the cash is under 17 >> mr. nathan? >> this is a guy adami pick. johnson & johnson. we call it johnny john takes some -- >> who calls it that >> we've been calling it that for a long time. yeah, i think that one looks okay >> hey, i'll be ckba tomorrow. >> all right >> i my mission is simple, to make you money i'm here to level the playing field for all investors. there's always a bull market somewhere and i promise to help you find it. "mad money" starts now hey, i'm cramer. welcome to "mad money. welcome to cramerica other people want to make friends, i'm just trying to make you some money my job is not just to entertain but to educate, teach you and put days like this into context. call me at 800-743-cnbc or tweet me @jimcramer.

the absence of new negatives can trigger a rally and that's what happened today where the dow soared 551 points. s&p surged 2.65% and the nasdaq pole vaulted 3.43% mostly because we didn't get hit with terrible news last week for example we got word credit was in big trouble and people started talking about the next leeman brothers they collapsed and brought down the entire financial system. so when you hear talk about a leeman event, it is ter fieg today, making great progress in selling the u.s. asset management business. we don't know how much that will bring in but any sizable will take it off the table. i don't think the swiss government will let them go under. box check. it's hard to refute the talk because nobody wants to sunday too positive just in case something goes wrong if you say it's safe to keep your money in credit squeeze,

not that you like the stock, just that there won't be a bank run and something happens to the stock, believe me, you'll be hounded for the rest of your life as someone that endorsed a funk institution it's a black eye it's not worth it. how about the analyst, you've always got to worry about these guys in the bear market. what are some analysts jumping on last friday negativity? remember that last it was breathtaking how bad the last hour was. that's it. i want you to sell, sell, sell the whole darn market. but that didn't happen today even though a lot of us expected it in fact, uber like wilson from morgan stanley who has been dead right the whole way for the last year actually went short term positive on the market that's right near term says buy it. a terrific piece titled and i quote technicals may gain upper hand on fundamentals if rates

come in end quote. i love what he wrote here. just listen to this, quote, last week's in facobsession may be a for the inflation bulls. the 200-week moving average of support until a company fully confesses or recession arrives, some of which could take several more months and lead to a technical rally in the short term in other words, what he's basically saying is you have a little while to have fun and games. it's okay. it's highly unusual, frankly, extraordinary for a respected fundamental analyst to invoke the charts, the 200 week but i think it was actually a brilliant move one that caught many bears with their pants down in today's rally. at the same time, he voiced last week east's terrifying inflatio

numbers were backward looking data they knew this from before rearview mirror and wilson gives you the most important line and i quote, inflation has already peaked and could fall rapidly next year as comparisons become very difficult end quote. in other words, inflation might be rolling over in the recent spade of the hideous numbers that really represent. this is from wilson. that's why wilson has a tradeable rally until companies start reporting weak earnings due to the fed mandated slowdown he wants you to take advantage of this temporary bullish window, the biggest window in ages that cuts in favor of this rally lasting for more than one day that marked a very big change from what we got used to there are six one-day wonders, six. and every one of them led to terrible losses. i'm not done with the no negatives. we had nothing new in china, russia, reliable that's despite the fact that

russians are on the offense in ukraine, now shelling regularly civilian targets while president xi for life, i should say, president for life xi just repeated his taijuan is ours mantra at the communist party. not enough new to freak anyone out. so is that enough to do the job? i think wilson is right. it's a range bound market. we hit the lower end and i think we can visit those lows if the earnings fall off a cliff. in the end, what's allowed us to rally has more to do with the markets new leadership than anything else and this i didn't get from wilson. this is my own thinking here all right? last week we had remarkable quarters from j.p. morgan and wells fargo. more on that later then today we got amazing numbers from bank of america the country still is flushed de they make a fortune every time

the fed tightens so they, not tech, are the natural leaders here for many years, we've been used to it but some say spoiled, i don't think so anymore a market led by tack fang plus microsoft. we have wonderful runs anything connected to enterprise software venture capital. they have a lot of money losers but things have gotten tough for tech particularly since the november peak. i'm a big believer the old facebook has gas in the tank i'm not minority there is growth in instagram and facebook becoming a true rival to tiktok. morgan stanley says it's a good defensive tech over that, i say you're the same, own it, don't trade it no one believed amazon could keep doing well because of logistics companies keep disappointing and being downgraded and so it's pretty bad for them and therefore for amazon, even though i like it. netflix reports tomorrow

