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tv   Mad Money  CNBC  January 19, 2016 6:00pm-7:01pm EST

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>> very nice. >> clap the man. >> clap him out. >> clap him out. >> that is it. enough. i'm simon hobbs. catch "fast money" again at 5:00 eastern. "mad money" with jim cramer, thankfully, begins now. >> 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, welcome to cramerica. my job is not just to entertain but to teach, coach and put it in context. call me at 1-800-747-cnbc or tweet me @jimcramer. how do you dip your toe in? how do you go against the selling grain and get involved
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without fear taking over when you have a roller coaster market with the dow opening up 182 points and dipped down 98 points before rebounding to finish up 28. advancing and nasdaq declining. it's important to take note that stocks finally traded down to the august 24 lows that i've been telling you we would test although not enough to make people feel better after last week especially when we opened up so high and so many people chase that opening and as always they got hurt. and never chase those. i spent a ton of time this weekend going over the charts and i couldn't help but feel depressed. that's what happens after a
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correction like we have been having. that's what the bear has done with so many stocks. what if you decide that you can't wait for things to get better. you don't think there's going to be a direction. that's what caused the market to reverse. what if you think the feds will recognize that the economy is slowed and decided not to push it over a cliff with a series of rate hikes regardless of the weakness we see. throw in the tremendous negativity as individual investors are the most bearish since this is the 1987 crash according to the results of the suspected survey i follow. that's crazy. now the market hasn't been this oversold since november 2011 just got the number and it's sky high. and that was the last time we had a buyable break in the averages when we got to this number and while the market isn't cheap at 16.8 times earnings, that's the s&p, more than 50% of the stocks out there down 20% or more from their highs, you sure ain't coming in at the top.
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yes there could be more down side. maybe 5%. maybe more before we get to cheap to ignore it but the lesson of netflix after the bell where the company reported a quarter that did not disappoint and the stock jump more than 7% after hours. a coiled spring. tells us that the negativity cannot be overdone although the lack of a positive reaction to an ibm report that seemed pretty much in line shows you just how fickle this market really is. so let's say we don't want to swing for the fences with netflix and don't want to get beaten by a value stock like ibm with faltering sales most importantly then how can we be methodical about stock selections. how can we make informed calculated risk decisions. how about companies unlike ibm have increasing earnings and robust sales. outsized dividends that companies can afford to pay and boost those dividends and give you yield protection that we
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need from this market. what would you feel protected by if the averages were to go down another 5%? let's say it just dropped 8%, okay? after falling that much already this year. a good solid yield would help you preserve capital. remember we're in preservation of capital mode ever since the fed raised rates. we switched to preservation capital and this will protect you against the down side. i can tell you after this decline and yield more than 5%. but many of them with the oil patch and we're going to avoid every single one of them. that's right. every single one because they are in a ridiculous market. there isn't aan oil company in the world that doesn't wish it had more capital. i think all would love to do a big fat equity offering right here with oil $28 and change and going lower. then there's others like caterpillar that choose 5% and earns more than enough to pay
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it. what happen ifs china doesn't turn around? keep slip sliding away. my goal is not to have a stock where i'm going to worry if the yield spikes to 7% because of problems in china. i want a dividend stock where i can buy more into weakness. i feel the same way about the 8% yield from seagate. that dividend is tempting. but the company in the disk drive business is too tied to the personal computer cycle which intel told us is pretty much off the rails until last week. where does that leave us? we have a couple that i can make my peace with. first up is at&t. this yields 5.6% and sales at 6 times earnings. it's a nice discount to the average name in the s&p. it's having very little growth but might derive some from directi directv. there's upside. i know and i don't care.
