>> tyler, great -- you know the term live dog? you know that term in sports? >> yeah. >> yeah, well, there's one tonight. i'm just putting it out there. mpc. marathon petroleum. >> thank you for having me. michael, good to have you with us. michael, good to have you with us. thanks for watching "fast money." jim cramer 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 save you some money. my job is not just to educate and teach but to put it in context. so call me at 1-800-743-cnbc or tweet me @jim cramer. on a brutal day like this one where the dow tumbled 370

points, s&p plunged 1.64%, and the nasdaq plummeted 1.82% -- >> sell, sell, sell! >> one of the worst days for the bulls. you know what we've got to do? we have to get into the minds of the sellers so we can figure out who's making this market come down. you want to know if they know something. what they know, how to profit from it even. i mean, the sellers have to know more than we do, right? actually, no. the truth is there are a million reasons why people might sell. so you have to stop questioning your judgment for sticking with the stocks that you believe in. not everything is worth throwing away. for example, why did i often sell in the month of september at my old hedge fund i ran for 14 years? lots of times it was because we were just up so much that only an idiot could keep owning stocks into the fourth quarter. i remember there was one year where we were up big, i mean so big that we dumped everything right about now.

everything. and all i did every day was go watch the movie "the fugitive" with harrison ford. terrific film. although not as good when you already knew who hired the one-armed man. and i kept going to the theater, though, because i wanted to make sure that i didn't put any money to work. the movie was so compelling that i could watch it endlessly. so did i sell stocks that september because of the fundamentals? no. i sold because of "the fugitive." [ rimshot ] "i didn't kill my wife." my investors didn't care. maybe that's an extreme example of a hedge fund that sold $500 million worth of stocks where the selling didn't mean anything at all. we were spg simply up big for the year and didn't want to risk giving money back. but in the interest of trying to get to the bottom of this particular abyss, let's go into the cranium of a typical seller on a day like today and not with an ice ax trotsky style. first reason to sell. interest rates. good reason. if you believe inflation's coming down fast enough, then you might think a 20-year treasury bond yielding nearly 4.8% is a decent rate of return to lock in.

good enough to sell stocks and swap into the bond market. it's been 16 years since -- that might be tempt forget a lot of people. guess what i think. i think they slow inflation. therefore, stocks that have sold off because of inflation might be big beneficiaries of this moment. i suspect you get a better return from many of the stocks that you night have sold than you will get from the lrnl treasuries right now because it's certainly reasonable that someone might want to sell a stock to get that risk-free return. and that's the only reason. doesn't mean your stocks are wrong, though. it just means they finally have some serious competition. again, acceptable, rational reasons to sell, just one i don't agree with. second reason to sell, macroeconomic weakness. you hear that term a lot. this morning cisco announced it's buying splunk, a data analytics software company for $20 million. both chuck robbins ceo of cisco, gary steele who runs splunk, talked about macro headwinds when they joined us on "squawk on the street." these headwinds certainly elongated the deal process for splunk. delayed but didn't stop big signings. yes, there's a lot more risk in

this environment but that doesn't mean there won't be any deals at all. stocks will come down to compensate for this weakness and once it's priced in we're back to normal. difficult adjustment, though. third reason to sell, you're scared. you're just scared. you're up big or maybe you just don't want to lose a lot of money and lock in what you have like i did with "the fugitive" every day. this kind of selling makes a ton of sense for money managers who are graded on an not annual basis. about it doesn't make sense for you, regular investors, because it presumes that you can get out and then get back in at a better level. when things are, you know, safer. hardly anyone's that nimble to pull that off. in the end selling when you're scared and buying when you're no longer scared translates into selling low and buying high. the bargains come when you're frightened, not when you're feeling good. fourth reason, the fed. now, often you people are selling because of the fed. it's not like the fed's sounding an all clear, when it's the bottom or the top. jay powell did say that there might need to be a slowdown, which implies some serious layoffs if inflation doesn't simmer down. he repeatedly mentioned that we have to get to that 2% inflation

