Transcripts For CNBC Mad 20240704

Investors pay no attention whatsoever by the time it dawns on them that Something Big is going on and they finally take action, its either really late or its already over [ buzzer ] and thats harsh the dow declined 190 points and the nasdaq tumbled 1. 7 . I want to prove to you that the stock market actually isnt rigged against you its just that so many of the socalled experts are constantly leading you astray buy, buy, buy, buy, buy, buy lets not waste your time for example, oil and gas for more than a month, oil has been rallying like crazy in the last six weeks, west texas crew has gone from 67 to 84. But its only today that im hearing that the oil stocks could be very interesting to buy. I want you to imagine for a moment that youre in the cnbc investing club our philosophy is look for situations where stocks dont reflect the value of the companies underneath remember, these are companies. We bought a bunch of oil stocks when things were nasty, and it hurt for a while but then oil and gas started coming back. Weve been waiting patiently for wall street to notice. Its been a tremendous under the radar run weve experienced, because almost nobody wanted to acknowledge it was happening i dont know anyone who liked the oils today seemingly out of nowhere, maybe read a half dozen pieces that arguing now its time now is the time to buy the oil stocks because theyre so attractive. Buy, buy, buy to which i say, are you kidding . Sell, sell, sell. The oils were attractive six weeks ago. Theyre much less enticing now the whole month of july, just nobody of alleged import seemed to know it what do you do when everybody suddenly jumps on the bandwagon of a story youve known for a long time . Well, it is pretty obvious, isnt it sell, sell, sell, sell, sell, sell i know that sounds counter counterintuitive maybe you bought an oil stock or etf today thanks to all the buzz if thats the case, you might have bought some halliburton from our Charitable Trust because we decided to sell some. We choose to sell, not buy a new enthusiasm, because we own too much oil and gas we like to sell into enthusiasm. Much of our stuff is purchased at much lower prices when nobody liked them if the stocks keep roaring, the trust will keep selling because this is the Perfect Moment to can chkaching i think people are misled when they here about what sounds like a brandnew thesis in reality, oil is far from new. You certainly arent early, are you . More importantly, youre coming in after the easy money has already been made. We dont want this to happen on mad money, yet so many people do it. They buy after a big move, and they often end up coming in right at the top which sours them in the entire asset class and think think its rigged against them this happens all the time. Today classic. Jefferies, good firm decides to upgrade eli lilly in part because of the success with mounjaro, the revolutionary new drug that cause use to lose about 20 of your body weight. Today recommends the stock today. After 43 rally including after yesterdays 15 spike. One of the largest moves ive ever seen. That is so wrong you no nothing you had to buy before, not after. How could you have known to buy it ahead of time we certainly knew. We talked about it every day here ive been telling you mounjaro could be the bestselling drug in ages. To upgrade today is almost farcical but you still like lilly whats wrong with recommending it now simple the timing the timing is wrong. Remember, im always trying to teach you who to identify Great Companies and then buy their stocks at the right price. You dont buy the stock of lilly here the stock jumped nearly 15 yesterday, for heavens sake at this point you have to wait for a pullback or just say i missed it. If you chase the stock after such a tremendous move, youre likely to in near the top which will make you feel like the whole business is rigged against you. The business is not rigged its full of momentum chasers that tend to get bad advice. Dont listen to them you need to increase the odds that you wont be hurt by the hype hallelujah let me give you an example. From roth mkm just came out with a note saying constellation bands doing well in part because its been a huge beneficiary of the problems at bud light. Hmm. No kidding constellation has only rallied some 50 points since the bud light backlash started hurting sales. Modahl especial has been the bestselling beer since may. We devoted a whole segment to it over a month ago if you didnt know the story by the way, im not picking on this one you might buy the stock today, though, because you read the piece. Id rather you sell up here. Its not too late. But a huge move has already been made its nowhere near the optimal time to buy the stock. Were not telling people in the trust to buy the stock why im talking this fast, its celsius. We last had the ceo of celsius on the show may 13th the stock is up 133. I think he told an amazing story. I said it on air wow, smokin today with the stock up 29 points in a single session, closing at 172 and change, now i heard everybody is excited about celsius. They discovered it they want to buy it now. Great. Me, no way when i see this kind of move, im going to wait for a better opportunity. The odds are good it will pull back and you want to play the odds. Now i want you go back to last week we had legendary on the show, greatest market historian i know larry told you to sell my beloved nvidia he said nothing