it's a similar thing happening in med tech. it's almost like sell now, ask questions later. >> yes. and of course, we got cpi tomorrow before the bell. >> health services. going to be one to watch longer material with all of this, as well. that's going to do it for us at "overtime." >> "fast money" starts now. live from the nasdaq market site in the heart of new york city's times square, this is "fast money." here's what's on tap tonight. deep impact. the growing power of obesity drugs on full display today. lilly and novo nordisk soaring while diabetes and device makers fall hard. how the street is viewing these drugs. plus, unhappy feet. investors not sliding on shares of birkenstock on its first day of trading. the stock closing $6 below its offer price. why so many in recent ipos have hit the street like two left feet. and later, inside gold and silver's bright and shining week, breaking down the banks ahead of earnings season, and is

more turbulence in the forecast for delta? i'm melissa lee, coming to you live from studio b at the nasdaq. on the desk tonight -- tim seymour, karen finerman, guy aed adami, and julie biel. the move coming after early tests that ozempic could be used to treat kidney failure, as well. the news sending shares of med tech companies plunging. baxter hitting its lowest level in nearly eight years. and this could be just the start. ozempic and drugs like it could find uses in treating alcohol and drug addiction, lowering blood pressure, just to name a few. so, what could that mean for the health care space? we always say the pendulum swings so far. if we've swung too far in terms of it being the miracle drug, guy. >> in terms of names like

medtronnic, it swung way too far. i mean, this is one of the great companies, i mean, people are selling first, asking questions later, we're talking about a stock that's at a seven-year low, which, by the way, actually in terms of valuation is probably reasonable it's been for quite some time. flip side, guy, you're missing the point, earnings are going to come down -- don't be so sure. ely lilly is an amazing company. the last pull-back, we've seen this before. every time it's been bought, that proved to be the case. the question is going to come at some point, valuation is going to get in the way. if you are looking for places that make sense, mdt is an interesting play. >> for lilly, it's hard to justify at the moment, right? as a value investor, it's hard to be long this, but i do think this is such an extraordinary case. we don't know how big it's going to get. obviously it has tons of hype, which we don't normally love, but i feel like it's -- i made a mistake before of inning it, both novo and lilly and just

thinking, oh, my god, they have gotten out of control and getting out of both and then had to buy lilly much higher, so -- than where i sold it. i don't want to make that same mistake again, but i do think it is getting a bit frothy here. the way for me to look at it, it would be to sell some upside calls. i do want to have say in the story, but these reactions a are -- i mean, i'm very interested, we were talking about this on the ride home yesterday in the car -- >> yes, as we often do. >> as they do. >> when we look back on this five years from now, will everyone be on ozempic -- >> no. >> some kind of glp-1. >> or something very different. >> but if you treat kidney and -- >> i understand. >> so many different things, tim. >> after being cynical, let me be positive. i think all the medical technology device companies, i think they should be scared. i think this is -- at least this

st study was powerful. i'm not going to challenge walmart and their data. they've invested in their data. i bet their data is some on the consumer is best in the world. we'll talk about staples and what's gone on in that space. there's a reason why the stocks have mostly sold off. as it relates to these news, this is a study that's profound. it's a study that ended early, because it was so definitive that it made it very clear for people to say the impact here is significant. and that -- that is -- there's no question, and that's why we get into the addressable market. i don't think we totally know here. i do think we've made assumptions on, you know, where these are going, and also, the insurance dynamics are still so unknown who can afford them? who will they be available to? and what it means to the insurance companies. >> well, the more and more studies that are out in terms of it improving other conditions, more likely it would be reimbursed by insurance. i mean, if it's --

>> good for them. >> if you are taking it to reduce cardiovascular incidents, it will probably be insured. if that is found to be the case. but i'm curious, karen, before we get to julie. you own nvidia. >> i do. >> how is this story different, in terms of the possibility of a.i. and how much market cap those stocks gained on the back of the hope and promise of a.i., versus this? >> you're right. they're very, very similar. i think that particularly for -- novo is actually further along than lilly, right? we all expect that they will get approval -- >> for weight loss. >> and they would be horrific for the stock if that did not happen, so, there is a little risk there. i think they're similar in, you know, the widespread, oh, it's going to be in everything and, you know, you got to own it, and actually, to me, nvidia's cheaper than lilly at the moment. but the moment is not this moment. >> on a growth perspective? >> potential earnings. >> right.

