tv Mad Money CNBC February 28, 2022 6:00pm-7:00pm EST
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block, target. >> tim >> great to be with you ladies feels pretty good. uranium feels good ura, etf the way to play that. check it out >> thanks for watching "fast money. do not go anywhere "mad money" starts right now. starts right now my mission is simple, to make you money i'm here to level the playing field for all investors. there is always a bull market somewhere and i promise to help you find it. "mad money" starts now >> hay, i'm kraler welcome to "mad money," welcome to cramerica my job is not just to entertain but teach, you call me at 800-743-cnbc or tweet me at jim cramer get used to this we have no choice. we could react at every turn to
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every development in ukraine or admit that vladimir putin will not be deterred no matter what the west does. therefore even as this economy is no bigger than that of the state of texas, many stocks will continue to be sold when they shouldn't be and that is how you get a wild day like today where the averages, open, rally and then dropped again and finished stronger because we're in a seasonable strong period. it was down so much lower earlier. s&p taking 4.2% and nasdaq inching up .4% and that all made in the last 18 minutes of trading. i know, it is thin and ooze even ridiculous but it is the correct dispersion with growth stocks do well because they've been crushed already. while the financials and industrials take a beating because of putin naked aggression and they've been up so much. i expect it to crumble and russia will quickly establish a puppet government. that is wrong. the fact that this hasn't happened has armed the
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ukrainians rather than financial sanctions. everybody was surprised. particularly putin that changes the calculus. because he doesn't care about the e.u. oil could only go so far as making friends these two men, xi jinping and vladimir putin of russia, both want to finish out their indefinite terms and until this weekend the future seemed secure but the interests are diverging. at a certain point the chinese will wonder is it worth it to have russia as an ally vladimir putin might decide that it is falling apart so badly that he made a major miscalculation or maybe he believes his days are numbered so why not go down fighting and winning no matter what the cost. the latter many people tell me is in the cards. so what is the current situation for us no matter what our financial companies say or do, we know the sanctions will blow back to the
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bank stocks. even if they shouldn't we've seen this happen repeatedly in history and it makes no sense to go against the grain for the moment i think moronic but you can't fight the tape the motion that our banks are linked to their banks. all weekend i had to hear about a lehman moment. causing a domino effect. the usual suspects born the brunt of it, jp morgan, and goldman sachs, citi group. they won't be hurt by the fact that russia has been turned into a financial pariah the last time they had a currency crisis in 1997, banks did get hurt because there was a much larger east asia currency crisis back then and that weighs on our bank stocks incorrectly too so the financials will drag down the market for the duration of the war and for the bulls what is bad news for the banks is very bad news for market and strength and energy can offset weakness in the
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financials oil is a bad leader because high oil prices are a tax on everyone else there is a major cost current here is that this geopolitical turmoil causes a flight to quality. that means people buy treasuries and when they are getting nukes warmed up, this becomes confusing. because just like the sellers falsely believe our banks are now in trouble because of the sanctions, there are buyers who look at this flight to quality and incorrectly conclude that it means the fed doesn't have to act to tamp down inflation they think the war in ukraine will hit the brakes enough so jay powell could take it easy. i disagree i think it is confused with the fed that the fight between the west and putin will somehow cause -- to be less hawkish. in reality, the war over ukraine makes the inflation situation worse. a shortage in oil is leading to higher prices at the pump. ukraine is the largest exporter of wheat and corn.