can go straight up like this stock he said it even though he knows he ontario it for the Charitable Trust. Im absolutely not a seller. This is an own it, dont trade it stock for me. But you know what . Larry and i can actually both be right at the same time the right answer depends on your time frame nvidia has been going down the past couple of days. Its probably not done he respected my positive longterm view, though i had no illusions about the parabolic move those are not sustainable. Right now larry is looking very shortterm and thats what he cares about in this instance longer term, i think its the perfect entry point to buy nvidia and thats how we both can be right. I want you to think about all of this before you buy a stock. You might be buying after a big move, which is usually a mistake. Do not chase, bottom line. My goal is to get you the stock chasing stocks when they hit, youll feel like the whole game is rigged and give up on the entire asset class of stocks. And that is the worst mistake you can make lets go to eric in michigan eric caller jim, i want to talk about Rocket Mortgage today. Okay. Thats a tough one go ahead you got the floor. Go ahead caller the stock is trading in tlefn range which is near its 52week high can you see this stock doubling in the next 24 months once the fed starts cutting rates later next year or even in 2025 . Okay, if the fed starts cutting rates, this stock probably does go up another 50 . I mean, that 50, but i still a couple of rate hikes, i think the economy is still smokin hot. Most people dont agree with me on that. So i probably am more negative shorter term than most people. But thats how i got play it straight michael in massachusetts, michael . Caller hi, jim great to talk to you a longtime listener and watcher of your show. Thank you, buddy. Caller i was watching and looking into broadcom in may. Yeah. Caller and then as we know it had a very quick runup, and i didnt want to chase it. And im wondering how much of a pullback it could possibly have here before i like jump in i want to acquire a simply position. First of all, i like broadcom very much. It is down 70 from the high. Its going down with nvidia because there is a story that nvidia cant make all that is needed this is joined a the hip with nvidia it had a very big spike up it olds yields 2 now a big buyback. Id pay 800 for it i would not start at 850 let it come in thats the best way to play. Look, no matter what i do, im never going to stop. That is my theme for the rest of the year the market is not rigged against you. Its just filled with momentum chasers who give you bad advice. But giving up on stocks entirely because you lost money could be the worst mistake you can make on mad money tonight, one that i like, kellogg, split into snacking and cereal business by year end dont give up on that one. What do investors know what to do ive got the whole plan. Im getting details from the ceo. And a 1. 5 billion deal with espn bringing the brand to the gambling arena lets find out about that. And data makes components from passenger cars to the big rigs after running nicely, maybe its time to buy this pullback. Mad money is back. Stay tuned dont miss a second of mad money. Follow jimcramer on twitter have a question . Tweet cramer, madtweets sim jim an email to madmoney cnbc. Com. Or give us a call at 1800743cnbc miss something head to dmeynbcomaon. Cc. M. The citi custom cash℠ card automatically adjusts to earn you more cash back in your top eligible spend category. Hi. You dont have to keep tabs on rotating categories. This is the only rotating i care about. Or activate anything to earn. Your cash back automatically adjusts for you. Can i get a cucumber water . Earn 5 cash back that automatically adjusts to your top eligible spend category, up to 500 spent each billing cycle with the citi custom cash℠ card. I love it. [voice vibrating] nice footwork. With the citi custom cash℠ card. Man, youre lucky, watching live sports never used to be this easy. Now you can stream all your games like its nothing. Yes thats what im talking about. [ cheers ] running up and down that field looks tough. Its a pitch. Get way more into what youre into when you stream on the xfinity 10g network. Nice footwork. Man, youre lucky, watching live sports never used to be this easy. Now you can stream all your games like its nothing. Yes thats what im talking about. [ cheers ] running up and down that field looks tough. Its a pitch. Get way more into what youre into when you stream on the xfinity 10g network. Last summer we learned that kellogg, iconic, plans to spin off the slower growing but still very lucrative north american Cereal Division from its faster growing Snack Division pringles, cheeses, pop tarts among others people who own will still own k and the traditional cereal business on top of it. Wall street seemed to love the idea kellogg stock rallying to a fifeyear highment for the past nine months, the package went out of style in the wall street fashion show suddenly people wanted stocks. They didnt want recession stocks they wanted to figure the economy is going to get strong, and they sold it thats the reason kellogg hit a new 52week low. Even though the Company Raised its fullyear forecast substantially. I think this is a terrific moment for the most iconic food companies. Theyve been able to maintain high price, even as their costs have gone down because theyve got great brands and i think its certain, but wall