Transcripts For CNBC Fast Money 20171121

First time ever, joining the nasdaq and russell all making fresh highs today. Even safety trades like gold and bonds were up. Theres no end to the rally in sight. And the end of the year is just a few weeks away it just keeps climbing, guy. Yes, and i dont think weve wavered a lot on this one. There are a lot of reasons to be embarrassed. There are probably another 30 reasons we could mention it doesnt matter. Thanksgiving is a few days away, well be in Holiday Season people will play catchup. The russell made an alltime high to me thats the best indicator. We can argue about whether tax reform will get done, but somethings going to get done. Ive said it a thousand times, the market doesnt give you a long time to sell the highs. Weve been here seemingly for months in my world, it means we continue to grind higher despite the other noise out there. The bond market is key also where else are you going to go if youre going to invest dollars . If youre in a mutual fund and youre getting this passive management going in, what else are you going to do . Youre going to go into the stock market i can certainly create the bears case, i can always create a bears case but it doesnt matter in this market i agree with guy that going into yearend, its going to be very difficult to have a selloff, because no investors are positioned to sell off, theyre not that nervous, theyve wrapped up their gains for the year if anything you might get a profit taking but not anything significant. I agree, the money weve seen coming into our desk, is coming from overseas. We talked about this a couple of weeks ago. We didnt necessarily see a pullback we saw a flat market for almost 30 trading days. That facilitated this move its consolidation. Consolidation but not a pullback weve seen a lot of International Buying u. S. Equities plus a perfect storm for the bulls this week. Pretty much done with earnings, you dont have to worry about major road hurdles d. C. Is on break until next week, they cant screw up, you wont hear that much dialogue about tax Reform Efforts failing. Basically the market wants to grind higher you have a flattening year curve. What does a flattening yield curve love growth stocks. That keeps the market growing at least for a couple of weeks. The Biggest Companies added to market cap in 2017. Youre saying buy everything, you saying keep buying stocks which have already gone up by a lot. Does that worry you . Steve is right about the tech, i agree. Industrials, weve talked about. Theyre not that interesting if you look at defense stocks, names like roper, and grudgingly i would give you caterpillar which in my opinion has sort of defied logic in terms of valuation and what the market ceas sees theyll work until year end. You can stay away from energy, you can stay away from retail even though retail, ive said this, and ive been burned by it verbally, there should be a reason to buy retail that we have a lot of the negativity has to be priced in. These things have been decimated. The comps are going to get easier this is their peak selling season every time you say it, by the time im done theyre down another couple of cents. Youve been burned by the same names ive been burned by beating the expectation, seeing a massive rally, those are investable, theyre tradeable sectors. I look at tech and say, where is money going to flow in tech . Its going to continue to flow into these mega cap names that are working, continue to flow into Security Software which is in demand. I listen to you guys and what comes to mind is that Value Investing is completely out, throw that outside the window at least 20until the end of the ye. If youre not going to buy energy, the names that have been working, its the only thing you might want to do, you might get some tax loss selling here at the end of the year, and if you want a strategy going into january, i would take a look at maybe and maybe it is a retail you might have to put up with pain but the dogs in the dow strategy might work going into january. Were all so bullish, for bk its like very difficult 200 points, 200 handles ago on the s p so i think a lot of things ive held on to for outsize gains, ive had to hold my nose and not sell it, and do the opposite, its like seinfeld, opposite day. Breaking news at a cyber attack at uber lets get to deirdre reporter uber concealed a cyber attack that exposed 57 million peoples data. The report says the company paid hackers 100,000 to delete info and keep it under wraps. Also saying that the ride hailing companys chief security officer, joe sullivan, and one of his deputies has been fired for their roles in keeping the hack under wraps the compromised data comes from october of 2016. It included names, email addresses, and phone numbers of 50 million uber riders around the world. Weve reached out to uber and will update you as soon as we hear back. How do we know those hackers deleted the information . Right and only a hundred grand you have to think the info is worth a lot more than that either