mike, what will you be watching after tech got slammed today >> actually, just to see if treasury yields back up a little bit. i wouldn't be surprised very oversold the bonds, give a bid in powell will say he's not going to talk about fiscal but they're going to ask him. >> thanks so much for watching "fast money" starts right now. >> i'm melissa lee this is "fast money. tonight on fast, racking up gains, activist investor setting its sights on kohl's and why the move made one of our traders take notice. a trio posting gains from royal caribbean to ge. the day's big winners a triple play and talk about a good about or not, taco bell is getting in on the chicken wars. should you take a bite out of its latest offering? we start off with the tech rout. the nasdaq in the close 2.5%

lower as rates kiss the highest levels since last february, the latest move in a run higher that started in august. remember when that 10-year yield was about half a percent the question tonight is simple, will rising rates kill the tech rally? guy, what do you say >> yes back to you, mel no absolutely i think this -- so much of this has been predicated on this low interest rate, zero interest rate environment 10-year yields from 53 basis points in august to 1.4% today, i understand that rates are still low but the velocity and speed of the move has been, well, hasn't been historic, but it's been note worthy and i think we're headed to 1.5, saying it for a while and that's your line in the sand. you get north of 1.5% and the thesis in my opinion behind a lot of these high flying tech names starts to unravel and starting to see it now and i'm a big hans-kristian anderson fan,

as you are as well, mel, a lot of people mistakenly called it that vignette he wrote the em per has no clothes, but it's the emperor's new clothes. the clothes the fed are wearing are not fitting and they will be revealed for what they are in the coming weeks they think they can control this it's out of their control at this point. >> karen, i will go to you on this obviously we have been in this environment close to 0% interest rates when we move out of that, something has to give, no? >> yes i think so i think a few things are happening at the same time there's the higher rates that guy talked about we talk about the risk premium what should the equity risk premium be as rates go up, the risk premium should be higher, therefore valuations lower but the other side of it is, rates going up because the economy is improving and i believe yes, that's the case, but i also think that the

earnings of a lot of these high flyers, let's talk about something like google, for example, i think those earnings are going to be actually much better so i'm long. it's a painful day one thing that i have on is a hedge which is not nearly enough to hedge how much i would lose on a day like today the igb. it's tech software the biggest position is microsoft. it's these really expensive nails, salesforce, service now, zoom, crowd strike, those are all going to get hit against what i think of as my more value tech today wasn't value at all. it was on sale again and again i think that if the rates move up slowly because the economy improves, i'm okay with that i know we'll have a rotation into more slals cyclicals but i'm sticking with what i have got. >> the highest will take the hardest hits at this point carter braxton makes a good point the reliance of the s&p 500 on information technology

more broadly and in terms of down days in the information technology, 80% of the time the s&p 500 trades lower as well this is since 1989, dan. i know you like carter's work. his point is you can't move higher overall without technology >> yeah. that being said, though, mel, if you look at the microsoft, apple, google and amazon, they've gone sideways the last four months or so as we've seen that rotation into more cyclical names, so we did move higher without their real participation and it's interesting on day like today you see the nasdaq down 2.5% or so, so to me, i think what karen laid out is really smart. i mean you look at the mega caps and say they are value tech. yes, they benefitted from low interest rates for a whole host of reasons, most notably they raised a ton of money and they put on their balance sheet and not paying a heck of a lot as it relates to interest rates you have to ask yourself who wants interest rates to go higher at this point and guy

makes a good point that yeah, they're going up and karen said they're going up because the economy is getting better. look at the 10-year chart of the u.s. treasury yield we thought we had generational lows at 1.5% back in 2012, then again at 2016, then again in 2019, then you consider yourself or you consider how much negative yielding sovereign debt there is in the world about 15 trillion dollars. you think about the corporate binge on debt and consumers, who wants rates to go higher look at it over a 30-year period and it's upper left to bottom right. maybe you get through that 1.5 on the 10-year u.s. treasury or that long-term down trend about 2.25, if that is the case then yes, equities will have a very hard time in this environment, given the state of deficits right now. >> tim >> yeah. i don't want rates at 64 dan isn't wishing for that i want to point out if rates are moving in the other direction i

