tv Mad Money CNBC October 9, 2024 6:00pm-7:00pm EDT
6:00 pm
ruben, whose birthday is today. good-looking man. >> stunning. >> stunning. >> where is big brad? where did he go? >> he's blushing out there somebody. >> he works at nbc. international business machines, melissa. >> very good. thank you for watching 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." i'm just trying to make you a little money. my job is not just to entertain but to teach you. call me at 1-800-743-cnbc or tweet me @jimcramer. we have so many villains in this country we can fill
6:01 pm
stadiums and quickly run out of room. google is not one of these miscreants. it's been an incredible equalizer and has tremendous system to give you more information at your fingertips than any other company. it is so powerful that the chinese communist party tried to ban it. on a day when the dow jumped 432 points, google stock was crushed. why? because the justice department decided it is too powerful, too abusive of everyone. customers, heart nurse, you and me and it needs to be punished. maybe even needs to be broken up. now some of those like standard oil and ma bell which generated tremendous value. they don't want to create value. the justice department wants to be sure google is some sort of common carrier of information. they may want to install a court-appointed committee that
6:02 pm
helps administer remedies in the section including by monitoring circumvented or retaliatory behavior. why not? if you believe in the monopoly ruling from over the summer, google is a decade-long monopolist that requires a hobbling. not like kathy bates gave james kohn in missouri. yes, it is that punitive. i defy you to find any regular people in this country that think google is a bad actor. googles the most incredible bargain in the world. you barely notice for anything. the companies that don't want to advertise with them, you can always make a deal with trade destiny. the brief that the justice department filed is full of bile toward the company. to read this you with think google is a cross between lex luther. somehow they make it seem like google is dominating markets that it is losing in like the generate of a.i.
6:03 pm
sites like chat gpt. i certainly won't miss the ruthless prosecution and hectoring of big tech, the best companies we have, the best companies in the world. these companies have done amazing things for the american people but they are vilified by the justice department, antitrust division and federal trade commission. think about it. as the ftc watches as you want to bring amazon down? do you know how many businesses have gotten their start on amazon? in a country ravaged by inflation do you know how much we are saving using amazon? amazon is like a one-man deflation machine. it is convenient. people don't have to leave their homes and take small trips to stores when it is cheaper through the internet. you order it in the morning and
6:04 pm
it will be there when you get home from work. amazon has a web services division that saves businesses hundreds of dollars. if it is so pernicious how could there be more than 200 million prime members? that's what we need to be protected from? how about the 1.5 million people that have their salaries provided by amazon. if you work there they have incredible benefits. if that's a villain i say, give me more villains. you want a real bad actor? how about apple making such bad phones. how much does the government despise the app store business where they get a chunk of every transaction? without the app store it would be incredibly difficult for most subscription businesses to stay in business. it is how you get customers. do i want to give them a huge chunk of the subscription dollars? of course not but i would rather have 70% of some than 100% of nothing which is the alternative. the justice department is investigating nvidia for dominance in the chip market.
6:05 pm
they invented the chip market. it would not exist without them. should we blame them for making such a tremendous product it created the entire industry? they on the product because they spent tens of billions of dollars developing the chips. they made a huge bet on artificial intelligence. it could have blown up in their faces. the risks were enormous. should they fund startups to take away the market share? how about a special monitor to make sure it doesn't get a lead over the competition. maybe the ceo will work from home like everybody else and then maybe they could catch up. we know that these tech companies are powerful. they are supposed to be powerful. have scale and competitive modes and pretty much else they needed to win. believe me. these companies are the envy of the world. some of them the people's
6:06 pm
republic of china is actually afraid of. some spend so much money trying to prop up companies they consider national champions, but what do we do? we need capital. if the courts agree, your prices are coming down. they are going up. we heard these companies too much and we don't have to worry. the prc will come in was something subsidized by the government that will happily step in the void. one more thing. have you noticed the wealth created by these companies? do you think it is being hoarded by the executives? no. you can on the stocks right beside them. as i tell cnbc investing club members daily you said. i find this pointless and anti- american. sadly it is the american government so upset and insisting that tech titans should simply be less good. to which, i say good for who? good for what? certainly not us. let's go to dan in georgia. >> hey, jim.
