mark clouse 10:00 a.m. eastern time, "squawk on the street" so we'll hear how another corporate leader is dealing with some of the challenges not just from the pandemic but obviously the social unrest as well. >> you don't want to miss that we're out of time on "closing bell." you don't want to miss "fast money" which starts right now. so it does "fast money" starts right now. i'm melissa lee. guy adami, tim seem more, karen finerman and dan nathan mike wilson says the new number one word for the market. plus is luxury's biggest deal in danger we will tell you what sent shares of tiffany tumbling today. we're all over the big move in zoom. can this ultimate work-from-home play sustain its red-hot run we start off with facebook front and center today the company holds an all-hands on meeting to address the pack lash over how the company is

handling protests breaking out across the nation. let's get straight to julia boorstin with the very latest. julia. >> melissa, mark zuckerberg did defend himself and his stance in that meeting with facebook employees. facebook just issuing a statement moments ago saying open and honest discussion has always been part of facebook's culture. mark had an open discussion with employees today, as he has regularly over the years he's grateful for their feedback "the new york times" reporting that zuckerberg said in this meeting that of the decision not to flag president trump's post, quote, when the looting starts, the shooting starts is what he called a tough decision but that it was pretty thorough zuckerberg reportedly saying that the company's free speech policies show that the right action where we are right now is to leave this up zuckerberg reportedly saying in this meeting with employees that he knew this decision was going to lead to people within the company being upset as well as to criticism from the media. zuckerberg's decision to leave up that post from the president and not to flag it did prompt a

digital walkout of hundreds of employees yesterday. sources tell me that some of those employees are working on a list of specific demands for facebook management. last night an engineer posted on linkedin that he has submitted his resignation to facebook. he writes, quote, i cannot stand by facebook's continued refusal to act on the president's bigoted messages aimed at radicalizing the american public last night zuckerberg and sheryl sandberg spoke with leaders of three civil rights groups. they said after the meeting they were, quote, disappointed and stunned by zuckerberg and sandberg's explanations. zuckerberg and facebook saying they were grateful for the opportunity to continue the dialogue with these organizations. guys, back over to you. >> julia, thank you. julia boorstin so basically mark zuckerberg has pleased no one, karen. but as a shareholder, are you pleased? >> well, i'm pleased with how the stock has traded this year and how well they have done. he's in a really tough spot.

and now at this point he will continue to displease everyone, no matter what he does i don't know what -- i mean, you know, i guess we're going to have to see what businesses -- actually we've seen just a tiny bit of it, how do businesses react, and is he weighing in his mind what business does he lose by keeping this stance versus what business will he lose by changing this stance and also wanting to keep important employees. so it's a very fine line i'm staying long the stock i believe in the story but i'm not sure the way out for him right now. >> the calculus of mark zuckerberg right now, guy, i would imagine is very complicated because not only is he weighing what karen outlined but also probably thinking about protection under section 230 of the communications decency act he's also thinking perhaps about being a target of a doj investigation that is ongoing at

this point that has not gone away he has managed to have a phone call with the president, which in that particular effort can't hurt him >> yeah. and to karen's point, and this is the point i was going to make, he loses no matter what he does if he censors the president, he's going to get crushed. if he does the current -- if he takes the course that he's taking now, he's getting crushed. the winner here is the president. if the president against censored he has absolute ammunition if he doesn't, he has a platform so win-win for the president lose-lose for mark zuckerberg. but since the bible seems to be all the rage i'll throw out luke 12:48. but to whom much is given, much is required. he's been entrusted request quite a lot. he's got to go to bed with the decisions he makes this isn't a political show, it's a stock show. despite everything that's going on the stock has traded like a champ. to karen's point, you've got to still stay long the name unless you start to see advertisers

start to balk. we haven't seen that yet so i'll use that as my caveat. until you see that, you stay with the name. >> i will go to the sunday schoolteacher since we brought up luke. advertisers but also user engagement those two things go hand in hand could this, and i hate to say, could this be different this time around, but in terms of how widespread these protests are. the chord that it seems to have struck with corporate america, could this incident be a little bit different for facebook to navigate >> corporate america is trying to figure out their stance on this as well karen brings up the interesting point. from this perspective, whether you're doing something tactically to align yourself with the most amount of people and businesses and what's right for the share price and ultimately profitability versus just what's right, what the moral high ground is of course the arbiter of truth, right? this is this phrase that we keep coming up with and is facebook