street is not interested. Earlier kellogg tried to change that, held an investor event right here when management explained the pending breakup in great detail, i love the detail. Its full transparent. Lets take a closer look with steve cahillane. Steve the chairman and ceo of kellogg. I think he is going to tell you a pretty great story welcome back. Thanks, jim glad to be here. Im looking at brands if i had to recreate, i know it costs a fortune. Im looking at brands if you broke them individually, youd get an incredible value, some of the parts. And yet people dont seem to get it im going the give you the floor, because we are at the ground floor of what i think is something everyone has in their picture. Delighted to be here. These are great brands as you said, to create them now, it would be impossible right. We talk about these brands as being differentiated so think pringles, right it owns the can. It owns the pop, mr. P there is only one pringle. Cheezit real cheese, real attitude absolutely loved by people all through this country, and really hasnt expanded outside the u. S. Rice krispies treats, pop tarts. Jerry sign field does a bit about pop tarts, and it is iconic absolutely famous. These are world class brands that arent really recognized as part of the snacking business. Hence the idea that perhaps setting these free and also setting the north american cereal business free to be a cereal business was a way to unlock real value for our share owners. Wee seen this time and again the cereal people will be free to come up with use their imagination to come up with all new laser focused court of appeal cereal. The snack people people are going to say wait a second, ive got the great dividend where is that going . So the dividend remains the same we talked about that today if you own kellogg shares today, on the spin date youre going to own two countries. Youll continue to own k, youll only klg, which is the cereal business, and your Cash Dividend that you get on a Quarterly Checks will remain exactly the same, whole. So between the two companies, theyll both pay dividends that will be equal to the current dividend. Someone might say i dont want the pay taxes on that but thats something youve taken care of. Because when you receive the new klg share, its a taxfree spin so its a taxfree dividend. There are no tax consequences. There is nothing to fear if you own kellogg stock today. Youre just going to own two Great Companies on the spin day. Now you did say one company, the Cereal Company may not have growth, but will. You know cereal better than i do but the idea they can grow this because they will be laser focused on how to grow crazy things like otis was bad suddenly otis is great why . Because the ceo said ive got all these ideas that ive never been able to concentrate on. Same could happen in cereal . Same thing and i think it will they stood up in front of investors today and said we actually dont have to grow. Weve got margin opportunities, all sorts of opportunities to improve the health of the business and they gave very, very prosecute dent guidance what to expect in the category, what to expect from themselves i think they have every right to overdeliver against that anybody who is looking and saying wait, they didnt show me a company that can be a High Growth Company i think was prudent and absolutely the right thing to do now kela nova, where did that come from . Well get that in a second the fact is weve become a snacking country people did not come to work like we thought theywould after the pandemic many people stay at home and they cant resist, they cant resist these brands. So tell us about how you came up with kellanova and what you see from the snack business postcovid so kellanova was carefully chosen we wanted the iconic k to remain we wanted the beginning to remember our past, mr. Kellogg himself, and then nova, a new beginning. Simple as that harkens back to our 117year heritage, but clearly points towards the future and the future for us is snacking in emerging markets 80 of our business will be in snacking emerging markets. Those are exciting places to be. Emerging markets, theyre still super exciting with growing populations, forming middle classes. And weve got great snack brands that we sell inside those markets. So youve got Something Like che cheezit, which is people love cheezit are we going to see expansion . Can we see more aisle space for your company when we go to the supermarket . You absolutely should, jim. Weve launched cheezit snap weve launched cheezit puffed one of my favorite is cheezit groovd its a platform, a brand that can carry additional innovation. And those innovations, when youre growing a brand, they shouldnt come from your own space. They should expand that space so we can maintain instock positions for our retailers, for our customers and consumers. Were really excited what that brand can do going forward. So weve got the low 60 stock. What are some people i read in the journal today, theyre very critical. I have to imagine that firms that know how to sell and do brands are saying some of the parts are in excess of what the stock is selling for. The only two things i saw quickly on my phone running down here was the wall street piece and i think respectfully, we didnt set out to say the north american cereal business is going to be this giant fast Growth Company so i think that misses the point. The other thing i saw real quickly was Goldman Sachs report on the sum of the parts after all the information we leased this morning in the press release. And he got to a 95 sum of the parts. 