that as you move forward is that correct? is that fair. >> it is good. >> great having you sayre a. >> look at valero today, dan >> i'm sorry >> valero. and i want to say congratulations to my best friend who had a baby. >> come on >> baby no doubt after -- congrats thank you guys 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 madmoney. welcome to cramerica other people want to make friends. i'm just trying to save you a little money of course my job is not just to entertain but to educate and teach you. so call me at 1-800-743-cnbc or tweet me @jimcramer. everybody keeps asking what does

the fed really want? after a tough day. where the dow slipped 340 points, s&p lost 1.16% and the nasdaq tumbled 1.47% in response to lower than expected jobless claims and a much stronger than expected adp private payrolls report. this is something you and i need to address we've got to figure this out so on the eve of tomorrow's key non-farm payroll report you've got to think, do they want to see a spike in unemployment? is that what they want do they want to see you make less money do they want to plummet in wages? do me want millions of people thrown out of work in a ruined economy? no not exactly. the fed, they've got a plan. they want you to reach for this pizza, not for this pizza. they want you to buy this c

coffee, not this coffee. this cream cheese, not this cream cheese this beer, not this beer they want you to buy these chips, not these chips nuts how about this they want you to -- well, forget these. they want you to buy these yeah they want you to trade down. they want you to save money. you add the prices of the name brand goods here, you know what? you know how much they cost? $52.11 how about the nice -- the generic brand? just $25.59. what a difference. if people were all to switch to the generic, it would force the branded guys to cut prices and that, that is what they want to have happen that is their plan that's how the fed can beat inflation. but they don't have many tools

to change it so you suddenly decide you know what, i want some nice roasted party peanuts, not the planters. see, if many people feel confident and go for the high-priced basket, the fed loses. if they want consumers spending less, if they want them to buy this stuff, they have to make you so worried about losing your job or at least not getting a raise or heaven forbid getting fired as part of a reduction in force. see, as long as we have a strong labor market, there's a good chance people will keep paying up for the high-quality stuff. that's what they're going to do. including this beer. made by constellation brands by the way, the worst-performing stock in the s&p today more on that later when we speak to the ceo, bill newlans what's the matter? one laugh on a really miserable day. one laugh! give me a break! as long as consumers can afford

it, producers will keep raising prices to boost profitability. that's what happened with conagra. they make this stuff -- even as volumes declined more than 8%. why? price increases. nobody stopped buying this stuff. they're still buying it. they don't care. they're paying now, the fed isn't necessarily targeting cream cheese or potato chips. it's trying to break the cycle of inflation these supermarket items are a microcosm of the broader economy. once people start trading down to cheaper knockoff versions, the major brands will not be able to get away with endless price increases. let me tell you something. you want to see endless price increases? this stuff is there any level this stuff doesn't stop going higher i'm sick of -- that was bad. that was bad i thought i was at my old set for a second anyway okay you can do the -- ooh, that was really bad you can do the same analysis of

real estate if they want you to stop paying up for luxury. or maybe just staying put in your old home rather than buying a new one. that's the big ticket version of buying the cheaper knockoff cream cheese that i just flew and ruined that $10,000 camera that i'm going to have to hear a lot about tomorrow that's the big ticket version of buying -- yeah well, anyway, i think we're definitely -- whoa i think that's definitely where we're headed, especially with much higher mortgage rates same story for cars. the number of people with a monthly car payment of more than $1,000 has now reached a record high better to stick with your old car, even if it's a gentja lopy. mine's 16 years old. i'm not going to get a new one plus the fed's making it more expensive to get financing for these items. so house and cars should be under pressure so far home sales are way down in volume but not price. not yet. history says that happens next car sales haven't rolled over yet! but at these financing rates it's bound to happen and while the fed isn't in there making cream cheese more

expensive, you can definitely feel the pinch if you look at the interest rate on your credit card what does all this matter? what does it mean so if you buy these peanuts or some other -- what does it mean? well, because tomorrow we get a non-farm payroll number and if it doesn't show higher unemployment with no wage growth the fed will need to keep progressively raising interest rates and you're going to eat these. which by the way -- just one second i want to check something. i have a brainstorm. do they -- don't they look a lot like these anyway that's the point see? while we're making progress fighting commodity inflation, the fed's most concerned with wage inflation because wages spread through the whole system and they've made no progress on wage inflation we've still got a massive labor shortage as long as that continues the fed will keep ratcheting up rates until actual businesses like the supermarkets, forget about raising wages and start

