Sell off until they realize they cant keep paying for things like snow flake because when they have to sell Something Else i think is why we have another bad day. Dow dropped 245, s p fell and nasdaq lost 1. 70 . It bounced from the lowest percent. Once again, were reminded the stock market is first and foremost a market. And markets are government earned by supply and demand. Right now the supply of new stock is overwhelming demand so the whole market just gets hammered until you trade for a living, you might now understand how this works the software a video game plan and they dont have spare cash lying around, what do they do . How do they get that piece easy they sell. They sell the stock and companies that dont understand it anyway. If you have a stock on the deal and you flip it, well, thats free money free big profits and you got to take free money when wall street is giving it to you. Take public at 52 if you got some at 52 in the deal it scored to 75 where you can cchaching. Some mutual and hedge funds want to build positions so they have to buy more in the after market or there is no point in owning it, which means they have to sell more stock to pay. Maybe they drop adobe or nvidia or it nicked in the morning and mid afternoon they started selling the fang names or microsoft to get that position rounded out. If you thought unity would only open up 10 to, say, 20 , which is still expensive, you didnt budge it for 44 spike and thats what triggers the additional selling they needed to dump Something Else to raise the cash and the easiest thing to do is sell the largest stocks where the selling would not knock it down too much unlike the smaller ones. To put it another way, its like a retailer stuck with way too much inventory there is no place to put it now that the new merchandise is coming in so prices get cut and cut and cut until they are low enough to entice the buyers back were not there yet but i was happy to see smaller Software Companies i like rally into the close. Maybe the selling is done. Well know next week of course, its not about over supply there is the backdrop. The backdrop isnt great the president of the United States wants to crack down on china and doing it threatening to shut tiktok, which is an incredible popular app among america, not me. I have it on my cell phone now, hes talking about banning new downloads this weekend and shutting it down permanently we thought wed solved this problem when oracle agreed to partner with a collision of walmart but turns out the president moved the goalpost wasnt enough. He says tiktok is a Security Risk unless its bought from the cho chinese. That doesnt seem to be in the cards but they feel like they are giving away the store to get it and the president isnt pleased, which is why our game plan has to start with tiktok. Because we need if youre a bull, that is, you need this resolution and this deal to be happening and we are in a deal or no deal situation if oracle and walmart can reach a deal with the white house this weekend, seems unlikely right now, then that would give this market a major boost and we need a boost with all the carnage caused by the ipo deluge this deal will occur if the president thinks the market is going to keep going down, he wants to stop it look, i know it seems crazy a few big deals could destroy value with the rest of the market but weve been through the ipo cycle before you got to go to 2014 that had cloud deals and triggered a sell off, some like what were getting new and the already existing cloud names turned out to be a fabulous buying opportunity but you have to absorb pain. They are giving away free money all over the place look at the snow flake, j flag, unity. Money managers want a piece of that nobody turns down the red hot deals if you can get them. To buy something new, they had to sell something old. Wall street will return out of quality m quality merchandise and were not there yet. We might get there soon because if youre worried about a Biden Administration raising taxes on capital gains, they will come public next year they can call it back. Tuesday we hear from a company i have liked since we started the show called auto zone we get from nike, these companies have seen estimates get boosted and boosted and boosted. These numbers are baked in the sell off has given you a terrific buying opportunity. Nike is crushing it. My travel trust picks them up with a terrific business that has big margins. For auto zone, the average car on the road keeps getting older and older which means they need more manintenance. I recommend buying some before or after auto zone and a big dip down and a Conference Call and everybody is happy again tuesday afternoon we get results from k. B. Home i think the number will be fabulous like we seen from the other Home Builders but when lennar reported, we had Stewart Miller on early this week, when lennar reported, numbers were spectacular but the stock got dinged and first, before roaring the next day after analysts raised estimates, i bet the same thing with d. R. Horton youre going to see the same pattern with k. B. Homes. This is a household name, the defensive stocks are tough to own because investors have no interest in them when the industrial part of the economy is coming up campbells, great situation but people arent interested you can do worse than buying campbells or General Mills 3. 