tv Mad Money CNBC September 15, 2020 6:00pm-7:00pm EDT
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right here i think this thing is really going to outperform aggressively to the upside. >> guy, what do you say? >> yeah. my michael kors bag and i agree. nike. melissa. >> thanks for watching somewhere and i promise to help you find it. "mad money" starts now hey, i'm cramer. welcome to kwlt m"mad money." welcome to cramerica other people want to make friends, i'm trying to make you money. my job is to educate and teach you. call me or tweet me @jimcramer is the economy too strong for washington to pass another stimulus bill? are we in such good shape we simply don't need the money? is that the gamble our government is making or are we
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merely dealing with partisan gridlock the dow inched up two points and the nasdaq jumped 1.12%, this i what we have to think about. six months ago it looked like the world was ending everyone in congress had a reason to reach a compromise both sides have an incentive to be more stubborn they get to blame each other in the runup to an election but as speaker pelosi told me this morning, the deal is still on the table. i took her full statement as a sign getting a deal done could be extremely difficult i'm saying this purely in micah pasty as your investing coach without a stimulus deal, there will be a ton of private company losers and could be a much worse place a year from now if we get a vaccine by the end of the year too many struggling small businesses can't wait that long. now if you got a white collar job you can do from home you may not realize how bad it can be. the future is fine for anyone that can work from home whether we get another bailout or not. for millions of americans and
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families that work in retail and restaurants, the future is grim if we don't get a deal think about the coffee shops and diners and fancy restaurants their cost structure is out of whack. especially in a world where they can only operate at a quarter or a third or maximum half capacity i don't have an exact number but worst case something like 15 million restaurant and retail jobs could be at risk. the paycheck protection program, money ran out. i don't know how these businesses are hanging on. most aren't but maybe around the rest of the country, they have to pay the rent, the electric bill and insurance and all the seats outside will go away the stock market doesn't care about small business it's not heartless don't trade them there is real rod underneath the economy, you can't see it in the averages because the ride is unevenly distributed and with the rally and tech masking everything, you might not see it at all especially after adobe reported a quarter with the most bullish of expectations and i've been telling you that would be a good one
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it's easy to be confused how the economy is doing the transports are on fire that tells you commerce is getting stronger, not weaker fedex just reported magnificent quarter that sent the stock up 100 points really, a turn in the auto market we got a home builder on tonight lenar with an excellent forecast le le lenar builds appliance sales, amazing it's easy to see how politicians in washington could look at the data and figure we don't need another stimulus bill at all lots are doing fine. what am i worried about? because until we have a vaccine in our veins, i think we'll keep seeing covid outbreaks around the country. israel opened their schools a few weeks ago and had to shut them down.
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could that be happening here i don't know j.p. morgan is anxious to reopen and get people back in the office but sent home traders today after a worker got covid-19 jersey got a spike because of indoor dining. i doubt they will go back into lockdown but we have to maintain social distancing for months and social distancing is devastating to brick and mortar retailers and restaurants. remember, america is a service economy. two-thirds service, one-third manufacturing. right now the whole service component is trying to go online and digti tiztize as fast as poe everything is digtizeble like sandwiches this morning marvin ellison the eco of lows turned his business around it's working for walmart that is so savvy they want tiktok, maybe that will be resolved tomorrow we know it's working for target. their business turned around because of e commerce, the shipping division. these companies use digital media to get the word out and tra transports for goods
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you order to your door fedex is smiling and taking market share from smaller players that don't have the ability. the pizza parlor that can't automate and the men's clothing store where you need to try stuff on before you buy but they have your size now when will we recognize underneath when the banks report. i believe we'll see the beginning of the bad loans that could reverberate through the financial system right now there are rules that keep most people from being evicted but the strengths varies from state to state. there is pressure for the banks to show forbeer rans yes, that's right. the paypals, the squares unfortunately, every time a state reopens for bars and restaurants, you end one a spike covid numbers which means we're stuck with social distancing until we get the vaccine which is why i come back to the first point. i think we need a stimulus bill
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to save the small businesses, put food on the table for these people but the rest of the economy might be too robust for that to happen it's tough to make the pitch that we need a bailout when so many stocks are making new highs. but the bottom line is a vast swath of america needs help and if we don't get it, the future looks grim for small businesses and that's millions of people that will be in trouble. oh, one last very important thing. earlier today when i talked to house speaker nancy pelosi on "squawk on the street" i made a stupid comment i was a tongue and cheek attempt about the harsh tongue about the negotiations in washington but i fell flat and i apologize for that as i said immediately after the comment, i want to make it clear that i have an incredible amount of respect for the speaker and the office she holds dean in washington, dean >> caller: boo-yah, jim from the great state of washington.
