Skip to main content

tv   Mad Money  CNBC  July 19, 2013 11:00pm-12:01am EDT

11:00 pm
've invested over $55 billion here in the last five years - making bp america's largest energy investor. our commitment has never been stronger. 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." a lot of people want to make friends. i'm just trying to make a little money. my job isn't just to entertain you, but teach and educate you. call me at 1-800-743-cnbc. after a ho-hum day, nasdaq back slid 0.6%. it's the end of a terrific week.
11:01 pm
we need to look forward because while we're right in the thick of earnings season, next week is the toughest one of all. what's the game plan? first of all, next week i have a weird twist. we're going to be doing the big guessing game over municipal bonds. who will be the next to go under after detroit? i don't want go to there because i think detroit is a special case, one that's uniquely horrible as the tax base has been eroding for years. that's something we don't see anywhere else except some small towns in california. here's something you need to know. i would not be a buyer of any mu n -- municipal bonds here. the yields are too low. this is a showdown that has no impact on your pocketbook unless you own the detroit bonds themselves. now, this huge earnings week coming up. before we get there, let's go over a pattern i've observed that's going to color all of this action. first, while tech is incredibly visible as a disappointment
11:02 pm
right now, we have nevertheless seen multiple areas where companies are reporting better than expected numbers, including terrific earnings from industrial and a.r. space companies like ge and honeywell along with banks like capital one, morgan stanley and wells fargo. health care names like dow stocks, united health and j&j. as well as housing. whirlpool shot the lights out. let's not forget union pacific. the big railroad that's the dominant transport layer in a narcot market that loves the transpo s transports. google and intel reported weak earnings. although, google wasn't all that bad. i think it's going to get better again. please don't give up if you're in there. if you're not, you should buy it. contrary view. let's talk earnings. mcdonald's reports on monday
11:03 pm
morning. many are expecting a weak number. that's the chatter. when you have that kind of situation where expectations are low, be on lookout for a buying opportunity. this is a fabulous company that's doing many things right. they're innovating. they're opening with new hours. i say bet with it, not against it. after the close we hear from netflix. that's a cold stock. it's hard to gain this kind of stock on earnings when it's being rated by how many emmy's "house of cards" gets nominated for. i bet we get outstanding growth again. growth is exactly what managers want. they'll look through a lot of issues if there's growth underneath. tuesday morning we get results from dupont. oh, boy. you'll likely hear an impassi impassioned defense of their business model by the ceo based on science and enziems to promote better food and safety. you'll hear that paint is a good thing too, though. i say paint because that is the
11:04 pm
word used when he told us he'd taken a massive stake in dupont at the alpha conference. i think he's going to push for the spin-out. let me just say up front, i don't think the earnings will actually be that good. i think you could sell off. the pullback might be your opportunity to buy. when you buy after he announces his position, he has a successful track record, and you can too. after the close tuesday, apple. hey, looks like everyone else in tech is now doing as poorly as apple. at least when it comes to missing projections. misery loves company. i don't think it's the earnings anymore. my trust owns some. it's cheap. if they announce a killer new product and give you a date of when it's coming out, it can go higher. that's what we want to hear at this point. no one is really thinking the earnings are going to be that good. ford reports on wednesday. is europe at last under control? you know that's been the problem
11:05 pm
here. the sco told us recently when he came to the show, he said, maybe you can kind of stop worrying about europe a little. if it is, then this stock is going to soar through its old high, the level it was at when we visited the f-150 plant a couple years ago. if ford sells off, buy more. also on wednesday, we hear from pepsico. the ceo will tell you why pepsi and frito lay belong under the same roof. it's exactly what it should be, particularly because the stock just hit an all-time high. let's hear what she has to say. i think the stock could be arguably ahead of itself because of the peltz puff. but i agree with the opinion. pepsi can't get to 105 on its own. after the close we get results from one of the most hated
11:06 pm
stocks out there, facebook. but is it hated enough to have a -- to be so washed out? are all the bad owners going? that's what's going to happen. i got to tell you, last quarter the company delivered an upside surprise at every single metric and still got hammered. even if facebook says they're h hitting it out of the park, no one is going to believe them. i think no matter what they say, it's going to be despised. at least for now. don't know when the sentiment changes. we're going to get boeing's numbers thursday. as long as the price of oil, the biggest cost for airlines, stays high -- remember, boeing's new planes cut the fuel use. i think you're going to want to own some boeing. it's the only company i follow that's has a 20-year growth plan. yes, there are going to be growing pains. we heard last last night about a dreamliner. remember when the ceo told us when he came on the show. the problems are fixable.