level, and we're almost twice that. but is that really the reason for you to sell at this point? in fighting inflation the fed's preserving the value of long dated assets like stocks. now, if you want to sell amazon down more than 15 points from its high because of amorphous fears about the fed, i get that. you feel the risk. but i recommend taking jay powell at his word, accepting that things will be rocky for a while before they get better. i don't really see any other way to look at it. we don't have some crazy person running the fed. we have a rational person who wants to bring inflation down as part of his mandate as the fed chief, and he accepts that there's going to be some collateral damage like job losses. so own stocks that do well in inflation if you have to like the oils. we bought one today for the charitable trust literally during our monthly meeting. and when the fed wins the fight, lighten up a little on some of these commodity stocks. that's where they start losing value. i recognize the two parties have an insanely toxic relationship. it's even become toxic in the republican ranks in the house of representatives. i could make a big deal about a potential government shutdown. it's just that it won't impact

the vast majority of your stocks. american politics are exhausting and discouraging and downright miserable. but i think that's already baked into the market. sixth reason is strikes. now, we've been blessed with peaceful labor relations for so long we can't even believe what's happening in detroit, right? we worry about the ripple effect. but you know that only 11% of the workers in this country now unionize? that's much more than the old days. there won't be a ripple effect. and you might ask why the auto companies are letting uaw leader shawn fain boss them around like they're children. i think the one the charitable trust owns ford should break ranks and tell the union unlike stellantis it's been hiring while gm has been reducing them. ford has no temporary workers. the others have run with 10% plus temporary workers. ford needs to stop the talks and say unless the union is ready to make a separate peace with ford it's going to lock them out for five months which is a lot longer than they can handle. fain got in with a close vote

with no mandate because there had been so much corruption at the top. that's why he was elected. but enough is enough. he's in charge of the uaw, not ford. if you're selling because you he soo i awave unionization i think you haven't done your homework. let's call them the big six. some of them make sense others don't. what you have to realize is every time the stock market goes down these reasons to sell all become less relevant. that's what lower prices do. they take points like these into account because now the stocks are cheaper. bottom line, the fed can't upend the rally because there isn't a rally. higher rates won't send stocks lower because they're already down. and that's how you have to think about things like the stock market. otherwise, you know what, there really isn't a level where it feels safe to own stocks other than at the top where nobody's worried about anything. that's not investing. that's called stupidity. let's go to bob in florida. bob. kaurm >> caller: jimmy chill, how are you doing today? >> jimmy chill is doing fine. what's happening?

>> caller: good, good. not much. i just had a question on this stock with it being the number one athletic kind of brand that people wear, the chart looks good. what do you think about lululemon right here? >> here's the way you look at lululemon. this is the -- people, when lululemon reported everyone said it's too high. i don't want to buy it, it's great. so now it's coming down. what do people say? whoa, it's really scary. hey, it can't be both. you put a little lulu on at 380 and then you put a little on at 370. you want to buy 100 shares? leave room so if it gets to 340 you buy your last 25. that's how you have to think about it. let's go to trey in texas. trey. >> caller: jim, my wife returned from the store today with a crop top rain jacket. given their ability to sell 50% of a product at 200% of the price is target a screaming buy? >> i happen to like brian cornel. i like to shop at target. target yields 3.75%. holy cow. 15 times earnings.

you know what? i am not going to fight someone who wants to buy a little target here. i like walmart and i like costco and i like amazon but i will not fight anybody -- 3.75% and 15 times earnings. that is not a fight i want to take on. i want to go to alan in tennessee. alan. >> caller: boo-yah, jim. what do you think of danaher as a health care growth stock. >> this market does not like high multiple stocks. what they don't realize is danaher is a big beneficiary of the fact the ipo market is going to open. it's a biotech. and it's a huge beneficiary of the fact it's selling a company that is not -- it's in good company but buying a better company and making it so that people end up paying more for the stock. danaher's one of the great growth stocks of all time and you're getting it at i adiscount. listen to me, the lower this market goes the less relevant the scary reasons to sell become. and that's how you have to think about a stock market. and you have to be ready to buy at lower prices than it gives you. on "mad money" tonight, nuclear power player constellation

energy's had a big run so far this year, but could the recent surge in oil prices send this stock even higher? i'm checking in with the company's top brass. and the convenience stores have taken a beating. but could there be a diamond in the rough among the group? i'm going to reveal the name that has bucked the trend in retail and is still overlooked by wall street. and the september gloom is still present in the market today, like big-time, right? but could a buying opportunity be around the corner? probably not. all of it in just a second. why don't we check in with cramer fave larry wood and see if it's still negative? because he's bright. 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.