95. Im not here to say we should be 95, we should be 64 but i think the industrial la jolla logic is quite compelling. These brands high growing snack brands i think is a fantastic Investment Opportunity for everybody. And to make it clear, a really great brand should mean that if your costs go up, you can raise the price, and people dont stop eating them i have to imagine that these are the brands that are unstoppable. You had supply problems, all understood you had to raise price, all understood and people did not say you know what i am going to trade down i want special l they didnt say that they stuck with special k. A brand is a promise, and a great brand is a promise delivered. We stuck by our consumers. Prices went through the roof well worked hard on productivity, price sizes to maintain affordability because people love pringles, cheezits, rice krispie treats people like these. So we work very, very hard to remain affordable and, you know, people have stuck by our brands. They stuck with them this is exactly, as i said at the top of the show we needed to hear but the idea is you buy them when they dont want them. Great brands last. They last. And they always will we know these from when we were 3 and 4 and 5 years old. And they are just as strong. That is steve cahillane, Kellogg Company chairman and ceo and ive got to tell you, you are getting an opportunity to literally buy something at a low, that is worth, you heard it from Goldman Sachs, and they know this business, 95. And you know the business. Thanks for coming on. Great to be here. Mad money is back after the break. Coming up, a casino in your pocket its game on when Penn National joins cramer, next dude, whatre you doing . Im protecting my car. Thats too much work. Weathertech is so much easier. Lasermeasured floorliners up here, seat protector and cargoliner back there. Nice out here, side window deflectors. And mud flaps. And the bumpstep, to keep the bumper dentfree. Cool its the best protection for your vehicle, new or preowned. Great. But where do i . Order. Weathertech. Com. Sfx bubblewrap bubble popped sound. The first time you connected your godaddy website and your store was also the first time you realized. Well, we can do anything. Cheesecake cookies . The chookie manage all your sales from one place with a partner that always puts you first. we did it start today at godaddy. Com the first time your sales reached 100k with godaddy was also the first time your profits left you speechless. At the counter or on the go, save 20 with the lowest transaction fees and keep more of what you make. Start saving today at godaddy. Com well, here is the story everybody is talking about a big shakeup in the gaming space announced last night penn entertainment is parting ways with barstool sports and instead joining hands with disneys espn and reburning as espn bet, something that will launch this fall penn is paying a lot of money to disney, 1. 5 billion over ten years, 150 million a year for the rights to use the really famous espn brand. It would be worth 70 of the company if it works out. It could be a nice catalyst for disney too we own that for the Charitable Trust. Okay numbers tonight no better way to get to the bottom of things than to go right to the person who knows the space better than anyone, which is our own Contessa Brewer she is here with jay snowden, the president and ceo of penn entertainment. Welcome back to mad money. Contessa, start things off first off, you have some high aspirations, because you think you could make between half a billion in adjusted ebitda, th crucial earnings metric in the gaming space, and maybe as much as a million in ebitda based on market share how do you get there well, i think the law that banned Sports Betting in the u. S. Was overturned five years ago. So we know a lot more in the industry today than we did two years ago or four years about what that recipe for success looks like if you look at the continued consolidation of market share with the top two players, there is a recipe there. And that recipe is youve got to have a sports brand that reaches the masses you have the have access to a fantasy database, fantasy players that convert very well to real money Sports Betting, and you have to have fantastic technology and product and you have to be able to it rate and innovate and do things that others arent doing i think we check all three of those boxes when you put espn and penn together. We just migrated our own Technology Stock from ontario, canada back to the u. S. Last month. Were now live not just in ontario, but across 16 states here with our own products which we acquired through the score acquisition a couple of years ago. And the last piece that gets me really excited is the piece that we have that no one else has is its espn. Its exclusive and all of the media integration opportunities and access to talent and shows and the espn app. People are going in to check on scores and stats, and now you can also be placing bets and putting together a bet slip, all at the same place over time. Lets talk than as a fantasy player since 1977, so i really go far back, one of the first, what is exciting to me is i put my team, we have the mad money team, were on the espn page. But then i go if i want to do dfs, i go to draftkings. I to believe back and forth and back and forth are