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no relief. and that mean we're under more pressure to raise interest rates. so when jay powell goes in front of congress, he will like to extend sympathy to the people of ukraine but i don't see him killing inflation now. it doesn't help that stocks are still expensive on a historical basis. according to warren buffett in his weekend letter and it is suddenly it doesn't matt fer more people return to the work force as omicron wanes because the war means we need to worry about energy and foot shortages. so why not just run from the market i'm in favor of raising sth some cash if you don't have any we already did that for the charitable trust which you could follow by joining club we're in a strong moment remember what larry williams told us, and we had a late bounce last week in the end i think we have to choose, not between russia or ukraine or a hard line fed versus soft line fed, but
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whether stocks have gone down enough to handle what powell or putin throws at us have they gone down enough to me it is a very tough call. we have a huge number of high quality stocks that have given up meaningful gains and new republic stocks without any support that have gone down substantially. i think they'll still end up lower. i look a good rx tonight and workday seemed to poison any good news on any sign that inflation will be fleetingch and we've hear from the ceo tonight. i think the tock fell way too far from the numbers just printed. if you thought inflation is peaking and had you a good chance to buy dividend or health care or stocks with high multiples then you no longer have anything to cheer about at all. it is a humanitarian tragedy from the the stock market point of view, it is also real bad for inflation. which brings me to the bottom line we have live in the united states, not europe
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news flash to the takeaway is that the fed chief jay powell may have to acknowledge that this created more inflationary pressures meaning he will have to stick with the hard-line adopted last november for high flying stocks and a chief market to mount a sustained across the board rally. no matter what putin does, until inflation peaks, get used to the seesaw trading lets a start with terry in florida. >> caller: i'm a founding member and i wanted to tell you your club is the best investment i've ever made. >> unsolicited i didn't know that thank you, thank you very much. >> caller: my question is rh i fell in love with the ceo when you had him on tv. but i'm now in a world of pain what do you think of rh right now? >> i think you have to buy more. and thank you for saying great things about the club. i'll tell you that rh, mr.
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freedman, he has done amazing thing and people continue to believe that what he does is not enough, the stock goes down and then he confounds the bears. okay and i think gary freedman is going to do it again the stock has been cut in half that is wrong. i'm a buyer. jonathan in ohio jonathan >> caller: we're in the midst of gnarly times i hope jimmy chill is keeping liz cool. >> he'll cool until he looks at his columns. sometimes there is criticism there. >> caller: in the past few months, trading a third at the 52-week high and do you think the decrease there vaul is over blown. >> i think it is a great question now let's talk about a lot of our winners all of faang but i stumbled on paypal and why in because i believe that dan showman when he came on "mad money" chased down a story which didn't happen.
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and because it didn't happen, it is now become a referendum on dan shullman, not on paypal and now the referendum says no and that is what i'm concerned about. carlos in pennsylvania. >> caller: what is up, jim >> not much. what is going on with you? >> caller: not much. so i came here to ask about dave and buster's stock >> interesting that is a really interesting stock. why? because people are going back, they're having fun again, the stock is up but not enough, it is only 18 times earnings. it is really well run. think it is a very interesting stock here and one that i think will work as the world opens all right. powell may have to admit that this war is creating more inflationary pressures so he'll have to stick with a harder line, not that good nor many high flying stocks unless they make a lot of money. and it also hurts the prospects of a rally on "mad money" tonight, i'm
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running through with a company ceo and the market had a rough start for 2022 and what does it say about the vix. i'm going off the charts, special monday edition and workday reported for closing and i'm hearing from the top brass and so far i like what i've hearing stay with cramer >> announcer: don't miss a second of "mad money." follow @jimcramer on twitter have a question? tweet cramer, #madtweets send jim an e-mail to madmon@cc.m ge a ll at 1-800-743-cnbc miss somethingtn@■ to madmoney.■
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late last week, dell surprisingly reported earnings and with supply chain problems with the woes and after close today we got results from the hp inc. they told a very different story. they delivered a clean top and bottom line beat and better chan expected guidance for the current quarter and raising the full year forecast substantially. the numbers are not perfect. printing business fell short we have to find out about that there were major positives, including higher than anticipated margins. and another -- that would happen with the pc industry being dragged down so what is going on is hp better run let's check in with the president and ceo of hp inc. and to get a better look at the forward. welcome back to "mad money." >> great to be here with you. >> it is great to see you. everyone is moaning about supply chain problems, worries about parts. frankly i didn't see that kind of worry in your quarter