6:07 pm
>> what's happening? >> i'm going to ask you the same thing. what is going on in magenta land? my t-mobile stock has been killing it all year. >> that is sievert. they have a great team. they will sell a lot f iphones. i think t-mobile -- one of the things about apple. every time it went down i should have pulled the trigger and it didn't and it's going higher. let's go to gary in west virginia. >> booyah, jim. thank you for helping us little guys. >> in the end everybody is little. >> how about ford. i bought it at 12 and i've been holding on it. should i give up? >> i gave up on ford. they would have been buying back stock and over fist like gm . i picked the wrong horse. sometimes that happens. these big tech companies
6:08 pm
are the envy of the world. i find the investigation wrong, pointless, and anti-american. pepsi got slammed in the market yesterday. they finished up 2%. i will give you my take. we will continue on companies that surpassed earnings growth and valuation. and we have our homework a little bit. no more procrastinated. i'm looking at an energy stock that you called about so stay with cramer. don't miss a second of mad money. followed @jimcramer on x. if you have a question tweet him. send an email to madmoney.cnbc.com or give us a call at 1-800-743-cnbc. miss something? head to madmoney.cnbc.com
6:09 pm
it's all the things that keep this world turning. it's the go-tos that keep us going.. the places we trust. hang out. and check in. they all choose the advanced network solutions and round the clock partnership from comcast business. powering more businesses than anyone. powering possibilities. new projects means new project managers. you need to hire. i need indeed. indeed you do. when you sponsor a job on indeed, it's easier for talented candidates to find it. which makes it easier for you to hire them. visit indeed.com/hire
6:11 pm
whichhow do i notsier forbreak the bank?"m. we gotcha, pete. xfinity mobile was designed to save you money and gives you access to wifi speeds up to a gig. so you get high speeds for low prices. better than getting low speeds for high prices. right, bruce? -jealous? yeah, look at that. -honestly. someone get a helmet on this guy. xfinity internet customers, ask how to get a free 5g phone and a second unlimited line free for a year. switch today!
6:12 pm
even though the marathon known as earnings season does not kick off until friday we got a chance to do some warm-up laps when pepsico reported yesterday. when those numbers crossed the tape that 6:00 a.m. i was ready. when wall street got its first taste the initial reaction was disappointment. despite the initial, the stock finish the day nearly up 2% and rallied another 1.2% today. so how did that go from having disappointment for breakfast to delightful post-earnings. i want to walk you through. it is really fascinating. the key piece of the stock is that pepsico was just under $180 . by the time the earnings came around it was already down to
6:13 pm
$170. when the fed starts cutting rates it is a habitual thing. there was an avalanche of negative. on september 20 they cited weaker data and worsening trends in market data. they are worried about the frito lay business and north american beverage business especially gatorade. wall street was just getting started over sharing the negative expectations. when you get a downgrade that moves the market and other start coming out echoing the sentiment instantly. wouldn't you know it? just a week later we got a -30 day catalyst watch. then for both beverages and snacks, citi said to expect week growth. then they joined the party with the taylor swift theme hit piece titled cruel summer.