4 yield especially since its got faster growth than most consumer package good plays love the blue buffalo pet food marley loves it. I dont care for it. Friday is big. Dont try to put in acn because it spell checks to can needless fact. J bill, car max and darden i like all four. It helps Big Companies dig tiit and makes divisions for all sorts of Electronic Companies including apple. Car max sells used cars. Finally, there is darden, the parent of olive garden upgrade after upgrade. Mom and pop competitors keep dropping like flies. Darden can survive the age of social distancing among tables most of the rivals cant and when it gets cold, that outside dining, uhuh. After the close, cramer fav costco reports they deliver amazing numbers but usually baked into the stock price so it often goes down after the quarter as it tends to out perform everyone else in its class. If you dont own it already, i suggest waiting before you buy more secretly, im hoping for a special dividend but its no longer a secret because i just said it. Youll see what the fedex and Union Pacifics are saying. There is a boom in some cargoes made in the United States. If the number is too strong, commentators will argue the change to stripes and talk about raising Interest Rates those people will be dead wrong, as usual but jimmy chill has nothing more bad to say. The boom is limited to goods and not Services Anyone who is worried about inflation now is out of their mind, and if we get a strong group of goods number and somebody says we dont need a stimulus, they have to answer to me which doesnt really mean anything i felt like saying it. Bottom line, the great earnings of the world wont say this Humpty Dumpty market if we keep getting slammed by people selling good to buy the 100 times sales ipos well turn lower until the big Money Managers lose interest and go back to stocks that they shouldnt have sold to begin with gregory in california, gregory caller hi, jim its friday. I dont know about you but im ready for a margirita. Thats all right. Were all in the same boat whats up . Caller absolutely. Great club call on wednesday you and jeff have so much on the calls. Appreciate it. Thank you caller you got it. I have a position in norton life lock being a good club member i am and holding it for the long term but ill looking fo another cybersecurity stock that reported great earnings about a month ago and sold off afterwards they Just Announced a cool acquisition of the group the company is Palo Alto Network i listened to the ceo nick cash is money hes terrific and has a great vision they really got big in the cloud with acquisitions. I like it. By the way, norton life look is a position im trying to build up huge for action alerts. Its at 20. 87 id like to make this a 5 position thats how good i feel about it. Lets go to mamoon in virginia. Caller hey, jim, how are you . Great, how about you . Caller thank you for taking my call. Of course. Caller question for you is about the return investor right now the way things are going i have investments to it and wanted to know the potential future for macys okay, so macys is a challenge company but you know what lets say you thought there is going to be a vaccine and the dollar is going to keep getting weaker this might be the one. This might be the speck you need but you got to believe in both those things before you can buy the stock. But then again, i mean, Stranger Things have happened look, the market is all about supply and demand and right now these red hot i prpos are hurti because people want to sell anything to get in and wont always be like that and then stocks will settle down soon maybe not yet. On mad tonight the ceo of splunk has advice and youll feel better knowing how big data fits in. Another day, another ipo moving higher in the market debut dont miss my take on the latest company to take the tape well, by the tail and its unity the after the first day of trading and im sitting down with a private company to save pizzi rr zrks zrk pizzarias from delivery casts. Announcer dont miss a second of mad money. Follow jimcramer on twitter have a question tweet cramer, m har mad tweeds or give us a call. Miss somethi ad to madmoney. Cnbc. Com. The lexus es. Every curve, every innovation, every feeling. A product of mastery. Lease the 2020 es 350 for 359 a month for 36 months. Experience amazing at your lexus dealer. Good morning, mr. Sun. Good morning, blair. [ chuckles ] whoo. Im gonna grow big and strong. Yes, you are. Im gonna get this place all clean. Ill give you a hand. And im gonna put lisa on crutches wait, what . Said shes gonna need crutches. She fell pretty hard. You might want to clean that up, girl. Excuse us. When owning a Small Business gets real, progressive helps protect what you built with customizable coverage. And im gonna eh, eh, eh. Donny, no. Oh. And im gonna eh, eh, eh. Xfinity is your home for the return of live sports. No that wew that weve bee ipo hell week we look what made the snow flake deal enticinentig it had a triple digit growth right