tv Mad Money CNBC October 5, 2021 6:00pm-7:00pm EDT
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i think it's turning >> dan nathan? >> i am with him on the amazon 3,000. i am watching generation gamble tonight. >> guy adame >> i'm not i am watching the yankees. >> i knew it you can watc "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 educate you but teach you. if a company is doing well and stock price stops reflecting that, then sooner or later you get a relief rally, which is
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exactly what happened today with the dow gaining 312 points, s&p jumping 102.5% and the nasdaq surging 1.25%. but this kind of bounce mi mystifies people what happened? well, there are a couple reasons. remember, i predicted this bounce last night but there are reasons to make it it wasn't all so-called typical. first, selloffs won't stop until we've driven out the weak hands who can't take the pain of the market at this point we've driven out a lot of thedissolutioned dip buyers this is a tremendous chip maker. nvidia stock has been dragged
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down this has fallen from 224 to $196 in practically the blink of an eye. even if nvidia were less than a stellar company, which it most certainly were not, it would be worth picking at at these levels we have a big position in nvidia you can join my investment club. you know, i'm quite proud of our ownership stake in nvidia. if the stock had been down i would have fired you off to do some buy i kind of held back too long perhaps. should have recommended it yesterday and before today's 3.6% rebound as i always tell club members, i don't always get it perfectly right. i held back because the market looked like it could keep breaking down. nvidia could reverse but even if this all returns, people remember this is one of the stocks, this is a stock to buy after tech has been hit the hardest. they have great memory for this. when you have a straight line
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down, something like nvidia, it's worth staring someone way down it keeps going lower buy some more at better prices file this one under the great stocks that dropped 10% are intrinsically interesting category speaking of the semiconductor stocks, these days chips are everything that matters. they've been in a downturn for weeks which is very unhealthy for the stock market today's rebound is great for the bulls. it's bad news for the myriad of companies that need chips especially the auto industry at least we're starting to hear some positive signs, i have my ear to the ground that covid is getting under control in the east asian foundries particularly malaysia. a lot of that is because ceo jim farley is doing a great job of re-inventing we think ford is such an important position for the club that we write about it
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regularly. you need to know more than just what i said on the show. second reason for the bounce, we know inflation is running hot. it's probably not about to stop any time soon. we just got results from pepsico. it shows a 9% increase in organic sales growth that's extraordinary the packaged food stocks have become hot mccormick had to cut its earnings forecast because of the rising costs so it's huge that pepsico could mount a bit of a rally up more than $1 most of the day. even after management talked about inflation and they made it very clear to you that inflation is a big issue that tells me wall street is really itching to get into this group while costs are not. maybe they like the near 3% yield. pepsico is not the most represented food and beverage company. it's a best read it's still encouraging stock didn't slum even as they reported it at 6:01 they were already hammering it the selling was wrong. maybe earnings season won't be
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that big the big cap tech stocks have been clubbed going in today as i'll explain later the group is ready and able to mount the comeback this is an important move because just yesterday once again i can't d-- it drives me crazy. everybody was writing off fang these companies never stop innovating which is why we own so many of them. i think there's nothing to do at these levels wall street made big pushes on amazon, net flikts and relief rally on facebook we have to talk about adobe, service now, workday and investment club stalwart salesforce.com when they reported there was skepticism i thought ibm acquitted itself so we added them to the bullpen of stocks. it's a slur growing cloud fund but the growth won't get much faster after it spins off the salva going nowhere legacy