11:07 pm
you can't get a dreamliner for six, seven years. that's how long the backlog is. tuesday morning celgene reports. there's so many drugs in the pipeline the second half of the year. be prepared to hear numbers being raised on this very inexpensive stock. even after this doubled over the last 12 months, it was strong today along with this whole incredible cohort as the group's been most in favor i've ever seen. what a group. also thursday, we hear from 3m, which is the second biggest group to have an amazing run this year after boeing. this is a trading philosophy. if you bought some of this stock when 3m reported last time and got hammered -- but you know what, i don't know. you're an going to have to buy it back at lower levels. 3m has a big business. if you're talking to the ceo
11:08 pm
last night on the show and reading many reports of the continuing weakness in china, i'm getting a little nervous ahead of the quarter. they got a big asian business. even as i remain bullish long term about this fantastic, well-managed company. one of my favorites are, bristol-myers. this quintessential secular growth stock should give you a good read on its cancer pipeline. this is looking more and more like a bio tech. amazon also reports thursday. like netflix, this is a cult stock. what does that mean, really? simple. it really doesn't mean -- it doesn't really mean that amazon's earnings necessarily matter. yeah, not kidding. only netflix and amazon have this bizarre quality. unless they tell you they're never make money ever or they're going it burn all the money in a chimney, people seem to be happy
11:09 pm
with it. weakness equals buy. last but not least, we get a housing checkup on friday. has housing been hurt by the spike in mortgage rates? i'm following stanley works, fantastic tools company, and warehouse, a home libuilder and lumber company. john paulson made billions bething against housing six years ago. now he's the biggest housing bull in the land. if rates go up again between now and friday, these stocks will sell off no matter what they say. let's keep an eye out for them. here's the bottom line. there's a lot happening next week. the thing you need to keep in mind is while most techs have been awful, many other sectors are absolutely on fire. i won't be surprised if they don't continue all next week. jim in washington state. jim.
11:10 pm
>> caller: jim, how are you? >> all right. how are you? >> caller: great. hey, listen. thanks for your sage advice on stocks. it's helping pay my daughter's tuition. >> that's fantastic. if we can help you to raise or save money for that kind of cause, i know we're going a good job. >> caller: my question, united health care, unh, is that a buy or too high? >> still a buy. it's still a buy. i read a terrific note today by my favorite analyst on it who said even though the medicare advantage program could be cut back a little bit in 2014, the numbers are still too low. unh is a buy. wow, what a run. let's go to marvin in california. >> caller: thanks for taking my call, jim. i noticed that defense stocks is like lockheed martin were up today, but ericsson air crane is trending down sharply. what's your take on this one and also on lockheed martin?
11:11 pm
>> as we have said -- oh, lockheed martin is terrific. lmt is one of the best in show. ericsson air crane, there were things that happened after the company came here that i still frankly do not understand. and when the company comes back, maybe we can ask them about it. earnings season is in a frenzy with lots more on tap next week. terrible tech might be leaving a bad taste in your mouth, but remember, many other sectors are acting so much better. oh, and don't give up on google. i actually thought it was a pretty good quarter. "mad money" will be right back. coming up, surge protector? some of the biggest names in tech got crushed today. but cramer's found a portfolio know. and gadgets come to life. don't miss cramer's earnings exclusive with its ceo. and later, mild, medium? no, hot.
11:12 pm
chipotle delivered a spicy earnings beat, and the market sent its stocks soaring to a new 52-week high. for the beloved burrito maker continue to grill up gains, or is it too hot to handle? cramer's talking to the big enchilada in his first interview since reporting. plus, you ask s he answers. >> i do not know canadian solar, which means i've got to come back on it. >> you sent cramer back to the books. now he's got the answers you need. plus, jim responds to your tweets and your e-mails just ahead. all coming up on "mad money."
11:13 pm
diarrhea, gas, bloating? constipation, yes! one phillips' colon health probiotic cap each day helps defend against these digestive issues... with three strains of good bacteria. [ phillips' lady ] live the regular life. phillips'. ♪ [ male announcer ] you wait all year for summer. ♪ this summer was definitely worth the wait.