but havent seen a triple digit price and the snow flake is not just another Cloud Based Software stock there is play on big data. The first major big data ipo in a long time. Big data is demand for companies to glean insights from the massive volumes of Digital Information that we create every day. Tonight i have zoom and no, not zoom video but actual zoom on the big data story it can really help us. A Company Called splunk is the original publicly big data stock. It became public in 2012 spunk and money manager haves been using it as a source of funds to pay for snow flake and these other software ipos. Its good to see some of those bottom today at least at the end of the day lets check in with doug murray, the ceo and president of splunk. Doug, welcome back to mad money. Thank you, jim. Always good to be here. To explain the concept of why big data is so compelling, it is one of, not just its one of because you do Great Security stuff. One of the chief attractions of splunk why does anyone care about big data this much ill give you the floor to ex pli explain why splunk and why big data is popular. As you called out, jim, on these cloud kings, you probably have the opportunity to talk about the data kings coming up, as well. We are lucky enough, like snow flake and others, by the way, were a customer of snow flake we love using their product. They are a wonderful Data Warehouse that comp mliments on streaming data and very complex big data but everything in the world as weve talked about has got a sensor attached to it now. Almost everything has got some type of wifi or Network Connection and there is a ton of data, literally tons of data that is flying around the stratosphere at any given moment the difficulty is capturing the data and beginning to make sense of it to serve customers morefemor more effectively and reduce cost and hear significaals from the Employee Base and the capabilities if you understand big data and helps dramatically there, you can actually drive Society Forward at splunk we call it turning data in every question, decision and every action so that we can keep our organization and society moving forward. Okay. So doug, is there a limit, though i mean, i mean, there are so Many Companies that look and sound like each other and we know that data is very important. You know we were close to dominos and there is a great video on your site about dominos and how great you are important to a Technology Company that happens to sell pizza but at a certain point, will everybody have someone that defines data and looks for data and searches for data and splunks for data and we wont need any more co companie companies . I think the first trend, absolutely every company will need a datazar and leader and officer over time. The whole point of digitalization, number of points one of the big points of digitalization is you get a bunch of data you didnt have before to actually begin to act realtime on all these different signals. That needs somebody that understands data and guides data across an organization that pull from corporations is what holds Companies Like splunk and others forward to help the technical population within the organizations actually make sense of data for the marketing department, sales department, h. R. Department, financial department, people leaning much more heavily on data gathering, data science and making sense of data. All right so for carnival, we know that that company is loaded with Technology One of the things they did and we cant cruise now but well be cruising again is theyll have something on you that you carry that basically, they know everything about you how do they make money for carnival shareholders and make it a better experience yeah, that is the core of their whole Data Strategy is lets reduce cost so that were much more thoughtful about when we provision supplies and lets at the same time increase the Customer Experience and enhance the Customer Experience so we can anticipate their needs we can pop up both physical and Digital Services in a just time basis so their cruise experience is unparalleled and people will go back on the waters at a certain point in time and they will want even more extreme and beneficial experience given everything that weve just been through and data is at the core of both the Customer Experience as well as driving more efficiency and effectiveness across their fleet. One last question is there no end to the number of deals, doug . As a person that looks at stock, im thinking all right we are getting deal after deal in this space and its starting to ware buyers down. Is the pipeline filled with Big Data Companies are we kind of seeing the big ones you know, i think there is certainly a lot of people that are trying to do Different Things within the data realm what Something Like splunk has an advantage around, weve been in business for 15 years were nosing up to 2 billion of revenue. As we talked about on the last show, thats our growth rate over 50 of a. R. At 2 billion makes us the Fastest Growing company at that size in the Enterprise Software arena. There are economies at scale that come from an organization thats willing to invest across the data spectrum. Weve invested