the guys are complicit or theyre the dumbest hackers in the world. The valuation of lyft and uber, there has been a struggle. This was under past management the new Management Team, will they get a pass for that probably they do from the private Investment Community uber is an amazing story, its going to continue to work. This is a black eye. I dont think it crushes valuation. Our next guest says there are three names at all time highs that you need to buy right now, rich ross, hi, rich. Hi, melissa im serving up the classics for the holidays it starts with the big bird right here, this is apple. Theres a lot to like about apple, a lot of which is the symmetry with the past you saw this surge of support after a decline in 2012. History repeats itself and we get this big multiyear breakout into that textbook continuation pattern. Apple has got to be the first name on your Shopping List to buy at an alltime high. And of course amazon, weve talked about this stock before head and shoulders, thats the head and shoulders that rounds into form. Importantly, you test and hold the neckline and the 150day the move coming out is just as strong, boom, into another one of those textbook bullish flags. Amazon goes to 1250, 1300. We put a modern twist on it to finish things up here, alibaba, look at this base of support, youve drawn it for me, thank you very much. Beautiful base breakout, impulsive move bull flag continuation pattern alibaba hasnt been trading that long, we dont know where the resistance is. Buy the stock on strength, youre set up for another surge until years end in these three big tech behemoths come on over, rich. You didnt even ask us. I dont have to ask hes the parthenon. You say investors may be tempted to get in, you might want to go to retail or energy how do they look to you . I would say no, fight that temptation around holiday time, okay you should buy whats working here, okay this is the season to be a buyer of tech. Tech is leading. And we heard about it before as the calendar turns, people take a little bit of a different mindset. You might look to buy some of those laggards, maybe trim some of those winners for the time being, go with what brought you to the dance by and large thats large cap tech, growth, industrials. Lots to choose from. Alibaba is up 170 year to date, amazon is up, apple is up 50 , s p up 16 year to date your premise of buying those stocks, do they work if the s p takes another dip lower . I know my answer whats your answer look, these stocks, you hate to use the word bulletproof, teflon, if you will, with these stocks these stocks have displayed relative strength all year long. I dont know how that dynamic would change breadth is expanding, emerging markets are breaking out with structural bases of support. The macro unrest we talked about last week, credit spreads and rates, has sort of eased the backdrop is for equities to continue to move higher. Whats also working is the chinese version of f. A. N. G if you had to choose s. T. A. B. Or f. A. N. G. , which would you choose my daughter says, i love them all equally. China, uniquely strong, of course and the world is clearly waking up to the fact that were talking about stocks that have 500 billion cap overseas taiwan is at a 25year high. Japan is at a 25year high they get the attention,but theres a lot underneath the surface to be bullish here were all bullish, scarce the heck out of bk how do we know when investors are done gobbling up these stocks see i did with that . Theyre getting stuffed time to take some profit. We havent had one of those days where you get that intraday reversal where you push out to a new high and close on the lows that might give bulls a reason to tap on the brakes but youre not seeing any of that really. If we saw breadth start to erode, short term exhaustion, those are your trimmings, trappings of success or exhaustion hes the master at those. Rich, thank you happy thanksgiving gobble, gobble we might as as well start now. Love rich ross. What did you do today we talked about nordstroms, they reported november 10th. Risk reward sets up really well against 36 1 2 dollars now stocks closed unchanged today but nordstroms on valuation with the Short Interest for the potential of another headline that could potentially be bullish, i think in ord nordstr nordstroms still works here i think baba is the best opportunity. You know how i feel about amazon apple is a tradeable stock on this upgrade cycle baba continues to work, its a massive opportunity. What is your answer what happens to tech if the s p 500 pulls back its very hard, if we say that the reason for the gains are these handful of names, for them but we have seen where they have moved sideways even with a down market, i think you can own these names. Dont expect them to have the explicit performance theyve had if the market turns down coming up, the doj files a lawsuit to block the at t team warner deal. Plus next stop, 400 a top analyst at Morgan Stanley says thats where tesla stock is heading. A trader says no way hell explain