tv Fast Money CNBC June 5, 2017 5:00pm-6:01pm EDT
bide our time market-wise right here. i do think this vote will be interesting, because i think the burp is pretty high. not just because of the complexity of what einhorn's proposing, but the fact that gm stock has outperformed ford handily for one, two, five years. >> michael, thank you. we'll see you tomorrow bright and early. that does it for "closing bell." "fast money" begins right now. "fast money" starts right now. live from the nasdaq market site. tonight on fast, something that's happening in the currency market that could spell major trouble for stocks. the chart master is here to tell us what he is seeing. plus, thin is in. the vice stocks from alcohol, the cigarette, casinos all soaring. we'll break it down. later, shares of snap getting hit today. things could be about to get a lot worse. we'll explain why. but first, we start off with apple. the headlines are coming fast and furious out of the worldwide
developers conference in san jose today. let's get straight to josh lipton with the highlights. >> melissa, this was a developer show. but there was plenty of hardware news here today as well. you can start with that new device apple just unveiled today, they call it homepod. a smart speaker that will cost $349. it will be available later this year. siri activated. to allowing users to call up music, messages, news, all hands-free. a shot at others who sell smart speakers. >> we have such a great portable music experience. but what about our homes? we think we can do a lot to make this experience much better. just like we did with portable music, we want to reinvent home music. >> apple also went heavy on the mac today announcing a number of
refreshes to that also. a new machine coming later this year it calls the most powerful mac ever, 5k display, $5,000. but this was a developer show, so the big focus was on software. apple unveiling a new feature peer-to-peer payments, that would be seeming to take a direct shot at similar services from square and benbo. >> thank you very much, josh lipton. let's check how apple stock has performed. mostly good news. last year the stock was up 9% in the three months following the conference. 2015 was the worst, down 13%. so given the historical trend, and after what we saw today, are you a buyer of apple, dan? >> not really. listen, today's news is supposedly a software event. and the upgrades to the ios device. to give you a look into the phone operating system, it will be on the new hardware in the fall. but we don't know what that hardware is.
i think it was interesting they previewed two hardware devices, they don't normally do this, the homepod and mac pro, that will be out later in the year. i think they felt the pressure to get stuff out there. the software front was evolutionary, no doubt about it. a lot of the other services are out there on other operating systems. they need to deliver on the hardware. we're going to know that in the fall. i think it was pretty much an -- eh -- sort of thing. down a percent and a half on the close. that was the downgrade. i think a lot of the excitement, a lot of the anticipation about the hardware and the iphone 8 coming out in the fall, sends the stock up. >> favoring saying alphabet. an interesting drop in terms of the research. >> i don't know. comparison between the two is lost on me. but as you know, for the last eight years, i'm not all that bright. so we were having this conversation before the show. what's the right multiple for effectively a hardware company trying to transition, that has
mid-teens to high-teens earnings growth, with cash that no other company on the planet has. the pacific quest downgrade, $145 price target, only 5% or so from where we currently are. i thought the stock would rally into earnings early this year. it's rallied another $20. how do you trade the stock? i think you stay the course here. there's nothing to indicate it's off the rails in any way. >> i want to stick with the valuation notion. i think a lot of people are struggling with that particularly after a 30-plus percent rise year-to-date. for at least this year, just focusing on this, we've been trending toward the expensive side for the past five years, right? pretty much at the highs for the past five years or so. in terms of that, how do you break it down in your head? >> in my head, i'm not long, for one. although i do feel maybe there's a floor here until we see the new phone. but it is predominantly -- let's
look at this -- 80% hardware. what's the right multiple for a haired wear company. let's say it's ten. that leaves the rest of the company trading at an extraordinarily high multiple. even with the cash, i have a hard time reconciling that. obviously i wish i were long, because it's up a lot. but i wouldn't jump in right here. >> but if the market continues higher, the names that have done the heavy lifting will continue higher as well. and switch to alphabet, up 27% year-to-date. apple up 33% year-to-date? i think you almost have to hold your nose and buy it. when samsung phones were exploding in your ear, that was the defining moment and when apple took off. who's buying it now. there is a massive buyback. so even when no one else wants to buy it, i do believe it's a floor on the stock. history has proven that this
