just thrash the penguins tonight? >> definitely. >> you know what i'm with youon that. i'm also with this dhi trade which is unstoppable >> thanks for watching "fast money. see you back here tomorrow at 5:00 for more "fast. meantime, don't go anywhere. "mad money" with jim cramer starts right now. "fast. meantime don't go anywhere "mad money" with jim cramer starts right now my mission is simple to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere. and i promise to help you find it "mad money" starts now >> hey, i'm cramer welcome to "mad money. welcome to cramerica other people want to make friends. i'm just trying to make you a little money my job is not just to entertain but to educate and to teach you. so call me at 1-800-743-cnbc or tweet me @jimcramer. look, you can't always get what you want but if you you try sometime you

just might find you get what you need and that bit of sage investing wisdom by the rolling stones came true today. sometimes you get your head around truly emotional markets like this one you have to fall back on a simple narrative that can at least put things into context that you can understand. see, we do know that the bulls and the bears go at it every single day on wall street but today the bulls got exactly what they needed to win confidence at least enough confidence to force those betting against this market as they have endlessly to throw in the towel and that's how you end up on a day where the dow rallies 372 points the s&p jumps 1.76% and the nasdaq zooms 2.48% wowsa. of course it's no secret this market has got mold, it's got rot underneath and it all started surfacing last week, perhaps one of the most momentous weeks since the christmas eve massacre for the bulls in december of 2018. back then the market was cascading so everything that could go wrong went wrong and the short sellers pressed their

bets hard. the fed tightened too hard but then they had to cover their shorts as the bulls caught a few breaks, enough to get what they needed and turn things around once the fed backed off a few days later more on that historic analogy later. i think it will be a good blueprint here for now i want to talk about what it looks like when good things happen after a nightmarish period of bad news this nightmare lasted a long time 14.5 months for the dow and the s&p. 60 months for the nasdaq the average bear market only lasts 13 months. during this period anything that could go wrong, though, did go wrong. every time we thought the economy would cool down for example allowing inflation to come in and the rapid tightenings to end we'd get some scalding red hot number out of nowhere and interest rates would then soar. >> sell sell sell! >> every time we thought we'd get some big earnings surprise from a gigantic tech company we were sadly disappointed. whenever we thought we'd he see some prudent layoffs or orderly

unravelings troubled companies were saved, usually by naves, fools or memes but their money was as good as anybody else's and don't even get me started on the travesty of a mockery of a sham that is crypto where bogus new coins seem to be created by the day. the fiasco took on new dimensions last week when fed chief jay powell exasperated that incredible almost emotional because it is jay powell exasperated appearance on capitol hill where he said this inflation beast refuses to be slain, we're going to really have to ramp up rates with the implication he's far from finished bringing the pain a big 50 basis point hike just a week ago seemed natural definitely coming our way at the next fed meeting this week, this next week. and we figure that nothing will be wrong -- well, let's just say we figure if he does a half point it was simply a way station on the way to 6% for the fed's funds rate i'm calling that onerous

winner winner. then totally out of nowhere less than 20 hours after this testimony we got the single most deflationary action there could possibly be. the destruction of a little-known financial institution that hadn't actually been emblematic of inflationary america. and that entity was silicon valley bank. and that's why i think this moment feels like jay powell's great 2018 pivot when it got too hawkish and finally had to change course allowing the market to roar silicon valley bank in some ways represents everything powell's been fighting against. it was a bank for uber rich venture capitalists -- actually not that sympathetic a group who kept pumping out stock from new companies at this v tha at this point aren't really even needed typically cloud enterprise software the market couldn't handle then borrowing against shares that aren't publicly traded yet if ever so they could spend their money pushing up real estate prices while planting new

