earnings is pretty solid >> it is pretty solid. it's a question of how much you want to pay for it snap's an $80 billion company now. pintrest, 2025 times forward sales. i think that's a big question as opposed to is the jobs number going to get better because it is going to get better >> s&p is up 4% now for the week that does it for "closing bell." "fast money" starts right now. >> i'm melissa lee and this is "fast money. tonight on "fast," buckle up apple is driving into the carr market one of our traders says not so fast why it may be time to pump the brakes in order, nap and peloton all three stocks on the move on earnings later, no joke we'll tell you what sent cryptocurrency to the moon today. gamestop chairs tumbling 42%

it's down more than 80% since monday but as that trade unwinds, check out the big moves that we're watching in biotech. three names we normally would not mention on "fast money," let alone leave the show with on "fast money. they're all moving wildly over the last session cortexyme and ka sava science reversed on huge volume. i mean 600% of its 30-day average. as the gamestop wind unwinds, have they found a new target guy, this is an interesting space to target. it is complicated. it is very technical in many instances, not very liquid >> it's very by fair and there are a number of these names that

have huge short interest so add, so it's -- all of those are sort of all the things on people on this reddit platform would be looking for. you mentioned cassava. you talked an the volume it's traded over the last four days, about 1880 million shares or so. a ridiculous amount of volume over a three-day period. you've seen the stock go from around $18 i think it trade at 1717 today and reversed in a meaningful way. they had data coming out a couple of days ago in terms of their alzheimer's study that was pretty positive. the concern i would have here, i'm not making a pro or con statement of any of these names we're going to talk about. but they did a secondary back november 13th, eight, nine million shares secondary, along $8 a share be aware that for a lot of these

companies, given the stock price move, this is an opportunity to do seconds airs. i imagine you would see one here one you didn't mention, not necessarily a biotech company but falls under those parameters you can pull that one up as well hi think it's bcyt, if i'm not mistaken there's talk maybe a secondary is coming there. secondaries are looming out there potentially. you can see what can happen to the stocks in the midst of one very binary, a lot of these names. be aware of what you're getting yourself into. the way to play this all along is the ibb. >> brian kelly, what do you make of this? when we say it looks like the next target these names are frequently mentioned we've shown you and explained to you the volume and the price action we have seen. there could be a number of forces in the market it doesn't necessarily have to

be this group of traders, but this corner of the market is attracting unusual activity. >> it is right. and i would also argue that maybe this reddit army isn't just retail traders. there might be professional traders in there and you get this momentum thing going on i've always shied away from the biotech sector because you tend to need to be an expert in it. in this world of yolo, you only live wings, those things don't matter this is a game between the retail and the professional trader trying to create momentum, i think. if you want to have exposure, if you're saying i don't want to get on reddit, i want to have some biotech exposure, that's the way i've always played it instead of getting into single names that can go up a lot but then can reverse on huge volume and you've lost everything

>> yeah. i didn't know anything about cassava or anovex science. i had to look it up. there's alzheimer's drugs, park kinson's and alzheimer's drugs this is an area where treatments are desperately needed, desperately wanted and here we are with this interesting trading going on >> well, #biowar is what this is i think we framed this look if you're talking abouted the reddit crowd in the middle of biotech, this is pouring gasoline on an inferno you have -- think about the dynamics with biotech. no profitability prerevenue companies again, fundamentals on some level do not matter. story stocks and momentum. that's in their best of days or in their least of days, whatever you wane to call this. this is how this sector has been

portrayed or certainly how even people play this sector even before reddit came through i think you have a case here where yes, alzheimer's is a particularly momentum-filled part of the biotech space. then covid-19. we've talked about novovax that's another one of those stocks in there that at times has been a major, major momentum player, so the question really is back to, is there any edge to someone or is this about first information? and again, is there manipulation there? certainly with a lot of these stocks as we've talked about, there's less liquidity and there's an ability to push them around, and i think that's really the story >> the short interest, while high, is not nearly as high as it was in gamestop at the peak of short interest in that game cassava has a 17% short interest, according to facts anavax has a 9% short interest there.