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verizon has a dividend yield and the stock is in at 5% and better growth. this company is the deepest and best network. plus the company has a lot of promise with fios, it's cable tv offering and some upside from its recent aol acquisition. what a well run company. both should be able to continue the tradition of their dividends. the ladder is intriguing and it's certainly doing better than the great recession. four sales are very strong but the company has been trying to turn europe around for a long time. it's a very strong toehold in china where they're once again robust and a major position in latin america which is disastrous. they also said it wasn't going to boost it's earnings forecast
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for 2016. and gm raised his guidance considerably again from 5 to 550. all the way up to 575. that's a range as well as boosting it's quarterly dividend by 6% and adding $4 billion to a $9 billion buy back plan. keep in mind that gm is only a $45 billion company. best of all when gm announced all of it's good news it's stock jumped to 3175. it is selling at a ridiculously low six times earnings but this is what happens in bear market correction mode. get those kind of shrunken multiples. how about tupperware. he told a good showing on the store recently. it's being brought down by it's direct selling cohorts but it's a far superior operator and as an emerging market business that's still growing strong even though the emergeling markets are slowing. 5.6% yield seems very safe and a
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dividend boost seems like a distinct possibility. you're paying for the privilege. i like the health care real estate investment trust. even as i know they're out for anything related to elder care i think that's a mistake and to lump this company run by a frequent best on mad money just seems wrong. plus i like the yield and record dividend boosts and overall stock performance are about as great as you're going to get. finally two more companies that have been no strangers to "mad money" viewers. it's a real estate investment trust that invests in unique properties like water parks, megaplexs and tv centers. people love monthly income. i like it and given that this company sold 2.25 million shares to pay down debt you're coming in at a terrific level. that's without any credit
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whatsoever to develop a new theme park and hotel adjacent to a full casino that they won a gaming license for not far from new york city just last month. as for them it's a top notch theme park operator that's been one of the most consistent out there. and just increases quarterly dividend by 10% in november. few companies stand to benefit more from lower gasoline prices than theme parks which is why cedar fair should be the nontransport company. what could be less than $2 a gallon gasoline. the yields for att and general motors and can't stop the bear from growling. but the bot to line is together they offer failing protection to preserve your capital while waiting for the sell off to conclude. that may be your best hope in this stretch rouse landscape.
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this endless daytime horror show. sean in massachusetts. >> hi, jim, it's shawn. i want to know when is the best time to buy gold and silver. >> you should have up to 10% of your assets in gold. that's the high. gold isn't necessarily going to do anything. i think it's an insurance policy. i saw the fellas today. they're such good guys and such good guys and it reminded me immediately, you know what, you have to pay that insurance bill but hope i doesn't have to pay off. that's how i view gold. i hope it doesn't have to pay off but i think you need to own evan greenburg that's put together that merger just closed today. the stock wasn't down and looks like on the tape and that's a buy right here. let's go to lee in washington at least, lee. >> booyah, jim. booyah, lee. >> i am 73 years old and i moved
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most of my equity investment portfolio to mutual funds but i retained shares of amgen. i've got 10% of my equity investments in amgen. i don't invision needing the money or at least ten years. that's perfect. you are in great shape. it's a very inexpensive stock. you get a company with great growth at 9 times earnings. that's because everybody hates everything. with being real money it was talking about disgust that turns a bear market around. i have to tell you, it's not fear it's disgust. i'm getting a little disgusted. want to dip your toe in go for yield protection. it can't help you preserve capital until it's over. how much lower do we have to go until this market can find a bottom. i'm going off the chart to find out you may not like what you see. when companies dominate the competition you can be the
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winner. i'm checking out stocks that weeded out the weak in their industry to see if they can pay. and the man, the myth, the shark. tonight he is lending his entrepreneurial eye to help spot the market's next hot trend. you don't want to miss it. stick with cramer. >> don't miss a second of "mad money." follow @jimcramer on twitter. have a question, tweet cramer, #madtweets. send jim an e-mail to madmoney@cnbc.com or give us a call. miss something, head to madmoney@cnbc.com. performance... ...reimagined. style... ...reinvented.
