Like caterpillar, ibm and walmart. Check out gopro, twitter and 3d systems catching the bid here. Is this the dash for trash. Do you buy the trashing names into the end of the year. Guy, what do you say. This is a quick trade. Whole foods markets up huge. Abercrombie and fitch off a huge move up again today. So is there still room on the upside . Probably yeah, because the shorts are still covering and people absolutely chase. But these names have been beaten up for a reason. And the cream rises to the top and the opposite is true as well. They will come back to earth. Specifically ibm. I think abercrombie and fitch is getting toward levels you want to pull the rip cord as well. And you cant fade this. Because day like tomorrow, light volume, buyers typically have their way, they will have their way tomorrow. It was light volume today. You pointed out that, dan. Low volume. Since the day after thanksgiving. We know the market or stocks had pressure, poorly performing in this month. And you think about selling and you have to wait a month to get back in. But there is a lot of traders who think about it the other way. They wait until the stocks get beaten down and know they are going into a low volume period and move stocks around. And that is what i think is going on. Think about the dynamic between now and next friday. There is going to be very light volume. We have next friday off for new years eve. I think there is Monkey Business going down. You have to get back to fundamentals and think about ibm and cat. If the sentiment is not so bad, then there is the trade into q1 Earnings Period in january. But if the sentiment gets increasingly better as we head into the earnings, then you want to sell these things because they are going lower. I totally agree. The twitter and the gopro of the world, shorting going on and investors looking to park cash. An look at the beaten down names putting money in to protect portfolios. They are down for a reason. Guy makes a great point. Why put money to work in a sector that is not growing. I stay far away from what was mentioned. And at the same time, karen, you are nibbling on a trashy name. I recent what you call it in retail. Well for a long time. We talked about it in the middle of the day. Macys opened down almost a dollar. I dont know why. Clearly sentiment is terrible for macys and terrible for Department Stores and retail. It seems overdone. As dan cited, tax law selling. Putting pressure here. I dont think there is a lot of hope built into macys at this price. I think youre right. And even though the volume is light. Karen stepped in for macys. Are there names out there. We had the chairman of saks and i love macys, when you talk about nordstrom too, in retail, there is always a need. And best buy has shown us this since circuit city went away. I expect with the stocks where they are and the boards thinking about what the retail environment looks like going forward, you will see a combination of macys and nordstrom what does this mean for you . Ive been bullishly predisposed in macys in calls. They are way out of the money. That is a name, i think, because of the fact we had activists saying the real estate three months ago was worth more than the market cap. But it is 25 less than it was a but it is no longer viable. But i want to switch to a name outside of retail. A name beaten down that may look interesting right now. Or is that not the way you play. Sun edison is a name we talked about. Well probably touch on it later. I do look at the stock and say down 20 today. Probably justified. I would be a buyer looking for a significant rally. Moving on to the big story in the after hours share. Nike surging after earnings. Sara eisen is listening in on the Conference Call. A few reports. China, everyone wanted to see the numbers and they continue to be strong. This is the growth driver for nike. 24 sales growth during the quarter. Futures orders in china. This is a blowout up 34 . Higher than analysts were looking for. Total future orders which is what investors are paying attention to, 20 . North america strong. Western europe continues to show doubledigit growth. But nike is feeling the affect of the strong u. S. Dollar. No question about it. Revenue growth, 24 . That would have been 12 without the strong dollar. In europe sales were down because of the weaker euro without the currency impact. And emerging markets feeling the pain. But what investors come to expect from nike, they saw again today, which is margin improvement. Another 50 basis point increase in margin. Driven by nike pumping out products that people want and better innovation in speakers and sports ware and higher prices. So on the call were listening from management on how they continue to drive profitability on the back of product and expanding the jordan line something they have going on and the lifetime deal with lebron James Heading into an olympic year. And a stock trading at a high multiple at a record high price and the dows best performer of the year, melissa. Well check in with you later. Sara eisen on the nike call. Talking about the valuation. Were looking at 30 times forward p. E. At this point. 3 and change away from a 52week high. How i do trade this, guy . Stay long the name. At some point valuation will matter. Right now you probably have 15 eps growth. 17 or 18 revenue growthish. 