Transcripts For CNBC Fast Money 20160628

Thats the former speaker of the house. Nancy pelosi called tim cook for meeting with current speaker of the house paul ryan. Is apple running theisk of offending everyone . A special report. First, todays massive move in stocks. Stocks erased all of yesterdays loss. The dow, s p and nasdaq having their best day in four months. Heres the interesting thing. Bond markets and gold barely budging. When you couple that with the earnings, was today just a suckers rally. Guys . I dont think its a suckers rally. I think its people have been burned try to play the market from the short side. So many times. When they saw sa blow out like it did, theres no way im going to beat and watch the market rip another 60 in the s p again. So, i think thats what happened yesterday. Why i think you saw the bond get sold off. I think thats what happened today. Is it a suckers rally . I think 20. 25, its imperative it closes above that this thursday. Why thursday . June 30th, the close below, the technicians will all talk about an outside month in june. If it closes above, i think the rally is still how much is i think it will porter end. Short covering as well. I think youre 100 right. I look at the order we had today, wasnt a lot of guys jumping in head first and adding the positions. It was institutions coming in and fishing on core positions they liked. Or hedge funds who were underexposed in the long side to get long some stocks, so i dont think the rallys going to be sustainable. I dont think its going to have a lot of legs. I think were range bound. 2000, 2050. In terms of the i mean the safe havens. They didnt sell off. In fact, the tlt hit a new high in todays session. Look at the dollar. Its failed to stay above the 200. You have oil back up the 50day. The traders out there can find a lot of reasons for positives today. The fundamentalists say people saying hey, this looks cheap now. Especially in the european stocks, which i think will carry this into tomorrow, but fundamentals havent changed at a all, so everything that weem were so downtrodden on over the past couple of days stay with us. I dont think this is a rally you have to chase hard. I think things were way oversold, but things that performing continue to outper tomorrow. Cform. Rockets, yes, i think so. Been saying that the european banks may be a sign here. When you a look at the european banks of todays session, not much of a balance. Barclays for instance, but deutsche bank, considering how far theyve fallen. What youre seeing, how are they going to make money. They were selling off before the brexit, then sold off more. The u. S. Banks got a nice bounce today. Guys point about volatility, the most important thing was it wasnt just today. It started yesterday afternoon. Started about noon yesterday when people looked at volatility, it was tradinging upwards of 27. Just started selling everything. Getting themselves positioned to take off volatilitys position and get themselves into maybe a long or take off the volatility. Because we were sit tlg in those low teens for so long. Time to protect. Kept saying it every day. Well, those are the opportunities. Karen talked act it all the time. Buy volatility, have it for protection, then there comes a point in time where you start to say at a 26 or 27, ive got to take this off. This is what when people are saying today that yesterdays, the vix was new pricing the s p 500 move. Poised for a spike higher today. Thats what we got. Right and its interesting to say this pricing, i get people on twitter and all over the world who say volatility doesnt mean anything anymore. I think its unbelievably correct, actually. It gave us the kind of moves and swings were getting. Thats telling you youre going to get a move up about 1. 75 in the s p. Weve been getting those moves. The problem is, how many days in a row can you get that same almost 2 move and thats why the bets go on the other side to say all right, weve had a couple of days of that, lets move moon. Sfwl what kind of buying were you seeing today . A lot f buying in energy. A lot of energy, short coverings. Energy buying. We saw a little industrial buying. And we saw some bio tech buying on the heels of decent music. Thats really the sectors we saw and small cap bio tech. It was frankly no question about it, short covering. I look at energy and i still see that the fundamentals and supply and demand factors are quite interesting. Theres continuing to get data. The chinese production has fallen off. You see a lot of shut ins around the world. You can also look at currencies like the rial. Just continues. Its rallying against the dollar. The ruble. These are telling you something that a lot of these place, i dont think the demand is going to change dramatically, but no question, fundamentals here have changed. Where