a new narrative advertising why the stock is showing signs of life but much smaller than it's fang brother i think alphabet is too cheap because in a slowdown advertising dollars consolidate among a couple players and they will consolidate on google. microsoft has its own p.c. cross to bear. i worry the rest of the business simply can't make up for the expected window short fall that we saw all during the semi conductor company reporting last week long story short, we lost the tech leadership a year ago and we haven't had much to replace it but you need leaders for the market to go higher but we got amazing numbers from jp morgan, wells fargo so they're getting a battle field promotion why not? the fed is allowing them to make a ton of money by paying next to nothing for depolssits and reinvesting in short term treasury what a trade the fed still is tightening. james bullard, terrific guy said

we may need two more 75 basis point rate hikes by the end of the year and i regard them as the most level headed. that would put us at 5%. at those levels there will be more defaults and dellin kwint. they ran out of take overs for targets. they got too big the group had the potential to be the leader again but the banks couldn't pull it off because the fed kept rates so low, it was hard to make money now that's over unless we go into a severe recession, the banks could mean tanaintain fore these are big changes for the market to adjust to. we went from all rallies are one one-day wonders. it is 0 to 60 too fast it's a mistake to change the stripes that fast. bottom line, though, for the charitable trust we continue to do a little selling. we're not buying into everything

here so we'll have enough cash to put to work in the next downturn but how can you not respect the possibility wilson is right an the rally might be more than a one-day wonder given how great he has been in the downturn. john in tennessee, john? >> caller: professor cramer, boo-yah. >> boo-yah right back at you, john, what's up? >> caller: yeah, i was wondering what you think about snap? i've been having it for many, many months -- >> we don't want the snap. we don't want the snap when it comes to social media, we're going to like metaverse more than snap because they have bigger demand, better balance sheet, i like them hey, let's go to bob in florida, bob? >> caller: hello, jim and a big boo-yah. this is bob, first time caller from florida. >> i love vero my best friend is down in vero what's going on. >> caller: thanks for taking my

call my question tonight is in regards to celsius holdings, celh i've seen the ceo on your show a few times. i know that pepsi just invested 500 million in the company and i'm seeing more and more of it in walmart end displays and sales in publics and i saw a plug on nascar the other day and has its own refrigerator in the convenience store. i spoke to a pepsi distributor next week and said pepsi may start distributing it next month. my question is this, is celsius a buy at the current price >> selcelsius for real brian had three this morning get pumped up with the celsius i'm still a coffee guy i represent old school celsius is new school but it's real even though up 6 today, i think it can go higher

thank you for the call for the travel trust, we're doing selling in strength to have enough cash go watch the broadcast this morning but i respect the possibility the rally may be more than a one-day wonder because the guy that called it wilson is so good. on "mad" tonight kroger plans to buy albertsons in a $25 billion deal but what are the odds of approval for this merger i'm digging into details and wells far show shocked the lights out in last week's quarterly report and learning through the travel trust stock and giving you key data and our own bob, that's right, is out with a new book called "shut up and keep talking." so we're going to do just that and hear more about his history of the street and inspiration and i love this book so stay with cramer. ♪ ♪ don't miss a second of "mad money. follow @jimcramer on twitter

have a question tweet cramer #mad #madtweets send jim an email to madmoney@cnbc.com or give us a call at 800-743-cnbc miss something head to madmoney.cnbc.com. another busy day? of course - you're a cio in 2022. but you're ready. because you've got the next generation in global secure networking from comcast business. with fully integrated security solutions all in one place. so you're covered. on-premise and in the cloud. you can run things the way you want - your team, ours or a mix of both. with the nation's largest ip converged network. from the most innovative company.