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after last week's vicious sell off how much lower do we have to go before we can feel comfortable or at least many technicians feel comfortable that this market has finally bottomed. it's a very difficult and very important question which is why we're going off the charts. she is the phenomenal technician that has run the website. one of my colleagues at the street.com to get a sense of how
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much down side we need to worry about. credentials, the last few times he checked in at the end of marchand then in mid june, she was clear that it was time to get cautious. especially the second time at the s&p 500. in other words she nailed it. for those of you that don't remember there's a very mathematical methodology and it's medieval mathematics that discovered that ratios tend to repeat themselves over and over again in nature. 23.6%. 28.2%. 50%. 61.8% and 100%. you can see the ratios in the way that plants grow. and bizarrely enough they also tend to pop up at key levels in the stock market. looks at past swings and then runs those moves through the prism of these ratios to find potentially important levels where a stock or index might
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change it's trajectory looking for an inflection point. looking at the monthly chart of the s&p 500. the s&p is reaching a point where it's rally was likely to come to an end and based on the size of its past moves, thought it would peak somewhere before 2138. sure enough it peaked at 2134. come on, that's pretty good. at the same time, joseph pointed out that the rally was getting long in the tooth. if you measure the amount of time from the peak on march of 2000. okay, march of 2000 peak to the peak in october 2007 you get 91 months. if you measured from october 2007, the highs, to may of 2015, you also got 91 months. in his view that's just too important to be a coinsnecidenc.
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of course if things turn south they could get bad very quickly. you could have avoided a tremendous amount of pain since then. it was a fabulous call. now let's fast forward to the current moment. that high we made may turn out to be the peak and even though the s&p looked like it was charging toward new highs we were never able to do so. the failure to take out those highs became a huge technical problem for this market and ever since 2016 well let's just say we have been put through the meat grinder. so given that broden nailed the top, what does she think about the current situation? in short, this market is still vulnerable to the down side. let's take a gander at the s&p 500 weekly chart. there's not much to like about this picture. the s&p is making a pattern of lower lows and lower highs. okay. not good. the index has blown most of its key moving averages. you can see the moving averages
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below. it's just so bad looking. wow. however there's one slight glimmer of hope here and that's for those of us that follow the oversold conditions. this is interesting. the s&p is now facing important tests of its support levels right here in this zone that could provide down side protection. there's a floor of support at 1847 and 1857 down about 2% from where we went out today. where we are. and a second floor running from 1832 to 1838. we're down roughly 3%. so look at, you know, we're not that far from this. where does broden get these target symbols. the s&p started falling after similar declines and there's another positive here. one that you can see in the s&p 500's daily chart. broden noticed some timing cycles that suggest he might be getting a tradeable bouts that could relieve the bearishness.
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the great thing is that you can apply to the y axis and x axis or the chart of the price and the time. that way broden can find key dates where it's likely to change it's trajectory which is one of the ways he identified that last spring could be an important turning point where so many people thought the market. based on the duration of past moves broden had timing cycles coming due sometime this week. if the s&p holds at these current levels then based on these timing cycles she wouldn't be surprised if we get a healthy bounce at the very least. however it's important not to let ourselves get too carried way. at those support levels i mention earlier failed to hold something that is very much within the realm of possibility then we'll be in for a world of pain. now the next one is x rated. check out the monthly chart
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here. >> man. >> the s&p 500 breaking down below the 1830s so she believes we could see the sell off that we experienced during the dot com collapse or a decline of similar magnitude to what happened during the financial crisis when there was systemic risk in our country. those saw the s&p fall by 784 points and 909 points respectively. so we project those levels from the peak in may then broden thinks it's within the realm of possibility. and hammered all the way down to 1350. or even 1225. we're up here now. we're going down here. in other words, if we don't hold above the current floor support, it's ruling out a massive correction. take us down 28% or 35% lower. she's not saying that will definitely happen but potential risk here could be enormous.