laying people off en masse like we've seen in the last 24 hours with salesforce and amazon i know that sounds harsh but fighting inflation is tricky initially, we get a worldwide wave of inflation because supply chains were messed up by covid remember that? we didn't have enough logistics to pass through until the global economy bounced back but once those supply chain snafus got solved inflation didn't come around it stuck around. companies didn't have to cut prices because employment was so strong the consumer could afford to pay more. every time they tighten the fed's been hopeful that you'll finally switch to the cheaper knockoff brands. forcing everybody else to cut prices lots of people worry that that's exactly what happened to modelo. right? which is why constellation parent -- its parent got crushed today. i mean, they're thinking you're going to switch to natural ice, the big one! no that's not the impression i get

from the quarter or the conference call but let's save that for later when we speak to the ceo. in the end all of this is a hypothetical, theoretical kind of thing and you know i hate hypothetical and i hate theoretical what you need to know is when consumers decide to trade down companies like conagra or constellation might have to lower price and that's how we beat inflation and while that kind of thing is great for consumers it's terrible for you the shareholder. same way with lower home prices. it's good if you're looking for a house. but it's awful if you own shares of home builder lennar in other words, there is no free lunch for you the investor you can win at the supermarket or the car dealership or the housing development but that means you're going to lose in your stock portfolio worse, some would say the fed's actually targeting your stock portfolio itself because you know people spend less money when they feel less wealthy. maybe retirees will even come back to the workforce if they see enough damage in the stock market portfolio the fed's basically trying to create financial insecurity because that's the only tool they really have to beat inflation. if they make people feel more

insecure, maybe that will help drive down the cost of labor a more benign way of getting a bigger labor pool compared to mass layoffs obviously, it's not great that the fed's doing it this way. but it's really all they can in fact, it's just plain dismal. hence the scientific name for economics. nobody wants to root for layoffs or lower stock prices, but the alternative is persistently high inflation, endless price increases for everything nobody wants that either especially the people not wealthy enough to own a lot of stock, and that's millions upon millions of people my hope is the fed can beat inflation without raising the cost of borrowing so high that nobody buys much of anything we all hunker down, stop traveling, stay at home subsisting on knockoff store brands if the feddens that too much we get tons of layoffs in the january recession. that's called a hard landing soft landing that comes from price stabilization, prices hold, but no matter what unless companies get more productive they'll make less money than we thought. is that what happened to constellation brands

we will find out is that what happened to tesla walgreen's we need to know. as always i finish the show with there's a bull market somewhere and right now that's in the recessionproof drug stocks but you know what? maybe they're only recession resistant, not recession proof we have to speak to lisa gill from jpmorgan on the eve of her mayer health care conference right now it does seem like there's just no place to hide except treasuries. if this keeps up, the fed will indeed win its war on inflation the hard way and if you own stocks, your best hope is that they win soon er rather than later. let's speak to gorav in massachusetts. >> caller: happy new year. first-time caller and a member of the investing club. >> thank you, thank you. >> caller: i started listening to your show about two years ago and since then i haven't missed a day. thanks to your and your amazing team for what you all do day in,

day out. >> thank you >> caller: i had a question on fedex. i know you had the ceo on your show a couple of quarters ago. i bought the stock in august 2021 at $276 a share my question to you is me being a long-term investor what do you think if i should hold on to the stock that has a dividend yield of -- >> i think you should buy more gaurav, i want you to buy more i think they have a ceo, this raj subra mainian is doing such a good job, it's a tough environment. you're thinking long term. and that means buy, not sell not hold fedex corp right now seems like there's nowhere else to hide but treasuries if this keeps up. the fed will win its war on inflation but that's the hard way. on "mad money" tonight constellation brands higher expenses in the company's beer division, a lot of other little things. i'm going to find out the latest from the ceo because that stock was down the most in the s&p it was tough to find in last

year's nasdaq winners is there anything worth owning? i'll give you a handful of names i'm watching and ahead of the jpmorgan conference i am talking to lisa gill to find out what we should be looking for so 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 madmoney@cnbc.com. or give us a call at 1-800-743-cnbc miss something head to madmoney.cnbc.com. lily! welcome to our third bark-ery. oh, i can tell business is going through the “woof”.