what he thinks the firm is getting wrong. This stock is on fire and investors cant get enough we will tell you the name and why its got wall street going crazy. Much more fast money right after this it can detect a threat using ai, and respond 60 times faster. It lets you know where your data lives, down to the very server. It keeps your insights from prying eyes, so theyre used by no one else but you. It. Is. The cloud. The ibm cloud. The cloud thats designed for your data. Ai ready. Secure to the core. The ibm cloud is the cloud for business. Yours. Welcome back to fast money. Time for our move of the day check out the Home Construction etf surging today. Look at the games in some of the biggest homebuilders, surging. Are these gains built to last . Grasso i would say yes i was in both kb homes and pulte homes, i had a brief stay in lennar homes kb homes is up as your chart showed im still long pulte, which is up 78 year to date. Everyone talks about the home recovery happening its not over yet. Were probably in the fourth inning, in that. Theres lot more legs, a lot more room to the upside in all of these trades. Theres no supply on the market. Theres a lot more room for all these trades to run. Im still long pulte how about on the retail side . We had lowes earnings out, Gross Margins were light home depot is the name to own in that sector, 100 i look at steves call, agree with him 100 . Were at the beginning stages of a recovery within the housing market, and these names will continue to work so home depot, i would be a buyer of, and these homebuilders im with you on the home depot. Weve been pretty unanimous in our love of home depot i think you look at home depot, trades 21 times forward earnings people play lowes because lowes is 16 times, they figure it will catch up on valuation. As today aes lowes report sho home depot is a better company, a better Balance Sheet this summer we talked about it being potentially amazon, thats correcting t incorrect the stock continues to go higher under armour news coming as shares have fallen 55 is there more pain ahead for under armour, bk yeah, unfortunately i think there is this is a company in transition. I dont think in the long run you want to bet against kevin plank. The guy is probably one of the greatest ceos of all time. But in this particular case, they havent figured it out right. They havent figured out what their next product is, whats going on now you have people leaving the company. Until that comes out, i think you want to stay away from under armour you probably want to go with adidas, the kids want the easies these days how are you gauging probably the greatest founder. Starting this company, building it to what it was. Certainly a misstep, missing whats happened over the last year but i think as a manager and a founder, a phenomenal job. I agree, hes a celebrity ceo, and it brings to light other celebrity ceos in other businesses that we might want to take a look at this is a name i would stay away from i would continue to sell the stock. I think its going a lot lower he was a celebrity but not anymore. That brand you have to separate the founder, when you see a stock just have the abysmal performance that youve seen, you have to start wearing some of that lack of performance on your sleeve. The same way that we give guys credit in my opinion, hes the type of guy thats going to take this as a challenge and turn it around but at 11 bucks or whatever the stock is at this present time, theres not much room. This is a very, very expensive option this is aname you should be buying [ simultaneous speaking i can wait and see what his Management Team is going to be this multiple is more expensive than nike. Its as close to 60 times forward earnings despite the fact that the stock is gone to where it is now, valuation is still expensive. Their head of footwear just left the company. The headwinds are significant. What happened to this company . Their products became ubiquitous what will happen at some point they sell out to a rival for some take under perhaps from prices that we still havent seen the only thing bullish that i could come up with under armour is if you get tax reform, their effective tax rate is slightly below 40 . So now if you see tax reform get cut from 35 basically down to 20 , if it gets done it will help them but it doesnt a lower tax rate. Youll see a substantial pop in this stock from 11, just based on tax policy, if, big if, it gets done ahead, meg whitman is out. Im melissa lee. Youre watching cnbc, first in business worldwide heres what else is coming up on fast. Dont be such a square. Actually be a square, because square shares are going nuts theres something to suggest its going higher. Well tell what you that is. Please its the question on every investors mind. To be or not to be . That is the question no. If you had to choose between bitcoin or stocks for the xtne five years, which should you choose weve got the surprising answer when fast money returns. Im not going to get involved in litigation personally ive all