you telling me i no longer have to toggle i can have all in the same page . Because i got my fantasy players, and then i have my dfs players, and i dont want to toggle i just want one page that that be you at some point, yes. Were not complete ply in the dsf game betweening espn and its partnership. Season long fantasy, absolutely yes. What you will be able to do from season long fantasy access when youre managing your team and trading and figuring out who is on the waiver wire, is when youre there be able to seamlessly after relaunch to get over to bet on the real game or real player pops or parlays from the espn mobile app. Thats what youre going to be able to do in the shortterm through a linkout. Longer term full integration you talk about deal that youre no longer a part of, barstool we had you on with portnoy when it started he is electric he is exciting i still follow him, i always follow him an ax i use their term this deal did not work out, jay. And it cost a lot of money for you. Could you not get more money from barstool . Did you hire a banker . It seems like it kind of went away like him or hate him, he is exciting yeah. Here is the way i think about it, i think its become very apparent over the course of the last year, year and a half that there is really one natural owner longterm for barstool sports same thing for the cramer show which is that person and dave portnoy is the only natural owner for barstool sports longterm i also think today, last nights news along with todays news and the followup and all the presentation its very clear this was a win for barstool and barstool fan, this is a win for penn as we move forward with a very exciting partnership. It was a win for espn, because they have been really focused on finding a partner that has great products, that has great people, and is willing to work with them on a launch of espn bet branded exclusive. And so this is a win, win, win and theyve made the rounds espn has been with fanduel espn has been with draftkings. My sources tell me its not through lack of sitting down for these meetings, but your competitors, jay, told me i have multiple sources on this, that they just couldnt make the numbers work but for you, and i heard it on the call today, you were on the earnings call. Its clear you think the strategy of media as marketing works. But that you needed a different partner. So what did you learn from barstool that will change the way that you approach this business moving forward . I dont know that i would sort of couch it the way of what did you learn from that to make this i am a believer in integrated media. We are doing this, by the way, in ontario, with the score and the score bets fully integrated. And weve been doubledigit market share players there in what the most competitive market in north america with over 70 operators. We know that this works. What i would also say, and dave was very clear about this on his Emergency Press conference last night. That was emerging it was one of the more fun press conference go ahead on the scale of emergency, that was pretty high and david is very clear, he would say, i would say, we would all say, you would say tracking this relationship over time, theyre not a company and a brand. I think we all came to this conclusion, that should be owned by a publicly traded highly regulated licensed gaming company. So i would also say that we had a lot of early success in our launches with pennsylvania and michigan, the first two states that we launched in. We were up 10 plus percent sent market share but we had a product that quickly became outdated because we were relying on Third Party Platform it took us a year and change to go live in ontario, and it took us almost a full two years to get that migration done in the u. S. So you have to have great product. To barstools defense, amazing partners we didnt spend the last year and a half marketing dollars promoting barstool sportsbook other than the organic within barstool oak cosystem because we didnt have a product we felt was Strong Enough to retain. Okay. We now have that. So this is great for dave and stoolie nation and dan and erica and team great forepenn as we move forward. Everybody is looking forward and feeling really good about what happened last night and today. So back to the app. Youre going to have this espn app. Are you going to relabel the sportsbook that are now barstools sportsbooks in the casinos . There will be a process we have a period of Transition Services that dave and barstool and erica and dan and team can utilize as we transition that business back to them, and vice versa, well still utilize the barstool sportsbook brand during this period of time as we work to transition both the online products, the espn bet in november and the landbased retail sportsbooks, we have to go through a process understandably, espn is a huge branding company they want to visit the casinos and different markets and geographies and determine at espn that retail sportsbook makes sense in one or all of the casinos we currently have barstool sportsbooks i have to tell you, i was watching the interview it was fantastic. Thank you fanduel is a power, okay. I know jason robins, draftkings, i worked for them. A power. These people are really big, and theyve got great market share how, even with disney can you possibly take them on without spending fortunes . Yeah, well, i think there is really two things. I mentioned earlier, youve got to be able to check