i thought it was an interesting point in terms of being careful of companies, taking a look at the rise in the stock price and thinking, oh, my gosh, this is the moment this is the time to do an offering you got to look through the filings and you got to know if these companies are actually poised to do that. if they're not, they should be or they've got to try to do it as fast as they can. this is just insanity to me. i think -- this is on a smaller scale, of course, than gamestop so far i mean, just the range of this stock has traded in the last three days is kind of absurd i've always been afraid of biotech without any of this, because you know what, i can't stand the risk to waking up to some failed phase three trial and having a stock go down 70 or 80%. i couldn't wake up to the risk of it no longer being a reddit favorite or a phase -- or whatever it is, failed trial

it's gasoline on an inferno, as tim said i'm cautious already in this space. now i just think it's a no touch for a while. >> yeah. our next guest has three other stocks that he says could be on the reddit hit list. let's welcome jared holt i imagine you're getting a lot of questions these days, especially on the heels of this unusual trading activity in your mind, do you have any doubts that this is sort of the reddit crowd going after some of these stocks >> thanks a lot for having me. i think part of the issue is some of it could be self-fulfilling. identifying stocks with high interest to begin with, that are now susceptible based on what we saw the last couple of weeks with gamestop being such a high focus single security and driving tons of action across

pretty much every single industry group and with biotech already fairly volatile it's an easy area for any reddit crowd or investor crowd to pick on >> we're showing the names you say have short interest. haven't seen the moves yet i wonder if you could give us a sketch of caryofharm and rocket. >> it's a little bit less of a target it's identifying single stocks with higher short interests that have not already moved i think that's most of the basis on the commentary of these three stocks they're all very niche-y in the terms of what they do. looking at companies with anywhere between 15 and 30% short interest in these cases slightly higher, we could see

more of a self-fulfilling situation in terms of stocks that have not gone up a lot. you mow, start to get a little bit of a bid not to say that, you know, reddit or other sort of forums are going to drive it. but looking across this spectrum of the sector and identifying stocks that have not yet made their moves, so far year to date and these are three that are rocket is up a bit on the year, roughly 10, 15 year. kpti is down year to date and madrigal is basically flat we looked at those and thought is there a chance he's going to bid based on high interest i think the answer could be yes. like so many of the panelists and you discussed boeser, the lack of fundamentals is something that we have to be aware of as well >> guy's got a question. >> i'm sorry if memory serves, ktpi, i think

they gave guidance on january 11 and i think they report this time next week, next thursday. i know names are not earnings place. kpti came out with decent data in terms of a lymphoma study or you wait for earnings or get in front, understanding that's a bit of a loaded question >> it's tough to say the stock is already down so much this is actually a product story. there is revenue here. this is an oncology company that's launching a drug into a pretty big market. they're looking at earlier lines of therapy for various lymphoma treatments there's a sarcoma pipeline here. there is something here to back up the valuation, unlike so many of these high flyers that are pretty much dream stocks or concept stocks ktpi does have real revenue and will have earnings at some point and does have a pipeline

that risky a bet, the bye side doesn't typically love these new launch stories, because they tend to be -- you know, they're fairly volatile in terms of their reaction, and also, you know, given the fact that the company launched the drug during covid, it hasn't been can great for them or many other companies in the sector that introduce new drugs in a pandemic. it's tough to know do you buy it now, buy it subsequent to the quarter? i'm not sure the quarter is a that big of a binary event for them, but i do think it's interesting anyway >> i'm curious you're talking to institutional investors all the time how has this changed their view of the -- of their sector and do you think this reddit army is just all day traders and retail or do you think it's actually some institutions in there that are trying to create these momentum squeezes? >> so difficult to say whether there's institutional

involvement. most likely, there's some driving it i think the main effect or significance that the reddit situation has had is that it has created yet another fear factor when it comes to trading these stocks that are already super volatile that are binary to begin with you have the market dictating the outcomes of how these stocks are going to trade in my mind, the whole situation has just added more of an unnerving element so what we do every day, which is sort of navigate these waters that are treacherous to begin with. that is the main significance. it's created a subdivision where investors again, they're much more cognizant of some of the short interest levels in these stocks, even if the fundamentals have not changed at all or in some cases have gotten works >> jared, great to speak with you. thank you for your insights.