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you do you. switch to xfinity mobile today. sometimes you need to check in with your winners, make sure they can keep winning. which brings me to constellation energy, the mostly nuclear power utility spun off by excelon earlier this year. we started recommending it almost immediately and the stock has roared partly because of the inflation reduction act. it had some major subsidies for nuclear because it's the most effective way to produce power carbon-free at scale. while the stock's slowed down a little bit of late it's come roaring back in the past six months. constellation keeps delivering spectacular results including a blowout quarter a month and a half ago. now the stock's also getting a boost by the way from the rally in oil because when traditional energy prices soar nuclear looks a lot more attractive by comparison. and that's one of the reasons why constellation's up nearly 28% year to date.

can it keep climbing? let's check in with joe dominguez np he's the president and ceo of constellation energy. welcome back to "mad money." >> hey, jim, how are you doing? >> well, i've got to tell you, it's not usual to see a utility have a gigantic upside surprise. we're used to just steady and frankly boring results. i like upside surprises. how did this happen? >> well, i like upside surprises too and i hope we're not done giving them. jim, you know, you touched on it a moment ago. the i.r.a. was a big catalyst. but the other thing that's going on is people are waking up to the point that if we're going to decarbonize and if we're going to connect all this stuff from vehicles, industry, home heating, more data centers, ai, all of that to the grid, it's going to be more important than ever that we have energy that operates when our customers need it. and so the advantage of nuclear over anything else in the market is not only its scale but the

fact is that next time this year i know how our fleet is going to perform. on january 20th regardless of the weather, regardless of what anybody faces, i know we're going to be 100% on. and that's important as we sell energy into the market. you know what? it's important to our customers too. because what they found out in 2022 is even though they might think they're 100% clean because they bought wrecks from wind farms and solar farms all over the country that in the aggregate produce enough energy to cover their annual yearly use of energy, it's that moment to moment energy that limits their volatility and allows them to get the best clean story. so that's what we're seeing, jim. it's really been driven by our commercial business. we entered into this landmark agreement with microsoft, where microsoft is using wind, solar and nuclear in combination. and the way it works is the nuclear fills the gap when the

sun isn't shining or the wind isn't blowing. and that gives them 100% solution. a lot of our customers are interested -- >> that's what i want to understand. when microsoft gets its carbon-free energy for data centers, does that mean they're putting the data centers where you are or they're actually getting some sort of credit for what they're doing? >> well, right now what they're doing is they're putting the data centers near to generation centers for renewable energy. but historically what people did is they put the data center wherever. and they bought renewable energy credits, which you know is just a legal certificate that says that renewable energy was operating at some point during the course of the year. and they pretended, for example, that energy they bought in april was being used in august at the data center, the industrial facility. microsoft wants to get beyond. they want to get an hourly match solution. and we have a product that

allows them to do that. now, what we are exploring, jim, is kind of the next generation of this with a whole bunch of entities where what we'll be able to do is bring a data center or a manufacturing capability like hydrogen behind the fence line of a plant. right? and what that does is it gives them unprecedented levels of reliability and 100% clean energy right there where they need it. that's pretty exciting, working on a lot of options on that. >> we keep hearing about these companies that want to be carbon-free by 2030. i mean, is it the easiest way to do it just to relocate or build a lot of your stuff in one of your areas? >> well, we think that's the right solution for a lot of folks. but look, the reality is that not every one of our customers -- and we serve 75% of the fortune 100 in the u.s. with power and gas. right? so we have a lot of clients that have invested in industrial facilities at their location. so for them it's not going to

be, you know, a doable thing for them to lift up and move nearer to a plant. >> fair enough. >> right? for them what we need to do is a clean energy solution by wire where we could guarantee them regionally that clean energy is being produced at the time they're using it and we can match it second by second. just the way the grid has worked for over 100 years. that's where we've got to go to. right? if we're going to really decarbonize america. >> now, you talked about hydrogen. that's one i'm fascinated by. my charitable trust owns linde. i keep being hopeful. don't you need a lot of subsidies for hydrogen to really work? >> i think for clean hydrogen to work in the early going, jim, you're right. it needs a jumpstart. that's what the i.r.a. was all about. to get to a cost that kind of matches what you can do with methane reformation, you're going to need a subsidy. i think, okay? just me. for over ten years, which is what the i.r.a. promises. >> all right. that's fair. >> but i do believe that you'll

