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tv   Mad Money  CNBC  April 11, 2016 6:00pm-7:01pm EDT

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higher. >> that is terrible. i still like gold. i think it goes higher. >> citi cheap he weer of all. >> cisco. >> thanks for watching. see you [ bell ringing ] 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. i promise to help you find it. "mad money" starts now. hey, i'm cramer. welcome to "mad money." welcome to cramerica. other people want to make friends. i'm just trying to save you some money. my job isn't just to entertain but to educate and teach you. call me at 1-800-743-cnbc. or tweet me @jimcramer. i spent the weekend in new orleans, saw a lot of nice people. nearly everyone i met wanted to know what makes me feel positive about a market where so many things are going wrong.
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with heearnings season around t bend won't i be dis appoiappoin with what i hear? today the averages started strong before pulling back. dow slipping 21. s&p dipping and the nasdaq .36%. it's a good day to tackle the question. i was with my fabulous daughter all weekend and couldn't give anyone an in depth answer. i apologize. if i had a chance i would have said the action, the stock action is dictating my attitude. the action that has so many stocks hitting new highs in the last week alone. some of it tends to happen right before you go higher. not right before you fall off the cliff. consider the stocks that made the new high list last week. first we had the consumer packaged goods plays. i would say they are too numerous to mention. listen to this. es today lauder, kimberly clark,
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coca-cola, altria, conagra, general mills, johnson & johnson, kellogg's, mckor oh miracle, molson. what do they have in common? they take raw commodities and make them into something. they refine them, package, sell them here and overseas. many pay good dividends. what does it mean to see these companies on the new high list? first, the ingredients -- what the companies use to make stuff from wheat to hops to sur fak tant in shampoo to toothpaste whitener are cheap and getting cheaper. second, packaging is going down in price and they use a ton of packaging, plastic, fiber board. third, distribution costs have to be at a bigelow. that's oil and gas. finally because many of them sell overseas this tells me the dollar has peaked versus the
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currency of our trading partners. some of you think, wait a second, aren't the stocks indicative of a shrolow down ine economy? isn't this a recession? in my thoughts that's the old view of how to look things. they have raised prices to you consistently. i think what it says is these companies will have an explosion in gross margins, what's left after they make sales and colorados. that means earnings will be better than people believe possible for the group. that's what the concentration of consumer packaged goods stocks is really saying. what makes measure a recession or big shroud isn't in the offing? that's because of the oh members of the new high list. if things are weak, let me ask you. what is automatic data processing? the number one payroll processor in the land doing on the new high list? i have been around long enough to know adp hits a new high only
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when employment is good and getting better at larger companies meaning there is hiring. that's not a sign of recession. how about sherwin williams, home depot. when you get the number one paint company, number one makers of stone for new roads and the number one home improvement retailer you have to question any slow down thesis. it's the opposite when the stocks are roaring. they say we have a robust housing market. i also think it is important that darden, owner of ol give garden and sysco are on the new high list. that's the consumers spending because of lower energy costs maybe. the consumer is also staying home hence the inclusion of domino's on the list. mm-hmm, pizza and coors or corona? what's not to like about that combination? even better than steak and a lowenbrau, cramer, you're a genius. that's a throwback to an ad.
