to get answered some of the questions you just outlined brian perhaps 62% felt it was a rough majority they felt comfortable going forward with

all of the campaigns raised issues about the partial release of data. why not wait until it's done the sanders campaign earlier today said it believed the biden campaign was pushing the party to withhold data because it didn't think it was flattering there have been some behind the scenes hand wringing about who wants this to come out the party earlier today said the full slate would be readily available when verified whether a woke or month from now but fearer clearly felt the last 38% was not verifiable at the moment or they owed it to the public to provide the majority of information when they had it and that's why they decided to put this out now. >> kayla tausche in iowa, i know a long night there buttigieg claiming victory at midnight i watched that kayla lets keep it right in the cnbc lane. guy, there was a school of thought. abs -- anybody but sanders might

be the positive outcome for equity market. looks good for buttigieg there does it matter to the markets. >> before the show we were talking. a lot of the rally wsh -- not entire rally was predicated on the fact that there was a crazy evening in iowa and no clear winners. i can make the argument that if bernie emerged victorious you would have seen a benign to nesting day for the broader market i can't do the counterfactual thing. i get it but the fact that it's muddled it's positive president trump. positive president trump is positive market. >> what we have to watch tomorrow is how do the health care stocks impacted by this, the manage care names. how do they trade against this the pharma stocks acting gel pl fieder acting better i think that's a big story but betting markets, the betting markers are a good tell on what the mechanic things mike bloomberg shot up in the betting markets in the last 10,

15 minutes. >> does it matter which side of the fence you are on there is not a republican or democrat more progrowth, corporations cutting regulation than trump. it's a negative to anybody else but trump right now whether you hate him. >> even mike bloomberg. >> even mike bloomberg. >> who runs a data company based on wamz's success. >> pete. >> if wall street does not do well then bloomberg lp does not do well. >> one of buttigieg quotes was ever expanding arm of big business needs to be stopped that doesn't sound hopeful for the six or eight names keeping the market going forward. >> i think you are right as to who the market perceives as best for the market to do better. but mike bloomberg could do a good job negotiating trade with china. i know we are not getting into

that but there are candidates moderate of warren and sanders that could be okay for the market. >> we are talking about this from a cnbc perspective. you can't ignore the politics but you can take it down the cnbc lane. i'm talking my book here about oil and gas. when you have candidates ending fraking or partial ending fraks. >> what's ironic about the trump energy was viewed as pro energy, too much supply, drill, drill, drill. if you look at a warren presidency or sanders where the fraking is banned or pass that that's bullish energy or crude. >> i'm talking specific companies. deafen energy. a latter part of their portfolio is fraking on federal land in new mexico if they can't that's a big part of theirs business. >> quickly while the dow up 400

points exxonmobil closed below $$60 down 1.25% we've been talking about this for a while. i don't know the right energy in big cap integrated but not here in my opinion. >> a lot of people agree with you, guy adami there you go big a block rounding out with the iowa news. thank you kayla tausche. we will difficult into the other big numbers. snap, ford, both moving after hours. and not in the way that investors want to see. we'll get full team coverage on both and talk of a deal that has many scratching heads why is the parent company of the new york stock exchange reportedly interesting in buying ebay could is schwab be worried could you be buying clothes and bikes on the new york stock exchange watch and listen awhnyere you want to be on the app. back with more after this on "fast money. and tie it all together with a world-class software experience. we ended up creating, as you all know, so much more.

peloton is truly a category of one and we're just getting started. now, let's do this. together, we are going further than we ever thought possible. whether your beauty routine is 3or 57,... make nature's bounty hair skin and nails step one. it's the number one brand uniquely formulated for silky hair, glowing skin

and healthy nails. look for our coupon in sunday's paper.

[ fast-paced drumming ] and welcome back to "fast money. the earnings parade rolling on ford and snap while both sink thing after hours. kait rooney is all over the snap call but phil low back at hq with ford. >> ford down more than 9% after

hours. the conference call has just begun but this gave investor as 1-2 punch in the first results the first punch missing for the first quarter. the estimate for 15 cents a share. revenues better nan expected but it's the guidance. second punch to the gut. 94 cents to 1.20 for 2020 that's what they expect. the estimate on the street earnings of 1.26 looking at ford since may of 2017, the reason we show this is because may of 2017 is when jim hack et took over as ceo he said we are turning around this company an ambitious plans geared towards mobility in the future and leveraging investments in that area. guys, it hasn't kicked in. and a lot of analysts are likely asking questions when will the turn around kick in? because so far it hasn't. >> okay. that's ford. i also understand there is some breaking news maybe around