vine varietals, building 100 foovt yachts and of course some seaside mansions to boot think about it the whole wretched inflationary edifice of excess vaporized over a couple days' time. it was obliterate bid two things one hard to understand durational rhys frk investing in longer-term high-quality largely government-backed bonds that still lost a lot of value as rates soared from where they bought them and one easy to understand a classic bank run within hours of the grim news interest rates plummeted thanks to the wipeout of this germ of the inflationary epidemic. even though we didn't get it the way we wanted it we got what we needed since then everypreeflsly been o crush the bulls has broken against the bears. for months we had this destruction of credit suisse, a bank that seems incapable of making money in good times or bad. just when it finally looked like it was going to die the swiss invented a public sovereign fund to bail it out greatest swiss invention i would say since the cuckoo clock at

least if you believe the third man. then we learned that first republic another bank catering to the super wealthy looks like it's going under as it doth protest too much and what happens? a consortium of banks gets together kind of like the end of "it's a wonderful life" and puts in more cash than uncle billy lost so first republic stays open and now they're safe well, at this point it actually looks a lot more like.potter's bank than it does the bailey brothers building and loan stocks went down when we got more detail about the cash infusions, including suspension of the bank's dividend still we're not talking about first republic as another casualty of this bank crisis for now. it looks like another save then the biggest pinatas of this market large cap tech the big value donors as they shed literally trillions of dollars in market capitalization start catching bids and rolling over why? because bears realized if any of these mega cap companies go all gonzo like mark chainsaw zuckerberg their stocks will soar can't always get what you want

but you get what you need. finally tonight fedex, serial disappointer, monster of a profitable quarter with new ceo raj subra manian at the helm and boy did he do a great job. take it as someone who's watched these wars play out for 40 years. the bears don't give up this easy they know they can destroy a bank way few reckless tweets faster than a new bank firefighter team can put in deposits the bears will still try to make the most of earnings shortfalls too. i wouldn't put it past them to try to corner the egg bread or mac and cheese market to make us all feel inflation-prone doesn't matter something's changed. the inflation spiral seems to have been swept away for a moment along with the deposits of silicon valley bank along with its denies has come the -- bottom to oil proving at the present depleted the strategic petroleum reserve at much higher prices could be legendary short seller jay gould that american rascal

biden always liked to brag about being the poorest man in the senate but maybe he missed his calling as a money manager because he accidentally pulled off one amazing trade. what matters isn't whether jay powell gives us a quarter point hike next week or no hike at all. i think we'll be fine either way. eight days ago we thought powell was going to hit us with 50 basis points because inflation refuses to be beaten now we know he doesn't have to do anything to beat inflation, those bank runs will do it for him. for real the job is done. we just need to watch it play out. sure the bulls didn't get it the way they wanted it with a soft landing and a gradual reduction in all prices but they got what they needed, with a stunning flameout of the first national bank of wretched excess and a few banks more bottom line, we got what we need and now glorious we no longer need to worry that jay powell's going to have to blow a 50 basis-point fuse let's go to trey in texas. trey >> caller: jim, i bailed on another penny stock today at a substantial loss i don't know what it is, but it

seems like every one of these companies turns out to be terribly managed anyways, as you might imagine, i'm looking for a real thoroughbred to get me back in the winner's lane and i wanted to see if you think wendy's is saddled up >> okay. remember, a penny stock doesn't get to be a penny stock because management's good. wendy's is okay. they still have some inflationary issues and they haven't taken full advantage of what i think is some of the labor savings that they can have it's too early for me to recommend wendy's. now, you can't always get what you want but we got what we need and now we no longer need to worry jay powell's going to blow a 50 basis point fuse on "mad money" tonight octave has rebounded from its lows. i'm learning mor from the ceo. then if the fed pifs who could be be the winner in a brand new market i'm sharing what to watch. and signet soared 11% today after warnings up. stay with cramer

