dow. record high for the russell 2000 first time we have seen that in three years. we will continue to watch how the rally continues to broaden out as we get more tech earnings here on "overtime" tomorrow and. >> and get more tech earnings in "overtime" tomorrow. >> start getting the christmas lists together. >> that will be a key one with the a.i. read. we will be watching that here 24 hours from now. that does it at "overtime." >> "fast money" starts now. live from the nasdaq market site in the heart of new york city, this is "fast money." record-breaking rally, the dow closing at new records, the s&p and russell hitting new highs today, too, what is driving the slow grind upward and ask traders how long the good vibes could last. plus, building gains. home builders and everything that goes into your home having a day as yields move sharply lower. is this a rebound you can believe or is it just smoke and mirrors? we will debate that.

and later, airlines fly high. is there a new driver fueling their climb? a speedbump for tesla over the last month and why the president-elect's pick to head the fda got the blood pumping and shares of hims. we'll explain. i'm melissa lee from studio b. on the desk tim seymour, karen finerman, steve grasso. we want to start off with major moves ahead of black friday and the kickoff to the holiday shopping season. check out shares of the xrt up over 3.5% today, more than 12% already this month. look at the moves today in bath and body works on an earnings beat and raise guidance. a host of our beaten down names posting strong gains. the that are stores, 5 below, even target. and with a host of names, kohl's, in nordstrom's and dick set to finish on a high note. is the consumer going to show up. >> the consumer is showing up. and the consumer is showing up

relative to what we thought would do. i was negative on discretionary for a while. the xly versus the xrt, outperformance in the discretionary stuff, i think the expectations for names we talk about regularly on the show and we talked about the obvious ones like a nike and lulu that have issues these companies are dealing with, but the overall sentiment around discretionary spend is remarkably changed. it's changed not only as the labor market has, i think, reinforced its strength and stability but also there is a sense post election there will be both relief for consumers, more tax cuts, whether they happen or not. the market is betting on that. i think as we look to the holiday season, there's no question for the last, really, week to two weeks, that xrt move is almost 10% over the last three sessions. so i think it's going to continue, and we all know the seasonal dynamics for the market that almost begins today and goes to the day before new year's. everyone has these stats. i do think it's a case where buying retail, buying the parts

of the economy that show cyclicality are places to be. >> so i think a few things happen in retail. one, i think -- remember, these numbers are just for the quarter that's likely ended october 31st. >> right. >> right, so i think there's even more good news to come because we've had the -- regardless of how you felt about the election, it's over. >> yeah. >> there's certainty there. that is a good thing. the stock market is up, and so you have people feeling wealthier. and so i think the valuations are so low, where is there any kind of value? that's another thing driving it. on the flip side, though, i do think what happened to target with this issue of how do we get more goods in because we don't know what we're going to have to pay for them next year, that, to me, is one fly in the ointment. >> right. but oppenheimer is making the case you look through that and the valuation for target at this point is so compelling -- >> yes, target.

the target/walmart divergence, and i realize walmart has been crushing it, and it's vastly bigger and has advantages, food and all that. at 14 times versus 35 times, i don't think it has been this wide in at least five years. >> amazon's kind of interesting to me. they have that black friday nfl game. they have nba. i think that's an interesting way to kind of program a little bit, live programming, it's on friday. people go to the malls or the brick and mortar stores. if you love football and you like the idea of not waiting in lines and elbowing people for whatever, beanie babies and the like, you can sit there on your phone -- >> you just dated yourself slightly. >> when you think about after earnings stock, had a big gap. retail is doing well. aws had inflected a little bit off the lows. i think this is one that might power into year end, and that's how you set it up a little bit. the stock got up to 215.

came back to $200. i bet you see this thing making new highs at some point next week. >> i don't like the catch-up trade. target sort of gave us that catch-up trade summary that you can't really buy something just because it's underperformed. so to rip through these chars, walmart, costco, tjx, burlington, jwn, those are the charts that are worth buying, the most consistent charts if you want to buy -- >> consistent in what way? we showed a chart of walmart/costco, they look consistent to me. >> yes, those are the ones i would buy. i would buy the winners. >> the ones that are going higher. >> the ones that have proven they have efficiency, they can handle the supply -- >> despite valuation. >> despite valuation. at this point you can get the once-off bounce, like we said today at the opening, target had a bounce, but look at where target came from and fell into the abyss. so you probably will die a lot by trying for a one-day bounce.

