shepherd next door. >> yeah. i can't wait to go over there and look at the lawn i bet it looks perfectly m manicured. i'd also like to wish a happy birthday to my dad >> thank you so much for watching a record finish once again for the s&p and the nasdaq "fast money" starts now. i'm brian sullivan in for melissa lee. this is "fast money. tonight's trader line-up tim seymour, karen finerman, steve grasso and brian kelly coming up tonight, we are gearing up for another big week of retail earnings so which of those names should you add to your stock shopping list plus, cannabis company crystal labs making investors money today after reporting record revenues for the quarter. the ceo joins us exclusively.

bk says if you want to know where the market is headed, pay attention to this one chart. your chart of the week, a mystery as well. to quote the song, we've got a long way to go and a short time to get there. let's start with the biggest of the big, the big apple no we're not talking about new york city, all due respect, frank we're talking about the world's biggest company getting even bigger today apple shares rallying more than 5% apple's move adding nearly $104 billion to its market cap. that's equal to, get this, an entire citi group, two kraft heinz and roughly two chipotles. do you want to be part of it or are these little town blues headed apple's way >> that's the question, i think.

are you leaving today or if you don't own the stock, are you buying it today. after what almost feeled like sa punctuated move just since earnings, everyone's done the numbers on where they are off the lows it's been staggering the question you have to ask is what the multiple you put on the services business versus a hardware business that looks like there may be some gross margin growth in that. 350 million of those 950 million phones probably will be refreshed and renewed in this 5g cycle. a $60 billion services company if you put a 15 times multiple on it, that's a trillion dollar company on its own this move in apple is nothing short of extraordinary frankly, i can't say you should go run in and buy it today i think there's a lot of folks who wonder who miss this move when is my spot and i'm not sure it's tomorrow. >> karen, the stock is more than doubled in a year, up 133%

it's like the pandemic never happened are there revenue odds up 103% >> i guess apparently not. i think we could have played fly me to the moon as well i own apple. there's no reason to it. for me, the stock split is really not a reason. but then i keep coming back to i don't have an alternative and i don't want to own cash because i'm afraid of inflation. so i don't want to own cash. so i know that i'm not going to be able to time it on the way out, time it to get back in and make enough of a spread there to pay for the taxes that i'll have to pay when i sell it. so i'm sort of holding it but i hate action like this. so if i want to hang onto it,

then i've got to look where do i hedge. that brings me back to s&p puts. i have puts expiring today as many of my puts have if i'm going to hang onto these things because i don't have an alternative for them, i need a little protection. >> shame on the production staff missing that fly me to the moon, really just letting us down. steve grasso, it's clear that fundamentals, i'm not going to say don't matter, but they've kind of been lost in the dust. as long as macro money keeps coming into the market, could apple just keep going to the moon >> yes, it could you know, i broke my own rule on this one apple is something that you own. you don't trade it i actually tried to be too cute. i sold apple right before

earnings i wound up getting it right in the mush now i think the most part of this, brian, is the split. it adds no intrinsic value as karen as said, as we all have said, but it's always positive when you have a right way split in a stock and when you look at past performance, it's done the same thing, ran up into the split it will back up a couple of days after the record date. and then after that it runs right back up. so you're left sort of holding the bag here i bought it for services, didn't believe it was just a one trick pony with hardware so i would say if you've waited this long, you might see a little brief pullback next week. and i think this is why value can't get going. two issues, tesla split, apple split. let's see where the dust settles and where we are in two weeks. >> i mean, let's not forget that epic games, the maker of fortnite, a massive company,

filing a lawsuit basically going after the apple app store. i understa this is also a company that's under a little bit of judicial threat, if you will. there's a headline risk here why doesn't anybody seem to care >> because they love their apple phone. they think it's the greatest thing ever and they're taking a page out of peter lynch's book, why what you know and buy what you own and what you use and again, i go back to the split which everybody's talked about. it's completely absurd but until proven otherwise, there's a couple things i do know we know we have that headline risk we know we have the potential issue with chinese demand. we don't know how that's going to play out as we come into the election the last thing i know is that trees don't grow to the sky.