>> right now. but they're similar, you're right. >> in terms of the hope. >> right. >> the tote total addressable market. >> this is kind of a.i. dust, we can name it. >> we did. >> this was -- this was -- we called, i think we called it -- >> nvidia of health care. >> and i think so far, so good, on that call. and on some level -- the door is opened wider and wider. >> julie biel, would you rather nvidia or novo nordisk? >> um -- me personally, probably novo nordisk. i really agree the parallel between a.i. and the glps is the right one to be making. i think that in the next five years, the glps will have a bigger impact on our economy, because the second order effects are massive. if we suddenly are able to address the problem of obesity in this country, how much that's going to impact health care

costs. how much that's going to impact people's psyche, in terms of, you know, antidepressant use. what's going to happen with gyms? probably negative things, right? people are feeling helgtier and they go to the gym more, increasing costs, or they recognize that the real way to lose weight is in the kitchen, without eating. and people just stop going and stop subscribing. so, i think there's massive, massive second order effects. and i think for the economy, it's going to be really meaningful. >> right. and also, for glp-1s and its applications, there are studies. there are clinical trials being done, as opposed to a.i., we believe it's going to -- >> let me push back a little bit. >> okay. >> okay. and i rarely push balk -- >> you should push back more then. you do it well. >> nvidia, we talked about how it's going to be much bigger -- already, the revenue growth is extraordinary. that's already happening. and i don't think -- i don't think it's over.

>> right. >> but will companies look back and say, we spent this much on this nvidia chip and it's paid off x amount? >> yeah. >> to the -- >> exactly. >> nyou know, in a parallel fashion to, you know, these patients, in a double-blind study took ozempic once weekly and found this reduction in renal failure. >> well, we come back to the picks and shovels -- >> sorry, julie, go ahead. >> nvidia is a capital cost. it's a one-time capital cost. they don't have, necessarily, contracts and terms that they're going to have an extension out towards. they do in terms of the media supply, but not long-term. people are likely going to stay on these drugs long-term. so, there is, like, a recurring revenue element to this business that, to me, makes it more valuable than one-time capital purchases. >> interesting, she says that long-term. that may be the case and going to be perfectly safe. flip side of these coins, this drug was not set up to be on for the rest of your life. >> at these dosages.

>> correct. so, we'll see how this -- i mean, there's a lot of runway left in these stories. and i hope it is the wonder drug that everybody seems to think it is. we've heard about wonder drugs before, and we'll see. to karen's point, though, it's interesting in the game of would you rather, i mean, i can't even believe i'm about to say this. i love lilly for the longest time, but i wunderstand what she's saying. it's a fascinating would you rather. >> do you want to play this game, too? >> i always feel left out. >> come on in. >> i think nvidia. and i just -- but again, i'll emphasize, i think today's news for dialysis companies, again, the impact from diabetes, et cetera, on kidney dynamics and what this means -- this isn't a vague line. this is right there. and it's powerful. and by the way, this is what these drugs really are made for. so as it relates to nvidia, i -- it's been powerful.

i still think the company -- this is kind of what julie was just saying. companies that have the ability to have some kind of annuity factor, and that goes back to microsoft, who right away rung the register, though i think google was at it before they were. i guess nvidia. >> all right, so, do the other potential uses for obesity drugs warrant all this euphoria? let's ask dr. kavita patel, former white house policy director during the obama administration. dr. patel, always great to get your perspective. so, so far, we've gotten a lot of different sorts of studies when it comes to card yoiovascu events, kidneys, there are a lot of other trials going on, particularly for alzheimer's. how do you regard this drug right now? is it in your view looking like a miracle drug? >> melissa, i'd love to think it was a miracle drug -- i'll be honest, i was shocked at the drop in the buy y'all sis companies, because none of us