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everyone should have it and now a lot more people can. so let's go. the digital age is waiting. all right. what the heck just happened to the stock of constellation brands that whole company best known for its mexican beer brands corona, modelo, pacifico

this one's a long-time cramer favorite i like it so much i tone for the charitable trust and a month ago it was holding up incredibly well trading less than a buck away from its all-time high. but the stock's come down and come down hard over the last couple weeks today it got eviscerated down nearly 10% worst stock in the s&p 500 it was just a widely panned quarter. the headline numbers weren't that bad they gave you a solid revenue beat and they would have had an earnings beat too if not for their losses for the big investment in canopy growth which is now going to be in their past look under the hood, though, beer volumes came in a little weaker commentary about the future wasn't particularly encouraging. worse they cut their four-year earnings forecast. even that i don't know was relatively clear what do we do with the stock the trust? tell people in the club. let's go right to the source let's go to bill newlands, okay? he is thepresident and ceo of constellation brands we've got to get a better read hey, bill. tell us -- it's good to have you on the show but tell us what's

happening. down 22 points >> total overreaction, jim, as far as we're concerned we had beats on almost every line of the p & l. we raised the guidance for the year in our beer business. we saw share gains in this quarter that were accelerated from the same quarter of a year ago. we had best in class growth in margin and as you know we have great cash flow. frankly i think the whole thing was an overreaction. >> so let me push back a little bit on that. there are some people who feel that maybe there are fewer people drinking beer in general. some people are saying wait a second, they're going to other spirits. do you see any of those things happening? >> certainly we see people moving around from time to time. but the biggest challenge we saw in the quartas that we raised additional price in october. and as you know when you raise price you have a short-term hit to your volumetterics. the biggest place we saw it was in california. and california has already

rebounded. in the month of december we saw california had a seven-point swing in its growth profile vs. what november had. so we're already seeing the kind of rebound that we would expect and getting right back to our long-term algorithm. >> in your conference call i he know it wasn't top priority to say buy back stock but what i'm hearing from you is i know you have firepower you have unbelievable cash flow. there it is, no matter what they have that great cash flow. is it time to stand there now that the stock is down to 208 bucks? >> it certainly is it's a great buying opportunity not only for us but for many of our investors. we think we are radically undervalued at this price point. >> well, i mean, that's saying a lot. again i want to push back a little bit there were many times, actually several times that you and your cfo used the term muted. and we felt that muted volume,

muted desire of customers, and i'm confused what muted sounds like vs. what you just said. >> we said muted specifically around pricing for next year given we took additional pricing in october this year, we said next year is more likely to be on our long-term algorithm, which is up 1% to 2% we were up more than that this year as we were last fiscal year so the muting comment was purely around pricing we think it's going to be right in our long-term algorithm next year it had nothing to do with what we expect around volume. >> what did happen in november, bill because people freaked out on that call. and i expect one or two of those analysts is going to downgrade tomorrow because they're concerned. >> well, that would be their error in my judgment and it was heavily driven byer california as we said a moment ago, california has already rebounded and we're very excited to see that it's right back on the

normal track that we would expect >> do you think there is a limit, though, where people -- you mentioned beer is not recession proof. you said it's recession resistant. if we have a recession, it did sound like to me you felt the price increases may not occur. >> i think we're going to keep our eye on it. the exciting part for us is we have a great portfolio pacifico was up 40% in the quarter. our modelo chell adda brand was up 40% in december the number one share gainer in california was pacifico we have a lot of legs to stand on and a lot of brands that we're very excited about in our beer business. >> i've got to ask this. look, i've been searching all day about this, bill i've been asking everybody some people on the staff said jim, don't you know dry january is really taking off this yaerp, don't you know that people aren't drinking alcohol anymore? i don't know, bill i ran a bar to i adecade january numbers were always pretty good. do i have to worry about this