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business and the cash flow booms. oil went up again because this time we also got very strong services purchasing index report last night when we spoke to marty mucci, ceo of paychex, they said they remained excellent. the market loves a solid bounce off good economic data the robust pmi number which sent bond yields higher, stock prices lower, of course every time you get higher interest rates, the bank stocks tend to rally. that rarely happens. today was strong, it was exceptional. if your opening trade is back on, the airlines are running and they're forcing employees to get vaccinated anything that makes people feel more secure traveling is great jetblue just closed. they expect trans atlantic flights to begin by thanksgiving that's when consumer spending is going. it's a much-needed development
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for the largest stores that trans atlantic flights go back el, estee de lauder. this one is really tricky. i don't like these stocks, but i have to talk about them. yeah, china rallied. this is one of the most important factors that happened today. chinese stock market is the worst. it hasn't been able to get any traction whatsoever because the chinese communist party started governing like they like comm communism. we saw moves in alibaba, j.d..com does that mean the government has subsided from now? giving breathing room to the american companies with lots of businesses over there. there i'm speaking about nike and apple. i would actually anybnibble at starbucks. i don't want to wake up to the headline that the prc is with
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another industry this is a snack pack rally it's hard for the moves to last because there are so many investors who want to get out. be it anywhere higher, they'll hit the xs en masse. i told you i will get more and more positive at the end of the month. here's the bottom line this was a decent bounce you had a chance to get in ahead of it earlier in the day the dow rebounded, i think you have to wait no need to come in on top of what might turn out to be quicksand. keep it on your shoulder and wait for the next opportunity to buy high quality stokts at better prices than you ever thought you could get. can i go to frank in pennsylvania frank. >> caller: jimmy chill what's up, man >> whoa. >> caller: big shoutout to leavitttown pennsylvania huge moment for you, big moment for me as well. >> all right. >> caller: i'm watching the major indices. big megacap tech drilled to the center of the
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earth and losing tons of value, shedding market cap. what do i see while that's happening but a company by the name of tesla trading above average value and outperforming the market every day today it was about average volume and it was flat on the day but, jim,i've got to tell you, i think it might be tesla time what do you think? is it tesla time, jim? >> i think it's tesla time ever since a couple years ago but it was quite a -- almost a 10 bagger i am not leaving tesla as a matter of fact, i think tesla is fantastic here and it's growing and doing so in an incredible way and elon musk is a true genius. pat in massachusetts pat. >> caller: what's happening, jim? >> not much. how about you? >> caller: i'm doing it good red sox. >> i wish you the best of luck yankees fans not -- >> caller: going to get rocked
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i have a funny feeling my question tonight is about the stock square last week they made a big deal climbing off of ticktock today square got gouged by dropping 12% and then today went up 9%. how do you see square as a long-term hold >> i'm glad you put it long term i think it's a wonderful long-term story. short term things are rocky. i genuinely believe it's down 8, up 8, it's going to shake out all the johnny come latelies and the weak hands good luck to boston. all three major indices had a nice bounce back today i don't want you to jump all over it. take a step back and wait for another dip now that this one has occurred to buy some high quality names at a discount. on "mad" tonight, lightspeed after coming from its highs, what should you make of the point of sale software company i'll give you my take.
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looks like the market gave us an oversold bounce. could this be a bottom or temporary leap through the pain? we have to do more than what i did just now we'll go off the charts and find out. energy companies are taking more interest in esg i'm learning how embridge wants to move. 6% yield stay with cramer don't miss a second of "mad money. follow @jimcramer on twitter have a question? tweet cramer #madtweets send jim an email to madmoney@cnbc.com or give us a call at 1-800-743-cnbc miss something head to madmoney.cnbc.com.