those boxes of right brand, right reach to the masses you have to have an absolutely top of the line product capability you have to have access to a fantasy database we now have that with espn and we have an exclusive relationship with them so there is no longer them trying to please multiple people this is their brand. But advertisers, there is no sense we dont know that draft king is not going to advise. Im not going talk free espn in terms of what they take in for advertising dollars with our comp competitors. But when you talk about what the integration work is within the Digital Assets and linear assets, and end game, the promoting of Sports Betting is 100 espn bet. It would only between halftime and the commercial kickoff we have some of that with them as well. Part of the 150 million per year we get a little of everything. Jim mentioned a the top that disney has this ability to go in and buy warrants, top warrants by stock penn does that mean if they get over a certain level, if they do make to it 17 , what happens with the regulatory licensing . Because most states, you have to be licensed if you own more than 5 of a gambling company. You raise a very important point here in terms of why we believe this partnership is built to last. Its a tenyear deal it includes cash outlay, warrants, contessa, as you mentioned. A great scenario for everybody, because we have bonus threshold warrants that are issued at 20 above market share im not here predicting that is going to happen in year one. But if youre hitting those levels, thats a good problem to have so to answer your question, there is a lot of variables that go into what triggers life for an owner at a percentage but are those going to be shares are they going to be cash settled shares what is the market share what is the dilution there is all the factors the reality is the better espn bet does, the stronger performance and valuation is going to be for penn shareholders and its good. Well figure the rest out. And there is a variety of ways you can figure out whether you get license or structure in a way where its more cap settled versus ownership clean deal in tend. Okay thats jay snowden, president and ceo of penn entertainment now. And our own Contessa Brewer. Thank you both mad money will be back after the break. Coming up, they put the power in power train can dana help drive your portfolio forward . Keep it here fan 1 there ya go thats what im talkin about josh allen is this your plan to watch the game today . hero fan uh, yea. I have to watch my neighbors nfl sunday ticket. josh allen its not your best plan. But you know what is . Myplan from verizon. Switch now and theyll give you nfl sunday ticket from youtubetv, on them. hero fan this plan is amazing josh allen another amazing plan, backing away from here very slowly. fan 1 that was josh allen. fan 2 mmhm. vo for a limited time get nfl sunday ticket from youtubetv on us. A 449 value. Plus, get a free Samsung Galaxy s23. Only on verizon. The biggest ideas inspire new ones. 30 years ago, state street created an etf that inspired the world to invest differently. It still does. What can you do with spy . A little over two months ago, we suddenly realized that the recession was likely off the table. And since then, the economically sensitive stocks cyclicals have been roaring higher. Take Dana Incorporated which makes Propulsion Energy Management Systems for vehicles and other machines think transmissions, gearbox, specialized axles. And many more components its been a couple of years lost in the wilderness thanks to all the supply chain woes everybody had, recession fears danas stock has shot up 37 just since the end of may. A great quarter. Solid better than expected revenue. Massive earnings while management raised the fullyear guidance across the board. But down 6 since the quarter. Although i think its partly because its already run up so much going into earnings that does happen dont take it from me, though. Lets check in with jim kamsickas, the chairman and ceo of Dana Incorporated to get a better read on the situation mr. Kamsickas, welcome to mad money. Thank you when people look at dana, they may think that it makes auto parts. Yeah. The fact is, i more associate you with machinery and with trucks and with electrification. Yeah. Because thats the future. It is it is. Thanks, jim for having me. A Light Vehicle is a core piece and large suv and trucks people. In the truck its medium duty, class 8, vocational, cement mixers, and off highway agriculture, construction, underground mining, Material Handling and the benefit for us, all our technologies are pretty much interchangeable across markets, geog geographies, so a lot of people dont associate with us but is a very core and important part of our business. Its very key, crucial to understand that a lot of companies that are in the Vehicle Business have no real expertise in what you do and would rather have you do it than them do it. Yeah. History would tell us that they do some of everything we do to a degree but at the end of the day, to be able to scale across, were very committed to technology. Were very committed to global footprint. Were very committed to relationships with customers and they come to us and say look, we cant do everything for everybody. Just like we cant as a company. And we selectively look for the right pockets. Criminally, a large truck and commercial truck and off highway is a perfect fit hey, take this run with this. Lets go