>> if you look at the cross currents today, the news around the new treasury secretary or at least the appointment of a new treasury secretary along with just the reality of what stocks have been working and what have not been working. that are stores, five below, any place where more tariffs on china would be detrimental to already beleaguered franchises suffering under the weight of inflation. if you look at the retail sales numbers we got about ten days ago, you had weakness in furniture sales. weakness across some parts of the apparel, but you had a lot of strength in places like electronics, a best buy, that i think will continue to go higher. it's not even about a refresh of iphones. i think there are pockets in here, a combination of the things i think were left for dead, and then even the names like estee lauder or even ulta where people have questioned whether certain parts of whether it's that beauty trade, the china relationship to the beauty trade, there are opportunities

in places that continue to get knocked down time after team on the same news and what had already been priced in. >> it's interesting to me you mentioned best buy. that one is probably the one that has everything tied into it. when you think about tariffs, that would be one that would be really bad. last quarter, the stock gapped up 14% after its result. it filled in the entire gap. it came all the way back in. when you think it should continue to go higher, it has to get over the sentiment in and around tariffs and them you need a very healthy consumer to be buying the high dollar consumer electronics. that is the most interesting about what they have to say about the consumer, and they're already a month into this holiday selling season. >> if you look at walmart, though, who can leverage the china trade better than walmart? no one because they have china eat that side of the equation. they can keep their prices low, and the suppliers are so reliant on them that they have the leverage. >> it bodes well for amazon, even though we don't really think about it as much.

we talk about the cloud business and that retail business which had really started to show some real improvement. is it the hidden gem of amazon, the giant retail business? maybe not so hidden, but i think it's interesting. >> now let's get to the record-setting day for stocks. the dow closing up 440 points. the nasdaq picking up 51 points is now just under 2% from its all-time high. small caps also seeing a milestone. the russell 2000 hitting an all-time high up almost 6% in the last week. the index setting its first record high from 2021. the markets rallying around president-elect trump's decision for treasury secretary scott bessent, the founder of key square group and has a strong reputation. trump made a conventional pick for treasury, should this be another trigger to keep markets grinding higher through year end? he is seen as a moderating voice when it comes to spending, when it comes to china tariffs, as you had mentioned, tim. >> i think so.

i think that's what the market did today. i also see the sum of the parts where it's gold or bitcoin, whether they've been selling yields. scott bessent doesn't change the dynamic and trajectory of the deficit in the short run, but i do think that type of a headline is fantastic for markets at times when you know that there's some -- you sense there's some fiscal coming. you know the fed is largely sidelined and, if anything, will be ready to do something if labor markets truly weaken. this headline was very important for the global macro was a bigger move today, and i would be, as folks know, i think you're buying this weakness in gold. i don't think there's anything that can change in the short to medium term with that. >> yields moving back, you saw the 2/10 trend revert. the potential for weakness in the jobs market, that would be the one thing we can agree as expectations for cuts has been pulled back a limb bit. what is the ten year telling us

versus what the two year is? the two year tied to fed funds. we have another fed meeting in about a month or so. and so, to me, it seems the jury is still out on what the fed is going to do and how this new treasury is going to work with -- and i know they're not supposed to exactly, but how does bessent work with a fed chair powell? what does that mean for monetary policy for 2025? >> he's going to be the shadow fed chair. we know where he's going ultimately, so he's pro-crypto. he's actually pro-tariffs. the moderating talk, he's actually -- was at the forefront of tariffs. >> he wants to layer tariffs in, it's not going to be full throttle. this is a maximalist bargaining position, not exact quote but roughly. >> he wants offsets no one has talked about. we talked about inflation and we talked about lowering taxes or keeping them low, but we haven't spoken about the offsets of the