too? >> i don't think so. in fact, i've seen a lot of research that suggests more people particularly on the younger side are actually saying they don't plan to do that this year i think you might be pleasantly surprised that that won't happen this year. >> and the voting class change, that went off without a hitch. and yet from the day that it was announced the stock has been down have you been get anything feedback that the voting change would make it -- you all have one common class was a bad thing. maybe that's something people are upset about. >> i think most people are very xla pleased about it, actually, jim, because it creates the right governance profile for us longer term and i think it reassures many of our investors that our capital allocation priorities are consistent with what we've done for the last four years since i've been in the seat. >> i totally agree i'm going to ask it again. big cash flow. lots of opportunity to do many things with that cash. at $208 perhaps the best thing to do with that cash is to buy

stock. >> i would say stay tuned on that i think the probability as you noted, we already have additional approval from our board to buy back stock. and i think at this price point it would be silly not to do just that >> i'm leaving it right there because i think that says more than what i heard all day today about constellation brands bill newlands, president and ceo of constellation brands, stz bill, thank you for coming on the show and talking straight. >> thanks, jim >> "mad money's" back after the break. >> announcer: coming up, the big dogs of nasdaq were mostly thrown to the wolves in 2022 which stocks from the kin detection may still have some near-term bite stick with cramer.

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all of today's mega cap tech stocks used to be mere large caps all the current large caps were mere roman candles the whole contingent had a miraculous multiyear run and then it all collapsed over its own weight in the past 13 months and we're still struggling to fathom what exactly happened, especially on days like today. so many different things went wrong. their valuations became way too high vs. the underlying earnings to the point where there was no room for even the slightest failure. that's where we were in late 2021 of course we know there was failure galore these tech stocks got absurdly high valuations because we thought they were secular growth stories that could expand for years to come. but they turned out to be incredibly cyclical, especially the new media plays that rely on advertising. you know i'm speak about alphabet i'm speaking about meta. we got ruinous competition in all sorts of subsectors like cloud infrastructure these stories weren't in the early innings. they were in the late innings. sometimes the game was over.

now, when i look at the nasdaq 100, the 100 largest non-financial companies in the nasdaq composite searching among the top 25 peers last year for possible winners in 2023, i'm almost embarrassed to tell you what i found chiefly there are a bunch of companies you know were in the nasdaq more on that in a minute first even after the massive decline of tech many of these stocks remain overvalued we're talking about the best of the best in the nasdaq the problem is they don't fit the rubric i've been preaching about for over a year. when the fed's tightening, we want companies that make real things or do real stuff at a profit, return some of that profit to shareholders via dividends or buybacks and most important have reasonably priced stocks most of these tech companies are still issuing new stock like mad. many of them are losing money like there's no tomorrow some of them remind me of late dotcom era when you see forces colliding with more and more competitors doing the same thing. companies that make coding easy,

companies that mike cyber crime hard, companies that help developers make apps companies that analyze data in real time. companies that make you better at marketing companies that improve your e-commerce presence. and on and on and on no, they aren't worthless. at least not most of them. yes, private equity firms can roll them up without any antitrust implications but there's really only one private equity firm that seems interested and that's toma bravo. and that's not enough to give you a safety net most importantly as my doctrine holds to buy a stock it has to be reasonably valued not to its growth rate but to the market in general. and that's a big change. so let me tell you what i did like, what i liked the best when i was looking at last year's biggest winners in the nasdaq. what i'm telling you's not a copout this is a very straightforward analysis and it starts with t-mobile because its competition was so bedraggled t-mobile's former ceo john ledger used to call at&t and verizon dumb and dumber. people would laugh because t-mobile was safe pipsqueak

compared to these two goliaths but it turns out t-mobile was david. now it's worth almost 180 billion, suddenly bigger than verizon, much bigger than att. the dumb and dumber of telco have numerous cost obligation as long with big dividends which is why at&t had to cut their dividend last year t-mobile's different they've been aiming for wireless world domination all along, constantly taking share and taking names even becoming a real threat right now to the cable companies. sure t-mobile can still drop the ball but it hasn't so far. in fact, the company preannounced an excellent set of numbers. every single number record-setting for the fourth quarter leading to today's incredible 3% gain and a miserable, horrible market the wireless market is huge and there's still plenty of business for them to poach as they continue to improve their network, and they don't have much churn at all. i like it a lot. although when it preannounced that monster quarter and rallied 3% i said to myself wait a second, maybe it has to come down simply because the market sos horrible it usually doesn't allow you to have two up days in