week might be a down week for the stock. we just showed it, that a couple of weeks out, this proves to be a buying opportunity nonetheless. if the market hangs in, these stocks, all those stocks are going to -- >> here's the problem we have. in the last quarter, the stock has gone up since they reported in may 2nd. tim cook said they actually missed the iphone number because of the leaks of the upcoming phone. what do you think the guidance is going to be in this quarter? i think there's a bunch of near term headwinds. it's not a slam dunk that this tenth anniversary iphone is going to be something that they're going to have a lot of, or great demand for. $1,000 price point. if you're telling me the iphone 8 is the same as the 6s and 7, i'm not so certain you're going to hath super cycle. >> according to the leaks, it's going to be end-to-end glass. >> that's the high-end phone. this is the high-end phone, and you would expect early adopters
to upgrade to that phone. i would not expect -- you know, the whole super cycle upgrade thing is the notion that there's 200 to 300 million iphones in use right now that are two to three years old. >> b.k. has the 3g. the tiny little phone. he's been waiting for this. >> but this is the risk to the story that it's just an incremental upgrade. we've just seen the ios 11. if the hardware is not exciting enough, why would you upgrade. >> apple's upgrade was a 6. isn't it time to upgrade? >> but the 6 looks exactly like this. if the major upgrades are coming through the software, i'm not so certain people are running out to spend $600, $700 on a new phone. >> maybe this is the problem in the long run, just a shell for the software updates, which it can handle theoretically. >> that's the history of hardware in general over the 45b9 30 years. that's the question that we're talking about, as it relates to
how do you value a company that gets 65% of their sales from hardware. the history of technology there's never been a company to maintain the margins they've had in the mid-40% on hardware. at some point something's got to give. a lot of bulls will point to services. services was 13% of their sales in the last quarter, and only growing 17.5% in the last year. not the sort of thing you should put 50 multiple on that growth. it's just not there yet. >> i think the belief is that services, which is mid-teens in terms of the revenue, can grow to low 20s to mid-20s. that i think is the focus. that's the case that pete makes all the time. whether it's true or not, we're going to find out. but when they played that -- >> the sound on tape. >> sound on tape, did you hear the gasps in the crowd when he mentioned -- bring that up. the believers of this company are steadfast in their belief. they're not going anywhere.
the apple die-hards are not only die-hards for their products, but they're absolute die-hards for their stocks. about 2,000 different stocks, people wouldn't bat an eye. if you say anything remotely bad about apple, we all saw it, i believe people are true believers in the company. >> it's actually amazon and tesla now. we don't care about apple anymore. it's amazon. >> you know, the roger banister moment in big tech. >> right. >> you would know -- >> mel has no idea. >> okay. >> shortly after that, everyone could run a four-minute mile in the elite class. i guess to your point, i would rather be in a non-hardware
business. >> gene was at the apple conference today, and joins us now. gene, did you see anything that gave you a glimpse into apple's future today? >> reporter: absolutely, there was actually really big news. it was revolutionary news. it will probably slip below most people's headlines which is about the homepod. but this is around ar kit. what they showed, and we've been closely following this a.r. theme, what they showed today was a light year ahead of everything else that's out there in a.r. that's going to be available this fall. and they also announced that hundreds of millions of iphones will be able to do that kind of a.r. and to put that in the comparison, an a.r. in rich platform, the competitor would be tango. and there's some 10 million. this isn't just about doing pokemon, this is about doing many other different a.r. apps. i'll leave you with one other thought here, a.r. is going to be the operating system of the future. this is the right place for them
to make those announcements and they're really putting the hammer down on a.r. today. >> just to unpack this a little bit, a.r. is released to developers so they can develop apps within the -- that are offered within the store that use a.r.? >> reporter: exactly. they'll use the computer vision part of the iphone. the iphone will be the device of the next five years. but eventually it's going to be veritable. the a.r. kit will allow developers to build rich a.r. experiences far beyond what we've experienced in a.r. today. the demos that they showed today i think really caught people's attention. >> we're just having a pretty robust discussion here on the desk, gene, about apple's multiple valuation. karen was making the breakdown, karen, you're saying 80% of it, 80% of the multiple is hardware. and so, therefore, it may be a hardware multiple. >> the majority, overwhelming majority by a lot is hardware.