the tells that was a deal thats not good for the country. I think youre pricing is going to go up i dont think its a good deal for the country. But im not going to get involved in litigation that was President Trump earlier today with some harsh comments about the at t time warner deal following a question from our own eamon javers. This isnt the first time hes talked down a proposed merger. On the campaign trail last year, he threatened to block the deal. Many on wall street were still betting it would go through. Thats causing a lot of pain leslie picker is in the newsroom with more. Hi, leslie reporter hey, melissa. It was, as you mentioned, one of the most popular trades on wall street, betting at t would close its acquisition of time warner over the last month that trade has put a dent in a lot of returns, with shares of time warner slumping yesterday over rumors that the Justice Department would seek to quash the deal time warner stock is now trading 13 below the value of the spread, indicative of the increased skepticism that the transaction will ultimately close. The shares closed a mere 5 pryor than the price 21st century price offered to pay three years ago. Time warner rejected the 85 a share bid at the time. The question among traders now is what happens to the price if this current deal does break and the uncertainty surrounding at t time warner has thrown the fate of other deals in question. Buyers 56 billion takeover of monsanto as well as united technologys acquisition of Rockwell Collins or at least in part vertical mergers, the same type of deal being questioned in the case of at t and time warner, with two companies on the supply chain rather than competitors in horizontal mergers. Investors are concerned that two other deals would be in jeopardy as well. Today brought a bit of optimistic, time warner reversed earlier losses, gaining 2 on the news that judge richard leon had been assigned to the doj versus at t case he is the same judge who signed off on comcasts purchase of nbcu in 2011, melissa. Thank you, leslie picker back in the newsroom. With the at t time warner deal tied up for now, we thought this was the perfect day to play the price is right. The other traders will vote on whether or not they think the price is right lets get to it. Announcer, who is the next contestant david seeberg from the upper east side, come on down. All right you ready im ready so where should time warner be trading if you think about time warner, you have to think first of all this is a back of the envelope suggestion. What do you have hbo has roughly an enterprise value of 30 billion right here, 30 billion. Youll get Warner Brothers Warner Brothers has roughly a 20ish billion dollar valuation. And you look at the turner assets, worth somewhere around 33 billion, right so you look at those numbers, you say, all right, those are the valuations of each of those independent businesses, how much cash do they have . Roughly 2. 6 billion in cash you take out their debt, which is roughly 22 billion and youre left with somewhere in the neighborhood of 64ish billion dollars. I know grasso is doing the math in his head, hes totally right. 64 billion, roughly 778 roughly million shares outstanding. That gets you to a value of roughly 82 bucks a share low 80s a share. Well pull up the chart here real quick roughly, if you break it out, sixish or six and a halfish to the downside theres a lot of moving parts here putting a sum of the parts valuation on the actual businesses you come up with roughly 82 bucks a share, that should be around fair value. So, traders, he says time warner should be trading 82 bucks a share. High, low, or is seeberg priced right . Guy . Im writing but im going to write quickly. I would say higher, monte, because although his math is spot on, the market is a discounting mechanism. And i think there are intrinsic values were not discussing. I think 81 is a trough valuation. I think this is closer to a 90 item as we discussed last evening all right remember, the price that david seeberg outlined is 82. 81, 82, whatever. Bk. So the price is right, bob. Thats what i would seeberg is right on this one if this deal gets broken up, i think youll have a problem getting much higher valuation because who else is out there that is actually going to buy these assets and get it through . So to me, i think the price is right, bob grasso . I think hes low. And the reason why i look at that, everything you said fundamentally, you cant argue with youve got all the valuations. To guys point, it is a discounting mechanism. You have to look at the old price, 85 the new price, which is basically 108, somewhere in the middle of that is where you wind up if you look at our technical level where the stock has bounced to and troughed at, you come up with basically a 95 price target ill say hes low. The split decision there is exactly why the trade has been very painful on the street in terms of the deal. No question that does it for the price is right, dont forget to get your pets spayed and neutered. Next, meg