in streaming, store rig and indexing technology, search technology, machine learning, a. R. , v. R. , solutions on top and organizations that were talking to are looking for little flight to safety. I want organizations that i can trust that is able to handle my data needs and i think most markets go to the early winners and super High Growth Companies and there will always be pressure for people that need funding and need to Push Companies forward but i like the position they are in to serve our customers in this critical need. Thank you for explaining. There are a lot of people buying stocks they dont know why theyre buying thank you for that and we know that weve liked splunk for many years. Always good to talk to you. The same, jim thanks for having me on. Thats president and ceo of splunk and one of the stocks i think is hurt by the fact people are selling some Software Companies in order to buy others like snow flake and eventually it ends but hasnt ended yet mad money is back after the break. Stay restless with the icon that does the same. The rx, crafted by lexus. Lease the 2020 rx 350 for 409 a month for 36 months. Experience amazing at your lexus dealer. Find a stock basedtech. On your interests experience amazing or whats trending. Get realtime insights in your customized view of the market. Its smarter Trading Technology for smarter trading decisions. Fidelity. A lot goes through your mind. With fidelity wealth management, your dedicated adviser can give you straightforward advice and tailored recommendations. Thats the clarity you get with fidelity wealth management. Today we got another red hot sizzling tech ipo. This one was called Unity Software that helps Video Game Developers create contact. After a week of insanely lucrative deals, this followed the same script. Unity priced at 52 substantially higher than the already raised price range then opened at 75. Before pulling back a bit to 68 and change not exactly another snow flake but still, a huge success. Unfortunately, unity is following the same script as every deal from snow flake to am ammo its way too expensive at these levels for people who watch mad money. Its worth going over because the stock will pull back and i want you to be prepared to buy some if it gets to a more pal latble evaluation. Why did they have the 30 premium . Its not just a video game play. Unity is a Popular Platform for creating and operating interactive realtime 3 d content. They have exposure to all sorts of lucrative end markets, ash te architecture, automotive, transportation and manufacturing and the big one is gaming. Last year 53 of the top 1,000 mobile games on the apple store and google play remain using this company, unity. 53 . I know you never heard of it but that is staggering when you look at mobile games, computer games, more than half of them use this platform and that is huge if they tend to be concentrated in lower budget independent titles you dont see many mega blockbusters with unity. Many are privately held with epic games or in house for example, Take Two Interactive has their own engine for games like grand theft auto, red depth redemption and mobile and smaller International Independent titles rather than by going headtohead against the big dogs now, outside of gaming, unity is not like adobe its sort of used like computer aided design software, Fabulous Business now in each of these industries, the company has two parallel business models. There is a subscription business where they charge a monthly fee to use the Development Tool skpls s and if you make something using the engine, they will take a cut of the revenue if you have a mobile game that makes money from advertising for in game purchases, unity has you covered. When you add up the industries they serve, the total adjustable market could be 29 billion. Half of that is from the Gaming Business the other half from architecture, manufacturing, autos. Lucrative. How about the tfinancials unity is more than the smoking hot ipos i was founded way back in 2004 so its old enough to drive. Last year, they had 42 Revenue Growth amazing. At least in the first half of 2020 came in at 39 , which is a strong number but not the kind of that typically gets you a stratosphere evaluation. The dollar base net expansion rate is the business they get from existing customers accelerated to 142 in the first half of the year up from 133 in 2019 that is great. They have seen the steady rise in the number of large customers doing more than 100,000 of business with them annually and from under 500 in 2018 to 700 in 2020 its great to have the businesses how about profitability . I spent all week explaining that many newly public tech plays dont need to be profitable. Especially not when theyre in turbo charged growth mode. Because it makes more sense for them to invest every penny they can get their hands on expanding the business and thats what i want for instance from snow flake. Like i said before, unity is a more Mature Company so they are closer to a profit their margin mas are heading ine right direction and subtracting the cost of goods sold was up 400 basis points to nearly 80 thats mind blowing margins. It a major reason for the ipo pop. Their operating margin and the percentage of sales was up 1,000 basis points nice to see because they are closing on profitability what else . The bloodlines the ceo used to run to one of the big three game publishers and backed by very smart Venture Capital firms silver lake you often hear their name, sequa it is not perfect but has a lot going for them what is that price is it the 68. 