which should get a cheaper multiple than services, leaving that service multiple, even with the cash, something that's extraordinarily high. >> how do you work through that, gene? >> reporter: well, their hardware piece, they gave up the 96% satisfaction. the work that we've done, there's about 93% revibrate on our iphone. in some ways, this idea of iphone as a service to the hardware almost becomes a service because this is a utility. i understand that it takes many years for the multiples on these stories to change. but as investors get more comfortable, that iphone hardware franchise is more of a 0 to 5% grower, i think the multiple on that hardware business can rise. >> gene, so back to the services and software stuff. today they announced they have 27 million apple music subscribers. spotify has 55 million subscribers. how do you get the arms around the fact that this is a company
with 1 billion installed base of devices that they're so badly behind spotify? does it give you a heck of a lot of confidence to they can build this suite of services that makes their hardware much stickier? >> reporter: any given service has not been particularly successful. the music example is a great example of that when you compare to spotify. but i think if you look at it collectively, their services are between 12 and 15% of revenue. i think that that's something that is growing at a steady 20% rate. i think the broader platform they've built outweighs some of the negatives you could look at relative to a competitor. >> gene, the bottom line is, you would buy this stock here? that's what your recommendation would be? >> reporter: yep, that's right. i think that the stock will continue to move higher over the next year. i think it will probably sell off just before the new phone comes out. it has to. so many people made a lot of money in this trade. ultimately it's going higher. >> gene, good to see you.
thank you. >> reporter: thank you, melissa. >> that's what you said, grasso -- >> it will be a buying opportunity. this week historically at this conference, a buying opportunity. the only outsized one was the split year. where it actually traded up that week. but in history, you've seen this week the buying opportunity and then weeks out, months out, it is definitely higher. >> are you in the camp of gene in terms of the sell-off? >> i don't believe there's a lot of upside. gene's talking about the a.r., the developer's kit. when do we get to see the results of that? it's really making certain stuff stickier. i think there's a lot of risk into the fact that this high-end phone is going to be what everybody expects it to be. i'm not expecting the lower end stuff to be that much of a driver. i'm not expecting a huge contribution from china or india for the balance of the year. >> you're eagerly awaiting the a.r. kits. >> you have no idea. i go to bed at night, the a.r.
kit is coming. >> yeah, sure. >> sure. what is the a.r. kit? oh, yeah. augmented reality. what were you going to say? >> you a buyer? >> on the back of that, no. but what i will say, i'm not suggesting it's going to get there, but if we're all in somewhat of accord there might be a sell-off, i'm not suggesting it gets to this level, but those old highs from 2015, the number we talked about for a while, 134, if you want a level to have in your sort of diary, where i should buy apple, that would be the level that i would look to get into it in a meaningful way. coming up, president trump tweeting about the need for a travel ban. with u.s. tourism already on the decline, we hear what some of the top travel people say about the threat. will investors keep pushing the sell button? later, something strange is happening in the currency market and commodity markets. could be a major warning sign for stocks. the chart master will break it
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been on the decline since he took office. travel stocks have yet to feel the heat. they're continuing to hit all-time highs. >> melissa, i would still call it a resilient tourism and hospitality sector. last year we saw record tourist arrivals. the u.s. department of commerce forecasts that there will be growth for the next five years. so we've seen shares rally so far this year. i would call it a bullish time for the hospitality names. lots of points of optimism, discussion here today. but there were also topics of concern, namely the travel ban and terrorism. we caught up with the largest hotel groups, marriott and the ceo who is fearful trump's tweets might be sending the wrong message to global travelers. >> the question, of course, around sometimes these tweets that come out early in the morning, talking about a travel ban, they are very blunt. there's no nuance in it. there's no welcome in it.