tariffs, what they'll prove to be. >> so the harder the shadow fed, which i don't like the idea of that, if the economy does improve and starts really heating up, it's really going to be hard for the fed under powell to be in an easing cycle, right? why do you need to do that? and so there's sort of the rub. i think, to me, the ten year represents inflationary fears and some of a better economy. >> what are we talking about shadow fed? can someone explain this? >> he's eventually going to be the fed chair, so they're putting him in as treasury and when powell steps down or is done with his term, that's going to be the fed chair. >> well, maybe. again, i think there's a lot to be -- and there's a lot of discussion. that happens to be the conversation that was going around today, but i think scott bessent did a great job on his first chance to job on the market. a-plus. everything he said, hey, we can see some tax cuts, and yet, at the same time, we can focus on the deficit. he said everything.

i think that's easier said than done. i think the market needs to be careful about assuming that some of the same hazards that were out there are not still out there. >> right. let's bring in stewart kaiser, citi's head of equity strategy, for his take on all of this. great to see you in person. what do you make of this? does it change your calculus in how you view the markets? >> i don't think it changes the base case all that much. the benefit is he's viewed as a little bit more mainstream, kind of right down the middle. the trump appointments to date, when the markets didn't like is when the attorney general nominations were a limb bit outside of the center lane. we'll see what the ultimate policy ends up being but he's viewed as a, market friendly, b, understands macro commitments, and, c, less aggressive on tariffs. if the markets like it, i'm a markets guy. i guess it's the right choice. >> what are we seeing in terms of the market's grind higher? is this a pull forward? is this going to continue through the next year?

we have the highest s&p 500 target 7,000 for next year. not bad. >> it's a big number. is it a pull forward? maybe a bit. i think the markets want to go higher here. if you think of the fed is in cutting mode, jobs, data holding fairly well, earnings season was okay. not bad. not good. big picture the markets want to rally into year end. the hurdles and roadblocks out of the way, they will do that. that's what you saw last week and into early this week. it will be a low liquidity week as well. probably momentum tactically. >> the first term with trump back in 2016, everyone thought energy was going to run. energy sold off. so it's counter intuitive. any sectors counter intuitive right now you think are the dark horse to actually run? >> energy and health care, i think, coming into the election are the two that were more of a mixed bag. a lot of folks thought democrats are good for health care, trump is good for energy. when you want to drill, you're

pushing prices down and that can be bad for the diversifieds. the same is probably true in health care as well. people are struggling with the health care sector, the rfk nomination, vis-a-vis potentially an m&a cycle that hits mid tech. the cleanest sector has been banks, clearly. we'll just have to go down there. if there's one sector people are concerned about from a tariffs perspective, your retailers and those folks. if you got less headlines, we'll see. our analysts did a lot of surveying around the holiday season. it would be a strong holiday season to begin with. health care and energy to me are the two biggest wild cards. >> does it offer the most reward to the upside at least? perhaps the greatest risks but are the rewards seem to be there? >> health care has been such a challenge for the last 12 to 18 months. that is clearly from a sector

perspective where the most negative views are right now. if you were to get a little bit of m&a in the space, you can add a valuation premium into the mid part of health care and perhaps if the outcome at the top level are better than expected, that is an area that should work. but, look, we were wrong on health care earlier when you had mid-teens earnings growth and ozempic kind of theme going on as well. that's an area where expectations are low and you could get the most sentiment relief based on policy. >> going back to tariffs for a minute. is 30% sort of an acceptable amount? where do we hope to get to? >> acceptable amount is a tough one. i think the base case right now if you asked an economist at least a 10% tariff across the board like a baseline or a baseline scenario. anything above that, i guess, is probably going to be a little bit incrementally negative for the growth forecast. it's tough especially for fed watchers right now. the fed has been explicit. we will not put those in our