35 for the stock closing today . No thank you consider that if 38, the mid point of the original price range for the ipo, unity was being valued at 10 billion at 52 the price was valued at nearly 14 billion. When it opened today afternoon at 75, it was worth more than 20 billion. Closing on the value of unitys total adjustable market. I regard that as insane. At 68 its closer to 18 billion. A lot of Value Creation for a single session, isnt it does that mean if we assume unity can keep growing at a 39 clip, you can generate 753 million in revenue this year. The ipo price was trading at 18 times sales and after todays run its trading at 24 times sales. People cant pay that. Its incredibly expensive. Even if it seems reasonable compared to Something Like snow flake or even an ammo that we talked about but thats an elite company. Not much trade at 20 times sales. At these they have a similar valuation to the hottest cloud stocks around there. Viva systems, cloud fair, the trade desk unity is a good company, i dont think its z scaler good it not cloud fitter good and not 24 times sales good. I know you probably think im dumping on it but price matters so much to me because ive been in the business for a long time and if you get the wrong price for a good company, it doesnt matter you can lose money if you want a sky high valuation, you need ultra fast Revenue Growth or you need substantial earnings unity is simply not at that level. Not knocking unity im knocking unitys price there say rule of thumb we have for softwares and Service IndustrieIndustries Take the Revenue Growth and add the operating margin and if the sum is above 40, the Company Passes the test that we like on mad money. Unity flunks the rule of 40 test its growing at a 39 clip with a negative 6. 4 operating margin if they can maintain the current growth rate and generate positive earnings before interest and, t taxes, i would e willing to bless it. Theyre not there yet. For now i cant get behind unity for 24 times sells or 18 there are softwares and Service Companies with better numbers and cheaper stocks more seasoned with terrific people running them i want to like this. Unity carved out a terrific niche for itself in the video game space it a way to play as a whole without betting on specific titles, the less glamorous but faster growing mobile game space. Rather than going headtohead against big dogs, unity is taking massive market share with smaller game sty oe studios tha want to pay competition. The bottom line like all the other red hot ipos weve seen this week. You need to let unity cool down before you even think about touching it. I consider this one enticing around 50 or maybe less i know thats a turn off for some of you but you know what . I think patience is a virtue victor from texas. Caller im a listener of squawk on the street and mad money. Im calling about big commerce valuation 40 times revenue but offers a lower entry point compared to other Companies Like shopify. I want to know whats your take on it and should i hold my position, buy more on the dip or move on . I think you have to wait if you want to buy more, you have to wait until its lower we looked at this growing. Its again in the cohort we said is growing fast but not fast enough to equal the price to sales mark so i thank you for the kind words but were not big commerce buddies here lets go to rick in florida, please, rick caller booyah, dr. Cramer. Booyah caller thanks to you, i was able to retire at 58. Holy cow, man thank you. Thank you, very much go ahead caller you want my stock yes, i was just doing a little clapping there. Whats going on . Caller Take Two Interactive. I like take two my travel trust earns it and we think its a Great Company we bought it lower we did sell some a little bit, let some good because it had a big move but were holding onto the rest and you have a real winner with take two how about jody in arizona, jody . Caller hi, mr. Cramer. Jody. Caller since im retiring, im a new investor and allowed myself to play with 2,000 as i learn the stock market. Okay. Caller i bought igt 18 months ago at 16. 