11:14 pm
♪ summer's best event from cadillac. let summer try and pass you by. lease this all-new cadillac ats for around $299 per month or purchase for 0% apr for 60 months. come in now for the best offers of the model year. has oats that can help lower cholesterol? and it tastes good? sure does! wow. it's the honey, it makes it taste so... well, would you look at the time... what's the rush? be happy. be healthy.
11:15 pm
if you want to know what's working in tech right now, just
11:16 pm
take one look at cy. the company is behind the touch screens and virtually every single non-apple smart phone and tablet out there with the true touch technology. that's the company's hottest business. they also sell programmable systems on a chip. they're used in all kinds of devices, especially phones and tablets. they make controller chips too. it's the market leader in static random access memory chips. it's more of a commodity but still a huge opportunity. here's the stock that jumped 4.5% yesterday after they reported a better than expected quarter. cypress sold broad-based strengths. their touch screen designs are really starting to ramp multiple customers on multiple platforms. they've rallied over 25% since january 25th when we interviewed the ceo.
11:17 pm
a gigantic position. you know he's putting his money where his mouth is. the stock has given us over 200% gain, more than a triple since september of 2008. but it looked like the western financial world was ending. i think cyprus has a lot more room to run, but it's also -- 5.5% yield. very high for a tech stock. let's check in with t.j. rogers. hear more about the quarter and his company's prospects. welcome back to "mad money." >> thank you. >> all right -- >> glad to be back. >> you said right at the top of your conference call, that this was it. it finally came together. but the previous call what you had said to us was you didn't understand how fickle the consumer got. why did the consumer suddenly want the glove? why did they realize the static is bad? what changed in six months? >> well, of course, the big deal now is touch on cell phones and if the touch works, it's great. most people want to charge their
11:18 pm
cell phone, which has a shorter and shorter lifetime because of all these new features. so you plug in your charger and work on your cell phone and then you get tired of carrying around your charger, so you buy a second and a third one. one for work and home. what happen ss the second and third one you buy aren't the super premium ones the cell phone company ships and they enjekt noise into the cell phone and in particular, they mess up the really no pun intended, touchy performance of the screen and it takes some fairly sophisticated chip design in order to have a lousy charger not mess up a touch screen. we've been working on that for two years. a lot of work for a lot of people for a simple sounding problem and now that it's turning out to be a big deal and it's giving us a bunch of designs. >> another thing, you knew the anticipation like the charger issue, you told us on the just ahead and realized they would. >> what happened is somebody
11:19 pm
introduced the feature called glove. meaning if you're in helsinki or new york during the winter, it makes it harder for the screen to work properly. so we worked on a glove feature. it's primarily softer coder you have to do to understand it better and we said obviously if you're in new york, you don't want to take off your glove to turn on the glove feature and put your glove back on. you want to put your finger down and have the cell phone say oh, that finger's got a glove on it. we did it that way and now, it turns out everybody's got glove feature and they don't want the take off their gloves to use glove.
11:20 pm
kind of lucked out on that one. worked for us. >> last time you were on, you said look, this is the bottom. it's got to be the bottom, which was an unbelievable call. you also talked about the idea that there was a boom bust cycle you've never seen before where they used to ship 10 million units a quarter and now, we ship none. is that possibly behind us? that boom bust quarter to quarter issue? >> it is true, last quarter, i saw the bottom and we, you had to believe what i said because the numbers didn't show it. that's what happened. right now for the next quarter, i have better visibility for one quarter and certainly not for one year and that's not going to happen to us again. in the long haul, this is like a heavy weight fight. the minute you get cocky, a big fist comes sailing through the air and hits you in the nose. for next quarter, we're feeling pretty comfortable. >> you're also seeing some momentum in auto. we're shipping a lot of autos now.
