it is a real mix to move up the value chain so to speak and so you have -- it's a real mix of companies. again you have apple, you have gm. gm is doing big business in china and it's selling a lot -- china has become it's biggest market now, far bigger than theh u.s. >> the u.s.e is the world's 2, largest economy still. japan. china is number two. japan, india, germany, five o largest economies. how much bigger is the u.s. economy? how big is the u.s. economy compared to the chinese economy >> i mean it's quite a bit bigger. it's quite a bit bigger. >> is it double the chinese economy, do you know? >> i don't want to give you a number that's wrong right now but we're until several at leas. a decade off from china even challenging the u.s. supremacy in the size of the economy. and so it's still -- the talk of, you know, the decline of the u.s. economy is in relationship to the chinese economy is still, you know, a little bit exaggerated but has become a bil issue on the campaign trail particularly in an economy wheri job creationn, is still pretty slow and, again, there's a lot o of debate over our place in t

you have to have a huge volume? >> we don't have a q reversal day in the classic sense that you have in the apple. what you have is sort of a drifting away. there is, in fact no volume. it's quite the opposite. so apple has sort of a euphoria, epic, everyone in. where starbucks' problem is there's complacency. no one is afraid of anything. everyone just stays with their starbucks. nobody sells it. it's a crowded trade. >> melissa saying it's spooky. >> everybody's complacent. >> we're all holding starbucks cups under the desk. >> you actually have a buy that you brought as well. >> there's always something to do. that's the beauty of the market. freeport. this rather than being too much of a good thing, this is a stock that's been quite poor that's in the process of healing. what i would characterize as a bearish to bullish reversal. where about to flatten. and you have a nice entry point on this dip. we've just dipped from 49 to 42 down to what will be a level of support at the moving average. i would play at 42 back to 47, 49. >> all right. thanks for coming along. we appreciate it. mike khouw, y

you have to question it. this company is being priced almost to perfection. you have apple up here. you have google up here. and facebook jumps right in with them? i think it's -- you know, i think it's a stretch. they still have a lot to prove to see if they can go to a great investment. >> they'll get a lot of rope on this one though. they'll have it months and months that people will allow them to have this valuation. you could have this for the next 18 months. about stretch valuations, you come back 18 months, you're having a similar conversation. just because valuation's a stretch doesn't mean the stock can't go higher. i think that point is a long ways away. >> in terms of revenue growth, what sorts of companies are you paying for revenue growth in the league of 88% year on year. 2011 revenues at $3.7 billion. for the fourth quarter 1.1 billion. >> apple. i mean, i don't know if it's 80. but it's huge. the nurnl's huge. the valuation is nowhere emotely close by tens of multiples. >> right. so that makes you say no thank you. somebody taps you on the shoulder, hey karen would you like an allocation of

if you have an apple phone, you probably have pandora on your phone. they have helped the discussion around young companies. recently, we had an open house, so to speak, for about 150 investors. we had standing room only. they are leaving, i think, the discussion, particularly for tech companies. some of the tech companies in san francisco want second campuses. we are hoping they will come across the bay. by bart, they can be there in 10 minutes. i take bart to visit the mayor in san francisco. it only takes me 10 minutes from downtown to get to market street. everything in real estate is closely linked. i am loving the fact that his friends are growing and i still have a lot of space here. this will probably be a once-in- a-lifetime development opportunities in oakland. oakland made a clear policy to save industrial land, so we could have a mixed economy. we are paying much more attention to the port of oakland. i say the port. the commissioners of the port are here. oakland is the only port in the united states -- president obama is trying to double

have the best apple app. it's now 6% of their sales. have your -- when you order domino's, do you do it through the phone or do you do it online? >> i've never ordered domino's. i live in new york city. there's a slice on every corner. >> so what? doesn't taste as good as domino's. me and the kids, we love domino's. we just love it. one of the reasons we love it is the app. you don't have to speak to anybody. if you get the wrong pizza, it's your own darn fault. >> and since the cardboard conversation, does it taste a lot better and have you tried it? >> it's so much better. and the cheesy bread is good. you can only have a half a one before you have to gorge and purge, frankly. but when i say it's a technology stop, they've reduced labor costs dramatically. >> that's tonight on "mad money." >> he's the greatest, patty doyle. he's a good italian -- not! >> doyle? italian? what about the sports trends? what's going on there? >> why are we stalled? because of oil. how do we know it's oil? you take a look at the transports. the transports are the w