supposed to be the arbiter of truth when in fact truth has different flavors. so i think this is really the debate the stock has been in beast mode and that's not a religious term, that's a football term probably. it's a term that is almost hard to imagine facebook would be in, considering where facebook has been in when it's been in this kind of spotlight except for the fact that at this point it seems to be on the side of the government and that's not their view on where they are that's just the stance that they have taken but as guy pointed out, it happens to be supportive of this administration and based upon what the stock is doing, it seems to me that the stock is almost rerating based upon that. think about what we've had in the last month from facebook we had the announcement of the facebook shops platform, which is essentially -- they claim to have 160 million small, medium-sized businesses, smbs on their platform, that could be setting up essentially a store

front online, which is something that will give a lot of these closed down or at least businesses that have been shuttered a tremendous opportunity and is also a way for them to be getting involved in commerce and improving upon just this advertising story. so remember, that was the big news three weeks ago that was a very important driver for the stock. i think it remains an important driver for rerating. >> so in the game of would you rather, dan, between facebook and twitter, does it factor in the stance that facebook and twitter are taking, the differing stances that they are taking with regards to flagging certain kinds of tweets? >> yeah, i mean it does. jack dorsey has proven that he's willing to stand up for a certain set of ideals and these are going to be on the right side of history and mark zuckerberg is likely to go down in history as just on the wrong side of it and when you think about 3 billion monthly active users that they have, you have to ask yourself a question. is this platform a source for

good or a source for evil and really over the last few years, i think it's demonstrated the fact that it's really not doing a whole heck of a lot for humanity we've had a lot of guests on cnbc who have a lot to say on that so to me i applaud jack dorsey i think some of the steps that they are taking, they are trying to safeguard their platform from being co-opted the last time facebook was faced with this sort of challenge after the 2016 election, i think it's pretty fair to say that mark zuckerberg laid a massive egg. sheryl sandberg, who was supposed to be the adult in the room also did. where has she been over the last couple of years? mark zuckerberg went in front of congress and it was an embarrassment. so, you know, at the end of the day you talk about calculus. the calculus is that mark zuckerberg and his cronies have 70% of the voting rights and they can do whatever they want then you think about everything that all the other guys just said about this as an investable stock. of course it is, it's very cheap. it's an absolute advertising

machine. but at some point i think a lot of brands, especially if 2020 goes wrong, and you know what, you say to yourself how much worse can it go? it really feels at least as far as the president is concerned that it's going to get a lot more tense over the course of the summer and into the fall i see every opportunity for mark zuckerberg just to trip all over himself. i just don't see this as the sort of thing that a lot of brands are going to want to be associated with coming out of 2020. >> so it is going to be a problem from the investors standpoint joining us on the phone is kara swisher. it's always great to get your take thanks for joining us. >> hi, thank you for having me >> you know, dan had brought up a very good point, an interesting one, in terms of facebook being, and i don't want to put words in his mouth, but basically the devil's spawn. from an investor standpoint, though, maybe that doesn't matter for now as long as advertisers and users continue to use this platform do you think eventually that it catches up with either parts of the equation

>> i think it always catches up. but right now they can be as fickle as they want because their stock is up and so they get this pass. this ability to say it's okay because of the -- because they really are the only game in town and so they decided because there's a lot of legislation coming, possibly agentitrust action, to sidle up to the government but as mark has seen, he can violate rules and get away with it this is just a song that i keep singing and telling people and they're surprised that he does the same thing over and over again, but this is a pattern of mark zuckerberg from the earliest days. he has complete control of his company. it's not mark and his minions, it's just mark you know, he's not thinking of anything like what the right thing for history. he doesn't -- he has a passing knowledge of the first amendment from i've seen him speak about it and find it disturbingly

naive. but at the same time he's made a decision, and his decision is the rule of law at facebook. therefore, that's what they're going to do. >> do you think that the employee, the internal sort of revolt or internal concerns that this is sparking, does this catch up to facebook as a company in terms of attracting talent or does that problem largely dissipate over time as facebook employs people across the country with its new work-from-home policy? >> you know, i don't know, because facebook has been -- facebook employees have been among the most docile in going along with this of any in silicon valley there's always been hubbub inside google, same thing at twitter and a lot of the companies. this company you hardly hear a peep from their employees in terms of these issues, lots of issues, whenever something comes up, social issues. i'm surprised that even a few people have complained

