it's the second largest shale oil producer behind eog which is the father fracker. >> eog, father frackeranimus against einhorn, he directly attacked me as the primary advocate for that stock. seemed prettied a hom nam. so it was a little gratifying to say the least when the "new york times" wrote last november that ion horn's green light capital ultimately covered the short position of 67 bucks, writing that the bet was and i quote ultimately unsuccessful. it was a good cover to a terrible trade as keurig tripled. i have lost my enthusiasm for the company after the miserable quarter that came out tonight. i have said play this one through coca-cola which has a large stake in it. yet, even after keurig's huge decline it's above where it was when einhorn shorted it. einhorn revealed he was going after amazon as the next target. it's now at 419. nevertheless ion horn included eog in the frac attack calling it overvalued. you saw the clip from monday along with a bunch of other oil producers. i think that judgment weighed heavily on the eog stock after an amazing quarter all things considere

einhorn's assessment of eog and pxd, so let's debate it. joe is a bull.usly owned both stocks. i think -- you still own pxd, in your portfolio? >> yep. >> and you have, at times, eog. >> correct. >> einhorn, right or wrong? you said yesterday you disagree. >> i disagree. i disagree more specifically with the names he's mentioning. to me these would be the survivors, if the apocalypse does come. the question becomes, does the apocalypse come to the oil market? where is oil going to be? commodity volatility is incredibly difficult to predict. where's the value of the u.s. dollar going to be? price of oil right now is $61. pxd is not going to $78, as mr. einhorn suggested if oil stays at 61. i'll be the first to tell you, if oil goes below 40, than mr. einhorn's thesis on a lot of the industry itself would be correct. >> so if the dollar is going to go up, if you think the economy's getting better, oil would have a trend or tendency to go down. >> mm-hmm. >> that will be a problem? >> i think whether or not oil goes down, i disagree with that statement. if o

and pioneer resources and eog, you want to watch the frackers, those guys had some interesting weeks. given sohn and the conference. >> you have to go to the ever-emergent brian sutland. oil volatility, what's been going on with the ovix and is there a direct correlation with the oil equities? >> when you see oil move, you'll see it reflected. the refiners have done well. but when you talk about the ovx, the oil volatility index it has a lot of fear indication. when it broke above 28 and it spiked up into the 50s here that was extreme fear. once we broke the 28 level, that was people panicking, getting out of the oil markets, now we've seen it come off its highs here and it looks to be trending back to 28. so why is that significant? because if we get less movement every day in the price of oil, the real natural hedgers, the airlines companies, pet lum makers, plastic makers that hedge using oil. will start to get back in the market and that's going to put a little lift behind oil, a bid behind the oil market. i love seeing oil volatility come off its highs, to indicate being a buyer.

we've already seen eog, pioneer, a lot of names have suggested that you might see production or landrilling increases. so i think we might stabilize and a lot of the integrated names have not dropped as much as long-dated crude has still. so i'm looking at exxon mobil out to the july 87 1/2 puts. spend $2.5. you can actually play a little bit of a reversal potentially in crude by making a bearish bet here. i mean, right when everybody's getting bullish on crude, a lot of people get nervous. also, let's remember, iran, if sanctions are lifted, there's going to be more production there. that's more of a brent market issue. that's going to put pressure on crude globally. >> do you like spending $2.35, dan, on this trade? >> if it's running out of steam, the balance in exxon wasn't particularly impressive off of the recent lows. so i suspect if crude oil does go back down, you know, equities could get a bit panicky here. and the ones that didn't perform that well off of the lows make sense. and mike said, volatility -- implied volatility is pretty cheap here. if you do get this turning s

i do like eog. i know that that was mr. einhorn that knocked the stock down. want to own the independents. what people are drilling down on and saying they don't like. eog, fine company. steven in california. steven. >> caller: yes, sir. >> steven. you have jim. >> caller: i would like to know what's going on with kraft. i own some shares. a bunch and i would like to know what is going to happen. >> well, it's merging with heinz, you're in a great situation. they have warren buffet's blessing. 3g is in there. they'll take out and grow the company. i wish my charitable trust owned it. we have been talking about it so much. but kraft is real good. fiat chrysler is killing it and i don't think it's slowing down any time soon. much more mad money ahead including my earnings exclusive with the ceo of salesforce. but does the king of the cloud even need a deal? and it's a rocky road for retail. don't think about shopping this group until you get my take. plus a brand new edition of the lightning round. stick with cramer. there is an ancient rhythm... [♪] that flows