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here is the big exciting stuff. last friday, we got word that kroger is buying albertsons and our first reaction was no way as in there is no way the biden administration will let this deal go through. the white house made it clear they're no fan of mergers when you make the argument they can be anti competitive. they are hard liners now they both examine these deals. they think corporate

consolidation is a problem something that causes consumers to get hurt by higher prices so they're extremely skeptical with major players in the same industry want to join forces and this kroger albertson's merger would be that deal two of the five largest grocers combine with dozen of brand names and thousands of stores. doesn't help that we're all very worried about food inflation, right? one of the most stubborn components as most agriculture commodities come down in price so my guide is to say this deal would be a tough sale because the regulators aren't going to bite over the weekend we did thinking seriously and there is a good case to be made kroger could make this deal happen. i want to walk you through it. if the deal goes through, kroger stock becomes a lot more attractive let's start with the facts kroger say huge change with more than 2700 stores

albertsons also has a ton of different brands, nearly 2300 locations and they've been trying to put themselves up for sale for a little while now. both stocks have been under performers in vent months but now kroger is coming in paying a 32% premium versus where albertsons was trading before news of the deal broke. i remember when albertsons stock was so low i liked it people were laughing at me except for the ceo as part of the transaction, albertsons is paying huge special dividend up $6.85 per share in a few weeks but you got to buy the stock before the close on october 24th to get a piece of the payout if they can get regulatory approval, this makes a ton soft sense for albertsons and kroger to buy them at a $20 billion valuation, why they go into a lot of detail how the deal accelerating kroger's go to market strategy and creates value but if you take out that gibberish, it comes down to scale. kroger combined with albertsons

would have more heft with suppliers. they will have larger loyalty programs, better for you and find it cheaper to make their own knockoff private label br brands and that's where the saving comes in. management believes the bill could be 1 billion it could take 40 years to get there. these gains are coming from better sourcing, better technology, better supply chain, better manufacturing and lower costs. kroger expects the deal in the first full year that's amazing they expect it to be double digit by year four they're also talking about a 30% boost to annual free cash flow by year four these are phenomenal numbers financially it's darn compelling why wouldn't they want to do this deal to transform them to the second largest grocer next to walmart they're taking on a big competitor great for business the only real question here is if the government will let it

happen let's start with kroger's case but first i want to point out it's clear this isan uphill climb, which is why they aren't even planning to close the deal until 2024 i like that. they are being very realistic. they recognize they have to get the fcc and department of justice on board, something a surprising number of companies don't seem to understand i think kroger's case would be a slam dunk. what they said they're willing to do is invest between 100 and 370 forming a new competitor owned by albertson's shareholders they're willing to take a sizable chunk so the combined footprint doesn't create a situation on a local basis and well founded as gary miller explained, smart guy. it's the cleanest way to get regulatory approval. just spin off anything you need to spin off to get the fdc and justice on board on top of that, the other

powerful case for letting this deal happen is there isn't so much over lap. look at this take a look at this map with kroger the supermarkets in blue. albertsons in yellow kroger is clustered in the midwest and the southeast. albertsons is about the northeast and the west coast there is over lap that's easily taken care of with the spinoff plan they argue they can provide a better customer experience and scale and have good customer experience they think better technology for online shopping and fresher products and lower prices through the use of their private label products i have to tell you, i found it hard pressed to make out what the difference was between the brand and the private label. they both taste good in fact, other than price, in fact, kroger is promising to invest $500 million into getting prices down for its customers along with putting 1.3 billion into refeurbishing stores

i put this together with the help of mr. mcmullin, the ceoo krogers and do it more efficiently by joining together the manufacturing capacity these are very interesting price differentials and those are so shocked know these are real and it just is a better deal for me, though, the most important piece of the puzzle is the grocery business remains highly competitive this isn't like the airlines where a hand full of players and if kroger is allowed to buy albertsons, they only have 13% market share so you need it to go against walmart. however, they still got to convince two entities, particularly one, the ftc and justice trust, too it will be easy to work and say this is okay unfortunately, people running the anti trust division have made it clear they do not like deals like this where they do a spinoff to offset the damage from an otherwise competitive merger listen to what the assistant attorney general jonathan cantor

had to say this year and i quote, merger settlements two result in concentration creep. this happens when die vested assets end up in the hands that do not make a vested quote they had a bad experience in 2015 when they let the old al beberts buy safe way they divested 168 stores but th company that bought them went bankrupt eight months later, eight months al be albertsons bought back 33 locations after the deal went through. that's an extremely unhelpful precedent. this say real problem. she's a serious an tie trust hard liner and we know where she stands because she wrote about the albertson's safe way merger in an article. she call ed it a spectacular