forecast. the fed is going to release a new s.e.p. that will not reflect any tariff outlook. it adds policy uncertainty but, look, 10% is probably the baseline for most people. above that, beyond that probably incrementally negative. the question is what do they do with china? i've heard numbers in the 50 to 60% range. i think 10% baseline, anything above that is incrementally negative. >> so based on this, are markets complacent? i don't hear anything other than china risk and tariffs getting too big to stop you from getting to your 7,000 at some point. this thing tells me people are also underweight and complacency is very low. >> look, val uation is quite high. you could argue, i think people will defend that eps number saying trump is a positive growth pulse. you have high valuation, a high bogey on eps and sentiment is pretty positive. although set up for a tricky risk/reward environment, we've seen a lot of inflows in etfs

that suggest retail is getting involved in the market. that is a really tough flow to fight against. so for that reason i think tactically to year end you have to respect the momentum of it. the election had three phases, the election itself. now we're talking about policy. next year is about policy implementation and i think that's when a lot of these real challenges will come up. i think we're hopefully pretty clear into january. >> stuart, thanks. happy thanksgiving. volatility is low, too, which is great. >> tim mentioned complacency. you can take that side of it and i go back to 1995 through 1999 and we had a whole host of ingredients that are not too different. you had this kind of technology that no one knew what it was going to do but has infected the stock market, five consecutive years of 25% gains. here we are right now, we have two consecutive years with 25% gains. if this a.i. trade starts to spread out a little bit, i suspect the next part of the trade is how it works, what are the use cases with other

industries, right, not just with the picks and shovels, the semiconductors and some of the names that are doing the models and the hyper scalers, that sort of thing. if you start realizing greater use cases and more productivity, that will cause the multiple and the s&p outside of the mag seven to grow and maybe that's how you continue to go. i'm not saying that's exactly my view, but i keep hearing that. coming up, we are watching zoom, after hour shares after reporting results and numbers from that quarter next and shares of nvidia getting hit today as a new playege ir tsnto the a.i. chips space. the powerhouse name giving the semigiant a run for its money ahead. more "fast money" in two.

♪ (alarm sound) ♪ amelia, turn off alarm. amelia, weather. 70 degrees and sunny today. amelia, unlock the door. i'm afraid i can't do that, jen. ♪ (suspenseful music) ♪ why not? did you forget something? ♪ (suspenseful music) ♪ my protein shake. the future isn't scary. not investing in it is. you're so dramatic amelia. bye jen. nasdaq-100 innovators. one etf. before investing, carefully read and consider fund investment objectives, risks, charges, expenses and more in prospectus at invesco.com.

drop everything and get some magic of your own fund during the xfinityes, black friday sale. xfinity internet customers, our best deals of the year are back! switch to xfinity mobile and get your choice of a free 5g phone, plus your next unlimited line free for a year. get amazing savings and connect to wifi speeds up to a gig on the go with xfinity mobile. fly don't walk to get our best deals of the year. connect to the world of wicked this holiday, in theaters now.

welcome back to "fast money." zoom volatile on the report. the video platform beating street estimates, the conference call kicked off the top of the hour. julia boorstin has the details. >> the fiscal q3 beating expectations top and bottom lines on stronger enterprise customer revenues than anticipated and a higher operating margin than expected. the company raising its guidance for full fiscal 2025, projecting strong demand as it expands its

product portfolio and struck new enter price deals. the ceo saying the company this quarter announced major milestones around a.i. including a.i. customization for different industries all of which he thinks will term zoom into a work platform. it means there's approximately $2 billion worth remaining to be repurchased. and there's also a name change, a small one. now instead of being called zoom video communications, it's just zoom communications. melissa? >> stop the presses. julia, thank you. julia boorstin. got to go to dan on this, zoom is the z in the zebra trade. everybody knows that. >> a quarter percent. in a different regulatory environment this stock, this company will get taken over. it's a 77% gross margin, low

single digits, you bolt this on to another product or set of services and all of a sudden you see a more profitable sort of company, you take a whole host of costs out of that thing if they're adding on some a.i. capabilities. i had two zooms today. i still have zooms and they're actually adding a bunch of functionality. it kind of remind me a little bit of slack when that thing got taken out by salesforce. i think there's no shortage of bidders for this asset and when you consider all that cash on the balance sheet. >> were you telling me about financial advisers who use zoom, have a meeting with a client. >> yes. >> josh brown told me this. they are using this technology and it's saving their advisers a lot of time. >> it is the platform of choice, has had some issues. what do you want to pay for this company?