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it seems like somehow you fixed or beaten the supply chain problem? >> well, we have been executing the plan that we described a few quarters ago and we have been making progress. we have -- we have 15 of our focus to those categories where we see the highest demand. also categories where we could make more money and this is what we've been doing and the results this quarter reflect the progress that we've made. >> now a lot of people were concerned that work from home may be diminishing so therefore your notebook sales would be hurt now notebook was not as strong as i like but everything else is very strong. how do you balance this idea of work from home and your business >> actually, we see work from home the hybrid way of working as a big opportunity for us. company started investing in having a better experience for the employees whether they're in the office or at home. also -- to be better because you
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want great aud yio and more memy and this is shifting demand to premium categories i know these are good things for us. >> so how do we explain personal printing it is obviously, corporate printing is great but i think you do so much good stuff and i'm surprised this is not just a br breakout moment for personal given that so many of us are working from home. >> in this case -- has been impacted by the supply chain and this is something that we shared with investors already in the past most of our factories, most of the factories are in south east asia and they have been in full lockdown most of the full and the beginning of december. and we were expecting that because we thought that we were not able to get product so shipment was impacted. >> you have a high quality problem. you've wanted to return money to shareholders, that is very important to you but the stock has run up quite a bit. does a buyback still make sense
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all the way up here in. >> well we continue to believe that our shares is undervalued and therefore that value in hp shares is a good investment for investors. we have committed to buying $400 billion of share this is year this quarter we bought $1.5 billion and we're going to continue to execute our plan because, again, we think it is a good investment. >> now in terms of good investments, i've been fast hit by 3d and your predecessor is wild about it and i'm looking at a packaging, a bottle that would revolutionize thing and perhaps we didn't wreck the oceans now are there buyers for this, or is it just a cool thing i ought to put on my shelf >> i think we've -- and i have the bottle also here with me i think with this tuechnology we have a strong opportunity to replace most of the single use plastic bottles and other containers that are used in the
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world. what we could do with a combination of 3d printing is to create plastic tape, but it is made with paper that can replace plastic and that is a great opportunity for us going forward. that we will also have a significant impact in the world from a -- perspective. >> but have you contacted with any of the big plastic bottle makers >> we're starting the process. they have a small start-up that initiated the process and now with our scale and our relationship, we could really drive that in a much more aggressive way. >> now i'm very glad you made an acquisition for gaming i've always felt that this is the area that you most need to be in. because you have such good reputation for speed any way cloud corp, surround sound, how will this work who will want this >> well, gamers all over the world spend more money in what we call peripherals, headsets and other devices that they
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need they spend more -- five times more money on that than on their pcs and the acquisition with hyper ex puts us in a lead position in headset. the headsets that a battery that will allowing you to play nonstop for 12 days. i'm sure this is what you're looking forward to do. >> well, i actually am a big user of your other products. i don't know if i'd do that. i happen to love, i love touchscreen pc you know that. what do people once they have touchscreen tv -- pc, do they ever go back >> no, i think this is one of the key differentiators from windows and our portfolio ands you say, once you start using it, you don't go back to the old technology because use ability is better, and access to applications faster and you have a much better experience. and in the business space, it is all about experiences now. better experiences, better sales and drive more happier
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customers. >> well i know i can't live without it and i want to congratulate you for delivering and exceeding as you've done quarter after quarter after quarter since i first met you. and that is enrique lars good to see you. thank you. >> thank you, great to be here. >> you heard what he said. he still thinks the stock is cheap and they have a lot of fire power to buy a lot of stock. "mad money" is back after this >> announcer: coming up, fear is a rational response to opening a newspaper. flip beyond the fold and let cramer turn it into focus.ázl9
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and then roll over before late surge gave us a split decision for the major averages no one knows how this will play out. if they do, their wrong. ukrainians holding up and russians -- brutality and hard hitting sanctions that have eliminated the ruble and not seem to getten to putin. and when jay powell speaks to congress and then the unemployment number. this is a moment of tremendous fear for the stock market if that fabulous rally last week. and tonight i want to approach stocks for more direction. and that is why we're going off the charts with mark sebastian a technician the founder of option pit.com because he's our resident volatility expert and that is what you're getting. and what you get when investors are afraid sebastian likes to monitor the cboe, the vix, because it could
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tell you about the animal spirits of the market. there is a reason it is known as the fear gauge so take a look at this pair of charts showing the s&p 500 and the vix going back to the beginning of the new year. you could see what has happened. since the beginning of 2022, the market has been slowly moving in one direction and that is down and the vix, well, hold it, you do get some temporary rallies here, but throughout the period, he points out that vix has moved up, which is what you would expect an the vix and s&p 500 are supposed to hit in opposite directions until today, the vix always seemed to have a ceiling it would briefly close above 30 and then pull back now, though, it is above 30 again. so the fear, it is real, all right. we feel it perilous times remember perilous but we have a lot of cross country. and ukraine isn't plugged into the local economy, russia is a major exporter of energy