compensation on boeing. >> right. >> talking about new ceo dave calhoun has part of his contract when he became ceo there is a claus in there that he is potentially eligible to get a $7 million bonus if boeing safely returns the 737 max to service when this came out, there were some in congress saying we're not sure that there should be an incentive of $7 million for him and boeing to get this plane back in the air. boeing has responded sending a letter saying it's going to keep that claus in effect it has, however, initiated and put into effect a number of safety related clawback measuring, lets say something happens where they get back in service and then there are big issues developing. they would be able to then potentially clawback some of the $7 million bonus boeing saying to congress we are keeping the $7 million bonus in place for dave calhoun if he can

safely get the 737 max back in service. again they hope for that to happen the middle of the year. clearly depending on the fa. a and regulators around the world. >> seems more up to fa a than boeing. phil lebeau. two pieces of news on ford and boeing lets talk about ford, karen. a tough investment for a lot of people a long time what's your take. >> i don't like it phil talked about it the turn around isn't happening. and this was i think europe and china did decently it was an operational miss they called it themselves. they should be embarrassed i -- speaking of embarrassment i have owned gm a long time. i feel mary barra has done a better job of positioning them correctly. but if you're in auto and not tesla you couldn't trade at a worth valuation. >> last night dan nathan's final trade was kbchlt m, the thesis quick on final trades. when some of the money comes out

of the tesla maybe to gm or ford >> maybe that goes to gm. >> that makes sense. that holder would be the same holder tesla seems a different holder. >> i mean coming out of tesla into ford. you know what i mean. >> go ahead. >> i think rule of thumb in the full bkts markets don't own bear markets. ford is a bear market. opening below 8.40 >> no incentive on the clarities. >> zero, none. >> i don't expect to you watch the show every night, brian. however for years now we've been saying if ford can't get it right in the environment we find ourselves with the s&p at all-time high and arguably the best auto market -- maybe the last 50 years, when does it happen if they want it turn something around turn around the chart and maybe it looks good because it's grim death the way i look at it. the 7.40 level from december of 2019 is right in the cross hairs now that you have nesting eps

growth >> okay. nothing in the charts. i mean, ford was what an $18 stock about five years ago all right. moving to snap and it's cracked tp down big after hours. that conference call is also under way. lets get to kate in san francisco with more on snapchat's quarter. >> hey, brian snapchat parent company missing on ref thu analysts telling me that causes the correction here. come back off lows but had been down as much as 14% after snap's top line revenue came up short revenue for the quarter was $2 million below estimates. average revenue peruser also a miss 4 shy of estimates but there were some positive annapolis beating on the bottom line came in 2 cents above estimates and a milestone to point out, the q4 was the first profitable quarter on adjusted basis since going public daily active users a a key

metric for social media companies, above analyst expectations snapchat has 218 million users, 3 million above what wamz was looking for. expectations were high into earnings the stock had seen more than 170% rally year over year. rbc's mark ma haney telling me the stock is coming back now thanks to the guidance for q1 showing revenue acceleration but analysts will ask for detail on how they plan to achieve that after this quarter's miss. brian. >> kate, help us out why was there a big jump in dau, daily active uetzers is it because of the discover feature, keeping people around. >> they mentioned that at the holidays a lot of people were snapchatting friends and family over the christmas holidays an that week in particular. they mentioned also advertising. that also seems to be a bright spot but that is really what analysts seem to look for so despite the revenue miss,

some key metrics folks were happy about. >> kate, thank you very much. listen snap maybe down 12.5% after hours but listen to this man, snap, steve grasso made a lot of money been long and right. >> i'm still long. >> would you change. >> no when guy and i were going back and forth when i did the chart work this was a play into earnings >> i'm still up 20% onned trade. i was up 12% more before than right now. before the reporting this was a play into earnings but i thought it was unfairly punished with the coronavirus. i naught it got lumped in. and i thought i carved out a niche to make profit don't these work on daily active users for me that's a positive they were in the troughs phase to miss about 2 million i still believe it's a growth stock.

international growth. >> been long in the name thank you steve. there is more we have done and more coming up on "fast money. here is some of what we've got on top. >> announcer: you think tesla investors made a lot of money this week? that's nothing compared to the gains some options traders may wreak. mike cho breaks down the options market and how you could play the trade. plus disney shares on the move after earnings we deep deeper into the number was medium mogulom t rogers. that and more when "fast money" returns. shipsticks.c om! no more lugging your clubs through the airport or risk having your clubs lost or damaged by the airlines. sending your own clubs ahead with shipsticks.com makes it fast & easy to get to your golf destination. with just a few clicks or a phone call, we'll pick up and deliver your clubs on-time, guaranteed, for as low as $39.99. shipsticks.com saves you time and money. make it simple. make it ship sticks.