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could some of the cloud-based software stocks finally be getting their mojo back consider the case of okta the software company focused on identity management, very important niche in cybersecurity. here's a stock that actually lost 85% of its value from its peak in february 2021 to its lows last november since then the stock's been on a roll shooting from 44 at the

bottom all the way to 84 today doesn't hurt that earlier this month okta reported a huge sales earnings beat. they made 30 cents per share wall street was only looking for nine cents then their full year earnings forecast was more than double what the analysts expected more important than the numbers is the fact that okta's gotten religion about the market's new mentality. investors don't want growth at all costs. they want profitable growth. and that's not what okta's giving them. so can this stock keep climbing? especially if the fed eases up on the rate hikes now that we've gotten at least a handle on some of the banking crises? earlier today we had a chance to speak with todd mckinnon the co-founder and chairman and ceo of okta, about the company's new focus on profitable growth so take a look >> todd, it's great to see you in new york. >> it's great to be here with you. on "mad money. once again in person. >> i am thrilled to see you. and i'm actually really thrilled about how the company's doing. i know you had by your own admission, had to make some changes. but the pivot toward profitability and the number of new customers at a time when

very few people are getting them, astounding what's happening >> well, what you're seeing is the fundamentals of our business are very sound whether it's customer success, we're proud of our 17,600 customers. great companies like peloton, hewlett-packard enterprises, mckesson and on and on we're making these customers successful both with their workforces, more secure, more productive, and their customers, helping their customers connect to technology. and this is a magical formula driving customer success in this economy, a foundation of customers being successful it's what we're all about. >> well, i think -- i always love your website. there's a moment that all -- we sign up for all these streaming sites. you offer a solution for what it takes to get on when you're trying to watch some program on streaming. >> it's interesting, in the streaming wars, in the streaming world, it's all about ease of access you want when you're on your set-top box or you're on your mobile phone you want to be in

easily and watching your favorite show. but also they want to be secure. they don't want to have account sharing. they don't want to have people sharing passwords. they want to make sure they monetize their technology. and this is what every organization is doing. they're trying to connect with customer they want to drive new revenue streams. especially in times of economic uncertainty. the more top line growth you can get the more new customers, the more you can strengthen your customer relationships and you have to do both. you have to make it easy to use your services and you have to make sure they're secure so the bad guys can't get in. so you're monetizing what the customers are receiving value for and nobody's taking advantage. >> i think that's remarkable because you've got workforce i.d., customer i.d you're winning in both and one of the reasons i think you're winning is you're not only a one-stop shop but you're neutral. everybody can work with you. >> yeah, it's important. identity is behind adoption of cloud technologies it's behind the proliferation of customer-facing technology but the key concept here is that the various technologies that customers want to use to either

make their employees more productive or provide better capabilities to their customers, they're all made by many, many vendors, many partners of ours >> including microsoft >> including microsoft, including salesforce, including google, including amazon and what we can do is we can be this neutral front door that lets the customers choose. and that's going to be the best result for our customers so they're not locked into any monolithic platform. they can choose the best technologies to further their business objectives and make themselves more successful >> when you say best technologies, also talking about newest technologies. i've said over and over again that if you want to know about what's going to happen with chatgpt, nvidia, nvidia, nvidia. what i didn't realize was i.d. for chatgpt is you >> open ai is a customer of ours and when you talk about our business it's workforce identity that's 60% of our revenue. and customer identity, which is helping our customers connect to their customers. that's 40% of our revenue. and our goal is to get the business mix even.

50-50 both growing very quickly. so open ai is a great success story on the customer identity side we have a great service that's super easy for developers to use so when they were building chatgpt they started with a developer trial of our customer identity cloud and it was very successful, fit right into their products, got out of their way, let them focus on the core of what they do which is great ai t technology and as that product has grown we've grown with them and we're very excited to work with them, help them with their customer identity needs. at scale this is a revolutionary product in the world >> i have now included you in the panoply of who can win one of the things people have been hurt by is this economic downturn there's a breathtaking moment in one of your presentations where you talk about where you were born as a company and nobody believed it because it was an economic downturn. >> we were born in the echoes of the 2008 financial crisis. it was in a lot of ways an

unsettling time to quit my job and go start a new country and -- >> where were you? >> i worked at salesforce before and it was a great established company. and leaving that was pretty hard but it just goes to show you that economies go up and economies go down but these transformational technology changes are everlasting and powering things like cloud adoption and customer-focused identity is a long-term bet that is really paying off over the long term. >> a lot of this is of course you've got this secular tailwind of the cloud but it extends to companies you'd never believe like nov, the oil services and sonos. these have very little in common other than the fact that they need technology. >> every company needs technology and identity is at the heart of so much of this technology we're benefiting multiple industry trends and multiple segments we have a new product called okta identity governance what is utilized by all kinds of companies. nov is a great example, a more traditional established larger company, and also the