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it is caused the price of crude to sky rocket to the mid-90s the one on the bottom is the regular volatility index and the bottom is for the uso. it is the vix but for oil, not stocks the o-vix. while the price of crude has been on the rise, the volatility of oil has spiked surging to the 50s. look at this run sebastian thinks that is why the regular vix is flying too. let's pull all of them into the regular vix. it declined on february 9th at 4587 we only felt a 4225 at the lows last week. but a 8% drop over the course of a couple of weeks. meanwhile, look at the vix and the oil. here is the vix and the oil vix. during the same period, the volatility index moves from just under 20 to under 30 which sebastian said you could expect a 2% decline in the s&p every
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day. at same time the oil vix surged even higher, pricing in 3% moves per day. put it altogether and sebastian thinks volatility is swelling here that is a technical term this is something he predicted last time we highlighted his work in january. when the vix surges over two to six weeks and then the stock market gets obliterated. and take a look at the index futures. you could bet on march or april volatility or june volatility, not just present volatility. these futures could help predict where the stock market might be headed when we spoke to sebastian in january, he pointed out that vix futures were going to backwardation, where it is above the next month's futures he warned us that this is often a sign that the market is getting irrational it means we're getting close too a bottom well possibly. or it could mean we're about to have another breakdown i know that doesn't help us. but five weeks ago i predistricted a breakdown and
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that is what we got. now that is what they've done for the last trading days. and then bad things could happen where does he think we're headed let's look at the gulf war in 1990 and 1991. i like it use it as a touch stone, because we have unequal forces but this time is the good guys that are outgunned. look at how the s&p 500 and the vix behaved back then. the gulf war started on august 2nd of 1990 when iraq took over and there was constant speculation about when we would move to retake kuwait. and the vix went higher and higher and while the s&p 500 plummeted 20%. however, sebastian points out that vix eventually topped out a few weeks in the conflict on august 23rd, okay. the s&p continued to drop and churned through the october.
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but the market actually bottomed on april 11th, 4 1/2 months before the war ended and a couple of months before the u.s. started counter offensive in desert storm. remember to keep this in mind, on the counter offensive, but from here, though, the s&p was off to the races and the vix sank like a stone. sebastian thinks it is important because while things escalate, he expects to see a lot of volatility and weakness in the stock market just like in the beginning to the run-up of the war. something we all must certainly won't get in ukraine but the bottom market once we knew the -- would end. and back in 1990 anyone who bought stocks at any point after the sell-off up significantly by the time the war ends. and he thinks there will be more
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pain but if you have cash on the side lines, will will come a point when you want to put it to work we've been doing some of that with our charitable trust. last week we exploded higher or today when the market came right back down and then went up again. what would make him more confident. he wanted to see the market make new low with the vix not making a new high with the vix and the s&p diverge, it tells you the trend is about to change and that is the moment to jump in with both feet that was october of 1990 but the bottom lines, the marks by sebastian said we're not there yet. he predicted more pain steer yourself through this period so you could be opportunistic when the moment comes to start buying and that moment will come let's go to allen in rhode island allen? >> caller: hey thanks for taking my call. appreciate it. >> of course. >> caller: so i've been invested in about ten years or so but
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recently started to dig into 10 qs and 8ks on the s.e.c. website. i started taking some accounting classes. >> great. >> caller: and you know, i understand the numbers a lot better now when i take a look. >> that is great >> caller: the financials and stuff like that. but i've been confounded by a stock that appears to have all of the right numbers, they seem to have apple-like profit margins. they did 16 billion in revenue last year. but for some reason they only trade at five times earnings what is wrong with rocket companies? >> oh, man, that is fantastic that you asked them and what is wrong with it, it is because when rates go up, then mortgages, the actual application, the mortgages, they decline. is rocket over done? i have to tell you, it went down every day. i think it could bounce to 13, 14 but it is flot where i want
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you to be. if you think that is going to bounce, go to cole brothers. to sunny in illinois. >> it is sunny from chicago. a big booyah to you. >> a lot of good sports fans there. what is happening. >> caller: before i talk about my company, i want to take this time to thank you for educating and entertaining u.s. and leveling the play field for us small investors. >> well thank you. i hope your a member of our club that is what we do every day i want everyone to be a member of the club. it would mean a great deal to me if we sign up. we have a big meeting on friday. how could i help. >> caller: i've giving a shoutout sign up for the investment club. i love your daily emails. >> my daughter said what is are you a sleep at the wheel no, we're working on walmart give me a break. i need a break from my daughter. she's interested, whatever it is important teaching tool.