i hope it continues. i think it will have zero effect i'm perplexed that sheryl sandberg has said nothing, has been a nonvoice here, a public voice, but i think they decided to put mark out front. i think he wants to be out front of this. they have tried with his content board which would never decide things like this it's only stuff that has been taken down there, not stuff that should be taken down so they tried all kinds of things i think they are going to do exactly what they're going to do and this decision by mark should come as no surprise to anybody >> kara, it's always great having you on, thanks for being here. >> thanks. >> at what point, if any, is it incumbent upon the end user to make his or her own decision to delete the app or to push back i understand what you're saying about mark i think it is what it is with mr. zuckerberg but the other side of that equation is the people have the power at a certain point, no >> absolutely, that's exactly

right. the people can decide whether to use these products i know my own kids don't want to use it and this is part of the reason they're totally disappointed by these decisions but my kids don't represent everybody. some people find it really useful you know, mark zuckerberg is going to continue to be what i call him on twitter, the susan collins of the internet. that's what he's going to be he's going to be disappointed and concerned but do exactly nothing about this and continue to let president trump do what he wants i think you were right, you were all right in saying there's no lose for the president because if he gets kicked off or sidelined, he can complain to his base if he doesn't -- if nothing happens, he wins it's just -- it's just -- it's a really perplexing situation and something this company and other companies in social media should have faced a long time ago, especially with regards to president trump. he's like a -- they gave sugar to him like a child they gave

shirg sugar to him and they wonder why he's diabetic and screaming. this is what you get when you allow someone access to your platform and have no rules whatever side we're on on this, we're here because this is the way they made it. >> if facebook loses out or facebook loses some advertisers, whatever, if this whole issue catches up with that company, does twitter gain an edge? >> no, not necessarily i think it would be interesting if twitter went to a subscription model professor galloway talked about that they have nothing to lose. the two big players are facebook and google and they're carving it up for themselves so twitter really is in a unique position would people pay for a subscription you know, there's all kinds of things twitter -- that's why twitter has cut off political advertising. it also wasn't much of a lift. although i admire what they did, it wasn't much of a lift because

it wasn't much of a business advertising really isn't the point. political advertising isn't really where the game is, it's political content that gets thrown over the whole place and a lot of it is disinformation that's allowed to thrive on platforms like facebook. so, no, i don't think they gain from it because they don't have the same product facebook has kind of got a lock on a lot of this stuff i think they're angling not to be controlled in any way by the government if this administration wins, they certainly will reward facebook by leaving them out of what's going to be possible, you know, purge of the social media companies. >> kara, thanks so much for joining us we do appreciate it. >> all right thanks very much. >> kara swisher, always good to get her opinion on things. karen finerman, what did you make of what kara had to say and the notion that because facebook has such a lock, i mean it may not really make a difference in the end to its competitors

>> i think, do you remember cambridge an lcame cambridge analytica was such a giant. kara has been saying this for a long, long time that zuckerberg is going to do whatever he wants and he can, not just because of his voting but because of the power of the platform. it makes me wonder, if profitability and share price were to go down a lot, would that make him change his tune, or he's just sticking by it? i don't know all that having been said, i'm sort of detached investor and still think the platform is incredibly powerful and i don't think the stock is expensive so i'm staying long. >> tim >> well, at $8 a share on expected 2020 -- you know, if you put a 30 multiple on it, everyone can do that math. stock is not expensive relative to itself it is, but not relative to the size of the platform and the ability to

monetize and again, the undermonetized assets in whatsapp, messenger and instagram. these are the things we're not talking about and things that give this company more upside. i have become more constructive on where this stock can trade obviously over the last month or so as i've seen the combination of the -- management has made the choice as we've just discussed, i won't go back into that that is probably constructive for the share price. it's an apolitical comment i hope it is something we've seen in the past and completely opposite of what they were doing four years ago. >> we've got a news alert out of amazon deirdre bosa has the story >> hey, melissa. amazon is planning a summer sale event for june 22nd designed to provide a boost for sellers that have been feeling the impacts of the covid pandemic in a document send to brands and viewed by cnbc, amazon says that the so-called fashion summer sale event will be by invitation only and run anywhere between