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>> fantastic i hope that you're not with the fires as my -- the town that my daughter lived at in oregon burned down. jesus, it's horrible this is horrible >> caller: really bad. >> how can i help you? >> caller: ups, have you heard anything about management changes lately >> no, we got carol in there she used to be at home depot and she's fantastic, and by the way, you know, after the close, united parcels' competitor fedex reported a good number and that stock is flying. you got carl in there. she's been quiet i've been trying to get her on the show i like united parcel stock sam in new york, sam >> caller: boo-yah cramer. first-time caller. long-time watcher. >> thank you >> caller: my question is regarding zora you had the ceo on the show and
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i became interested in the company and decided to take a position after the quarterly results, they announced that the growth rate slowed to 8% year over year so the stock tanked. i've been buying more shares on the way down and i wanted to get your opinion on where you think zoro will be on the short and long term. >> i think there are competitors that are in that space now that weren't when zuora pioneered the space. all along doing terrific but there are others doing as good a job or better and it's price competitive and that's why i don't know if that stock can turn around. let's go to lucas in minnesota, lucas? >> caller: hey, cramer. >> how are you >> caller: good to see tech crawling its way back. i'd like to talk to you about tech from our baby boomers how do you feel about cover ware >> this thing made a remarkable comeback this thing was killed and so what that says to me is look, be
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careful. this goes down goes up. but it did have a good last quarter. i don't know how it got down to five i got to do work on this because it was in the 80s. let's find out i hope i don't mispronounce this, geta in florida. >> caller: hi, jim i'm a first-time caller on your show and i wanted to thank you for your expert advice. >> thank you. >> caller: i enjoy your show and i watch it every day. >> thank you. >> caller: the company i'm calling about is a retailer that benefitted from this pandemic and it's experienced growth. they announced a 14% dividend increase i bought the stock for 149 and it has taken a hit what is your take on tractor supply >> i think tractor supply is a marvelous long-term growth story. we care where the stock is going to over time, i think you'll be very, very well served by owning the stock of that incredibly
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fine retailer that caters to farmers and gentle women and gentle men farmers okay there is a real rot under this economy and most of the country still needs help and if we don't get it, the future looks grim for small business, which is why i keep pounding the drum that a deal needs to happen in washington on "mad money" tonight can union pacific keep chuckinggging alon? i'm sitting down with the ceo. lenar, i'm sitting down with the ceo to find if it's a buying opportunity and looking at three strong names flying modestly to see if they have more room to run so stay with cramer. >> announcer: don't miss a second of "mad money." follow @jimcramer on twitter have a question? tweet cramer #madtweets. send jim an email to madmoney@cnbc.com or give us a
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. the bull market in the transports these are economic licensetive companies on earth and all of them on fire from rails to space. federal express put in a great number consider union pacific the largest railroad operator in america with a huge business shipping to the west coast to the rest of the country. global supply chains were cut. falling to 105 from 180s to 105 in the marge low but look, over the past six months, the stock made an incredible comeback. the ceconomy is improving and more shipping and a trucker shortage union pacific surged to a new high of 202 and change the company rang the closing bell with 150 on the knock stock
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exchange the original stock price with $26.57 so can this stick? the chairman and ceo of union pacific and what that means for the broader economy. >> jim, so good to be on with you. thanks for having me. >> 150 years, there are not many companies that went through the ups and downs that union pacific has. >> that's pretty cool. 150 years actively traded on the new york stock exchange. that's something that not many people can do. >> it has a network that is second to none but the new union pacific is a company i'm seeing making a fortune off of revenues that may not be as good because we have a pandemic that is something that i didn't expect to see. how are you able to do it? >> very much on the movement of
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cars on customers. it's a reliable and consistent service and much more efficient. we've taken a third of work out of the network that we used to do the way we had planned the network. it's opened up markets because the cost structure is better it's really a home run across the board and testament to the employees at union pacific the women and men that are running the network are hitting it out of the park. >> you will hire more women which i thought was quite strong -off made it several times and people need to hear it. >> yeah, what we've said is by the year 2030 we'll double female employment at union pacifi pacific. about 5.5% of our population is adequate and reflects the fact some of our jobs particularly in the field are either designed in