think we would have a lot more to be worried about. we have inflation and i'm worried about fixed income owners which include a lot of biggest pension funds that are way under water in high yield debt and worried about credit. i would be more worried about deflation and the spiral we've been in for disinflationary reasons that are positive, related to technology and just, yeah, the working through of excess in the economy, but look, you have a case here where getting back to 160 in the 10-year you an absolutely fine place to be. the speed of it, well how about the speed in which we're going back to work i think people need to relax and, you know, we're only -- look at the semiconductors down 3.5% today big move maybe they should be semis have outperformed the s&p by 25% since september if you look at yeah, the triple qs down 4.5% in the last five days we've seen these routes. i will quote mark twain, rumors

of my death are greatly exaggerated. how about in september when we said that rotation, mid-october, we said that rotation, the beginning of the year when we said that rotation, things we would never recover from only to get as karen referred to, fantastic earnings out of some of the biggest companies in the world. yeah, 22, 23% of the s&p weight for the five or six names we talk about all the time you should be concerned if they're selling off. the market can't rally without them i'm not worried about rates. i would be worried about rates over % and the speed but i want rates to normalize >> i think that's an interesting point. when i marry dan and tim's commentary it's a good point that rates around the world being negative predominantly, they are basically a weight on the u.s. how fast and how quickly can our trajectory be? if that's the case, then maybe technology is not that maybe these are buying opportunities ultimately >> yeah.

that's -- absolutely that could be the case i'm not suggesting i'm right i'm just pointing out what's been going on and what i think is going to continue to happen to your point about negative yielding rates around the world that has been a weight so the question then you have to ask yourself, where would u.s. rates be before that and how far behind the eight ball would the fed be if these things sort of came to light. they're getting bailed out in a lot of ways by the fact that you have all these negative yielding bonds throughout the world my contention has been all along they, being the federal reserve, thinks they can control something that they have zero control over and i think the market is starting to wake up to that if we get to 1.5% in the 10-year and fail and rates go back down they will breathe a collective sigh of relief as will the market and give themselves some runway again i don't think -- let's see what happens if and when we get there. my sense is we're going to accelerate once we do. >> it should be interesting to hear jerome powell on the hill the stocks hit by rising rates

since yields started the nonstop climb in late january tesla down nearly 20%, apple and clorox down 12%, amazon 4%p let's take a look at each of these. guy, you pointed out amazon in the move or lack of a real move since basically its earnings >> yeah. february 2nd, they released earnings i think the stock closed at 33.80 that day i remember on the show i said i think there's a good chance the stock will push against the september high of 3500ish or so and then we'll see what happens when we get there. i remember steve grasso, 386, was on and said he wasn't as encouraged and thought you would see a failure. steve had it spot on here we are with a significant move to the downside so the question is, where does it trade down to? what's your next entry point 2950 level if you remember from that september 2nd high, well two weeks later with was trading 2950 i don't know if we get there, but that's a fantastic entry point and remember that i think a day after earnings for amazon, i think on february 3rd or 4th,

morgan stanley came out and put a 4200 price target on it. that's probably going to be right. the question is, does it get to 2950 first it's absolutely worth watching the next week or so. >> all right let's get to tesla here. dan, tesla is down markedly down about 15% here >> it's actually down 21% from its closing high last month, mel. what i think is interesting today down 8.5%, it was a bad break below its 50 taye moving average. the last time the stock closed below its 50-day moving average was november 16th, the day the s&p 500 announced they would be adding tesla to their 500 index. the stock at that point on november 16th was down 20% from its september 2nd all-time high. what happened from november 16th to its high last month the stock actually doubled okay it gained $400 billion in marke cap. it's interesting this is a bad

break. you can say it's about interest rates or talk about competition and elon musk and his coin and bitcoin fascination and a lot of goofiness going on in and around all that sort of stuff, i think we're at a point where people are starting to look at just like, listen, if rates are going to be higher some of the growthier names we're ready to give these redix includes premiums to whether we should lighten up a little bit. a lot of narratives coming together and it makes sense to me this one cools down a little bit. i think you have room towards $00 in the near term. >> i'm glad you brought up the bitcoin. a lot of chatter on the internet about when elon musk and tesla took a bitcoin stake or position and i say position not investment, karen, because they don't benefit from this because basically on paper, bitcoin their position has gone up a billion dollars since they first announced it they don't benefit on the upside, is that right? >> well, i guess from an