>> thank you >> we spotted some interesting activity in the options market today in one of these games. let's bring in wonna win 45,000 contracts traded today typically that number is closer to 2500. we're almost 20 times typical volume this speaks to the speculative mania to names that have exposure to alzheimer's. look at the options further. these options are i am replying a 45% move in either direction between now and february expiry. the trade that really drummed lit up was about 10,000 of the feb 20 calls most of which were at about 4.80. that's about 65% at current

spot this stock has about doubled over the last week and the options that trade at about 4.80 closed closer to $2. all of which speaks to the volatility in these names. >> bonawyn, when you were watching some of those earlier reddit names, i'm wondering in terms of the volumes we're seeing, how short data these calls are, if you think that the patterns are similar, if it lines up >> similar to the extent it being short dated options. these are trading position as opposed to investing positions i will make a quick juxtaposition. we mentioned slv and that's a large market it's harder to squeeze at least there's been some tactical maneuvering to getting engaged in names that are less liquid so one can push markets around as the panelist just mentioned earlier. >> that's a good points.

bonawyn, thank you guy, we are talking about that point before if they've got a small flow and they're not very liquid, it is easier to push them around >> no question about it. we're obviously not endorsing that by any stretch. we bring this up a name like ktpi it trades a couple million shares a day we mentioned this stock, it was mentioned on the show, close of $14.60 it just traded over 17 and a half dollars it points out some of the up sanity that's going on out there. we caution people to be careful. we bring these up just to illustrate what could happen i don't think this is a tacit endorsement of any of these things but i think it's important for the education purposes just to see how delicate and how quickly things move in this environment >> we're seeing similar sort of

reaction to madrigal pharmaceuticals which is one jared mentioned which is up 11% in the after hours which underscores the notion that it's not that hard to get these stocks to move this is just another layer of uncertainty, you got to wonder if investors are like, you know what, for now, i don't need to be in the biotech. i don't have an edge, so why risk it? >> i think there's a lot of professionals that will avoid some of the bibinary nature of this if sounding a caution flag here makes me a bad guy, have at it, because we still haven't seen what the locals have done with gamestop they haven't left that store yet. a lot of traders are very sophisticated. a lot of the traders -- and i know this anecdotally from hearing from the cliched people

that ask me and i won't be demeaning to any particular people who are not professionals but what vocations they work at that stopped me and asked me il say they're not professional traders and they're not the one who have stop losses they're the ones that are usually hoping tomorrow's a better day and they stay around. if i can only get back to this, i can stay in this trade there are no fundamentals here biotech has obviously got enormous opportunity and enormous bye nary nature of it and the risk to it this only adds to the risk there's nothing good to me about somebody saying the short interest is really high and this one hasn't moved yet that's not how you pick stocks >> right >> it may be how you pick momentum, but this, to me, is troubling. >> the named are in fact in the xvi as well as the ibb in terms of impact, you may already hold these stocks and may not know it.

that's important toe know because gamestop was a small part of the xrt, became a bigger part of the xrt and for a time became the biggest stock in the russell 2000 it can be therewithout you knowing it at the moment karen, last word here. >> well, you know, you talk about being a tourist in the space, the biotech space here i feel like i'd be a tourist, go out on the street, look left not realizing i'm in london and get hit by a bus on the right. so i'm out >> i always do that when i'm in london look the wrong way i'm glad they have arrows on the street coming up, we've gone earnings alert on ford. the stock is higher on the results as company's conference call is under way. we'll break it down and what added $57 million dollars. that's one ford. we're kicking the tires on

apple's auto ambitions ♪ ♪ ♪ ♪ ♪

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money. ford, up after hours call under way. let's go to phil >> we're listening to that call. jim farley, the ceo has just begun to talk. let me run down the numbers for the fourth quarter, better than expected, way better than expected the street was expecting a loss of 7 cents per share turned in a profit of 34 cents a share. coming in short of expectations at $33.2 billion regarding the impact of the snurkt shortage that's hitting the global auto industry, ford not kbemt. they're going to be cutting f150 production next week they say 10 to 20% of its q1 production plan is going to be lost due to and potentially this year the chip shortage could shave a billion to two and a half billion off its earnings. that's potentially what could