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a way thatry not terribly attractive to female candidates or when we get female candidates into the pool we don't do a good job of moving them all the way through and hiring them. we're changing many things to address that and by 2030 we'll double that percentage. >> lance, there is a considerable advantage that you have over pretty much everybody else in transport, which is how little energy, how little fossil fuel you use versus, say, trucks you had mentioned that remember, the trucks have insurance issues and drug and alcohol capabilities fedex reported an amazing number and you have a lot of respect for fedex because you said the business is booming. do you think people will one day say i see the fires in california i see global warming i see what's going on and i want you to call lance fritz and i don't want my stuff going anyway other than by trade. >> jim, there is no doubt we're already seeing a deep interest in how union pacific can advance
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the esg interest of our customers. our environmental footprint is front and center we're so carbon efficient compared to the primary modes of transportation, it's a no brainer to use us if you care about your esg footprint. >> well, one of the things that i thought was interesting was that we always heard that the death of coal was going to be the end of union pacific but the lack of how much diesel you use, how little may be a savior i think that you're right. i think a lot of companies are saying i know we were up at microsoft. microsoft wants suppliers and transporters to use the lowest form of energy and that's union pacific. >> that's exactly right. you got it right the efficiency of our network does a number of things for us one, it's built to be reliable and consistent if we don't have failure costs the second is it means we use the resources to their best advantage. so we're a very resource
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efficient company. that's what everybody wants to be when we talk about a sicircular economy, it's about creating the least amount of wastecurrent re >> unemployment for some of this quarter was at 14% and yet, there is a trucking shortage, you have a business that normally i would think would be very weak that's been very strong what structurally is driving, what can arguably be called at the beginning f ofof a new econ cycle. >> what we see is growth across a pretty broad spectrum of the markets that we serve. agricultural products is pretty good because of trade. china is in the market housing is pretty good we're finally seeing people buying homes maybe a little bit of that out of cities and into suburbs is starting to take hold. construction is solid. plastics, industrial chemicals
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you mentioned parcel through e commerce and retail sales. the one area that actually couple of areas where we're still seeing dramatic weakness is oil and gas related production and exploration and coal you know, those are really challenged markets and maybe they will be challenged for a little while. >> why is mexico so strong they have got terrible covid, political situation there not great but the numbers are ex ordinary. >> yeah, what's good about mexico is it's well situated to take advantage of near shoring and on shoring some of the supply chain changes that many customers are contemplating and starting to take in order to make their supply chains more resilient that's happening on the margin now but i anticipate that's going to continue and to your point, what we want to see in mexico is we want to see continued progress on safety and security and we also just want to see an environment that is
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more conducive and inviting. they stand in a posture right now that could be a home run and i hope they take full advantage of that. >> one last thing given the 150th birthday, $500 million in productivity savings i got to tell you, lance, who would even think there could be that much to say but that is what's going to happen. >> it's an astounding number especially when you put it on top of last year's half a billion plus this year we said it's probably half a billion plus. you look back the last three or four years it's easily a billion to a billion and a half of productivity it's amazing and it goes back to the deep commitment our employed owes have to doing what's asked of them to look for ways to run the business more efficiently, more safely with greater consistency and reliability. we're acting in a way we all know that's how we set up union
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pacific to thrive and win in the marketplace and we're starting to see that happen. >> you get to talk about what you're doing for education and credits for kids to be able to go and come back to school anyway, everything you told us was going to happen when the stocks happened and more i want to thank lance fritz, happy birthday 150th. always great to see you, sir. >> thank you, jim. it's been a pleasure. been trying to buy this stock for my trust for at least 50 points. just kept thinking it would come down it never has i don't know what a horse "mad money" is back after the break.