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this is the case where the best ones with no exposure to i will and gas are indicative of strength and two are illinois tool works and 3m. they are em ble ma tick of energy which brings down companies. tech is a tough one. the two rising are the best of the best. the newly crowned semiconductor kings of nvidia and broadcom, the old avago. that beckens others to join. i am chastened by the disappo t disappointing quarter of juniper. health care doesn't show up much. what does show up is positive. namely the medical device companies making a difference and aren't in the cross hairs of politicians. companies like boston scientific, life sciences, striker, all which deal with
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saving lives and limbs. how about the financials? oh, tough group. the banks were in for it this week. but the insurers are almost all on the list with the biggest being the most obvious. i love it when insurers predomina predominate. they do well in low inflation f. the fed looked at stocks they would think device about raising interest rates. why fight inflation when they say there is none. there is defense. both lockheed martin and northrup drummond joining the list. this is a big industry for us. i wish there was more aerospace on the list. finally, there are indeed too many utility companies to mention here on the list. that impresses me. verizon is on the list which is good enough for me to say interest rate sensitive stocks are loved here. a rally in utilities would be a
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sign of low growth. that's incorrect. it is a statement that the fed isn't going to raise rates soon. that's fertile ground for high yielding stocks in the future. here is how i look at it all. when everyone dislikes the market as so many people do you can't expect the good stocks to be on the new high list. that would be counterintuitive. when you see the distribution you know the leadership is beckening and others will follow. not in a straight line. history says this list with these stocks will expand, not contract from here. so here's the bottom line. fellow travellers in the crescent city have heard the mouthfulle you would have gotten if the jazz weren't that sweet, the sun not that strong and my daughter not as fabulous as she is during a great weekend in new orleans, one of the most terrific cities on earth. roland in new jersey. >> caller: i have a question concerning ford stock. i own stord ford and it's been a
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lack luster performer. i'm thinking of buying gm stock since there is more upside. >> i have thought long and hard about the car issue. when i saw the tesla numbers, okay, the preorders. when i think about uber, i come back and say these are seismic shifts that will continue to affect autos. i don't want to recommend ford or gm here now. lou in michigan. lou. >> caller: boo-yah, jim. >> boo-yah. >> caller: for a long-term cloud play -- one to two years -- what do you like better -- salesforce with a lot of arg or a slow and steady eddie like microsoft? >> that's tough. microsoft is inexpensive on this year's earnings and will do well. it's a terrific cloud play. salesforce has tremendous momentum here. microsoft is for the conservative among you. salesforce is for the risky. i like them both.
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it is the action we are seeing that keeps me positive. leadership is there. ultimately others will follow. on "mad money" tonight, as more companies make a move into the digital world i'm eyeing a tech titan you may have been missing. i will reveal it ahead. the multi-million dollar reality of mr. coffee and elmer's can it a product power house for your portfolio? and earnings season has begun. i'm talking with alcoa's ceo fresh off the report. stick with cramer. >> announcer: 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 at 1-800-743-cnbc. miss something? head to madmoney.cnbc.com.
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if you're going to invest in individual stocks, rule number one that you absolutely, positively need to know is what
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are you buying? what do you own? now in many cases that's relatively easy, especially talking about businesses you interact with as a consumer. soup company, cereal company. not every high quality company is easy to get your head around. consider the case of accenture. acn. a stock that's roared up 21% since february lows of one i like very much. it is a gigantic company often described as a consulting play or information technology outsourcer. you may know them as a company that advertises a lot in airports. but nothing more. in a world that's become increasingly digitized they are one of the best firms out there at helping other companies upgrade systems to embrace the cloud or mobile technology or advanced data analytics. none of that tells you what they do. accenture describes itself as
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working at the intersection of business and technology to help clients improve their performance and create sustainable value for shareholders. sounds wonderful. what does that mean? how has it gotten good at helping clients create good value. let me break it down for you. i consider accenture to be a fabulous company with the stock that's worth owning. you absolutely cannot own it if you don't understand it. when you buy a stock just because it is going up as accenture has you have no idea what to do when the stock starts pulling back. eventually everything pulls back. that's why we do homework. what does accenture do? in english the company uses expertise to help clients figure out how to use and respond to technological change. some would say they turn dinosaurs into cheetahs and provide outsourcing to roll out and manage technology because people at companies just want to do their jobs and sell products and not have to worry about new