eog. widen petroleum which got upgraded. psg. (?)do you make of these guys coming in and hammering this space? >> i think it's opportunity. einhorn is a titan and smart guy. i believe the fracking revolution in america is still extremely young. like any revolution, you'll have fits and starts. this is a long-term growth play, i believe. charles: i agree with you. we should let the audience know, "after the bell," we had a couple of these energy plays that reported, they missed on the top line. eog beat on the bottom line. so far the action is mixed. i like ibm. the place to be. they reinvend themselves more than once. if you want an old dusty stock, ibm. when it comes to robots, we have no problems, they want to mow our lawns. have you lost your mind? they're managing our money. my panel is quaking in their boots. ♪ ♪ charles: all right. looks like the industry might be saying, if you can't beat them, join them. i don't know if you guys saw them by now. charles schwab, coming on real strong. realswe also know the robo advisers. robo

eog is going to go down and down big. i don't think it is which is why we decided to buy a little and are with you. let's go to derrick in alabama, please derrick. >> caller: mr. cramer booyah from beautiful alabama. >> thank you. >> caller: jim i love ceos who are willing to put their own money where their mouth is. if it's a company that they lead 25 million to be exact you have to have vision with anything to put that money on the line. i also love companies with promotions like cut your bill in half and willing to hand deliver your phone at the place of your choosing and transfer your contacts while they're there. sprint is still the number three company and the stock is undervalued. >> let's rate them. if you want growth you do t-mobile. he's remarkable. if you want to have dividend you go to att. if you want to have dividend growth verizon and if you want a pure speck you go to sprint. that's because sprint needs to raise a huge amount of money. there may be insidecider buying. i do believe the company did a good jo

let's move on to eog resources.ion and production oil company with a loss in the first quarter. you can see it is just nudging lower in after-hours trading. if you back out certain items -- profit of three cents a share compared with average analyst estimate of a penny. the company reiterating it is on track for a 40% drop in capital expenditures. one thing i thought was interesting is that eog resources reiterated its illusion outlook on prices saying it sees double-digit oil growth in 2015 if oil prices reach $65. wishful thinking, perhaps, given that crude oil is having trouble getting about $60 without coming back down. alix: i want to make a million dollars. we all have those dreams. money manager david einhorn slamming the shale dennis -- shale energy industry saying it ushered in an era of u.s. oil production that was wasteful expense, and a terrible investment. shale explorers plunging in reaction to his comments. joining me from houston is the ceo of a $3 billion commodity services company that does busines

m&a, eog, pioneer. the shells, mother frackers, they will be the m&a take out. interesting fort will be goldman because they had their equity guys make this long-term call about oil prices. we are now in a permanently lower era of prices. by the end of the decade, they are looking at $50 in oil. you have to be skeptical of any call looking at 2020. because who really knows? normal,g in this new is a permanent thing. it will not be a bounce back. is a permanent thing. alix: the amount of days it takes when you start drilling to total depth is about 10 days. it used to be 12 days. those days make a difference. joe: the speed at which these producers cut on costs is amazing. the bank of america note of how the market is stuck in the twilight zone. i love any time they do a term like this because i suspect they are sort of looking for headlines and people are right about it. they are stuck in this space between not getting any more juice out of qe. the economy doesn't look that great. it is kind of a lose lose situation for stocks. of a lose lose situation for stock

specifically, taking stakes and the one that einhorn specifically targeted, druckenmiller also took a stake in eoges, also some of the other fracking companies. pioneer valued at 500 and $18 valued at $518 million. dan loeb reduced some of his phillips 66 holdings, he bought into a company called clayton, soreness sort of a mixed bag as it tends to be. in terms of philip 66, that is a refiner, so as oil prices rise, that gets squeezed. to make a distinction between that and the shale, that will be a different beneficiary. julie: right, talking about the whole energy complex not just the fracking. jock and miller had made some of hadother -- druckenmiller already made some of the other comments. just to be clear on what the filings do for us because i feel like we always need this disclaimer, right? us acome out, they give snapshot of where the holdings were at the end of last quarter. and they don't just disclose short positions, either. options positions. there is a bit of wiggle room for these guys. nonetheless, when you are talking about someone like druckenmiller or someone like a berkshire ha