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that's why the s&p is about to give us a near term bounce. she thinks she might want to use that strength to ring the register and if things go wrong she believes we could be in for a much longer term deeper decline than people are expecting. so here's the bottom line. i don't want to be a profit of doom and gloom here. it's important that you hear from a prominent technician that nailed the peak in this market and the s&p 500's floor support in the 1830s could be of ultra importance. this is a line in the sand people. if we can hold above these levels down 3% from here we might be in the clear. but if the apartment building breaks down below those levels broden wouldn't be surprised to see this index plunge. a massive destruction of value. i don't believe that decline is in the cards but you need to be aware that right now the charts are saying ugly things and it accentuated the caution i have been trying to demonstrate in my writing and in both my shows.
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this one and squawk on the street. there's much more "mad money" ahead. i'm eyeing the transactions that left the competition in the dust. when it comes to the market sometimes you have to have faith and other times you to find an exit. i'll explain. you hear that? the shark is in the building. damon john swims into the studio next. stay with cramer.
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last year we saw a slew of merger announcements. dow and dupont. avago and broadcom but they essentially established a particular industry and in a difficult market where there's not much to like it's one of my favorite words. most sectors are ripe with competition. as many different players fight each other tooth and nail for market share. that's why i always say competition while great for you a consumer is an amount of profits. sometimes a business will be a total monopoly with no competition whatsoever and while that's the idea, it's very rare to see a monopoly because it's against the law. which brings us to the next best thing. a hand full of companies control an entire industry.
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co-existing peacefully without much in the way of price competition. we have not one but two industries that have just become fabulous and while it's hard to find winners in this market i think reduced competition could be terrific buys into the weakness. specifically i'm talking about the beer business where anheuser-busch inbev's take over of sab miller is going to make a highly consolidated industry less competitive and the beverage can business where the acquisition is taking the number of competitors in this space down from get this, from 3 to 2. how did they let that happen? how much do these deals matter? let's start off with oligopoly in beer. first for those of you worried that we might be going to recession, let's remember that beer is about as insensitive as it gets. when the economy is good people
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drink, when it's bad people drink. except for when they're on this stupid cleanse. nobody is going to stop buying beer just because the fed decides to raise interest rates too rapidly. in fact the prospect of fed tightenings makes me want to chug down a cold one right now. if not an entire keg if the wife weren't looking. the beer business has been consolidating for decades. they controlled 76% of the market. as of 2014 they controlled 84%. today just 20 brands make up 2-thirds of the beer market in america and ab inbev already owns nearly half of that. everything changed in november when we learned that bud was buying miller. not only will the company control 30% of the global beer market but also more than half. and the combined company is
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going to be a true oligopoly. the best way to play the ab bev sab miller merger is with molson coors. sab miller needed to invest it's 58% stake in miller coors. they're getting the stake for $12 billion and as soon as this transaction closes tap will have full ownership of the miller coors portfolio in the u.s. which is huge given that it's the second largest brewer in the country. and it's going to be a sole owner of miller light, coors light and keystone along with blue moon. and the numbers here are just killer.
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at a time when we're worried that so many companies will experience slowing growth or in declining earnings we know that molson coors will boost it by 25% in the first full year of the close. something expected to happen in the second half of 2016. that's huge as is the fact that they'll be the number two player with even less competition than before. don't get me wrong. i think bud's take over is good for the whole industry. and consolidation benefits everybody but the biggest winner here is molson coors. it would have been impossible. and it's been forced to sell by the regulators and while i like bud too the fact is that coors is cheaper, 22 times earnings versus 23 for bud. everybody wins but tap wins the most. i think it will be any weakness although you should be patient. they have to raise more cash. it's going to be terrific. buying opportunity.