collaboration company notion, which is a small innovative upstart. both are benefiting from our okta identity governance it just shows you the breadth to which our technology can apply >> and i know you didn't name the company so i'm not going to name it, but a national retailer that does agricultureand also consumer many, many stores, very perspicacious ceo. >> traditionally it's been bricks and mortar. but like any organization they're trying to compete online and they want to compete with amazon at the high end they want to compete with other retailers that are doing hybrid experiences between online, order in store, pick up in store, and they're trying to connect with our customers and identity's at the heart of that and we're working with them so they can focus on their core competency and leave some of the identity heavy lifting to us >> i think people when they're thinking about the nasdaq and how troubled the stock market is i think that because of economic

reasons people seem to forget, todd, that you guys can make a lot of of money, grow at a time when the gdp could go down and it wouldn't matter >> you see in our most recent q4 results we reported it's over $40 million of non-gaap operating income which you're seeing leverage in our model. >> i'm so thrilled for that because those are the stocks that go up and those who don't make the pivot as we both know don't get to the promised land this is why okta i think is not nearly done in its move up i think you've done really remarkable in three months you did it really extraordinary >> i've got to hand it to you. i was pulling for you the whole way because i love talking to you so much. todd mckinnon, he co-founder and ceo of okta. >> thank you >> "mad money's" back after the break. >> announcer: coming up everything you need to know about a dovish turn by the fed cramer accentuates the positive. next

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we spent all day focusing on what could go wrong with the sudden banking crisis. but what happens if something goes right specifically what happens if the banking crisis prompts the federal reserve to change course and back away from aggressive rate hikes i find it hard to believe the fed will keep ruthlessly tightening at a time when they're desperately trying to stave off more bank failures especially when those failures were caused only in part by the fed raising rates too rapidly from generational lows where many banks invested billions in deposits causing heavy unrealized losses in their portfolios including the beleaguered first republic bank which is possibly being rescued by a consortium of banks depositing billions of dollars in fresh cash to stave off a bank run so what do we do if, say, at next week's fed meeting we only

get a one and done 25 basis point rate hike or maybe even no rate hike at all don't be too worried about the european central bank's double rate hike today. their rates are still much lower than ours. if the fed takes a dovish turn i think that's incredibly positive for the stock market what would it look like? well, you have to look back to let's say not that far to find a recent precedent the last time the fed stopped tightening was in late 2018, early 2019 at that point they'd been gradually raising interest rates for three years. jay powell took over as fed chief in 2018 and decided to ratchet up the pressure, putting through four rate hikes that year and then also of course making some incredibly hawkish comments about he was willing to overshoot with higher rates even though we really didn't have much inflation at the time he ray out a schedule for a series of quarter-point rate hikes to ensure inflation stayed low. in response the s&p 500 plunged 20% from peak to trough in the fourth quarter of 2018,

ultimately bottoming on the day after christmas. the fed put through its final rate hike that december he which led to a last crescendo of selling. i remember hat i was on vacation right here wrecked my whole vacation. but that's okay. i didn't care. christmas eve massacre but within days it became clear powell was having a change of heart. by the time january got going he backed away from his plans for lock-step -- he kept talking about it all wait over here. by late january he admitted the case for rate hikes had weakened we didn't get any more in fact by august of 2019 the fed was cutting interest rates we got three interest rates cuts from that august through the end of the year. then covid hit in 2020 and all hell broke loose but that's another story what you need to understand is that the fed shifts from hawkish to dovish when they go from your enemy to your friend, that's always very good for stocks. don't fight the fed, don't fight the tape, but the opposite comes true too the dow jumped 20 v 22% in 2019.