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i'm always telling you to ring the register on some of these high flying stocks with ridiculous valuations. take the play out. even as i caught a ton of flak for it over the past year and a half i've never backed away from my discipline discipline trumps conviction you have to ring the register on high flyers. if something goes wrong the whole edifice could collapse consider the case of light speed commerce that's the rapidly growing maker of point of sale hardware. ecommerce software mostly for small business this is a hot area we've had huge winners think square light speed drew my attention because we use the system in brooklyn now we invited the ceo on the show as the stock had run up
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166% since it listed on the new york stock exchange in september of last year he told a compelling story and the stock jumped at 85 to 124 at its peak last month on september 22nd but on that day one of life's biggest competitors called toast became competitive. i warned you away from them. i couldn't justify it. since then light speed has hit a wall of course it rolled over but the rest of the growth stock cohort. remember, inflation is poisonous. they're all about future enks many year down the road. it eludes a lot of people. you have to remember high flyers do poorly in inflationary times. that was just the start. things somehow got even worse for light speed last week. on wednesday the stock got hit with what i regard as a devastating report from the short selling research firm that
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wants a stock to go down, spruce point capital. put out a negative research piece and they wanted it to go lower. if half of the information was lower, it deserves to be lower they ranged from exaggerating the total adjustable market and customer count numbers to a strategy of decelerating organic growth in response, light speed stock tumbled 12% since last wednesday and it's dropped from 112 to 92 in less than a week. and that's why you've got to ring the register because when something goes awry with one of these high growth plays, you don't get much chance to sell it into strength on the way down since the decline always happens so fast. that is a typical pattern. what do we make of these allegations? do the short sellers make a good point or have they created enticing buyout for those willing to take a risirisk
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it's not a buy opportunity in fact, after the selloff i'd argue it's still not too late to sell and that is unusual for me to say wall street loved light speed for the jaw dropping growth rate it had 220% revenue growth if they can hit the consensus numbers for the full fiscal year they're looking at 130% revenue. that's a major acceleration from the 84% of the fiscal year in other words, they are still accelerating however, in this business we draw a distinction between organic growth, like they talked about at pepsico at the top of the show, its business you generate yourself, and inorganic growth that you get from buying other companies. light speed's purchased a huge chunk of that uptick just in the past 12 months they have completed five separate acquisitions each worth hundreds of millions of dollars the company wanted shop keep in stock and then up served for 430 million and then for 350 million
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this march followed by 500 million and 425 million respectively yeah, light speed had 220% growth rate last quarter but that's a lot less impressive when you remember they spent more than $2 billion in a bunch of acquisitions. light speed is tech. sky high priced sales. not priced earnings. priced to sales. this kind of stock is inherently brittle. anything that could produce monster gains when things are going well can also give you monster losses when something goes wrong which brings me to last wednesday when the shorts focused researchers at that place spruce point capital management published 125 page presentation on this company, on light speed. they conducted a forensic financial and accounting review and what they found i think is disturbing let me walk you through the allegations. first, spruce point, remember, they want the stock to go down says that light speed massively inflated the business pre-ipo.
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those are their words not mine before it became public it seems like it had a history of making exaggerated claims, even the number of offices it had dis disclose our rules of privately held companies are different evidence of slowing and declining organic growth and business deterioration through ipo. these researchers allege that light speed has changed the way it calculates average revenue to make it seem like that number is growing. they even quoted an anonymous former employee who claims the average revenue per user on whole is declining management used to say cash flow from operations was the best way to measure the path to profitability. then they stopped providing cash flow guidance. optimal. it looks like light speed's changed its revenue recognition shortly after the march 29th ipo. spruce point thinks they did
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that to juice the numbers. third, they accused of light speed of wildly overpaying for the recent acquisitions in order to cover up declining organic growth rate. i don't know if that's true. plus, generally speaking it's very difficult to acquire and integrate a lot of sizeable companies m a short period of time light speed is trying to do something very difficult with the takeover it wouldn't surprise me if there are some rocky moments here. in the end spruce point views light speed as, quote, a poor man's shopify, one of our favorite companies one that they're betting will face increased competition from the likes of square, adobe, amazon they think the analysts who follow light speed are missing the story and it's a canadian story and in their view canadian analysts are too nice. light speed claimed spruce point's report is full of inaccuracies and miss calculations when we reached out to the pr representative to see if they wanted to respond to the
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allegations directly, the company declined to do so. it's outrageous. however, the stock has a bunch of analysts, defenders who jumped in to argue that spruce point's thesis is over blown which is why they think light speed is worth buying. even before the short report came out i said light speed was too expensive. even at these levels it's trading 25 not earnings but sales. that's pretty expensive for a company facing more and more competition in what i think is a slowing industry given the huge costs of opening a new restaurant right now here's the bottom line i won't tell you to bet against light speed. i'm not a short seller recommendationer because there's too much that could go right but this is a stock that has become a savage battleground so i think you should stay the heck away. it is just too risky, people even if you forget about all the funny business that spruce point's accusing them of the stock had a good run it is time to move on.