happen the news that has four shares moving higher, it has to do with its big 1re6789 announced regarding electric and autonomous vehicles. previously ford said we're going to put $1 is 1 billion into electric vehicles. they are doubling that $22 billion in ev development through 2025 separate autonomous vehicle contributions. here's farley talking about his optimism regarding the future of ford >> we will start to grow again most importantly, in the right areas. allocating more capital, resources and talent to take advantage of our strength and pickups, commercial vehicles and utilities. being a leader in the electric vehicle revolution around the world where we have strength but also where we have scale >> ford ceo jim farley talking a few minutes ago on the analysts

call i have toll you. i'velistened to a number of these calls. last time was his first. he was given high marks for being candid and saying we haven't done well enough we will do better, etc he had upped it this quarter he is saying things like we are going to compete like a challenger we have just begun there's no excuse for what we've done he called out the company. said we've lost 4 $1/2 billion with regard to ford's ev and av vermts, but clearly a much different tone from ford than what we saw over the haas two or three years. >> oh, clear it's night and day, i would say. >> yep >> i'm sure investors would agree with that. would you say let's disstill this, moving higher is because of the optimism surrounding the evs and its plan >> yes >> ok. >> yes i think i said when the numbers first came out on the closing

bell, right now if you are an investor in an auto maker, you want to see your company investing in electric vehicles the last thing you want to see is your company saying, we're good, we're ok you know that this is where the market is going. if you're going to be competitive, you've got to make these investments. >> phil lebeau, thank you. >> you bet >> approaching after hours session highs. tim seymour, we know you like gm but ford's not looking too bad >> no. i like ford, too and the focus on profitability is very important. notice the consensus we got auto numbers yesterday in terms of north american deliveries and not only were the numbers fantastic lu incentives better down ail great stuff. the headline said they will have significant exposure to erpgs in 2e 1

that's incredible. they're going to start delivering vehicles. the future is now for ford it's hot it's sexy and it's more profitable, so i think there's more to go here as well. >> all right we've got a lot more coming your way here on "fast money. here's what's coming up next >> ipod, ipad, icar? apple may be breaking into the auto industry. buckle up. the traders break it down next plus, to the moon. we'll tell you which cryptocurrency soared with a little help from a billionaire, and the lion kg.in we'll explain when "fast money" return

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apple looking to get into the car mark sources telling cnbc the tech giant is nearing a deal with hyundai to produce electronic vehicles apple shares rallying two and a half percent on the news what do you think? guy adamy, i'll go to you. >> good thing for them i think people wanted this, expected it. the market didn't whack them on the back of the head that's not the headline. the headline is another vertical for them to explore and do well. there are a lot of people out there, i'm not in that catch or not in that camp, that think this should be a three trillion dollar company the stock gets up to 1770 or so, if my math gets right. that's probably what the grind will continue to be. it's something people wanted, something they expected. we got the announcement. by the way, as phil said, they're not just beholden p to one auto maker you'll see more announcements.

i think in the aggregate, it's as bullish thing >> karen, you were skeptical last night you've had a day to think about it now what >> i had a day to think about it and a day to go back and remember they had a car venture in the mid teens, you know, 20, early teens. it ended in 2015, or so, where at one point they were trying to build a tesla competitor and maybe switching to more a technological platform i'd much rather it be that we talk about what's the right multiple for apple we talk about hardware multiple or software -- or services, rather, or software and services i'm afraid of sort of a giant spend to be in the hardware and software business as oh bowsed to can you just do it in the software business. we'll see. i don't know what the hundred dollars aip arrangement could look like. clearly this is an innovative

company. here's one weapon know we want cool ev. but it makes me a little bit concerned. i'd rather -- i have to see more about it to really get super excited about it it does have the potential to be, i don't know, more capital intensive, more difficult, harder logistics and maybe -- i mean, imagine this they get to be as great at building cars as gm brks two and a half million cars and they traded a gm multiple wouldn't that be terrible? >> the pushback is by going in with a partner or several participates, for that matter, they're reducing their cost, their outlay of capital in terms of manufacturing haven't we seen time and again where they've manufactured hardware and ultimately it's the services that they sell off of that hardware that makes the whole thing work i mean, a lot of -- we've seen them transition from that iphone company or wearables, whatever,