the s&p surged almost 29%. and the nasdaq soared 35%. of course some groups did better than others. what were the best stocks to own the last time the fed stopped tightening let's take a look at these really great graphics that really put it in perspective s&p 500, the best performing sector was information technology that was up 54%. followed by the injureds the financials up and the consumer discretionary up 30%. meanwhile health care pretty much even with the s&p, up 29% all this makes sense tech was hit hardest by the monster sell-off in the fourth quarter of 2018. it's full of growth stocks that simply became less valuable when interest rates are rising. because their future earnings power is worth less by comparison within tech the semiconductor and semiconductor equipment cohort shot up 92% holy cow that's what you saw beginning today, right followed by software up 50%. you saw that today too

but the whole sector did great and look, there's a reason why the nasdaq's been outperforming the dow and the s&p this week, especially today anyone who believes the fed will scale back its war against inflation knows that means it's time to buy the stocks that make up the technology cohort >> buy buy buy >> that's it if you're going to make this bet, you still need to be a little selective i don't want you going near any unprofitable atech companies in overcrowded industries like enterprise software. i recommend sticking with the senior growth names this time around larger companies with good growth that also generate real earnings much safer strategy because we don't really have an idea of what the fed's actually going to do they need rate cuts, not just rates staying flat and i don't think we're going to get rate cuts immediately. it's not going to be that much like 2019. next up the industrials were the second best performing in 2019 they got a boost from anything that's going to make the economy stronger in particular professional services electrical equipment and building products led the way.

this time i think it would be a little different for example, we've got a brand new aerospace cycle tremendous for planes, all over the world particularly, by the way, in china where i think the order's going to be gigantic and the upcoming wave of federal infrastructure spending. without a specific catalyst, though, you might want to be a bi cyclicals. anyone who bought the steels this week got hurt the financials were the third best performing group in 2019. we have a banking crisis for heaven's sake that's what's causing the fed to probably take the foot off the brake while i'm wary of this whole group you can use bill pullbacks in the highest quality financials jpmorgan, wells fargo, morgan stanley or even american express. just be prepared to buy them gradually on the way down because it could take a while for this group to get its groove back since it's the epicenter of the blast zone finally the fourth best group for 2019 is a little tricky. it's called the consumer discretionary space. i like this group in a world where the fed stonz tightening but you've got to pick your

spots here too target was the best performing in the sector in 2019. harder to recommend these days given they've had several tough quarters in a row but worth owning if you think they've got their inventory situation worked out. chipotle came in second, had it for lunch today, delicious, still love it. best buy was third i think they could finally be going through the trough but last but not least is the casino stock group they thrived back then while people love to travel post-pandemic we also know consumers are increasingly tapped out charitable trust owns wynne. it's been a winner of late, loser for a long time. the eight performers of the s&p 500 the best ones -- let's go through them sorry, not the best. we start with enphase. okay and then solar edge. huh. amd, wouldn't you know see that stock today teradyne financial company paycom insulet. lam research

one of my favorites. and generac. after the big renewable subsidies in the so kaumd inflation reduction act. i've been recommending enphase lam research, i think it's the best i think the semis are turning here but it might be a little too for some -- i have to tell you i do think lam has been one of my greatest recommendations of since it merged with novellus i do have some caveats we're only looking at 2019 the most recent time the fed stopped tightening doesn't mean that will happen again in 2023 even if jay powell gives us what we want. still generally speaking when the fed pivots the stock market pivots too in that scenario tech will almost social lead the way doesn't hurt that we're getting increasingly bullish ouchlz on the semiconductor space as the dastardly inventory glut is finally relieved ♪ certain industrials can work too especially ones that can feed at the federal trough over the next several years. along with aerospace

as for consumer discretionary stocks let's take them case by case by the way, fedex fit in really good in this plan. what a great quarter after the close. bottom line if the fed pivots next week we're looking at a brand new market with the potential avenue i wholesale shift in leadership. just bear in mind that's a mighty big if but one history says will indeed go the way of the bulls. jacqueline in new jersey jacqueline >> caller: boo-yah, jim. it's jacqueline from new jersey. i want to get your thoughts on pnc. >> no. i think pnc's fine i wish they'd sted up to the plate and worked very closely with the fed to be able to take over some of these banks -- take over actually first republic or even -- i think they could have taken oaf silicon valley bank if they'd gone to the feds and said put it in receivership we'll take care of it but they didn't show the level of creativity i came to expect from this bank so therefore i'm not going to back