11:21 pm
could you tell our viewers where in the auto you are located so they get more comfortable what cyprus does? >> sure. automotive to get touch into automotive takes about two and a half years. that's because we control it in five and there can be zero mistake. so, we start out in an automobile where safety is pear pair mount, so the preset buttons on your radio, the volume will turn from being a knob to being a slide, touch slider. your heating and air-conditioning, so we're moving in basically into the dashboard controls sort of a best design is the tesla. our high-tech car in silicon valley and in the tesla, there's a screen about this big and all the controls are on the top and you basically go in and turn on heating and your heating controls come up. you turn on windows and sunroof
11:22 pm
and those controls come up and on the bottom, there's actually the connection to the internet, so there's a screen this big in a tesla, which is kind of an amazing looking car. it's got no knobs and buttons and this one big blank screen in the middle and it runs the car. that's the ranges of wins we have in automotive right now. >> next question was that. when i drive the tesla, i cannot believe it. the console is so much fun. and that's all you, everyone one of those? because it just works so much better than knob. that's all your technology? >> well, in this -- the technology to turn a finger touch into a position into a command is ours. the concept of how to control an automobile with touch, you've got to give all the credit to tesla on that. they made a breakthrough. >> it's just fun and whoever put you in knew this would be a fun thing to use. it's also incredibly cool. your stuff is cool, tj and it's innovative. congratulations.
11:23 pm
you said it was the bottom last time you were on. you put your money where your mouth is and you delivered for your shareholders. thank you so much. >> thank you. >> guys, look. the stock was up so much yesterday that people probably feel it's over. inventories are low. you just heard he said he had visibility. if you've ever been in a tesla, you're pressing things and you can't believe it. if elan likes it in tesla, it's going to be everywhere soon. >> coming up, mild, medium, no. hot. chipotle delivered a spicy beat and sent stocks soaring to a new high. for the beloved burrito continue to grill up gains, or is it too hot to handle? cramer's talking to the big
11:24 pm
enchilada in his first interview since reporting. j.d. power and associates has ranked quicken loans meet the newest member of the quicken loans family: highest in the nation in customer satisfaction... i say "family," because we've been blessed with this honor for 3 years in a row... rest assured we'll treat all of your mortgage needs with tender loving care. amazing client satisfaction: it's a quicken loans family value. call 800-quicken or go to quickenloans.com
11:25 pm
to experience it for yourself. ♪ honey, is he too into this car thing? [ mumbling ] definitely the quattro. ♪ honey? huh? a5. what? [ sighs ] did you say something? ♪
11:26 pm
has oats that can help lower cholesterol? and it tastes good? sure does! wow. it's the honey, it makes it taste so... well, would you look at the time... what's the rush? be happy. be healthy. in april of last year, chipotle got hit hard. from highs near 450 to lows in the 200s on worries that the
11:27 pm
growth of this red-hot chain was slowing, but ever since then chipotle's been working its way back up and today the comeback is almost complete. the stock surging where 8.55% to close above 400 in the wake of last night's better than expected results. company beat the street's earnings by a penny. really impressive thing is that chipotle posted an increase in same-store sales. this is the metric everybody had been concerned about. the company delivered a number much higher than 3.8 increase analysts were looking for. bringing the total store count to 1,502 and management is forecasting going forward, much better than the growth some were worried about. yet they've got their mojo. can they keep it up? can the stock keep roaring higher? is it too late to join the party? let's take a closer look with chipotle's chief financial officer to learn more about the quarter and where the company is
11:28 pm
headed on this his 20th anniversary. happy 20th birthday and welcome back to "mad money." >> thank you, jim. it's great to be with you. >> i'm trying to figure out whether anything really changed. you guys have been doing pretty consistent. you've built up your loyalty. to me, if anything, the market message has gotten much better and yet, the stock went from 400 to 200 back to 400. is it just the market's a little irrational if you're running it day-to-day and you're chipotle? >> we never focus on the short-term swings of the market. we believe we've got a lot of long-term potential with chipotle in the u.s. got a lot of potential overtime with chipotle in europe. we've got chop house as well. so we think about a longer term horizon and how can we serve our customers better food, severed by better people, top performers who are empowered to deliver an extraordinary experience? and if we focus on those things, we will add shareholder value.
11:29 pm
the wild swings that happen with our stock quarter to quarter, year to year, we don't really have control over that. >> fair enough. one of the things i think was the tension was you guys basically said listen, food with integrity, we're unstoppable and looking at things like genetically modified food. at the same time, you were saying but we're not going to increase prices. people feel what you're tried to do can't be accomplished unless you raise prices so you can get these not so good ingredients out and get the food with integrity in. >> that's right. we've been sparing with our money u price increases. we haven't raised menu prices for two years now. often, we've gone two or three years without raising prices. we try to run a very efficient business without going to our customers and asking for more money on a regular basis. now, it does cost more to serve these higher-quality ingredients, ingredients that are sustainably raised.