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systems, tools or iterations they know nothing about which beg it is question. how is it that accenture is so successfu successful? ibm does the same thing. i think part of the secret sauce is they offer a fairly unique value proposition. they integrate consulting services with technology and outsourcing to provide clients with an end to end solution on the consulting side they tell you what you need to do. on the technology and outsourcing side they can go ahead and do it for you. virtual one-stop shop for all things technology to help your enterprise grow. years ago accenture recognized the model of information outsourcing was becoming outdated so they invested in digital technologies. they caught the digital wave early enough to stay relevant and they have built a mayer jo
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presence in social media, data analytics, the cloud and mo biechlt last year they made 18 acquisitions. particularly in the cloud. helped by their partnership with salesforce.com. these deals have been a boon for the consulting business. that means they can guide clients through the new technology landscape. last year they delivered 35% growth in digital related services. now represents 23% of the business. they have been expanding into all things digital and have continued to grow the classic consulting platform which makes up roughly half of the company's overall sales. their consulting business is taking share left and right because accenture developed digital expertise which clients need help with. look, this is a gigantic end mark. in 2015, information technology spending stood at 3.8 trillion dollars, equal to the gross domestic product of germany. if this sounds nebulous and i'm trying to get it to you let's
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drill into the details of what they have done for clients to get a sense of what the consulting and technology means. take the global snack food company created by the breakup of kraft food. they had excellent growth but the operating margins lagged behind the rest of the industry. they asked for help. accenture created a new zero based budgeting system and a new global operating model that helped them save millions with another $1 billion in savings over the next few years. lacoste, the preppy apparel company wanted to break into china's online marketing but establishing a digital presence there is difficult for outsiders. accenture helped lacoste design, build their own store. that's not their expertise. their expertise is making shirts. accenture is so good they can
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make government agencies into the 21st century. in france the director of legal and administrative information was having trouble cutting their i.t. budget so accenture helped them migrate to a new system reducing i.t. costs. if you can modernize an arm of the french government can't you modernize anything? that's how good. you can see it in the numbers. they reported two and a half weeks ago. wow. 16 cent earnings beat off a buck 18. 6.6 year over year. the full 2016 including a forecast of 8 to 10% revenue growth. double digit. look, if the dollar continues to decline versus major currencies as i believe it will that will provide a boost to earnings. 54% of sales come from outside the u.s. now the stock is three bucks off the all time high. it trades at a slight premium and deserves a premium. here's the bottom line.
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it may be hard to understand but once you get your head around what they do it is easy to see how this play has been able to deliver such excellent results. i think the stock has room to run. i tried to explain it. you wait for a pullback or start buying. this is a nutty market. look what happened today. opened up big and finished down. accenture is just a stock in the end and it swoons wit. much more "mad money" ahead including a company that can transform the aisles of walmart, target and your portfolio. all eyes on alcoa. i have the ceo fresh off an announcement. and it's the most wonderful time of year, or is it? i have the forecast. and there is a dark cloud hanging over wall street you have to watch. so stay with cramer.
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back in december we learned that rubbermaid is buying jardon for 15.4 billion in cash and stock. this friday shareholders of both companies would vote on the deal. if it passes then rubbermaid will absorb them during the quarter creating a consumer products giant to strooi through aisle after aisle of your local
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big box retailer with this fabulous merchandise. so with this merger rapidly approaching its consummation what are we going to make of the come bined company which wille trade under the new name of newell brands? let's talk about what both businesses bring to the table. newell rubbermaid is behind commercial and baby brands like sharpie, papermate, goody, mr. sketch and rubber made. this is mr. coffee, oster, coalle man, my traveling margarita machine, baseballs, sports goods, bicycle playing cards and yankee candle and jostens for class rings and yearbooks. once jarden takes over a category they dominate. scented candles, baseballe
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gloves, camp stoves, tents, blenders, slow cookers, coffee makers and air purifiers, come bine the businesses and they will have 16 billion in sales. with a terrific portfolio of market leading products across a host of different categories. when the merger was first announced management expected $5 million over the next four years. that means what happens is the analysts should raise numbers after friday. that would be right out of the gate. i have been a backer of the transaction from the day it was announced. in part because jarden and newel it is l rubbermaid have a lot of overlap. they will dominate cookware, kitchen supplies and office supplies. le outdoor and those are all complementary. they are all aisles doing very well in business now. however the analyst community has a mixed view of it. bugs me. some of the analysts upgraded the stock because they were jazzed about the deal.