alix: and they made interesting analysis of certain stocks like eog resources.ting the amount of days takes to drill is about 10 days. it used to be 12 days. those days make a difference. you don't need to use a rate as long and you're cutting down on costs and that makes you more efficient. are the speed at which they cutting down on costs is fascinating. is story about how america stuck in the twilight zone. i wish we had the music. we do a termme like this, you just sort of no that i suspect they are looking -- sort of know that they are looking for headlines and want to write about it. but basically, the story is that we are not getting any more juice out of qe, that story is over. and it is this lose lose situation for stocks. the best hope is that maybe the economy pick things up again. they highlighted to interesting things. one is, investors are optimistic, or they claim to be in surveys to my but there is a lot of cash on the sidelines. and the other thing they noted for the record highs on a stock, but u.s. equity funds have been seeing outflows for a

this week at the soehn conference, they came under scrutiny by david einhorn and pine resources and eog, not on the same side of the discussion that he had and watch the frackers they had interesting weeks given the conference. >> dom chu, thank you for that. and we have to go to brian where he tracked oil and what is going on with the oviox and is there volatility in the oil. >> and when you see the kmomidities -- commodities, and when you talk about the oil volatility index, it has volatility. when it broke above 28 and into the 50s, that was a extreme sphere, people were panicking and getting out of the oil and now it is looking to be trending back to 28. why is that significant? if we get less movement in the price of oil, the hedgers and the airlines, the petroleum makers and the hedges, they will know where to hedge them and that will put a bid behind the oil so i love seeing oil volatility to come off the highs to see a buyer there. but in $58, $58, we'll see if that will hold. >> and mike you're looking at an integrated in oil this week. >> don't feel like crude has a whole lot

m&a targets they think might be good, like eog resources, oil and gas, so they are definitely startingt the players that have a lot of productivity, and the total time to deliver now 10.4 days in the fourth quarter, versus 12 days all of last year. scarlet:scarlet: it could happet has not yet. you wonder if oil prices need to follow again. rate the lows and based on the oil price. if they are real rate in the fall poorly, i will loan you two dollars now, that is what potential you are hearing for these guys that have a lot of debt. thank you so much and you will be back in about 20 minutes joining us for conversation. i think it is pretty much a guarantee. you the look at top stories in the meantime at this hour. we will start with european , a complaint against mastercard. has to dolearned this with credit cards. the way credit card companies agree on charges is anti-competitive, they have warned. alibaba rejected claims it makes it easier to have counterfeit goods -- counterfeit goods. a similar complaint last chair .as withdrawn deflategate has apparently taken the air out of value.

he was talking about pioneer resources, eog, continental and concho.are basically the producers that rpo plays into shell, permian basin, eagle ford. he is not alone in being concerned about the valuations of these stocks. barclays came out and said that these dnp kind of companies are discounting $95 oil prices. we are nowhere near that. the same, look, they are going to have to re-rate to a lower alterable at could lead to a 50% decline in the share price if we don't see oil prices start to rise. betty: who are the factors that are in -- strikers that are in the best position? -- frackers in the best position? alex: overall, they don't have a lot of free clash -- cash flow and a significant amount of debt. overall, these companies have about $23 billion in debt and a lot of it is not due until five years or beyond. about $10 billion is a do much later. if you take a look at what pioneer has done, they have been able to increase by 70%. -- in order to do that they had to have a sixfold surge in spending. spend more to produce more. it leads to the que

it's the second largest producer behind eog. >> oh father fracker. [ crickets childrening ] tom screenerat updates to all your devices. and you can share it with one click. wow. how do you find the time to do all this? easy. we combined every birthday and holiday into one celebration. (different holidays being shouted) back to work, guys! i love this times of year. for all the confidence you need. td ameritrade. you got this. just because i'm away from my desk doesn't mean i'm not working. comcast business understands that. their wifi isn't just fast near the router. it's fast in the break room. fast in the conference room. fast in tom's office. fast in other tom's office. fast in the foyer [pronounced foy-yer] or is it foyer [pronounced foy-yay]? fast in the hallway. i feel like i've been here before. switch now and get the fastest wifi everywhere. comcast business. built for business. >>> all right not to toot my own horn but on march 20th they had that phenomenal run. i said the top was in and you needed to bring the red shirts some of the more speculative names. i'm the first-person