50, bought more on the way down and it hit 375. So i chose to hold it versus sell at such a loss. I see penn and draft kings come back although igt is a different company, from what i understand there is a little over lap with Sports Betting what are your thoughts on igt . You know, its still a casino it needs casino orders im going to have to tell you, jody, i know i dont look, you wrote it down. That was great you didnt sell lower. Again, i dont see the real value to owning that stock i feel so bad here, guys ive been saying so many negative things about stocks but not about companies. You have to understand that. Its not about the companies its about the stocks. Another day, another red hot tech ipo let this unity cool before you think about buying it. It can go up but the risk reward isnt great. Much more mad money ahead. Pizza operators on slice and private ordering marketplace have doubled the weekly sales during covid ill sit down with the ceo to find out about the trend and how the hangover is putting easy to understand stocks back on the map and tonights edition of the lightning round so stay with cramer incomparable design makes it beautiful. Stateoftheart Technology Makes it brilliant. The visionary lexus nx. Lease the 2020 nx 300 for 339 a month for 36 months. Experience amazing at your lexus dealer. Everything we have, weve earned. The unmistakable lexus is. Get zero percent financing on the 2020 is 300. Experience amazing at your lexus dealer. If you run a restaurant, you needs to go digital the survive the economy. You know grudge hub and door dash, they take a huge cut of your business if you have a smaller independent restaurant like my small plate restaurant now that takeout and delivery are the only game in town, their sky high fees will put struggling restaurants that cant afford the darn rent, put them out of business for once, ive got good news on this front im talking about slice, a privately startup with a platform that lets people order custom pizza delivery and charge a much more reasonable fee, 1. 95 per hour and help their partners digitize to better compete against big national players. Slice took the model further and launched a program to provide 15,000 worth of technology and services to 100 independent Pizza Restaurants to help them stay afloat. Lets take a closer look with the founder and ceo of slice to get a better sense how his company is doing and how its going to shakeup the industry. Welcome to mad money. How are you, sir im doing well, jim thank you for having me. Im really excited to chat and hopefully, after this program youre switching from dominos to local. Look. I got to tell you. I heard about your company i said, this is the restaurants dream and piz zrks zrkpizzariam because the other guys take 30 . After you pay labor and electric and insurance and rent, you dont have anything left whats your secret we take a real merchant friendly approach because we really believe in the power of Small Business and the american dream. I am Third Generation in the pizza industry my family is entrepreneurs that opened up Small Business pizzarias and my family wants to make sure as dig til ital is p the business, it doesnt take the whole thing. We want to make sure that 70, 80 of the volume for these pizzarias is digital, comparable to dominos and papa johns and to do that, you have to take a longterm view and you have to take a merchant friendly view around loyalty, around online ordering for most of the orders and obviously, in order to do that, we have to run the playbook and lead the Digital Transformation. Sir, i think if someone from grub hub were here, uber eats, i think they would say that you dont have a viable model because nobody will work for that low a price. Oh, we are actually an all in one platform where we partner with the Small Business in order to digitize the operation but were not logistics. We empower Small Businesses with first Party Delivery in a way thats been done forever Small Business pizzarias have delivered across the country for decades and made it work incredibly well. The reality is in the world of covid and as we go into the 2020s, all these pizzarias need to digitize platforms. We Bring Technology and marketing and we enable the existing operation of the pizzaria and make it more efficient and make it really powerful and valuable. So how about tell us about slice accelerate which sounds to me like you will be making 100 independent pizzarias will succe succeed. Its the first cohort well welcome 100 Small BusinessPizza Restaurants around the country into this program where we will invest 15,000 in order to accelerate the Digital Transformation ovf thes businesses but really partner very closely with the operators to make sure they are getting help around Technology Including in store and Operational Efficiency type of Technology Like a point of sell the front end solution highlighting them in the platform on the slice app and then continued to empower them with services and solutions because the goal here isnt just to provide the tools the reality is that these are micro businesses and the owners are literally doing 100 Different Things every day and all of the responsibilities fall on their shoulders my uncle ran a pizza shop first in the 70s and most recently in the 2000s and i saw firsthand exactly what he had to deal with in order to stay afloat and so what we do is we want to bring in this investment, and we want to make local entrepreneurs feel incredibly special and great about their craft but also put them in a position of strength so they dont have to worry about the business side of things and marketing side of things. Look, what youre doing is so important. We all know the Small Business restaurants are being wiped out and i think that slice is making it so some will survive. So thank you for what youre doing for Small Business people, sir. Thank you so much, jim. Okay thats the founder and ceo of slice. No, its