failure easy to see coming that will hurt this deal my fear with the merger is if kroger can apiece justice, they will have a much harder time getting it past the ftc and the market clearly agrees with the assessment which is why both stocks got hammered on friday. bottom line, it is an uphill crime. i believe the merger won't hurt the consumer because there is so little over lap between kroger and albertsons and you want a powerful competitor however this justice department and ftc hates when companies do spinoffs to get regulatory approval for mergers so i expect a long slot that wears people down as they wait for the deal to close "mad money" is back after the break. >> announcer: coming up, this wagon train is hitched and ready to haul. circle up to "mad money" for a can't miss look at wells fargo next

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last friday i gave this quick rundown of four high profile banks that reported that morning but i had enough time to truly focus on the one that is by far my favorite, the tremendous quarter from wells fargo. remember how bad they were not just because wells is the single largest holding but certainly feeling pretty darn good over the past couple sessions it's not really about the stock, though, which is still down substantially versus where it was trading but the progress wells fargo is making under the ceo that took over three years ago. let's do this. let's do a deep dive because if the recent bounce the stock is worth owning and such a big position but i wish i could buy more first thing you need to know is this is already the best bank to own when the federal reserve's aggressively raising interest rates like they are.

i like the financials because the fed is tightening. every rate hike means they can take deposits they pay next to nothing for and reinvest risk free in short material tre termy banks make money just by turning the lights on every day. they gave you upside guidance for the fourth quarter the most important piece was the net interest margin, also known as the nim, net interest margin the spread between what they pay for your depost its and invest 787 mentes or bonds. the net interest income, this year wells fargo's net interest income has malsz sievely outperformed wall street's expectations they were looking at 8% growth versus 2021. when wells reported last friday, they raised that forecast again, this was extraordinary to 24%

growth think about that three times. these guys are printing money thanks to the higher yield curve. you hear me? printing money that's true for all the major standard banks what sets wells fargo apart is that they've got the best interest group, the widest spread between deposits and earn from the loans and invest menti. jp morgan got 2.9 and citi group 3.32% and bank of america had a great quarter today, 2.51 but wells at 283 remember, this is the most important number and you want the largest percent take and there it is. those basis points may not sound like much in absolute terms but from the perspective of the banks, that adds up to an enormous amount of money it's honestly kind of incredible wells fargo used to be the worst of the major banks after three years of charlie sharp's leadership, their core

banking business is more lucrative and i think charlie is just getting started point number two, everyone in the industry is worried about out of control expenses. other banks, are moving ac aggr aggressively we wells fargo is way ahead multi year reinstruction plan to make the bank more stream line and a better operator. they're looking to achieve $10 billion up from $8 billion wells fargo is making that happen through layoffs over the past year, the total head count is from 254,000 to 239,000 and added more than 22,000 people over the same period they make money for them bank of america added more than 3,000 people wells has a huge lead because it was reducing head count while others were adding employees and charlie knows where to find the

cost and take them out the banking business, when we want to measure the successful cost cutting, we add another ratio. i'm trying to teach you this stuff. we go to something called the efficiency ratio the non-interest expense divided by total revenue it tells you how much you get for your spending. this quarter wells fargo saw the headline ratio increase from 71 to 73% that's bad this number lowers better however, that increase all came down to one time items when you back those out and look at the core expenses, et fishfficiency is headed in the right direction. unlike citi group and jp morgan, wells fargo has far less capital market expose sure the rest is racking up huge short falls and ipos, there are no bonds nobody wants to raise money in this particular environment not with the fed doing what hits doing. morgan stanley's business is

down 63% year over year. that hurt us fourth, surprisingly wells fargo does have an mna they're building an investment bank here but only in the areas working right now for example when kroger announces the acquisition of albertsons on friday i was supposed to see the ceo mention wells fargo as an advisor. this is a brand-new business line with no risk and extremely high margins fifth, a lot of reasons why you should buy wells it's crucial to change the reports and we shuffle the board. wells fargo was a mess when they took over. those guys are gone now. look, i've always been a believer here because he did such a great job as ceo of visa and he was also bank of new york let's get to the two most important items here i said before that the federal reserve interest rates gives banks a fabulous net interest margin boost, right but the downside of rate hikes they cause unemployment which leads to customers defaulting on their