6:14 pm
mad money, you cannot hide from taylor swift. she is everywhere. and a persistent weakness and north american snacks and beverages giving consumption trends in the category of the market. they expected only 1% organic revenue. barclays joined the fray by saying they expected pepsico to cut its full-year outlook. the very next day, rbc said they are due for a salty quarter without much chance for upside. needless to say if you read these notes heading into the quarter you knew not to expect a home run like i do tonight for harper. they said it is supposed to be a disgraceful strikeout mike i expect from boeing. so what happened? it all played out as it should. for the for -- third time they missed goals coming in at 1.3%, not good. much like many of these analysts predicted much of the shortfall came from sales of
6:15 pm
frito lay and beverages. after weeks of everybody on the mother telling me to expect the revenue nests -- miss emma stock had already fallen in less than a month of is no surprise here. even though pepsico was the talk in premarket training it rebounded because i told you what was going to happen. if you are prepared enough to read the remarks are disciplined enough to wait for the conference call management gave you several positives to turn the stock around. everybody's worried about frito lay business but management said they have shifted the focus toward offering better values. they are offering bonus packs that give 20% more. this is paying off which is why it improved over the course of the quarter. the cadence got better. the same for pepsico north american business with gatorade gaining share in the quarter. so much for morgan stanley. with all the worry about beverages, while revenues did miss expectations the revenue
6:16 pm
grew by 7%. the court operating margins expanded by 90 basis points despite a double-digit increase on spinning on its own market. very impressive. this ability to generate market expansion is impressive because they can still grow earnings despite headwinds that led to the cut of revenue guides. that's why management reiterated the focus of 8%. not too bad for a simple consumer packaged goods company and the will take away from many people about how it really was they emphasize certain low margin products and combinations while celebrating -- accelerating productivity. they cut cost of a quarter. pepsico is very conscious of where consumer trends are going and what kind of food they want . when asked if there were any structural changes to consumer habits, they are getting killed by these weight loss drugs they
6:17 pm
are looking for more permissible snacks and structured meals. that means snacks that are healthier. and structured meals are more like mini meals. like some hummus and a banana as opposed to rotisserie chicken. pepsico also have several permissible snack items like likely salted and baked chips not to mention some chips, pop corners, and smart food. they seem serious in this direction with the acquisition of the better tortilla chip offering. stocks react expectations. when it comes to pepsico everybody expected a really bad quarter which is why it held up so far going into the report. once we heard the numbers and the commentary it was bad which allowed pepsico to rally very nicely. this is something you need to keep in mind as we head into earnings season. if has a ready sold off hard it is very difficult to keep going down unless the numbers are shockingly horrible. nothing shocking about pepsi.
6:18 pm
mad money is back . coming up, part three of cramer's ongoing stock screen from one type of pipeline to another. he's got means to watch, next. after last month's massive solar flare added a 25th hour to the day, businesses are wondering "what should we do with it?" i'm thinking company wide power nap. [ employees snoring ] anything can change the world of work. from hr to payroll, adp designs for the next anything.
6:19 pm
ah, these bills are crazy. she has no idea she's sitting on a goldmine. well she doesn't know that if she owns a life insurance policy of $100,000 or more she can sell all or part of it to coventry for cash. even a term policy. even a term policy? even a term policy! find out if you're sitting on a goldmine. call coventry direct today at the number on your screen, or visit coventrydirect.com.
6:22 pm
to be selective about picking stops in this market run. that's why am rolling out my new rubric, the yev test. that is yield, earnings and valuation. lot higher than a 10 year treasury note, pastor earnings growth and cheaper than the s&p. right now we need earnings growth above 14% and stocks that sell for less than 21 these numbers. there are only nine that pass this yev test. i like two and i'm skeptical of the others. tonight let's focus on the one offs that should work in the spot. first up is bristol-myers squibb, the pharmaceutical giant we checked in with last week. they have a 4.55% yield and it also looks incredibly cheap on 20/25 growth because they are taking at big earnings hit this
6:23 pm
year related to the position. they are looking at above 800% earnings growth next year. i don't care if they made the yev list loophole. i think it is a great time to consider buying this one. if you are thinking about the 2024-2025 earnings estimates i think you are missing the whole story. i think they can deliver it's just a matter of time. remember bristol-myers had a big downturn as the cancer franchise fell behind mark and the acquisition was not in retrospect fairly worth the price. they had a down earnings year in 2023 for the first time in a decade. things look grim especially with patents running out for some other talk drugs. now chris taking over as ceo over a year ago he got started with a bag. a month later they had to two deals first acquiring corrina therapeutics.