it is essentially communication to the rest of the world, we don't want you to come. >> so if tourism numbers do fall off because of the discussion, or the threats of a travel ban, it would impact a sector that employs 8 million people in the u.s. and also america's largest services export. >> obviously i understand why the administration wants to. we have to do it in a balanced way, recognizing that there's also a huge element of the -- a huge component of the economy that relies on tourist arrivals. >> another big point of discussion here at the nyu hospitality event, the terrorist attacks in london over the weekend. most ceos here believe that the impact will be short-term. it will be localized. because cities do bounce back. for instance, western europe, which has suffered over a dozen deadly terrorist attacks in the last two years, is the most popular tourist destination in
the first quarter of this year. it goes to show, melissa, you really can't keep travelers away for too long. back to you. >> all right. susan, thank you, at the hospitality conference. you see that in priceline shares. guy, i know you're a big fan of priceline. eadvantage list. >> evangelist? >> yeah, a big percentage of their business is europe based businesses. >> the last quarter was surprisingly not good at all. the stock acted in kind. listen, we've heard other fears that should have affected priceline over the last couple years. has not. for whatever reason, this quarter did. what's interesting to me, they had marriott's ceo talking. that stock, think about it, in the fall was a $70 stock. it's no $110 stock, give or take. the move in the stock has been ridiculous. historically you've never seen a move like this in marriott. the question is, is it worth the valuation? it trades close now to 25 times forward earnings. i think marriott is way ahead of its pace here.
>> across the board, windham up 33%. you were talking how it hasn't hit the stocks yet. we've heard this rhetoric before, heard the tweet storm before. there was a minor blip as far as buying opportunity. all of them, to guy's point, have rifled back. so i don't think that this ban will ever be passed. i don't think it will ever come into effect. i do think you can still buy. the discretionary income that people want to spend, they choose to spend it on experiences. it's basically a vacation stock environment. i still think you can buy these. >> for the airline stocks? >> remember, it's a lot of u.s. -- within the u.s. travel as well. right? the airline stocks, maybe this new faa moving it out, having it be a separate entity, that would be a good thing if that came to pass. i am a little bit concerned about the foreign travel. but also, this -- the laptop ban, potential -- potential laptop ban. that is, i think it will make it
more difficult to fly. if anyone's flown with kids, this is a nightmare scenario that i can't even describe to you. but maybe that's a chance for airlines to have more -- sell more services. i don't know. they've had a great run. they're not cheap anymore. they were cheap -- >> are you trimming? >> i'm staying with them for now. >> okay. let's get today's buzz kill. snap down 4% as jpmorgan's media company targeted to 18 from 20. slower ad sales and user growth could hit the stock. plus we mentioned this before. jpmorgan's highlighting this. the company's got a looming lockup expiration at the end of july when nearly 80% of its shares could be up for sale. take a look at some of the other big ipos and how they did after their largest lockup ex per rations. facebook, after a rough six months jumped 11%. twitter had a different fate falling a whopping 18%. alibaba was down 3%. grasso, what do you think? >> i think you're going to get another shot at the ipo price,
$17. we talked about it the last time. you might get a shot at the $17 level. it bounced at $18. everyone sets up their algorithms way ahead of where the herd is going to be. you eyeball the $18 recent low and ultimately $17, you might give it a shot just for a trade. >> it was one of the underwriters on the deal. so, you know, it makes sense. i don't think there's anything particularly new. it makes accepts to keep an eye on this. i think steve is right, it will probably go back to the high teens. the low in the aftermarket was like 17.25%. but that day we had mark cuban on, you asked him point-blank, what are you waiting for, mark? he said i want to wait to get through the lockup. i don't think any of the fundamental would be a surprise. but i think there's a lot of people waiting for it to get back down there. >> what if you wait and it never happens? maybe the lockup comes and goes? it doesn't mean you have to sell. i have no idea what's going to happen. i think if you get back down to that level, it's going to blow