accounting standpoint they appeared not to be able to benefit, they can only market their cost and if it goes up they don't get to market higher. the correlation that market is assigning now is there regardless of whatever the accounting treatment is. i think, you know, it's definitely some correlation there and they're kind of similar, you know, sort of frothiness, they're correlated way as well. it's interconnected. i'm surprised, bitcoin was, i don't know, several hours ago down, i don't know, 7,000 at one point. i'm kind of surprised it's hung in there as well as it has what an extraordinary run and this pullback is pretty tiny and tesla pullback is far greater than the bitcoin pullback. >> anti-tesla, apple, karen, we'll go to you on this one. >> yeah. right. i think of it as a value play on par, but the p/e multiple clearly is higher and as that evolution of the business that

we've been talking about for years going from hardware to services and much more recurring revenue stream the multiple should be higher it is higher i don't know in the short term what is going to move the stock boo sides sentiment in the market and this risk premium we'll not see earnings until april 30th i'm a believer in 5g and the evolution of the company i'm taking my hits in the stock and wouldn't sell it today if it goes $5 or $10 lower i would look to buy it, but right here doing nothing. >> clorox another one, dividend paying stock, faced more competition from treasuries in theory when yields go hire i-. tim, what do you make of clorox? >> i don't think this is about higher rates you weren't buying clorox because it was a yield play. you were buying clorox because it was a pandemic play and the tailwinds around it. just gave a virtual investor day

where they upped their guidance from 3 to 5% over the next couple years from 2 to 4%. 3 to 5%. they upped their guidance effectively on where their top line growth was substantially if you think about it the stock has had a weird, you know, volatility to the upside on some of this guidance and got caught i think in some upside volatility frankly and has given a lot of that back this is not to me an interest rate story this is a pandemic to what extent is clorox as we are gapping to reopen in this country and thank goodness the news has been pretty decent, this stock has been negatively correlated to the reopening trade and that's what this is. >> our next guest lists financials as yields grind higher julien is the equity and derivative strategist. i want to ask you the question we started the show off with, will rising rates kill the tech rally? >> it won't kill the tech rally,

but it certainly is going to cause what we think probably a little bit more protracted period of under performance. look, if you think about it, and understan you think about the evolution of the economy and markets, first thing is that financials out performance, we expect not to be a multi week or, you know, several weeks, phenomenon, but a multi quarter phenomenon, is part and parcel of every full bull market that you've seen for the last 50 years. from that perspective it's a positive that we have that coming in front of us. but look, the issue here is that we've never first of all come from this low of level of yields absolutely, so it's very difficult to gauge the behavior of these stocks, which are proving to be sensitive. ultimately to us, you're going to get to a point where, again, the valuations start to look more in line in terms of technology and they will be a

buy because the earnings power long term is absolutely there. >> i'm curious, a lot of other firms out there put out their so-called magic number the level at which yields will matter to stock investors in terms of valuation. is that sort of a fool's errand? you were talking about this as sort of, you know, we've never been here, we've never come off of such a low base before, so we don't really know what the playbook is going to be. >> well, it isn't a fool's errand because really, it's more to us not what that level is, but how you get there. i mean, several weeks ago we raised our year-end 10-year yield price forecast from 150 to 170. again, still in the absolute scheme of things very, very attractive, very, very sedate. you showed that 30-year chart of yields and that barely registers honestly the problem that the market is having over the last week and a half or so is the speed at which

we've gotten to where we've gotten and the way markets are, they tend to extrapolate the near term behavior into the next several weeks and all of a sudden there's a fear we will runaway to the upside, going to hear from chairman powell this week, we're going to hear from a lot of fed speakers and they're all going to tell you that that's not likely the case >> all right you like financials, energy and industrials. clearly levered to reopening to an economy that is heating up. these are plays for the entire year, you think? >> yeah. well, we think actually potentially longer again, look at financials. their relative performance versus the s&p 500 is basically making a double bottom that goes back to the depth of the financial crisis so off long runway you look at energy, a shade over 4% of the exposure in the s&p 500, yes, it's up from 2.5, but the 10-year average is closer to 9% is you could see a 10, 20,