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others down gridded it. they are skept call of the prospects. let's start with the positives. for starters jarden and rubbermaid are specialists with each company focused on high margin consumers. this deal gives the combined company tremendous scale. they will have much more bargaining power when the time comes to negligeotiate with retailers about how much to charge, how much space they get. for example when the time comes to bargain with walmart, the newly created newell brands will have twice as much scale and maybe more power than the old newell rubbermaid so they can get better placement for everything they sell. that's bargaining power. the savings could be tremendous. i like the forecast of $500 million over the first four years but the bulls in wall street prove the number could be conservative based on other
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american mergers in packaged goods. newelrl rubbermaid has a tremendous record for cutting costs. in 2012 they launched a major restructuring on track to deliver as much as 675 million in savings through next year. that's way more than a hundred millionle in savings initially forecast. if they can do the same thing for jarden as for themselves we could be looking at over $1 billion in savings from the deal. that's not in anybody's numbers. that's exciting to wall street. third the merger creates the opportunity to reorganize. jarden is an extremely well run company, one that created tremendous value for shareholders. many of you bought the stock after listening for years on the show. it's become messy with a crowded portfolio of 150 brands. 80% of the brands account for a number of the sales. i can see the company jetison a number of weaker brands to focus
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on what's working. that makes sense. most important the deal brings together tremendous talent. ceo mike polk, one of the most well respected take no prisoners executives will stay on to run the company while jarden's cofounders will join the board of directors. this is a corporate dream team. you know how much i want martin to stay with the company. he was the reason we recommended jarden. despite the positives. some analysts are cautious about the deal. we ought to address their concerns. the pessimists believe the integration is combined in combining newell rubbermaid with jarden could be a nightmare. getting everything running smoothly won't be easy. we accept that. second some analysts are concerned that the stock could face what's known as a conglomerate discount. meaning it won't be valued as highly as consumer goods
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competitors. this argument is bogus. because they are already about as far from being pure plays as you can get. if the conglomerate discount exists it's baked in already. third the companies are organized differently. this is a concern. newell rubbermaid has a centralized business model whereas jarden is more of a holding company. they don't say jarden. they use old names. you never see jarden's names anywhere. combining their structures could be difficult. this is a major reason to believe in the upside of the deal. why? if newell rubbermaid can succeed the cost savings could be enormous. at the end of the day the argument between the bulls and bears comes down to whether or not you believe newell rubbermaid can pull this off given the management team in place and the cost cutting and re organizatiorganization trackl
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me a believer. this company coming together two into one. when shareholders vote to approve the merger on friday that's the last hurdle before the companies combine to form the consumer power house that will be newel brands. if like me you think newell will be able to execute this could be a fabulous stock to own especially since there is the paucity of publically traded company that is make goods that improve the value of your home while making your life more fun. let's go to ron in pennsylvania. ron. >> caller: hi, jim. i have a large position in dow chemical. with the pending dupont merger do you think it will help the stock and should i continue to hold it? >> i had reservation this is weekend about it. i was thinking dow's business, ethane is on fire. i think dow chemical's business is doing better than dupont. combined they may do well. if it weren't for the deal dow
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would be a 55. i do believe the deal will happen. dow is doing better. i have to own dow. i think that's the bargain in the group. gary in new york. >> caller: good evening, gyjim. thanks for taking my call. after taking the tour of guinness brewery, i found they were owned by diagio who i know little about. my call to you is if it's both pursuinging or not. >> i went there and i have a diploma for pouring. it is also my wife's screen save er. i have to tell you i don't want you to own that. own constellation brands. ix-nay on deage o though we love that guinness course.
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that's the first course i have taken since harvard and it was harder. with the powers combined the deal goes through as expected what a power house the company will be and what a stock to unoh. more "mad money" ahead. alcoa shares up 20% over the past few months. i'm calling it next. will it missouri higher? i don't know. i have the ceo and the results this earnings season no one is anticipating. find out how it impacts your portfolio. i'm answering your calls in a special edition of the lightning round. so stick with cramer. the heirloom tomato.
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♪ no, you're not ♪ yogonna watch it! ♪tch it! ♪ ♪ we can't let you download on the goooooo! ♪ ♪ you'll just have to miss it!