they have outperformed since july and it's had a big run. this is a company that's growing its top line 3% to 4%. you can see the numbers on the forward. that and what's going on with meme stocks it feels like it's 2021 again. >> shares of nvidia dropping more than 4% today, the biggest drop in almost a month. amazon closed up more than 2%. this comes after bloomberg reported that amazon is coming after nvidia's dominance as a leading chip maker reporting that a.i. aims to bring a new chip to market everyone 18 months. it's not exactly new but the bloomberg report did have a lot of details about tranium, about who is the head. all of these guys, they're all working on their own chips, underscoring this notion that the moat is not as big as you think for nvidia. >> this is interesting because this was out, i don't know, early this morning or late last night and so the stock opened down a little but continued to

trade down the rest of the day. it was a bit of a rotation out of some of the mag seven. you saw netflix and did meh, as you would say it. i think we've known that as you said. dell wouldn't necessarily be negatively affected. it started looking up $2 or $3. i don't know what to make of it. >> you think amd and the other chip companies and amazon, microsoft, google. they're 40% of nvidia's revenue. you have your largest clients as your largest competitors. it's theirs to lose. it seems it's being chipped away at. is this as good as it gets? >> good one, grasso.

>> is this as good as it gets? possibly. >> just comedy. >> that's the difference. >> it was a perfectly good quarter and when you start having a second source and we've been talking about this for months and months and months but then you start thinking about what's the transition to blackwell look like, what are the margins going to be because this crazy pricing pressure. it's going to give them less. >> margins being down. >> we already talked about the margins. >> the margins will go down if they're developing their own chips. they're not going to be able to charge as much doing the same sort of thing. the story has the potential relative to some of the other

stories. so i've been saying that for a few quarters. have at it. >> but i will tell you this, if you look at a log chart and you want to go back six years this is sitting on the long-term uptrend and from a purely technical standpoint, that could be what's going on. >> housing getting hyped. builders in the green as investors suggest president-elect trump's pick, all the names linked to your home and speaking of the new administration, veorinsts and the pick for fda commissioner of pharma and health care will hold up ahead. you're watching "fast money" live from times square. oh, had a little upgrade have we? ♪♪ okay, so that's how you want to play. ♪♪

(♪♪) (♪♪) (♪♪) everyone has goals and dreams. and everyone deserves a way to get there. wherever you're going, getting there starts here. state street invest in your future with dia, the only etf that tracks the dow. (♪♪) ♪ ♪ fuel your inner adventurer. the first ever nissan rogue rock creek. ♪

wrb to "fast money." the yield dropping to 4.2%. the dropping attributed in part to president-elect trump picking scott bessent to be the next treasury secretary. he's thought to be focused on lowering taxes and lowering the deficit. k.b. holm, d.r. horton and lennar all searching. sherwin williams, william sonoma, wayfair big winners as well.