11 yearoveryear but it doesnt matter because the margins continue to improve. But you cant deny the growth of this company and you cant deny the fact that the stock just continues to climb higher. We said stay long. You continue to stay long. And your trade is footlocker. They do move together. It is very good for both. [ technical difficulties ] i would stay the course in footlocker. It is much cheaper than nike. Nike is fantastic. Dan, you have been skeptical of the China Economic growth story. Does this change your view . No. Here is my take on that. It is up 34 . Chinese consumers are aspirational and going for iphones and stuff so to me the growth is fantastic. I would take it away from nike, a stock up 37 on the year and trading at 30 times forward earnings and you may think it is expensive. I would say under arm or is trading 60 times forward sale and they have no sales outside of the u. S. Zero, zilch. It closed near the highs. Up in sympathy with nike. As you head into 2016 and these guys start to articulate how they will grow overseas that is the own here over nike. I agree with that call. On the bet they are going into other markets and you wont burn money doing that . So here is the way i look at it. Nike is going to 150. This stock is phenomenal. Only place in retail you could hideout and be comfortable. The growth momentum is on their side. Under armor, under sold. Fx concerns and capex concerns. The whole nine yards. Completely oversold. It is worth a trade. Would rather own nike longterm. But for a trade, under armor is a layup. I go longterm with under armo armour, they have have 32 billion in sales and youll see a 10 billion sales company. For more on nike, the bbt market Vice President and analyst here at the nasdaq listening to the call on the infamous red phone. Great to have you with us. At what point does valuation matter . That is the struggle that nike investors have. Right. As long as estimates keep coming up an the futures are outperforming expectations, we dont see a limit to the valuation at this point, in the near term. When you look at it compared to under armour, also trading in the high 60s on a p. E. Basis, you could make a good case that the nike multiple does need to come a little bit higher. It seemed like across the board the nike quarter was strong. So at this point what questions do you have for management. What are your concerns . The sustainability, another question is the operating expenses. They were a little bit lower this quarter. What is the what is the impact of the lolympics in the next quarter. Guided to high single mid digits and came in higher than that. And they will pop up in the second half or is this a run rate we should be going with is one of my big questions. Well check in with you later. Thank you for your analysis. Corrina of bb t. And ill pose it, a would you rather. A great game you just played with dan and david over there. Nike. I think the problem with under armour, the weather has killed these guys. It has taken a long time for them to undo the effects of the weather. I think they are in a threemonth lull and nike continues to grind higher. A news alert on four square. To seema mody in the newsroom. More evidence of price tags being cut in the startup world. Four squares valuation is being cut more than half. Now valued at 250 million. Again, this is less than half of what investors thought the company was worth two years ago. And according to sources close to recode, four square has also talked to potential buyers. That is the latest on the wires. Back to you, melissa. Seema, thank you. Another one getting its valuation cut. Is this sort of does it symbolize what is going on in Silicon Valley or is this a i think they were early on smartphone and people forgot about them. And the functionality on peoples phones were taken into consideration and why does this need to be a standalone. And that is what is a lot of what is going on in silicon vall valley. Weve been through this before and seen it in the 90s and great ideas an they werent and they werent standalone companies. And they went public and then they figured out. They would have gone public but they couldnt. But the unicorns in sill von valley, they are hunting and going down. I think so. The horn is being flipped. There is a great scene in dodge ball when vince vaughn went into the and the unicorns. I dont know. That is a foreign film. Chipolte, is the fast food battling the ecoli outbreak. It is still not a cheap buy. Well explain why after the break. And ford is starting to act more and more like a company out of Silicon Valley. Will it start trading like a tech stock. And airlines havent gone very far this year but one analyst said the street is missing a major part of the story. Shell explain what it is when a busy fast money returns. Bring your family and friends together to discover the best shows and movies with xfinitys winter watchlist. Later on, well conspire as we dream by the fire a beautiful sight, were happy tonight watching in a winter watchlist land, watching in a winter watchlist land xfinitys winter watchlist. Watch now with xfinity on demand your home for the best entertainment this holiday season. Welcome back to fast money. Celgene shares are rallying. They will allow the u. S. Partner to sell an unlimited quantity of a generic drug as part of a patent settlement. They are a mia loma drug. Shares up 9 after hours on this news. Melissa. Seema, thank you. What does this mean for celgene . This is a great thing for them. The stock is up 10. Overhang lifted. It is safe to buy the stock. For biotech. This stock has acted poorly. It was banging around whatever that level is, 110. If it fails