seven and ten days long. melissa, this really comes as amazon operations start to get back to normal in the last few weeks. they start to sell more than the limited amount of goods they had at the height of the crisis and it also comes during the annual prime day. that shopping bonanza is delayed reportedly until the fall. back to you. >> just to be clear, this is for clothing >> it says it's a fashion summer sale event, so it sounds like it's for clothing, but i think the focus here is that these are non-essential goods. as operations come back online, i think amazon is trying to promote some of the sellers that had a harder time getting their stuff into warehouses and out to the public during the pandemic. >> all right, deirdre bosa, thank you for joining us guy adami, this is also happening at a time that retailers are starting to try to reopen and amazon will be out there with its sales spectacular

later this month it's going to be tough >> you know, we talk about obviously in the course of the 20 minutes of the show, we talked about two companies that have just -- basically it's their world and everybody else is playing in them i think you just outlined it really well. in terms of the stock, it's really amazing people see and hear what they want to hear i thought we did a decent job. own the stock into earnings, pull the rip cord, try to buy it back at 2170 and the stock got down to 2240 the stock has done everything absolutely right, as has facebook so it's one of those names, you know you're looking for -- you're looking for those entry points we're trying to provide you with them but these are names that are impervious to whatever perceived bad news is out there. coming up, is a major luxury deal in danger the headline that sent shares of tiffany tumbling today. we're all over the after-hours call on zoom we'll bring you any big headlines.

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transfer your service online in a few easy steps. now that's simple, easy, awesome. transfer your service in minutes, making moving with xfinity a breeze. visit xfinity.com/moving today. welcome back to "fast money. a retail mega merger could be in derri danger tiffany plunging after it looks less certain karen has been digging in on the deal karen, what did you make of the agreement, how air tight it is and whether this could go through or not >> right i'm not surprised to hear lvmh is sort of having cold feet but the question is whether they can get out of the deal. i think the answer is not really this is a very, very tight merger agreement unless there's a material adverse change if something really bad happens

that allows the buyer to walk away but a lot of agreements carve out what are some adverse changes that don't give the buyer the right to walk away worsening of hong kong trade tensions, worsening of china tensions and hong kong protests. but there's two others that i think are even more interesting here the language is, changes or conditions that generally affect tiffany's industry so that's pretty broad protection and the second one is the inability for tiffany to meet their own projections. that's pretty broad as well. so these were the very best lawyers that crafted this. actually it's frank aquilla from sullivan and cromwell who i think is a friend of the show. so he's representing tiffany i think they definitely have the better side of the argument by a lot. the other thing that's sort of important is lvmh is seen as a very high-quality buyer. and they have already raised the money to do this deal.

this was a very unique property. it doesn't come along very often. but i think that they really don't want to tarnish, no pun intended with tiffany silver, but they don't want to tarnish their image of being a premiere buyer because they like to buy the very best businesses so all that having been said, i think that with the stock here, i don't own it because i only know what the upside is. the upside is the deal closes at 135. the downside if the deal wrabres which i don't think it will but i don't know what the downside is so it's hard for me to assess the one other thing that's sort of important is if tiffany somehow breaks, toudman stock is trading down either. even though it has its own agreement, that's the way deal portfolios work. >> and it's not just a matter if the deal breaks but you don't know the downside if the deal gets renegotiated and there's a new price on it, tim so i mean to the person at home

that might think, oh, this seems like a slam dunk, but not really >> well, it depends on, first of all, the sense of the luxury space and where it's going in a covid-19 is certainly an unknown. tiffany was a $92 stockish couple of days of rallying where it vaulted almost within ten bucks of the numbers karen is talking about. i think weakness on tiffany should be bought i think the unknown in terms of where this deal could get recrafted is important, but i think it's a brand that we've also seen be very resilient during difficult times we saw it come back very quickly, for example, after the financial crisis in 2008 because the luxury spend and certainly tiffany's market is one that largely i think remains. it remains resilient so i believe tiffany is one to watch on weakness, but this speculation about this deal, could it close or could it still

be broken apart has been going on for months. this is something that not to this point but was news out there in mid-march. coming up, morgan stanley's mike wilson will join us and tell us what he thinks is the biggest risk to the rally. we'll bring you the trade when "fast money" returns dad, i'm scared. ♪ it's only human to care for those we love. and also help light their way. it's why last year chevron invested over $10 billion to bring affordable, reliable, ever cleaner energy to america. ♪ thats where i feel normal.s an hour, having an annuity tells me my retirement is protected. protected lifetime income from an annuity can help your retirement plan ride out turbulent times.