>> hoping the interest rates come down to a point we can sell existing homes instead of new homes but when you look at toll brothers that chart is the best chart in the home builder space. and think about why because that client can pay cash. if you could pay cash, you don't care where the 30 year is. you'll outlay the money and figure it out somewhere down the line or refinance it, but you could get bounces in the other ones if you look at that singular chart, it's the best looking chart in the space, in my opinion. >> it is amazing how much the subsector whips around on a 20 basis point move in the ten-year treasury yield. >> i know, we saw that happen before briefly, and before you knew it, that whole -- i guess it was the 50-basis point cut, shortly after rates went right back up. i feel we need to see a little more sustained, i mean, months, to really start to get existing

supply coming back in the market. >> there are places that i don't think we're just about scott bessent today. look at home depot, all-time highs, quietly, and this is where we're not necessarily getting an avalanche of issuance, et cetera, et cetera. it speaks to the consumer, to the markets at all-time highs, to the wealth effect in the housing sector and i think it goes higher. coming up, the pick to run the fda, mizuho joins us next to g in tditohe details and if it could mean even more outside moves. don't go anywhere. back in two. and its customizable scans with social sentiment help you find and unlock opportunities in the market. e*trade from morgan stanley

how do i keep my protection against covid-19 up to date? with a covid shot this season. you can get your covid-19 shot when getting your flu shot, if you're due for both, as recommended by the cdc. ask your healthcare provider and book at vaxassist.com ♪♪ there's no such thing as bad weather with intelligent all-wheel drive. now get the all-new nissan kicks starting at just $21,830.

welcome back to "fast money." stocks starting the week in the green, the s&p 500 and nasdaq up .3%. the russell 2000 hitting an all-time high up nearly 1.5%. energy getting hit, crude falling more than 3%. the xle, the worst performing sector in the s&p down 2%. shares of super micro surging nearly 16% today, still trying to bounce back from a huge sell-off following its announcement that its auditor

resigned. united health the biggest contributor to the dow's rally scoring a win in court over the centers for care and medicaid services arguing regulators unfairly dinged their star ratings over one customer support phone call. humana and cvs higher on that news. the etf seeing its best day since the election with investors cheering on president-elect trump's pick for fda commissioner, dr. marty mccarey. makary. >> makary is seen as a safe choice, yes, seen as critical of the fda and some of the pandemic policies but is also a respected surgeon at johns hopkins and he's seen as someone who supports science. even though he did oppose covid vaccine mandates and widespread use of boosters, he's not broadly against immunization. moderna, pfizer and others who took a hit at rfk jr.'s

nomination gaining told and it's surprising to see those moves because trump's pick to lead the cdc former congressman dave weldon is much more skeptical of vaccines. one area to watch is how makary approaches compounding of glp-1s. sesame sells those similar to companies like hims. it looked like that would change once trizepitide came off and potentially an ally at the fda. melissa? >> angelica, thank you. let's get more with jared olz at mizuho. great to see you in person. does this change anything when it comes to your view of compounded glp-1s? >> not really. i still think this is going to be a push/pull for a number of

years, whether it's, you know, administrative additions that we're seeing on a daily basis or whether -- what comes out of lilly and novo and the supain, . it doesn'tnge . i don't think we should be surprised at the volatility as it relates to who is appointed in the administration, who is in and who is out, having sup a profound impact on all these stocks. >> we have a fuller picture of who is where within hhs and various agencies. for the stocks, can you now say -- can we say the sell-off was overdone? was it warranted? where do you stand? >> i think it was overdone for sure. there's a lot we don't know about exactly what practices are going to be put in place, by whom and when. it does seem there was a lot of shooting first as far as what we initially thought with respect to the various nominees that we heard last week. but now i think we can breathe a sigh of relief there are, you

know, some of the personnel changes that are going to be taking place are more pro-science, pro-innovation. i think big picture when we look at the doge team, though they're looking to reduce costs across the board, they have someone who made his fortune off biotech. when you consider everything, that's a big win. >> jared, you talked about the sell-offs being overdone, lilly, nova. why do you think it acts so poorly. novo is roundtrip, a little cheaper but lower growth? >> totally. it's been a fascinating stock. it's basically flat on the year. i think two things. one, they're kind of alluding to teens growth for next year and the street was looking for 20 or above. i think the reality is they're not going to be growing as fast as we thought. maybe that's conservative. maybe not. a sub 20% growth number for next year i think is a big deal, just in light of how well the stock had performed to date, and then,