6:24 pm
just days later buying a camper -- cancer focused biotech company. this is on top of the therapeutics that we learned about just before he took over. suddenly we have the makings of a plan but wall street did not seem to care because stock kept thinking. they reported april to the full- year earnings forecast a patent charge. not a real charge. they found the footing in july down 23% for the year but since then things have come back. first the reported that her than expected quarter in july and raised the outlet by 36%. then they got the first big payoff from the late 2023 takeovers spree a drug got fda approval for treatment for schizophrenia. it is revolutionary because it's the only one that does not have life ruining side effects. bristol-myers is much better
6:25 pm
and bigger ambitions. they are citing a treatment for adjunctive schizophrenia and psychosis in alzheimer's disease with implications coming in 2025 and 2026. others are possible. polar disorder, alzheimer's, even autism spectrum disorders. nearly every schizophrenia treatment is approved for other types of psychoses. i bet this will follow but just without the side effects. every single approval will make people excited about owning the stock? you still have to worry that they are losing patent protection but with all these acquisitions i think they have enough quality drugs to come out in much better shape. i would be a buyer. what else passes the yev test? oneok which is a pipeline . i recommended it last year and it's up 43% since then.
6:26 pm
i like these operators on general because they are like toll roads. it is so hard to get regulatory approval to build new pipelines that we have a severe shortage in the country. at the same time we are producing and exporting record levels of oil and gas which means more demand for one of them. the other thing, they tend to have perfect dividend yields. even with oneok's huge run it is still superior and getting better as long as loan rates come down which is inevitably what happens when the federal reserve cuts rates. oneok also raises its dividend. you have to raise distribution. like most pipelines it's organized as a normal business and not an mlp. that makes for a cleaner government structure. it is focused on infrastructure for natural gas but shelled out for a company would like very much called magellan partners last year. they are more balanced with
6:27 pm
natural gas. i like that also because the big opportunity is in lng. it's another with an outside payout which will look even better when rates start falling again, something i expect even as loan rates have been creeping up higher since the september meeting. it's a great option for somebody that wants energy exposure but don't want oil and gas prices with the multi-front war in the middle east. here's the bottom line. when the outlook goes up you need to get more selective. that's why we created the yev test which has great options like bristol-myers squibb or oneok. we have two more to cover so come back tomorrow. let's speak to sheldon in california. >> hey, jimmy. how's it going? >> chill man is happy. how are you? >> i'm doing good.
6:28 pm
i have a question for you. looking to open a position and the stock has recently sold off. it's at its 200 day average. should i buy now or wait until after earnings? the stock is regeneron, regn. >> the stock is up only a cool $1007 since we first had him. i would say, yes. they have a lot of things going in the pipeline and the stock has come back down. they recently had an interesting piece that i read about how they are working on something really good that reduces fat and not protein in the glp-1 category. let's go to randy in california. >> this is randy from huntington beach, california. >> nice. what's up? >> i want to ask about this company, over 200-year-old company owned by the family and a powerhouse in the renal industry. it is fresenius medical care.
6:29 pm
>> they are not going to set up the world on fire but they are good. i like fresenius. next up i have to my research and i'm ready to turn in the report on the stock. next up, i don't think it is a horse race. i think there's one clear winner after we get the calls in the lightning round. stay with cramer.