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♪ yeah, you'll just have to miss it! ♪ ♪ we can't let you download... uh, no thanks. i have x1 from xfinity so... don't fall for directv. xfinity lets you download your shows from anywhere. i used to like that song. today marks the beginning of earnings season. as usual alcoa kicked things off. i always say alcoa is one of the few can't misquarterly conference calls because they give you a great read on so many industries in automobiles, aerospace, gas turbines, soda cans, trucks. at the moment there is a big story going on with alcoa and that's a pending break up where the company plans to split into two entities. one a commodity metals play and the other a high value added maker of engineered products called arconic. i have said i'm a fan of the
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engineered products business but if the government slaps a duty on chinese aluminum like with chinese steel the commodity metals part could get intrigue ing. alcoa reported a quarter where they earned 7 cents per share. represents a five cent beat but the revenues were down 15% year over year thanks to weak aluminum prices and had a hiccup in aerospace earnings. let's look with the chairman and ceo of alcoa to learn more about the quarter and how the break-up is progressing. welcome back. >> hello, jim. good to see you. >> can we get any certainty about when the break up will occur? we have people excited about the pieces but they don't know whether to plunge in now or wait for the next quarter before they have certainty. >> well, all i can tell you is it's the second half of the next year. we work as hard as we can to do it the sooner the better.
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it's the second half of the year. that's when the separation is going to happen. unfortunately you are also depending on external factors. not everything is in your own hands. you also should keep in mind it is a 120-year-old company. you can imagine how many things need to be sorted out. >> when i look at the actual engineered business, auto looks great. aero looks great. i dig down and part of aero, rti, is fantastic. and frankly i was sold thinking it would be better than expected. a big miss. by the time alcoa splits do you think you can correct the big miss? >> we are very clear. i mean, we are behind and we will not be able to correct at all. we are already improving the performance at the same time. what we are see ing is a market
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correction because some are behind. there is little we can influence on that end. there is operational stuff which we can influence. we are doing it, it takes a little longer. its clear. we will not be making the number we originally intended for this year. but we are working on it and trying to get it up to the numbers that we said. as you see we are making progress already compared to last year we are puttinging an expectation on the second quarter. you will continue to see we are improving. the good news is on the other acquisition, rti, we are well ahead of the plan. about a year ahead of what we have planned. it is on plan. that's pretty good. >> let's speak about aluminum demand and what can happen. if you want the upstream you are making a bet on aluminum. not that long ago, march 1 the u.s. government decided enough
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already with the chinese dumping. they put on a tariff that made it so the avj steel stock doubled. the itc, the trade commission is looking into kmienz duchinese d. what will it mean for demand if china is found to be a dumper? >> demand still continues to grow. we expect demand for aluminum to grow 5% this year. by the way, the supply we believe will grow by only 2%. that's going in the right direction. it's going into a deficit direction which is good. it's hard to project what the investigation will come out with. these are longer processes. at the same time for us the most important thing is we have a level playing field and there is competition. >> obviously it's not fair competition. let's call a spade a spade. i read what you think. frankly it's a big works progress administration plan for china and they don't care. we have few smelters left in
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this country because of china. >> well, look, i'm glad that the investigation has been started. let's have the facts speak and not speculate about it. i'm pretty sure there will be conversation from government to government. at the same time when you talk to the government officials in china they recognize the problem. you can see it build into the five-year plans. they are using the over capacity and it's happening but not fast enough. >> okay. speaking of happening and happening fast enough you have a noisy active shareholder among you in elliot. are they happy with what you are offering? the numbers are secret. have they been encouraging the way things should be broking up or do they want a different pace or different units in different parts of the company? >> well, jim, you have to ask them. about what they are thinking
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about the quarter. the dialogue we are having has been constructive. as you know, we have put three new directors on the board. we have been looking to staff the new boards coming up anyway and the profile of the new directors fits well. good value here. >> how are you feeling about the world? aerospace, construction, packaging. obviously the whole uppan polyo the world economy. there is a pause in aero because of the turnover. if i look at this thing in toe tall i think there is more happening that's better than last time i saw you. >> i wouldn't say that. it's not as bad as we sometimes think it is when we were particularly listening as the first couple of weeks in january.