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we know these work as another bud acquisition gave total cramer fav constellation brands the rights to modela. i reiterate my support in this market. rally 2% today. it blew out the last quarter. but it's not just beer we're seeing tremendous consolidation in. as well as every other can of beverage. it's really consolidating. it's been dominated. and all which lock their customers in contracts and positions. giving them a strangle on the market and nobody really can trust me on this. and last february we learn that they're acquiring a multibillion dollar deal that expected to close sometime over the next five months. assuming this beautifully
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anticompetitive transaction gets approval by the regulators they'll get a bigger customer base and more diversified portfolio but most importantly they're taking out a key competitor. and not only do they let this competitor. i'm glad i don't have to buy a can. and it does look like the deal will be approved. they gave it a thumbs up and got approval for europe. and an m&a trade publication has also given the merger it's blessing. put it all together and things are looking mighty good for ball corp. stock trades at 18 times earning. i think it would be a very attractive buy. a market wide downdraft. here's the bottom line. you can find opportunities if
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you're willing to look for them and be patient. these emerging tighter knit oligopolies could have a terrific down side. that's why i think molson coors and ball corp. should be on that shopping list this time it gets slammed for another tsunami of selling. i don't think you'll have all that long to wait. why don't we go to phil in my home state of new jersey, phil. >> booyah, i am doing pretty good after a three day weekend. how are you? >> i'd be doing better if the markets would stabilize. i tell you. 250 point up and then the market goes negative. it's hard to digest and i keep saying to myself itself going to get better. it's going to get better. >> people are leaving this market by droves. i know that there's so much opportunity that i want to see it happen. how can i help you.
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>> i actually owned netflix and i sold it and took some profits because i'm a big fan of your show been watching you for years and you said take some profit off the table. well netflix went to 117 back in october. i sold it. >> okay. >> and i was looking to get back into netflix again but the pe ratio is high and volatility breached like 130 and now down to 10 1 and since it beat earning expectations and i'm trying to figure out a good entry point. >> sure, phil. netflix is part of fang, facebook, amazon, netflix and alphabet formerly google. the market cap is too small. i have not been pounding the table on it because the market is a yoyo. if you wanted to get in you'd say i should have bought it friday. i do think this stock is reacting correctly and that the market cap is too low for it but
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i also except the fact that there's a lot of risk. oligopolies are where you can find opportunities in this market. i like molson coors and ball corp. last time he was on he set up a portfolio that trounced the s&p. and your calls rapid fire in tonight's edition of the lightning round. so stick with cramer.
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>> i have a very funny feeling that you're not the right person for me and to sum it up i'm out. >> at a time when people seem terrified at the nonstop decliens of the stock market it's worth remembering there's a real economy out there. some things hurting the economy like falling oil prices they're helping the economy.
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i want to take a moment for the reality check and the phenomenal fashion designer and entrepreneur best known as the founder and ceo and panel list on shark tank and the brand new one and the power of broke. maybe because i was broke one time, how empty pockets a tight budget and hunger for success can become your competitive advantage. it's one of the nine business founders to become ambassadors for global entrepreneurship. and in a world where mine share matters. and that's why i'm thrilled to have him back on the show. here's his thoughts on the market. and some of the consumer brands. mr. john welcome back to "mad money." i love this book and i love it because i think that you put a
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twist on what bob dylan taught us. when you have nothing, you have nothing to lose. no, when you have nothing is when you can make the most money. >> that's when you have all of your resources. you can focus on something. that's when you make affordable mistakes but you fell forward fast. >> plan for dinner is the real motivation. >> plan to eat is always a real motivation. and where do i go and how do i tap into this? too many people say you need money to make money. well look at me, african american, i got left back, i'm dislexic, never went to college, can't dance, can't sing, can't do anything and i didn't know anybody but look where i'm at. >> but you judgment? were you born with this judgment? because i have never seen anyone that have more of a judgment than what people want than you. >> i don't think so. i have passion. that's the only thing that everybody -- everybody that is successful has that in common but the whole theory of needing money to make money. if you look at forbes top
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wealthiest people in the world 60 or 65% of them are self-made men and women. if you can pass down money, generational money there would be no room for any of us. >> but you seem to know how to tap in. i know you started selling hats. that's not a big tap in. but subsequently you have known what people are watching. a figure 98% social media for the younger people. are they watching tv? they're not watching tv. for the next 97% of your life you're not going to be any further than three feet away. we were coming to the office working 9-6. social media and these millennials they work 24 hours aday. even though we think they feel entitled they're ready to pick up the phone at 3:00 in the morning. they're not going to the mall because they're finding their friends on facebook and youtube. >> so this is it. this is the turning point?