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of lennar today? they reported a phenomenal quarter. the stock ended up getting slammed down nearly 4% thanks to the lower interest rates and covid induced flights in single family homes, the housing industry is in incredible shape we knew lennar would have a good quarter but i didn't realize it would be this good they earned $2.12 per share. they had much better than expected new orders up 16%. management gave you expected guidance and then some what did the stock -- why did it sell off through the quarter reading analysts reports, some people didn't like the backlog that came in a tiny bit lower than anticipated. that's a pretty high quality problem. hard to maintain a bag log when you sale homes hand over fist. this is a stock with more than triple from the march lows meaning it was probably due for a pull back. i think it's buying opportunity. don't take it from me. let's dig deeper with the executive chairman of lennar to find out more about it
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mr. miller, welcome back to "mad money. >> thanks for having me. happy to be here. >> stewart, i know that you'll never want to say it's the best of times or someone will say that's calling it tough but there are certain things occurring that mean that this has to be a longer cycle than most limited inventory low interest rates could you go through why people may say the stock is down but think about the long term because it's pretty good. >> jim, it's the best of the best times this is a robust housing market and that's the way it is i mean, covid brought us into a downturn covid has ignited an expansion and recalibration for the industry the market is strong and we just had a terrific quarter i think that you're absolutely right that some of the analysts would have liked to have seen a stronger backlog, but frankly, we didn't want to get out over our skis we didn't want to be thinking
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about selling homes that we hadn't started yet with a strong market as it is and production, demand for production being as strong as it's going to be we want to match sales with construction costs so we're going to be a little patient. >> well, i -- call me conservative but i was one of those people who love a clean balance sheet. i can't believe how fast you're delivering. >> yeah, that -- there's no question our focus and strike that knatee past quarters is let's drive cash flow and high margins let's focus on delevering the balance sheet. if you look at the balance sheet today. the debt to total cap is 29.5% it's never been that low if you look at the debt we've paid off at $2.8 million we're really focused on running an excellent business and driving returns and getting our balance sheet as strong and
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fortified as it can be. >> i love it one thing i thought was great about the conference call. holy cow compare the tech now compared to when your dad ran the company. >> the tech now compared to when he was running the company, we are just leagues ahead and frankly, i wish he was here to see some of the things we're doing. if you look across our platform we are reinventing ourselves almost every day and this is dropping right to the bottom line in the form of sgna reductions and the form of cost reductions or holding the line on costs that are wanting to go up and you're seeing this reflected in very strong gross margins. 23.1% gross margin 15.1% net. we are doing extremely well. >> we're also seeing what amounts to the house of the future jp morgan tried to open today. they immediately had a case of
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covid and i keep thinking if we're doing well in business, why do i want -- why wouldn't i want a lennar home with an office in it from get-go >> well, we clearly have reinvented some of our product lines to enable us to accommodate people who want an office, a gym, a home school for their children a variety of uses for the home that have never been thought of before and technology enables all of this. the connectivity that comes from a wi-fi enabled home where there are no dead spots to the home, all of the attributes of technology enablement enable us to run our office from home and connect to our schools and this is really important becoming more important as we go forward. >> there is a hopeful note on page 6 of your conference call if you use the facts research and it says that yes, employment is constrained in your business but you were actually hoping that new entrance won't come in. we have a high level of
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unemployment some of these dominate. >> well, i also noted on the page especially to be a primary driver of the overall economy. that's of course because with the job opportunities open up. it takes time for the skills within our industry we are not an industry that requires a tremendous amount of education we can bring a lot of new people to work and absorb unemployment with the housing market expansion. >> how do we see home builders less prudent that say there is a ten-year production deficit. i'll build homes everywhere. how does that not happen we've seen that several times in
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our lifetime. >> some will do that there are some constraints in the lending world. the lenders are a lot smarter than they have been and will probably regulate not letting people get over the skis one thing i can say for sure is lennar is not going to be one of those builders we're going to have measured production we'll have measured sales. remember, this quarter our growth rate and targeted growth rate was 4-7% and 6% was way above and we'll not blow through that we'll keep production and sales in line and i think you'll see focus on the balance sheet across the industry because people know frailties of business. >> every home builder that's run like yours up 36%, they do have the little dip when people scramble all over the place to find out what is wrong and turned out to be profit taking this is a good time to work at lennar. >> this is a great time to work
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at lennar. our strategy is solid from financial to strategy and technology is what keeps us most vibrant. people looking to work here in this company are part of the future we are building the home building processes that are going to take us forward and a lot of people want to be part of it our investments in a number of technology companies have paved the way forward for our company overall and you're going to continue to see lennar investing in technology moving forward let me give a quick shoutout to open door. that was an early technology investment of ours that will lead the way to become the first of our company investments that goes public. >> all right indeed talked about it on "squawk box. i want to thank stewart miller great to see you, sir. >> nice to see you, jim. thank you. they rally and then they dip on the earnings. that's what is going on in this business now since the bottom and i think it will continue "mad money" is back after the
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after a daze tech roars, it's a good moment to check on retail and construction plays and put up fabulous performances over the summer this is a market with constant rotations. we're always pivoting based on the latest vaccine news and macro numbers. you name it. there is a lot of turmoil and volatility a hand full of select winners are consistly out performing the market we've seen this industry after industry none of which are wall street's favorite groups right now so how do you pick the numbers.