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the numbers in the end point down a little bit. i mean, when you look at aero you mentioned down north america. heavy trucks and trailer. and automotive stable in north america. doing well. europe is a little weaker than we thought it would be but still growing in the right direction. in the end i personally believe that a sentiment has an impact on the investment profile and if we talk about things then in the end when people are saying let's hold back with the investment and slow it down a little bit. i think that's what we see reflected. as you know, sentiment tests have come back. i think it has the potential not to be a bad year. but sentiment plays a role also in reality. >> i want to go back for a second. i have known you for a long time. you don't tolerate under performance. this looks like genuine under
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performance to me. would you explain to them the way alcoa works? >> jim, i have done that already more than once. at the same time you have to actually be clear and what they can control themselves and what can they not control? they cannot control the market cap. we have the components on the platform. but if the platform is moved out they will get it in the end. they won't get it in this year. that they can influence. the stability is one thing they can influence. frankly, the press outage we had surprising us end of oh last year is all resolved. moving in the right direction. the most important thing here, jim, is operationally the improvement is there. the alcoa business system is established. we have new targets. then you have to ask yourself how do i have to think about this acquisition? you wouldn't have that?
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you literally would have a partial offering to the jet engine customers. now we have a totally complete suite of all jet engine components. 90 plus percent of all components can be made by alcoa. this puts us on a different level in the discussions with our jet engine customers as well as with the industrial gas turbine customers. we have announced this quarter the biggest igt deal, the ig guest industrial gas deal ever in our history of $1 billion. all of these things play into it. i think strategically this is a very important corner stone for our aerospace business. it will take longer but we'lle get there. >> excellent. thank you for coming on "mad money." we don't know when the split will occur. you would be in it for the split. that's where the value creation
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will come from. "mad money" back after the break.
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>> announcer: lightning round is sponsored by td ameritrade. it is time.
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it is time for the lightning round. you say the name of the stock. i don't know the calls or the name of the stock ahead of time. i tell you whether to buy or sell. when you hear this sound -- [ buzzer ] -- then the lightning round is over. are you ready, skee-daddy? time for the lightning round on cramer's "mad money." start with john in connecticut. john. >> caller: boo-yah, jim. should i add to my position on mattel? >> it's been a straight line. only a point off the high. wait until it goes under 30. dave in illinois. >> caller: dr. cramer. [ speaking french ] my cajun friend. united health group. >> that's got zydeco growth. a couple of exchanges and the stock will go higher still. it may be one of the best stocks in the dow. to washington for jish. >> caller: boo-yah from seattle, jim. >> whoa. >> caller: long time listenerer, fist time caller.
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palo alto. >> we could be oh talking about facebook. they are all in for sale now. it will run the course but that's what's going on. nothing wrong with it. i do believe people want to pay less for stocks now. ellen in illinois. >> caller: thanks for taking my call. horizon pharma. >> no. not right now. [ sell, sell, sell ] people hate the stocks because of valiant. bob in missouri. >> caller: professor cramer. i bought cva under 14. i wonder if it's time to ring the register . >> no, no. we sat down with them. there is no reason to sell it. that's waste energy, a good situation. mohamed in california. >> caller: hey, jim. i got this small lot of citgo way back when. it's not that small now.
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what are the prospects? >> i think they're great. chuck robins is doing a good job. juniper might be an opportunity to get in. jovani in illinois. >> caller: hey, cramer. how's it going? >> very good. how about you? >> caller: pretty good. over here in chicago my buddies love watching your show and in the morning as well. i have a quick question. buy, hold or sell wy. >> just talked with bruce kamich today. we think it has a good chart. one more. elizabeth in new york. >> caller: oh, hi, jim. >> hi. >> caller: good talking to you. i am interested in accorda therapeutics. >> biotech is on the hit list of the politicians. no rally yet. we had a one day rally. that, ladies and gentlemen, is the conclusion of the lightning round. >> announcer: the lightning round is sponsored by td
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ameritrade. ♪ he has a sharp wit. a winning smile. and no chance of getting an athletic scholarship. and that is why you invest. the best returns aren't just measured in dollars. td ameritrade.