30% advance in energies even if the index at the broad level sort of trended flat for the near term. >> all right julien, great to speak with you. thank you. >> thank you tim, i'll go to you, do you remember when paul sankey was on and he put out another trade -- >> [ inaudible ] trade. >> short tesla, long exxon, something like that? >> we kind of goaded him into that one paul is a good sport and pointing really just out i think he was not necessarily looking to get out there and opine on apple. he was looking to talk about the energy sector and where there was some really compelling arguments in terms of the macro and supply side but also where a lot of companies were being run much more for the equity investor than they have been ever look, i love the story on banks, though i want to go there also because i know we're going to talk energy later in the show and what julien is talking about as a multi quarterly rating, look at where citibank is relative to

the prepandemic level and where their business is now, look at the regulatory pressure that's off them or at least the fear of in terms of what we got on stress tests, ability of the banks to go back to buying back stock to be more aggressive with their balance sheet and a yield curve that, as we spent most of the show talking about it, this is where banks were under the most pressure. if main street is opening up faster than we expect, we talked about why were banks participating with the market they have a lot of room to run here citibank and bank of america are the ones with the most operational leverage. >> coming up, a boeing breakdown, why a plane engine failure oefrtsd weekend is sparking trouble for the stock today. shares of kohl's rki uacngp big gains. much more "fast" after this. er ? all our techs are pros. they know exactly which parking lots have the strongest signal. i just don't have the bandwidth for more business. seriously, i don't have the bandwidth.

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welcome back to "fast money. boeing making headlines after one of the 777 jettings was forced to make an emergency landing. massive pieces of debris falling on a tef neighborhood and no one was hurt but the issue prompted boeing to urge airlines to suspend 777s that have the engine made by pratt & whitney what could this news mean for boeing tim, i go to you because you're

a shareholder. it's different from the max in that it is an engine made by somebody else but should we be worried about boeing having a culture problem when we hear about this we're having technical difficulties with tim. guy, i'll go to you, same question to you? >> boeing, look, i think what we're seeing here is the news has less -- whatever the news is, has less effect on the price of the stock today is a good xexample down 3 or $4. boeing seems to be locked between 195 and 230ish for the last six months. i've said for a while and i'll continue to say we've been saying it since the fall if you want to get leverage in this space i understand the airlines but one other derivative is the spirit aero systems out of kansas which report tomorrow the stock has gone from the high teens, closed to 43 today. i think people will look past

this earnings release and say who sets up best inthis environment and despite the fact that spr has had a huge run with boeing going sideways the trade could continue you could see a sideways in boeing and rally in spr. >> the price action in boeing was interesting in that it was kind of flat, tried to go positive and ended lower i'm curious as to what your take is on the news >> cautious approach from i think regulators and from the aviation industry overall on this with obviously the recent history. also, weak airline demand means that, you know, you can take 777s out of the sky for a little while an it's not that big of a deal there's plenty of capacity to replace it the most important dynamic for boeing, not for the world and public safety or the sadness around a couple epic crashes, the stock responds to the demand dynamics, not necessarily the regulatory one the demise of boeing really as a stock was around the collapse of

the airlines industry. airlines were up today and continue to be a way to replay reopening. i think boeing is tied there unless we learn a whole lot more here. >> coming up, it's not so hip to be square after shares of the payment stock got hit on wall street today but we'll tell you what has options traders ready to charge back into the name ahead of its earnings tomorr chor"ft ney" after this

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december and it seas it's, quote, open to new ideas and will continue to engage with the advisors, legion partners and capital, but adds today is the first time the investor group has shared any details about their plans to create value. it contends its own plan covers much of the activists' ideas, except reconstituting the board. kohl's says that would, quote, disrupt our momentum and six new independent directors have actually been added since 2016 kohl's stock has grown more than 150% since it laid out its strategy in october of 2020. though, over a decade, the stock price really hasn't done much. margin and ebitda have declined recently but far from a retailer in distress. i'm not sure if we have a sound bite ready from one of the investors on today, but he effectively said, look, you're right, kohl's is not a retailer

in distress as maybe some of the others are, but there's low hanging fruit, things that we can do here to fix it. he talked about things like inventory overhauls, corporate governance as we talked about with the board and a number of other retail 101 fundamentals. jonathan doeskin, one of the activist investors, is one of the nine directors that the group is proposing for the kohl's board he and legion teamed up for activism in bed, bath & beyond in 2019 and likely responsible for effecting a lot of changes including a board overhaul and new ceo who by the way is leading a transformation with some of the activist group ideas. macellu and incram were successful in getting aaron goldstein on the big lots board along with another director and thomas kings bury, former burlington ceo is on the big