tomorrow, you want to be out of the space altogether. It aint failing, brother. Ill tune in tomorrow night. No, dan is going on vacation. Hes checked out. Tough day for chipolte on renewed worries of another ecoli outbreak. In the past three months the stock has fallen nearly 30 losing a third of its value. Will it stunt the growth and make it a cheap stock. Maybe not. Take a look at several casual competitors. Shake shack, mcdonalds at 20 times, yum at 20 times and jack at 19 times. We talked about this. This is really about putting your finger up in the air and seeing what happens here. Weve known this Burrito Company traded expensive here. Lets bring it back to mcdonalds which has almost ten times the amount of sales. It is expensive at 22 times forward earnings. That is mcdonalds right here. And we know the stock is at an alltime high. Where should chipolte trade . I dont know. It should probably trade lower because we dont know when the sales will pick back up again. That is the issue. There is too much uncertainty. How would you play in a situation like this . I wont play it. We dont know what the e. Is. How could we know what the p. E. Is. When i think about other companies that have come back from Something Like this, jack in the box is one of them, that took a while. And a lot less painful if they werent trading a supper frothy multiple going into this. And the decline in earnings, you just dont know. It is amazing that wall street was very sang win. Not quick to do anything on the back of the ecoli outbreak. And you dont know what the e. Is. And increasingly as time goes on, you have less and less visibility on what that earnings aspect is. We get criticized for a lot of things. I think on the desk weve done a great job navigating through this name. And to karens point, it would be painful if it wasnt trading at 31 times forward earnings go into this entire thing. Is it still a growth company. Yeah. You would make an argument. They will still open stores. But it will take time. Just because they open stores it is a growth company. They will get their mojo back. It wont be for a while. I took the circumstanceuteus route, up sixth avenue, went by two chipoltes and there was nobody there. What time was that. At lunchtime. People eat lunch in new york city. Dont miss with my story. It is a good narrative. But if you walk by a chipolte now, you aint going in. That is just the facts, jack. Next up, activist investor david tapper turning up the heat in his battle with that stock. Tara form got crushed as sun edison requested documents about the Parent Company sun edison. And he is looking for the minutes of the last meeting at which three Board Directors resigned. Hes looking for that as well as discussions that vivid and sun edison at the time they signed the merger and recut the deal in early december. And i have to tell you, where is there is smoke there is an unbelievable amount of smoke here. The three directors resigning from the board, saying they cant uphold their duties. That is a terrible, unusual thing. Cleary gottlieb, a high quality law firm resigned. They left. They didnt say why. That is a terrible fact. It is if i were the ceo, and the cfo of sun edison, i would be worried. It does, from the outside, appear to save sun edison they were stuffing properties in tara form that was not the original intention of tara form and not the mandate and not the structure they thought they had entered into. This is a very bad fact set. A very bad appearance. Tons of smoke here. I dont know if they will be able to get access. They should. They should. Well see. There is much more to come. This is a bad situation. As we discussed before, the timing of it is also dealing with smoke in the cfo of sun edison becomes the cfo of tara form and they are disposing of assets when they said before they would not. So you have a theory of what is going on and what tepper has up his sleeve. I look at it and say tepper wants to break this deal up. This vslr deal up. He is a majority holder. He has 10 stake and holds the bonds as well. And i bet you, and well probably see this when it comes out, i bet my last dollar that he bought sune when the stock broke down to 3. 5 bucks and maybe below 3 bucks and there is a new amendment on december 9th when they went through and restruck the deal that said the vslr board has the right to demand cash all cash transaction for this transaction or for this deal if the sune stock pulls back a little bit. To me that is interesting. Because he could push his pencil around here, irritate some other people involved in this transaction and forced the deal not to occur. Because of vivid would demand cash. They could demand cash. So demanding cash is a massive amount of money for sun edison. Roughly 11. 93 a share. But the break down is 34 million. It is a rounding air when it comes down to the transaction. If it breaks up, think about what could happen to sun edison, it could trade up why . Not in a scenario where they breach the contract. This is a spending deal. If they break this deal, if they break the deal off, right, break it up, 34 million, it is a 34 million breach. I have to check that. I dont think that is but it is the presumption is that Solar Projects will be interesting and lower for a longer period. But here is the problem with this it is a spend issue for them and that is the overhang for them in the stock. They are asking for a massive rep in revenues next year that is not likely to happen here. It has a 1. 6 million market cap and . 