. >> this is down big today, very volatile, i like diamondback, i'll go with that or eog. >> are you feeling the worst is over for energy? >> the price of the stock, the price of the stocks have gotten ahead and the commodity have gotten ahead with reality, and i would be surprised if you don't see short-term energy stocks and crude prices go down. >> we're definitely going to get in detail on that. mica asks on twitter -- well, i love your thinking here, you probably end up buying on the down side, you're not going to pick the exact bottom. to think you will is folly. don't worry about chasing. a lot of people think they're going to pick the bottom and feels like the bottom is set, they wait. i'll buy at 20, 19, 18, 18, 19, 20, no, on the next trip to 18, forget about it. you are going to buy a little bit before the bottom and after the bottom. that's what i think. >> once you know it's a correction, it's past you. you buy at a higher price than you already are. buy on the way out. 10%, 10%, by the time it gets to the bottom, you are positioning in. >> evansville metro says -- no, i

and, listen, eog is one i like a lot.ough one of these masters of the universe tried to short it this week. i like the other ones. i don't like this one. the drillers and shell. i don't know about you guys. >> yeah. you want to be careful with this one. so many of these companies are operating at a deficit -- the cash flow deficit every year. stay away from nov. so many other opportunities in energy right now. >> want a great looking chart. matt: terrible looking chart. when capex got cut, they got cut first. stay away. >> they use their backlog to sustain themselves. new business going forward they need. i would stay away as well. charles: what about quest diagnostics at this level? a little bit of an eclectic company. one semiconductor. materials has been for me a chronic disappointment for 15 years to the last three ceos. these guys are promised the world. never delivered. they have this giant footprint. never taken advantage of it. i like nspi. a lot of semiconductors that aren't these guys. i've talked about them a l

but i don't think pxd or eog, i don't think those two companies would be at the top of the list. >> okayyou can follow all the action at cnbc.com/pro. >>> we are back with tom barrack in addition to running a real estate company, he is also the chairman of miramax films. and one of his movie partners joins us now on the phone. actor rob lowe. rob, welcome back, nice to talk to you again. >> thanks, good to be back on with you guys. >> when people, i tweeted out you were coming on, of course the first thing people said which rob lowe, the painfully awkward rob 0 lowe? peaked in high school rob lowe? or super creepy rob lowe? >> when you get me, i bring a plethora of personalities. >> you do. were you surprised at how popular with people not all people, depending on what business they're in of course, but with a lot of people, how w popular these ads became? >> it was unbelievable. i knew creatively they were fun, submersive, smart, that's why i wanted do them. but when the subscribership numbers came in t blew peoples minds. any time you have one of the biggest conglomerates in the world

. >> what did you make of david einhorn and many folks talking about pioneer, talking about eog, talkingcks to get cut basically in half? >> everyone has their point of view. to the degree that i can listen to people in odessa and midland, i didn't do it personally but we had someone do it, that they can make money at $55 a barrel, the other part is the equipment suppliers, their prices come down substantially so the rates of return on certain investments are good. this is what makes the market. i don't have a particular point of view. it's very hard to make money out of currency, commodity-based stocks. but we are looking at those that are going to be taken over. there is a benefit to somebody in tanzania in regards to energy? once it's announced, we'll participate. >> we'll take a quick break, come back, give you your playbook for the final three hours of this trading day. let's take a look at your credit. >>i know i have a 786 fico score, thanks to all the tools and help on experian.com. so how are we going to sweeten this deal? floor mats... clear coats... >>you're getting warmer...

greg: in the u.s., peabody consol energy, oilsands, frack are's like eog resources.risks are two great going forward. francine: this is a big year for climate change. the essential talks in paris are talking at the end of this year. more shareholders more it's a too shall investors are saying hold on. i'm not going to buy that coal miner if it doesn't look at carbon emissions. greg: what we have seen a shareholder resolutions are up. in the u.s. a record number of resolutions file that energy companies. they are not really necessarily willing to divest but they want to make sure management is disclosing on the risk. francine: how much time are they given to comply? greg: tomorrow at shell, they have a resolution at their annual meeting asking to disclose with the risks are going forward to next 20 years. bp shareholders voted on a similar resolution last month. francine: angela merkel put climate change as one of her top priorities to focus on this year. if we have an agreement in paris, does it directly translate to more burden companies? greg: directly, no. there w

he said pioneer eog was the father fracker, this is obviously a play on word i'm not familiar with.his morning rosetta gets a bid from noble is regarded as a smart company. this bit -- interestingly enough rosetta's assets are next to the mother fracker, which is pioneer, and right next to the father fracker's assets e.og. i don't know if can you say eyen morn -- the thesis is hurt by -- >> where are they? >> eagleford and permian. i used the frack term loosely, but i think we ought to pull back, because it's a morning show. people are in school. >> people come up and talk to me so we don't want that to do that. >> this is the beginning of what i regard as the real takeovers. >> today it's up 30%. >> noble has a lot of interesting acreage in the nigh obrara. this is the -- i did not regard the world dutch as any good deal at all. this is the combination in the fracking patch, and so i didn't -- i would love to hear what he has to say about it. when i like keurig before the collapse, he made fun of mehmet i'm fine with that. i'm a forgiving guy, and it was just big here's something,