close the gap. but you know, it sounds like -- a lot of times in this space we overpromise the ability to deliver quick economic results. and for things like electric o'lizer development, the pipeline infrastructure that needs to come with hydrogen, the other things, you know, we're going to have to earn that. with investment. and the country needs -- >> you're a truth teller about this because a lot of people come on the show and make it pie in the sky. while i've got you something i'm very proud of, we have a good network, nbc universal. we're commemorating hispanic heritage month. do you have any personal reflections on your heritage as it relates to your leadership at constellation? >> i get this question -- look, i think all of us that are immigrants to the country -- and my parents came here from cuba in the '50s. i was lucky to be born here. they love this country. they came with nothing. but my story's similar to millions of folks.

latinos and others. that have the benefit of dna of people that were willing to drop everything, divorce themselves from their language, their culture, familiar surroundings to get to a better place. and that's pretty good dna for all of us to have, and frankly it's what's made this country. and it's one of the things that i think sometimes we lose sight of when we're talking about complicated issues like immigration. that the lifeblood of this country, the inspiration, the passion about it has been immigrants that have come here like your parents, like mine, who have done great things in this country. and i think the other thing that it gives you is beyond that kind of inherent advantage is when you feel a little bit like an outsider growing up and either you're made to feel that way or you feel that way because you recognize differences, i think you lean into things a little bit differently. you hear people out a little bit differently. and you value the -- you know, different opinions. and honestly, that's been

probably the greatest advantage. i have so many talented people here at constellation. i think it's the best team in the industry. and pulling them together and getting them to work together and bring their differences together in a way that creates a benefit for the company and ultimately for our customers and the country, that's what it's all about. so thanks for recognizing it. >> oh, absolutely. that was great. what a great thing to say. i mean, we have so much division everywhere. it's nice to hear someone trying to put together a coalition of americans. i think it's terrific. joe dominguez, the president and ceo of constellation energy. i love having you on. thank you so much. >> take care of yourself, jim. great to see you. >> "mad money's" back after the break. >> announcer: coming up -- can the joy continue in mudville? casey's has been a hit with investors. can the quick stop stock keep your portfolio well fed? stick with cramer.

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at a time when the drug stores and particularly the dollar stores are in pretty bad shape, last week we got an incredibly strong quarter from casey's general stores, the convenience store chain with more than 2,500 locations, mostly in small towns in the midwest. the stocks are up 11% in response last tuesday. it's kept running, making a new all-time high this week. that's what caught my eye. we had to dig deeper into this one. for those of you not from the midwest, what the heck is casey's and how in the world did they pull this off? the stock's been reliable, a long-term winner up 24 hers e.% for the year. 116% for the last five years. trouncing the s&p retail etf, the xrt, which is down slightly for 2023 and only up less than 17% in the last five years. not a great time to be in this group. the at first glance the company doesn't seem to special p the third largest convenience store chain in america, the kind you'd

find almost anywhere. but unlike its rivals casey's really puts up stores in extremely small communities. roughly half of the locations are in towns with less than 5,000 people. only a quarter of them are in places with more than 20,000 people. that means for the vast bulk of the locations casey's is the only competing with local grocery stores and local convenience stores. they're not going up against big national chains, which makes it easier for casey's to provide superior service and a broader selection of goods at relatively low prices. plus their stores tend to be highway adjacent, which also gives them a lot of additional traffic. still what makes casey's more than just a small town gas station with a place to grab some food? well, for starters fuel made up about 2/3 of their sales in the latest fiscal year. it only accounted for 35% of the gross profit. they're making most of their money from groceries. general merchandise. prepared food and dispensed beverages. i know when you think convenience store food -- but listen to me.

casey's isn't just selling those weirdly colored hot dogs that have been spinning in the display glass all day. they've got a wide assortment of freshly prepared and made to order foods. much higher quality than your typical gas station. especially the pizza. ♪ hallelujah ♪ that's right, pizza. casey's has been selling its handmade pizza for nearly 30 years. they're actually the fifth largest pizza chain in america as measured by numbers of kitchens. if you're wondering who'd buy pizza from a gas station, you've probably never lived in an extremely small town. because in the places where casey general does business people are crazy for their pizza. it's got an almost cult-like following. and frankly they do things with pizza that might get someone institutionalized here in new york. like the breakfast pizza with sausage gravy instead of tomato sauce. tops with bacon and eggs of course. this isn't some gag attraction. this is what they're known for. don't believe me? go to the about us page on casey's website right now and look under the pizza section.