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♪ ♪ ♪ welcome back to "fast money. the market paying close attention to protests both peaceful and violent our next guest says the unrest isn't the number one risk to the rally right now. let's bring in mike wilson who joins us on the phone tonight. mike, great to speak with you.

>> thanks, melissa great to be here. >> what is the risk then >> i mean, look, we don't want to downplay the violence over the weekend, it's a terrible event. but for the economy and the recovery itself, i think the biggest event in the near term is going to be can we get the additional stimulus passed through congress that we already had the one will do we get the unemployment benefits extended as we are expecting? there is a risk that doesn't get done that's a potential risk. obviously there's a risk we have a spike in cases as the economy reopens. so those two i think would be top of the list for me, something that we're watching closely over the next couple of weeks. >> you know, as we watch the protests, tom lee points out that the protests can be found in 75 cities across the united states he writes we now have transmission risk in high gear in the u.s. in 75 cities i mean people don't protest with social distancing.

so inasmuch as the protests represent not only a risk to consumer sentiment and confidence but also just a transmission risk, a higher risk of a second wave, how are you viewing these protests, especially the longer they go? >> yeah, i think that's a really important insight. it's actually also going to provide a very good test for whether or not there's going to be a second wave, right? if we don't get a spike after these protests, that would be a pretty good sign that perhaps the virus itself has been eliminated or at least more eliminated than what people are fearing and that would be a good thing so it can go either way. once again, that's why we'll be watching it very closely we're reopening quickly. a lot of the country is doing that i think it's the right move. the violence and the riots this weekend obviously is not being done with social distancing as you point out. so those two things together, if that doesn't result in a spike in cases, the market will probably take that pretty

constructively so we'll see how that goes. >> if there's a use of armed forces, mike, is there a martial law risk to the markets? >> well, i think we're getting a little ahead of ourselves at this point whether or not it's going to lead to shutting down cities again for safety reasons, we're seeing that at night with the curfews. let's hope it doesn't -- let's hope it doesn't get to that. we'll deal with it if that happens. right now it's so hard to predict, let's just hope it doesn't go there. >> karen, you got a question >> i do. mike, excellent call both last year and this year, but in your constructiveness, your bullishness, is there more that you expect from the fed or sort of the stimulus, the last leg for a while? >> yeah, look it's a combination of a couple of things. first of all, we have -- we all know that this is a very steep recession that we've had we're in it now. typically you're going to get some kind of recovery off of that and we've written about this

extensively. i think because of the health crisis nature of this recession, we've gotten more stimulus than we would have gotten in a garden variety recession or even a steep recession where there wasn't a health crisis so that's going to help effect a v-shaped recovery of some form. it doesn't tell us about the sustainability about it. but we're getting more confident that between the steepness of the decline with the probably faster reopening people were thinking about four to six weeks ago, fiscal and monetary policy working in concert and still growing in size, by the way, that's a pretty good cocktail for a powerful second half recovery and that's what the market is looking forward to now we just need to see if it can sustain. >> just quickly, mike, if we do have that second half rally, is it the reopening trade that wins the day? >> i think we're getting the reopening trade now, right look, the market, i could argue, is pricing in some of that recovery i think a lot of folks would

argument the market is way ahead of itself. but markets are always ahead of themselves they're discounting machines i think in order to get even higher prices, we'll need other positive surprises rather than the reopening being the surprise, it's that we're reopening without a deadly second wave or, more importantly, that they don't relockdown the economy even if we get a second wave and we're better prepared for it with the health care system. so as we reopen and start to live with this virus and understand that we can function okay as an economy, that's going to get business confidence, consumer confidence up and with the stimulus working in concert, you can create some pretty good velocity in certain areas of the market. >> mike, thanks for joining us. >> thank you, melissa. >> good to talk to you mike wilson, morgan stanley. guy adami, you agree >> to a certain extent i agree the market is very expensive as well to mike's point, i don't know if valuation even matters given vis-a-vis all the stimulus and the money that's been pmumped