5 billion in cash and 11. 5 billion in debt. A lot of things have to come unbound with tara form. A 2 savings. What happened to the stock. Sun edison went up 25 . Well it went down today. This is a layup here. I think at this point in sun edison your options are way too expensive. I think dan could speak to that. You have to be willing to watch it go to zero or to 15. I think karen would agree it is binary that point. But that is a risk if it is too risky, stay away from it entirely. Nevada put out proposed legislation that was retroactive against solar panel homeowners. It is terrible precedent. And that is why the stock is down today. The whole industry is down. Still ahead, check out shares of nike jumping after hours. Our nike analyst is who is listening in on the red phone. Well have headlines later this hour. Im melissa lee, youre watching fast money, on cnbc, first in business worldwide. Here is what else is coming up on fast. Get in there and sell, sell. That is what is happening with disney, apple and amazon on seemingly good news. So what is it that has investors so worried. Plus crude is tumbling and Airline Traffic is up. Are you telling us absolutely everything . Not exactly. Were also out of coffee. So why are Airline Stocks in a Holding Pattern . A tough analyst explains why you should be buying when fast money returns. Welcome back to fast money, everybody. News tonight from the manhattan u. S. Attorney that an individual alonso knolls, age 23 of the bahamas has been charged with a scheme in which he has tried to release for money scripts of Popular Television programs, plus personal information, including Social Security numbers and private information including sexually explicit videos involving celebrities and professional athletes. He intended this as part of a grand scheme in which he was willing to sell the material, including the sexually explicit videos to the highest bidder. He has been arrested and charged tonight in manhattan with those crimes, including Identity Theft and copyright violations. More will presumably come later. The names of the victims of this extreme for understandable reasons have not been released. Thank you. Shares of ford revving higher on a step with google, a step they are taking to drive innovation. So are they turning into a tech company. Phil le beau is live with that. I think they would always say they are heavily invested in technology. The first time i talked to mark fields, back in 2004, 2005, he had just come back from running mazda and charge in the americas for ford. And he picked up his phone, not a smartphone and said this is the future. Everything is going through your phone and were going to be a part of that future at ford. And i remember at the time thinking, okay. Tell me what you are going to tell me and lets move forward. You have to say that mark fields and a lot of the executives at ford, they backed that up in terms of what theyve been doing. Look at the r d facility that they opened up over the last couple of years out in palo alto. They are also working on mobility pilot projects. Some of the projects may never pan out. They may just be ideas just brought up and they are exploring but they are at least looking at them. And the possible partnership with google. Now officially both ford and google are not making any comments about discussions that weve been told by industry sources are taking place between the two companies to develop selfdriving cars. And this, from a lot of perspectives, makes sense here. Ford brings manufacturing expertise. Google brings the expertise in terms of selfdriving cars. It will be interesting to see if we get an announcement especially with the Consumer Electronics show coming up. But beyond that, look at where ford is and look at what it has done over the last seven or eight years. The sync infotainment system is considered by many to be perhaps the most popular of the infotainment systems that you could subscribe to through automakers. Ecoboost engines, it is not sexy but they are far more fuel efficient because of the innovation at ford and the light weighting of vehicles. The most obvious example the f150 because of the transition to aluminum from lightweight steel. That has allowed them to reduce the weight and increase the fuel efficiency there. Having said all of that, take a look at shares over the last three years. And this chart really says it all. Ford versus delphi, an auto supplier that people say they are on the cuttingedge in terms of innovation. And tesla. No comparison. Not in the last three years, but the last two years. Ford, like all of the automakers, just not getting respect. And i shouldnt say all of the automakers. Like gm, Fiat Chrysler a little bit of respect in the last years. But this is a case where they know they are working on innovation in dearborn. The market, however, has just not rewarding them in terms of looking at it in a potential growth story. Phil le beau. Thank you. Guy, why do you think the stocks have not done so well. Because people think we are at peak autos here so the numbers could only go lower. Valuations are reasonable but the stocks havent been able to get out of their own way for the last couple of years. Ford is between 13. 