it's what they brag about, including the ultimate beer cheese breakfast pizza. not exactly how we used to make them at the longshoreman, my wife's old restaurant -- i almost said my old wife's restaurant. that would have been terrible. but i'm not going to say anything too critical about regional pizza preferences because i've got enough haters on social media already. for us what matters is that casey's has been making a killing lately. last week despite sales coming in slightly below expectations the company delivered a massive $1.16 earnings beat off a 3.36 basis thanks to higher profit margins on fuel and lower operating expenses. their limited time food offerings have brought a lot of customers especially the new thin crust pizza which by the way is a concept i can get into and maybe even give it an 8.2 on the one bite scale. casey's also has plans to grow by making acquisitions. they recently agreed to buy 63 convenience stores from e.g. america in kentucky and tennessee. that's one year they raised their full-year store growth forecast from 100 new locations to 150.

now, casey's hosted an investors day back in june where management explained how they keep up their long-term track record of success, and the answer's one word. plastics. no, actually the word's consolidation. convenience store chains with less than 50 locations still represent nearly 70% of the industry. casey's believes these small operations sml whichy don't have the scale to compete in this new world, which is why they can come in and acquire them, maybe add a kitchen and take market share all over the place. this has been their strategy for a while. in just the past three years they bought 259 additional locations. declining tobacco sales and what should be a gradual decline in fuel demand thanks to the rise of electric vehicles. but at casey's 75% of their in-store transactions don't even include fuel. they've been slowly reducing their tobacco mix for a while. the company's also adding electric vehicle charging stations in areas where electrics are popular. they want to give the customer what they want. at that investor day, by the way, management laid out their long-term outlook through the

2023 fiscal year. they think they can increase their earnings at an 8% to 10% compound annual growth rate while adding 350 new stores. i think you've got to believe them. in 2020 casey's laid out a similar forecast through 2023 fiscal year targeting the same 8 to 10% ebidta growth yet they actually gave you 14% growth. despite the impact of the pandemic no less. plus more new stores than they'd originally projected. i like the business very much. what about the stock? like i mentioned before casey's hit a new all-time high a few days ago and it's only pulled back a few bucks from thoegz lefrlz unlike most of the stocks i'm following lately. the stock currently sells for just under 24 times this year's earnings estimates and 21 times next year's numbers. if you value like a convenience store chain, okay, it's expensive. but let's say you value it as a pizza chain. it's pretty darn cheap. domino's, for example, trades at nearly 28 times this year's numbers. here's what i'll saying. casey's is expected to put up 11% earnings growth next year. which means the stock's selling

for nearly two times its growth rate. that's on the more expensive side for me but it's still justifiable. doesn't hurt the company's got a pretty clean balance sheet with enough kark to do a ton of consolidation that will boost the earnings down the road. in short the estimates may prove to be too low. after all last week casey's was supposed to report $3.36 per share. they gave us $4.32. overall i think the stock can keep work its way higher over time. but it's had a big run. so you might want to put on a small slice here. [ rimshot ] and then maybe you buy a full pie on a pullback. bottom line, at a time when so many similar players are just struggling and the dollar stores you can't even look at, casey's general is thriving. i think this is a terrific underappreciated business,the kind of stock wall street often overlooks because snob money managers wouldn't be willing to go to a casey's even if the pizza were free. they rarely visit towns in the midwest and prefer to fly 30,000 miles over them when possible. unfortunately -- it's actually feet.

casey's has already run up a great deal. but you have to hope the fed or bond market or the strikes takes the stock down to a lower level where you can safely load up the boat on casey's general stores. wow. i've been wanting to do that piece. how about michael in tennessee? michael. >> caller: hey, jim, thanks for taking my call. >> of course. >> caller: newell brands since may at $9.40. should i hang on average down or dump? >> well, they do have new management and the management's got a very, very good plan to be able to get the balance sheet better. they cut the dividend. they've got some momentum. they have a game plan. and they have earnings. so i'd say stay pat. that's what i want you to do. fareed in new jersey. fareed. >> caller: boo-yah, jim. >> boo-yah. >> caller: thank you. my question is thanksgiving is coming, christmas is coming, winter is on the way, the consumer will be headed to the