into the system. jim cramer said something this morning, the market doesn't have any emotions there are 41 million people out of work. obviously we're seeing what's going on outside of that and get people will turn on the news tonight and at some point see the stock market is within a whisper of an all-time high. you know, talk about a v-shaped recovery i don't think you get it in the economy, but you're clearly getting it in the stock market and the chasm between the two continues to grow. a company's call is under way and we're listening and will bring you the headlines. later, a tale of two stocks. why this ultimate reopening play and ultimate sy-taat-home play have us scratching our heads today. we'll explain.

welcome back to "fast money. we've got an earnings alert on zoom video deirdre bosa joins us with that. >> hey, melissa. that earnings call kicked off just a few minutes ago eric said he remembered the first earnings call last week. as you noted before the break, shares have turned negative in the last few minutes after being up as much as 6% we'll try to find out why and bring it back to you but it looks like some volatility there the results, though, they largely delivered on the very, very lofty expectations for this company throughout the covid pandemic some analysts have questioned whether zoom was capitalizing on the surging user numbers given its free offering. the answer according to the results is yes its highest-paying customers were up approximately 90% from the same quarter of last year. customers with more than ten employees, they surged more than

350% year over year. another question was sustainability as the economy reopens and more people head back to work, zoom's full-year outlook also strong. it expects $1.8 billion in total revenue, nearly double its last guidance figure. zoom has been facing stiff competition. microsoft, google, facebook, have been upping and promoting their own video conferencing platforms. so on the earnings call no doubt analysts will want to know how zoom is going to keep that lead. melissa, this stock has more than tripled this year back to you. >> thank you, deirdre bosa let's trade zoom dan is back. by the way, there were problems with the technology, it wasn't because we were ignoring dan or anything like that we all love dan. so dan, your thoughts on zoom here >> very high expectations. the consensus estimate for revenues in the quarter was $200 million. the whisper was $300 million they came in close to 330 so it

wiemd out all expectations, but i think you would expect that to moderate that full-year guidance, the stock is trading at almost 30 times sales. $58 billion market cap you say to yourself they have done everything that they could have possibly done so great company, great future for it it's going to have to grow into that valuation she used the term "volatility. i would expect some volatility i have no idea if this thing is going to make a straight push to 300, but the options market was implying a 15% move in either direction. the fact that it's up or down a couple percent is interesting to me but obviously a great quarter. >> i was surprised when the results crossed that the stock wasn't down even more and down more now in the after-hours session. it's now down less than 2% tim, given the tremendous run going into the quarter >> so, again, there's a high bar and then there's a really high bar and then there's clearing the high bar and doing the fozbury flop these guys crushed this. is the stock going to flop down

to the mat i think the trade is microsoft i think the trade is obviously microsoft teams, which they're viewing collaboration and viewing video is actually a core hub to luring people to the overall office products suite. i just think that when you look at what's going on and what's mentioned is facebook and google and slack. it's just so hard to say that zoom is going to run away with the prize here even though they are the runaway winner of covid-19 stay at home. microsoft has been winning every single day satya nadella, why shouldn't microsoft offer all those other services around this and pull everybody into their system. that's what they're doing in interpri enterprise, on the home front. i think they'll do it here. >> let's bring in gene munster to react gene, you already thought it was pretty fully valued. so what does zoom need to do in order for the stock to move higher. >> they need to keep the growth

rates going at close to a similar pace that's what it boils down to, melissa, this is a momentum play i want to quickly articulate that as dan talked about this, my math is it's trading at 33 times this year's number slack at 20, microsoft at 10 blue jeans, a very small competitor just got acquired by verizon for likely four times revenue. so to keep this stock going, you have to justify this gap i over the years have watched these growth companies one thing i have observed is usually making a negative call or avoiding a story because of valuation in a massive growth opportunity, usually that's the wrong call the right call is to look the other way and own it but in this case i'm thinking that that gap is just simply too far. the probability that the growth rates decline measurably in the quarters ahead is high, despite this undeniable truth about