secondly, they've dropped the ball on the oral, i think, as investors look at it. if you talk to the company, they're probably more positive behind the scenes. you need an oral glp or an oral weight loss drug, i think, in order to compete big picture, and it doesn't seem like they have the best option. so i think those two reasons. >> jared, so strip away the elections and i think we've all said one way or the other tlchls an extreme move and we have to republic assess, and you can already see that at 6% off 12% straight down. imagine it's before elections, before we knew any of this, as you're looking at either the vaccine makers or looking at traditional biotech or at the big cap pharma names, bristol-myers really start to outperform, are these trends alive and well, we strip all this away? >> i think you have to look at lilly/novo first as big winners that come in, i think on two

things. the quarters weren't great. you need to blow people away in order for the stocks to go up. they did not do that and now we have this uncertainty politically. the demand curve is still amazing and they'll close to market or on market with assets that pharma may be interested in at some point the m&a trade is very -- >> alive and well and will probably pick up and a lot of investors are keen to it. you can go down the cap structure probably into next year. >> viking therapeutics, what you just described? since the election a pretty difficult go. do you think things have changed? >> rfk and others might do in

terms of preventative medicine and some of the rhetoric along the lines of not so pro this space. the issue with viking is simple. the only way they can be successful is if they are too difficult, too expensive to run alone, unless you get the headline, it's going to be a difficult run. that being said, there is going to be data the next year or so that could reinvigorate it. >> i like the comment in one of your notes about all these appointees being anti-glp-1. you can't just trade nutrition. it doesn't happen like that. and it won't. >> i think they've tried. the entire world organic food this, that, obviously every day obesity numbers get higher. i feel that's a long road. >> jared, good to see you. >> thank you. >> where do you find value in

health care? >> most don't have the wealth of knowledge jared has. the small cap biotech index, year to date is up over 9%. the larger cap biotech index, it's up 3%. 3 to 1 outperformance. i stay with the xpi. tesla losing charge as one firm doubles down in its call to sell the stock. 'lscs that ahead. first, going to europe. airlines sure hope you are. what the big boost means for the sector. back in two.

welcome back to "fast money." booking holdings and united airlines hitting all-time high with big demand for new choice destination. europe. phil lebeau with the travel trade. >> europe is key to the growth that united has experienced over the last year and is expecting in the fourth quarter. take a look at this. these are the number of seats for all airlines, not just the u.s. air lines, but european airlines as well. we are now above the levels that we saw in terms of transatlantic seats back in 2018. yes, fractionally lower but this year over 6.5 million, and when

you look at united, its capacity on transatlantic flights up 4.9% compared to last year by targeting markets like palermo, very is, nice. underserved to a certain extent. by the way, united says this will be the busiest holiday season it has ever experienced. and, really, this will be the busiest thanksgiving that we've seen in the united states ever in terms of the number of people flying. it is expected that 31 million people will be flying during thanksgiving week and that's basically november 22nd to december 2 and, by the way, we are on pace as an industry in the united states to eclipse the average daily number of passengers in 2024. that will pass what we saw last year in 2023. now there are a few air lines that have trimmed or outright cut their capacity to europe. delta has trimmed it a little bit. american, we've talked about the

capacity issues there for some time. they needed to do this. they're down 15% year over year and jetblue have some issues, reworking their routes but issues with geared turbo fan engines and aircraft supply. as you look at these stocks will there be growth for these guys? will they start adding europe in the future? ed bastion will add more routes to europe when he believes it's the right time. transatlantic travel has been a real boom for united air lines last year and this year. >> phil, thank you. what else is helping the demand for europe? the euro. it rallied today. the dollar just on friday. the calls for parity are growing louder.