do you think the dollar is going to go . When you look at the rally weve had over the past several months, its been on the fed. Now, weve got a rally predicated on other currency going a lot lower do you see the dollar continuing on its path up . No. I think the dollars got limited upside. If anything again, the jury is still out whether it broke the down trend. We had every opportunity to break hard e. Theres a lot of uncertainty. Thats the whole point. Safe haven, i get it. In terms of todays session. Do you think we are closer to the end of the damage because of brexit or closer to the beginning . Sxwl closer to the beginning. I think the headline risk in terms of the Broader Market is substantial. I also think i said last night, ill say it again. Tim may not agree. I think you could see the chinese do something out of the ordinary in terms of their currency. Theyre sitting back. Try ied to play nice in the san box. Theyve seen sterling go from 150 to 153. You mentioned ivp, so its worth mentioning again. We talked about it. Trading up to 285 and selling at that level, thats pretty much what happened. You see a retest of 240. Which was the low in february. Whats the point . Something to trade against now on the long side of the ivb. That 240 level held strongly. Nike shares are dropping. The Conference Call just starting. Kairy na freeman is monitoring that for us. Shes got a buy rating. 70 price target. What do you make of the quarter . Well, i first watched the five key items that investors are likely a little nervous about. Number one, the translational pressure kopts. Missed top line. Thats in line with the last few quarters. Second ly, gross margin missed. They came autoa 20 basis points below and that was an 80 basis points versus consensus. Third, north american future, about 78 , came up 6 . Also disappointment, e bit emergencies akroz the board are down with a particular weakness in north america, down about 500 base pointses and lastly, inventory concerns. Up 12 , but nike up 6 , we think that might be an overreaction, but those are the five items. We dont have any update on guidance. That could help the shares taz call gets underway. We wont have that until later. Whats your number one question about this point given the concerns about the brexit and possible slowdown in european as well as uk growth . Thats it. Number one. I think tha on the top of everyones mind and this is the First Company to really report. Were wondering how were going to account for that Going Forward and what theyre saying on the ground. We know that apparel sells in the uk have been down about 7 to 8 as of may, so there has been pullback in the region so far. How much of this is a function of really difficult comps . This move is something thats been a major, major tail wind for these guys. Wu nike unable to grow at levels they were growing last year. Can you call that Global Growth . Were not ready to call a top in this cycle. You make a great point. Comparisons in the category, a little bit of motivation, but theres some upcoming items in the pipeline also relateded to the olympics. Well check back with you. Shes going to stick around art hour and be on that call from the lets trade what weve heard so far on nike. Pete, i go to you first. A target, it makes you question. How long u before they start to are they getting too much competition . We see the moves out of that and obviously, under armour is another area. Bad news for i look and see the dwrout enjoins, mens and childrens apparel antd i look at that and think wow, these y guys have moves on the upside. What do you think . Zble we talk about when foot locker blew up last quarter, we talked about the fact there was pricing issue and it was goin to hit nike. It hit and adidas is also eating nikes lunch in north america. Theyre coming in hard and theyre going to come in and be the winner in this game. I look at nike and say longterm isnt a name you want to stick with. Yaed, id stick is it longterm. High 40s to the 60 level. That could be the trading rake, but if i look at a name i want to own longterm is adidas, id rather own under armour longterm. First of all, nobodys eating nikes lunch in north america. Nike owns nrt america. The key is going to be about china, whether it continues to grow as fast, but i look at valuation as much as thats whats every attacked this on, it needs to change. Its a great company, well run, but whats the next thing that takes this thing higher. The valuation at this point, somewhere around 22 times 2017 starts to look interesting. Under armour is twice that. Changes they got massive growth. Look at nike, say this stock right now, might totally get it, but 85 in the last six weeks. 