were surprised -- this trial was halted, as you kind of mentioned earlier, a year in advance, because the outcomes were so strong, but they were in d dia diabetics. we know this drug works really well in diabetics. but there are so many barriers to getting there, cost, adherence, prescriber rate. doctors aren't even aware of kind of all the uses. they are just hearing about it on tiktok and thinking about it for weight loss, so -- i was a little surprised that that kind of sharp decline, however, it is a very big deal. it is a game-changer. it is something that's going to absolutely create these secondary effects. in terms of its expansion, to kind of be that one drug cures all ills. the mechanism of inhibiting the release, which we get after we eat, kind of any sort of meal and get that sugar input into our bodies, that is not necessarily the chemical basis of what we know for a lot of things like addiction disorders or other mental health

disorders. and those trials, as you pointed out, are nowhere near as robust as the data as we have on flow, on diabetes control, double bl blinded, randomized control trials that are incredible and we have less than 20 patients in a trial around mental health and addiction disorders. so -- and then rat studies, animal studies. we have a long way to go for that, and i've seen a lot of miracle drugs before. this will probably make the biggest dent in our mortality, and i think that's important to consider. >> it's 's karen, thanks for b on. so, what do you see as the biggest risk for this drug? >> yeah, so, the biggest risk is really that we have no long-term studies of this drug. and you talked about it, karen, there are things we just don't know. we are seeing kind of a warning that the fda has put on ozempic to talk about the stomach paralysis or that intestinal paralysis that can be a symptom and very concerning, potentially

even fatal, so, we're learning more and more. remember, in a control trial setting, we have a lot of things that we try to control and root o out. when you use it offlabel, you start to pick up things and you start to see a change in the effect size. as you widen the denominator of any drug, you're going to see the limitations and signals show up, and i think that's what you're seeing. but no question, lilly and know vor nor disk and kind of pfizer and thinking about the oral drug, having an oral and in intramuscular approach for a drug, it gives you a lot of shots on goal. not everybody wants to inject. so, oral drugs could be a big game changer in this, as well. >> there are limitations to oral, in terms of having to take it a certain time before meals and et cetera, so, timing aspect can be a challenge for people who want to go that route. >> right. >> in terms for the treatment of chronic kidney disease, do you think that ozempic will get that label, and if that happens, as

we see more and more of the studies, is it more likely that insurance reimbursement will be much greater? >> yeah, so, right now, we are seeing active kind of employers, entire states that are kind of declining to cover on the weight loss indication. it is very hard after looking at this data from flow and we'll get kind of final packets of the data published, but we'll see a final package of data that will be so compelling that it would be wrong not to cover this, because it should be superior to what we have available to us. that is something that i think insurance companies will have a difficult time, but melissa, i have seen a lot of drugs where there is superior data right now and we don't utilize them. we have uncontrolled, poorly controlled diabetics, not because doctors are doing bad things or patients are doing bad things, we just have an access problem in our country, and it's not easy, as you point out, to stay on all these drugs. so, i don't think it's as easy as that. it certainly helps when you have

an on-indication label. that's just one barrier out of many. >> all right, dr. patel, great to get your take, thank you. >> thank you. >> let's turn now to the market effect in the stocks impacted by the wide-ranging effects of these drugs. jared holz joins us here on-set. great to have you with us. when you look at the decimation that happened across the kidney treatment space, how far has the pendulum swung in that direction? too far? >> it's not only the kidney space, it's the entire medical device space, flight we haven't seen value detrux like this, even during the pandemic when there were no procedures being done literally. so, i feel like, yes, it's extreme, on the other hand, this is sort of a risk in perpetuity, we really don't know the impact, in terms of the financials and we'll start getting numbers soon with earnings. it's really tough to defend the stocks, and i think guys have tried to and they've been stopped out as a result, because they keep going down every day. i actually think the financial

impact, the economic impact as it impacts med tech, including the kidney players, is probably not so severe near term, but longer term, as the drugs catch on, i think it's a little bit more difficult to defend them. >> management response is sort of interesting. this prolongs the lifespan of these patients with chronic kidney disease, so, it just ps pushes out the dialysis and when that happens. people live longer, they will need dialysis for longer, so, there is no impact. do you buy that, or is that just sort of, you know, glass half full? >> i kind of buy it. i feel like there's some offsets in the market. whether it's orthopedic players, in terms of patients getting thinner, then being more active, then needing some knee surgery or hip surgery later in life, so, all these things are deferred. but i feel like the market is so short-term focused now that if we start to bring in the thesis where long-term things are fine, but near-term, there are major issues, i don't know who wants to buy those stocks in this type