whitman speaking on hewlettpackards Conference Call right now plus what ocstk just jumped on the bitcoin bandwagon and the wolf huffed and puffed. Like you do sometimes, grandpa . Well, when you have copd, it can be hard to breathe. It can be hard to get air out, which can make it hard to get air in. So i talked to my doctor. She said. Symbicort could help you breathe better, starting within 5 minutes. Symbicort doesnt replace a rescue inhaler for sudden symptoms. Symbicort helps provide significant improvement of your lung function. Symbicort is for copd, including chronic bronchitis and emphysema. It should not be taken more than twice a day. Symbicort contains formoterol. Medicines like formoterol increase the risk of death from asthma problems. Symbicort may increase your risk of lung infections, osteoporosis, and some eye problems. You should tell your doctor if you have a heart condition or high Blood Pressure before taking it. Symbicort could mean a day with better breathing. Watch out, piggies child giggles symbicort. Breathe better starting within 5 minutes. Get symbicort free for up to one year. Visit saveonsymbicort. Com today to learn more. Meg whitman Just Announced her departure from hewlettpackard, its get to Morgan Brennan for the details reporter thats right, melissa, on february 21st, hpes president will succeed her whitman, who will remain on the board, discussed the transition on the Earnings Call just a short time ago it has been the privilege of a lifetime to lead the company im proud of what weve accomplished during the past six years. Weve laid out a Strong Foundation for a prosperous future and now is the right time for antonio and a new generation of leaders to take the reins im very confident that antonio will enjoy tremendous success. Reporter whitman also noting for many years shes said the next leaders should come from within the company neri is a 22year veteran who started at hp before the company was split into two whitman pointing out hp has delivered a total shareholder return of 89 since november 2015 when the provider of i. T. Services became a standalone company, adding her successor will have the same focus on delivering value in terms of earnings, hp reporting better than expected earnings, revenue in line with analysts consensus. Guidance for the Current Quarter was weaker than expectations you can see shares of hewlettpackard enterprise down 5. 5, nearly 6 in after hours trading. Whitman will be on squawk in the street for an exclusive interview with david faber tomorrow morning back to you. Thank you, Morgan Brennan meg whitman would never say this, obviously, but in the recess of her mind i think shes happy the stock is lower when shes stepping down, thats only human. Wouldnt it be lousy if the stock was up 7 . I would feel terrible you understand what im saying a lot of it has to do with her stepping down. The stock has not been gangbusters over the last six months either. Now youre getting to levels where its bottomed out before, valuation seems reasonable maybe you can take a look at the stock tomorrow in the aftermath of todays earnings release. Theres not a lot of great things going on here this has to be the threeday rule, in a stock that has given up its year to date performance. To guys point, you can look at it from that 12. 90 to 13. You can go back on the charts, 13 was the recent low you want to take a shot, give it a couple of days to breathe but not a terrible spot to get in. But to guys point, it could be lights out for the stock in general. All right weve got more breaking news on that story that uber paid 100,000 to cover up a major cyberattack. Lets get to deirdre bosa for the details. Reporter cnbc can now confirm that uber concealed a cyberattack that exposed 57 million peoples data. A source family with the matter tells me that the headachers, two hackers that stole the data were paid 100,000 to delete the info and keep it quiet i asked what would make anyone think they would do that, delete the data my source told me uber did a Forensic Audit and there was nothing that led them to believe anything was ever used ubers new ceo, dara khosrowshahi, writes, quote, i recently learned that in late 2016 i became aware that two individuals outside the company had inappropriately accessed user data stored on a third party cloud based server that we use. The breach did not affect our corporate systems or infrastructure i says, im also told that the names and license numbers of 600,000 uber drivers in the United States were stolen. The rest of the data was names and email addresses, that would be uber customers around the world. In response uber this week fired its chief security officer, joe sullivan, and one of his deputies for their roles in keeping the hack under wraps before joining uber, sullivan was the top security guy at facebook the big deal here, guys, is that people and regulatory authorities were not notified of this breach. While the company says that they have reason to believe nothing was ever used or sold by the hackers, well have