200 shoes, different colors. They push pricing to the limit. Because they can. Not anymore. Catching wup them. Stock is going to struggle here. Scott. Pair of sempbs. Never worn them. I bet their pristine in the box. Youve got nothing. Zwl just stop. Last august, the stock traded down to 47 a quarter, bounce. I think you buy nike on this week. Dan talked about it a lot. Talked about it. 12 isnt as bad as it looks, 6 sales growth. I think the valuation that makes since, long nike in the sell off. Coming up, the market is doing something its only done three times since 2000. Its been a great indicator to buy stock, plus, Top Hedge Fund managers say brexit has created a huge buying opportunity. Reveal those names and later, apple ceo tim cook holding a fundraiser for paul ryan in california. Favor with the republicans. Live on the ground. Much more straight ahead. To do one thing another. Only at t has the network, people, and partners to help companies be. Local global. Open secure. Because no one knows like at t. Great time for a shiny floor wax, no . Not if you just put the finishing touches on your latest masterpiece. Timings important. Comcast business knows that. Thats why you can schedule an installation at a time that works for you. Even late at night, or on the weekend, if thats what you need. Because you have enough to worry about. I did not see that coming. Dont deal with disruptions. Get Better Internet installed on your schedule. Comcast business. Built for business. That was the party leader saying it isnt as bad as it seems. Some are thriving amid the sell off. Check out these names. Krogers up more than 4 since the vote. Altri up, Johnson Johnson and at t are higher. You buy into these brexit survivors, tim . Speaking of rubbish, should have seen in front of the eu parliament. Talk about a guy that was stirring the point. Not going to get involved in their politics. When i look at these four names we posted, why are they higher . Because theyre defensive high yield stocks. At t, this is better than a bond. Johnson johnson is this international multicap that pays. To get exciteded about these names. Now, i own altria. Im not going to sell. Its a company thats diversified its entire sales model away from the cigarette business. Can you stand these names . Yes. Will high yield work . I i hate the idea of a recall defensive. I dont look at that as a defensive stock. It performs when the markets not performing. This name is performing because its great management. They have a a great distribution of everything. Why its up in the last three days . How about this. The last three days, it sells off and this stock goes higherer. It has nothing to do with defensiveness. People werent willing to sell this one. I think were talking about investment contests. Its one of greatest companies. Thats not the worst thing in the world. Theres a reason for it and i think theres a lot of stocks that are doing that in this environment and i will continue to say, theyre going to stay higher. Im not betting gwen you on this one. I understand, but i dont like the expression of defensive because it doesnt mean anything to me. When people say its defensive, that doesnt make a whole lot of sense. The only reason and i guess to make use the defensive would be the telecoms and people running for yield. Right. Haas the closest thipg, but think about think about all the great names out there right now that have great yields and people arent running to some of these other names. High yields mean bad things in term of the price. Yeah, j j to me when they bought pfizers Consumer Products business, eight or nine years ago now, they ripped pfizer off. Pfizer had to do years later to get back that business. They paid up hugely for American Home products business. Be that as it may. Its well diversified. 17 times forward earnings. I understand what peter is saying. I think altria is defensive. Look at the move at at t. To me, thats defensive, but i understand what tim said add well. I think j j is one of those stocks, not a stock you trade. You buy it and put it away. Still ahead on my basketball game. Which is very good, by the way. Thank you. Nike shares dropping. Well hear from the ce of about how worried he is about the brexit. Im melissa lee. Youre watching fast money. Heres what else is coming up. Investors sell out britains larnlest pizza change following inni ek lands vote to leave the eu. The ceo of domino will tell us what the vote means for his company. Plus, stocks are doing something rare and strange and could signal a major buying opportunity for investors, well explain when fast money returns. Zblncht welcome back. Youre looking at live shot of David Cameron giving a press conference to the media in brussels after meeting with eu leaders there. This press conference started moments ago. Well bring you the headlines as we get them. Meantime, the sell off has swept across all sectors. The toke stocks are no exception, but could it be creating the