not a charity or good deed doer. Its a business. Its not just publicly traded yet. Mad money is back after the break. Im a verizon engineer. And im part of the team building. A powerful 5g experience for america. Its 5g ultra wideband, and its already available in parts of select cities. Like los angeles. And in new york city. And its rolling out in cities around the country. With massive capacity. Its like an eightlane highway compared to a twolane dirt road. 25x faster than todays 4g networks. In fact, its the fastest 5g in the world. From the network more people rely on. This is 5g built right. Only on verizon. Every curve, every innovation, every feeling. A product of mastery. Lease the 2020 es 350 for 359 a month for 36 months. Experience amazing at your lexus dealer. Liberty mutual customizes your car insurance, exso you only pay for what you need. I wish i could shake your hand. Granted. Only pay for what you need. Liberty. Liberty. Liberty. Liberty. It is time, it is 250itime r the lighting round buy, buy, buy, sell, sell, sell. Are you ready ski daddy . Lets start with steve in georgia, steve caller hey, jim. Big booyah from atlanta in the great state of ohio. Monster booyah back to you whats up . Caller so my brother scott and i got into this stock seven years ago around 70 a share and ridden it down to 5. 40. Im still convinced this 3 d is worse than the Cleveland Browns. Worse than the Cleveland Browns gave me 24 last night. They are both better than the stock you have, my friend. As a matter of fact, number five is the stock i dont really care for. You can own that but it kainain going to make more than a dollar or two you be the judge jason in arizona, jason . Caller yo, jimmy chill. Joe man in the house. Caller jason the cobra from phoenix. Look, i got puts in crackle barrel and with the virus at play, and considering millennials do not want to eat there, what do you think about the stock and the future of Cracker Barrel i am a believer that there is not a lot of travel going on and thats where Cracker Barrel makes a lot of money im not that interested in it. I did it one time when i was 40 pounds heavier they used to have an l pie with ice cream and cheese on it that was my appetizer. Right now im staying away lets go to brandon in maryland. Caller big booyah, jimmy chill from maryland. Thank you for everything you do for guiding us through the market and everything. Thank you. Caller i want to say thank you for getting on the show and the tch deal is over. Maybe hopefully. Whats up . Which stock . Caller so back in 2016 i worked for hollister and abercrombie and it led me to a stock i invested in for 50 at that time and now its at 256 and so i want to get your thoughts on Zebra Technology zbra. I think companies i remember like a symbol. Didnt have much going this zebra is a Company People are selling to buy new ipos is a Great Company. I think as it comes down, you can accumulate it but at the same time, since you got a 50 basis, you should take some of your money out and just let the house money run. I want to go to leon in california leon caller hey, jim, i want your wisdom on this company ive been holding for 7 plun p plug power. I like plug i was a nay sayer for a long time and they talked about acquisitions they made and i think they are excellent i would not have liked it if it werent for the acquisitions they made it exciting for me lets go to amine in washington. Caller booyah jimmy chill. Booyah. Caller my dad and i have been watching your show for years. We love you, man. Thank you hi to your dad, too. Caller know ki nokia no. Who would do that . Would you buy a company a product more expensive than another product and the company is not as good no that, ladies and gentlemen, is the conclusion of the lightning round. Announcer the lightning round is sponsored by t. D. Ameritrade thats why Td Ameritrade designed a firstofitskind, personalized education center. Oh. Their awardwinning content is tailored to fit your investing goals and interests. And it learns with you, so as you become smarter, so do its recommendations. So its like my streaming service. Well except now youre binge learning. See how you can become a smarter investor with a personalized education from Td Ameritrade. Visit tdameritrade. Com learn with the icon that does the same. The rx, crafted by lexus. Lease the 2020 rx 350 for 409 a month for 36 months. Experience amazing at your lexus dealer. Experience amazing tmobiles new offer on iphone 11 pro is even better on our most powerful signal. Switch and get two new lines of unlimited for only 90 and 2 iphone 11 pros on us. Only at tmobile. I got it all from you im always pushing through i know well make it to the finish line i know youre waiting on the other side im like you ondemand glucose monitoring. Because theyre always on. Another lifechanging technology from abbott. So you dont wait for life. You live it. Welcome to the rotation. Buy, buy, sell, sell. Another bad day for the average but especially bad for the highflying tech stocks. Right now they are being dumped in favor of the low cyclicals. You got to wonder if this rotation is for real or a temporary reaction to seeing people over pay for those cloud