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right now there is so much uncertainty we can't rely on our judgment the economy will keep rebounding but there are a ton of moving parts. will congress pass another stimulus will we get hit with another covid flairup? we don't know. you have to let the technicals be your guide. when we're not sure about fundamentals, we'll take anything we're going off the charts with bob lang he's the founder of explosive optio options.net and the brilliant technician in the stocks newsletter and the author of know your options to identify where the money is flowing before that, though, we've got a special birthday shoutout from bob to micki a taste of refinement because he watches the show bob is helping us hunt for under the radar stock meaning they are beating the rest of the market and competitors of the same industr industr industry, too. when you come at stocks from a relative perspective, lang says three that look similar even though the actual charts don't
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have much in common and the companies themselves hardly ever put until the same sentence, caterpillar, d.r. horton and restaurant hardware are working. it crystal clear money managers are buying the three stocks hand over fist even as they pause today because today was about technology why don't we start with the darely chart of d.r. horton. we know the home builders are in great shape. we talked about that they are making low mortgage rates and all the people fleeing cities for the suburbs because they are less enticing when you have no commute and the bars are closed to work zoom from home and among the home builders, lang likes d.r. heaorton the bet why? look at the shake and money flow that's a tool that measures the level of buying or selling pressure in a given stock. okay you can see there is a lot of money coming in this in august but it's cooled off over the past weeks when the market rolled over, d.r. horton pulled back to the
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50-day moving average at around 67.50. that's what we want to see and where it bottomed with the stock rebounding back to just under 72 as of today. it hit -- see what it is it hits a 50-day that's the support and where it bottoms. not coincidence. d.r. horton got over bought in late august. remember what i said about lennar look at the relative strength index at the bottom. okay see, when it's over 70 this momentum indicator says the stock went up too far too fast it's been rebounding off the lows and the trends are mildly positive he thinks d.r. horton is ready to run again with this next leg possibly taking it to the mid 80s. you know, this actually makes a lot of sense to me it does feel like lennar, the giant home builder we heard from which i also think is a buy, not expensive stock, low interest rates very good for it housing shortage city to suburbs. d.r. horton. next up, how about r.h.
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the retailer reported spegreat. people want to spruce up their homes. it's a huge digital in catalog business i love this. it run up a lot. the best trends are often the hardest to get on board. r.h. just keeps running and running and running. like the energizer bunny so any time you get a pull back, you have to be ready to pounce i said to lance fritz on union pacific. when you get little moves, you got to take action look at that that stock dropped right there before the quarter was announced. when it comes to r.h stock is flying. the relative strength indicator, look at that the indicator just went into over bought territory and can stay over bought for awhile. i want you to check out the moving average converging which is the mack d line at the bottom another momentum indicator that spot changes in momentum before they happen. when r.h. exploded higher last
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week, we got a major buy signal none other than the mack d the black line crossed over the red one. this is one of the most reliable patterns of the book lang says this stock trading well above 400 by the end of the year he'll be right again you might want to wait for a pull back. we have pull backs you don't see any but boom that's when you have to pounlce it was tough to be patient and you only got back to where it was right there but it made sense. finally, there is one that's a great one. caterpillar. a ton of doubters. aren't we in a recession that didn't stop the stock from rallying to 108 to 149 today will you look at this? this is a stock everyone loves to hate. cat has huge position in china china is in much better shape and has good background in some of the strength in this country. from lang's perspective, this is one gorgeous chart the stocks made a series of higher lows and higher highs,
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you can see that each time the relative strength index keeps steadily moving upward that's what he wants to see. we got a bullish crossover again this time on the mack d line and same in rh caterpillar is at the highest point in two years the stocks currently over bought lang says he didn't make it a sale he says you should wild for a mild pull back and do buying today we got the pull back he is looking for. cat stock is down $5 nearly if it comes down a bit more to the ten-day moving average around $148 a share around here. well, he says you got to buy it. he's betting it goes to 175 by the end of the year. even if orders are inconsistent. this is one you have to ask is this company going to be worse off at this time or better something dave talked about, the goldman sachs trout sgstrategis. i think next year will be better if home builders are doing well and railroads are doing eloquent
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with, it shouldn't be too difficult the engines aren't too far behind and they have china here is the bottom line. in a confusing market circling around tech, the charts as interpreted by bob lang say consider interest rates sensitive stocks a luxury retailer. i think he's right for months i've been saying you need a barbell portfolio with covid plays and any of these three could easily fit in on the barbell. "mad money" is back after the break. the lexus es. every curve, every innovation, every feeling. a product of mastery. lease the 2020 es 350 for $359 a month for 36 months. experience amazing at your lexus dealer.
