soft point, because they've already run up >> no, they absolutely have. >> we are pretty much out of time what a crazy end to september, sharp declines for the month, sharp declines for the week as a whole, nasdaq down 3.2%, the dow down1.4% that does it for "closing bell." have a great weekend "fast money" starts now. live from the nasdaq markets overlooking new york city's times square, this is "fast money. tonight on "fast," our retail trade alert, karen hitting the buy alert and why she's betting on a rebound plus disney delivers the stock rallying 4% today. one stock analyst even more bullish on disney plus later, bitcoin is breaking out how our traders are playing this big move we start off with the mainly market musician milestone from merck, the drug giant posting its best day in more than five

years after announcing a big break through in the fight against covid. merck says its antiviral pill reduces the risk of hospitalization or depth by 50% for some covid patients. while that news certainly helped the broader markets, take a look at what it did for reopening plays. live nation, 8%. airlines, cruise lines all jumped too did today's news give a green light to investors tim seymour, what do you say >> mel, think about where we've been for the last two months and half of that has been around inflation and fed dynamics the other half has certainly been around covid-19, delta variants, and where we saw more cyclical and industrial impacts. certainly casinos, some of the cruise lines, anything hospitality oriented, disney had been smacked in the face this had a feeling of a july 2020 trade when we started to get the great news coming out of -- look, our farm industry,

big hat off. it's incredible what they have done over the last 12 months so we've had these moments where we've had a chance to digest the world, we kind of get back to normal as we talk more about merck's oral therapy approach here and how it could be a game changer, but note the difference between how airlines and, you know, a boeing, the casinos and some of those plays traded versus consumer names who conceivably, in past rallies like this, might have also gotten a huge boost, getting back into the stores, a target, a costco, a walgreens. they were all down today it doesn't change the factor that's the other half of what we've been looking at the last couple of months, supply chain dynamics, inflationary costs for those parts of the economy that really had been hit on delta covid, absolutely. what a great day, and thank you, merck. >> exactly and for all the concerns about delta, karen, we're finally at a place, and it feels like a

momentous day, where you can get vaccinated to prevent you getting the illness and if you do get the illness it looks like there is a treatment for the illness that is easy to manufacture, is cheap, easy to take, you can take it from home, and it reduces your risk of death and hospitalization. that seems like really good news, if you're a person who was hesitant about going out, taking a plane, going on a cruise, et cetera, it doesn't get much better than this, except for a cure >> right it is really good news and thank you, merck i think this is big news but we've had a lot of big news. but i think this does really help sentiment was getting bad. bed, bath and beyond had that awful quarter, one of the reasons they cited was people being hesitant to come in the stores i know the big focus was the revenue miss from the supply

chain issues and as tim said, i think that still persists butthe part about people being hesitant, i think this definitely goes a long way obviously the names that we started at the top of the show, the tim started, the airlines, cruise ships, casinos, live nation of course, to me that is the poster child for kind of getting back out there not only are you seeing great attendance, but they're also seeing much bigger spend at concerts because people haven't been in so long, they want to get the t-shirt and have a good time so that's been really good for them the stock is nowhere close to cheap at all clearly they had a terrible year, they lost money, raised a lot of money, they did a great job navigating they've done some acquisitions in mexico recently, they did a great acquisition. it's a great business. it isn't cheap, though a lot of reopen is in there already. but i do own it. i do think it is incredibly unique as a property

the commercial real estate reits doing a little better, because as you can imagine, the idea of going back to work now seems more palatable, or should to many people. it was a really exciting day on top of what i think may have been a little bit of an excessive selloff about is christmas sunk >> right, right. nadine, does this news, you know, change the way you think about the contours of the recovery in terms of getting back and reopening >> mel, i think your point is very valid about the time frame. so we think about, for example, procedures in hospitals. this can be a game changer, then at the north american science society this week they were talking about how demand is extremely strong, but obviously there is a slowdown with delta but people have been waiting for two years to get procedures. they're looking for windows. so if we can reduce the amount of people in hospitals by these