mall. macy's p/e's 5. what do you think about the future of macy's? >> i happen to love the management at macy's. i like to go to bloomingdale's. i think it's a good company. but i'm only saying that the retailers that are working here are costco and walmart other than amazon and i've got to stick with that. that's what's working. that's what i'm going with. all right, look, casey's is a terrific business that's been overlooked by the snobs on wall street. even though it's had a big run i think you can start a small position here, maybe add some more on pullback. much more "mad money" including a fresh take on the technicals around which this sell-off could finally run its course. i don't want to tell you anymore because it's really incredible. and earlier we held our monthly meeting for subscribers, the cnbc investing club. we had too many questions sent in by club members. we decided to answer some of them tonight show. by the way, if you join the club and i read your question, your name all that good stuff. plus all your rapid-fire calls in tonight's edition of the "lightning round."

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tonight we're doing a special edition. thursday edition of off the charts with the help of the legendary larry williams. he's a technician market extraordinaire who's been the top expert in the space since before i could drive. larry's written a bunch of books, created a ton of pro prooi tri indicators many of which are named after him. he's the guy that warned us this market would be awful for most of september. he predicted this whole downturn just like he predicted the covid bottom way back in spring of 2020. everyone else thought the sky was falling. but get this, larry also told us to be prepared. he said we're likely to get a

terrific buying opportunity in late september. that bottom call's based on both seasonality and the cycle he spotted repeat over and over again in this market. now we're here what do those cycles tell him? check out this chart of the nasdaq. the people at the nasdaq. with larry's short, intermediate and long-term cycles in red, green and blue respectively. according to him, the blue long-term cycle is the one that has the most impact on the nasdaq. it's a cycle that's been the most reliable predictor of the action here since the index began trading. and right now the blue is pointing higher. when you project the cycle for the next couple months it's extremely bullish. everyone dumped on the nasdaq today. it was incredible. it was the most trashed of the averages. when you narrow things down from the long term to the intermediate term, the green line, it is saying something

similar. larry points out the intermedia cycle's also pointing to the bottom of the nasdaq in the very near future. looking back he says we've seen this cycle or wave pattern 17 times in the past, and on 15 of those occasions the nasdaq bottomed when the pattern predicted it would. that's over 85% accuracy which is pretty darn good in this stock market. finally check ought the red line which reflects larry's short-term cycle. even with the short-term cycle it projects that the nasdaq's likely to bottom sometime early next week around the 25th. that's right around the corner. you need to know that larry's constantly looking over the way securities have behaved in the past. you always search for patterns that tend to repeat themselves. we don't know why that happens. we only need to know it happened very reliably in the past. doesn't mean it will definitely happen again. but i'd rather bet with these cycles than bet against them. that's especially true when you have a nested set of cycles like you see in this chart right here. larry's long-term, medium term and short-term cycle forecasts

all projected the nasdaq, the most hated of indexes, should bottom and then rally in the very near future if it hasn't already. when you get a line-up like this he says there's a very good chance we're in the area where an important low could be formed. i don't know another soul who believes this. not one. which makes me super interested. now, larry admits he could be coming in a little bit too early, we might have more down side but he doesn't think he's wrong with this call. he made that point twice today. given he nailed the current downturn in spectacular fashion i bet he's going to be right again. bottom line the charts as interpreted by the legendary larry williams the guy who called the hideous sell-off we've been experiencing of late, suggests that the pain could soon be over. >> the house of pain. >> the nasdaq's been the most sensitive part of this market, and if larry's right it could be ready very soon to roar again. >> buy buy buy! >> the house of pleasure. >> "mad money's" 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.

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it is time! it's time for the "lightning round" on cramer's "mad money." play until you hear this sound and then the "lightning round" is over. are you read i y, skee-daddy? time for the "lightning round" on cramer's "mad money." let's start with dave in california. dave. >> caller: boo-yah, jimmy chill. >> what's up? >> caller: solid q2 earnings report beating estimates. great future earnings growth

outlook. hefty backlog. new 150 million stock buyback program. and a $55 billion infrastructure investment i allocated to broadband expansion. what are your thoughts on dotcom industries? >> you know, everything you said is true but they also have a lot of telecom exposure and anything tell com related, crown castle or atm, you can't -- i don't want to be levered to telco spin and that's a got a problem there. let's go to nick in connecticut. >> caller: jim, how are you? >> i'm good. how are you? >> caller: good. i wanted to thank you for your past education and good humor. >> oh, thank you. thank you very much. >> caller: and i wanted to ask you about a stock. i know you like nucor. >> right. i sure do. >> caller: i did some research on a company that i like what i see in terms of profit and their markets that they sell to. and the name of the company i'd like to get your opinion on is carpenter technology. >> car tech.