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so let's put things in perspective with the weekly chart of the s&p 500 let's get started this way i think it's going to be very good when you look at the market across a longer time frame robin points out what we've experienced is a healthy down side correction. the kind of thing that used to happen regularly what can the charts tell us about the selloff over the past month? look through the past to get a read on the future she measures the size and duration of a given security and then runs through the prism of fiponacci ratios it shows up all the time in the stock market using that methodology she can find key levels or key dates where a stock or index is likely to change direction, change trajectory we want to predict the future. we have a group of these
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fibonacci cycles coming due. given that the market had been running into this time period it suggested that the s&p 500 could change the trajectory and go into bear mode earlier last month. when you zoom into the s&p's daily chart, broden noticed fibonaccis coming due in the first of september just like on the weekly chart an tis si pate a possible high especially since the s&p was trading straight up at the end of august. that move up sure enough, the actual peak came on september 2nd. since then we've had a pretty nasty decline. not long after one of broden's triggers fired off when the exponential moving average, blue, crossed below their 13-day exponential moving average, red. you can see the crossover right there, o bkay? that's a powerful sign that the
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trajectory has deteriorated. then after the first few days of pain when the market started coming down, all the dip buyers realized this was not like the incredible pull backs. this may be the real eal now we spent more than a month going lower and today the averages are getting traction. what's next? at this point broden thinks it could be vulnerable. very big but it looks due for a tradeable low right here right now maybe it's already happened yesterday. in other words, this bounce could be worth betting on as long as you're nimble enough to get back in, get back out at higher levels because it's too soon to put our faith in the rebound. i'm kind of in the same camp what makes broden think we're due for a tradeable low. the things that makes it the same as early september. first we see a cluster of seven fibonacci time cycles coming due
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between today and thursday that's the main reason she is so confident for the counter like today. more so it could be continued to be good. again, only looking for not an actual bottom. just because we have a bunch of fibonacci cycles doesn't mean the s&p has to make a low and reversed cycles. this means odds of reversal are higher during these few days if you want to pull the trigger, broden says patiently wait for a solid buy signal on top of these timing factors there's another reason she expects the rebound to continue, at least for the moment. take a look at the weekly chart of the s&p when you look at the decline from the high, the reason it's within a larger up trend broden believes the market could move around 4 four two zero five
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four two seven eight is the floor. keep that number in mind once again broden won't be putting a ton of faith into this rebound. the five day exponential moving average crosses back over the 13-day exponential and na just hasn't happened yet. it would take a few more days of up side to even get close. remember when i showed you the sure sign of death until we get broden's rebound, she can only see this as a relief rally she's going to say we're due for a bounce and today may be just the beginning of that bounce i think she's making a compelling point remember, the market got very over sold yesterday when stocks come down too far too fast we get constructive here on "mad money. that's what i told you last night. also repeated that in my invest. club note because i think this is very important to keep club members up now it doesn't mean the pain is over but it does mean you need to be prepared to do some buying
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in your favorite name especially if they kept coming down which is what we did for the charitable trust this whole late september swoon was predicted by the legendary lara williams based on the action of 23 years this tends to extend into october but then the market typically starts to rebound. we could soon start to escape. the last two weeks of october have historically been terrific. here's the bottom line the charts suggest that today's bounce might not be the end of the relief rally because we were due for a reversal even if it's a temporary one. you might have to go in today or a little bit in tomorrow, then up a couple days and then maybe down again only for the nimble, kevin in texas. kevin. >> caller: boo-yah from sugarland, texas. >> holy cow. sugarland. what's going on? >> caller: listen, i've got a question about mxpi semiconductors i'm in nvidia and amd thanks to