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i went to the mall yesterday and okay you do the right thing and you read what he had to say, you learn it, you do community service but you have a day off. >> it's empty. >> what is happening? >> all on book and instagram and snapchat and they're not going to them all because they're buying it from other kids. there's a million other kids selling t-shirts. and we still have to like the concept in social media also means alphabet. that would mean that they're going to have a lot of money going their way. google. >> think about facebook and google. they don't have a inventory and the people that populated are the people they're targeting and they're getting analytics. right now the best outlet i'm finding is facebook and you're converting this. >> wait a second. are you telling me that because you're finding it, it's the future. you're telling me that you wanted to start a business. that maybe the best way to connect is what? by giving facebook some money? >> giving facebook money.
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>> absolutely. they go out and acquire ocular. why do they need to go to the mall now if they can have a mall on their face. >> it's not a video game. >> they have instagram, they have whatsapp. they know everything about us. >> so you also are then telling people that you like verizon. >> i like verizon because it goes back into being wireless. they're the top wireless player. they don't have traditional inventory and i think that they're just plugged into us. we know less about ourselves than they all know about us. >> i was recommending verizon on a yield basis. how terrific to have something for the older people, for us, but then for the people that you inspired. you have inspired so many people. your show is one that people watch over and over again. >> i learn more from my show than anybody else because i'm learning from investing in all of those small start ups i'm learning how to use a power broker. >> you have taught people how to look people in the eye and
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pitch. none of us knew how to do it before the show. shark tank investor, founder, ceo of frugal and this book power of broke. i read this stuff. this one is monster. "mad money" is back after the break.
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it is time. it is time for the lightning round. >> and then the lightning round is over. are you ready? it's time for the lightning round. start with sherry in florida. sherry. >> hi, how are you doing? words of wisdom on psxp. i'm holding it long thinking 12 to 18 months i've been told. >> you think you can do that. i don't like the margins anymore on some of these businesses. you want to be careful and it's not my favorite name. gloets to lonny in new york. >> booyah, jim. >> nice. your show is my fix and i love it. let's get to business. exel. >> i like the risk reward on
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that. you can lose $4 and if people aren't speculating right now but i like that pipeline very much. how about joe in new york, joe. >> hey, jim, how is it going? >> which one. >> michael kors stock. >> i finally saw an upgrade today. i think that stock is nearing a bottom. i would now say they're getting very close to rock bottom valuations. i wouldn't pull the trigger yet but i'm no longer negative on coors and i have been saying sell it for about 100 points. jane in texas. >> i own broadcom. >> that deal is over and done. you ring the register and you move on. let's go to larry in arizona. larry. >> good afternoon mr. cramer. international paper. >> okay. he came to work at real money and he said be careful. i came back and said he has a 5%
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appeal. i thit would mean he still has some down side but i do think the yield is safe. let's go to carl in oregon. carl. >> greetings. my question i bought bbt for the long haul. >> long you feel long haul. i know how people feel in oregon. i'd move there in a flash if i hadn't gotten addicted to wall street but bb&t is not one i would throw away down here. it's just too cheap. dave in illinois, dave. >> jim, intuitive surgical. >> intuitive surgical is like netflix. these things do not need a powerful economy. they are really, really hard to own. but if you want to own one whether it be a fang or whether
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it be an intuitive surgical it's fine with me. don't own too many. and that, ladies and gentlemen, is the conclusion of the lightning round. >> the lightning round is sponsored by t.d.ameritrade. it was always just a hobby. something you did for fun. until the day it became something much more. and that is why you invest. the best returns aren't just measured in dollars. ♪
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what do you do if you think the market just has something dead wrong?