to see if thats actually the case over time dara khosrowshahi, the new ceo, has only been in the job a few mountai months he has another crisis on his hands. Thank you, deirdre bosa in san francisco. It appears to be phone number, et cetera, not Social Security numbers, maybe thats why its 100,000 maybe another blemish for the company. It is again, this happened in the past we had a new ceo who was cleaning all of this up. Presumably, this was in the past, it happened, we fired the guy and now moved forward. I think ultimately this is going to be a good thing for uber. Yeah, but how do you trade other stocks around it great job with equifax, david said its in the stock, youve got to get back in, it closed to 110 today. To me, all of this illustrates the need for these cybersecurity names. Its shocking to me, the names like symantec and fire eye havent done better than they have Palo Alto Networks the last couple of weeks has been doing pretty well. I think you want to turn your attention to names like this, because stories like this, there are going to be more like this and they will only getequifax h customers. You have an option to cancel your uber subscription and go to lyft its the information of the drivers, and the drivers already work for all the other Ride Sharing Services the third party, i get it i dont think its going to be a big blemish for uber all right still ahead, tesla sitting in bear market territory, down 18 . Could the stock be about to make a major come back . Plus bitcoin hitting yet another high its market cap bigger than mcdonalds how much do you know about the crypto currency . Guy adami takes to the streets of times square for the ultimate test 20 million cases a year. Chubb has helped us grow for the past 30 years. They helped us prevent equipment problems during harvest and provided guidance when we started exporting internationally. Now were working with them on cybersecurity. My grandfather taught me to make a wine that over delivers. Chubb, over delivers. Approaching medicareivers. Eligibility . You may think you can put off checking out your Medicare Options until youre sixtyfive, but now is a good time to get the ball rolling. Keep in mind, medicare only covers about eighty percent of part b medical costs. The rest is up to you. Thats where aarp Medicare Supplement insurance plans insured by Unitedhealthcare Insurance Company come in. 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Plus, nine out of ten plan members surveyed say they would recommend their plan to a friend. Remember, medicare doesnt cover everything. The rest is up to you. Call now, request your free decision guide and start gathering the information you need to help you keep rolling with confidence. Go long™. Welcome back to fast money. A bit of a market mystery for you. This one stock is on fire. Lets see if you can guess it jeopardy style the stock is up 253 this year it trades at a forward price to earnings ratio of 187. And the ceo is beloved and nod by wall street and the financial media. Do you guys know what this stock is no. Guy adami general electric. [ laughter ] up 235 points any other guesses what is tesla square aww yep, yep. It is the stock that wall street cant get enough of. Is the Payment Company on the way to be the next consult stock in the same vein as amazon or tesla . Im not going to go to you because you own square ill go to you i should have listened to grasso earlier in the year because hes been on this the whole time i actually think square, even though its had this run, has a tremendous runway ahead of it. Their decision to integrate bitcoin into their product i think has a huge, huge upside. It might help out twitter as well if they can actually charge less than coin base, its going to go what the online trading has done, make it a race to the bottom in terms of the commission exactly and you have this builtin user base, right . Citibank came out and said they could generate 30 million a year in revenue. I think thats low Spencer Bogart thinks its much higher than that we look at what coin base is doing, if they can take a fraction of that, theyre going to kill it definitively, the last 10, 12 was from the bitcoin exposure yes, thats the tailwind, no doubt. But square services, people looked at at this early and thought it was a simple payment processor. Square services, online food delivery, square cash, gift cards. Theres so many tentacles to this story i was lucky enough to not be dumb and buy it and not listen to a lot of people who said its just the same thing, its a Hardware Company its a services company. Lets think about scale and throw into the mix facebook. Facebook gets into the mix and acquires a payments business or they acquire this model facebooks user base, whatever billions of users they have, you look at it and say, how easy is it to replicate and can they come in and i dont think its that easy for them to replicate. They have to go out and buy a payments processor maybe they go out and buy a paypal or Something Like that. Or venmo. Square is competing