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>> caller: one more comment before i talk about my company, this stock market is bipolar, one day we're up 700 and down and it is making my head spin. >> i'm familiar with that. so let's go. >> caller: all right so my question, jim, is about sofy i know they recently got a bank charter, i'm wondering you think about their future prospects. >> oh, my. i have to tell you i'm a fan and bring the street back in '96, this thing is too beaten down. i don't think it should be at 11 i think 14 or i15 is more like and just go buy some and put it away i'm banking with no-do tonight's chart is predicting a little more pain before we get some gain. something i happen to agree with so stare yourself and get ready to be opportunist when the moment comings to start buying we've done our selling for the
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trust. now i'm looking for opportunities. mexico more "mad money" including my post earnings exclusive with workday what will the future of work look like as people return to the office you know what, i think this company delivered a great quarter. i'm talking to the ceo and then i'll reveal my strategy for taking advantage of the opportunity presented by the defeatist and all of your calls with rapid fire in tonight's edition of "the lightning edition of "the lightning round. alright, so...cordless headphones, you can watch movies through your phone? and y'all got electric cars? know? you can watch movies is the hype too much? am i ready? i can't tell you everything. but if you want to make history,
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times of high inflation and rising interest rates. that is historic since then some of our favorite cloud names have just been obliterated. the underlying companies are doing well no one cares about the fundamental as but the stocks come down to levels that you can't resist take workday, the maker of software tools for financial planning and human capital management it is a report of an amazing quarter. clean top and bottom line beat and responding revenue growth and workday stock is flying after hours trading as it should because this was a monster good quarter. so will it be enough to turn around the whole cohort. i don't knowbut it seems like it go. with kneel busry, with the workday. mr. busry, welcome back to "mad money." >> how are you >> i'm good. and you know why, because these numbers are extraordinary. it is the best thing that i saw happen today after all of the terrible things happening in europe
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and i want to know how you did it you're accelerating your business at a time when many other businesses are decelerating >> you know, i'd first want to just thank our great team for a terrific performance in the fourth quarter and the full year% i think it is just a sign of the world continues to transition to the cloud. we've got great products we take care of our customers and our employees. and you know, altogether things are working right now. >> but it also seems that you've developed this suite of products that frankly are really good during periods of uncertainty. you can't really budget what you want to do in this environment unless you have these remarkable products not just -- and listen, it is not just -- i could argue that -- i would argue that extend and all of these things help you make your budget. >> they all did. you know, at the end of day,
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covid has been a challenging time for all of us and right now i just want to just take a second and say that my thoughts and prayers are with everybody effected by the situation in ukraine. and we're trying to support our employees and contractors who are involved at the end of the day, we're all about taking care of people and taking care of employees and as everybody went remote, our applications just ended up fitting that new environment really well. and in particular, peekon, every kre wanted to know what their we thinking about are they engaged, are they connected to the company, do they want to continue to stay at that company and that is just turned out to be a terrific acquisition for us and consistent with what we do as a company. >> i'm glad you mentioned pecan, things that we would not think were important when we were starting out which is how we
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feel, what is our moral, what do we want to do.e come to the for because there is a bitetter off out there if you don't like what so this product will allow you to pivot and done in an empirical way, not a touchy feely way. >> exactly and in a very -- way, you want to understand where your employees are mentally in a challenging environment. we're all just disconnect from human interaction and getting back in the office and getting back together but for the last couple of years we wanted to know, not how people are feeling anecdotally, but when we look at the numbers, how does it -- the average employee feel about being connected to their company in a statistical way the -- stuff always matters. but the broader scheme, like workday, closing in at 15,000