shipsticks.com saves you time and money. - [spokesman] if you've tried colleg(group cheering)shed, snhu lets you transfer up to 90 credits toward you bachelor's degree. - [woman] it doesn't matter how old you are, you can do it, you can finish. - [spokesman] finish your degree at snhu.edu all right. welcome back to "fast money. we have a news alert right now on the coronavirus the death toll jumping again in

china. lets git right now to frank holland with more on the the story. >> latest from chinese state media. they say an additional 65 people lost their live in relation to the coronavirus outbreak bringing the total to 490,000. fluid numbers. the number an estimate the global number approximately 492. chinese media say there are additional deaths in philippines and hong kong. and the mainland china death 490. 65 additional cases reported back to you. >> thank you very much, frank. moving on, yeah, lets talk about this quickly, guys obviously you want the numbers to be zero the reality is you want the numbers to go down number not not up there was on theism in the last 24 hours what do you make of the numbers guys >> it's not encouraging. we can have the debate i think it continues to get worse. other people on the devg think it gets better i hope i'm wrong the market is look being past it

for today. it's hard to handicap something of this magnitude. for my money the news gets worse. >> the only way to handicap is the mortality rate sticking around 2% to 3% horrific if you are the 2% to 3% of course. but as long as it stays to that level the markets will not get overly excited at an extended period of time. >> and we care about everybody but we also care from an equity market perspective if if stays subdued here in the united states we have what, 11 cases thankfully, a very low number. we care more about what happens here from an equity market perspective. >> we have to listen to the message of the market and look at hotels and casinos and airlines they tell us whether it gets worse. look at the option market. breadth wasn't as robust as i'd like tor a s&p rally i think the jury is still out as

to whether or not there is more legs to the story. watch the sensitive stocks apple given exposure to that part of the world gives clues. >> lets move to another big story in the market not just today but this year. would we believe you if we told you -- and we are going to tell you. tesla up 2 oh oh% in the last 12 months 300% in six months you think the crew hit the bar too early before the show? but they didn't. and that's true. and if you think the stock action is unbelievable wait until you hear how some people in the options market has done mike khouw to talk about what's going on and who is buying a new yacht. >> it's quite extraordinary what we're seeing in tesla. i mean, almost unprecedented i would have to say. the most busy single stock option today perhaps unpricingly trading over 1.3 million contracts that's saying something for a stock

closing in on $ thousand at one point today. last week we highlighted a trade, somebody went and bought nine hundred of the june 800 strike puts, calls excuse me way out of the money at the time we highlighted them. spent $19 a contract for those those traded over $250 today the buyer of the calls made over 20 million in one week maybe even more extraordinary, the weekly 900 strike calls. trading for 5 cents last friday. they trade the for over $100 oh today. that is incredible return when you think about it the thing is that options prices are extraordinarily high in fact the russell 1,000 only penny stocks have higher implied volatility than tesla right now. the 90 day implied volatile 1100% for tesla. if you you are thinking about drengsle bets it's expensive to do that unless you use spreads even those can be expensive.

some examples i would provide, i was looking at a 101,200 call spread that's a $40 call. that's up abou closed today. if you are making a bet it declines by the similar amount that costs you $55 the options market right now seems to be betting that there is a bigger chance that the stock could decline from these really elevated prices that we see here then go up. but i will tell you this if you think about making the bets in tesla it's smarter to use options. that way can you manage the risk because we can see it really move around. stocks up over $100 today. >> truly incredible on the options side as well, mike thank you very much. and for more stuff like that check out "options action," that show every friday 5:30 p.m. eastern time on deck, what may be the most bizarre potential deal in a long time. you never guess who may be making a bid for ebay.

later on a secondary market emerging in cannabis and maybe not what you might think jane wel ihe wlss reith the story from chicago when "fast money" returns ♪ >> announcer: "options action" is sponsored by think or swim by td ameritrade. ♪ ♪ ♪ yes i'm stuck in the middle with you, ♪

no one likes to feel stuck, boxed in, or held back. especially by something like your cloud. it's a problem. but the ibm cloud is different. it's open and flexible enough to manage all your apps and data securely, anywhere, across all your clouds. so it can help take on anything from rebooking flights on the fly, to restocking shelves on demand, without getting in your way. ♪ ♪