to having a growing service business this is an ultimate extension of the ecosystem. >> absolutely it is. thabt this what the big headline to me is autonomous vehicle they're not starting with a steering wheel they're going right to autonomous why does that matter when i get in my car right now, i plug my phone in and i can't text and drive but if it's an autonomous car, i have turned my car into a mobile office and i can use that for productivity yifts i can use it for fun i can use it for whatever, but it changes the game. that's why this is different than it was before when they tried to build a car with a steering wheel no steering wheel. autonomous vehicle key to this, long term extremely bullish for apple. >> or a steering wheel that retracts you probably go into that car and you don't have to plug anything in, tim it nodes that phone is in the car because it's an apple phone. and this is an apple car >> it's all exciting stuff

that's why i don't see any issues with this let's be clear is anybody rewarding tesla for being a hardware company absolutely not come on. tesla bowls are not all about the hardware, yeah, it's good technology and you get into the dynamics of the battery, that's obviously been a significant element. but really, is that where the valuation is if it is, then it's definitely overpriced so this is all about apple leveraging not only an installed base customer loyalty that few other companies could ever hope to have, and innovation, but again, an operating system that could very well be part of our life and certainly in our car. i think this is -- i don't think of hardware here for that. they will get involved where they have to and maybe it's even just with some of the stylings of apple but when it comes to being an oem in the auto space, that's not what they're going to do >> guy, you have your hand raised >> are you a bruce springsteen

fan? >> i can't call myself one but i appreciate his talents >> i'm sure a lot of our viewers are. some of bruce's best work are his writings about automobiles i guarantee you if and when the car comes out bruce springsteen will not be sipping about an autonomous car isn't that a tragedy give me my 1967 chevelle keep your apple cars with no plug ins >> peloton has now out with earnings breaking down numbers. next, how a billionaire and a lion kinpeleg op sent one cryptocurrency higher today. w the world's first fully autonomous vehicle

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breaking news out of washington let's go to elon >> those ten moderate republican senators who met with president biden at the white house on monday have now sent him a new letter outlining the places where there is areas of agreement and where they still disagree they said that there was agreement on meeting the immediate health needs of the

covid-19 pandemic, and that is why they're proposing that $160 billion for vaccine funding and for testing, matching the amount in biden's plan. they also urged biden to include more money for rural hospitals they also said that they remain concerned and have significant questions about the size and scope about what is proposed in the plan, given the amounts that have already been appropriation by congress. the targeting of the $1400 stimulus check they say they do look forward to further discussions with the administration back to you. >> ok. thank you. karen, we were talking ability the broader markets earlier. how we saw record closes is there a presumption that there is going to be stimulus? it sounds like there's significant areas of disagreement, although it is a good sign that they're willing to at least talk this time around >> yes i think there will be stimulus

i don't know what it is. i'm not sure it matters so much what it is i think any sermt on that front would be good. i actually think it makes good sense -- i understand the $1400 checks to so many people are pomp if they can target them to where it's needed and not just blanket everybody regardless of need i think that would be significant progress. >> i'm optimistic they'll come to a deal. >> coming up, peloton and snap on the move on earnings. we'll break down the numbers straight ahead later, the touchdown trade what you can expect from betting stocks as we gear up for super bowl sunday. the ceo of fanduel joins us.

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welcome back to "fast money. a double dose of empgs for you peloton and snap both on the move we want to get to diana who is fresh off peloton's call diana. >> melissa, peloton is showing incredibly strong sales but getting hammered by spy chain issues, delays, getting the bikes and threads shipped and delivered and that's likely what's hitting shares in the after hours, now down about 8% peloton beat handily

it under its revenue guidance. increasing 134% year over year digital subscriptions up to meet that demand with all the covid-related delays, it's costing peloton millions >> we are investing over $100 million in expeditesed shipping to reduce the wait times for our products this expense will include air shipments, expedited ocean freight and incremental costs to get containers to other ports that are less congested. >> now, that's hitting gross mooreiness now forecast to be 35% in q3 versus estimates of 41% and also lower than dwrvegs 2's, 39 poip 9% acquisition of precore gave it domestic manufacturing that's expected to help some. >> shares are down almost 8% karen, how should we think about it that means it's getting lower