of tape. >> so, to the stocks, because seeing -- you say, take profits in lilly and novo, and you say, there's huge value creation and so, where is that? where are the places that have also at the expense here, again, we're talking about dialysis companies, do you go at davita, do you go after baxter, j&j, though it's a much bigger company. >> i think i'm probably overly cynical having covered health care for so long. taking profits in pharma stocks that have gone bonkers to me makes sense. and that's why we discussed around abvi and merck and trying to diversify. not selling everything you own, but contemplate diversifying away from them, given the euphoria, and the valuation versus, you know, amgen, pfizer, merck, the entire space is incredibly dispersed, right? we haven't seen this type of valuation disconnect between the peer group maybe in the history of the sector. so, it's less about being negative on novo and lililly, is

finding other options. i don't know if i want to dabble in med tech. the rhetoric and the noise, to me, is overwhelming. >> value sometimes can be really value trap. >> yes. >> especially, it seems, in pharma. when something is done, it's done. >> we're going to get numbers soon. i would have thought that some of the names like dexcom, which start to preannounce, just to give the street some sort of idea of, if we're not seeing it, let's show everybody, so, i wouldn't be surprised if we, you know, we could get a p preannouncement tomorrow night, maybe early next week, weeks before they report, because they are literally down every day and today was, like, you know, very extreme, i thought. >> bristol myers has its own issues, but merck is another one. both stocks have not traded particularly well. feels as if, to me, there's been this move -- we're going to be in big cap pharma, we're going to be in eli lilly and novo. >> that's been the trade for over a year now. we have the clear winners, and then the other players that don't have this revenue exposure to weight loss, the street is

kind of jettijettisoned. they don't want it. they want the companies to do deals, and then when they do, well, was that the right deal? they are up against the gun, diversify, do more m&a, hopefully they get create for it, but so far, they haven't. >> what makes you -- i don't know what the right word is exactly. cautious about the valuation of lilly and novo. can you not do the math in terms of getting to the valuation, in terms of the addressable market? or the run has been so fast, so quickly, i mean whaeshgs is it? because it's probably a hard case to make, i would imagine, to investors, like, jared, you told me to diversify away from lilly and here we are, new high today. >> i totally get it. yeah, you can make up any number you want for the addressable market. we get that. the issue is the supply versus the demand. the companies can't make enough, i don't think, to actually

president up revenue that's going to appease investors, given where the stocks are trading, right? they're going to report in a few weeks. mounjaro is still not approved for obesity. so, that line item is not going to be massive, we know that. and the payers, at some point y, are going to say, we get it, but we can cannot pay for these at this volume without seeing the benefit. we have no idea when the offset is going to be. >> so, who is more expensive through that prism, lilly or k novo? >> i think lilly. >> jared, thank you. >> thank you. >> what do you think? >> i think about the insurers and, you know, if it is as effective as it is, they're going have to pay for it. if you have obese patients who now are not, you're paying whatever it is per month to keep them on, in indefinitely that's obviously a big ticket, i don't know what the other side of the ledger is, how much are you saving from all of the things

that go along with that -- >> heart attacks that they don't have, the knee replace ms that they don't need anymore, et cetera. >> yeah, but at jared pointed out, there have been a few that have been coming on. look at amgen. the closing of that horizon deal has been a catalyst to the stock. people can now make some calls. he was on a couple of weeks ago talking about biogen. >> all right, coming up, the other shoe just dropped. birkenstock getting kicked on its first day of trading, but can the sandal shock shake off the first day jitters? plus, as good as gold. the metal bouncing back from a recent drop, so, is the trade head eedven higher? don't go anywhere. more "fast money" in two.