you want to be long apple. it's not binary where if you say we sold some today it means we don't think apple continues higher. yes. as it continues to march higher, you have to evaluate your risk. a lot of what i have done, i own the 495 calls. now only shorts and put spreads which i think in apple's case and the case of other names, wouldn't put that trade on. but with apple, there's such quiet volatility in a sense you can make that trade. >> this is the largest market cap company in the world right now. when you think about it, the stock's up 10% in about seven trading days. it's added $50 billion market cap. it's bigger than microsoft and google combined. the excitement is about a potential for a dividend announcement. heck. there's your dividend. you just got $50 billion fop me at these levels and there's a lot of excitement and whatever. i think it sets up for a potential disappointment that you head into this meeting. if you don't get that dividend announcement. >> let's go downstream a bit. i hope you did your valentine's shopping for me already. >> i'm done. yeah. >> i was done a long time ago. >> that means she didn't even start. excellent job.

you so much. look forward to that. apple has been on fire with the stock approaching $500. on the other hand you have this year. what is the trade on the biggest tech names? we bring in gene munster, analyst at piper jaffray. one quick comment on apple and then the other names which have lagged. the same question i asked toni saccinoghi earlier on. is it justified the stock is climbing every day towards 500 bucks and if it hits 500, does that prove to be resistance in your world? >> not at all. actually apple is one of the biggest tech lagers given the earnings revisions. this is the delayed reaction we should have seen the last couple of quarters. i think there's more room to go. >> what is your take on what's happening at google, amid reports of a new entaintment system coming, you know who the direct competitor appears to be, apple, who they have their sights set on. what do you think about google's prospects going forward in a year where they've lagged some of the other big tech names. relatively speaking the performance is weak. >> i think the stock will be rangebound for the next six months. th

as you know, if you have safari, if you are an apple user, either on your iphone or browser, safari isay that you get on the internet if you have an apple computer. google wanted a way to find out if they could use -- if they could put a cookie in there, so that they could get their google plus application up and running and find out if you are a google user. this gets very complicated. the bottom line is, google found a way to get around the software code and track people who are on safari, without their knowledge. so wherever you went, if you went to go shopping for a dress, if you went on member m.d. and wanted to look up a cure for whatever, hemorrhoids, you name it. so the question is, do you want people or anybody or a computer to know that you've been on web m.d., whatever the case may be? google says it was a glitch. apple is not sure. privacy experts say come on, this is exactly what google and facebook and all the internet advertisers want to do, they want to track your behavior. ever noticed if you look at a pair of boots and for the next three weeks boots pop up wherever yo

i used to say to my brother, this apple thing, you have gotten from your grandfather who had a reverence. he would say that is ridiculous. when my brother announced he was going to give up his life as a trial lawyer to be an apple orchardist. my father said i have one thing to say, jews don't farm. but they did. his father clearly did. >> just to wind up, then, what are you working on next? >> i have become fascinated with the personal. this is the most excruciating difficult book. >> so you are going to turn around and do it again. >> i have been spending a great deal of time in india every year my next book is a memoir of going through india and what this has done to transform my own life. >> thank you very much. >> thank you. >> [applause]. >> [applause]. we have a very special guest. [inaudible] is here with us tonight. [inaudible] dancing. step dancing which we are familiar with. you may have seen this before. this will be a treat. [applause]. >> someone once told me this was from scandanavia. this is a different version. about 2 sisters that fall in love with the same guy. it didn'

what kind of rating do you have on apple right now? see it trading over the next 12 months? >> we continue to have an outperform rating. price target is $580 based on just 13 times. at this point we don't think you get a lot of multiple expansion, but the earnings growth we think will be there. >> does apple need to pay a dividend, andy? you don't expect them to announce it today, do you? >> no. i don't expect them to announce it today. do they need to? no. i guess they don't need to do anything. they need to keep selling iphones. >> that's a point well-taken. >> status quo feels -- >> do you think they will eventually? >> yeah. i think they will eventually. i mean, there's two issues. one, cash pile is ridiculous. and, two, coming up on half a trillion dollars in terms of market cap and it becomes difficult to find new investors. so a dividend is a way to get new people involved. >> john carney, when tim cook took over the reigns and speculate how apple might be different, i think already he's proven he's different in a number of ways