sell a bunch of vehicles together. Thats what we do. Lets say im one of these manufacturers and i say look, i have an internal combustion. But youre agnostic. I was super proud of it in 2016, there is a lot of people that may not have bet on it, but we were all in we saw it because there were pullthrough markets that were happening then regional and geographical markets such as china, all kinds of places were already there you could see the fundamentals behind it. So we said look, we are not going to be kind of a melting iceberg here we are going to see this opportunity. Axles are going to stay around forever, no doubt about it but here is an opportunity for dana to do three times dont per vehicle. We have in house in the thermal that surrounds it core in electrification. No matter which customers, any of the end markets you and i just talked about, no matter where they come from, we can get the full system capability, and lets go we can get it done i see a company that supply chain, semiconductors really got there. And yet now im listening to this fellow who runs the uaw and he is using fiery rhetoric that tells me he seems to believe that his team wants to strike, okay november 14th. Now we dont know. Anything could happen. They want a lot of money from the Auto Companies but how impacted would you be if the Auto Companies got hit by a uaw strike anybody is going to be impacted but amongst many things in our Business Model that weve already talked about is when you isolate that down, thats the United States of america thats just the Light Vehicle business were almost an 11 billion company right now, and were spread across all the end markets, all the joggeographies. Its significantly less than 50 . The biggest polluter in the world, do you think its possible were going to have Hydrogen Trucks . And would you play a role in trying to make that the trucks werent so dirty i am bullish. I am bullish on Hydrogen Trucks. I can see by your look that is maybe a little surprising. No, windy tells it could happen, and theyre the biggest. Who knows you have to keep your toe in the water on all the new Green Technologies to make sure that youre ready but the most important thing for us, but getting back to that, no matter if its green hydrogen, if its electrification battery, our Propulsion Systems fit with all. They all interconnect. It does not matter more specific to your question, will we participate in that . We actually do Hydrogen Fuel cell plates which go inside the membranes of plates for commercial vehicles, and well be ramping up volume significantly in the back half of thor. You can see weve reengineered the company. The people in the company that used to do sealing and gaskets and thermal management, wait a minute, thats the same skill set for Hydrogen Fuel cells. Why wouldnt we address that market youre way ahead. Youre way ahead of the industry, but i also note youre exactly where you have to be, particularly with regulation worldwide. I think this is a very exciting time to work at dana im really glad you came on. Were getting the great quarter for free as the stocks come down yet i see great things for what your company is doing. Thank you so much absolutely. Proud to be here. You should be thats jim kamsickas, the chairman and ceo of dana its a real easy symbol, its dan. Mad money is back after the break. Coming up, cramer wants to hear from you. Your calls on the thunderous lightning round, next. This is cynthia suarez, cfo of gogo foodco. , an Online Food Delivery service. Business was steady, until. Gogofoodco. Go check it out. Whaatt . overnight, users tripled. Which meant hiring 20 new employees and buying 20 new laptops. So she used her American Express business card, which gives her more membership rewards points on her business purchases. Somebody ordered some laptops . Cynthia suarez. Cfo. Mvp. Built for cynthias business. Built for your business. Amex business. It is time its time for the lightning round. Play this sound [ buzzer ] and then the lightning round is over are you ready, skeedaddy . Time for the lightning round. Lets start with michelle in new jersey michelle caller hello, jim. Im calling you from beautiful long beach island, new jersey. Lbi who doesnt love lbi good whats up . Caller longtime listener, firsttime caller. Jim, i currently have a small position in medtronic stock, and i was interested in your guidance keewe want mri business, be health care. Medtronic, no. Lets go to cynthia in kentucky. Cynthia . Hey, jim. First time caller and club member. Yes thats what i want to hear go ahead whats up . Caller on this stock, the financials look good, the earnings sounded good, and i like that the ceo said on the call what are your thoughts on peg . I pay them every month. Thats my first thought. Look, its got a good yield. Its a very solid company, but im wiswitching to the pipeline companies, enbridge, take the enbridge dividend to pay the peg. Lets go to reagan in washington, reagan caller hey, jim. I wanted to ask you about the electric car company pfister what do you think of them . Pfister, no thats more of a charity were into the stock game. Whats up . Caller hi, jim thanks for taking my call. Fantastic whats going on . Caller i have a small position ad tran holdings and your thoughts . Im not a fan not a fan of ad tran losing a lot of money, wasting data ive got so many wasting data companies. Im done with wasting data, with ben in florida, ben . Caller booyah, jimmy chill. This