lots board and he is one of those on the slate for kohl's. they've had success in other retailers in the past. recent past. although they've been smaller than kohl's and lot of names are being floated for the boards >> thank you courtney reagan with the detail on the activist effort at kohl's karen, you thought that kohl's might look interesting here. why? is it that the activists have a track record from? >> it's the track record, big stake, almost 10%. it was a very good letter. they talked about one of the things that they highlighted was the idea of real estate, sale lease back, and at first i was thinking all right, this doesn't seem to be a great time to monetize stores and reading the letter, seemed like from the amount of detail, i guess how certain they feel about it, i think that they feel there's someone waiting in the wings for

them to do a significant sale lease back if they were to be able to get control. they push on a lot of hot buttons shareholders don't want to hear about like excess compensation for not excess returns in the business, so they sort of harp on management the other thing that they're trying to do is, they've put up nine directors which would effectively be taking over control of the board that is very, very unlikely to work because plain vanilla shareholders are not going to vote to throw out the whole slate. they don't vote to overthrow management especially when the stock has turned around. they know that, the activists know that, they will look to get two or three and really make a difference it's interesting, though, that kohl's responded saying, you know, where were these ideas when we talked before. i think that they will end up with some sort of deal where two or three directors get on kohl's board and they really explore the sale lease back and i think maybe there's some value there the other thing that was

important, you see what did they pay for their stock. sort of all over the map but they paid as high as, you know, high 40s, they have options struck at 37 that they paid 15 for, they don't make money if the stock is not above 52.5, that makes it interesting to me. the business is in a turnaround already, so i'm intrigued. i like a good activist situation. it's interesting to watch. >> dan, you're shaking your head vigorously >> yeah. this is not a good activist situation. the stock has gone from 20 to $56 in the last four or five months the company is going to take them two, three, four years years maybe to get back to peak earnings and sales from a couple years ago. this is a business that's in decline. i just don't find it particularly interesting look at the 20-year chart of the stock and you see it has topped out in the mid to high 70s four times over the last 20 years i look at this and say okay, maybe you have 30% upside over the next few years in this, and

i think you could throw a dart in this market and find a stock or group of stocks that might do that in the next year or so. i don't find it compelling and i feel like, you know, if they started talking in december and it's out now after this big run, you want to invest -- you could have had all the kohl's you wanted six months ago and now, you know, there's just far more compelling things in retail than this. >> so last question here, i promise, guy, would you rather throw a dart or shares of kohl's >> shares of kohl's. i never put anything on the line but i return a lot of things from being purchased on line and recently i had to go to kohl's and return something from amazon god only knows what it was i don't open these things. it's none of my business i found it fascinating how simple the process was and i got to tell you something, i think foot traffic, i think the amazon relationship was a lifeline for

them i think it could trade up to 74 and i think it happens quicker than people think. they report earnings i believe on decmatch 4th. this stock still has legs. >> when you throw a dart you don't know where it's going. i don't know what kind of darts dan throws but i'm good at this game. anyway look, i think department stores have had a run that's a function of covid forcing restructuring. look at macy's, i'm still long, and you have some of the same dynamics including sale lease back which is interesting. i would stay long. >> coming up, a trader triple play, what's got each of these names ripping higher and how you can get in on the action and high energy trade why the sector put in its best day since december chor"ft ne rhtmu me asmoy"ig after this

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billion market cap company and investors are tripping over each other to buy it, you sell them stock and put the cash on your balance sheet. i suspect this is a company that will look to do acquisitions and it's one of those companies wasn't one people thought one the pandemic, they changed the way retail will be done for a while here we will hear about shopify and being opportunistic is smart time for a triple play shares of general electric, royal caribbean and disney ge hit a 52-week high on a price target from goldman sachs. goldman is encouraged about the company being on the right track following an investor meeting. also, cnbc talked to former ceo jeff immelt and here's what he had to say about this company. >> i think about the company every day. i say in the book, i know some feel like i've let them down