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you. >> thank you. >> i don't know if i'm too heavy into semiconductors or should i go into a firm what do you think? >> i actually want you to go to a firm nxpi is auto and that's terrific and it's done very, very well. i think a firm -- i love diversification and i think affirm is doing so well. you keep nvidia and you'll be in great shape. that's my suggestion and thank you for the words. let's go to ann in indiana a ann. >> caller: hi, 1yjim. i am a long time watcher fighting irish boo-yahs. >> let's go to a game! >> caller: yes i'm interested in docusign, docu i noticed that it's plummeted. is now a good time to be buying it or should i just keep watching it? >> i want you to keep watching it why is that? because i think if rates go higher, suddenly people say, you know what, even though it's now
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that docusign has been the adopted way to be able to buy things and mortgages, there's going to be fewer mortgages. it's a bit of a double whammy. wait until it comes down there is no hurry to buy docusign tonight's chart says this may not be the end of a relief rally. we have much more "mad money." a company i have really -- i've been following but i haven't had on for ages and it's called endbridge. how could it bring greater focus to the environment after announcing several esg targets why do investors keep coming back to the big tech especially the f in fang being in the hot seat i'll give you my take and share what facebook needs to do to win back the attention for those on wall street including me as someone who owns it for my charitable trust and all of your calls for the lightning round so
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as oil and gas prices surge as we haven't seen in years, one thing is desperately clear, we need more pipeline which brings me to endbridge it transports nearly 20% of the natural gas consumed in the u.s. for years it languished with the rest of the industry in the last year and a half oil and gas have roared off their lows and endbridge's stock has roared back like crazy they have a generous 6% yield.
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6.6% holy cow plus, they have gotten the widget on the environment. they held an esg focused event cutting emissions by 35% by the end of this decade and more immediate efforts like removable natural gas, carbon capture, clean hydrogen you know how much we believe in that al monaco is the ceo of enbridge welcome back to "mad money." >> hi, jim nice to be back. >> al, i have to tell you. i am so impressed with what you're doing with esg, with cutting emissions, greenhouse gas. i want to get people to reunderstand enbridge. the dividend, you have a lot of coverage this is a new enbridge from the four years since we've talked and it's remarkable. i want people to know about it so i'm giving you the floor. >> okay. well, you know, that's a good point, jim i think a lot has changed in the last four years.
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you mentioned one of them being esg. just to reorient the audience again here, you know, we deliver critical energy through our infrastructure across north america to the best markets and that's really the bottom line of our value proposition and that's not going away any time soon and the way in which you do that today of course really needs to be focused on safety and reliability. the commercial underpinnings of our business have never been better we're generating highly predictable cash flows and growing cash flows we're putting new capital into the ground it's harder today to do that but certainly we're getting it done as you saw with our lion three project. good dividend. the other thing that's new these last few years is the balance sheet is in tremendous shape gotten good financial flexibility. we're happy with the position, particularly in respect to how we're positioning ourselves for
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the energy transition. so we're in good shape today. >> now can you achieve net zero emissions? you're a carbon company but not always you have a lot of other -- you do net zero by 2050, al, that would be so impressive 35% by 2030 reduce emissions this is remarkable for one of the largest oil and gas companies in the world how can you possibly do it >> it's a good question, jim we searched this issue for around two years to make sure that when we put out these targets we could actually deliver on them. remember, too, though the midstream part of the value chain generally only results in about 2% of emissions. so we're not a huge emitter to start with but we're really focused on doing our part. we've got a number of strategies to get there as you said, by 2030, 35% intensity and then net zero by 2050 how do we do that? modernizing our assets
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by using new technology. conservation programs. we have a very large renewables business to date buying lower carbon fuel for our systems and of course a big one these days is self-powering with solar right at our locations where our compressors and pump stations are so it's a all of the above approach to reducing emissions we think that's really important, jim what's going to be critical going forward is what we call differentiated service so our customers are going to be looking to us to make sure we are doing everything we can in terms of reducing emissions and more broadly on esg. >> can you help me we have a lot of natural gas but the price keeps going up i believe there have been five pipe lines that have been killed just in the northeast alone in the last couple of years is it a problem of getting the