a very good company. the stock has had quite a run. i don't know if i want to just come in and buy it. but you've got a winner there. i have liked that company for many, many years. let's go to brett in texas. brett. >> caller: big boo-yah, jim. how are you doing today? >> i'm doing well. how about you? >> caller: doing all right. i don't know how you do it every morning. start with squawk and end with "mad money." >> long days but i like what i do. thank you, though. >> caller: send a big boo-yah to faber and carl for me. >> love them. >> caller: calling about glng. should i throw the days with -- >> i hate to dice roll there. i think honestly if you're going to be in lng just go to coterra. this is a different kind of play. but i just like the fact that you've got a dollar finding cost for a $2.70 product that you sell. i'll do that all day. let's go to rip in colorado. rip! >> caller: hey, jim. thanks for taking my call.

first-time caller. >> excellent. >> caller: i've got this chip equipment stock, air test systems. >> very interesting testing company. a little bit like adulant. something like emerson just bought. i'd rather see you in emerson, as a matter of fact. i think it's a better situation. not totally analogous but i like it. let's go to mary in idaho. mary. >> caller: good friday eve from idaho, jim. >> yes. >> caller: i want to say thank you for all the great advice you give. >> oh, thank you. >> caller: you're most welcome. i'm wondering, with the market being so crazy this week, at what percentage in loss of value with a stock should one perhaps consider selling?

specifically i'm looking at sofi and i just -- with the way it's had an almost 10% slide i just was curious what you feel -- >> okay. the ceo, what happened here, the stock was at 4 and then it basically tripled, almost tripled and then it's come back. a lot of profit taking. people worried about the student loans. it's got a great membership. i think if anything i'm a buyer, not a seller. sofi. chuck in california, please. chuck. >> caller: cramer, boo-yah, ski daddi. >> what's up? >> caller: from heavenly south lake tahoe. >> nice. >> caller: i was thinking about doing a little bottom fishing. tell me am i crazy or is it okay to do a little nibbling on ha harmonix which hit its 52-week low today? >> it's in telco and wireless and that is not where you can be. such a shame that i've kind of

written off a whole industry, but i have to be careful. that industry is not doing well. and it doesn't matter. that is just a bad neighborhood. i don't care if it's a better house. it's a bad neighborhood. let's go to peros in california. >> caller: hey, jim, thanks for taking my call. i really appreciate all you do, as always. got my niners playing tonight. so excited about the game against the giants. >> well, wish you best of luck. absolutely. >> caller: they have an r.o.e. of 22%. no debt on the balance sheet. and they have annualized sales growth over the last five years of 11%. just wanted to get your thoughts on wso. >> very, very good company. it's hvac. i like train. i've got to tell you, when you look at hvac, it doesn't matter. you can look at carrier, train, wasco, those are all very good stocks. and that, ladies and gentlemen, is the conclusion of the

"lightning round"! >> announcer: coming up, cnbc investing club members had first crack at cramer with their questions this morning. but we won't leave you hanging. your hottest queries answered. next. >> announcer: tomorrow kick off the trading day with "squawk on the street." live from post 9 at the nyse. >> you've got a star coming out of your head. look at that. >> you can trust -- >> it's more like a crown. >> perfect. stay right there. >> king cramer. there it is. >> announcer: it all starts at 9:00 a.m. eastern. (sirens) [due at target in 5!] copy that. make a hard left down the alley. network's got you covered. [please confirm requesting back-up.]