ultimate buying opportunity in tech . Youll find chief Investment Officer of Technology Focus hedge fund. Great to see you. Congratulations on the lawn f of your funds and it is worth noting your number one position at lunchtime was linked in. It was. That was a nice pop. We lost the fund may 1st and you know, were pretty fortunate that happened. Didnt see it come, but one of the things we like about the tech market is we get a lot of volatility. An opportunity to buy stocks when the market is looking the other way. Lets talk about what has come to be an opportunity post brexit. Theres one stock that has been down for a long time. Sure. So, weve been investors gelting back to our predecessor firm, you know, its phenomenal business. Theyve got a very locked in customer base. They Sell Software to the architectural and construction end markets. And you know, for those the macro component to it. They do have exposure to europe and the uk and so, the stocks gotten beaten down hard the last couple of days. Down i think 12 or 13 , although we think over the long run, theres a more of a selfhelp kind of story here. The transition toward the Subscription Business Model away from the traditional model. You guys have seen several examples including adobe cadence. These models are typically they improve the Business Model and visibility, so we think that will trump the macro concerns right now. Did you actually add the positions during this brexit sell off . We have. Started to. It does feel to us like you guys were talking about the market being in a a range here for the next couple of months. That feels right to us as well. Were being method cal, be but thats take b a beating. This one, you also talked about when you were at your pred e sor firm. Interestingly, yelp got a pop after linked in. How do you get there in. The way we look add stocks is we try to anticipate earnings power for growth companies. We look at three, four years out trying to understand how big a business can be and where the operating leverage might be. So when wu look at yelp, we think about 3 in earnings power towards the end of the decade, so 2019 or 2020. A lot f people left it for dead. They have a new cfo who we like a lot and theyre pitting the Business Model away from advertising towards you know, being more of a transactional platform, which we think is a transformational event for the company. Its a great opportunity to buy. Go back a year and change and i was sag sell with both hands. Totally recreatable by the likes of a google or facebook or whatever. Whats your view on that . I look at it as turn around play, maybe an opportunity to jump in here nor a trade, but not something longterm that i want to stick with. I think the narrative has been popular and become loud the last 12 months. I would say yelp has done a great job pivoting the business away from desktop to mobile. Most on their mobile app, which is very difficult. They have the scaled review platform and now theyve got the mobile, which means that google doesnt have a chance to touch that traffic. And you also like paypal and this is one that has significant uk exposure. 13 of revenues according to s p. So how do you walk through that . How much of a risk is that . Sure, so we love paypal. The company spun out from ebay a little less than a year ago. The business has grown about 20 since then, so we think its really attractive. While the streets wrestling with how to think about it, operating leverage, i think what weem underappreciate is that this business is 18 years old. Its not easy to build a network like this with today 14 million merchants and 180 million users. You hear apple talk about apple pay, which has been pretty unsuccessful. We think papal is a really strategic asset. Are they going to take it though because of whats going on in the uk . It could slow down some, especially in the uk, but just to point out the total processing or payment volume or paypal has been growing about 30 year over year. 85 of payments are still check and cash, so theres a long runway for growth for this company. That just overwhelms whats happening in the uk today. Great to see you. Thanks for coming by. Gill simon. No. I understand what davids saying, but you wonder, goldman sachs, i think was representing sales forand potentially, doing something this linked inin deal. You wonder if its one of those assets that somebodys going to have to grab. Wouldnt be an expensive deal. Probably talking about a 3. 5, 4 billion deal. The stock goes higher and with the takeover premium, which is probably pretty high, youve got to like the stocks. This coupled with a fact probably a 14 short interest. Really difficult name to try to play from the short side. So, ed, take a look at this. Youre looking at a live shot. David cameron speaking right now. At a press conference in brussels following his meeting with eu leaders. Plus, check out shares of nike. They are town 6. 