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employees you need to look at the data set and all of our customers do need to do too and and see where they are at employees. >> you have a great work with university and sometimes with health care and sometimes with banks. i'm liking at dick's sporting good and at-home stores and thinking you're making tremendous end roads are retail. >> we have been. we've been very fortunate. it is a strong segment with us, starting with walmart and whole foods and others i'm a big sports fan, so landing dick's sportsing goods was a really big win for us. i've known ed for a long time and we're just thrilled to have him as a customer and we're going to do a great job for them but that segment, which is very employee centric, it has become a great segment. >> if you could explain to people, if you took all of the different products together in one, okay, you would eliminate, i think, maybe four or five
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different vendors. >> you could say that. we have to be careful in saying that but you're right, we could take away all of the needs for hr, for payroll, for finance, for procurement, you know really in the case of student systems and we could d be their full solution and then we have an analytics solution that lets you analyze all of that data so, our goalkeeper is to try to be a unified solution across planning, execution, and analysis and then with workday, the underlying platform extend, changing it to modify your business process to meet your needs. but you're right, we're trying to be a full platform solution for the administrative works. >> one last question then, could that be in some why you have been able to really forecast
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subscription revenue in a very -- i'm not saying it is aggressive, i'm saying your book of business is very solid going forward. >> again, i'm going to thank the team, don robotson and fernandez and our growth rate accelerated from the 19% number to this year going to this year, 22% and we're projecting that similar growth rate going forward. we had hoped that would be the case it is a strongest year we had in the last five years in terms of net new bookings growth. so it seems like things are working, fingers crossed i think a lot to do with it is us becoming a broader platform provider for our customers. >> it does seem all of the acquisitions are working you're firing on all cylinders when i say you, i mean you and your team. i'm not just saying you neil busry. congratulations on a remarkable quarter and one that could make
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people excited about the cloud again. we kind of forgot about the cloud. thank you for being on the show. >> thank you, jim. but i'll say again, it is all about the team it is always by the deem. >> and dicks, i agree. a see that footastball and it ls like -- [ inaudible ] and deliver some unbelievable numbers tonight. he and his team. "mad money" is back after the break. >> announcer: just chill out >> the chill man is in the house. >> announcer: "the lightning >> announcer: "the lightning round" is coming u [sfx: street ambience] ♪ ["fly me to the moon"] ♪
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ameritrade it is time it is time for "the lightning round. and then "the lightning round" is over. are you ready, skee daddy? steven in colorado >> caller: hi, jim this is steven i was wondering about ocean international? it is oii. >> it is right here. it does a lot -- there are a lot of times when i look at these stocks and i think well they have contracts and they could go bad. i think these guys are very good to keith in illinois >> caller: jimmy chill my grandpa got me into investing and i got all of your books so thank you for that. >> well, thank you thank him. it is fabulous how could i help >> caller: i'm a 5-year-old investors, briefly opened a position into the energy
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company, want to get your thoughts on what to look out for, ticker symbol tell. >> i think for a 25-year-old, that is a buy. and why not. after we saw that fantastic bid by chevron today here is what matters their balance sheet. they have to raise more debt but when they are finished they'll be ready for customers with liquified natural gas to jeff in ohio. >> caller: thanks for taking my call i couple a couple of positions in equity tran with the latest earnings report and about 30% from my -- what is your thoughts? >> well, okay. some of these are better than others and this one was down for multiple days, it yields nine. i'm worried about a 9% yield it makes me feel like it is not sustainable. try end bridge
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that is al monaco. horace in illinois >> caller: how are you doing, jim? >> i'm good. how are you? >> caller: very good jim, i have this one question, i like to know your opinion about at&t not the short-term, but the long-term. >> maybe for the long-term there is something there short-term, no short-term it is a family show so there is no-i can't really go into it. it is just not right i worry about my reputation and i worry about what people think of me and i'm worried about my late grandma nanny mary who said if you don't have anything nice to say, that is my line on it. to steve in massachusetts. >> caller: hi, mr. cramer, this is steve from massachusetts. been watching "mad money" since day one. >> day one you must be 48 what is up what is going on