them part form permanent family as a civil unions did that but that wasn't enough it's like if you have an apple and an orange you hold up the orange this is an orange or a hold of my orange i say this is an apple and you say no not in words no no it's not marriage is between a man and a woman you can have civil unions for gay couples but a marriage in the dictionary is defined as a union between a man whom they want to take a leave of very definition and chris christie only vetoed it because he said this isn't if this is a modern war scenario i mean abraham married his wife or his sister does that you know if you want to go biblical on me but it and david had many wives but the point of there is over fourteen thousand laws state federal laws that include the word marriage and all of them have to do with the inheritance rights of visitation they have to do with legal contracts would people get married we want we want people to be married we think that long term relationships as a society are good and healthy thing and whether kids are involved or not good long term relationships people having th

i used to say to my brother, this apple thing, you have gotten from your grandfather who had a reverence. he would say that is ridiculous. when my brother announced he was going to give up his life as a trial lawyer to be an apple orchardist. my father said i have one thing to say, jews don't farm. but they did. his father clearly did. >> just to wind up, then, what are you working on next? >> i have become fascinated with the personal. this is the most excruciating

you will see web cams in them. >> how much are we spending on it? >> $39 to $99. >> we're going to put it to work, right? >> this is face time, apple's world of chatting. you haveover here we are going to skype with al. >> i don't talk to al nearly enough. >> there he is. he's in the window. skyping is easy. free to use. log onto skype.com, type in your name and profile. find any family members on skype, hit the video call button and chat with al. what's going on, al? >> it's amazing this technology. >> where are those $20 you owe me? >> i lost you carl. i'm sorry. [ disconnects ] [ laughter ] >> i don't believe that guy. >> that's how easy it is. you hit the video call and dial him back and say, no, it wasn't a bad connection. we know you tried to cop out on us, al. >> he's turning us down. there's a camera you cannot escape from. >> that's how easy it is. family and friends can connect. >> for those frustrated by the picture freezing is that a reason to give up or keep trying back? >> normally that means your internet connection is slow or you may be doing too much wiggling. sit still. have great lighting. have an hd camera. the bottom line is you want to con

have you. what does the call cap intext look like? >> we are reaching the momentum peak. a lot of action in small cap names. you have blow off type moves with the biggest names like apple. tober 4 low to where we are now. an advance of 35% and in principal, when you get back, memory kicks in. the people who bought poorly and lost a lot of money and having had that money returned to them, i want my money back. the other type of memory, people who bought well and brilliance at the bottom. their memory kicks in and they want to book gains. you respond before ever being able to exceed it. >> would you say the same for gold? we have seen the pattern where we had a break down and a recover in gold and at levels where people made whole. >> gold having the topping out kind of thing. we have a blow off top in august. this was in the throws of coming apart,ly. >> you brought a chart of one of these stocks. because we don't talk about this name, i can't remember the last time we uttered this name on the show. what do you see here? >> the reciprocal of the glow. this is a fairly well-defined thing. transports have been great from truckers to rails and airlines have been good. shippe

you like that. >> we like qualcomm, we like apple, bisibms of the world. >> you have liked apple forever.now, i mean, everybody's been raising their price targets and now up to the $500 level. this is one of the only stocks trading higher today. now it's pulled back a little bit. what are you waiting for on ap pal? >> you'll have the smart tv. everybody expecting a smart tv. we think they'll go down to lower price points. they're going to sell at $300, $200 phone over in china. you've got one-sixth of their sales, bill, are in china, with only five stores. they had riots, they had to close the stores because the people get so excited over it. we think the international expansion is still there f apple. no question about its revenue and growth opportunities. what are they going to do with that cash? that's why it sells so cheaply. still sells for 11 times earnings. but they've got $100 billion in cash, about, on their balance sheet. >> and nobody splits their stock anymore. remember the old days when -- any stock getting close to 500, much less to # $00 would think about splitting the shar