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welcome back to "fast money." birkenstock having a less than stylish market debut today. the latest high profile ipo opening for trade at $41 a share. that's $5 below where it priced last night. and even below its wide expected range of $44 to $49. the stock closing at over $40, so, why does wall street have

cold feet on thiname, open toed for the most part. karen, you've been going through multiples and how it stacks up versus peers. >> yeah, really expensively is how it stacks up versus peers. the $5 off a they're on sale right now isn't enough to me. i mean, the growth is there, although the rate is slowing a little. if you look at on, the growth there. >> the sneaker brand. >> has a little bit better gross margin, but gross margins here are excellent. but if you compare it to something like a nike, which is wildly, wildly bigger, doesn't grow as much, for sure, but the valuation at 25 times next year's earnings, let's say, i -- way rather be in that than -- i don't get this. i don't get how this multiple should be here right now. >> how about you, julie? looks like you are agreeing with karen, though i feel like you might have a pair or two in your closet. >> i don't! my feelings are so hurt.

well -- >> guy has more than enough to make up for that. just kidding. >> you know, it's a good story, right? it's an old company, it is founder-led and all that stuff, the margins are great. but for me, i know that girlfriends of mine have four and five pairs, it's really hard for me to understand how they sustain the level of growth they have, and i think this early taper is an indication of, like, let's get out to the market while we have while we still have this growth. i don't understand this. all of their partnerships have been great, but those tend to be fads. at some point, people move on and they are just left with their german ortourists and soc. >> i like how she took it as an insult. maybe that's part of the problem. are you actually -- they said 3.7 pairs. >> right, something like that, per owner. right, so, julie and her cohort would seem to fit that, multiple pairs and a bunch of other people like guy, who own none, who is just a sale waiting to

happen. >> and tim also. >> yeah, i mean, again, there are few things you'll never see me wearing. and probably that joins crocs and a few other things. but the biggest issue here is, by the way, they should have issued this -- this ipo with a grateful dead bootleg. >> get that $10 billion valuation. >> but the problem is the valuation. the problem is totally the valuation. and if you strip out the price gains, the pricing power they've had, maybe that's where they get more of a multiple, but they grew 5% through the first nine months of the year. and that's not the kind of growth that you want when the company's priced closer to a lulu than it is a nike. and that's the problem. >> you closed your short on nike, by the way. >> i did. i think we got to a place here where it's hard to see the valuation get a ton cheaper. and i'm somewhat bullish on a bounce in some of the oversold stuff into the year end. >> not that i'm all that familiar with birkenstocks --

this company is 250 years old. >> been around. >> my sense is, if i'm thinking through it, the client base of birkenstock might be outraged that they went to the markets and are now a publicly traded company. just think about that for a second. selling out to the man. >> ben and jerry are furious. >> who is their clientele? >> clearly not you. do the math. >> 30% boomer, 30% millennials. >> and heading to asia. that's a whole new market for them. not buying it. there is a lot more "fast money" to come. here's what's coming up next. the streets are paved with gold. but should your portfolio be, as well? the metal bouncing back after a rocky few months. but is the move higher the new gold standard? plus, earnings season is fast approaching. so, what can investors expect out of this quarter's reports? why our next guest says it may be time to take some chips off the table.

you're watching "fast money," live from the nasdaq market site in times square. we're back right after this.

welcome back to "fast money." gold getting some of its sparkle back. the precious metal rising after testing its lows of the year. it is up 3% over the past week. silver on the move higher, up 5% in that same period. guy, you pointed this out. >> tim, as well. if the dollar had been a headwind, that seems to be abating a bit. that's number one. number two, we mentioned 100 times, last year, 2022, central banks bought a record amount of gold. they are on pace to do similar this year. again, it has not manifested into the price, but i've said this and i believe it, they are

hedging their own ineptitude. and you're waiting for a catalyst for gold, we may be seeing it right now. nobody is long of gold right now, to throw a little dennis garman at you. they will get long of gold significantly higher. when everybody tries to get in, the gold market is not -- >> what is significantly higher? >> through the previous all-time -- >> 2100 -- >> 2150ish, and then off we go. everybody's really critical, why didn't gold rally when we had the dynamics that were so gold-friendly? dollar rallied 8% and gold held serve, as far as i'm concerned. i think noly is gold very interesting, but i think silver is trading cheap to gold, if you look at that ratio. and then you get into precious metals. it goes back to the miners. a company in south africa, gfi, look at that chart. they had numbers out there. i think this is part of the next 18 months. gold is going to trade very well. >> karen? >> i've never gotten gold,

actually. so, when you say nobody owns it -- >> nobody owns it. >> so, who -- somebody does. >> we say nobody owns it, we're talking about the institutional -- the momentum -- >> the marginal buyer. >> gold is not on their ray dear. and this is going to sound -- until it is. and everybody -- all the systems get triggered at once. and that money that goes into equities, which the equity market can support, because of the size, the gold market cannot support the amount of dollars that i think will try to flow in. coming up, earnings inbound. companies and investors gearing up for the latest round of reporting. our next guest says there could be some upside in the short-term, but don't get too excited. why you might want to start 2024 on the defense. chris harvey with his take. "fast money" is back in two.