loans. we're not seeing that at wells fargo. loan losses are increasing from historic levels, there is still very low levels with only 17 basis points of net chargeoffs in a third quarter that's incredible. plus, it's worth noting wells has seen less loan growth in recent years versus its peers but that's good news heading into a slowdown because a recession in the worst performance will be the last ones okay recent ones. finally, let's talk capital. when the pandemic hit, wells slashed the quarterly dividend from 51 cents down to ten. ouch as the economy improved, they boosted back to 30 cents and yields 2.7% and a lot of room for buy back but they haven't done any in the last two quarters they limit how much you can spend depending on the capital ratio and wells fargo is well ahead where they need to be. the bank has a lot of room to do buybacks if they're going to go do them, they have a lot of room g goldman thinks they can move aggressively

i agree with that. keep in mind, wells fargo is doing the asset cap from the federal reserve as the past mall feasible that's limited their ability to grow but there is a possibility of the cap being lifted as the cleanup beverage continues and under lined business keeps improving. it will be five years after the first week of february they've been under the caps. how much punishment do they have to absorb? it's a totally different bank. honestly, we have no idea when that would happen. i think it's unfair that they haven't done anything yet. charlie, if it's not the same bank, why do they keep getting hurt why do the regulars keep cracking down? i don't get it here is the bottom line, after five rate hikes, wells fargo has taken the lead as the best net interest margin play in the group and the multi turn-around plan is bearing fruit with the stock trading just nine times next year's earnings as i told members of the investing club with that great net interest margin, it's by far my favorite

name in this new leadership group. i say we take calls. let's go to josh in georgia, josh >> caller: yes, jim, over the past few weeks you have mentioned how you believe that when this market turns financials are going to be the leader in turn around. i was calling to see if you think sofi fits into that category >> there is a moment in the jp morgan conference call and i like to read the calls where jamie diamond says these newer fintech companies will get acquired they are doing a great job of running sofi and not worked here but it's a terrific buy and i'm not backing away at $4 makes a lot of sense here, wells fargo is by far my favorite bank in this new leadership group much more "mad money" ahead. cnbc's bob wrote a new book about all he's learned on the street over the years and i'm discussing the latest work with the man himself and it is a great book then, when meeting investors this weekend, there was one

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we're eager to celebrate "mad money's" three-month anniversary in the stock exchange tomorrow night and i've been filming the squawk on the street since 2010. bob, the cnbc legendary correspondent has not been here for 25 years with a front row seat from everything from the age of the financial cri crisis, .com bubble and financial crisis and now he's

out with a new book called "shut up and keep talking. that's a nod to live tv where he tells stories from his quarter century at the stock exchange with really important investing principles, which i love this is a great read so i am so thrilled to talk today man himself. bob, welcome to "mad money." >> so great to see you, jim. i remember when i became the stocks correspondent in 1997 the first thing i did was trek down to wall and water street and i met youmen you had a discussion we were talking disk drives. you had a big thing going on and we've been friends since. >> we have you've been such a great source of common sense. so i'm going to start with today. people just said hey, coming in this morning it's going to be really bad and last friday they said come in, it will be really good because of thursday why can't people get anything right? >> it's really tough because we have a situation where nobody knows what the earnings will look like. will we be down in 2023 on the earnings or up

what's the right multiple? the stock market trades on future earnings and we don't know what these earnings are going to be. some people think they will be okay other people think it will be a disaster so what we call the dispersion of opinions is huge you got people that think we're at 2500 or 3,000 on the s&p and people think we'll be at 3900. i've never seen such a wide diversity. that leads to volatility. >> i haven't, either one of the points you make in the book that i love, you're not sure it's going to happen but the one thing you can't do and you're here, you cannot time the market you cannot go in and out you have to stay the course. >> one of the things that's really important is to recognize with market timing, you have to be right going in and out. and almost nobody gets that right. that's a real problem. there is a certain unknowbility about the future that we have. so you have to stay the course, staying in the market is the best thing, everybody hasthese stories and we can show the numbers are in the book that if you're in the s&p 500 for $1,000 since 1970, maybe you'll have