. >> i haveheard you have not had an apple in a decade. if you did it, it will help it go down a little easier. >> white house honey. that sounds a little about. >> with a different president that could mean a different thing. take of the first lady the first lady appeared on jay leno. the talk-show host at a slice of apple. that broke his long-time aversion to things healthy. >> the most generous boss. he recently sold his business for around $400 million and wanted to reward the people who help make the business a success, so the 79-year-old handed out bonuses to 1800 workers of up to $30,000 each. employers call that life- changing. some workers bought the bank deposits were a mistake. still ahead, a final look at >> is is the start of black history month. i went to speak to students at malcolm x elementary. i spoke about some of the nation's black trailblazers past and present. we talked about dreaming big and putting a plan and practice so we can make those dreams reality. but times out there. i would like to invite everyone to join us

apple ipad helped those gains. the tech giant invited journalists today to a march 7th event in san francisco. the invitation shows a finger touching an ipad and says, "we have something you really have to see... and touch." apple shares rallied to a new high of $535.41 a share. apple now has a market value of a half trillion dollars. >> susie: joining us now with more analysis about today's market actn: alec young, global market strategist at s&p capital i.q. important is the milestone. i know you're with s&p, but looking at the dow, is this milestone important? >> the major milestones with the dow or s&p are always encouraging to investors. on the outside, given the roller coaster ride the investors had to endure over the years, it's a positive from a psychological point of view. what we're really focused on with the s&p cap is what are the driver tac got us to this point, and can they continue. >> susie: one of the things interesting also about this cross to 13,000 is is happened without the individual investor. in fact, most of the individual investors have been pouring their money into bonds, and avoiding stocks. do you think that's going to change, especially now th

you have jpmorgan chase, and pfizer and united tech with gains. >> bill, as you know, apple hits an allime record after crossing the $500 mark for the first time today. they have been riding high after posting blow out earnings last month after strong demand for the ipod and ipad, is the stock still cheap enough at $500 for you to get in. let's ask a research analyst and senior equity analyst. apple did cross the $500 mark, but everyone we talk to is bullish to stock, how about you, is it too late to buy? >> no, there's plenty of room to go, if you look at apple's main two products, ipods and ipads, both have strong possibilities, just compare it to blackberry. about 175 countries and 600 carries, so there's a lot of room for them to expand. if you look at ipads, we will have a new one soon and competition is not catching up. both categories will keep going, if you look at it by the end of the year, they will be doing at $50 ear share in earnings, so attractive. >> your price target is $635 on the stock? >> yes, and next year's eps could be closer to $60 and that could getz us closer to

you something. apple is so volatile. what difference will it really make? do you have a sense for how much demand sitting on the sidelines and because they have no policy to address this? >> apple is actually very under owned among value managers and yield managers in the u.s. they are a growing piece particularly yield managers are a growing piece of that asset under management. i think many are waiting on the sidelines for that dividend and that return of cash to shareholders. you will see the positions start to build when we get it. >> i'm sure you are somewhat modelling this, but maybe they are hoarding to make an acquisition. they can probably do something given the cash or relatively inexpensive like a twit they're gets them into the social media world. have you modelled for that and would that be a positive if that happened? >> we figure we can make good money if nothing happens with the cash. a little bit better than that would be a sort of acquisition that might generate income overtime. the best would be either a dividend or a buy back. they said again today

you have to pounce. stay with cramer. >>> listen, apple is all about earnings. hat puts a stock, any stock up more than 20% year to date without a takeover, you have to recognize that that's earnings talking. there has been plenty of talk with apple with its $469 billion market cap has become its own personal bubble and i understand that. you have to be nervous that apple has had a parabolic run here, but the problem with dissing apple here and dismissing the run is that it's based on upward earnings revisions that are so great it's difficult to understand why apple isn't even higher already. we had a ton of stocks that gapped up this year. i count 20 stocks that were hand delivered every weekend, showing a price that's dramatically higher than the previous day's close, why? because it announced a gigantic earnings surprise and the stock skips points all of the way where it has to go. the stocks are too low versus the rest of the market given the new earnings momentum and the low price to earnings multiple versus the cohort and the rest of the market. almost ever

smart phone revenue continue to trend up every quarter as you have the past four or five quarters. >> you say you have great partners in google and appleyou be an acquisition target to being bought? >> you know, i think our management team's fully aligned with our shareholders. so we're of course always willing to enter those conversations with any suitor. >> okay. got to leave it there. we appreciate your time. interesting business. glu mobile. >> thank you. >> we're probably a different generation in that we don't get mobile gaming. >> my daughter plays this game where you're building a house. >> you got to pay for the house. >> you buy plywood and hammers and things? >> no. she's got her iphone. we tell her not to do it because i don't know what it's called. magic something or other. and they build this house. and she's building these rooms and putting beds in there and they look like 13th century castles. i have no idea why she does it. she has no yed why she does it. >> nothing. >> so it's free. >> there's the thing i don't understand. to me they're all fad stocks. it's going to trade ultimately like electronic arts or any other s