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>> caller: well the stock i'm calling about is a financial advisory and asset mmts company, it has a low td of 7.4 a really nice dividend yield of 5.5% it did recently have a insider trading issue and the stom is plummeting and the name of the company is lazard. >> i like lazard jimmy chill likes lazard this is an opportunity i like it. i think it could do well an that is a good one. let's go to anthony in illinois? >> caller: yes, jim, how are you? >> i'm good. >> caller: for the past 20 years i've been listening to on tv and by paying close attention to your details i've made a lot of money. my question today is concerning dox imity. >> i think the zrrs love it and it is a gto get the world out
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and that, ladies and gentlemen, it the conclusion of "the lightning round" >> announcer: "the lightning round" is sponsored by td ameritrade >> coming up, before you buy buy buy, or sell sell sell, take a breath and think, think, think cramer explains why every crisis cramer explains why every crisis strategy should start with a like jack. he wanted a streamlined version he could access anywhere, no download necessary. and kim. ute she want]■ a pre-set trade strategy in seconds. so we gave 'em thinkorswim® web. because platforms this innovative aren't just made for traders -they're made by them. thinkorswim® by td ameritrade next.ht
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this one constant in this business it is so much easier to be negative than positive i like to wake up early as you know and many times i'm mesmerized by the crawl. the parade of stocks going by underneath the cnbc personality. this morning i watched one plummeting stock after another, caterpillar and facebook down 3 just a hideous progression like here comes the slaughter. by 10:30, all stocks were up if you could have had a quick win. one that was acsenu ated for many of the stocks at end of the day. if you want to sell them, you have a much better opportunity in the early morning and wait a few hours for a better moment or if you just dump them at the close. so how come you rarely hear about how panicked sellers create tremendous opportunities. simple
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it is easier to be negative. part of that is the inherent bias in the media toward talking about crayos we tend to be much more constructive and even then commentators do have a bias toward negativity, unless something bad happens that makes them look foolish. at the end of the day, if you're making public statements, it is much safer to be a pessimist let's say you came on air this morning and were asked to opine about the beaten stocks i just mentioned. even if you like them in the face of that hideous future selling, it is simply not worth it to stick your neck out. too risky. what happens if you recommend caterpillar, vladimir putin ratchets things up in an insane way at 10:30 you'll get pieces on social media and that youtube clip may be following you for the rest of your career. it is so much easier to avoid any potential controversy and tell people your afraid. that is not my style because i have no choice i run a charitable trust and all
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of our moves are public and i'm aware of what should be down take the semiconductor, they were hit hard. they have nothing to do with russia oddly, even the oil stocks got grabbed down at first. but that didn't last long. because they benefited from the cast and they flew up. let's draw some conclusions. first when you see stocks down kbadly and they have nothing to do with the event causing the decline, in this case, russia, it makes no sense to panic and if you sell, you'll end up losing money it is important to know what the companies own actually do. i bet the sellers have no idea what they are otherwise they would have stayed the course remember what matters and what doesn't. i understand why you might want to sell citi group, or others. but do you sell first verizon, the fabulous tennessee bank that is expanding throughout the southern portion of the united
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states no, you sell something like that at your own peril. as they just got a monster $25 per share takeover bid and from the 1825 close on friday, the ceo brian jordan, one of the favorite guests quarter after quarter, he got sick of seeing the stock get no respect despite the fab work for the shareholders and just take the bid. and you don't walk away from tech that has been hammered like workday. talk about seller's remorse today. i'm not being a pollyanna. i'm trying to acknowledge the truth. even when their feeling confident, commentators don't want to make a mistake nobody goes after the bears like that there is no peddling for sounding too cautious and talking about perilous times the only defense is to know what you own and recognize that you must not be shaken by events that have nothing to do with your stocks. you don't have to be visible like i am for my charitable
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trust and don't forget our 12:30 meeting at friday. and the gressive future traders turn out to be dead wrong. so wrong that you almost have to take the other side of the trade. i like to say there is saulz a bull market somewhere and i mom is to tr if ukraine does not survive, we cannot be surprised if democracy fails next >> day five. it's clear the russians have not made the progress they wanted to make by day five that doesn't mean they aren't going to adapt >> ukrainian officials pushing for a cease fire in talks with the russian delegation, though making little head way >> the pinch is being felt significantly in the russian economy. in medya, where they come into the country. >>
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