it let's go to nick in west virginia nick >> caller: hi, mr. cramer. thank you for taking my call >> of course, nick >> caller: there is a lot going on about solvency and liquidity issues at regional commercial banks and deposit safety however, this company is trading near cash value and they're growing their earnings and that company is charles schwab >> yeah, look, i've been at this game now for about 19 years. and one thing i know to do is to keep my mouth shut about banks when i don't know the truth. the company came on, talked a real good game ceo bought 50,000 shares i think if you are yhave your money in sxwchwab i think you're going to be fine is that a recommendation of schwab no it's not a recommendation of schwab the stock but you can certainly keep your money in the bank. if the fed pivots to a more dovish stance next week, and that is a big if, we're looking at a brand new market with the potential for a wholesale shift

in leadership. much more on "mad money" including my exclusive with signet jewelers. after the earnings can the stock shine bright like a diamond in i'm getting the latest from the ceo. then jpmorgan came out with a note this morning that made me think something could be cooking at amazon but what's he will are the move you're going to love it except if you work at amazon. and your calls rapid-fire in tonight's edition of the "lightning round." so stay with cramer! ♪♪ the only thing i regret about my life was hiring local talent. if i knew about upwork.

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look at the stock of signet jewelers go. this morning the paernt of kay jewelers, jared and zales reported better than expected quarter and its beaten down

stocks ended up surging more than 11% of course these numbers weren't great in absolute terms. signet same-store sales were down more than 9% year over year although that's what wall street was looking for. their guidance for the current quarter was a tad late but there was enough good news to exceed wall street's very low expectations do not take it from me, though earlier today we got a chance to sit down with virginia drosos, the ceo of signet jewelers take a look. >> miss drosos, welcome back to "mad money." >> thanks, jim great to be here >> another really spectacular quarter, especially in light of the fact of two things, one that the consumer seems to be pulling back with other retailers. but two, you have a particular macro wave of engagements that turned out to be a headwind and i think our viewers would love to know more >> sure. we operate -- our jewelry category is the bridal segment and it has two really distinct parts, engagements and weddings.

it turns out that couples usually get engaged about three years after they start dating. and so we're seeing actually right now a decline in engagements because three years ago we were just coming into covid and people were quarantining, there weren't as many in-person events. so last year in calendar 2022 we saw a low double-digit decline in engagements we'll see the same thing in calendar year '23. but by '24 it starts to go up again and by '25 we'll be back to normalized levels >> i think what's remarkable is your business including the fact you're closing underperforming stores putting more money toward the good ones has made it so i'm starting to understand that signet has a aspirational wealth aspect to it that many people did not know about or that you've created since you got there. >> yes it's very important. one of our goals is to grow market share we've now proven that we can do

that in a strong category environment or like we saw last year a down category environment. that's because our financial health is such that we continue to invest sustainably in our competitive advantages while we also give strong returns to shareholders but part of those investments has gone to creating a broad and differentiated banner portfolio. at the top end we have blue nile, diamonds direct, jared and james allen. those are players that we would say are in the accessible luxury part of the category typically price points above $1,000 average engagement rings up in the 3,000 to $5,000 range. and then we also have kay, zales in the mid market. we have banter down in the value segment. so we're really casting our net broadly. serving all consumers who want to join our mission of helping

them celebrate life and express love >> because you don't have a lot of what we call in the business comps, comparable situations, i don't think people can understand so many of the retailers i follow are getting a beginning -- a stretched balance sheet. you're quite the opposite. >> no, this is really a great story of signet, jim we have very strong financial health our liquidity as a company is now more than three times higher than it was when we started our transformation over $2.6 billion of cash on the balance sheet. we've cut our leverage ratio in half from four times to two times, which is very healthy, by paying down half a billion dollars of debt. and during that same time we've returned $1.4 billion to shareholders in share buybacks and dividends. we bought two companies in