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natural gas to the markets >> well, honestly, jim, i'm worried about the u.s. northeast in terms of natural gas pricing. there's been so much opposition to building any new infrastructure in that part of the country that, you know, at some point the bubble has to burst there. so the issue of gas prices though these days is really a global one let me just explain what i mean by that. if you look at the global l&g market, we're not quite connected like we are in the oil market you have these huge pricing disparities starting in europe and as you know very well, probably four or five times what the price normally is because you've got curtailments, you've got storage levels low, you've got gas being switched for oil and coal in terms of generating power. you've got a real reliability and consumer pricing problem on
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natural gas globally right now and that's now migrating its way back into north america. we've got tremendous resources here and i like to refer to this as the north american competitive advantage for energy we can find it cheaply we've got massive reserves we've got the technology we've got the export infrastructure we now have to embrace that and export that capability to the rest of the world and i will add one more thing on this, jim. linking back to esg. canada and the united states are number one and two in terms of esg capability and so when you are talking about clean barrels or clean mmbtus, north america's got it and their ability to export that really needs to be embraced i think going forward. >> that is the story that i want you -- i want you on regularly you have made aggressive targets. i think you're going to make them the oil and gas industry has changed in this country and canada and we want to stay with you because we want to stay with
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you. we've been negative. we've seen the changes they're fabulous, al i'm thrilled you came on to talk about it al monaco, thank you, sir. >> glad to be here, sir. guys, look, when you're making changes and the changes are real and the targets are real and the yield is real, we have to change our minds, too. i have been very negative on oil. i brought you pioneer, devon, enbridge, chevron. these are real change companies and i believe that "mad money" is back after the break. coming up, a storm is coming so give us a call. cramer's got the answers to all your burning questions your burning questions the lightning round is next.
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what would you call tonight's lightning round. i want to take a minute to clue you into a can't-miss special airing on cnbc my great friend melissa lee takes a closer look at the sports betting and generation gamble which airs at 8 p.m. eastern right after "the news with shepard smith." gambling is one of the most exciting trends in our country right now. so now it is time. it's time for the lightning round. and then the lightning round is over are you ready skee-daddy lightning round. start with michael in tennessee. michael. >> caller: boo-yah, jim. i've got a question for you about union bank. >> sure. >> caller: morgan stanley and
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jpmorgan pays nice dividends of 2.6% and beat earnings the past four quarters three year earnings share 78%. my question is jef, jefferies handling. >> i think richie is great i met him when i went in on saturdays to get my taxes done jefferies goes higher. let's go to ryan in wisconsin. ryan >> caller: jimmy chill. >> oh, man, what's up? the chill wants to know. >> caller: i've got a quick two questions. question one, can you have the ceo come on "mad money"? you'll like the story. number two, i know you love ethereum. >> yes. >> caller: plays all bitcoin and ethereum and they don't sell my question is should i double down on hutt being the best performer? >> i look at something like hu i think you pick one and buy them buy fractional i don't want to buy a derivative
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because i want to know what i own. if you want to own bitcoin, buy bitcoin. tim in wisconsin. >> caller: boo-yah, jimmy chill. >> what's happening? >> caller: first time caller >> okay. >> caller: i have a somewhat specular pharmaceutical stock recently got approved in europe and went instantly to first line treatment. trials are done in the united states looking for nda next couple of weeks. citigroup elevated the price target from 13 to $20 a share. currently sitting at 5 bucks a share. what do you think of lxrx. let's get them on the show >> you know i like these companies that aren't straight up but have a lot of great things to say. let's go to jim in new york. jim. >> caller: hey, is this jim cramer >> yes, jimmy. what's up. >> caller: jimmy how about those cowboys? >> what do you think about bank of america
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>> i like bank of america. it went to 44. i met the cfo this weekend wow. i think it's a great situation i like bank of america that, ladies and gentlemen, is the conclusion of the lightning round. >> the lightning round is sponsored by t.d. ameritrade coming up, hot, hot money. make sense of the day's most critical market machinations stick with cramer for a no huddle next. trading isn't just a hobby. it's your future. so you don't lose sight of the big picture, even when you're focused on what's happening right now. and thinkorswim trading™ is right there with you.