through the next time down. it traded may 11th. traded about 135 million shares. and we flagged 17 bucks as an entry point. three days later it was trading 22. the point now is, stay long the stock and stop out now is the levels we just talked about. >> coming up, a new drug that should have had a stock rallying. we'll hear from the ceo, and what is missing, in an exclusive interview. here's what else is coming up on "fast money." >> i have sinned. >> well, don't sweat it. because turns out, sinning can help you beat the market. and we'll give you the stocks that are cashing in on sin. plus -- >> be afraid. be very afraid. >> that's because crude and the dollar are doing something very strange. it could spell trouble for the broader market. we'll tell you what that is, when "fast money" returns. [vo] when it comes to investing,
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welcome back to "fast money." we're live at the nasdaq market site. here's what's coming up in the second half of the show. sin is in. could this be your best way to beat the market? plus, juno tanking after releasing new data at a major drug conference today. the ceo of the company said investors are reacting to the news totally wrong. we'll bring you the comments later this hour. but first, oil under pressure today after a number of middle eastern countries said they're cutting all diplomatic ties with the nation of qatar. hadley? >> reporter: it's nothing less than the most severe disruption
of diplomatic relations in the gulf arab states in decades. it's been a long time in the making. basically what we've seen over the last 24 hours, saudi arabia, bahrain, egypt and the united emirates accusing their neighbor, qatar, of basically backing terrorists. this, of course, comes after many years of questionable foreign policy moves, basically we've seen qatar supporting hamas, a billion-dollar payout for hostages that many say most of that money went to iran. and the big question, of course, going forward is, what this actually means for the trump administration. just a couple of weeks ago, u.s. president donald trump very successful trip to saudi arabia. he said he was going to be bringing the muslim world together. and now this. lots of questions about whether or not this is going to have major implications for u.s. military installations in the gulf arab countries. we have four of them, one is in kuwait, one is with bahrain, and two in qatar and air base as well as army base. potential big problems for the administration going forward,
guys. >> thank you very much, hadley. well, oil is not the only one getting hit. a number of other commodities are also down on the year. one technician is seeing something very unusual in the charts, that could mean some bad news for these stocks. carter is over at the plasma. he's going to break it all down for us. >> i think what we know is that the risk-off has been on all year. all the things that were chased have not only been unchased and abandoned, they're likely getting worse. but i want to focus on commodities. and then go from there. i think we've got -- we know this is a debacle. not even worth talking about it. i don't even have it in my slide deck. crude is a mess. i don't know if i have some of the other charts here. sometimes this will move forward or not. if you were to take a look -- let's start with the dollar. the presumption is, and the long-term relationship between the currency and commodities is obviously weakening dollar,
presumptively gives back when tailwind to the commodities. we've had this weakening dollar all year. and yet, commodities have been under pressure. let's go around the horn here quickly. the first one i have is iron ore. as the dollar is weakening, which should help this, iron ore is collapsing. moving on. we've got nickel. no longer an option. not getting help from the weakening dollar. next. rebar. stuff that goes in the roads, holds the concrete together. you can call it a lot of different things, but you can't call it a good pattern. keep going. zinc. we have this topping out formation. as the curve is flattening. and the dollar is weakening. not helping anything. tin. all the same picture. i could do this forever. okay. here's one more. this is an index of actually stocks, about 65 leading steel stocks around the world.
it, too, has all the look and feel of a head-and-shoulders top. right shoulder is weak. here's your neckline. looks like more to come. all right. none of this is particularly good. here is the crv, all commodity index. you've got cotton, and cocoa, corn, you've got oil and gas, you've got them all. and all that i'm seeing here is something that's hovering at well low. it looks as though it's going to break again. hovering at 52-week lows. let's quit on that. so this is the continuous contract of all commodities. you get the huge bump-up. '70s inflation. then you get this big range, and to china, the run-up. the plunge on the '09 low, you get the ricochet, it's getting a lot of colors here. and then we've given basically the whole thing back.