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time for the lightening round, buy, buy, buy, sell, sell, sell. then the lightening round is over are you ready ski daddy? let's go to matine. >> caller: what's going on my friend how are you doing? >> i'm having a dine mate day. how are you? >> caller: can't complain. i'd like to give a shutout to joe and jason, my investing buddies. we follow your advice and so far you've done well for us. >> i love those folks. thank you. let's get some work. do some work. >> caller: let's do it the company i'm calling about is a fairly newly company it started back in 2012 based out of germany they are similar to an e commerce platform and they do their business out of africa and the ticker symbol i'm talking about -- they also do restaurant and a whole lot of things
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similar to amazon. j -- >> this one is just -- this trades insanely. here is my advice to you i like amazon and i am willing to like alibaba. i'll go to libra which i like in latin america. those are the three best stick with those let's go to rob. >> caller: thank you for taking my call. first, i want to thank you for everything that you do for us. your insight and most of all, your wisdom. >> thank you >> caller: you're welcome. my question is about kodak despite the government and fcc's on going investigation, a few well-known institutional investors recently announced they bought stock from kodak so i was hoping to get your thoughts and whether or not kodak is a buy at this time. >> i'm putting a distinct red flag here on this kodak. why? it's not a challenge flag. it's just like wow i don't like it. because of that deal made with the government and insider
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selling, i need to know more about it we need to find out what the heck happened from soup to nuts with the deal because it doesn't smell right. let's go to irene in new york. >> caller: hi, jim it's a pleasure to speak to you. >> what's up >> caller: i watch you every day. >> thank you. >> caller: my stock is jinga should i hold? >> the title wave of gaming. that's what it is. it's the title wave and it's sweeping everybody and that includes zynga let's go to john in north carolina john >> caller: boo-yah, jim. >> john. >> caller: listen, i'm down here in tobacco country, north carolina i wanted to ask your opinion about a high yielding stock that i've owned for awhile. that is ticker mo. >> one is it can pay that dividend it makes that much money and two, i don't recommend any tobacco stocks or companies that put money with jewel because i
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think these are -- i don't like what they've done to members of my family. how about that let's go to steve in california. >> caller: thanks for taking my call thanks for your wisdom and thanks for sharing it. i purchased go pro in 2016 it slit d to one-fourth to what paid i love the cameras but i wonder if they have been copied. >> it's a commodity. maybe it goes up a dollar from here but it's a commodity. i don't have anything good to say. i'm sorry. i saw a goat surf in hawaii with a go pro on its head that was enough for me how about winston in florida winston? >> caller: boo-yah, jim. big fan of your show hey, what's your thoughts on rack space, rxt? >> not special enough for me i mean, i know it's done some good things lately but i've got
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these great tech stocks that we own for actionalertsplus.com i'm working on my speech tomorrow and i see so much good in so many of the bigger techs that i'm sticking with those let's take another one let's go to rick in north carolina rick >> caller: hey, boo-yah, jimmy chill. >> the chill man was very chill today. what's up? >> caller: i'm calling about a company i've not heard you discuss. it well positioned in the e commerce delivery game there are finalists in the program. they also have a pickup truck and the horse drone. what do you think of work force? >> people most want me to recommend other than a couple others that are penny stocks i can't mention on air it has what i call the thesis. the grand thesis it's got electronic vehicles it's got drones. that's what people want. but you know what i want i want some earnings and it doesn't have those and i want some valuation and it's up 733%.
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therefore i conclude that i am not early with the stock one more let's go to edward in pennsylvania edward >> caller: hi, jim ed from phoenix. >> right around the block. what's up? >> caller: with your fantastic show for eight months. >> thank you. >> caller: buckle. >> it's doing okay causal apparel i don't like apparel i would buy pvh or ralph lauren and that, ladies and gentlemen, is the conclusion of the lightning round. >> announcer: the lightning round is sponsored by t.d. ameritrade it's a thirteen-hour flight, that's not a weekend trip.