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to help you become a smarter investor. with an innovative trading platform full of customizable tools. dedicated trade desk pros and a passionate trader community sharing strategies right on the platform. because we take trading as seriously as you do. thinkorswim trading™ from td ameritrade. ♪♪ since our beginning, we've looked to inspire and nurture each other by asking what's possible? what's possible when we connect? what's possible when we come together? when we open our hearts. when we grow together. after 50 years, we've learned that possible is just the beginning.
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why do we keep coming back to snek what's the attraction to fang even with the f getting spoiled here after yesterday's fiasco let me explain remember when netflix used to send you dvds in the mail? they could have ended up like blockbuster reed haitsings adapted, he started streaming online and then he got into the business of producing his own tv
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and shows. that seems to be a thing of the past in part because netflix has been able to start filming again post vaccination how about amazon i am so sick about hearing about this one from a pandemic story from amazon, covid was a snowstorm covered the world. users stick around because they offer incredible bargains. apple came out with a fabulous phone. their product is incredible and service revenue growing by leaps and bounds they started breaking out the numbers. i think once the analysts start valuing the stock like a consumer goods play with fantastic technology by focusing on the lifetime value of apple's phone customer then it will go higher then there's alphabet. formerly nobody as google. you can target advertising
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i see google in the room when it used to be nothing compared to amazon web services or azure i said f in fang amazon raised 65 no push back i think the stock is 25 point decline. it's given a huge buying opportunity for you. i want these stocks. save it for last this is one of our longest held positions in the charitable trust. regular viewers know i think the world of facebook and instagram, fantastic advertising. whatsapp i'm using myself. lately two things have happened. first apple's made it harder for app developers to collect data bad news for facebook as targeted advertising is a big
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part of the value proposition. they've already said it will like most of the internet facebook and instagram aren't exactly child friendly websites. that has to end. facebook needs to come down hard on both children and the parents who allow it to happen make it like buying apple where people get in trouble for trying to subvert the rules honestly, if i were mark zuckerberg i would make it illegal for children to go on the sites. let them help. make it somebody else's challenge. safety for kids is my number one goal going forward now i am going to say it again, mark zuckerberg. you make safety for kids your number one goal and you make it stick, then i know my trust won't leave the stock. i'm not hearing that now though which as a parent and as an observer of the situation concerns me greatly.
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i think the political issues are more intractable they're not like teenage suicide. i don't know, ban anything that could lead to genocide based on the recent leaks it seems like they don't care how much damage their users do as long as it generates traffic i'm sure they hate that characterization here is one big echo chamber it's a constant role to improve mark zuckerberg. if we were to keep the f in fang, then he needs to solve the children issue it makes it illegal for kids to be on the platform i love the business, love to recommend the stock to you but the third rail of teen suicide is one of the most important things in the world and it needs to be addressed and zuckerberg has to do his best to stop it. remember, the whole point of fang is that these companies adapt, they prif vot they're always changing to adjust to new services it's time for facebook to prove
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that it belongs to the club by making real efforts to protect the safety of its users. i think they can pull it off i have faith until they do, we need to be more cautious. i like to say there's always a bull market somewhere and i promise to try to find it just for you right here on "mad money. i'm jim cramer see you tomorrow "the news with shepard smith" starts now she says she gave congress the goods on facebook, but when the lobbyists get to them, will it even matter i'm shepard smith, this is the news on cnbc facebook blasted on capitol hill. >> they can't protect us from the harms that they know exist in their own system. >> a former employee turned whistleblower revealing all and raising red flags, claiming the social media giant routinely chooses profits over public safety. violence against health care workers surging. >> verbal, physical, sexual assault is a lot of risk to folks. >> hospita
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