5 in the after hours session. The first stock to report earnings since the brexit vote, so what will the krrk eo say . All the details later on this hour. More fast money straight ahead. Thank you. Ordering chinese food is a very predictable experience. I order b14. I get b14. No surprises. Buying business internet, on the other hand, can be a roller coaster White Knuckle thrill ride. Youre promised one speed. But do you consistently get it . You do with comcast business. Its reliable. Just like kung pao fish. Thank you, ping. Reliably fast internet starts at 59. 95 a month. Comcast business. Built for business. Welcome back. Stocks surging, closing at the high of the day. All major averages posting, wiping out yesterdays losses. Nike shares, the Conference Call is underway. We will hear the latest on what drove the quarter. Plus, how the largest pizza chain in the uk handled the brexit. Dominos ceo Patrick Doyle will join us in an exclusive interview, but first, the bond market. Leaving many on the hunt for yields. But if history serves correct, that could be a hibuying opportunity for stocks. Breaking it down is a man whos always on the hunt. Hi, dom. Well, thank you, melissa. More like on the prowl, but brexit has been a boom for treasuries. Bopds rather as investors look for safety. Yields for a tnyear treasure rirks now fouryear lows hovering just below the 1 pbt 50 area. However, the picture changes when look we look at the stock market. You get paid more to hold stocks than bonds. Now, this is only happened three times in the past 5 years of course with bonds, your money the guarantee, not so the case with stocks. Stim, our data team looked at the as couple of times we saw a period in wr the s p 500 dividend yields traded above the tenyear u. S. Treasury note yieldened it turns out it signals a possibly good buying opportunity. During the depths of the financial crisis, we saw the s p gain around 10 during that time frame. We saw that version at this point for yields. Not admitically, it was a very volatile time and that time period incompassed a big bounce off some big lows during the crisis. Then it was april of 2012 and 2013. The s p rose 17 during that span. This year, on the 7th of january, we saw the dip and since that date, the s p has gained around 4 even with all the brexit mayhem. So, could it be a signal for markets ahead, back over to you. Not sure, see what happens. Thank you, dom. David, what do you think . This is certainly backs the whole safety kind of theory. Look, the biggest concern i have and i talked about it with tim the other day in the car ride back, you look at the earnings or revenue. 45 of the s p 500 revenue aggregate rev new comes from exports, so if this brexit thing really blows out, it could be an issue for Earnings Growth longterm the real risk is earnings. That would be concerning for he and could put a plague on some of the current valuations, so again, whatever percent yield. Youre also looking at Downside Risk in stocks if that comes into play. But the assumption s that something dramatically changed on brexit. I think something changed for markets. Did it change at that point for Global Growth . We know where we are in terms of the tenyear yield and the periods dom pointed out, dom was on the trowel, by the way. On the hunt. November through may of 2008 was a brutal, brew it will time and i bet most people that were long in november might not have had the stomach to hold through those lows in march. So it could also tell you were getting to a nasty place in the road. I think lower for longer is with us. I would pause at that because lower for longer. That things have changed. Now, we think that the fed is going to be on the sidelines for much longer than before brexit. And we know the Central Banks will probably act to counteract whats going on. When easer monetary policy, if thats even possible. Dominate or whats his nickname . . Domino. Chee on this. Mentioned, all that stats are great except wh they didnt mention is 12 trillion now negative in yielding. That throws a Monkey Wrench in the whole works. Thats right. On the hunte, which by the way was a Lynyrd Skynyrd song. Second side. I know where you are. Baby im on the hunt. Confidence in Central Banks. People are starting to lose confidence. In a way thats really potentially could be very, very negative for this market. And im not against throwing a towel on it. Yeah, you are. Coming up, after hours session, well hear straight if from the ceo, plus, tech and politics. Breaking bred. Tim cook holding a Fund Raising Event for paul ryan today. Offend the democrats. Well tell you what nancy pelosi has to say when fast money returns. The ibm cloud has tools that can help see dark data and put it to work. Hello, my name is watson. Working with watson in the ibm cloud, we can help an Energy Company predict pipeline corrosion. And help a startup to use social data to predict market trends. Now businesses can get more out of their data. Thats what the ibm cloud is built for. Amazing sleep stays with you all day and all night. Sleep number beds with Sleepiq Technology give you the knowledge to adjust for the best sleep ever. Dont miss the lowest prices of the season going on now, with our bestbuy rated c2 Queen Mattress now only 699. 