i think ultimately we're going to get back to those lows. so commodities, lower, getting no relief from weakening dollar. deflationary forces. the curve tells us this. it's not good for these stocks. >> come on over, carter. >> wow, unilateral decision, you didn't even ask us. >> anybody with music has got to come over. >> zeppelin intro, that is rocking, man! >> is there any -- i guess this isn't necessarily in your wheel house, but any correlation in the rollover in commodities with economic growth? the assumption is economic growth around the world is picking up. that it's better than in the united states. maybe that's an old line view of -- >> it's a little bit backward looking. there are a lot of things that can cut the other way, right? for instance, look at the action of john deere or caterpillar tractor. they're fantastic. the biggest movers of things and diggers. you can argue none of that is
right. yet there's a lot of wisdom in that price, and the shanghai composite which is rolling over. how do you square all that off. what we do know is that the data is not as robust as it would otherwise need to be. to hold this stuff up. what do you think? >> so you've been a -- i don't want to call you a gold bug, but a spot in your portfolio for gold. i've been long the miners. i keep a certain percentage of my money in the miners waiting for the spike higher. up 8 percent year-to-date which is nothing for the miners. no one knows whether it's inflation, deflation, volatile times. how does it make you change your stance on gold? >> people think that you have to have an inflation, or prospective inflation to make gold work. i think it's when the missiles fly. sometimes that doesn't work either. i don't think it has to always have that correlation. what we do know is that gold had a great run. peaked in '11, and had a great collapse. for the better part of let's say
two years it's been trying to find its footing. while the miners haven't really kept up with the metals, you still have more upside potential than downside risk. >> obviously we have low rates, weak dollar and low commodity prices. obviously all should be tailwinds for u.s. stocks. but is there, you know, the juxtaposition about what the former are telling us about the economic growth? >> i think what it means for u.s. stocks is people are actually -- the behavior is rational, people are bidding growth up, as they should. when thinks are questionable, a mousetrap is ochting on its own, whether you solve alzheimer's or have a facebook that keeps growing. that is independent of shanghai. independent of putin. independent of trump. independent of the dollar. so people are crowding into those names. the real risk, though, is not so much the ones that are growing, the amazons and googles, it's the bidding up of mature growth companies, marriott, mcdonald's,
baxter, that don't have the growth that the real growth stocks have. >> are you saying those three stocks are sells? >> i would sell all three of them. >> they are being crowded into at the same rate as some of these growth type stocks. but they're at record multiples. i could probably rely on karen for that. there's no such thing as a growth stock. there are only stocks in growth phases. that's the issue. >> let me ask you, did you say that the commodity charts were backward looking? >> no, gdp is backward looking. >> and how forward looking do they tend to be? >> six to nine months, like everything else that looks forward. >> carter, thank you. good to see you. >> yeah. >> what do you do with this plethora of knowledge and wisdom? >> the real question is -- >> you'll get in big trouble. >> is it a supply thing or
global economies are slowing down? that's a debate we've had for a long time. if tim were here, he would talk about supply, economies are getting better. i'm not sure what the answer is. i'm sure of this, exxon has not traded well now since february. it's been trading between 80 and $81, around 52-week low. just like i say, the market doesn't give you ample time to sell the high. in this case, i don't think it's giving you a lot of time to build on the low. i don't think energy is investable until exxon bottoms out. i don't think it has yet. >> i think you can put it together with the jobs data we had. if you look at the average of the jobs over the first three months of q-1. the ism number this morning was disappointing. and the bank stocks here, to me, i think is a big problem. >> and the curve. >> and he's back. >> we left the door open. >> sorry, guys.
>> this narrative is pretty straightforward. >> now we have no more time left. thanks. still ahead, the best drug ever. so why was the stock down 10% today? meg terrell sat down with him earlier and will bring those comments. casinos and whisky and smoke. the day in the life of don chu, with a very sinful report. dom? >> all right, guys, sinning is winning at least when it comes to these stocks. coming up after the break, we're going to tell you why it's good to be bad in some of these stocks, doing a heck of a job along with this. stay right here. "fast money" returns right after the break. and packages. and it's also a story about people. people who rely on us every day to deliver their dreams they're handing us more than mail they're handing us their business and while we make more e-commerce deliveries to homes than anyone else in the country, we never forget... that your business is our business the united states postal service.