11:30 pm
we're really committed to remove gmos and that's going to cost money. one of the reasons we held off on price increases, one, it looks like commodity inflation has held off and it looks like there might be deflation. so we'd rather not raise prices when costs might decline. secondly, because of our commitment to getting the gmos out, we know that's going to cost more money so we would like to bank the price increase we're thinking about, then push it off until sometime in 2014. we'd like to time it around the time we can announce that we have or are on the verge of removing gmos from our ingredients. >> i believe the customers will pay for, frankly. one of the things that amazed me about this quarter, your labor leverage. i didn't expect it, but i know you're very committed to keeping the best people. at what point do you say labors
11:31 pm
are making enough here. maybe we're going to lose somebody or are you just not losing your people even with costs stable? >> we are in a business that's a high turnover business. so our turnover generally at the salaried level is lower than other companies, but it still has a high turnover level. we hire almost all of our managers from crew. if you want a career, if you want to learn how to cook and run a business, if you want to be part of something exciting, you come to chipotle and we'll teach you those things. we have crew people that joined six or seven, eight years ago that are now in management positions and have a lot of responsibility. they're changing people's lives and financially, they're rewarded as well, so we believe we can keep good people, so while we have turnover, a lot of that is you know, kids, for example, that are going to school and working during the school year and they leave and hopefully will come back, in terms of those who want a career who really buy into what we're
11:32 pm
doing, they stay and they have a bright career with us. >> i know from jim, the great former ceo of costco, that if you can keep people, then you do or are able to avoid a lot of training costs. i want to stay on this topic. i've got too many companies that tell me they're not hiring, that are not necessarily empowering people. you're watching the show right now. you're in a job where you're not that happy. what kind of skills do i need to be a potential manager. >> well, we will teach you all the skills. we look for characteristics. things we can't teach you. things like are you ambitious? energetic? are you curious? you know, are you curious about how food is raised? about how animals are raised? things like that. if you have these 13 chartistic, are you smart, hospitable, do
11:33 pm
you like to take care of people? if you have those and no cooking skills, no business skills, we'll teach you how to cook, run the business. those are all skills that we can teach but you need to bring some skills to us. you need to bring these 13 characteristic, these qualifies, that you have them, we think you'll be successful. it doesn't matter what field you come from, we'll teach you the rest. >> what can they expect to make with the stock options? you ever get an average formula, about someone who's gone from being at one of your stores to running one? >> our restaurant managers, they can make it up to a gm and our elite managers, a restauranteur develops a special culture. they go beyond that and they create a great culture, where they're hiring only top performers with the 13 characteristics. they will be our feature leaders. the restaurant managers that do
11:34 pm
the best job of that, they become restauranteurs. they only get promoted based on a -- one of our ceos or fyfe officers and once they get to that level, they can get bonuses based on how many managers they develop. we've had restauranteurs at that level make as much as $100,000 just for running one restaurant. if they continue to develop future leaders, really, the sky's the limit in terms of what they can earn beyond just that one restaurant. >> also, there was a point i thought at the beginning, you made it sound like you said it's not going to be near term, the chop house is really almost ready for the national bowl. is that a fair thing to say? >> we still think that we are nurturing chop house. we opened up our second restaurant in d.c., one in l.a. we're going to open up two more ond four more on the docket for next year. we're still introducing chop house. the feedback has gone very, very well.
11:35 pm
when steve talks about the early days of chipotle, chop house reminds them of the very same thing. customers come in and see unfamiliar ingredients, but see the food and love it. made from fresh, high quality ingredients. an open kitchen and you're served in a fast line. it's similar to chipotle, but based on flavors from southeast asia. we're not going to really put it into high gear just yet. we'd still like to nurture it a little bit longer. >> you're brilliant, we're vegetarian. we saw that noodles and company, not necessarily analogous to that situation, seems to be very successful. the time seems to be right for this particular concept. >> for chop house, we do think so. we think that what chipotle does, this idea of sustain bly raised ingredients, then the employees who can create an elevated experience for our
11:36 pm
customers, we think that can apply to any. there's nothing really like it out there, but we think what we do can really be applied to multiple cuisines, but we're excited and lots of people who have tried it, we're very often we get a response from them or a request from them to put a chop house in their town. >> excellent. congratulations. to me, never missed a step, but it's terrific you did the round trip and are back. you always did the right thing with food integrity. cfo of chipotle. thank you so much for being with us. guys, they've been consistent with the consistent message. they could take price to please these analysts. i have found when you put the bus first, that's how everything seems to click. back after the break. every day we're working to be an even better company -
11:37 pm
and to keep our commitments. and we've made a big commitment to america. bp supports nearly 250,000 jobs here. through all of our energy operations, we invest more in the u.s. than any other place in the world. in fact, we've invested over $55 billion here in the last five years - making bp america's largest energy investor. our commitment has never been stronger.