a row. second we have another one, i call it a nasdaqy name, regeneron. here's a tremendous growth biotech company, trades at 17 times earnings you notice a fantastic macular degeneration franchise, a growing cancer franchise, and amazingly strong anti-inflammatory business this is one of the first stocks i recommended on "mad money" when it was around 5 now it's at 723 and change i wish they'd split the stock, though, make it so you'd be more likely to buy it there are plenty of high-quality ones, especially going into a slowdown i like -- i know amgen's always doing something good i'm not as big a fan of biogen here i like their alzheimer's drug but i don't think it will be successful as lily's which i prefer and which is one of the reasons i own it for the charitable trust and spent so much time analyzing for the investing club i honestly could have populated the whole segment with nasdaq drug names i even have some good things to say about astrazeneca, and if

you put a gun to my head and i say -- i bet you gilead has something positive although i haven't seen it but in the end regeneron's got a broad pipeline with a ridiculously cheap stock it's a really, really excellent situation. especially if you're expecting a severe recession because this industry is largely recession not resistant but proof. after that, though, things go off the nasdaq rails because most of last year's winners are not exactly emblematic of the index. all right. we'll start with one -- oh, you're going to hate me for saying it. i don't care did you know that pepsico's in the nasdaq r nasdaq? tremendous company with lots of raw costs coming down. the brands are holding up magnificently. love the organic growth, great management with ceo raymond laguarta i'd argue pepsico rivals procter & gamble as the best consumer package company in america the only problem is valuation trades at 24 times earnings. that is worrisome. that said if you thought i was going to the nasdaq to recommend a tech or biotech over pepsico,

forget it. i'd much rather own p.e.p. i feel terrible because i know you don't want that, you want me to give you some sort of fly by night biotech. i don't play that game then there's another -- bear with me. another non-nasdaq name i have to go for because remember, i'm trying to find the best, what i think can repeat or do better in 2023 and that's american electric power. okay what is heck is this utility doing on the nasdaq? don't ask me i don't know but i like it. utilities tend to hold up well on the slowdown. 3 1/2% yield much less than you can get from thaeshzies but you have to understand this stock is like a bomb where the principal can actually -- look at this i know we're not here but when you see the longer term you will notice this is from way, way down sure, i was sad to see nick eakins retire, ceo, who was a guest many, many years for the company. but i'm sure his successor will fit in perfectly for the company

just like nick did when he took over for mike morris back in the day. i remember mike, the guy was sensational. speaking of non-nasdaq stocks honeywell's pretty interesting but i covered that the other day and i don't want to duplicate although it wasn't much higher finally there's dollar tree. this one didn't execute as well as i expected it to. it finished last year as the 25th best performer in an awful index. that's because they're still trying to integrate the ill fated family dollar acquisition years after it occurred. and that's patriot shameful frankly. they really struggled with family dollar. as a total -- do you know i've switched to dollar general i kid you not. and not just because i like a.j. so much. he's my cashier at my dollar general. but man, if you think this economy's a real tailspin, dollar tree is the retailer for you, at least on the nasdaq 100. it's far from my favorite trade down play, though. i prefer tjx, the parent of tj maxx, which is why we own it for the charitable trust

but if dollar tree can get its act together i think it can be a big winner this year by the way, tjx is going to do well when you see these retailers dropping like flies. bottom line, in an index that's been folded, spindled and mutilated i am still feeling good about a few of these stocks, t-mobile, regeneron and dollar tree along with the least nasdaq of the nasdaq names here i'm talking about pepsico and american electric power. i want to take phone calls i want to go to kansas let's go to ken in kansas. ken. >> caller: hello, jim. i'm a very long-time listener. first time speaking with you >> okay. >> caller: i'm curious about coinbase global, c.o.i.n is now the time to buy >> all right jimmy chill is trying to be chill but i think coinbase is a stock you must stay away from. i just think this group is incredibly problematic a lot of people were giving gary gensler a hard time. he was stood against a lot of what these guys were doing you but he was acting pretty much