types of solutions, and obviously vaccines and other mask wearing and the like, you're going to start to see a vast number of people get back in there to get procedures which are obviously great for hospitals. so we do look at the second derivatives and say this can be a graame changer if we can incld other businesses so it makes people less hesitant to go in stores or less hesitant to get procedures, as karen said. if you look across the world and say what can improve, med tech would be one of them >> if you're a believer that the recovery could be stronger thanks to this antiviral pill, do you think tech gets even weaker >> so i was a little -- it was good to hear the other guys and girls on the -- or guy and girls on the desk to hear their take on it, because i think everyone had something interesting to offer. i think, you know, tim touched

on the other retailers not being up today that was a little bit odd. the ten-year was lower today that was a little bit odd. and then karen i thought brought up the most interesting point. there has been other great breakthroughs that we've seen through this whole process so i'm a little hesitant to say that this is the one that makes everyone rush out there and do something they wouldn't have done last week or a month ago. we've had johnson & johnson, we've had moderna, we've had pfizer, we've had novavax, we've had so many different breakthroughs that are off the charts spectacular i think what's happening is that people still don't feel comfortable. and i don't want to make it a political thing, but i think the government and the administration really doesn't make you feel overwhelmingly confident about getting back out there. so we could have three more of these things that really attack

it, and you have to start getting back into the psyche once that happens, then i think we're off to the races the market's had an unlimited amount of things to worry about. china, seasonality i heard sarah on her show talk about -- and thank god she wasn't in the hospital, that's how she phrased it, and that's the truth. i don't know if it takes it off the table. what's the percentages, 50%? so that's flipping a coin. so i think you stated it properly in the beginning of the show, where you said everything but a cure and that's what we're heading towards. but i think you need better than a 50% rate to make people rush out of their home and do stuff that they weren't doing just a

handful of days ago or weeks ago. >> all right let's talk more about what merck's new pill means for the company. chief meacham, senior analyst, bofa securities. he reiterated his hold rating on the stock. jeff, great to have you with us. why doesn't this move the needle in your view for merck >> thanks for having me. merck is a great company with respect to their oncology business this is a narrative change, definitely, for them they just did a deal yesterday, the axleron acquisition. it adds value to their infectious disease portfolio it may take a while to move the needle on growth rates and margins. >> are there any other players in your coverage universe who are close to developing the same sort of antiviral pill and do the results out of merck, albeit preliminary, are they proof of concept in any way for other

drugs in development >> it's a great question yeah, there are a number of companies. but they're pretty early to mid-stage. the antibodies, by the way, work extremely well for those that are infected with covid. i think when you combine the totality, you know, of all the options available, from things like dexamethasone, which is very simple and generic, to, you know, antibodiesas well as vaccines and orals like merck's, i think you're going to start to see more comfort, you know, in the broader community with covid. >> it's karen. thanks for being on. i know you've had a bold call in moderna. for pfizer and moderna, does this materially change the potential additional income from booster shots? >> it's a great question, karen. yeah, i would say in general i think the answer is yes. with moderna more specifically,

there is an assumption that boosters, looking at consensus numbers, that they're taking for the foreseeable future at a really high dollar level as you see new cases roll over, as you see vaccinated individuals receive things like the merck drug and antibodies, i think there will be less enthusiasm for having regular boosters and obviously we had four advisory panels recommend against broad, broad boosters. so my guess is that you'll start to see, as we get back to normal, we'll start to see a lot of these companies' covid assumptions start to roll over and decline. and that's definitely the case for moderna and to some degree pfizer >> what's the topic in your universe, geoff? >> as of now, it's lilly they do have a covid antibody. looking to next year, it

absolutely will be a tr transformational year. >> geoff meacham, bofa securities tim seymour, how do you like geoff's top pick >> interesting story, and clearly a case where you've got a valuation argument relative to a couple of these peers we just tabbed me talked about merck's been caught in the range for a long time. what's interesting about this call is geoff pointed out in his note is there's really no valuation attachment to today's news in anybody's model. so to the extent there is upside, and obviously the stock tried to determine some of that pricing today, also interesting that well before this news, we had seen both moderna and pfizer fall out of bed. in fact if you look at moderna, it had a big down move today moderna looks like it could challenge this 240 level valuation wise, there's certainly no ability to stop that move. again, this has been about momentum and about a company