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earnings season is upon us. which ceos will come out and shock us by saying that maybe things have gotten a bit better? who will admit he or she is optimistic about the world ahead of a defining election and a sleepy gdp growth number. who will brave the nay sayers and speak up positively?
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who will talk about how much money can be made in an era when bernie sanders decided to go after ge? it's one of the more liberal and caring executives? sit both it? if you speak out loud about how the situation may have gotten better or will we hear the same old dynamic. promotional environment. strong dollar rendering us un competitive. fed doesn't know what it's doing. woe is me. if it's the latter, i suggest we see through the negative ti. i believe longer terms we'll be at odds with the down beat century i don't. we should prepare for a different narrative. we have to be more bullish than the skeptics have already written off earnings season as an ugly one. i heard someone say it would be the worst in seven years. for example, are you ready if an
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executive says things have gotten better in china given how the numbers aren't that bad and the chinese stock market has been roaring and the pesky freight intex which doubled in the last few months. what if someone says, look, the u.s. dollar peaked and is going lower versus many currencies. what if someone says the tone of europe is good and getting better. what if someone says latin america is making a come back. what if they get rid of the constant currency translation. you better prepare to be more bullish. even as i recognize the market is turned hard on them and on the consumer by the way, too. these last few years earnings season is a drag for all but a few domestic companies those players that restructured have gotten applause. everybody elsele it's been sell, sell, sell. i see we are about to lapse in comparisons. look at the dollar versus the brazilian real and i see hope. when i look at the dollar versus
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the yen i see progress. potential take away of japanese export business by u.s. based competitors. in other words, some things are better. i believe we'll come out here and it will be obvious if not for the current political environment where the socialist bernie sanders is winning primaries despite a one man war on business. republicans are talking about social issues not job creation. le i am telling you not that many things are going wrong. plus let's be honest. sanders can jabber all he wants. hillary has pretty much locked up the nomination. the super delegates who run the party will never let sanders win. i don't think sanders was running to win until a few months to go. he was a protest candidate. the media want it is horse race race. they have the appearance of one and hillary clinton is more probusiness is in the driver's seat. i bet she wins but even if she dent get more vote it is super
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delegates will hand it to her. the operative word is coronation, not nomination. let the earnings games begin. understand with the dollar sinking versus so many currencies raw costs under control, europe and china getting stronger, the u.s. economy is fine. there is a reasonable hope for a new narrative on the horizon. one might be better than expected www.expect expected wunts we get through the bank numbers this week. maybe you shouldn't just be ready for the worse but maybe for an improved environment which most aren't and would be the real surprise of this, the first quarter of numbers for 2016. stick with cramer.
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look, okay. i'm trying to take the other side of the trade. everybody i know is very negative going into the earnings season. when you hear people say listen it will be the worst in seven years i urge you to think, wait a second. what if it isn't this bad? alcoa delivered a quarter. was it terrific? no. but the company is splitting up. juniper dizzy disappoint tonight. but look at the consumer stocks like techs and industrials. i'm urging you to be neutral, not positive. just not negative. i like to say there is always a bull market somewhere. i promise to find it for you on "mad money." i'm jim cramer. see you tomorrow. >> farnoosh: tt
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on follow the leader. >> this definitely has potential. it is a billion dollar brand. >> farnoosh: paul mitchell systems and patron tequila, two companies that seem to have little in common, but these billion dollar brands are both the brainchild of one man, john paul dejoria. >> this is a big decision to make. son of a gun, i never said that. >> farnoosh: he's 71 but still driven and focused, and believes he's about to launch his third billion dollar idea. >> john: aubio is a gel that help treat cold sore virus. >> farnoosh: we're embedding with jp for 48 hours to take an intimate look at how he's managing his ever-growing empire. where are you taking me? >> i'm taking you to the bomb shelter. >> farnoosh: often solo, from an office in his home that doesn't even have a computer. are you calling 411?

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