ipos classic example being snow flake. When you see all the hire multiple stocks rolling over, the ones ridiculously and pence sieve, you can think of, that doesnt just happen in isolation. Instead, the money flows into other areas of the market that are a lot cheaper and easier to understand now, here is a good comparison take a look at the chart of any cloud or cloud related stock what im first doing is picking the four best. These are unbelievably great companies. And look what is happening theyre almost all behaving terribly they peaked a couple weeks ago okay right. When the whole market got body slammed and now, now they are sinking again. Look at Something Like ring central. The cloudbased Call Center Software play which buy the way finally, finally by the way had an up day today. Look at the pace look at the z scale. They are an amazing company. The cloud based cybersecurity, its there these are both terrific. They are both important to the stay at home economy we love so much thats almost all shareholders know about them. That and the fact stocks go higher they stopped going higher even though they reported great quarters, the stocks arent gaining traction so these are not pretty charts. If we were doing off the charts, im sure our charts would say dont touch any of these now, here is what i want you to do check out the action on something this is incredible, like free portmcmoran this is a stock lost in the wilderness for the better part of a decade. When covid hit, it got cut in half lately its roaring. It has one of the prettiest charts in the entire chart book. Look how you would feel if you owned that stock why is it so good . Because freeport is joined at the hip with china when china is in an expansion mode, it is unstoppable. And right now the chinese economy is making an amazing comeback, much to the chagrin of people that say thanks a lot it doesnt hurt they are roaring, too and some freeport is gold. Unlike zen desk, its easy to understand and now darn cheap if you think the earnings are headed higher. Can you describe when ring central does right now the people that own high flyers are frightened they bought the stocks because they want cybersecurity or Video Conferencing work at home and for months the stock delivered we got to the point where we see new wave cloud and they are dumping old clouds furiously to get a piece of the hot new deals. Its free money to them. Given how much the cloud names have run, they are vulnerable to profit taking here free port, free port, up 29 there arent many holders desperate to preserve profits. The people that own this are braindead if they didnt know how to sell it up here, they dont care its finally coming back. And by the way, there arent many publicly traded copper companies. There is a scarcity of these as opposed to glut. It had been a dog for so long nobody cares as its made a stunning comeback from the march lows didnt matter. This is one of most cyclical stocks on earth. Wall street has no interest of free port unless china is bombing. The Balance Sheet is much less of a liability thanks to ultra low Interest Rates put it all together and i think the snow flake hangover has investors reaching for more. They are reaching for previously down and out cyclicals like this one, like free port that feels like a much saferer bet at a time when the high flying, hard to understand cloud stocks keep getting hit, getting puhit by wv after wave by profit taking to put their money in hot deals to blow people out. Stick with cramer. The visionary lexus nx. Lease the 2020 nx 300 for 339 a month for 36 months. Experience amazing at your lexus dealer. A lot goes through your mind. With fidelity wealth management, your dedicated adviser can give you straightforward advice and tailored recommendations. Thats the clarity you get with fidelity wealth management. Now you can trade stocks and etfs for any amount you choose instead of buying by the share. All with no commissions. Stocks by the slice from fidelity. Get your slice today. Okay so were nearing what i hope is a brief intermission in selling, perhaps they will stop bringing in ipos and if we do that, maybe we can get our footing because theyre starting to sell really great companies. You saw it this afternoon. As long as the deals get you big pops, the selling has to continue because its called free money on wall street. And every hedge fund is going to go for it and they will sell the fangs, sell the microsoft. They will do everything they can to get as much free money as theyre able to. I like to say there is always a bull market somewhere and i promise to find it here on mad money. Happy new year im jim cramer see you monday frank on this episode of secret lives of the super rich. Youd better have money, baby. Feast your eyes on the 85 million malibu megahome that rises over the pacific and puts you above one of the wealthiest men on the planet. Frank you can look down at Larry Ellison from this pool. He does not like to hear that. [ laughs ] dezer see ya frank then, take a swim with miamis biggest realestate tycoon in his aquacar that got some very unwanted attention. [ laughing ] is this is a cool facebook picture . Frank meet the wealthy adrenaline junkie