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welcome back to "fast money." stocks cs closing in the green a fourth straight day. the dow up 65 points, the s&p up about after what percent and the nasdaq leading the gains, up 0.71%. and long-term treasuries continuing to retreat from 16-year highs. the ten-year ending the day at

4.56%, that's its lowest level of the month. the 30-year at 4.7%. and take a look at microsoft afterhours. the irs says the company owes $29 billion in back taxes. microsoft saying it will contest the claims in court. like a party going on. very noisy. in terms of the -- we -- if you look at it through that prism, you weren't here last night, it's been a remarkable rally. >> it's been 30 bips. and especially in europe, it's been even more extraordinary. the dollar's pulled back almost 2%, so -- look, i think a lot of this has to do with the dynamics where we had that, i think, really, i think we had that moment on friday in that payroll number. that reversal was powerful. and it shouldn't have happened, given the fundamental news there. i think you also have a place where there are a number of very interest rate sensitives that have had a chance to take a breather.

and those are the parts of the market that are not the -- sorry, guy, the magnificent seven. >> oh. he's on board with you. you just like getting under my skin. can the folks at home hear the background noise? >> it's a soldout house here at "fast money." >> it's funny. you would think you were almost at a yankee game this is new to you, because at shea stadium, you don't hear a damn thing. >> shea stadium doesn't exist anymore, guy. >> sorry. >> where is the laugh track. sometimes we build in a funny. not so much. wells fargo has a message to investors. use market strength to take risk out of your portfolio. chris harvey is the firm's head of equity strategy. great to have you with us. >> great to be back. >> 50 points away from your year-end target at this point. >> about that. >> so, what do you mean by take risk out of your portfolio? i feel like risk is in the eye of the beholder at this point. >> that's a fair point. what we're saying is, the trading target, the trading range is -- it's 4200 to 6400.

up get up to 4600, and you can do a couple things. you can put some cash on the table, or, what you can do is start going back into those more traditional defensive sectors, right? right now, what we want to be, we want to be up the callalization, we want to be in the uber caps, that's the best risk/reward at this point. now, what we're seeing is a situation that's very similar to late '18 and late '21, right before the more defensives really began to outperform. so, i think that's where you want to go. >> so, uber caps, meaning the magnificent seven. >> twice. >> i use air quotes -- >> you are doing it on hump day. >> assign a descriptive -- >> month and a half before turkey day. >> is that -- those are risky or they're defensive? >> so, those are now seen as the more defensive names. and it's more than the magnificent seven. it's the 50 biggest stocks. they are trading at a slight premium. good valuation, good growth.

you have an a.i. kicker and you have pristine balance sheets. and what you're seeing is that rates were going higher. they just weren't performing. they weren't holding up, but now i think that creates an opportunity. >> unemployment rate, 3.7, i mean, we get a hot ppi today, market doesn't care. i don't know about cpi tomorrow. you think the fed's going to cut the back half of next year? >> i think so. >> but right now, what's -- there's no reason to even be thinking about rate cuts, it seems. i understand next year is a long way away, but still. the environment they find themselves in does not support a rate cut. >> no, it doesn't. you don't need a rate cut. what you need is, you need rates to stabilize, which is what they're doing. you need the fed to -- what got us here is people mismanaged the message. it was a treasury, treasury being much too aggressive in the middle of the summertime, it was the fed. now we're beginning to manage the message better, rates are coming down, we're going into earnings season , what we've sen