margin on those uns that it is pulling forward. so you won't ever sort of get that back. >> no. but we also have to try to figure out what is pulling forward demand because right, covid was the greatest thing that could happen to them, versus what is the post covid demand, what's that going to be like and how do you value that it's sort of in the stratosphere to me, but it's an impressive quarter nonetheless, but still the stock -- it's just a victim of its open success. the valuation is too high. >> breaking news go straight to meg meg. >> hey, melissa. johnson & johnson says it has filed its application with the fda for emergency use of its covid-19 vaccine it says it zbends to distribute the vaccine in the u.s. immediately following authorization and expects to supply 100 million doses to the u.s. in the first half of 2021 the next step as we wait to hear

from the fda, typically takes about two weeks to get this on the books, so we should see when they do that and after that, we'll learn a lot about this vaccine, the way the fda is looking at it and if it's anything like what they did for pfizer and moderna, the vote is positive, they authorize the next day you're seeing j & j up >> they've already manufactured many doses of this, right? in order to meet that target in the first half, they probably have started that process. >> yeah, definitely. however, depending on how quickly this gets approved, there could be limbed amounts available right away we'd heard fewer than 10 million doses in february. that was a few weeks ago we don't know where that is right now. he said more in march, many more in april this is a one dose vaccine, so one dose goes for one person, which is twice as far as the previous vaccines.

>> good news johnson & johnson shares up. it can be stored at regular refrigerator temperatures so it gets around that sort of difficulty in getting the advantage seen to where it needs to get at the temperature it needs to get it's much simpler, guy, so there's a few different ways to look at it in terms of the johnson & johnson specific story but also the overall impact on the markets, on the economy, consumer confidence. >> all good, all good news the man who comes on after this j.c. has been talking about j & j for a while. the stock traded up to 173 a couple of weeks ago. pulled back. i think it traded down to 160 or so i think it goes right back up. valuations are reasonable. it's not just a vaccine play the. that's the good news tim and karen have spoken about this time and time again i the think johnson & johnson are still reasonable valuation at this price. i think this is one more tail wind for it going forward. >> ticking forward 1.9% now.

you look tomorrow and say they might be looking pretty good >> yeah. the reopening trades have had a pretty good run over the last couple of weeks, too but i do think there's pent-up demand that is going to -- if you're going for the reopening trades, at this point i think you're looking out to the extreme curve of hotels, casinos, to some extent airlines, and i think that this is at least very good news the pent-up demand dynamic is great but it's not going to be great for these subsectors i think we've spent a lot of time talking about demand doesn't come straight back you have to look at it as a function of where they were in 2019 and in many case they'll got be there in two years. >> february 9th, you want to tune in for that let's go back to earnings. snap is dropping in the after hours session.

julia has more julia. >> melissa, that's right, snap is down 7.5% better than expected first quarter revenue guidance the forecast on profitability. platform policy changes will present a risk to interruption to demand with no visibility and to how big that risk is possibly for months also saying the company experienced interruption to add demand in the first two weeks of january as brands paused campaigns after the events at the capitol. there is another factor impacting cost snapchat's spotlight program for which it pays content crater about a million dollars a day. after launching a november spotlight grew to over 100 million active users in the

month of january >> julia, thank you. brian kelly, what do you think of snap? >> you know what it's not for me. there's so much competition around this in terms of messaging that they have to differentiate themselves if they get any type of issue like they're starting to experience, then the stock really starts to sell off. purely based on risk/reward, i think you've had your reward and you're entering this period of risk >> the commentary surrounding ad campaigns pausing around the capitol rooitsz is interesting, karen. i don't remember hearing that on some of the other calls. i don't know maybe you did on a facebook or an alphabet. >> no, i didn't, and i was just thinking the exact same thing. did they fail to tell us that or did they not see that? so i'm hoping that they didn't see that and that's why we didn't hear it i'm a little bit surprised if that's what they're doing. >> we'll have the ceo tomorrow