do you know firsthand the pain associated with wanting to go to europe? >> my family doesn't watch the show anyway, so i'll just say this, i'm not psyched to be going to europe. if you look at what hotel and lodging looks like, it doesn't look so bad. what you're flying to go to switzerland, you're shocked because it's not the ultra first class that you're getings for what seems like ultra first class money. that's great for delta airlines, great for united and carriers. both the front of the bus and business travel, international, i'm talking about covid. we're at a place now where the airlines are now starting to be normalized on where i think they were in 2017-2018 and i think they're going through that because, again, these are companies that are getting more revenue per available seat miles than they ever have. delta is growing at a ten time multiple. that's a better p.e.g. ratio than google. people are looking for companies that have decent growth at a decent price. >> and also look at the hotel names as well.

when you think about europe, international, the most levered to that success is united, and then the second most levered is american, but american has too much debt. so delta slips in on that one. look at the hotel names as well off the charts. coming up, staying unplugged. why analysts at one wall street firm are doubling down on thr arh tesla calls. more "fast money" in two.

(♪♪) (♪♪) (♪♪) everyone has goals and dreams. and everyone deserves a way to get there. wherever you're going, getting there starts here. state street. invest in your future with spy, the world's most traded etf. (♪♪) ♪♪ the all-new nissan kicks with bose personal plus. starting at just $21,830.

welcome back to "fast money." time to sell tesla. analysts at ubs think so. the sell call on the ev maker citing the 40% rally since the election saying the removal of the tax credit could hurt more than expected, upping the price target from 197 to 226. the thinking had been it's going to hurt its competitors a lot more to tesla so on a relative basis tesla will win but will lose the income stream from selling regulatory credits. it's hard to suss this one out. >> i thought it was tesla only

excluded -- this is just california we're talking about -- is that what you're talking about, or no? tax credits? >> no. >> okay. >> just the federal tax credits. >> okay. well, i was talking about -- i thought the california ones were having a difference here and that made no sense to me. in the end, i can see the sort of comparative advantage of no tax credits and then them being in a better spot already, so the other ones are so find behind. >> regulatory as well. the big push is going to be robo, eventually. i know we keep throwing out robo, but it's a regulatory front where he's best friends with the president right now. he's going to have the tail winds. so, to karen's point, everyone else, i think it's a disadvantage to them. i get it, they can't sell the credits, but ubs has never been positive on tesla since they initiated back in 2014. so i'm going to take this with a grain of salt. i would rather be a buyer of

tesla on dips than a seller. >> in terms of k, he's going on x saying, followers, what do you think of bessent? do you want lutnick instead? that was his pick. maybe this shows there are some cracks in the relationship. >> i suspect it plays out the way a lot played out in the first administration and elon is doing a lot of very innovative things. i think we can agree on that, and it has never been dependent on regulatory. you can make the argument if he goes in and gets rid of regulation, gets full self-driving faster than people expect, but that is pulled forward in the stock right here. the robotaxi doesn't change much for me because of him sitting in mar-a-lago or the white house all day long. i think that's a real technical challenge. >> is that good for waymo unless there's an uneven distribution of who gets further approval,

which, who knows, but you would think it would be better. >> up next, final trades. it all started with a small business idea. it's a pillow with a speaker in it! that's right craig. pulling in the perfect team to get the job done. i'm just here for the internets. at&t, it's super-fast! you locked us out?! and when thrown a curveball... arrggghh! ahhhh! [crashing sounds] we had everything we needed. is the internet out? don't worry, we have at&t internet back-up. the next level network for small business. ♪♪ i sold a pillow!

the all new godaddy airo helps you get your business online in minutes with the power of ai... ...with a perfect name, a great logo, and a beautiful website. just start with a domain, a few clicks, and you're in business. make now the future at godaddy.com/airo

time for the final trade. tim seymour? >> chevy chase, that's going to be me. all-time high. >> i don't see the connection, but, okay. >> karen? >> he why, iwm. i still like it. still staying long. it's as if i bought it here. >> a nice pullback over the last

week and a half. it goes back to those prior highs. >> steve grasso? >> applied digital. >> ever since nvidia disclosed they gave $160 million, the validity that it gave this name has been off to the races. still continues. i'm still long. >> you said derhosen because you wanted to say it. "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. my job is not just to entertain but to educate to try to teach you. so call me