well we don't say this lightly. but this is an interesting story. check out ebay surging after the "wall street journal" reporting it received a takeover offer from the parent company of the new york stock exchange. the ice. intercontinental exchange. got everybody and us scratching our heads. steve, you work at the new york stock exchange it's not a deal. it's a reported. >> lets stress, this is my take. i in no way shape or form speak for the exchange this is me talking about it the same way we talk about other stocks on air. i think they are -- it's obvious. they are trying to get into crypto bitcoin and crypto and i think this makes a ton of sense -- it's an auction market, right. ebay so wouldn't this seem like if they are trying to get around some regulatory issues this might be a way to check a box to get into the crypto business and

sort of dip your toe in and get around the regulatory issues that might be the road block to them with the normal exchange that they run. >> i see -- i see two potential theories here, i guess, guy adami. number one is they use the expertise as deal making to help ebay be better at core business. i want to buy a bicycle faster they do that or disassemble ebay core business and create effectively a retail stock market with a place to sell research as the rules kill everything, analyst research. >> layer that on top of steve said you look at a company with the stock under performing this could be interesting. the last quarter wasn't great -- let eye of analysts have hold or underweight on this stock. maybe you think this is undervalued making sense it's valuationwise it's not crazy ridiculously expensive

i think you could probably -- it's been hard to own. you might be able to own it now on the back of everything you guys just said. >> i think it's more -- i'm guessing also -- because i don't know -- this idea of them running the marketplace business, which is the heart of the ebay much better they are good at those auctions, as you said, they can run that much better. the other thing it's interesting. how did it come out today? how did it come out? it would seem it came from the i.c.e. side or shareholder of who knew of i.c.e. interest to put pressure on the board. the board has been under pressure request for a year and a half from elliott and star board and haven't been able to turn around 9 marketplace business this is a time to put pressure on the board. >> i'm skeptical of bad charts that get bailed with bad yous in the. this is bad all year after in a market new high, new high this is a long if you are

long here. take profits if you short, stick with it. >> should we avoid schwab and ee trade because maybe this is coming at them. >> first of all you don't bet against spreker. >> the ceo of i.c.e. he has a long track record of being successful i wouldn't bet against him there. all of the names when you talk about the other names in the group, they all trade off of the yield curve steepening keep ando an eye on that before you worry about this i do not believe jeff spreker is buying ebay to sell schwinns >> this could be a coppic of conversation on the floor tomorrow ha wild guess. check out the after hours action on disney. the conference call going on now. the stock up about 0.5%. are you looking for curb cash in cannabis we have the latest craze in that space that maybe has investors

seeing green but not where you think. and cramer cam, politically talking to the ceo of ene. as buttigieg reported victoryish in iowa does that bode well for cent teen? we're back after this. ♪

♪

♪ ♪ ♪ don't get mad. get e*trade, dawg. ( ♪ ) hey there! i'm lonnie from lonnie's lumber. if you need lumber wood, lonnie's is better than good. we got oak, cherry, walnut, and more. and we also have the best selection of plywood (clattering) in the state... hey! (high-pitched laughter) man: dang woodchucks! (wood clattering) stop chuckin' that wood! with geico, the savings keep on going. just like this sequel. 15 minutes could save you 15% or more on car insurance. >> announcer: the tesla rally, inside the surge tomorrow what's fueling

momentum and should investors go along for the ride squawk on the street, 9:00 a.m. eastern. watch or listen live on the cnbc app. i was asked earlier on cnbc about whether i felt threatened by competition there is obviously more competition coming into the space. but there isn't any competition that is like ours. like our product because of the investments we made in the franchises and the quality of the product that we have made over the years and we're continuing to make >> that was, of course, disney ceo bob iger moments ago on the conference call, referencing julia boorstin's interview with him on the network lets talk about that on the big quarter. medium executive tom rogers welcome back good to see. >> you thanks for having me. >> bob iger doesn't sound worried about competition. should he be. >> he should be definitely worried about competition but he deserves a victory lap one hell of a number hats off to kevin mayer running

the digital streaming operations there. i think what's impressive more than numbers i think a lot of people were thinks these were overwhelming rpu -- hats off to the rpu bettor than my wolf in peacock clothing last week i have to say i'm impresswood the revenue per subthey are generating there, the fact that only 20% of the subs, according to iger, coming from verizon free first year subbase. that's pretty impressive i think more impressive is after the run of mandalorian therapy adding 2 million subs on top of that it shows this is not a one-time and over service that people believe it has stickiness. maybe as important as that is the fact that a lot of people were skeptical that you could take a movie franchise and turn it to television

