old broadcom fit perfectly here.heir main businesses were in the wired and wireless communications with chips that delivered voice, video, data, and multimedia connectivity across a host of devices. they're integral to broadband, wi-fi and now the internet of things. the products are so ubiquitous that roughly 99% of all data traffic crosses at least one of broadcom's chips. that's astounding. they touch everything. so given all the overlap in their end markets it's not surprising when the deal was announced avago said they could achieve $750 million of annual cost synergies within 18 months of the closing. better still, broadcom acquisition would be immediately attive the. immediately to the companies earnings and free cash flow. even better, broadcom's margins have lagged avago's by 18%. one is a better manufacturer than the other. yet avago said they would get broadcom's margins in line with their own, something that should generate a major surge of profitability. plus buying broadcom makes avago less hostage to a

and broadcom has. i really like nxpi, internet of thing play. broadcom, that was a brilliant acquisition in retrospect. an amazing ceo, he's not promotional. so there's going to be a split here between skyworks -- they're all going to go down, but then bids will come back for broadcom and nxpi ahead of the analyst meeting. and i like david very much, but they're going to trade lock step just like cirrus does, which is the sound system for apple. remember, they have a lot of cash, a lot of fire power. are they able to determine their stock price? >> to some degree, yes. >> back to apple, what is an appropriate multiple then? we always used to say x out the cash, but the fact is they are now returning 90% of free cash every quarter in the form of a dividend and in the form of buyback. so you can't do that. >> no, you're not going to x out the cash. >> so where are we? the iphone is obviously still the key product for them. what do we come down to? >> well, i think you're talking about that -- you're kind of like microsoft and intel a year ago wher

broadcom falling as much as 2% here.ow a check on the bond market, rick santelli in chicago with the bond report. over to you. >> thanks, dom. maybe nothing better than a one week chart of five year note yields. we settled last friday at 115, settled yesterday at 125. where are we? 120 in the middle. that almost says it all. look at month to date of tens. the same place we start the the month is where we're currently trading. bucking up against the resistance on yields. munis in chicago, we pay a lot of attention to munis, chicago, illinois, has issues. this is the highest level at etf has been, mub, since january of 2013. snuck up on us, didn't it? year to date, drum roll, minus 11.5. new record. 20-year chart, never been down there before. boy, the nikkei was down, the yen, i don't know if that was a good decision. one good decision, be back here in two minutes when "power lunch" returns. the call just came in. she's about to arrive. and with her, a flood of potential patients. a deluge of digital records. x-rays, mris

if you like the semis, we have to go with broadcom or nxpi.ure, you can be better off elsewhere but don't get caught up in the notion of that. it just obscures the bigger picture. i have chipotle's top executive coming up. then when it comes to aerospace, is the sky the limit? or will it face turbulence? and a busy week. i'm sure you have some questions. a very special edition of the lightning round. stick with cramer. >>> tomorrow, kick off the trading day with squawk on the street. >> it fell off a cliff. it was k-2. you talked to me about it. it was k-2. >> it all starts at 9:00 p.m. eastern. >>> how do we balance a country like chipotle which is trying to bounce back from two problems? i told you there's a problem with a restaurant after a disease outbreak. the numbers start to recover. so when chipotle started to recover, maybe we shouldn't have been surprised. its revenues did come in well below the estimates. and the same store sales plummeted. however, chipotle really just started moving its customers back. i think it is important to r

>> no, we're broadcom limited. that's the semiconnector company we think you should buy. one more. glen in michigan. glen? >> yes, jim how are you doing? >> i'm good. how are you? >> caller: i'm doing all right. how about this hst, with marriott. i'm wondering -- >> no, no the hotel chain we like is wind ham worldwide run by steve holmes. the least expensive and one of best run. >>> that, ladies and gentlemen is the conclusion of "the lightning round." >>> "the lightning round" is sponsored by td ameritrade. ♪ he has a sharp wit. a winning smile. and no chance of getting an athletic scholarship. and that is why you invest. the best returns aren't just measured in dollars. td ameritrade. but they demand the best shopping experiences. they may want the latest products and services, they're your customers. and by blending physical with digital, cognizant is helping 8 of the 10 largest u.s. retailers meet their demands with more responsive retail models... ones that transcend channels and locations, anticipate expectations... creating new ways to engage at every imaginable touch-point.