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welcome back to "fast money." spinning is winning, at least for investors. wynn stocks are up. consolation brands up 20%. and las vegas sands jumping 17% in 2017. so what are the catalysts driving this group higher? breaking it all down is a man who knows a thing or two about sinning himself, dom chu. >> i have no idea what you guys are talking about, but i've heard that sin is in. because not everyone has decided
this is the trade to be in. more like the semi-perfect storm, if you will, of many investing themes, stocks tied closer to sin. you've got consumer staple stocks, different tend payers there. tobacco stocks have been smoking, like philip morris international up 32%. m & a activity is part of that. of course, lower relative interest rates also make these dividend payers like tobacco stocks attractive. alcohol in the mix also. the beneficiary of some takeover chatter. consolation brands might also be trading on odds of whether a u.s. border adjustment tax gains any traction. and we'll end on the single best performing stock, a consumer discretionary name, wynn resorts up by 55% year-to-date. that's what you got for waking up in vegas, i guess. vegas part of the story, but more about gaming revenue growth. by the way, expanded for the
tenth straight month this past month. as for me, melissa, i was just down in atlantic city for the lpga shop rite classic. headed down there again this week. i'm sure people will find me at the tables in a.c. at some point this weekend. it was a pro am event. we're all winners. all participation trophy guys. >> not first? >> did you win any money? >> i did walk away a winner. i caught a little bit of a hot streak. in classic fashion, i stayed at the tables a little bit too long and gave most of it back. >> i've seen you in action. dom, thanks. which of these sip stocks? >> wynn resorts. he just talked about the ma cow gaming. what do you do when you wear a pitcher's mitt and go off to the plasma? >> fast pitch. >> i will continue to talk about the merits of seed wynn who has been buying the stocks when it had a $50 handle. the valuation is not rich.
>> i'm up 18%. 11% year-to-date. to dom's point, some chatter obviously, perspective m & a in that space. i'll stay long in m.o. >> i don't love to gamble. but i did think wynn, i think you were 3 for 4. you were the fourth. >> of course. >> where were you? >> i was away. >> i'm just going to do wynn for options in a minute. not much more to add. >> then go over there. >> what do you have to say? >> nothing. you just said it. go over to the plasma. >> here's a stock that, like mel said, up 55% on the year. it's not going to report again until early august. we had steve wynn on the show last month. he sounded pretty bullish about
their business in macow. and some of the developments they're doing in las vegas here. so today, one trade that kind of caught my eye when the stock was trading about 133, very near a 52-week high, there was a buyer 130, 120, put spread. what they're doing that, 1,000 times by 2,000. look at this chart here. guy was talking about this. i know he's been big bull on it. very range-bound for months and months and months. it broke out here. one of the things that i think is interesting about this trade, it's really targeting that breakout level down at 120. let's go to the next chart here. it's really important to remember, this stock is up almost 150% from those multi-year lows. it's still down about 50% from those all-time highs made in 2014. what's interesting to me is carter just mentioned this shanghai is rolling over. obviously this is a big play on
macow. 65% or so. this is a better way to play a chinese reflationary trade. maybe it's a little protection against the long. the stock is up 55% year-to-date. >> they're opening up, not today, but mgm is opening up mgmkotai. wynn's already got a property there. there's a lot of supply coming on. >> you're going to say that's going to happen in the margins? >> thinking what the bears might be seeing. >> i think that's a great bear case as well. there's also growth opportunities in las vegas. mr. wynn mentioned it himself. the only reason they haven't expanded in vegas is he's been too busy in macow. i think they can pick it up on the other side in vegas, that's just my opinion. check out the full show friday 5:30 eastern time. the ceo of juno said the company has the best drug ever. why is the stock tanking?
we'll hear from the man himself. you're watching "fast money" on cn cnbc, first in business worldwide. i'm here at the td ameritrade trader offices. steve, other than making me move stuff, what are you working on? let me show you. okay. our thinkorswim trading platform aggregates all the options data you need in one place and lets you visualize that information for any options series. okay, cool. hang on a second. you can even see the anticipated range of a stock expecting earnings. impressive... what's up, tim. see options data like never before. with thinkorswim only at td ameritrade. our 18 year old wase army in an accident.'98. when i call usaa it was that voice asking me, "is your daughter ok?" that's where i felt relief. we're the rivera family, and we will be with usaa for life.