all-cash deals almost $900 million. and we've invested 3/4 of a billion dollars in capex to really improve our store format, our digital, our connected commerce and digital environment is best in class and jewelry, and our technology and data. >> i'm glad you spoke about technology and data because everything at signet used to be before you got there one off now you have loyalty customers who look like they keep coming back and buying and buying >> that's been a great launch for us about a year ago we launched a loyalty program on jared we expanded it a little over six months ago to kay and zales. we already have over 2 million members. we expect we'll have 4 million by the end of the year this is a wonderful way that we stay in touch with our customers. we build relationships with them and then we create lifetime value by helping them with birthdays, with anniversaries,

all kinds of services to repair their jewelry. it's really been a strong program. >> and the last thing in terms of dividing what the old signet was vs. the new signet, the old signet was in many ways a kind of a faulty bank i would say you decided to scrap that immediately. you now have a plan to make it so that people can borrow money in order on able to -- but that borrowing does not come to your balance sheet. it comes outside >> that's right, jim we have a very strong portfolio of financial services offerings. we have a private label credit card we have leasing agreements that customers can choose we have a split pay option where you can divide your payments for an item over a number of months. that's a particular financial service that's interesting to gen z customers. and all of these do not have an impact on our balance sheet. we're completely clean in that sense. but i would say probably the

biggest transformation of signet is our culture we have a culture of innovation and agility now, building leaders at every level diversity, equity and inclusion is part of our strategy. and our team has really made a big difference >> we have to wrap things up but i want you to come to new york and we'll spend a couple segments talking about what you've done, a company that a lot of people had written off sxws now probably the number one in the category. but also you're the number one in the category of retail. what a turnaround. virginia drosos, ceo of signet jewelers you told me when you came in this could happen. frankly you know i was doubtful. now i'm an all-in believer in what you've done thank you for coming on "mad money. >> thank you so much >> "mad money's" back after the break. >> announcer: coming up what's on your mind, cramerica? give us a call the "lightning round" is storming the nyse. next

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it is time it's time for the "lightning round" on cramer's "mad money" -- this sound and then the "lightning round" is over. are you ready, skee-daddy? time for the "lightning round" on cramer's "mad money." start with eric in michigan. eric >> caller: jim cramer, i've been with you since '05 thank you so much for getting me bit by the bug what do you think about sofi >> then you know we're beginning our 19th year here at "mad money. i kid you not. sofi i think is -- i'm kind of hitting pause on the banks right now that are losing money. that's all i can do.

i've got to hit pause. i want to go to michael in michigan michael. >> caller: how's it going, jim bo this is michael calling from michigan state university. >> holy cow. we've got a lot of michigan state people what's up? >> caller: go spartans today i'm calling about geron corporation. >> i'm not recommending any stocks that are losing money period too dangerous. luis in illinois p >> caller: hey, jim. luis in illinois can you hear me okay >> you sound great >> caller: awesome quite a rally today. i do look forward to the breakdown later. but yeah, i wanted to ask you about ticker. >> tfx, phillips 66. i want to see what your outlook is -- >> a lot of people feel that this is the group that's rolling over i say when you're at five times

earnings but your earnings are still going to come out pretty good you actually want to hold the stock. i can't press the buy buy buy button because that cohort is so nasty right now. i need to go to jerry in ohio. jerry. >> caller: ba-ba-ba-boo-yah, sk jim! >> wow, that was excellent >> caller: i love what you do for us >> thank you >> caller: i know what you thought of ticker assemble frey. >> in another market that would be good because i really believe in evs but instead i have to tell you just go buy tesla. let's go to chad in california chad >> caller: hey, jim. a big soggy southern california boo-yah to you >> cold clear new york boo-yah to you what's up? >> caller: the stock today is redfin >> money loser real estate. in other words, stay away. let's go to michael in michigan -- in massachusetts michael. >> caller: jim, how are you?