$300,000 by now but if you were out of the market on the five best days, you would be down 35% or so. >> it's literally -- >> we don't know what five days they are. >> right you don't know the five days you are able -- you will miss -- you will just by the law of average, you'll miss. >> if people said if you weren't in the five worst days you'll do better too three out of four years the s&p is up. why? because of capitalism. capitalism, rauthless. >> ruthless allocator made it so this place is no longer bustling as when you started. tell us what happened here there is not a lot of characters. >> this is a classic example of technology disruption in the best sense when i got down here in 1997, there were 4,000 people on the floor. imagine this floor, 4,000 people

you couldn't move and they did 80% of the trading in new york stock exchange right here on the floor. mostly, largely open out cry even back then people yelling at each other today there is a few hundred people and do 15 to 20% of the volume what happened? technology disruption. electronic trading, better software, better hardware, enabled computers to match and buy and sell orders for stocks and lowered bids, made pricing a bit more efficient i love the floor i'm a floor guy. but i recognize even back then technology marches on. that's why you and all of us have to continue to embrace new technology. >> because i mean, everybody -- you don't recommend trading around but trading costs have come down gigantically. >> dramatically. >> and look -- you look 1995, say, early 1990s, if you wanted to buy 100 shares of ibm, you might be charged 2% commission look what happens now. practically zero not free the consumer, the average trader

is getting the best deal they've gotten ever. >> now, people -- this setup -- it's a great way to describe what your job is and i know people are saying what is he talking about "shut up and keep talking. doi. i don't want to give up the story of the book but it's a great example of your job. >> i was speaking to the publisher trying to come up with a title. people are interested in the mechanics of television. what do they say to you while you wait to get on the air because you have an ear piece that jim has, ifb, interruptible fold back. the producers can say whatever they want but some variation on the word wrap, which means shut up or stretch, which means keep talking. so shut up and keep talking is what you hear most of the time and they said that's it, that's the title. >> you talk stocks and always asked about it but make it clear

you do an unbelie llievable job covering them, efts are a great way for people that don't spend a lot of time and don't have a lot of knowledge how the stock market works. >> the avenrage investor will d better owning a simple index fund for example, s&p 500 long term the key point about investing and i learned this from the founder of vanguard, stay invested long term, have a plan. stay invested generally in low cost index funds if you do active management, make sure you don't pay too much for it because what the problem with active management and they did a whole series explaining this is if you're spending 2% for active management, you're going to have enormous costs over the years and the difference between a 1% cost and a 2% cost over 30 years, power of compounding interest is enormous so if you do active management, make sure it's low cost. >> excellent the book is "shut up and keep talking.

i feel like i've been in the business a long time i learned so much and the charts alone and then there are stories we didn't get to go into it's all in here thank you so much, bob great to talk to you. >> thank you. >> "mad money" is back after the break. >> announcer: coming up, cramer takes your calls and the sky is the limit. it's a fast fire lightning round, next. it seems like things are falling apart lately. the economy. the market... everything. but upwork lets you strategically hire talent to weather all ups and downs your business might go through. look at all that talent. ♪♪ ♪ ♪ ♪ ♪

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it is time, it is time for the lightning round and play this sound and then the lightning round is over. are you ready, ski daddy time for the lightning round let's start with jerry there calicin california, jerry. >> caller: we don't want to talk about the dog at&t stock. >> no. >> caller: they unloaded on us another dog even on a day like today. what's your opinion on holding or cutting loolsse and getting t now of the warner brothers discovery stock. >> i can't i like practical companies with a balance sheet. that's the definition. not that let's go to jochhn in arizona, john >> caller: how you doing jimmy chill? >> chill doing fine. i've been chilling eagles make me chill what's up? >> caller: i have a stock that i've had for awhile. spread in faith for awhile, i wanted to know if this thing is

ever going to hit between 50 and 100. and the name of the stock is veru. >> i'm familiar. they are working on an important covid drug a lot of people are betting against it it could be a up big, down big situation. let's go to bob in florida, bob. >> caller: jimmy chill, thank you for taking my call. >> i'm chilling down here. what's going on? >> caller: not much. i was at a restaurant chain over the weekend and it was jam packed what do you think about texas road house >> texas road house is incredibly well run, terrific chain and i completely agree with you, however, it's not new. it's up 24 times earnings so we have to wait for it to come down because it's had too big a move. let's go to scott in california, scott? >> caller: jim, i appreciate