6:30 pm
it's time. yes, the time has come for a fresh approach to dog food. everyday, more dog people are deciding it's time to quit the kibble and feed their dogs fresh food from the farmer's dog. made by vets and delivered right to your door precisely portioned for your dog's needs. it's an idea whose time has come. ♪♪
6:33 pm
a stock that i either don't know or haven't been following regularly i promise to circle back and put it in the homework pile. on september 9 jim in florida asked about nextera energy partners. he was looking for some clarity. for that reason i told him i needed to take a little dig. this was a hard one to figure out. nextera energy partners was set up at decade ago by nextera energy that owns florida power & light and many renewable energy assets. many will drop down assets to subsidiaries that are structured as limited partnerships like this one. it lets you take advantage of the tax code. they control the majority stake but can also get money from outside investors by selling shares in these things. limited ownership subsidiary will payout the vast bulk of its earning to shareholders in the form of evidence. nextera energy partners lp was
6:34 pm
established on certain contractible renewable energy assets from the parent nextera. that includes wind, solar, and solar storage projects plus one battery storage product and natural gas pipeline in pennsylvania. this one is about wind and solar. for seven years or so everything was working out really well. the business acquired more and more assets which allowed it to grow distribution. as distribution grew stock rose higher and higher from the original price of $25 all the way to $88 and change late 2021. over the last few years it has sadly come undone falling over 70% from its late 2021 highs back to the mid-20s today. there was a gradual decline through 2022 before a huge sudden decline last year and it really has not recovered since. so what the heck happened?
6:35 pm
how did the story fall apart? at first the market turned against anything related to clean energy after the fed started raising interest rates. it also made dividend stocks less attractive. they had a normal yield, the big break down came last fall when they announced they were revising the long-term distribution growth rate target from the previous 12% to a new target of 6%. with the highest interest rates it had limited financing options making it impossible for the company to grow as fast as before. they need to purchase power generation facilities to grow. they can't do that it can't grow payouts. hard to see this one coming but there's something else going on here. this gets a bit complicated. starting in 2018, nep began financing asset purchases was something known as convertible equity portfolio financing. these financings institutional measures provide upfront cash to help acquire assets and in
6:36 pm
return they get a committed portion of the asset cash flow. after several years, nep has the option to buy out its investors which you would usually do bite issuing shares. they love the financers because they did not count as debt on the balance sheet. when the company started losing value in 2022 and 2023, gradually at first but then suddenly when they up dated the distribution growth targets let's just say the whole process blew up. it made it much more difficult for them to buy out investors who participated in financing. if they had to issue new stock to buy the investors out they would've had to create way too many shares. it would have been hugely deluded and everybody would've been furious. now nep is in a bit of a pickle because it has cepf buyout options coming due between 2025 and 20 to 32.
6:37 pm
if they choose to exercise the options as intended they willfully own the underlying assets but it's not clear how they get the cash to pay for this. if they don't much of this will go to the investors not nep. therein lies the problem. the company has addressed the issue by selling some assets which they said they would fund cepf by up through 2025 but there are so many overall. if there is one thing that is clear about the story it's that nextera energy partners will have to cut distribution. a 14% yield is not long for this world. to me that makes it untouchable at least until we get details for exactly how much they will be cutting the payout and how they will raise money to pay off the financing partners are just mentioned. now wait a second, i tell you that not everybody feels as negative as i do. this coverage for the by rates
6:38 pm
in the expect a 50% distribution cut. they are great because they think it is baked into the stock and 7% is already pretty good. that cut the distribution in half and they can fund the cepf buyouts for several years using only internal cash generation. don't forget that nep is a subsidiary of a big company nextera energy. if it gets involved that would solve everything . to my friend jim in florida, that is what is going on with nextera energy partners lp. that's why the yield is abnormally high. don't worry about the contrasting elements. the key here is cash available for distribution and the key matters is how they plan to handle financing matters over the next seven or eight years. for that i am not sanguine. generally you don't want a dividend stock going into a big dividend cut. that is true for nextera
6:39 pm
energy partners and that's why it would not touch this stock. mad money is back after the break. coming up, hit us with your best shot. and electrified, fast fire lightning round is next. your record label is taking off. but so is your sound engineer. you need to hire. i need indeed. indeed you do. our advanced matching helps find talented candidates, so you can connect with them fast. visit indeed.com/hire
6:40 pm
ah, these bills are crazy. she has no idea she's sitting on a goldmine. well she doesn't know that if she owns a life insurance policy of $100,000 or more she can sell all or part of it to coventry for cash. even a term policy. even a term policy? even a term policy! find out if you're sitting on a goldmine. call coventry direct today at the number on your screen, or visit coventrydirect.com.