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. an excellent message that was new england patriots linebacker brandon copeland here on the importance of financial literacy this is part of cnbc's look at black history month all month long honoring some of our cnbc contributors we're gearing up for super bowl weekend. whether you're cheering for the bucks or the chiefs, the winner could be sports books. matthew king is here great to see you >> thanks for having me on in so many other industries they

say is this going to be the super bowl of whatever but this is the super bowl so is this in fact your biggest time of the year >> this is the biggesttime of the year it's not just the super bowl it's all the weeks leading up to the skboem it's just really great for sports bettors we see demand that frankly is unparalleled the rest of the year >> what could you think about demand in terms of consumers' where with all to combat the lack of stimulus right now but also people being pent up at home with nothing to do. >> we're seeing a lot of growth and demand year over year. a lot of that is less macroeconomic driven and more driven by the fact that there's still a big illegal market for sports betting we're taking share from the illegal market people driving for the first time, they're pent up at home and looking for new stuff to do. >> matthew, it used to be the

exotic bet was who's going to win the coin toss, first touchdown, that type of thing. what are the new innovationings on the bedding front in terms of exotic bets and parlays and those type of things >> a couple of things going on we have hundreds of things you can bet on before and during the game one big innovation that we've brought to the country is live betting. so much more up time and many more options to actually bet throughout the game. the second thing we've done is actually created the first of its kind same game parlay product. you can basically pair or add three, four, five different events all in the same game and create one single bet, so you may turn a $5 bet into a hundred dollars of return. more importantly what it allows users to do is to pick the four or five things that they think is going to happen and create a custom bet, so you have limitless options. that's been something that more

than half our players are using now. >> hey, it's brian kechl i'm curious. you're saying this seems to be like the zenith of the sports betting sometime with stay at home, with legalization coming, with the super bowl. what do you do for the other quarters to keep either earnings smoothed out or where are the growth opportunities outside of kind of this one hit wonder? >> well, we have such strong tail winds in the industry, i'm not worried about continuing to drive a lot of growth throughout the year we have the broadest product portfolio of any of our competitors, so we operate fantasy sports, sports betting, online casino and horse racing we have a calendar that naturally kind of plays out throughout the whole year. you have new states like virginia and michigan that have just turned on for us, and demand in those states has been through the roof you'll see growth throughout the year, even though super bowl, probably the biggest single-day

event at least until the next super bowl >> one quick question. do you like spac you thinking about a spac? >> we're focussed on building the biggest and best business that we can and we're fortunate from the perspective, we have a relationship with slaughter globally that gives us all the resources we need to grow. >> you'll stay with your parent for now. great. thank you. great to see you matthew kane, ceo of fanduel i was going to ask you guys who you think is going to win. i don't know guy, you had an amazing prediction the last time >> if you recall and you scoffed at me. >> i didn't scoff. there was no scoffing. >> alabama would win by a margin of 28 points against the buckeyes of ohio state and if memory serves, that was the exact problem -- >> you do. >> point differential. this is great for you, though, mel. in real time you can bet if

brady's going to go play-action. you'll those things you typically love to do without being able to put money on it, now you can. i'm so happy for you and your knowledge of football. now you can monetize that, isn't that great >> i can't wait to try all those parlays that you can do. tim, what do you think of draft king, quickly? >> like draft kings. love the story really love fanduel. love what they're doing. notice that a lot of these guys combining content, creating engagement, think about the partnership we will bar stools and pen gaming, they about action network as a plate that mears a lot of this. i think, look, that's part of the story with sports betting is engagement >> lot of synergies there. time for the final trade tim. >> we talked about j & j this is not a covid-19 cat lest. it's about a farm ear pipeline growing fast stay long on j & j

>> karen >> yeah, i think about where there's still value. fedex right here >> bk. >> peloton look through the supply chain issues they'll get through it >> guy >> defense stocks back in vogue. l and t. >> all right thanks for watching fast back 5:00 "mad money" with jim cramer starts right now my mission is simple to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere. and i promise to help you find it "mad money" starts now >> hey, i'm cramer welcome to "mad money. welcome to cramerica other people want to make friends, i'm just trying to make you some money my job is not just to entertain you, but to educate you teach you put it in context. call me 1-800-743-cnbc or tweet me @jimcramer. after a brutal hammering last week this market is back in

rally mode setting into a solid