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what if people believe that a stock is way overdone to the down side. it is ridiculous if the market doesn't want to get that through it's thick skull. sometimes you have to be patient. other time jous to wait it out. other times it's just plane wrong. bank of america reported it. and making deposits. the actual deposit growth itself had an outstanding level versus other banks. the tangible book value of $15.62 is the actual rock bottom worth of the company. and it's still above the current share price and what did the stock do when bank of america reported these terrific numbers after going up. it got hammered mercilessly and in part it's energy exposure not as much as i fear but it has some. in part because the expenses
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weren't cut enough. i mean, they buy back shares in whatever amounts it sees fit. every dollar below the book value is for shareholders. i think the market is wrong and the stock will rally. we have been buying it from a charitable trust but it was stunning. second is dow chemical. holy cow. here's a company that's doing really fabulously. we heard it from the ceo just the other day. on the cusp of a very important merger with dupont that will unlock a tremendous amount of value as they ghetto cussed into very focused entities. you have being paid while you wait. it doesn't seem to matter at all because investors wrongly believe the company is linked to oil. when oil goes down it should go down too. that's nonsense but i have been wrong. dead wrong now for a half dozen points betting that dow chemical has to bottom.
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you can argue that i have to admit that i'm wrong right now. have to tell you, if it weren't for that 4% dividend i'd say i'd be had. got it wrong. keeps me in. third i've been waiting for delta to report because the stock has been terrible. down 10% for the year coming into today's stellar announcement. the company could save an astounding $3 billion in fuel costs and other expenses. and to quote richard anderson we expect to again perform in the top tier of the s&p industrials on earnings, growth, margins and cash flows this year despite global economic challenges end quote. in advance of $1.46 today it still sells at 7 times earnings. the average stock sells at 16.8 times earnings. there's not evidence that that's the case. it's a total rarity. and to me it makes no sense at
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all. the stocks a buy. but then there's tiffany. this one is getting pummeled today and it's getting exactly what it deserves. why? tiffany set you up for heaven sake. it set you up again. it told you like the last quarter that things will get much better this quarter and what happened? they got much worse. instead of seeing it's physical year earnings down 5 to 10% they're going to be down a full 10%. i bet when they get there it will be down even more. the company thought things were going to turn around this quarter but it based that on better sales in the u.s. which specifically as pointed out were hurt by the strong dollar. guess what, the dollar is even stronger. tiffany stock deserves more punishment given this intense disappointment created by the company itself. so yes, stocks can be wrong and i can be wrong but i'm not giving up on individual stocks. i think that bank of america and delta deserve to trade higher even as i accept the market's
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severe judgment on how wrong it's been to own dow and that tiffany, it belongs in the robin's egg blue penalty box until much further notice. stick with cramer.
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these are the hands that plow the data, dig up clues, create opportunity, and weave messages that lead to sales. these are the hands of pitney bowes, the craftsmen of commerce. these are the hands, the hands that drive commerce, that build business across borders. these are the hands of pitney bowes, the craftsmen of commerce. ♪ ♪ those who define sophistication stand out. those who dare to redefine it stand apart.
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the all-new lexus rx and rx hybrid. never has luxury been this expressive. this is the pursuit of perfection. netflix jumping ibm slumping. i like to say there's always a bull market somewhere. i promise to find it for you here on mad money. i'm jim cramer. see you tomorrow. tonight on "the profit"...
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a lighting manufacturer brightens some of america's biggest companies. larry: everything you see here is all for national-account work. lemonis: but its future is looking darker by the day. larry: am i supposed to go bankrupt? i don't know what to do. lemonis: a slump in sales has sent the owner into a panic. you can't just be cutting everything and cutting everything, 'cause you cut yourself out of business. and with every desperate move to save the business and his family, he only does more damage. larry: i broke the company. you were right. lemonis: if i can't get him to start acting like a leader... why doesn't larry kind of give out the jobs? jason: he has a habit to micromanage to an extent. lemonis: ...and stop acting out of fear... i sympathize with you, but i kind of don't give a...anymore. ...it'll be lights out at vision quest.

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