6:42 pm
lightning round is sponsored by charles schwab. trade brilliantly. >> booyah, jim. i love you. >> thank you for the wonderful advice. >> i love you so much. >> i want your program every day. mother. >> i've always wanted to say booyah on your show. >> we thank you for all you do. >> i love your show.
6:43 pm
>> we think you are the most entertaining program on tv. it is time for the lightning round. and then the lightning round is over. are you ready? time for the lightning round. susan and new york. >> hi, jim. >> susan. >> i'm a second time color and a very long time fan and fewer. thank you for everything you do. >> thank you very much. >> you re welcome. i was wondering if you could give me your thoughts and maybe possible strategy on what i should do about covid -- [laughter]
6:44 pm
nextera grip. >> don't touch it. if it comes down with a 10% drop i would be a buyer. that's how much i believe in the stock long term. let's go to bill in massachusetts. >> jimbo, six months ago we talked about this stock and i wanted to know if it was still in play. the stock is reddit. >> i like reddit very much. steve hoffman is doing a remarkable job. let's go to john in new york. >> jim, first-time caller. thank you for taking my call. >> of course. what's up? >> just thinking about smci. >> it is too hard. does go get nvidia. they had a terrible last few weeks but i want you to get
6:45 pm
nvidia not smci. mike in pennsylvania. >> jim, booyah. >> booyah. >> i started with you on saver. i called in the morning. >> how great are they. >> i'm a club member going into mile. >> we have a big meeting next week. i want you in on that call. thank you so much. >> so, question. six or seven months ago you said everybody has to own ge healthcare. i owned it, it went up and i sold it. is now a good time to get back in? >> it just had a good run. i would not be surprised. i feel like many analysts hate it. i would wait for another downgrade and then buy more.
6:46 pm
they will flinch and downgrade. they hate the stock. let's go to john in south carolina. >> jim, first-time caller, long time listener and member of the investing club. >> thank you, thank you, thank you. >> i have a question about mccormick. you talked about it last week but since then there has been a couple of price revisions. today a couple of the board or senior leadership purchased stock. i would like to get your take on a good entry point. >> i think buying it right here is a good idea. i agree with you. i thought mccormick did a very good job when the company was on the how. i have to tell you also i know it is a staple and the staples are out of favor with the fed cuts but i think they are doing a really good job. brendan foley slain the situation very well. let's go to lou in pennsylvania. >> hi, jim.
6:47 pm
i'm sure you hear this many times every day from your viewers but after calling mad money yesterday >> it today partially answered my question about glaxosmithkline. >> that was huge. i was waiting for that. they have the settlements behind them and now they are moving on. let's go to john in florida. >> hey, jim. first i just want to say thank you and think your team for helping me make money for over a decade now. including getting me and early on jensen. >> that is some train. how can i help you? >> all right, not too long ago you had the ceo of cadence design systems. i built a position. the stock is up since then but over the past two weeks one analyst issued a sell rating
6:48 pm
and another issued a hold rating. the question is, should i stay long or take a quick profit? >> not an issue. stay long. i just checked in with them again. they are doing incredibly well. stay in. thank you for those incredible comments. let's go to julian michigan. >> hi, jim. >> how are you? >> i'm great. i'm a club member and have been listening to you since the radio. >> incredible. what's up? >> i heard your interview with next tracker ceo. i purchased the stock in the mid 30s and i'm wondering the next trajectory. >> i talked about someone's when i have winners. when i have a looser i have to talk about them. this is a loser.
6:49 pm
i got too enthusiastic. i thought the ceo told a very good story but it was uneven and now we need many things right before it comes back. we are not buying anymore until we see something positive. i want a little more exposure risk. sometimes i have to do a better job. i did not do the job i thought of here and i blame myself, not the ceo. let's go to sunil in massachusetts. >> hi, jim. i bought equinor. should i hold or sell? >> it's okay. i'm not encouraging buying in that sector. let's go to craig in texas. >> hey, jim. great to talk to you. a big booyah from the beautiful texas hill country. >> fantastic . thank ou for calling. how can i help?