11:38 pm
a friend under water is something completely different. i met a turtle friend today so, you don't get that very often. it seemed like it was more than happy to have us in his home. so beautiful. avo: more travel. more options. more personal. whatever you're looking for expedia has more ways to help you find yours.
11:39 pm
11:40 pm
it is time, it is time for the lightning round. -- and then lightning round is over. are you ready, skee-daddy? first i'm going to start with seth in new jersey. seth. >> boo-yah from hoboken, new jersey. how are you, jim? >> all right. what's going on? >> i want your take on mako surgical. >> shark here. here's my problem with mako. they disappointed too many times. i know it's a jersey company. i think i'd rather be a seller than buyer. dave in california. >> hey, boo-yah, jim, from west los angeles. >> i know that area quite well. how can i help?
11:41 pm
>> i'm still a believer in america's comeback in infrastructure and i'm considering in investing in one of two great american companies. axiol and hc holdings. >> supply holds, not bad. axiol, they disappointed. remember this is the spin on ppg. if you think housing's coming back and you know that our costs of natural gas liquids are low, that's buy, buy, buy. smith in texas. smith. >> hello, jim, boo-yah. i'm wondering about check -- company. >> i like check point. it's really come back. this is antistealing and there's always room for that. still tremendous step at many of the major stores. talk about it we hind the scenes. andres in pennsylvania.
11:42 pm
>> boo-yah. >> what's going on? >> i saw today's athena health. a stock you recommended a few weeks ago. do i buy, sell or hold? >> the stock is up. on any week, buy, buy, buy and john in north carolina. john. >> mr. cramer, boo-yah from the home of college basketball. >> true. >> listen, i got to thank you first. when you started your show back in march of 2005, your biggest fan was my father. and unfortunately, lived 11 months, but those 11 months, he watched your show every night and many of those with me and following discussions about stocks and i just have to thank you for really changing my family tree. >> john, you are terrific to say that. i have to tell you that one of
11:43 pm
the thing is hear about so often, fathers talking about the show with sons. daughters talking about it with dads and moms. it is a common bond, so i'm doing it right. i know it's supposed to be like, hey, cramer likes apple. thanks for understanding what it's really about. >> apple's one of our best portfolios. my question is about -- ath. >> the business is strong. i like that business. a lot of people think i've gotten spooked by it as of late. i think that's the opportunity. this is the very strong part of the market. you've just got to get it right. no, that's it? and that, ladies and gentlemen, is the conclusion of the lightning round. >> that's the one. brazil. this, i don't know, is just a
11:44 pm
really good beer and no, i'm not talking about a brazilian company. although that is an added bonus. ♪ >> my daughter and i snapped -- >> i don't know what you're talking about. >> it's hard to tell. clearly not. real people could have shopped, but for many of the wall street analysts who live right here, they don't have a clue about what happens here, west of the hudson. maybe some went there, too. i feel like a melon head.
11:45 pm
because then i have to clean it up later. you know i do all the clean-up here, too. ♪ [ male announcer] surprise -- you're having triplets. [ babies crying ] surprise -- your house was built on an ancient burial ground. [ ghosts moaning ] surprise -- your car needs a new transmission. [ coyote howls ] how about no more surprises? now you can get all the online trading tools you need without any surprise fees. ♪ it's not rocket science. it's just common sense. from td ameritrade.