your opinions for many years now. >> there we go thank you. doing my best for you. >> caller: thank you the company i'mcalling about i had a position in since their beginning thanks to a surprise dividend from my position in merck but the stock is down 30% in the last six months and i'm just wondering if you think now is a good time to increase my position the company i'm calling about is ticker symbol otm. >> you know, i remember when this got purchased i've got to do work. i thought this company was a great company and so i'm not going to give you -- i'm going to huddle with ben who is the best there is and find out what this story is and then we'll come back to it maybe as soon as possible ogn. let's go to monica in michigan mo monica >> caller: boo-yah, jim. >> boo-yah. >> caller: i would like to know what you think about dice therapeutics. >> the stock is up so i can't

recommend it particularly because the company is losing money hand over fist and that, ladies and gentlemen is the conclusion of the lightning round. >> announcer: the lightening round is sponsored by t.d. america trade. coming up, hit the markets but not before hitting the books cramer doubles down on his buy and homework philosophy, next.

stocks are a bummer, jim stocks are a bummer. that sums up a meeting that came to talk sports, stocks and spirits and liquor stores and restaurants where assigning bottles as taste ambassador for my wife. i know today's rally wouldn't shock most of the people i spoke to but certainly shocked them if this rally continues and tomorrow, they're so used to having their hearts just

completelysmashed by this darn thing. and they don't want anything to do with it anymore instead, they want trigger treasuries and yield 4.5 they love that sadly, i really couldn't disagree they haven't burned enough they don't want to be burned again. i did come back and say you might be making a long term mistake if you bail on the market here. i mean, apple is terrific as long as you own it and don't trade it i like amazon. meta is over sold. we had a big decline does it make sense to sell a lot? it's the same. listen, i know bummers understand i bought my first stock 40 years ago after reading an article about it in a magazine it was a winner. the day after i bought it a surprise flash freeze and wiped out the company. i lost everything, $180 i could have said stocks are a bummer but i soldiered on and kept buying stocks. i got a bunch right. enough to build real wealth. that's why i wish i told people you need that balance.

you need individual stock exposure don't go all etf please. we can identify and teach you how to identify quality stocks we can teach you how to sell stocks when they get over heated so you don't get hurt. remember, when you buy and homework here, not buy and ohold i want to go back to 1979 when i bought i didn't have much money when i started buying stocks. i had been a homicide reporter i put $100 in fidelity and next month 100 in a broke cage account. i was young and read the articles that pointed out i had my whole life ahead of me if i screwed up and i screwed up a lot but i noticed there was a wave of mergers along the oil companies so i went to new york and took out anything that was public about every oil company and bought a couple and caught a takeover bid and another and looked up more, some of the smaller ones and again, next thing we had $2500 and again bought in the money call options on a bunch of oils and had big on a company called natomis.

next thing you know, i head about $4,000 now i'm not trying to toot my own horn here. the market is smarter than i am. i made a lot of money picking stocks, more than the mutual fund but i love having both. notice, i started small so i didn't want to hear you don't have enough money to do this, you do that said,i've never met an index fund that thinks it's okay to pick individual stocks. not even one my whole life isn't dedicated to the mix when i first bought shares of the fund i did great with that. with individual stocks i did better so go ahead and pick your pav visi -- your favorite. what is everyone wearing the best ideas are often right in front of you as long as you put in homework to make sure the financial side holds up and always remember if you're younger, you have your whole life ahead of you so put some

money in an index fund but leave something for individual stocks because that's where you can really swing for the fences and in this world, sometimes you need to swing for the fence. i like to say there is always a bull market some where and i promise to find it just for you right here on "mad money." i'm jim cramer see you tomorrow after six unsolved murders that terrorized an american city, a break in the case. i'm tyler mathisen in for shepard smith, and this is "the news" on cnbc. a potential serial killer off the streets in california. >> he was on a mission to kill he was out hunting. >> tonight, how the cops caught him. kamikaze drones dive bombing the ukranian capital now, calls for more sanctions against russia and iran who reportedly are providing the drones. as candidates hit the debate stage across the coury