the newly crowned semiconductor kings of nvidia and broadcom, the old avago. that beckens others to join. i am chastened by the disappo t disappointing quarter of juniper. health care doesn't show up much. what does show up is positive. namely the medical device companies making a difference and aren't in the cross hairs of politicians. companies like boston scientific, life sciences, striker, all which deal with saving lives and limbs. how about the financials? oh, tough group. the banks were in for it this week. but the insurers are almost all on the list with the biggest being the most obvious. i love it when insurers predomina predominate. they do well in low inflation f. the fed looked at stocks they would think device about raising interest rates. why fight inflation when they say there is none. there is defense. both lockheed martin and northrup drummond joining the list. this is a big industry for us. i wish there was more aerospace on the list. finally, there are indeed too many utility companies to mention here on the list. that impresses me. verizon

broadcom, they develop integrated circuits, down 2%.ofrequency systems, down 2%. all of these are off of their session lows. semiconductors down the least, but down by about 1%. take a look at what is happening to the rest of the s&p over the last hour. you can see there was a dip around 1:20, but we are off of that session low. s&p still down by about a quarter of a percent. take a look at the impact on revenues, on the impact of apple and its products have. we know that revenues makeup alliance share, iphone, about 60%. mac after that, we can see s. the ipad about my present. when that knock on effect happens with the iphone, that is basically alliance share. scarlet: thank you. this weekend is the major oil meeting in doha. these are the three chart you need to know heading into doha. first of all, what would a freeze look like? this orange line is the proposed level of freezing opec and non-opec producers begin to freeze. just around 29 million barrels of oil. this is what opec is producing now. around 28 million barrels of oil. bas

broadcom is at a 52-week high. on uber, on iphones, and on cosmetics, because the resolution on your screen is so high that you need to spray paint yourself before you leave the door. >> we talked about you and ulta on friday. on your theory that people are concerned about looking good all the time. >> you walk out your picture is being taken. i was in new orleans, 47 pictures were taken. i walk out, i threw some stuff on. just on my eye because of that operation last week. >> chesapeake, freeport, murphy, williams, all at the top of the list. >> secondary. secondary. >> we mentioned at the time they were occurring, it is reminiscent in many ways of what went on during the financial crisis, the bank's ability to recapitalize balance sheets after the equity offerings after the stress test took place. here we don't have that kind of a report card, but it's been effective. if you bought those secondaries, you are very happy. not secondaries, primary offerings. >> right. the one i'm focused on is mro. i felt like if th

i do point out by the way as negative as everybody is on apple, evgao which is broadcom streaming, those part companies that do have a substantial apple exposure. so you've got this dichotomy people say, listen, the parts are doing well, but how can the whole be doing badly if the parts are doing well? >> yeah, it's going to be a big night. panera, twitter, chipotle, e-bay along with that. but we'll talk to john legere of t mobil after a break. don't go anywhere. here at td ameritrade, they work hard. wow, that was random. random? no. it's all about understanding patterns. like the mail guy at 3:12pm every day or jerry getting dumped every third tuesday. jerry: every third tuesday. we have pattern recognition technology on any chart plus over 300 customizable studies to help you anticipate potential price movement. there's no way to predict that. td ameritrade. [bassist] two late nights in blew an amp.but good nights. sure,music's why we do this,but it's still our business. we spend days booking gigs, then we've gotta put in the miles to get there. but it's not without its perks. like se

the june quarter and along with apple we're looking at iphone suppliers and apple suppliers like broadcom and skywork solutions being some of the main decliners here at the nasdaq. apple, it's been down 13% over the past 52 months. though it has rebounded 13% in the past three months. it looks like we have earnings coming out on april 25th. going the opposite direction, both classes of going on the positive end at the nasdaq. apple down is 2% into the close. back to you. >> thank you so much, we'll watch it and we have a news alert on president obama's tax returns. what's happening here? >> the white house just put out president obama's tax return. here it is, april 15th and of course we have the barack obama 1040 form, according to what the white house just put out here, the president reports adjusted gross income of $436,000. the obamas pay 81,472 in total tax and the president's effective income tax rate is 18.7%. so far this looks like it's about 45 pages long. we're going to through it and find the interesting tidbits including how many the obamas made in book royalty income and othe

i look at what annex pi did, i look at what ivago did and now broadcom. i know you like the connected core, i know you like internet of things, is it not time to do one more acquisition? you did that deal when your stock was at 34, your stock is now at 31. evago their stock is now up 30 points. a lot of people thought they paid too much, must you make with additional money another acquisition to build up internet of things and build up programmable? >> well, i think on programmable and fpga we bought the best asset in the industry. and i think we've done a great job of integrating that in. jim, i want to make a very clear point, not only did they beat their quarter, but we've really started to accelerate their products for this year. and we actually have shipping now the first zion and fpga co-packaged part into sampling customers now. we do need to continue to grow. data center's about a 2.5 to 3 billion a year business. growing at double digits. we will probably go in and make more acquisitions. what those will be we're still trying to figure out exactl