5 and 16 for the last three years. So do i think you will get crushed in it . No. But we have mentioned manny, mow and tyler mathisen. Carl icahn is involved in. And auto zone, a monster until recently, failed at 800. Not expensive at 16 times forward earnings. I would be with them rather than ford or gm. Ill tell you why they havent gotten out of the way. Elon musk. Look at what he did with space x. The ground is moving below his feet and it is not moving. And they only sold 50,000 cars and it doesnt matter. They are not a technology company. We talked about is tesla an auto or tech company. Smat point tesla is at some point tesla is going to elon musk, as he willed the falcon 9 to go up and come back down, that is the story. So if you want to invest in auto tech, tesla at some point. Still ahead, share disney taking a hit and that is not the only one. What company is next. We have the details after the break. Plus Airline Stocks failing to launch this year but one analyst says 2016 will be different. Shell reveal what it is that has her so excited about the sector when fast money returns. Welcome back to fast money. Another day with the markets rallying for the second straight day. The s p 500 up 100 and the dow gained 165 points. Here is what is coming up in the second half of the show. Nike is rallying. Well hear from the companys ceo on what drove the quarter. Plus low oil and gas have the Airline Industry booming so why are the stocks hitting turbulence this year. One analyst says that is about to change in 2016. But first, no good news about one widely held stock. Seema mody has the story. It is the classic buy. The rumor playing out this year. Stocks that have rallied into a big announcement and shorted after. Take these shares of apple. Rallying ahead of the september 9th event unveiling the iphone 6s and the ipad pro. And now off 20 since the april high. And amazon, despite clocking in record sales. Down 3 . And disney, a monster hit in the box office with a 238 million debut but you couldnt tell if you looked at the stock which is down 7 since the premier last week. So it seems like investors arent buying into the hype following these big events, melissa. Seema, thank you. So david seaberg, which fade do you buy . You look at amazon. We talk about on this show a million times. I think it is a name you look at longterm and say you have to own it. And they announced yesterday, i think yesterday, they are going to have a 20 airplane fleet. That shows you that the distributors cant keep up with the growth. Nobody could keep up with the growth. And i look at the pullback and i think the stocks come back from the highs. We love it as a firm longterm. It is a name i stick with, no question. And the highlight of the decline of just 3 after a monster where is amazon. 665, give or take, a whisper off the alltime high. I think amazon is a name. And weve been negative at disney. It is going to fail. It has failed. I think it heads down to doubledigits, meaning 98 which is where it held last time and then rere value ate there. And then a sector with robust ticket sales and strong Profit Margins and stocks are on pais to end the year in the bed. Helen becker joining it. She is here on set. Great to have you with us. What do you think happens and changes in 2016. The Biggest Issue for this year was peak margins. We had a report back in march in which we said that what if feel is 50 this year and goes to 70 next year instead of 70 this year and going to 50 next year and in an environment where fuel costs start to go up, youre looking at this year is peak margins and we were concerned about the group this year and that is exactly what happened. We downgraded a bunch of stocks earlier in the year and now were rere valuating in 2016 as we look ahead. I keep saying it is unlikely oil prices will be down 50 but they are down 30 from where i made that comment. So in terms of energy, there is a one quarter lag between when fuel prices go down and when ticket prices go down. And when weve talked before about our concern with First Quarter booking. So everybody going home for the holidays, we are not worried about the fourth. Concerned about First Quarter. And then in the summer months things improve and the comps get easier midyear and so we think second half of 16 should be better than first half. You dont have the fuel headwinds or shouldnt have and the Foreign Exchange headwinds youve had this year. At the same time, weve been watching wti and brand prices hit an 11year low. So if there is a one quarter lag, shouldnt we see that benefit if the First Quarter so things should be considerably better in the First Quarter or Second Quarter maybe. Your margins should be better. Your ticket prices should start to follow. So ive been checking fares, thinking i might want to go away next week. And i went online and looked at paris for an example. And it was 1,500 to go to paris. And i thought that was really high. Yeah. Given everything weve heard. And then i checked other cities. And really, international fares havent come down that much. Last weekend i went to florida. I paid 700 for a roundtrip firstclass ticket. And this week i decided maybe ill go back. And it was 700 for a roundtrip coach ticket. Wow so we are seeing during the holidays fares have moved nicely higher. But first, carter, you only have a good week the first week of the year. And then you have a bad five weeks. Then things pick up again around midfebruary, around president s day and then it should begin right through march. And this year i think we have an early easter. I feel like easter is like march 20something. So that should bode well for spring break traffic and in march for easter. And then april for spring break. We are out of time but i want one top pick for the sector. It is Spirit Airlines because