in the last couple earnings season, things are not as bad as expected. things start to rally on that news, and we can move higher, so, you don't need a ton. you just need a stabilization of rates, and you need numbers that come out. and i'm sure we'll see all that. >> so, in terms of the trouble on the horizon for next year, what sort of trouble are we talking about, and what downside are we talking about? >> a couple of things. the first thing i'll say is as we were talking about before, these defensive sectors are telling you that everyone's moved over to one side of the boat. people have taken on too much risk, they've left risk aversion for dead and that's a key signal. the second thing is, there is some sort of lag to monetary policy. we haven't seen that lag, and typically, that's not great for the capital markets. and the last thing is, people are telling me that we're going to have a great recovery. i just don't see it. how do you have this great recovery without a contraction, without a pull-back? there's no penaltt-up demand. i think you could have a

difficult first half. >> chris, thank you for coming by. >> thank you. >> chris harvey of wells fargo. julie biel, how are you playing defense at this point? >> you know, the same we kind of always do is buying good quality names. and i think this year has really been a great year for people who are just focusing on, you know, good businesses, because if you came into this year and assumed like everyone else that there was going to be a recession, you loaded up on utilities and super defensive stocks, you missed a massive rally. and so, i think if anything i learned this year, it's just trying to predict the macro is just too difficult. there's too million factors that are driving it, and then we have other geopolitical risk. so, i would rather just own good businesses and call it a day. >> well, i -- in speaking to that, i actually think, and i'll talk about julian emanuel, who is always on the desk and saying interesting things. he talked about correlations, a great stock picker's market, because correlations are really low here.

you find the great companies that have been beaten up, and you have a lot of different places. even with the banking sector. jpmorgan probably going to show growth in the 20s, and a citi that could be in the minus 20s. but you have banks that are trading at roughly eight times, trading at a 50% of and s&p multiple, which is significantly below -- not even close. so, i think that not only is the bar low and it's nice for banks, because they come in sometimes a little too hot, sometimes they come in weak, they are definitely coming in weak here. it is a time to pick stocks. it's a time to pick stocks and bombed out staples. the market's giving you a lot below those, yes, guy, those magnificent seven. market's giving you a lot of opportunity. that's great. >> what -- three times? >> twice tim, once for you. julie, do you have any interest -- >> i don't want to poke the bear. >> why not? >> too scary, even from here. >> okay. poke, poke, poke.

y julian emanuel will be here on monday, by the way. coming up, delta on deck. how will the airline post earnings results? we have the options action on this one. and cnbc is celebrating hispanic heritage. here's more from verizon. >> our greatest superpower is the collection of unique attributes that make us one of a kind. we represent different cultures and face different circumstances that mold who we are, creating valuable perspectives and innovations. as hispanic leaders, it is important to be latable role models. real life manifestation of someone's aspirations. that's why it's so important to celebrate hispanic heritage. own and honor your story. harness the power of what makes you you, and pay for forward for the ben fit of generations to come.

welcome back to "fast money." earnings season on the horizon. we're getting a taste of the action with delta results due out tomorrow. the airline losing 25% over the last three months, but options traders may be betting that cabin pressure could be over. mike khouw's got the action. hey, mike. >> hi there.

yeah, so, delta traded 2 1/2 times its average daily options volume today. right now, the options market is implying a move of about 4.5% higher or lower by the end of the week. but calls did outpace puts and the most active contract were the weekly 35 strike calls. we saw over 5,000 of those trade for about $1.35 a contract. those are slightly in the money. the buyers of those risking 3.75% of the current stock price, making a bullish bet that the stock could catch a bid here. >> yeah. tim? >> greatest trading stocks in the market, it's time. and it is time. i mean, guy mentioned this a couple nights ago, around this 35, 36 level on delta, they, by the way, have not told you anything subject to the macro that's hurt their business. we know what oil prices have done. we know these guys are pretty masterful at hedging. i do think the consumer's travel penchant will slow down, but right now this is a multiple you can stand behind and a trading range. >> in line, which is probably reasonable, given what -- stock's up 8% on earnings.

49 down to 35 that was the move. i think it trades to the low 40s. >> mike khouw, thank you. do not miss an exclusive interview of the ceo with delta, 7:00 a.m. eastern time, right here on cnbc. coming up, how much higher can nvidia run this year? some wall street firms are betting on sky high moves ahead. the details and the trade next. and here's a sneak peek at the cramer cam. jim is chatting with the ceo of intuit. full interview, top of the hour on "mad money." meantime, more "fast money" in two.