6:50 pm
>> i'm interested in how companies will navigate the challenge of a.i. in options just given the difficulties in finding or developing the necessary talent to rapidly scale their own resources. i am looking at accenture. >> great call. nvidia and accenture have a fantastic relationship. a lot of companies call and say how can i get integrated. they just really are good. i think it is a great buy. let's go to shane in california. >> booyah, jim. sending prayers to our friends in florida. i am a long time listener but first-time caller. i wanted to thank you for all you do for individual investors. my question for you is on dj t. i know you are a believer in fundamental analysis and looking at revenue, earning and all of those. when you have
6:51 pm
limited reporting and fundamental analysis is not available, do you flip to technical analysis to try to make an investment decision? >> i will tell you. if i do not understand a company, the technical analysis might inform me of a better decision. for that company i just don't understand it. i'm sorry. for that, ladies and gentlemen, is the conclusion of the lightning round. >> the lightning round is sponsored by charles schwab. coming up, trot out the horserace analogy. jockeying for profits in a three steed derby, next.
6:53 pm
6:56 pm
when i was living in my car in california, i had quite an affinity for the ponies. i love horserace is. you know what? i still like the thoroughbreds. i'm talking about the endless horserace among microsoft, apple, and nvidia. the race for the largest company on earth. who is placing it? 3.25 trillion and just showing
6:57 pm
at 3.1 trillion. nor do i like comparing the net worth of nvidia ceo to the market cap of intel or boeing because why shouldn't he be worth that much. as babe ruth said when he was comparing i had a better year than hoover. lobar. i know many of you think i am drinking the kool-aid straight from nvidia's water fountain which is why want to give you a refresher on why i believe in it and why you should not get hung up on the magnitude of its market capitalization. every time it passes a market i hear that it is over. in their case that will be a very long time from now. here is one. almost every company that competes has limits. google and meta are advertising
6:58 pm
mergers. nvidia just makes the best most efficient computing power on work -- earth. nvidia is an inventor of pretty much everything it wants to invent because everything needs to be digitized and they have the equipment to digitize. the platform get smarter and cheaper. the more these big companies the bigger the return. it's a deflationary machine with a great return on investment. think about it like this. you need a simulation brain and a training brain. if you believe in autonomous driving they will dominate what could be the biggest market in the world. you need robot brains, healthcare brains, industrial nvidia. there is no zero some. it's more of a rising tide lists all customer boats.
6:59 pm
it is so good it's giving birth to entire industries. if meta wants to compete with chatgpt or anybody else he just calls jenson wong. each iteration creates more computing power and the demand is insatiable. it probably always will be. nvidia is where you get it. the customers will never run out of demand. let's stop trying to figure out who wins the horserace. there is no horserace. there is just this one company out there with products that are faster, smarter, and better than everybody else's, a company that can raise everybody's gain . one of the most thoughtful and intelligent geniuses i've ever had the pleasure to meet. that's why i say, nvidia own it.
7:00 pm
don't trade it. and if you insist, nvidia's secretariat. he won by 31 lengths, the greatest margin ever. the others are still out there running. like i say there's always a bull market out there somewhere. i am jim cramer. see you tomorrow. richard branson, joins the tank. what i love about "shark tank" is everyday people solving everyday problems. if you know anyone that owns an airline, let me know. this is not a cheap business to get into. this is a completely different business. - last year was about $3 million. - wow. the only way to figure this thing out is to study people's dna. i'll make you an offer, but i want you to say yes or no right now. - well, we have a guest here. - forget him. isn't that a great offer? what would you offer for two or three sharks? uh, depends on the sharks. what? narrator: first into the tank is a product created to solve a problem the entrepreneur had
21 Views
IN COLLECTIONS
CNBC Television Archive Television Archive News Search ServiceUploaded by TV Archive on