there is a lot of leverage there. It had a bad year this year and were thinking recovery next. Great to see you. Helen becker of cohen and company. Spirit Airlines Just got an upgrade in todays session. Weve talked to the ceo a number of times. Where with owe yyou go, guy. The stock is up 3 . Jet blue, it topped out and has been rolling over over the last week and a half, two weeks. But i still think in terms of a stock, i think they have the most ability to go higher in terms of stock prices. Still a lot of leverage to be pulled there. I know helen has been around, done a great job. But here is the thing. We were talking about the autos. Fantastic year. Right. Way better than anyone expected a year ago or two years ago. Beyond anything anybody hoped for. I think similar in the Airline Industry. But yet im concerned what we saw happening for the auto stocks will be the same thing for the airlines. So stay away. That people will look through the peak. It cant stay this great. There is only one way to go. Dan . I think the ones with the International Exposure had a tough time. You all is the number one that we have focused in on. Ual. Okay. For months and months, guy, you are talking about united and southwest and domestic carriers and they got killed off an alltime high a couple of weeks ago based on traffic numbers in november and i think that is to karens point. I think you hit peak airlines as far as news and the sentiment. Just a quick david. How could i not agree with helen. Of course. That is the number one pick. But agree with her 100 . That is the name to own. And news alert on Brooklyn Nets. And a interesting deal here. A russian firm is going to become the 100 owner of the Barkleys Center and the Basketball Team Brooklyn Nets. This transaction values the nets at 875 million. Barkleys center at 825 million. Again, forest city reaching an agreement to sell barkley centers and Brooklyn Nets to this russian firm, just getting more details about the firm. Once we get them well bring them to you, melissa. Seema, thank you. Coming up. Micron and nike. The latest from the Earnings Calls and hear from the nike ceo. Plus dont underestimate the force. That is exactly right. Because there is one Stock Traders think could surge off the blockbuster hit. Well tell you what it is and how high they see it going, after the break. Hi watson. Annabelle, your birthday is tomorrow. Im turning seven. What did you ask for . A princess. And a pony. You like things that begin with p. I like pink frosting too. Will you have a cake . Yeah. I was too sick to have one last year. The data your doctor shared shows you are healthy. Are you a doctor . No. I help doctors identify cancer treatments. I want to be a doctor someday. I can help with that too. Watson, i like you. Weve got an earnings alert on micron. To seema mody in the newsroom. Shares down 4. 5 after hours. The chip makers First Quarter earnings beat while revenues missed due to weak pc demand. It was described in some markets as challenging but seed healthy longterm fundamentals. Up in 2015. Melissa. Thank you very much, seema mody. Healthy industry fundamentals. I was going to say that. That is a brilliant thing to say when your earnings kind of stink and the near term is bad and your stock is down 50 . Listen, i think there is no reason to own this stock all year long. I will tell you, though, i name that ive tried to pick on the short side, intel, which is obviously very exposed to the pc space, acts really well. Into the year end. [ technical difficulties ] does intel buy micron. They have had two chances and to buy and they havent wanted to do it. Why dont they come in and take them out. And instead of a chinese company. Why buy the milk when you can get the cow for free. I heard that about marriage. I heard that once. I dont know. Nike shares are losing steam in the afterhours session. Sara eisen has that story. Investors were happy and so were analysts going into the nike call. They just started asking questions of executives calling the year the best year ever for nike in terms of results. The executives saying the u. S. Was a growth driver this year. Called out strength from footlocker and dicks sporting goods. Those are stocks mentioned on the desk often. Mexico was a bright spot during the year. Brazil, not so much. Some work needs to be done in what executives are calling a reset of the business in brazil. A lot of that they blamed on the challenging Macro Economic environment. China is the story right now. With nike, 34 growth in future orders over the next six months. That is very bullish. Here is what trevoreffers, the number two under mark parker who takes a lot of the questions on the Earnings Call said about what is happening in china for nike right now. The success today in china stems from decisions we made just a few years ago to aline our teams against the biggest opportunity to drive growth with our category offense. By staying focused and diligent, we continue to lead the market as the regions most coveted sports brand and we see significantly more opportunity ahead. So continued on that bullish outlook on china. Particularly they said growth in all categories in china, including nike. Com led by sportswear, running and basketball. And as you talk about this trade, keep in mind nike splits the stock tomorrow after closing bell and begins trading at a new price on thursday. They announced that along with 12 billion in Share Repurchases and a dividend, something they emphasized. The focus on threading the needle