eventually this will come back down to earth. it's not a time to short it but if you're long and you're a trader, there's nothing wrong with keeping off a third and as it goes higher keep taking off a little bit here and there. the trajectory is straight up. i've never seen a stock chart that continues to go straight up eventually they come back down so be careful on monday morning if you're thinking i'm going to buy into this thing because the momentum is there. >> the breadth of the overall market today was not great it's all been concentrated at the top. we have news alerts right now on another trillion dollar company, microsoft. josh lipton has that >> we have some news here on microsoft. reporting that microsoft is finding deals with foreign governments to offer cloud packages this would be like the bundle they assembled for the d.o.d., the pentagon, that contract up

to $10 billion over ten years. that's being contested by amazon but microsoft already has relationships with foreign governments. amazon, microsoft go head to head in 2019 amazon controlled about 50% of that market and microsoft controlled about 15% of it market share up 15 in after hours. >> for more, head over to cnbc.com, read more about that story that josh just talked about from our crack team there. tim seymour, another stock not as superlative as apple but has been a monster of a moneymaker. >> if you look at a five-year chart on microsoft, it's a better chart the turnaround that started has been all about the cloud, has

been all about enterprise. microsoft teams is going to be taking market share. there's a major argument you'd be buying that and selling zoom as you look to even just where some of the big tech giants will probably push around companies like zoom. microsoft is as far as i'm concerned they are the other company to be talking about in this world of mega cap tech. this is the multiple that is depending on what you think you should be paying it's 32 to 35 times. is that cheap? well, they are taking market share in the cloud there's no question they are beginning to really dominate as gaming is a billion dollar business and microsoft clearly has navigated the regulatory environment, the irony of course is that back in 1998 they were the ones that really started this focus on big cap tech and they're the ones that seem to be navigating best right now. >> yeah. bk, you talked about apple, the peter lynch model, oh i love my

iphone so i'm going to buy apple. you don't hear a lot of people saying i really love outlook they're an enterprise company. do they deserve the same kind of attention that a consumer company is going to get or maybe more >> well, i think your point is well taken that in this environment where a lot is driven binay narrative and gett that attention of the robinhood traders, microsoft isn't necessarily that exciting. but look at the business that it has. it's got great contracts coming up in contrast to amazon, it app r appears that it's got kind of the tap on the shoulder from the government to go out there and get these contracts. the government talked about them buying tiktok. that's an acknowledgment that microsoft has a bit of a regulatory governmental tailwind to it. i agree, tim, listen maybe it's overvalued it was my pick a few weeks ago when i did the fast pitch or

whatever that thing was we did and i won. i'm still riding a high from that and i would still buy microsoft. >> there you go. well said. time now to move on. we are gearing up for another big week ahead for retail. let's check out some of the big names set to report. best buy, nordstrom, dollar general, gap, ulta beauty, dollar general, dollar tree, dikdi dick's sporting goods and more it is a perfect time to play -- >> shop it or drop it! >> fantastic >> yeah. that's right, shop it or drop it let's kick things off with the gap. the stock has gapped down nearly 18% this year. tim, are you going to pick up a stock at a discount or are you going to drop it >> well, you know, by the way another one of those games we have that's a little confusing because when i shop something i'm usually selling it

having said that, i'm going to shop it which means i'm going to buy it gap after such a terrible run up 78% in the last three months maybe that's just dead cat bouncing it's focused on old navy, interesting partnerships whether kanye is on or off i like what they're doing. i like the direction i think forced restructuring because of what's happened in the mall space is great for gap. >> what do you think of the gap, bk >> i'm a dropper of this one i just don't see it here i don't think it does well in this environment whatsoever. until acid washed jeans come back, i'm going to drop gap. >> best buy has been a best buy

in retail, up nearly 30% year to date set to report before the bell on tuesday. steve grasso, are you shopping it or dropping it? >> i would be shopping this one, brian. this is one that's knocked it out of the park. everyone is running to the store trying to buy their tablets like we're all doing at home, buying your tablet, your pcs, extra monito monitors they knocked it out of the park with online sales. online sales are up 155% or thereabouts last go round. when it was just curbside, online was up 300% so there will come an end to this where people have enough ipads and computers and everything else, but for now i think we're adjusting to this new environment. i would still shop it. i think you're okay. the chart to me still looks intact. >> next up, dollar general also

cranking higher from march lows. bk, shop or drop >> you know what, i'm going to have to drop this one too. i'm just not a huge fan of retail here. dollar general, i understand they're in somewhat of a good place in maybe a slower economic environment. but what i'm concerned about is there's all kinds of supply chain issues we know that going into the store is not something people are going to do. we're coming into the fall and i'm quite concerned about a lot of volatility in this market that could hit the retailers as we intercept and enter september it's a drop at this point. >> karen, shop or drop >> i actually would shop this one. i have a number of work from home things that have worked this is only laeba little bit t. the real upside here is a vaccine. i think in the meantime, though,

they are slowly evolving they're increasing their digital business which is good i like this management team. the thing that sort of put me over the edge was i don't know if you saw es tatee lauder's earnings but the decline of makeup is axccelerataccelerating i think with a vaccine this stock has tremendous upside. i'm a shopper. >> a buyer of ulta beauty. we are just getting started here on "fast money." here's what's coming up next. >> lighting up the ceo of medical marijuana company cresco labs. plus, the chart that may be sending a major warning sign for the market we'll tell you what it is when "fast money" returns you say that customers make their own rules.