alone, even on his own commission there were people saying basically crypto is the real deal this guy has stood his ground, and i say avoid coinbase let's go to adam in washington adam >> caller: a big ba-ba-ba boo-yah to you, jim. >> i'm liking that adam's playing with fire what's up? >> caller: sincere thank you to you and your team for well over a decade and a half of partnership, educating me to build a positive lasting portfolio for my family's future and having fun, staying connected with my dad, talking stocks i have a -- >> i love that >> caller: -- question for you, jim. >> okay. >> caller: my question, jim, is about a premium brand and a stock with a cult-like following, amazing leadership, but a sky-high p/e of 35 lulu is down from 451 in december to 325 today. can this stock hold up and make ground back in this slowing market and slowing economy buy, sell or hold here, jim? >> first i want to thank you for saying -- i love it when father

and son, mother-daughter, father -- whatever if this show's brought people together i love it lulu's an expensive stock and it did not have the best quarter. however, i think if you own this stock for three to five years i think you're going to do really terrific i'm still feeling good about a few of these stocks. t-mobile, regeneron, dollar tree along with the least nasdaq of the nasdaq names, which are pepsico and american electric power. what should be expected from the jpmorgan health care conference? i'm getting into a conversation with terrific analyst lisa gill. then i've got some bad news for the perma bears and i'll reveal what that is and of course all your calls rapid-fire in tonight's edition of the "lightning round. so stay with cramer. welcome to the next level. this is the lexus nx with intuitive tech... (beeps) car: watch for traffic

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every january jpmorgan holds its annual health care conference this is one of the most important early events of the year most important conferences of the year it's also important because health care's the kind of recessionproof sector that tends to outperform during an economic slowdown we'll find out more in a second about that in th year kicks off next week and we've got to get some special insight. that's why we're so thrilled to get a chance to speak with lisa gill, managing director at jpmorgan, and their senior analyst covering health care services taking a closer look she always comes up and gives us the skin welcome back to "mad money." >> thank you so much for having me i'm so happy our fifth time together. >> yes and lisa, i've got to tell you we need you more than ever because you cover some companies that a lot of people feel like you know what, i want a high because it may be a recession. and i'm speaking of managed care and they have become a nightmare what's going on? >> it's really three things. one, they substantially outperformed from, say, june of last year through the end of the

year so you're going to lock in some profits. two, it's going to be one that may surprise you president biden has not decided if he's going to run yet or not. should he decide that he's not going to run, we know the democrats always go very left. so we know what we get with biden, right if he decides not to run we could hear about medicare for all. we could hear about single payer system and thirdly, not to get too much into the weeds for people that are watching, but on february 1st, cms the centers for medicare and medicaid will make a determinization around radv which is the risk adjustment data validation for medicare advantage. it's basically risk scoring, so how sick are you and did you score it correctly and they're going to come out with this new ruling and it's going to potentially be res roh spectacularive and so people are really nervous about what that means. >> why don't we own these stocks you just gave me three incredibly solid reasons to sell them

>> what we say is i want to be a long-term shareholder. these are all things that are going to be taken care of here probably in the first quarter by february 1st i think fundamentally they've never been better. we've got a growing aging population in medicare advantage. we've got control of covid we don't have pent-up demand and we have lots of services businesses that are really helping to propel managed care companies. the largest player in the industry, united health care, more than half will come from managed care in on theum >> we own humana for my charitable trust in part because you feel terrific about it i know it hasn't always been great. you think it's a good window >> i do. two issues are things we'll have to get through for humana as well i think if you remember last year when we spoke it was right around the time they had preannounced -- >> yes, that's exactly what it was. >> the had preannounced on the membership side and they missed

the number this year they preannounced to the positive so better membership numbers they made the investments they needed to make >> all right a few years ago you and i i think were the only two people in the world who liked cvs 55 we were struggling, struggling, stru struggling they pivoted very big toward health care. when can we think it's time tone walgreen's not great numbers. >> it's really unfortunate for walgreen's today down over 6% i think people really focus on two areas today for walgreen's one the operating profit coming in below where the street expected two the script falling will it come back? that's really predicated on making the numbers for the year. and also the covid vaccines. they're saying hey look, covid vaccines are going to push from q2 q2 would be the end of february. they think they're now going to push to the end of may i think it's hard to believe that people are going to be