that's turned into a world class biotech company seemingly overnight. that's not actually the case at all. but the stock really is something that i think remains under pressure here. i think pfizer starts to look overdone coming up, a small world with big gains disney rallying today as one top analyst says disney plus is only in the early innings first, a trade alert karen went shopping in the bargain bin today. ne rurra a "sthe tdendfa moy"etns -well, audrey's expecting... -twins! grandparents! we want to put money aside for them, so...change in plans. alright, let's see what we can adjust. ♪♪ we'd be closer to the twins. change in plans. okay. mom, are you painting again? you could sell these. lemme guess, change in plans? at fidelity, a change in plans is always part of the plan. protect your pet this flea and tick season with chewy. find everything from flea lemmcollars and sprays,plans?

to prescriptions that keep pests away. chewy has what you need to keep tails wagging and pets itch free all season long. shop pet prescriptions and more at chewy.com today.

welcome back to "fast money. we've got a trade alert in retail karen hitting the buy button on one beaten down name karen, this is one you've been in before and it's brought you back in. >> yes, we're back together, briefly. this is more of a trade for me than a longer term investment. the name is foot locker. and there's a lot of reasons that i bought it now one is the stock got absolutely crushed. late august, they put up just gigantic blowout numbers and the stock was up close to 60, i think it flirted with 60 but then on the heels of the nike news and the supply chains in north america being weaker than people thought, that combined with yesterday's bed bath & beyond news, the stock got annihilated.

it traded with a 44 handle yesterday. i bought it this morning primarily it's on valuation. the enterprise value to ebitda is like a 3 and change that's a really, really low number for them. it's a low number for anyone i know the macro is, oh, nike's going direct to consumer and that's going to hurt foot locker and all the other precissures, amazon and whoever else. that is all true that's why it trades at the valuation it does. when you back out the debt, because they have this -- there's a new accounting rule a couple of years ago. all your leases you have to put on as debt on your balance sheet. back that all off, as you should, and they've got a lot of cash the enterprise value is very, very cheap the last thing is goat, and i'm sure you're family with, besides being greatest of all time, it's a shoe business. they own a significant stake there was a new round of

financing in june and july that was much higher than their cost. i think we'll see an ipo or a spac or something on goat at a much higher valuation than that. it's a trade, not investment but i really like it >> it's such a convincing argument, nadine, but at the same time, you know, it is subject to the supply chain issues of its suppliers, meaning the nikes of the world and all the other sneaker manufacturers. it can't itself overcome those because it's depending on those companies to supply the inventory for the holiday season, which i think is 85 days away from christmas right now. so even though there are these longer term issues and the valuation looks great, could they be in for a terrible holiday season because they won't have the goods >> i think you're right, i think it's about time frame. so karen is right, it was a good trade. buy it yesterday or maybe early this morning, and you can flip

it in a short amount of time good trade but i would not be playing the retailers for this quarter's earning season obviously a lot of supply disruption, that's going to come out. some people are probably going to put all the notes on the table, which is going to get people a little bit scared so i don't think all the news is in these stocks yet. but for a trade, good job. i prefer things that keep going on this reflationary trade, energy, material there are so many ways where you can play the positives, unfortunately, in supply disruption, and own things that are more reflationary. that's where we're headed, less on the retail trades >> karen, to put a fine point on this, this is a trade for you so in your time frame, what does that mean? >> well, it means if it pops like, you know, 10% will probably be out. but i would think by -- i want to hear what they say next quarter. so that for me is a pretty short time frame >> let's move on to disney shares, they were rallying