every day i will think about that and again, i just want people to know that we didn't get it all right, but the team always tried our best to build a great company. that's all i can say i understand and it weighs on me and i think about it, but i also want to say that there wasn't one thing i could think of to try harder for the company and the people >> maybe not try harder but some investors who are disappointed with ge's fall from grace so to speak might have pointed to acquisitions done at prices too high, sales that were done at prices too low the past is the past and what do you do with ge right now >> i like jeff immelt, a fan of the show and friend of ours and it was a difficult time for the company. the power acquisition in france was a disaster the upgrades are coming on the back backs of aviation and one of the stronger businesses,

decimated on some level, very solid business the free cash flow jen is rags and balance sheet repair will continue to drive this rerating. i think it's something that you stay long. >> karen >> well, i feel like i missed the very first leg, the point where tim always talks about most money is made when something goes from terrible to bad. i think the trajectory may continue when you get into a cyclical and have debt on your balance sheet and able to generate cash and pay it down, generally pretty good things happen i don't know it's not where i have my industrial exposure, but i wouldn't be surprised if we see it significantly higher a year from now. >> all right up next royal caribbean cruising 9% higher despite a quarterly loss the company saying future bookings are coming in at prepandemic levels higher average prices and also a lot of new cruisers are booking their cruise guy, the question here is, are you lining up to book your own

cruise here? >> you know, i don't know if there's an "h" in rhetorical or not, but i think there is. you know there's a rhetorical question it's not happening i mean i get seasick watching those fishing shows, dangerous catch, you find me in the bathroom midway through. with that said, i mean you're talking about prepandemic levels the stock was $135 stock i think in january of last year before things collapsed i don't think we're getting back there, but there's still a lot of runway for these stocks and people are encouraged. i'm not there for a myriad of reasons, but doesn't matter, things seem to be shoring up for the cruise lines >> we mentioned shopify secondary. carnival has filed for a secondary as well, 1 billion shares to be offered to raise more capital and a time as you pointed out a time to do it if you think you need capital do it

now. >> yeah. but you bring up a good point, big difference between shopify, an absolute flex on their side and with carnival it's like this is capital that they will need especially if it just -- these bookings don't come back, the costs greater than expected going forward, so i also think that they should be doing it i think carnival's ceos also sold some stock or there's been insider selling, so it looks like the insiders and the company are looking to shore up their balance sheets. >> disney feeling the magic hitting a fresh all-time high ahead of the star launch, the channel on disney plus will target a more adult audience and offer both tv shows and movies to international subscribers we don't mean adult like in the "r" or r-rated category. just, you know, grownups grown up channel, tim. >> why do you come -- why are you prefacing your comment to me with that? >> i don't know why. >> okay. all right. so now that we've established that and the reason why it's

rallying higher is the fact that these are really international audiences. in fact, they're targeting australia, europe, parts of latin america. that's the part where if you look at what got people very excited about netflix recent round of numbers which hasn't been able to hold those gains and on a relative value distney has been a better trade, but it's the international growth. the fact that we've gotten disney plus, looked at the combined subs of that, of espn and of, you know, hulu exposure and now you add in star, and people are really starting to do more math and the valuation is one that should be a function of streaming and the other businesses again, they've restructured this company to better gear the investors to understanding the two businesses of essentially content and distribution i stay long and there's more to go here. >> all right coming up, looking for an energizing trade the oil stock seeing big moves higher today later, yuck, taco bell jumping

into the chicken wars is this dot gh to spice up the brand i n'know why we said yuck. that wasn't my personal belief, by the way the details when "fast money" returns.

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welcome back to "fast money. time for a move of the day the xle energy etf jumping 4%, 4.5% i should say. actually 3.5%. correction it's biggest gains since december and at its highest levels in a year as storms wreaked havoc across the southern u.s tim said the pieces have been in place for this move for some time why? >> well, i think you have a combination of think about what came out of the last opec, opec plus meeting and some resolve and some at least saudi to keep capacity where -- excuse me production where it is, then you have the dynamic where you actually have demand coming back online and certain parts of the world that are seeing significant industrial re-acceleration. add in the fact that these companies are all being at least run differently and i've been talking about oil services because i think companies like schlumberger are equipped for an