would you buy square here i would buy square. Would you buy square here its a trade. I dont know if i would go and buy it [ simultaneous speaking im still in it, which is in effect buying the stock. A big question in terms of bitcoin and squares offering bitcoin, how popular is bitcoin . For the average person on the street, theyve already accepted venmo and other Payment Services do they know about bitcoin enough times square is the melting pot of people, of humanity out there. What better place to go out and ask the question you posed really . Bitcoin, stock market, the whole thing. So i went out there. Take a look at this, mel i have a question for you did you know that u. S. Stocks are at all time highs . No. I love it yes, i do. Yes yeah. Ive heard that. You just heard it right now you know about this bitcoin yes, im aware of it. No. I certainly do. Ive heard about it i think its worth a lot of money right now, a good investment i dont know about the volatility of the bitcoin. Five years from now, would you rather be long stocks or long bitcoin stocks. Long in u. S. Stocks bitcoin im going for stocks. I think you should go for stocks equities . Thats a good answer. I dont give a hoot about bitcoin. Stocks are always around, theyve always been around, im going to stick with it you can say youre a millionaire in bitcoin but it doesnt hear anything. You hear that, bk it Means Nothing nothing. Surprising . Thats harsh. Tough crowd, huh . I dont know. I mean, a Million Dollars is still a lot of money to me and it still buys dinner would you run into anybody who owns bitcoin there were no bitcoin owners out there. There was a Bitcoin Miner floating around. Im not even kidding around. He obviously didnt make air but he said he wanted to meet the bk in person this cat and hes just like you would expect him to look like bk handsome, suave all those things. Does that make you, grasso, concerned about the success of selling bitcoin via the cash app on square . No, it doesnt make me concerned about it i love the fact that at least i have a real company, another fundamental reason behind it this is just the quicker 0 are the icing on it. Overstock is up over 200 . And youre not invested for the retail side. No. Youre not invested in that one. That one popped just a loan on bitcoin. Square, its only the last 10 or so thats topped on bitcoin you have a host of other reasons to be long today to buy the stock tomorrow, square still ahead, tesla after Morgan Stanley said the ock st could make a run toward 400 is now the perfect time to buy well explain when fast money returns. Lets get started. Show of hands. Who wants customizable options chains . Ones that make it fast and easy to analyze and take action . How about some of the lowest options fees . Are you raising your hand . Good then its time for power e trade the platform, price and service that gives you the edge you need. Alright one quick game of rock, paper, scissors. 1, 2, 3, go. E trade. The original place to invest online. Sometimes they just drop in. Always obvious. Cme group can help you navigate risks and capture opportunities. We enable you to reach Global Markets and drive forward with broader possibilities. Cme group how the world advances. Welcome back to fast money. Take a look at that, that is square moving higher in the after hours session, up 2. 25 . We asked whether it would be the next consuult stock, we have so believers in square. I think the answer is yes it could be this is after hours action here. Now to our call of the day, shares of tesla jumping. The stock could surge to 400 next year as the Company Begins to tackle its recent production woes the stock has soared since january, still down from its highs, now sitting in fair market territory do you bet on a bounce in tesla or is this stock a notouch . We should add that the first 400 and then 200 this is an interesting note. First 400 and then 200 after they split two for one or the stock is cut in half fair question bk nailed this one. We were bullish in the stock and we said it had to prove itself at 385 it got there, failed bk said double top, the stock went straight down we also said theres a good chance it trades down 200, 285 now its bounced how do you trade the stock steve will say correctly that you wait for a breakout above 325. I think thats exactly what you do i would rather buy it on a close above 325 than to sort of 50 50 here at 317. I know that might not be intuitive to a lot of people i would rather buy the breakup than to before i it and pray you asked whether or not i rather by this or gm and my choice was tesla you cant box this, not an automaker, its a technology company. With technology you have to pie a higher multiple. The storys not over its got over 20 Short Interest it still goes higher if here 322 is a level that i think you need to close above before this is just a trading range exercise in terms of the cash burn, that is going to be interesting. Nomuro, the biggest bull on the street, said yesterday they expect the cash position will remain fragile all