remote work. so i put this in the camp of a great company. the verb zoom will be around for a long time, the company will be around for a long time but at a $60 billion valuation trading at 33 times next year, it's just difficult. there are so many better places you can have your money. >> i get that zoom has become a verb and that's critical to understand in the company how integral it has become but companies that have become verbs and have now been displaced by competitors so when you're thinking about zoom and this tremendous remote work-from-home trend that's going on, you also have to think about the microsofts of the world, the cisco webex, et cetera is it your feeling that zoom has a market share that it is going to in fact hold onto >> i think they'll continue to grow they just reported essentially 300% quarter-over-quarter growth, that compares to webex

at 200% and microsoft teams at 100 pbl 100% these are the number of paid meetings going on. the reason why that is growing is i think there is something beautiful about zoom user interface. web conferencing has been around for a long time and it's never taken off in part because of the complexities vast difference in terms of what these products look like so, yes, bigger tech companies can replicate this and come out with simplified versions of it but i fundamentally believe that they have tapped into a sweet spot that i anticipate that zoom will be around other companies will try to streamline, but i think that they will still continue to gain share and i think the story is still largely fairly or potentially overvalued here. >> karen has got a question for gene >> yeah, i've got a question so the quarter ended april did they give on the call yet, i think which just started, did

they give numbers for what happened in may? and how did that factor into their outlook for the year >> so haven't seen those the last numbers that they gave were at the very beginning of may they reported their april numbers. it wasn't in the press release today but that was these 300 million paid business accounts and that was up from 10 million -- or participants, meeting participants, 300 million, up from 10 million. just a staggering number 300 million up from 10 million at the end of december is the last time they reported that cap karen, to answer your question, i don't know if they have gotten to that yet. >> gene, thank you for joining us guy adami, what's your trade on zoom >> hi. >> hi. >> well, it's interesting. so dick fozbury, he's the guy that created -- he revolutionized the high jump, but years later dwight stones came around and shattered all his records but it's still called the fozbury flop.

what's your point, guy my point is zoom isn't going anywhere what's going somewhere is the valuation. i think dan nailed it. i mean i'm surprised it's not lower as well. and recall we talked about this stock in the fall with you when we were all sitting together when it was $80. i never in my wildest dreams thought it would go to $200. i think you figure out where to buy it back and i think that may be in the 140s which theoretically it can trace back to. >> i don't think dick fozbury has been mentioned -- i think this is a historic moment on this show. >> this is fantastic. >> but dwight stones has dwight stones has. he watches the show, i think he texted us after. the coronavirus creating a tale of two rallies. what are they and should you be a buyer here plus u.s. lawmakers looking to chip away at china with increased scrutiny of chip makers and options traders think that's good news for one semi name we'll name it.

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welcome back something interesting happened in the markets today and these two stocks may be telling the story. square a big reopening play. restoration hardware a big stay-at-home play, both rallying today. in fact that got us thinking about some of these trades the ultimate workout trade from home,peloton, and the ultimate gym reopening trade, planet fitness, they're both rallying over the past month. the ultimate dine-in and dine-out plays are both rallying and the staycation and vacation trades, they're both moving higher so that got us thinking, can the stay-at-home trade and reopening trade both rally at the same time tim, a comment you made i think in yesterday's show, they all seem to be blending together,

really got us thinking about this and taking a look more in depth at these two buckets of stocks >> well, it's just -- you know, it's secular versus cyclical on some level the secular are the haves and the stay-at-home trades. in many cases they have been work-at-home trends. fitness as a service, whatever you want to call peloton obviously service-oriented companies. i think when you've seen companies like netflix and walmart who got out of the gates early in the crisis in terms of being defensive and they in walmart's case pulled some sales but there are trends that walmart will continue to benefit from, but they are in the lowest margin part of their business which would be on the grocery side essentially the online ordering of stap 'les and whatnot. i think you can have it both ways but the market needs to be really careful about what they're doing to companies again, we talked about chipotle