getting covid vaccines in april and may. however. however, as you know, i am not positive on them today but you know why i love -- when you think about walgreen's i love a health care strategy and i think when we think about the health care strategy and what they're doing, which is being led now by john driscoll, i think a person you also know >> yes >> and highly respected. i've known him for over 20 years. the acquisition of village md, summit city md. care-centric getting people to the home this whole idea of where health care is moving the question is how does this all fit together and can you deliver on the strategy and can you do it without owning managed care at the end of the day being a services business is great but companies like united and aetna, et cetera, they're also doing this on the managed care side of things

i want to honestly be honest with you around this i'd like to become more positive on them. today just didn't give me any more -- >> we're going to stay tuned i've finally got to ask. a lot of people say jim, you liked mckesson, cardinal health, you like these things and you shouldn't, they're a tax on the system but that's not how you -- >> no, annot at all i saw your show the other day and you were highlighting something i agree with if you think of our system in the u.s. the drug distributors v distributors are middle men that really provide savings of over $6 billion annually. if you think about this, there are 70,000 retailers what if every retailer had to deal with the 400 drug manufacturers, purchase orders, et cetera? like the drug distributors are the ones that are in the middle of that. now, companies like mckesson are going to do really well because we're going to have biosimilars in the physician office. mckesson is going to do really well we think of their life science

businesses and other tech-enabled businesses they have as well as they're really moving to where the future's going. and that's the alternate side of care they're not distributing to the hospital and i know cardinal's doing well this year, and i think you like cardinal >> i do. >> but they've got a lot of work to do to really turn this around >> fair enough this is the big conference and we just met with the best person when it comes to health care analysis. it's lisa gill, managing director at jpmorgan lisa, thank you so much. your insights are just priceless. >> thank you so much good to see you. >> "mad money's" back after the break. >> announcer: coming up, cramer wants to hear from you your calls on the thunderous "lightning round." next

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it is time time for the "lightning round. rapid calls -- play until we hear this sound and then the "lightning round" is over. are you ready skee-daddy it's time for the "lightning round" on cramer's "mad money. tyler in california. tyler. >> caller: big boo-yah from california, jim. how are you doing today? >> i'm doing well. how about you? >> caller: i'm doing good. thanks for having. i'd like to know should i be bullish or shorting the trend on carvana? >> i don't recommend shorting stocks but i do not want you in carvana. i have disliked this stock for ages and i reiterate i still dislike it let's go to steve in texas >> caller: hey, jim, keep the lightning round lightning fast shark industries gtls >> you know, it's had a very big move it's come back down. i just think this is not the time to go into a really gigantic company that's involved with making all sorts of the big

tankers down there at lng-ville. let's go to j.p. in massachusetts. j.p. >> caller: hey, jim. boo-yah from boston. how are you? >> i'm doing well. how about you? >> caller: i'm good, thank you thanks for taking my question. so my question is what do you think about zim integrated shipping services? >> i don't like the shipping services i've been staying away from them for ages emm still staying away from i have not changed my mind let's go to william in california william! william. >> caller: hey jim cramer boo-yah, baby. how are you doing? >> boo-yah chill says hi. >> caller: hey so listen, i'm from california i'm just struggling to understand when it's time to let something go or hang on to see if it snaps back and my stock i want to know about today is sonos >> sonos is an absolutely great company in an environment where we are spending less money on our houses so i cannot recommend this stock. i am sorry let's go to nick in maryland

nick >> caller: hey, jim. i was wondering about your thoughts on chewy. earnings next month. they're going to -- >> i still worry one day that amazon's going to say you know what, we've had enough of chewy and then we'll have had enough of chewy let's go to brandon in maryland. brandon. >> caller: jim, i wanted to ask the coastal market, the investment department, i wanted to hear your thoughts on avalon bay community. >> it's the best house in -- best apartment in a bad neighborhood and i don't want to open it because its yield is only around 4% even though it's a good company. not high enough for me let's go to bill in georgia. bill >> caller: jim, greetings to you from milton, georgia club member and big fan. >> yes yes, yes, yes, yes how can i help >> caller: so i bought this stock a few months ago believing that lithium demand would increase it's down 35% since my purchase and i'm wondering should i hold, sell or buy the dip? lithium americas