99. Know better sleep. Only at a sleep number store. Nike down by 6. 3. Theyre about to give guidance. In the meantime, weve got to turn to another global brand. Knows. The largest pizza chain in the uk with over 900 locations. How are they changing their business to deal with the brexit . Patrick doyle, president and ceo joins us now. Always great to see you. Thank you, meld, appreciate the invitation. Gl walk us through how your business is impacted by brexit . What you get your ingredients. Yeah, i think the changes are going to be pretty immaterial. If first of all, start with the fact that our uk business is publicly traded master franchise. So, weve got a public business over there as you said over 900 stores. Terrific leadership. Certainly, the effects movements have some effect on us as the pound got weaker. That would impact our earnings here, but the majority of the xhod kis theyre using in the uk are from the uk. So it doesnt directly impact their business. And frankly, you know, im feeling just fine about all this. When you look at the referendum and what came out of it, you know, really, youre looking at a country in the uk that never joined the common currency. That kept the pound. They never joined the areas, so you still need a passport to get in and out of the country. And you know, so you had a referendum, they voted 5248. And i think the direct Economic Impact other than the Market Reaction to it is ultimately how it affects trade. And i think at the end of the day, thats going to be very nominal. I think the key thing to keep in mind for trade perspective is that the eu, the remainder of the eu runs a 00 billion euro surplus with the uk. So, you know, if they do wind up exiting, i think youre going see you know, free trade is going to continue to be the rule, because it just wouldnt make sense for the eu to go after it. Are you concerns at all about the impact on growth in the uk . I mean, there are some calls that the uk will be in a recession by 2017. How will that impact your Consumer Base or is it the kind of food you migrate to away from higher priced fast casual food. I think were recession resistant. Were not certainly recession proof. The economy slows down, you know, we might feel that. But the most important thing for us is always employment. If the more people are imemploy employed, the more theyll eat dominos pizza. Unless you see significant change in employment numbers in the uk, i dont really think its boing to affect con sunlgts. In the meantime, what im hoping is that everything is staying home, watching the beeb and ordering more pizza. On their mobile app. I want to ask you about whats going on in the united states. Yus want to ask you what the trends are. Especially come off the quarter and what the competition looks like. Some are pointing to pizza huts promotional activity as challenging your market share here. We were up over 6 rolling double digit up the previous year. We had a terrific First Quarter in the u. S. And we feel good about where its been. Obviously, i cant get it to the second quarter. We havent released, but as it relates to the referendum, i dont think youre going to see a terribmaterial change. The only thing that concerns me in the u. S. Is the Market Reaction and whether or not theres enough concern coming out of that, but the basics of the vote im not that concerned. Patrick, great to see you. Guy wants to apply for a job. I know. Keeping his position open. Okay, thank you, patrick. Look at that. Look at that. You could probably lower the wages there. Big dude. Trade on dominos. Dominos trade is expensive. Just downgraded the entire space. 