money." drug stocks on the move today, the biggest names in the smas at a conference in chicago. meg terrell is there with the latest news. hey, meg. >> hey, mel, the world's largest research conference. let's start with the gainers. the biggest one out of the whole conference is a new biotech company only a few years old. the stock up tremendously. closing 43% up today after data over the weekend. rare cancers driven by a genetic mutation. puma biotech has been up earlier today, giving back some of the gains. but really, in the green based on sort of a sigh of relief around competitor data in breast cancer. roche on the other side of that. bluebird bio ending up positively in the new program in multiple mile loma. the winners for the day. we mentioned roche earlier, that stock down today on the update in breast cancer.
not looking quite as positive in terms much the benefit adding there as investors had hoped. also, seeing bristol-myers declining there. this one, of course, competing heavily in the amino oncology space. some folks staying on the competitive landscape on lung cancer. incyte also falling. giving back some of the gains we've seen in the two weeks leading up to the conference. finally, juno therapeutics started with a pop. reversing that, closing down 11%. we caught up with the ceo of juno who was pretty optimistic. >> we think when you look at the overall data that we reported, we think we've got a good chance at being best in class. so right now, we're behind another company that are slightly ahead of us. but we feel quite encouraged by the data we posted today. if that kointcontinues, i thinke got an important drug to help
these patients. >> jpmorgan putting out a note saying it was a curious thing, the stock ended up down so much today. a weird trade there. especially given how optimistic the ceo is there. >> thank you very much, meg terrell. really long days at the conference. >> i like juno. i talked about it being the $100 table. $26.50 stock, traded down 23 and change. the knock on juno would be a cash burn. no burn from 250 to $300 million this year, which is a significant sum for a company with their balance sheet. the upside is, go back and look at what jads did with celetor about a year and a half ago in the same space. the immunotherapy is the space to be in. if they get it right, the stock doubles, if it misses, it's a teenager. >> i can't take that kind of risk. i absolutely can't do it. i can't believe this is coming
out of my mouth but the one stock i know in the space is valiant. it's not even that on point. but we talked about it before. an option with some life. if you really need to be in the space, you've got to do the ibe or xpi. >> it had a little fallout today because it got tied up in the citron report. i hope it's a lottery ticket, upside. one tech stock hitting at all time highs. but grasso said it even has more room to run. stay tuned. hey, the future, what's her problem? apparently, i kept her up all night. she said the future freaks her out. how come no one likes me, jim? intel does! just think of everything intel's doing right now with artificial intelligence. and pretty soon ai is going to help executives like her see trends to stay ahead of her competition. no more sleepless nights. - we're going to be friends! - i'm sorry about this. don't be embarrassed of me, jim. i'm getting excited about this! we know the future. we're going to be friends! because we're building it.
say carl, we have a question about your brokerage fees. fees? what did you have in mind? i don't know. $4.95 per trade? uhhh. and i was wondering if your brokerage offers some sort of guarantee? guarantee? where we can get our fees and commissions back if we're not happy. so can you offer me what schwab is offering? what's with all the questions? ask your broker if they're offering $4.95 online equity trades and a satisfaction guarantee. if you don't like their answer, ask again at schwab. dearthere's no other way to say this. it's over. i've found a permanent escape from monotony. together, we are perfectly balanced. our senses awake. our hearts racing as one. i know this is sudden, but they say...if you love something set it free. see you around, giulia
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final trade time. steve grasso? >> square up 71% year-to-date. get educated, it's going higher. >> karen? >> yes, we had some emerging market exposure out of the united states. eww is mexico. >> yeah, priceline, all that news on the travel front. i think we take profits here. sorry, guys. >> you're anti-guy on priceline? >> of course he is. that's okay. did you like juno the movie? i think jennifer garner -- >> aeu at the end. >> ellen page.
>> it was juno, j-u-n-o. the movie was lousy. >> you like the stock? >> i like the stock. i still like the stock. back to you. >> i'm melissa lee. thank you so much for my mission is simple to make you money. i'm here to level the playing field for all investors. i promise to help you find it. "mad money" starts now. hey, i'm cramer. welcome to "mad money." welcome to cramer america. i'm just trying to make some money. my job is not just to entertain you but to educate you. close watchers of "mad money" know i do play one on t