>> no, stay away from lithium america. just stay away we like stocks that make money, make things, do this, do that. that doesn't have any of them. and that, ladies and gentlemen, is the conclusion of the "lightning round"! >> announcer: the "lightning round" is sponsored by td ameritrade coming up, hey, there perma-bear, what's with the grizzly outlook? cramer on how to tell if it's time for investors to turn their frowns youpupside down. next you ok, man? the internet is telling me a million different ways i should be trading. look! what's up my trade dogs? you should be listening to me.

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every few years the world ends at least it feels that way on wall street, doesn't it? the last time the world ended, i don't know, was back in 2020 when a strange pandemic swept the globe and it seemed like it might kill us all. but then at the end of 2018 the world ended. we had a mini apocalypse when fed chief jay powell talked about raising interest rates in lock-step. the world ended for china in 2015 and 2016. their stock market was destroyed. it ended for us in 2011 when

u.s. treasuries were downgraded and european sovereign debt collapsed. the world ended in 2009 with the financial crisis and the great recession. unfortunately once again the world's ending our economy got way too hot. inflation's still out of control. so the fed may have to raise interest rates even higher and leave them up there maybe for ages sort of a manmade apocalypse that can stave off an inflation armageddon meanwhile, the crepto world's falling apart. frankly the whole thing seems to be a house of scams. their digital assets seem even less trustworthy than the coins they sell. we don't know what's going on at a silvergate or coinbase maybe the s.e.c. comes down on all of them. couldn't happen to a nicer industry china's threatening taiwan 60% of its semiconductors are made there yet we have a mammoth chip glut right here, right now, even as there are severe shortages of other kinds of chips we have a conventional land war in europe, something that seemed unthinkable not that long ago. we have no idea who's going to be speaker of the house. we have no idea who will even run for president of either

party. the world is most truly ending now. now, why don't we have stocks plummeting off weaker earnings with companies having to fire people yet even the good stocks are going down now but wait a second. let's step back for a second remind you that maybe the end of the world's no big deal if it happens every few years. i know right now it seems like there's no way out everything's interpreted negatively companies that own up to having too many people and announce layoffs are lauded until we find out the layoffs aren't big enough everything the fed says is about taking rates higher or keeping them higher for longer but historically these end of the world moments, you know what they've done, they've made great buying opportunities case in point china. three months ago china appeared to be on the brink of collapse president xi dug in his heels on the zeroo covid strategies the makings of a disaster, a world ender. we looked at our portfolio for the charitable trust, saw two

stocks with huge china exposure, starbucks and estee lauder and said we had to buy them, had to buy them, because the world wasn't going to end. at the time starbucks stood at 85 lauder was at 184. a few weeks later xi changed his mind and not a partial change he completely abandoned zero covid and basically let anyone do anything. now starbucks is at 104 and estee lauder's at 261. you see, these were manmade world enders any manmade problem can be undone of course if you believe china was about to collapse and sold starbucks or estee lauder, you missed some incredible moves now, there are plenty of stocks that can still fall much lower than they are and not turn on a dime the mega cap tech stocks do seem overvalued still relative to the fundamentals their declines may not be over but i do have bad news for the perma-bears, the world is not ending, it just feels that way on wall street the psyche of the people is frail right now, and wounded but eventually it will get better it always does

if you want to be a great investor, you have to decide that the sky's not falling because it just isn't. just don't do it too early les you run into more panicers than you bargained for. 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 nirav is the founder of social media phenomenon nextdoor. i've been the ceo of three different companies in silicon valley. i know how to bring it to the masses. we have created the world's first custom-fitted swimming goggles. all of our products are inspired by traditional moroccan hammam spas. whoo! whoo! it can save 1 out of 3 children from catching the most deadly diseases. why has nobody ever thought of this? 'cause they did. when you have a new category, it's not where you are, it's where you'll be. i think what you're building here is not just a company, i think it is a movement. -- captions by vitac -- ♪♪ good luck, nirav. thanks for having me, guys.