and i said they did a great job reengineering a digital transformation in a company that was a growth fast leisure play but are they better off in a post-covid-19 environment than they were before i think we have to be very careful how we are attaching multiples to secular ideas and trends and what they're going to mean three to six months from now where i think we're going to have an economy that's struggling. >> guy, your thoughts. >> i think people have come -- in the last three months if you own a peloton, my sense is you've come to love that machine. i know i have a long time prior. so the stock trading effectively at all-time highs in my opinion tells you everything you need to know i don't think that's going to go away i don't think when the world reopens we're going to forget our pelotons at least i hope that's not the case so i do -- to answer your question, i think both sides can win. i'll give you your walmart and you look at names like dollar

general, for example, which people have discovered they're not going to go away from that once we reopen in force. so i do think you can win in both scenarios or both sides can win to answer your question. >> karen, quickly. >> yeah, i think both sides can win but if the market is up, they'll both win but the cyclicals and open stocks will do better, they'll catch up. there's a lot of room left to catch up. coming up, options traders betting on a big surge for one chip maker. coming up the ceos of crowdstrike and b and g join jim. in the meantime much more "fast money" after this. like prescriptions are on their way. every day, all across america, we deliver for you. and we always will.

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wow, that is easy. almost as easy as having those guys help you move. we are those guys. that's you? the truck adds 10 pounds. in the arms. -okay... transfer your service online in a few easy steps. now that's simple, easy, awesome. transfer your service in minutes, making moving with xfinity a breeze. visit xfinity.com/moving today. welcome back to "fast. semi stocks having a big day today. options traders are betting one name is about to break out mike khouw has got the action. hey, mike. >> hi, melissa txn, texas instruments, traded more than four times the average daily call volume today and that was a result of a large trade in the september 120 calls. an options trader bought over 8700 paying an average of $9 that's making a bullish bet that texas instruments will compete that $120 strike price they began trading these earlier

in the day and were well in the money actually since the stock closed up 4% this represents a very large trade. this would turn into about $105 million worth of stock so a big bullish bet going out about three months. >> dan, what did you make of this trade >> yeah, so interestingly enough, mike highlights the fact that it's in the money this trader is playing for new highs in the next few months think about where texas instruments is exposed in just the industrial sector, a pickup in autos would be good for them. so not just on some of the things that we think about all the time like smartphones. this one makes sense it's growth at a reasonable price. >> so it's truly cyclical in many, many ways, guy >> it's expensive, though. i mean i think even dan nathan, who is going to fricasee me again would say it's an expensive stock. it definitely looks like it wants to go up to 130 and retest those old highs, but this is deep end of the pool stuff, mel.

so as mike khouw would say, or dan would say, you know, what do you say, dan, good luck, knock yourself out i think that's what you do in texas. >> go at it, people, knock yourself out have at it we should have a list of danisms. and then in the guyism column is fricasee i have yet to understand or learn from fricasee is but i'll have to google that tonight. mike khouw, thank you. for more options action, tune into the whole show friday 5:30 p.m. eastern time. coming up next, the final trade. ♪ ♪ ♪ ♪

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time for the final trade let's go around the horn

tim seymour. >> emerging markets have taken the weakened dollar and inflation trade and outperformed the s&p by 5% in the last three and a half sessions. that was a trade of mine two weeks ago. back in emerging markets, stay in this trade. >> dan nathan. >> you know, you hack the bear out of that mike wilson conversation where do you think rates are going right here where do you think the economy is going the back half of the year i think tlt on the long side is a good hedge against an equity market that could go lower >> karen finerman. >> yeah, so if we're in this rotation, i like fedex it may seem like they have had a boom in business because of everyone at home receiving packages, but actually those business deliveries are a much higher margin for them if we do reopen and get some momentum, i think fedex is going higher. >> guy adami. >> dwight stones used to kill it in superstars, remember that

back in the day, mel, i know you were an avid watcher i was as well. listen, i know fozbury is a fan of the show. tim seymour is a fan of pxs. >> thanks for watching mean tile my mission is simple, to make you money i'm here to level the playing field for all investors. there's always a bull market somewhere and i promise to help you find it. "mad money" starts now hey, i'm cramer. welcome to "mad money. welcome to cramerica other people want to make friends. i'm just trying to make you some money. my job is not just to entertain you, but to educate, teach context. call me 1-800-743-cnbc tweet me @jimcramer. yes, we're consumed by social unrest and there are pictures from around the nation. we're shocked that the peacefu