between the shortterm and the longterm that they say nike does better than everyone else. Sara eisen, thank you. Lets get to bbt market analyst who has been on the Conference Call. Corin, anything on the Conference Call that jumps out to you. They are guiding to lower gross margin in the second half. Maintaining the fullyear guidance. With such strong growth maerm in the first half that implies gross margin problems in the second half. The north america market, they will continue to work through the inventory. Does this make you rethink the nike thesis you have. Theyve been warning about the north america issue. The inventory came in with guidance, our expectation. And we dont see anything alarming. Fortunately the balance of the rest of their territories are outperforming relative to the u. S. Any other Unanswered Questions so far that you have still . No. They are they are planning to increase expenses so that was one of the questions that i had. And that will be the case for the second half, with a lot of big events coming up with the olympics, the euroball and the allstar game. A wide variety of Sports Events in its second half. Thank you, corrina. From bb t. And sara mentioned they singled out a couple of stocks, dicks and footlocker. So im curious what your take is. Karen can speak about footlocker. In terms of gross margin, lets see. I mentioned it wasup yearoveryear at the start of the show. That is a concern. You still stay long. Inventory, is that a worry of yours at all . Not really. Weve seen great momentum there. But i wonder, finish line, is this great for them also or is nike with their own stores taking store from finish line or is footlocker taking shares but good for footlocker. I think finish line is up because of restructuring and the fact they are not going to grow new stores. I like under arm your and i like nike longterm. This is year end. Sow overlay that on top of the fact that nike is a huge winner. You got the earnings. Do you see an opportunity for a pullback here and for a buy . Yeah, listen, nike, it goes back to china. It is really important. This is somewhere they are doing well. But one of very few brands doing very well. You could look at tiffanys and stuff that are not doing well. So nike needs to have a meaningful pullback. Ill give you an example that reversed off of highs which is costco a few weeks ago and it came down to a level where people are like okay, whatever the valuation, i could buy it here. That is what you need to see. Coming up, the one stock that some traders thought could benefit off of the star wars movie. Well give you a hint, it is not. Youre watching fast money on cnbc, first in business worldwide. Sure, tv has evolved over the years. Its gotten squarer. Brighter. Bigger. Its gotten thinner. Even curvier. But whats next . For all binge watchers. Movie geeks. Sports freaks. X1 from xfinity will change the way you experience tv. Here at td ameritrade, they work wow, that was random. Random . No its all about understanding patterns like the mail guy at 3 12 every day or jerry, getting dumped every third tuesday. This happens every third tuesday. We have Pattern Recognition Technology on any chart, plus over 300 customizable studies to help you anticipate potential price movement. Theres no way to predict that. For all the confidence you need. Td ameritrade. You got this. Has be shares 2 and some think the rally will be short lived. Dan is over at the smord board with more. It was one trade but eight times average daily volume. A trader did something what we call in the options world, rolling down and out. When the stock was 65. 70, somebody sold 17,000 of the january 70 puts to close and they bought to open 17,000 of the february 65 puts to open. Now they own 17,000 of the 65 puts for a net outlay of 1. 35. That is 2 or 2. 3 million in premium that breaks even at 6170 on february expiration. I suspect this is somebody long a lot of stock and rolling down some protection. I want to come back and look at the oneyear chart. It is 21 from the alltime highs made right here on july 20th. And on that Earnings Report when the stock gaaped up to new highs, they were doing a great job off of the Jurassic Park thing. And now they have star wars. The rumors sell the news. And options prices, all of this put buying is ramping up the price of options. Thanks for that, dan. Coming up next, the final trade. Time for the final trade. Around the horn we go. Dan nathan. Has bro. A little over sold. 21 from the side. Buy it with a 61 stop. Sun edison. I think it should be bought for a trade. Karen . In the retail space, childrens place is way over done. They had good earnings and didnt get enough credit for it. Childrens place. Gee . Great show. Great show. Dan is going to be away. Were going to miss him on o. A. But there isnt one for a while so it doesnt matter. Im looking for highshort interest stocks sold off that could rally into the new year. You know what that is, ubiquiti, that is a big word for you. Im melissa take you money. Im here to level the Playing Field for all investors. Theres always a bull market somewhere, and im promise to help you find it. Mad money starts now. Hey, im cramer, welcome to mad money. Welcome to cramerica. Im just trying to make you some money. My job is not to just entertain but teach, coach, entertain and explain so call me 1800743cnbc, tweet me jimcramer. Welcome back to crazy town. Thats that odd city where everyone does everything wrong, buying the wrong stocks, reaching the wrong conclusions