today. morgan stanley reiterating its buy rating on the stock. the firm citing strength in disney's streaming business, saying it remains early days for disney plus, adding, as disney's pipeline content billion in 2023, coordinate ads should accelerate, driving shares gra grasso, you like this call, are you on board with disney >> it's hard for me to give you a direct answer. i'll take two or three sentences here in march it traded at $203 i thought it was heading to that level. i didn't expect the backup we've seen recently. so i'm a little bit unhappy with that in technicals, the 50 and the 100-day are below the 200-day. so in technical terms, they developed a death cross, which usually when you develop a death cross, the movie's over. that means the stock is ready to pop. so i do believe that the stock is ready to pop. i am on board with it moving higher i do believe that they are still

the king of content. and also when you look backwards, if we start to see these parks reopen, we're talking about in a normalized world just under $16 billion of revenue. so that's where i think the catalyst is. once this real reopening starts again, that will get people on board. and of course the streaming entity is where you have to see valuation and multiple expansion. instead of people looking at disney as the old disney, it's the new disney, it's the technology company as well >> i thought the issue with disney, after, you know, its climb, is that everybody was looking at only the new disney so tim, i'm wondering if you agree with the analysts that not enough new disney is in this valuation, not enough of the streaming premium is in there. >> it tends to be about half or about 45% if you look at the valuation here, especially at morgan stanley, and if you put a

seven times revenue multiple on their streaming business, netflix somewhere between nine and ten times, still trading at a discount to netflix but acknowledging this company should be trading at a hybrid multiple and then putting a 15 to a 20 times multiple on the core business, the consumer products business, and ultimately the content business that drives the streaming business you know i'm a believer in the disney story holding the chart at 170 very important today. this kind of news is very helpful. this report reiterated that first of all, after a massive possible pull-forward in streaming ads and a massive, massive run in that business, it's not surprising to see a little bit of a pullback the content slate for '22 and '23 looks very impressive and that will drive streaming. up next, final trades.

there's software. and then there's industrial grade software, forged from decades of industrial experience and insights. meet honeywell forge. analytical software that connects assets and people to deliver a cybersecure record of your entire operation. so that everyone, in your boardroom and beyond, speaks the same language. honeywell forge.

industrial grade software. that building you're trying to sell, - you should ten-x it. - ten-x it? ten-x is the world's largest online commercial real estate exchange. if i could, i'd ten-x everything. like a coffee run... don't just sell it. ten-x it.

welcome back to "fast money. big news from inside cnbc today from our own jim cramer, now delivered to you you can rerges at cnbc.com/investmentclub or through the qr code on your screen, he will give you his unique insights into the market. he'll tell you all about his winners and his losers, total transparency jim told us earlier today his goal for the investing club is to educate he says the club couldn't come at a better time >> it's really good for this younger generation, the robin hood generation, who want so much to have fundamentals. why does something go up, why is

it recommended it's the "why. the "why" has been lacking and the club is going to give you the ""why." >> sign up by going to cnbc.com/investingclub or use the qr code. let's go to the final trade. >> always listen to jim, that's a club i want to be a part of. they're going to be looking at pfizer some of the pressure on the company, you're now back to i think a small discount in the five-year multiple pfizer, check this one out >> nadine. >> med tech etf ihi. it's not a consensus play yet, it will be eventually here >> steve grasso. >> clear secure, ticker symbol you. it's trading like there's no vaccine, like people are never

going to airports or supporting events again y.o.u. >> karen >> for a trade only, foot locker that does it for "fast money" for this week do not go anywhere, though "options action" is up next.

wealth is breaking ground on your biggest project yet. worth is giving the people who build it a solid foundation. wealth is shutting down the office for mike's retirement party. worth is giving the employee who spent half his life with you, the party of a lifetime. wealth is watching your business grow. worth is watching your employees grow with it.

principal. for all it's worth. "options action. strategies from the street's top traders. new opportunities to profit from the market's hottest trends.

welcome to friday and "options action. i'm melissa lee live at the nasdaq site at times square. we've got a big show under way here's what's on tap >> ended september by breaking a seven-month win streak when something like that happens, investors habitually jettison two types of stocks the first, their worst performers the second, let's leave that surprising one to carter worth then sometimes things just get so