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i love this day. why? because we had the monthly meeting of the cnbc investing club with my colleague jeff marks and i spending more than an hour exclusively with our club community. we go through the strategies of the portfolio, discuss and debate our current holdings and even take direct questions from club members. more on that later. if you're not yet a member of the club, come on, man. what are you waiting for? we've got a special offer right here right now for "mad money" viewers only. grab your phone, open your camera, point it at the qr code or go to cnbc.com/jimoffer.

and we couldn't get to all the amazing questions that you had -- we had a lot of questions. so you know what i'm going to do? i'll take some of them right now. first up we have a question from dorothy in new york who wants to know, is it a good idea to invest in any of the home building stocks such as d.r. horton, in a higher interest rate environment or is it safer to invest in home depot and lowe's? home depot and lowe's are holding up really well. the home builders seem to be casualties of the current moment way little higher mortgage rates people are just sending the stocks down even though the companies are doing well. home depot's for you. next up we've got a question from laura in california who asks how should the individual investor approach an ipo specifically arm? i've noticed ipos tend to pull back two weeks after initial launch. should investors wait or buy a little on launch day and add to your position on pullbacks? >> you have to look at other companies in the industry and figure out whether this stock is going to be too high where it opens or too low? in the case of arm it opened too high versus cadence and

synopsis, which were the two that are similar to it in terms of what i call the comps. so therefore you had to let it come down. i think you still have to let it come down a little more before it's cheap. now let's go to a question from rick who asks hi, jim. what's your view on the recent downgrades for rtx? first defense we have liked l3harris. rtx is really hard to get your arms around because there are major problems with what was their marquee engine. and i still can't figure out exactly how they got it this wrong and how many more chargers there might be. nobody knows. it's too open ended. next up we got a question from jimmy in texas, who asked jim, boo-yah from thhouston, texas. what has happened to the sweetest of all tradable stocks, hershey? how does this exceptional company return to a position of quality and certainty for investors besides the dividend and gain the trusts favor? this is one of the highest valued food stocks, and i don't particularly like these kinds of consumer packaged good stocks at this particular moment unless they've got a good long dividend

and their costs have come down a lot. that's why the trust owns procter & gamble. as i said in our conference in our monthly meeting, it's just boring, it's not bad, and i feel when i talk about procter & gamble it's really understandable that it's what i call a dividend aristocrat. it pays a dividend, it grows and it grows and it grows. it's not interesting. some parts of my portfolio are not meant to be interesting. this is one of them. now let's go to myron in missouri, who asks hi, jim, i joined the club three months ago and love the information that you share. the magnificent seven and other ai plays have turbocharged my portfolio this year. i know i should have diversified but it's hard when the future of. ai seems so bright. what should i do? you have to diversify. this is why this is such a great question. days like today. see, if you had nothing but ai, what you would say is i can't take it anymore, i want to be in something else, and it's not the stock market. this happened in 2000 with the internet.

it could happen in 2023 with ai. we have to stay diversified to make it so that we stay in the game. that's why some stocks like i just mentioned procter & gamble, they seem so fuddy-duddy and they seem such a waste of your capital. it's the opposite. they're diversification. all ai means total punishment 24/7 so far in the last two weeks. so let's stay diversified and accept the fact that not everything is going to go up at once. next up we have walter in florida who wants to know hi, jim, i purchased save, that's spirit air, almost a year ago based upon their merger with jetblue but it'sn down since then. what's your forecast for save? should i hold, buy more or sell? i think you should sell. let me tell you why. they are frtrying to do a deal with the justice department. historically the justice department has allowed airlines to sell off some routes and make the merger happen. this particular justice department is run by a fellow

named jonathan cantor who's very, very smart and has said over and over again he does not believe you can cure a deal, in other words, make it so some parts of another airline has sold off and has work. the reason why airline tickets are so expensive in so many cases is because they did this stuff and it didn't work. so i think the deal is not going to happen. and i suggest you sell and sell tomorrow. now i have a question from diane in ohio, who wants to know, i'm trying to build a position in a company and at the stage of not owning as much as desired. how do you balance taking profits and building a position? all right. now, if a stock flies up after you buy the initial position, then what you need to do is just sell and take a little profit. if the stock goes down quickly after you buy a position, we think theremight be something wrong with it, you've got to do more work. you take a ge healthcare. i think there's nothing wrong with ge healthcare and we've been buying it in stage, in increments, in what should be pyramid style where the initial part right here is going to

get -- will look much smaller than when we buy it down here. why do we have that level of confidence? because we do the homework. it's about the craft, as i like to say. and by the way, 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 cramer. see you tomorrow. "last call" starts now. hello, everybody. i'm contessa brewer. a high noon deadline. preparing to expand the strike tomorrow. will it be enough to force the hand of the automakers? will bad news for the big three be good news for tesla? we'll have a debate royale. lights, camera, maybe action. hollywood could be near a breakthrough in its months-long stand-off. and gm largely returns to normal after a cyber attack bu