135 price target. You look at this stock. Had a huge spike early in the spring. I think against 120, you own the stock in july i believe 22nd earnings release. Seeing a lot of defensive action as trader made a 2 million bet against industrials. Mike khouw is is in massachusetts at his favorite chinese rest with all the action. Thats when we see three times the average daily put vol umy the industrials e trk f, the trade you referenced, september sob bought 20,000 of those. I think taking advantage of the fact that we got a buffermp in market, lowering so they can hedge against a downside move of as much as 12 by september expiration. Thank you very much, mike, with that. Trade on the industrials. Well, you know, i think there is certainly many name, most of the desk seems to like, but i think the possibility, why not have protection to the downside. We talk about it all the time. Individual volatility as well as these various indexes, this, to me, could be more protective than negative. Quick. Im with you. We saw buying today. A lot of short coverage, but i agree, protection and i think its a good trade. Full show, 5 30. Is tim cook making enemies in washington . Why the ceos move to host a fundraiser for House Speaker paul ryan could be rubbing democrats the wrong way. Plus, nike is giving guidance now. Shares are still down, but off their lows. Much more fast money right after this. Plane flown by this , who owns stock in this company, that builds big things and provides benefits to this woman, with new cabinets. They all have insurance crafted personally for them. Not just coverage, craftsmanship. Not just insured. Chubb insured. Great time for a shiny floor wax, no . Not if you just put the finishing touches on your latest masterpiece. Timings important. Comcast business knows that. Thats why you can schedule an installation at a time that works for you. Even late at night, or on the weekend, if thats what you need. Because you have enough to worry about. I did not see that coming. Dont deal with disruptions. Get Better Internet installed on your schedule. Comcast business. Built for business. Tim cook and paul ryan have had the most polar sighing in brexit history. Tim cook like all ceos, now, that lawmakers on capitol hill can have a big imablgt on his business, so he wants to have a Good Relationship with these men and women and thats what cook was doing today. Hosting a private breakfast with Speaker Paul Ryan right here in menlo park, california. He was here to raise money for ryan as well as a raising committee to elect other republicans. Some on the other side of the political aisle not so happy about this private breakfast. House minority leader, nancy pelosi, telling the San Francisco chronicle, quote, poor tim. What a nice guy he is, but somebody gave him bad advice. He probably doesnt think that much about politics. Now, apple declined to comment on pelosis iraqs. Importantly, we should note cook does contribute to both side of the isle opening up to both republicans andreas. As the what the street think, i checked in with jean muster. They want to know apple has direct line of communication with direct members of the gop, especially at a time when apple and donald trump are are at such odds. Thank you very much. I know that all Companies Need to be political to some extent, but as a shareholder, i want this behind closed doors. But so much of what anning has been doing has been in front of closed doors. I think you know, at the risk of poo pooing this whole story, i just think hes doing what hes doing on both sides for a company with the fbi and san bernardino, been in a lot of trouble. I was going to say its amazing how negative everybody was towards apple and how much this was goin sell off the stock. And yet it seems tim cook is just putting themselves out there and trying to do the best to be as transparent as possible. Its one of the Largest Company around. Of course hes going to be out there ond both sides trying to figure out whats right. No question. I look at nancy pelosi, its irresponsible. Nike stocks tanking in the extended hours trading sessions. Disappointing sales numbers. Courtney reagan got the late fres the Conference Call. Did beget guidance . Ha little bit ch on the call just moments ago, nike saying fiscal year 2017 outlook will be in wlin the Prior Guidance given and for the current quarter, the growth margin will contract, but return to growth in fiscal 2017. Parker saying the company feels really good where we are in the long run from a growth standpoint. Confidence in those projections that were given back in october, but weak sales and disappointing future orders still dragginging shares down after hours. Theyve come back just a little bit. Company executives holing the call and just beginning to take the questions from analysts. North america sales and orders came in short of expectations. Margins took a hit from excess nike inventory. In fact, inventory of 12 . Now, the stronger dollar also denting earnings results. Sales in europe were light while china and japan, a little stronger than expegted. Nike looking for strong, basketball shoes in north america in the coming months and of course, offering congratto lebron james and cavs on the championship. James, a key nike athlete. Nike also looking towards the rio limbolympics. A lot of discussion about that could add in the coming months. Thank you for that. You can see there, shares are off of the session lows. Largely in line guy for 2017. I guess its good enough. I think given the stock, the