homework,what i noticed was cablevision.y've got a lot of debt but the bulls are calling for it to go to the high 30s and what do you think? verizon or cablevision? >> verizon is certainly on a pure play. got a lot of land line business, you also have broads and wireless half of that. cablevision is a poorly run company and i don't want to be in bed with that management. verizon is incredibly well run and one of the best managers in the country. i go with verizon. i pocket that yield. the stock is going to come down a little bit. it's a defensive stock. it's up very quickly from 29 and people reported it was a good quarter. people said it was a bad quarter because the stock was off like 40 cents. don't believe it. verizon is an up stock. how about matt in virginia? matt. >> caller: greetings, mr. cramer and a big navy boo-ya to ya. >> absolutely. go, navy. beat army just for purposes of the segment. >> caller: thanks for having me on the show. >> thank you. >> caller: my question is about shanda interactive entertainment. >>

of attrition between verizon and at&t on the one hand and the cable companies like comcast and cablevisionr on the other. i got to tell you, video on demand just doesn't move the needle for any of these big companies. it's just a small part of the pot. so take them out of the running. they're not a way to play home entertainment. you know what that leaves us with? two really interesting situations. the home video rental interest has a non-bricks and mortar and mortar variety. there's two ways to go. there's netflix and now a new one, coinstar. cstr. that's red box. you may have seen their dvd rental kiosks in the supermarkets, drugstores, mass retailers like walmart and convenience stores that rent dvds for just $1 each. so you could say it's netflix here, okay, and red box. these are both good companies. this is a great growth industry. but back at my hedge fund, i do what we'd call a paired trade. not p-a-r-e-d but p-a-i-r-e-d. i would buy the best stock in the business and at the same time short, bet against, or buy put options, which give you the right to sell a stock at a given price.

cablevision has been a little bit higher than that. we'll see as they start to react to that., if there are any, from the earnings news like intel's guidance increase. stmicroelectronics and merrill lynch raises the outlook saying semiconductor growth next year should be up 21% versus 16% decline this year. stm is a big percentage gainers on this august friday on nyse. j. crew, consumer stock, beating the street on the fiscal second quarter earnings. we've got lots of focus on the consumer today but that is not helping bebe stores posting the second quarterly loss in a row. now, projecting a loss this quarter as well. that was not what the street expected and the stock is getting hit relatively hard today. melissa? >> all right. >>> time to get a quick check on what is making news outside the world of business. alex witt is standing by from msnbc. alex? >> good morning to you. here's what's going on. a second day of public viewing is under way at the jfk library museum. on thursday, full 25,000 people passed by his cassette, aket, ay their respects. the mow motemorial service