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we had the ceo of nvidia in last week, i don't think i've ever seen a ceo so -- let me put it into the right terms. calmly confident in my entire life. i've never seen someone so completely relaxed and confident about their prospects in my entire career. >> convincing then? >> yeah. >> that was steve eisman last night talking about nvidia. the stock popping yesterday after bullish analyst notes. cowen raising its price target to $700 from $600. karen, can you get aboard 700

bucks a share? >> that's a bit of a stretch, but -- i mean, as you said, i don't think it's super crazy right now, given what the environment is, the ozempic, i guess, of the a.i. space, but -- i do think it's -- i do think that it has cooled a little. so, i have a position, i'm probably going to sell some upside calls going into earnings. expectations will be sky high. they'll have to beat the number. >> semis overall as a group, i just want to point this out, are taking leadership again. if you look at the outperformance to the s&p over the last three weeks, and again, i'll reiterate that the nasdaq 100 finished at a fresh high to the s&p. the semis have the momentum. >> julie biel? >> yeah, i mean, i think it just depends on the semis, but i think for sure nvidia has such a strong competitive position and it's differentiated in terms of

software, so, it has real stuff around it. this is a hard place to play, but this is the best one of them all. >> right now, the market seems to be pricing in about 60%ish eps growth and about 37% revenue ish. that's what is seemingly priced in. if they hit those numbers, you know -- can i play the role of dan tonight? >> which -- >> have at it. >> have at it, people. >> but in line or miss, and then you start to get into some -- are we seeing a deceleration, or, potentially, did we see double or triple ordering? that's the other side of this equation. >> all right, let's get to boeing. shares lifting off today after ubs said it would rally more than 40% here on aircraft demand. the stock is up 49% from a year ago, but down nearly 17% in the last two months. tim? >> i think boeing really had a tough time with higher interest rates, as well. this is often, when you're

buying boeing, it's a free cash flow story. so, to the extend that some of the dynamics in terms of their cost to capital, but this isn't a company that borrows at high rates. i mean, they have a very solid balance sheet, but i will say, that was the correlation, it took this stock down from 235 and one of the best charts to one that's really traded down almost 20 straight sessions or so it seemed. the upgrade is about both demand and just some stability under that 737 max. but the best part of the valuation story here really should be at the 787 level. that's where they make their money. i'm long boeing, it's been frustrating. but they're back on the beam. >> guy? >> if you want to do levels, i'm not saying it's going there, 180 would be a great entry point. that would basically be the 50% retracement of that recent high we saw, 240ish, and that low of 120, believe it or not. that makes sense, and we're not that far away. >> yeah, julie, where are you on boeing? >> yeah, i mean, i agree -- i

agree with tim, i think the 787 is for the long-term probably one of the best planes out there. it really opens up a lot of routes that are difficult to fly, and it sort of staunches out competition, so, it's a strategic play and where they make a lot of money, but at the end of the day, they still have to make their 737s work and i think that's been kind of the challenge for them, so -- long-term dynamics are very positive. short-term, it's probably choppy. >> all right, up next, final trades. ♪ my name is josh sanabria and i am the owner at isla veterinary boutique hospital. i was 5...6 years of age and i knew i was going to be a vet.

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timing is everything, so make the smart investing choice today and head to vectorvest.com for your risk free trial. final trade time. julie biel? >> i agree with the regulatory reporting for the glps, so, i like west, because it is just drug delivery. >> tim? >> yeah, that ibb, but another major component of it, biogen, also endorsed bid jared a couple of weeks back, biib. take a look. >> karen? >> yeah, i'm starting to think this rally, this bounce-back, has been a little too much too quickly, it's almost, i don't know, almost 4%, so, i bought

some s&p puts today. >> a lot of noise in the crowd. shoutout to the folks at st. thomas aquinas here in the house. medtronic. >> thank you for watching "fast money." see you back here torr at moow 5:00. do not go "fast money." see you back tomorrow at 5:00. "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 teach you. call me at newsom or tuite me @jimcramer. well need to talk about how professionals buy and sell stocks because they don't do it like regular people. if i am th