valuation, i think its reasonable. Given the fact people are probably misinterpreting the inventory numbers, i think you buy the stock into this weakness. Coming up, final trade. Here at td ameritrade, they work hard. Wow, that was random. Random . No. Its all about understanding patterns. Like the mail guy at 3 12pm every day or jerry getting dumped every third tuesday. Jerry 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. Td ameritrade. Everyone talks about what happens when you turn sixtyfive. But, really, its what you do before that counts. See, medicare doesnt cover everything. Only about eighty percent of part b medical costs. The rest is on you. Consider an aarp Medicare Supplement Insurance Plan insured by unitedhealthcare insurance company. Like all standardized Medicare Supplement Insurance Plans, it could really save you in outofpocket medical costs. So, call now and request this free decision guide. Discover how an aarp Medicare Supplement plan could go long™ for you. Do you want to choose your doctors . Avoid networks . What about referrals . All plans like these let you visit any doctor or hospital that accepts medicare patients, with no networks and virtually no referrals needed. So, call now, request your free guide, and explore the range of aarp Medicare Supplement plans. Sixtyfive may get all the attention, but now is a good time to start thinking about how you want things to be. Go long™. Zblmpblt breaking news on David Cameron. Will . Thank very much. Prime minister David Cameron just finished his final press conference after the eu summit. Heres what he had to say about what his fellow leaders thought about monumental decision the british people made to leave the european union. There was universal respect for this decision and this decision will be carried through in britain and is understood it will be carried through here in the european union. But of course the tone of the meeting was one of sadness and regret. And he also in fact ended by saying it was a sad moment for him. As well. On the other line, the uk is leaving the upen union, it will not and shall not turn its back on europe. The final remarks of Prime Minister David Cameron here. His final european summit from brussels. Thanks so much. Live on the ground for us in brussels. Lets talk about how this in conjunction with some of the other afterhours sets up for tomorrows session. We had nike on the stock front, but in terms of whats going on the geo political side, the airport. Turkey is disturbing because it gets tat heart of the terrorism issue. Thats a negative. All right. Its very sad. I say you know, you dont know whats going to come of it. Look at the airlines. You want to be more insulated. We didnt get a chance to touch on it. Back to volatility. Its right at the 2000day movinging average and thats held for a long time. So i think thats worth watching. Nike is starting to raise back up a lilt bit. Still negative, but from 6 down now about 2. 5. Yeah. How do you think we need to encourage more . Youre going visit 2025 and the s p which is probably what, ten 11 from here m i think youre going to see that thursday and it comes down to will the bulls push it back there. I think it is a critical close this thursday. In terms of the technical and the terms of where we go from here. Tomorrow, were getting speaker. For thes. Going to be a positive. Going to be good stuff. Quick note herement tune in to cnbc 7 00 p. M. For a special report on the markets wild ride with Brian Sullivan and yours truly. Tune in for that. Time for the final trade. Pete. Well, i love the way gill lead traded today and throughout the day. The fdas number, the hep c drug, this stock is too cheap. I think its going higher. Ole drk is the name we pushed back. Now 65. This is a name thats going to benefit from the apple upgrade cycles. The Technology Behind it. Tim. I like paypay. I think the Digital Payments are in their favor. Who cares about some of that competition. Guy. Great job by karina freeman. I have great air product, number two and from 15 feet and in, i can drain it with a best of him. My basketball game. In you have to talk about it. Sxwr. Final trade. You ready, pete, because youre going to like this. Nike and the earnings. Nike and the earnings. Again, our thanks to bb and meantime, mad money starts right now. My mission is simple. To make you money. Im here to level the Playing Field for all investors. Theres always a bull market somewhere. And i promise to thhelp you fin it. Mad money starts now. Hey, im cramer. Welcome to mad money. Welcome to cramerica. Other people want to make friends. Im just trying to make you money mind job not just to entertain but to educate and teach you. Call me at 1800743krns or tweet me jame cramer. Any kind of rebound like the dow rising 269, s p climbing 1. 78 , nasdaq pole vaulting