sorts of cautionary language but nobody cares. Hes jeff bezos. Somebody cares, because its bear market territory. The stock is absolutely ripped its bear market territory off a massive high the market does not care about the cash burn here they continue to be able to raise capital. Elon musk is brilliant at shifting things around guess what, were doing flying cars, and everybody buys into it i love tesla as much as anybody else, but its a story just like amazon was theyre getting a pass from the market so you cant look at those metrics. You have to look at this on the big picture. Its almost like buying into a Venture Capital type of thing where you know theyre going to have to raise money but youre buying into the big picture. People know they have to raise money. Look at the launch just now with the sports car and the truck would the stock have been up more in the face of that kind of launch, a dual sort of launch, a surprise launch with a sports car and youve got the truck as well the roaring reports afterwards about the opportunity for that particular vehicle the fact that its up at all, though, david. Service the sto the story is great, and youre right, elon musk is a celebrity ceo. Standpoi at some point the music will stop, the competition will come in they have, though the toyota prius its a very interesting competition he misses the targets and hes got a [ simultaneous speaking when david said you would have thought the stock would be up more with their sports car with their truck the truth is, im shocked and impressed that its up at all. If they had production problems without two other entities taking up their cerebral content or their bandwidth, i think its impressive and it speaks to the point that people have to own this if there is competition, competition is only growing, yet the stock continues to perform it looks like symptom traome are betting that tesla will continue lets get to mike khouw. Hi, melissa given its high share price, notionally its much more. We saw buying of the weekly 320 calls, those are making bets that the bump that we saw today could continue and the stock could close above 321. 35 by friday im shortest la using options and speaking to guys level, i own the 325 call as a stop and im long the 285 puts figuring that might be where it breaks down i love the product but at some point 62 billion of enterprise competition enters the picture, it will be tough to evkeep it up thanks, mike khouw. Options action will be off this friday, we know youre sad, but well be back for more options action next week up next, final trades stay tuned well, its earnings season once again. Yeah. Lot of Tech Companies are reporting today. And, hows it looking . I dont know. Theres so many opinions out there, its hard to make sense of it all. Well, victor, do you have something for him . Check this out. Td ameritrade aggregates thousands of earnings estimates into a single data point. That way you can keep your eyes on the big picture. Huh. Feel better . Much better. Yeah, me too. Wow, you really did a number on this thing. Sorry about that. Thats alright. I got a box of em. Thousands of opinions. One estimate. The earnings tool from td ameritrade. Today, the new new york is sparking innovation. You see it in the Southern Tier with companies that are developing powerful batteries that make everything from cell phones to rail cars more efficient. Which helps improve every aspect of advanced rail technology. All with support from a highlyeducated workforce and vocational job training. Across new york state, were building the new new york. To grow your business with us in new york state, visit esd. Ny. Gov. To grow your business with us in new york state, every day, on every street, in every town, across america. Small businesses show their love to you. With some friendly advice, a genuine smile and a warm welcome they make your town. Well, your town. Thats why American Express is proud to be the Founding Partner of Small Business saturday. A day where you get to return that love, because shopping small makes a big difference. So, this saturday get up, get out, and shop small. Time for the final trade steve grasso this one has been another big win, a roller coaster. Car, avis, budget, youre good to get back in november pricing looks bullish seeberg down a little bit in the after hours, a mustknown name, i would be buying crm on any weakness bk . We started the show pretty bullish, all of us a hedge for your portfolio, buy. Higher rates would be bad for stocks guy im so bummed, no options action on friday. Youll have to watch a rerun. Im kidding dan was t ouin times my mission is simple, to make you money im here to level the Playing Field for all investors. Theres always a bull market somewhere and i promise to help you find it. Mad money starts now hey im cramer welcome to mad money. Welcome to cram america. Other people want to make friend item trying to make you money. My job not just to entertain but to educate and teach call meor tweet me jim cramer when he used to call it the era of goo