. >> eog came out and said they planned to produce output. double growth could return by 2016.'t think production is going to be dramatic here. in fact an important number is production data for the u.s. it shows production flat. no signs of decline yet because again, horizontal fracking pad railing, all this is improving productivity. i think the story around some of these frackers build around improvements and tighter coastal controls as well as strong growths and frankly, a good thing these companies are going to grow at a good clip. the prices we just had is taking a lot of investment out of the projects. you're going to need to shell back. these companies are not worth all that much. i think it's a fair discussion. >> some people betting on american ingenuity for sure. thanks for your time. we'll see you next time. >> thank you. >> 69.13, pushing $70. the future of live streaming video periscope making waves and attacks in social media worlds. the ceo of periscope will be joining live. dow down 85 here on squawk on the street. i mean, come on. national gives me the control

whiting petroleum, concho resources and eog resources.s a company that your next guest covers. joining us now with his take. what do you make of the presentation? >> so i will have to be honest. i haven't seen the details. the industry becomes quite challenge. they had the sudden reversal and like we had over the past nine months here. you will see capital directed to the areas over the low price areas. >> i will give you the headlines for the viewers as well. they said a lot. i will really widdle this down to the points that stuck out to me. that basically said pioneer loses about $12 for every barrel that it finds. $95 oil. the stock is worth about $41 and he backed out all the stuff and said the company spends too much capital on non-productive things like buildings and real estate as well. the cash flow generation is falling and they gave a low present valuation for the equity. >> yeah so we have a higher take here at rbc. a $95 type of oil price in perpetuity. the stock is worth more than $200. no doubt that early on in the shale pla

cutting more rigs and that is down about 4 percent keep the eye on names including eog resource. coming up. the world is filled with air. but for people with copd sometimes breathing air can be difficult. if you have copd, ask your doctor about once-daily anoro ellipta. it helps people with copd breathe better for a full 24hours. anoro ellipta is the first fda-approved product containing two long-acting bronchodilators in one inhaler. anoro is not for asthma. anoro contains a type of medicine that increases risk of death in people with asthma. it is not known if this risk is increased in copd. anoro won't replace rescue inhalers for sudden copd symptoms and should not be used more than once a day. tell your doctor if you have a heart condition, or high blood pressure. tell your doctor if you have glaucoma, prostate or bladder problems, or problems passing urine as anoro may make these problems worse. call your doctor right away if you have worsened breathing chest pain, swelling of your mouth or tongue, problems urinating or eye problems including vision changes or eye pain while

he talked about eog which he nicknamed the father fracker. resources and others. reported earnings but after the bell we will be hearing from a bunch of others including dan lobes portfolio. claims all american and others. >> another long night for kate kelly. over the past month, the dow is up 1.3%. that is paltry compared to the gains around the world. even egyptian market is up nearly 3% in one month. even with gains like that opportunities abound around the world. let's bring in paul, portfolio manager of the huntington global selects market. welcome. going through the list of what you like tyland taiwan, korea, indonesia and obviously all asian nations. there is a lot of fear about china slowing downright now. if chinaic tas a turn for the worst, do you revisit what what like or will it bring down the region? >> china is a major country to watch. my concern is the equity markets in china are ahead of the economic realities. it is soring. they are up 13% year to date or something? >> the shanghai composites and a lot of them driven by monetary policy and going

also on our stocks to watch eog resources plans to resume fracking if oil hit $65 barrel.osting better than expected earnings in the latest report and then the shares of the armored car company get a bump. an 8.2% stake in the company called it undervalued and ubs posting it's highest quarterly profit in near flooif years today. the swiss banking giant also announcing it's in advanced talks to settle allegations of foreign exchanged market rigging. we have a lot this morning. germany's adidas with better than expected sales. among the driver a recovery in it's north person unit and strong from its running and fashion. >> underarmour, nike it's tough. >> yeah but they used to be a big deal. i remember when reebok was a big deal. >> it's competitions and millennials who knows the way they're going to go. let's check on the markets this morning. the futures are indicated pretty flat. so far up 6 or 7 points on the dow. s&p up fractionally and the nasdaq up as well. we had two days of gains but we're just around 18,000. we have been sort of up they're going to be at the halfwa