because other than m.a.s.h. nobody in the television space had done that well and right off the bat they take the movie franchise and turn to a the tv hit they are disrupting the tv space big time and intentionally and preserve the theerkle window and mot be disrupters in the movie space. this may be momentum towards hey maybe we need to disrupt the movie space to introduce to tv. >> we were talking about spending, content, just the massive amounts of spend how long do you think that beat can go on before we need some return on that >> well, i think inherent in that is what they announced by way of spend is going to be what they really spend. today they announced launch of hulu international that's a big additional cash drain for a while. i think what's not impressive -- i think this involves more cash also, is that hulu didn't seem

to benefit by the full bundling effect of the disney bundle that espn plus doubled its subs on. it looks like the growth of hulu, which not only has the benefit of the hulu -- the disney plus bundle but the hulu live the skinny bundle of the hulu channels, not to mention the reduction in price on ad version of hulu. all that work didn't seem impressive in terms of hulu growth and they still have all the network television shows what toes that say to me, in answer to your question, they have to spend more for original content on hue will you particularly international i don't think the original guidance when they come out from a cash flow positive perspective is clear. >> lets do the math for the disney investor and put you on the spot because you know you can handle it. five years ago you paid the $150 a month in cable and disney took

their chunk with everybody else. now the way things are going, do you believe at the end of the day, month, densz collects overall more money from viewers with a combo of cable, disney plus, hulu, espn plus, than they were in the old model? >> that is the ultimate question and i think the market is betting that, yes, the growth of streaming is going to outpace the decline of the legacy business i think we are going to have a reckoning day sometime in the next two years where the falloff in the legacy business surprises the market greatly keep in mind that going back seven or eight years to where we are today, primetime television has lost 50% of the demographic ratings. children's television in the last eight years has lost 70% of the ratings, something disney really looks at. espn, the most surprising thing there is that the cable and

broadcast world have overcome the ratings decline by pushing up rates and holding advertising revenue pretty stable to growing. what happened with espn, even though football ratings were incredibly thing in illinois

right now because of tight supplies a full ounce of flour. $350 more after taxes what's more expensive, a 11, sr. is 50 million cannabis license on the secondary market what's craziest in the world of cannabis when we come back [ fast-paced drumming ]

[ fast-paced drumming ]

we were paying an arm and a leg for postage. i remember setting up shipstation. one or two clicks and everything was up and running. i was printing out labels and saving money. shipstation saves us so much time. it makes it really easy and seamless. pick an order, print everything you need, slap the label onto the box, and it's ready to go. our costs for shipping were cut in half. just like that. shipstation. the #1 choice of online sellers. go to shipstation.com/tv and get 2 months free.

high protein low sugar tastes great! high protein low sugar so good! high protein low sugar mmmm, birthday cake! and try pure protein delicious protein shakes

all right. welcome back as more states embrace the cannabis craze a grab for licensing create add kircht market. illinois is the latest to join the mechanic we find jane wells there to break it down. >> applying for a license is never a sure thing some investors are willing to pay a premium to acquire the existing license the cannabis resale market is growing as many face a cash crunch. >> are people license flipping >> absolutely. >> avis often acts as a broker

saying the licenses run from a few thousand to tense of millions on the resale market depending on the state one example he helped a group of investors to buy some on the secondary market. >> on the 3,000,000, 400,000 when it was said and done they cashed out 13 million in cash and stock options. the options aren't worth much today but. >> i believe the florida license net of carbon the balance sheet we paid you know, 40, $43 million. >> former wall streeter is ceo of ianthis buying licenses in four states on the resale market florida and new york are prized because licenses are rare. in the case of florida ianthis took over a firm which did the heavy lifting. >> at that point they invested somewhere between 15 million to 20 million in the business it's not just buying a piece of paper. that's for a going concern

the license was part of the operation. >> now, ianthis like all publicly traded companies had a rough year the ceo resigned last year maybe more license sales but they say the licenses aren't transferrable but you can get a work around like in the name of an entity and the entity changes owners you might have a background check he likes the retail licenses because they are hard to get he would avoid lab licenses because often buying a lab you aren't allowed to be in other parts of the business. and nevada put a moratorium on license transfers for now. back to you. >> jane wells, it's like the tax y medallions time for final trades. steve grasso kick it off. >> shake shack a name i'm long look at the $70 price raenl, the resistance level back to 72. shake shack. >> chris. >> we like g.e like it to 15. the street is too bearish get long. >> diamond property group.

may be buying talman but don't need them. >> brian did you see the cmg comps, they weren't red hot? they were white hot. cmg going higher. >> chipotle i like it. >> sure. >> thank you>> my mission is sie you money. i'm here to level the playing field for all investors. there is 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" and welcome to cramerica. me at 800-743-cnbc or tweet me @jim cramer never did i thin