11:46 pm
11:47 pm
11:48 pm
well, kids may be off on summer vacation right now, we still do our homework. on tuesday, ken in wisconsin wanted me to shed some light on canadian solar. i needed to do a little bit more work. it's one of the largest solar powered companies out there. it's up nearly 300%. by improving fundamentals and a big chinese competitor. i think it's delivered competitive results. my recommendation is if you own
11:49 pm
the stock, just give yourself a pat on the back. next up on wednesday, tom in illinois called in about xerox. i needed to take a fresh look at it before giving an opinion. one of those brands like kleenex. out of its low margin business and making a smarter move into higher technology outsourcing. in fact, outsourcing represents over half the revenues. long-term contracts and better mortgages. that said, it has rallied 42% this year, so a way for a pullback before you can buy this one, but i like it very much. thank you for calling my attention to it. finally, last night, tim in california wanted to get my analysis of boston private financial holdings. bpfh. a financial firm that's a combination of wealth management, very good business, representing a third of their total enterprise and private banking.
11:50 pm
company reported a stronger margin and a small rise in it core fee business. but with only a 2.5 yield, this is not my favorite bank although again, this is a good idea. i prefer wells fargo, which happens to be the large position in my charitable trust. the first tweet is from -- who wants to know time to sell nokia. nokia's a r very spresing name. why? because it reported a weak quarter. yet the stock didn't go down and some of the -- was pretty good. i think you can own the stock for a 20% move and do not need to sell it now. up next, a tweet and it says saw you like vlo with baked in movement and possible bottom. how about tso and 9.2 times earnings, 4.5% growth rate. just to go back over, i think
11:51 pm
this is important -- what i was saying wasn't that i -- i can understand why people -- why? which isn't nearly as good. so please don't take my endorsement on the fact vaerro didn't have such downside. that's all the tweets we have time for. back after the break. hmm...fifteen minutes
11:52 pm
could save you fifteen percent or more on car insurance. yep, everybody knows that. well, did you know some owls aren't that wise? don't forget i'm having brunch with meghan tomorrow. who? meghan, my coworker. who? seriously? you've met her like three times. who? (sighs) geico. fifteen minutes could save you...well, you know.
11:53 pm
11:54 pm
memo to michael dell and carl icahn. just walk away from dell. all will be forgiven. that's what i heard yesterday from all the tech companies i follow. dell's perhaps less than $9 a share. to the reality of this company and industry started out. first of all, if you listen to the conference call of intel, microsoft, you know that personal computers in a horrendous secular decline, meaning doesn't seem to be able to stop its decline. sure, some of it is being replaced by tablets and some by -- no chips so exciting to mean anything to most users. sure, the chips could keep getting smaller and smaller, but unless you work at nasa and want to put a man on the moon, you don't need that power. yes, intel says when it gets the in chip, maybe it will be a bump in the business, but it's more
11:55 pm
likely -- will come up with some cheaper devices and cut dell's profit margins to shreds. dell's selling big, color sets. the ones they can't even give away at best buy, except when you get your kids to college and they insist on the tv. that is if they even bother to hook one up. apple is the equivalent to a sexy flat panel tv set. third, the ab surtty of believing that dell's serving business can be the bedrock of new dell has been defrocked this quarter. plus, the clients for dell, many of whom are governments and universities, many are europe and big, big businesses -- they can hold off certainly long enough to see dell use up its cash an perhaps even go chapter 11. fourth, there's no doubt that
11:56 pm
hewlett-packard can afford to give away personal computers. megan whitmann -- the last few months. given all these things about the fact the switch happened so fast that neither intel or microsoft, google last night, seems to have seeing the velocity. dell could be doomed even if it stays public. what if it used all its cash to buy the company or a huge chunk of it to take itself private. only a moron would take the chance with the debt that it would have to issue. right now, one of you, icahn or
11:57 pm
dell, no one wants to be stuck holding this company. come on, guys. let it come down. that may be the best outcome either michael dell or carl icahn at this point has to hope for. stick with cramer.
11:58 pm
11:59 pm
12:00 am
snap chatting next week's show. there's always a bull market somewhere. promise to find it just for you. i will see you monday! >> a high-tech control room. >> he is looking at everything that's going on here. >> railroad cars hauling urgent cargo. >> get it into a railcar as fast as we can. >> on a mission to create the world's most popular brew. >> we have a presence in over 80 countries. >> it's a cultural icon -- a bubbling legend. >> probably the most recognized beer label in the world. >> an ultimate beer from the ultimate factory -- budweiser.

57 Views

info Stream Only

Uploaded by TV Archive on