era of technology and free cash flow generation in the world of oil services and these companies have been forced to change their game it's not like this is a booming market for oil and oil demand but commodity prices and super cycle add that and the reason to continue to stay long in energy. >> i will put the question to you, guy, that we talked about earlier, paul stankey trade, exxon or apple here? >> see, that was his trade, exxon and apple and what i would rather, wow, right now given what -- given the run exxon and sell-off in apple, apple, but that doesn't mean i'm not a believer in the oil trade. but it is apple. not to deviate from your game but we have talked about companies like psx, pretty much doubled since the october low and that huge double bottom we've outlined a number times. i think it gets up to 89 which was the level we saw last june to play your game, given the run

in exxon and the sell-off in apple, apple would you rather, final answer. >> thank you for observing the rules. coming up not hip to be square today. shares tumbling 4% what is ahead? we will hit the options pits for that trade next. talk about jumping into the chicken rswa our guy try it all the details straight ahead keeping your oysters business growing has you swamped. you need to hire. i need indeed

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here's a sneak peek at the cramer cam jim is talking big pharma. catch the interview top of the hour on "mad money." square, the payment processer fell 3% in today's session despite a price target boost the $380 mizuho said the company is undervalued and the cash could clear $30 billion in gross profits by 2013. let's bring in mike to check in what traders had to say about this call. mike >> yeah, so this is a name that is seeing bullish activity, calls have outpaced puts for the last 20 days on average by about 2 to 1 and that continued today and the most active options we saw were the 300 strike calls

that expire at the end of this week over 8,000 of those were trading for about $3.70. that would represent an upside move of about 13% or more just to break even. right now the options market is actually only implying a move of a little over 9% and over the last eight quarters only averaged about 8%. so buyers of those calls are going to need to see something pretty extraordinary to see profits by the end of this week. >> i thought the price target increase was interesting, dan, the analyst we've had him on the show a couple times, a part of this call was the increase interest in bitcoin as it ramps to new highs and the influx of retail traders after the gamestop situation i'll call it. karen, what do you think of square >> i mean, they've done a great job with their business, but i mean two reasons down today, the bitcoin correlation we talked about with tesla is here as well and the high flyer p/e, this p/e is just astronomical and i

understand the sentiment of all right, they cater to small businesses and we're going to se a lot of small business recovery the recovery in the stock i think is so far greater than the recovery in small businesses, i think the stock was 70 before the pandemic really hit, traded down to 30 or 40 and now it's 268. i just -- i don't know i don't get it the valuation is way too high. >> thanks for the action mike. tune into the full show friday 5:30 p.m. eastern time up next have we hit peak chicken wars taco bell ready to jump into the race the spicy details, next. ♪♪ ♪♪

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welcome back to "fast money. taco bell entering the chicken wars with what else a chicken taco the offering will be served on a flat bread with chipotle sauce a spicy version will be available, of course the hit select markets in early march. shares of yum brand are

underperforming this year. guy, i kid you not, in the prompter it says, let's taco about it, guy. >> please tell me you didn't write that. >> i did not >> i'm begging you. >> the genius lies elsewhere >> yes that's one way of -- so i don't understand for me a taco is -- and again, i'm an old person, but a tockco is one of those things you put your meat, whatever it is, chicken, ground beef, in something that is crunchy and it looks fantastic but once you bite into it it collapses like that jen ga game i don't understand why they're using a soft thing to call it a taco a soft it taco is a burrito andf i'm getting a burrito i'm going to chipotle. i don't know what they're trying to do here i think it's a -- a campaign to get people like us talking about

it, but to me it's a fail. fale >> it does look like half a hamburger roll folded up to surround the fried chicken strip. they've got to up the ante because everybody has some sort of chicken offering. they need to compete >> get in the chicken game it's been proven to be a rating for the stock. yum almost outperforming the sexier side of the spinoff business we've talked about companies that have done that. i like the story there and i would stay long. >> time for the final trade. let's go around the horn tim, back to you >> speaking of staying long, we talked about disney and star, super star i would say and stay long disney. >> karen >> yeah. if i'm staying long my tech names, google, apple, microsoft. shorts i'm against it. ibg. >> final trade just quickly, lieu cent motors will go public via a merger with cciv,

churchhill company, one spac that has been rocketing over the past few months up about 500% year to date again, confirming that deal to go public. dan, quickly >> yeah, watch out tesla, that's a hot car, that 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 trying to make you money. my job is to entertain, educate and teach. call me or tweet me @jimcramer boom town. yeah, that's what we're looking at it's happened al