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welcome back to "fast money. cannabis company cresco labs making money today for its investors after reporting record revenues for the quarter and the target price was raised at 8 capital. joining us now is cresco labs ceo charles becktell there's a lot of states that might come online with adult use cannabis here, but analysts are focused on the metrics they're focused on gross margins. there's some conversation you might be able to boost your gross margins by 50% in the next year is that achievable >> thanks for having me. good to be back.

what we're doing is we're putting together a fundamentally sound business that's what the and hialysts responded to last night with the earnings call. we showed top line growth but also phenomenal bottom line improvements we showed growth in the right areas too. it was broad eight of our nine markets we had more than 30% sequential growth quarter over quarter we're doing the right things to make us successful long term that's of course by focusing not only on the top line but bottom line as well. >> tim, i know you have a couple of questions. >> thanks for joining us great numbers. i've been following you guys for a long time. the fact that you're executing 30% growth in pretty much every state you operate in tells me the operational leverage is there in the business.

this is similar to brian's question for investors who have been disappointed in the profitability, you're free cash flow positive in june. what should we be looking for from the sector you and the other big four in the u.s. are really putting out some strong numbers. >> i think you're going to continue to see the same what we've seen from the sector during the last five months which have been incredibly difficult five months across all sectors. we've seen cannabis establish itself as truly one of the next consumer staples this is a consumer package growth industry. we're seeing growth across all of these state platforms we're seeing that consumers are making this part of their daily regimen whether it's for wellness or just general quality of life. we're seeing cannabis resonate with the consumer base we are in early stages here. we're just now starting to see

the infrastructure get built to be able to come close to even meeting what long-term demand looks like we're very excited about this sector and i think you'll continue to see the big four have success as we go forward through the rest of this year and into 2021. >> we've got to leave it there on a friday. great numbers, the stock up nearly 3% today. we appreciate you coming on cnbc steve, you're in the cannabis space as well. what's your take on cresco, their numbers, the says in general? >> their numbers were great. there's nothing you could fight back on those numbers or push back i think we're in, as we've always been, a very politicized year and going into year end if you start to see the democrats gain a lot more traction, they are quote, unquote, softer on a lot of these federal regulations as far as cannabis. so i'll stay pretty consistent with what i've said in the past. i think you're going to see a

lot of consolidation in the space. i think you've got to buy the ones that actually make money or have a pathway to making money and the rest of the space is going to be gobbled up as we progress that day is near make your own etf in the cannabis space and buy the top names. >> tim >> i think the profitability is the key. i do think you have some dynamics whether it's blue wave or not, these businesses have become too important on a state level with major holes in their budgets. i think this is a bipartisan issue. i think the most importae issuee sheet rationalization that the big companies have made. >> big numbers there on cresco thankcoming up, the one chart that could tell us where the market is really headed. it is your chart of the week

we'll let u owyokn what that is when "fast money" returns. for skin as alive as you are... don't settle for silver ♪ gold bond champion your skin come on in, we're open. ♪

all we do is hand you the bag. simple. done. we adapt and we change. you know, you just figure it out. we've just been finding a way to keep on pushing. ♪ if you want to know where the macro market may be headed, bk says you've got to watch this

one chart. it is your chart of the week bk, what is that chart of the week >> yeah. so the chart of the week is the dollar index, dxy versus the vix. you might not think about overlaying these two you say what does the dollar have to do with equities but the dollar is acting very much like gold did during the 1920s and '30s we are on a global dollar standard back then people were on a global gold standard it acts like an economic wrecking ball. there's a lot of dollar denominated debt i think it's really interesting when you look at the two you can see directionally they kind of move together. it makes sense fundamentally that a strong dollar is actually not good for the global economy. it can slow things down.

so when we see spikes in the dh dollar, the vix toenends to folw >> time now for our final trade. tim? >> i think a lot of the executives in retail have actually learned something or two in the last couple years i think gap'shad some painful lessons and fail add few claed x but growth is happening. i like gap here. >> karen >> i like alibaba. we saw the earnings had a bit of the delayed reaction i like the story the revenue growth is gigantic we're in early innings and it's cheap

baba >> bk? >> for me, i think you can buy the gold miners here gdx today it went up with a dollar being stronger. >> steve quick. >> mine is an etf. igv software etf that does it for "fast money" for the week. we're not done "options action" is next

coming up at the top of the hour, jim is getting a well-deserved daofy f but we have you covered with summer school with frank and josh

happy friday, everybody. it's time now for "options action." i'm brian sullivan we have a great show lined up for you on this friday here is what's on deck don't let this fry your charge controller. carter worthy thinks tesla stock is about to shift into neutral then everybody's also getting amped up about