thanks for taking my call. >> of course 19 years of taking calls i'm still taking them. >> caller: stld. steel dynamics what's -- >> really good company but the steel pricing is just beginning to roll over the nucor preannouncement today was a little light we've got to stay away from the steels for a little bit. they're not the place to be right now. how about we go to eric in missouri eric >> caller: jim, boo-yah. >> if i one day can go to walgreen's and get a gillette razor without having to take as long as amazon to deliver it to me i'll be all over walgreen's like a cheap suit. and that is the conclusion of the "lightning round"! >> announcer: the "lightning round" is sponsored by td ameritrade coming up, it's game on at amazon cramer revisits the tech giant with some conclusions that may surprise you next

i'm telling you, something's cooking at amazon.

at least that's what i thought when i read jpmorgan's endorsement of the internet colossus this morning. i've got to say most features don't pique my interest as much anymore. i still read avp r as much as i can, which i do since '8 when i used to devour not just research from jpmorgan but every firm it's part of what i called the craft. even though it was a reiteration of a previous outperform rating or buy it struck me as something you need to hear about this piece is nominally about amalgamation of amazon errs. but what's shocking and different is it addresses not just the fundamentals but the sentimentals, meaning how the investment community feels about the stock. jpmorgan believes that, and i quote, investor sentiment on amazon is near multiyear lows. why? well, the iconic american company has seen its stock rally almost 19% over the past three years. s&p's up almost 66% over the same period. you know what? that is stunningly horrible. it's actually downright embarrassing level of underperformance, something that

calls into question whatever the heck the company's doing out there. and don't even get me started on last year's losses playoffs playoffs why has amazon's stock done so badly? because lately they've been putting just some heinous numbers app cumulative froe cash flow of minus $21 billion over the past two years there's a hideous slogan in the once red hot amazon web services business markin compression in the once great division especially in north america. right now everything about amazon is screaming short me short me short me, i'm a pitiful helpless giant actually, i'll go one step further. tacking something on to nixon's favorite phrase, amazon's a pitiful helpless morbidly obese giant. and that's exactly why i want to buy the stock. i know, sounds crazy but hear me out. wall street cares less about -- it's more about whether a company's getting worse or besser as for amazon it's arguably the single most bloated enterprise

in america it's hard to imagine it's getting worse from here. i simply refuse to believe this country with its prime deal with its cloud dominance with its successful advertising business will continue to allow itself to be this awful. and make no mistake about it, it's awful but to put it another way, amazon's just too good to be this bad there's too much here that can be fixed if they pivot like meta platforms did and embrace efficiency amazon simply has to face facts and fire, yes, 100,000 people, close millions of square feet of warehouse space that they don't need and reduce its data centers instantly. i mean, like right this minute -- no, yesterday. it has to stop spending shareholders' money. and guys, it's shareholders' money. on projects that don't turn a profit and it's got way too many of them it's driving me a little crazy >> the house of pain >> i'm not asking for them to pick the names out of a gigantic hat but they've got at least

five divisions worth of workers pronto which they can do and still perform fabulously sometimes i wonder if amazon is a secret government jobs program masquerading as a publicly traded company because i can't think of any other reason they'd employ so many people even if they do go same day in huge swaths of the country. we bought amazon for the charitable trust after being tacked by then president trump for getting a sweetheart deal with the post office in large part we were happy with the work done by ceo andy jassy. he's a workaholic. he's dedicated to winning. he hasn't been doing much of that lately. i think this piece from jpmorgan is a clarion call that will finally force him to take action and transform this underperforming cyclical dog into a leaner meaner enterprise that will shock people with its newfound metaverse-like profitability. if it doesn't do that though i can tell you there's simply no reason to own this stock

whatsoever if you want a cyclical just go by a steelmaker or a good tool and die foundry. at least they care about making, not losing money i like to say there's always a bull market somewhere and i promise to try to find it for you right here on "mad money." i'm jim artificial intelligence, taking two giant leaps forward. signs legend, neil degrasse tyson, will be here to help you make sense of it all. so belly up or buckle up. last call is up right now.