comes to ipo minds, you see zynga and all of these other valuations start to move higher, you have to look at apple and look at the valuation there. they continue to grow, they have cash behind them to grow, you know, within themselves. and so you take a look at apple and you say this stock is worth at least 550, maybe higher. but on the other hand it's had such a huge run and you talk about the factor in the rest of the market. the nasdaq 100 being up over 12% this year. apple being a big component. if we start to see some topping out and decline, certainly apple is going to feel the pain. i'm sort of in a middle ground. waiting for a bit of a pull-back to get into apple. i think you have to treat it as a separate basket in your portfolio. >> let's hit our call of the day. more pain for bank of america, as yet another firm downgrades the stock. yesterday it was citi, today it's bernstein research, citing valuation and a lack of earnings power. josh brown, what's the trade here? because you've had a phenomenal gain so far this year. on b.a.c. >> you've had a phenomenal gain until you back the chart

-- >> rose: right. >> so clearly, and in five continents that involved so much in, you are bound to have a rotten apple, and that was excised and taken out. >> rose: are you sure. >> for sure that is what murdoch and james murdoch told me and would like to put them behind them. remember rupert murdoch, was in the house of kingdoms said it is the most humble day of my life. >> rose: anything that happened in your hacking scandal diminish your support for james murdoch? >> i mean how could this happen when this happened in a newspaper, how could this be affecting my relationship with james murdoch? he was not involved in that process at all no, he made decisions and the families in the uk and he is settling with everybody else. so my support to james is there because they are not involved in it. i will say the people that are in that bogs should be fired completely. >> rose: you suggested to the people this he should fire rebecca brooks and she was fired immediately after that. >> rose: so you were responsible for her being fired. >> no, i don't claim that at all because rupert would not have continued w

if you have an apple product, you may have chosen the third one. ligion too and why people think of men as religious leaders. if i ask you to imagine god rather than an apple, most americans pick an old white man, a beard. the old white male picture pops into our heads even if we don't believe in god or if we don't believe god has race or gender. theologian carol chris says we take this image of god and apply it to religious institutions and families and even our politician. we picture god as male. so we think all leaders should be male in all realms. a first step to getting more women into positions of power is to change the pictures in our heads. and even though more women turn out to vote than men in american politic, it's pretty hard to get a different picture. if you don't believe me, let's look at the numbers. during the whole existence of the supreme court, there have been only four female justices. and three of them are serving right now. in congress, only 17% of senate seats are held by women. it's only 16.8% in the house. now, true, there

apple stock. let's talk about it. so you have a target price of $585 on it. what do you say to critics who say apple is overpriced even at 516 where it closed today. >> well, i think first of all the critics have been wrong so far. apple showed accelerated earnings growth last quarter. we could see them 2013 well over $30, take out that cash of a hundred billion dollars, and it trimmed ten times-- still very anably valued. as long as eerntion keep going up valuation doesn't lack that stretched. i think some people are just saying that stock can't go up this much or this long forever. there is a lot of international and market share growth for apple still to go. >> susie: so for somebody who has not invested in apple, stand on the sidelines saying too late at this praise, dow still think it's worth it to buy shares at this price? >> i think it can go higher than 585. i think they have the platform in i cloud for the next ten areas to build off all these connected devices. they have single digit market share in mobile phones, and pcs and they're just getting int

look at the relative table berkshire versus system -- s & p. >> i look at that and say why don't you have apple. too critical? >> maybe. >> thanks. you're supposed to say no. >> thank you. it's your first day here. weep should have a couple days. thank you. i appreciate that. >> any time. >> are you going to be comfortable do you think? you're going to turn around from time to time and work on the screen. >> here's a stock. this is a company that needed -- this company was on my show a couple times. they had a gigantic funding gap. that was answered this morning by blackstone. $2 billion. wow. this company is going to make it. it was always a binary company or the company goes under. suddenly blackstone salvation. cnq, by the way, a great performer, will probably continue. >> all right. >> you know what the great thing about these plasmas behind us are is that they're roll. they're on a track and they actually move. from time to time you'll see them in different locations. >> our telestrator. a lot of people need stocks to come to live and the way to do that is to have representations. >> take