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fifteen minutes until we board. oh yeah, we gotta take off. you downloaded the td ameritrade mobile app so you can quickly check the markets? yeah, actually i'm taking one last look at my dashboard before we board. excellent. and you have thinkorswim mobile- -so i can finish analyzing the risk on this position. you two are all set. have a great flight. thanks. we'll see ya. ah, they're getting so smart. choose the app that fits your investing style. ♪ makes it beautiful. state-of-the-art technology makes it brilliant. the visionary lexus nx. lease the 2020 nx 300 for $339 a month for 36 months. experience amazing at your lexus dealer.
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oils people want to buy these because they seem like bargains but a cheap stock today could get cheaper tomorrow my travel trust that a big position with citi group it was trading at a couple bucks below the value. what would the company be worth if it stripped down and committed to buying back 8% of the share count. seemed like a great deal when you throw in the 3% dividend back then citi was 68. now when the stock fell more than $3 or 7%, it's under 45 i think you can go lower the problem with cheap stocks is they can get cheaper what went wrong first when the pandemic turned ugly, the regulars said the banks had to stop buying back stock smart. without the huge buyback, the city thesis fell apart second, there were companies problems a lack of intern controls. the ceo is retiring the banking business is taking the raeeigns. she's taking her work.
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you don't have to worry about the jeld ayield is a safety net. the chopping block if there are too many pandemic related bad loans, loans that would have been fine it came down and the curve for bank earnings. it's a safe investment into a total debacle and look, the whole group is hated first verizon had a good quarter. i keep hearing people talking about buying wells fargo because it looks like a bargain but it isn't if it estimates have to come down. jp morgan $3 and nothing good about the balance sheet. the group can't catch a break. for now, you don't want to own the banks. they're too risky. i wouldn't call them uninvestable because i reserve that label for the oil, natural gas and pipeline stocks. hardly a day goe someone calling in on the lightning round to ask about an oil company that looks cheap or has a big yield.
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don't be deceived by the big yields we're heading into an era where the energy cohort won't catch a break. under the oil friendly trump administration, this are few places for them to drill and industry can't stop itself from over producing anyway i doubt it will be easier once biden wins demand is down and opec keeps prices from going lower. once you consider the remarkable meltdown of exxonmobil, this doesn't get enough attention when i got to goldman sachs, i was told the one stock you can recommend is chexxon because yo always need oil and ensure they will have good production and low cost they have a sturdy balance sheet and buyback. what more could you ask of a stock? now exxon seems to have none of those. the stock has a 10% yield which is a total red flag because it suggests the dividend has to be cut. it got kicked out of the industrial jones average. i'm picking on exxon because it
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should be among the steadiest of the oils and decline shows you that the whole industry could suddenly be in bigger trouble than you realize and not like crude is $26 a barrel. the price of oil went up a dollar today and exxon went down 39 cents i know the pipeline stocks look cheap but do you think that 20% distribution from energy transfer partners is sustainable? i wouldn't bank on it. how about natural gas? if it didn't go up big during this red hot summer, i can't imagine what would drive it higher oil baand banks may look cheap t there is a chance they'll get cheaper later on stick with cramer. ne collaboration... how we come up with new ways to serve our customers... and deliver our products. but no matter how things change, one thing never will... you can rely on the people and the network of at&t...
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cale vfr rycavalry comes toe fedex was filled with good news tonight. this is just much better than people anticipated particular lay last year at this time and adobe six firms did upgrade or say good things to raise price targets going into today what did i tell you that meant it meant that the quarter was going to be lights out and guess what we got? a lights out quarter from adobe, which you know is really the engine behind a lot of e commerce deceivingly so. wish we had a split. won't get one. i like to say there is always a bull market somewhere and i promise to find it for you here on "mad money. i'm jim cramer and i'll see you tomorrow
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>> welcome to the shark tank, where entrepreneurs seeking an investment will face these sharks. if they hear a great idea, they'll invest their own money or fight each other for a deal. this is "shark tank." ♪ the experience of rooting for your home team. ♪ hi, sharks. my name is mike doyle, and i'm the c.e.o. of rent like a champion. and i'm drew mitchell, the co-founder of rent like a champion.
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