is ben. I have a question on marvell i own marvell and amd. Theyre both going to be going down right now remember, that group is under consolidation. Now marvell did very well, was related to some things that matt murphy said about nvidia and the problem is nvidia is going lower. We heard that from Larry Williams last week we know its a parabolic move. It can go down so i want to be careful here i am not going to tell you to buy marvell at 60 when i think you can get it at 54, 5. Were going to joe in ohio joe . Caller booyah, how you doing . The chill man is hanging in there how about you . Caller good, good, good. Love your show. Thank you. Caller watch squawk on tv every morning. Thank you caller i own consolidated edison. Okay, con ed. Weve liked con ed since the show started its probably been about a do you believe im having people pivot to enbridge with a 7 . I just feel like we get that 10 yield, the stock goes higher and then we can look all we want when it comes to con ed. Ladies and gentlemen, thats the conclusion no i got another. I can take teresa in new york. Teresa caller hi, jim long time fan. First time caller. My question is on oracle im down should i sell it or buy more are you kidding me . You buy more jeff and i have been talking about buying oracle. Look at this put oracle back up again what the heck . Right here is good look at this look at this it reports a great quarter, okay and then going down, right here is when you start buying oracle, right here 113, 112, 111, 110 come on, give me a shot here and that, ladies and gentlemen, is the conclusion of the lightning round [ buzzer ] the lightning round is sponsored by Td Ameritrade coming up, as a market, we keep getting oil wrong cramer has the secret sauce to make the barrels work for you. Next its time to stop writing off oil and gas. I keep reading how were going all in electrical in this country. I think these stories ignore reality, and i dont see the reality of oil soaring from 67 to 84 a barrel in roughly six weeks. Thats pretty telling, isnt it . There is a lot of Wishful Thinking when it comes to the energy market. Starting from the top with president bidens relentless push for vehicles and extending to most of the companies that have pledged to be Carbon Neutral most by 2050 im not being sarcastic. Im so glad so many powerful people want to save this planet. Lets get it done. But were not going to get there simply by embracing electric vehicles right now theyre too expensive to make and getting harder to sell especially when tesla is out there doing the best to keep prices low in order to drive out the competition. There is Something Else happening that makes me think oil and gas may have a lot more staying power than we give them credit for were seeing a subtle backlash against actual electric vehicles these cars and trucks arent selling as well as the regular automakers thought ford, for example, has been talking about good demand for the f150 lightning, really cool truck. But at the same time ford has had to cut price to move them which calls no level of demand yesterday rivian put up decent numbers. They see a clear line of sight to profitability but almost in the same breath, they talk about needing to raise capital in 2025. You dont need to raise capital if things are going great. As for the small players, pfister, lucid, not a factor cool, but not a factor when you look at the numbers, its the internal Combustion Engine that has been the real win their quarter. Just going on fords a book of business, you to conclude the internal combustion are the key to profitability goals while electric is the nemesis of profitability. The expectation of unlimited demand for electric vehicles is out the window maybe its the lack of charging stations leading to range anxiety. You never know when you can recharge when you take a long drive. Its a real issue, especially for Small Businesses that cant afford to miss an appointment. Maybe its the higher price tags maybe its the sense that the novelty has warn off we know trucks arent changing the stripes of clean energy any time soon. In large part because thats not viable without Hydrogen Fuel cells and the technology is not just there yet although i liked what data said about hydrogen adoption. I know there are macro factors driving oil higher, saudi cut backs, no more recession fears here in the u. S. But in the end, i think its much of this oil rally is psychological. Without the threat of electric vehicles taking over the highways, its much easier for the price of crude to keep climbing gas has also been suppressed by sent its going higher too. I believe the oil and gas stocks are fine but at this point whats a better bet the pipeline operators i keep bringing to you. Think enbridge or one oak. We spoke to them last night. Enbridges yield slightly more than 7 . One oak more than 6 these are extraordinary bargains if you agree with my thesis that i just played out. The psychology thats turning against the belief in the inevitability of electric vehicles for all its not good if youre worried about rising sea levels. But realistically, the internal Combustion Engine is here to stay which is why i would rather bet on Pipeline Infrastructure than charging station infrastructure, especially when the pipeline stocks are giving you such enticing dividends i like to say there is always a bull market somewhere. I promise to try to find it for you right here on gmad money. Im jim cramer last call starts now