Transcripts For CNBC Mad Money 20130820

People. You dont know of it if you grew up staying awake on hefty amounts of Maxwell House as i did, but monsters is one of the two dominant plays, the other being red bull and the de facto way for those who want to go the extra mile to do so whether they should or not. In a year where Healthy Eating has been a sentence as well find out later in the cookout portion of the show, this ones been a banshee despite articles, hey, what can you do . People still smoke for heaven sake, theyll pound energy drinks. The Convenience Store sales, they are off the charts next up is apple and this stock made a comeback of late because of purchases by noted investor carl icahn has surged thanks to innovation. First the best desk top, still is, then the ipod, the iphone, finally the tablet. We know that the principal increase occurred when steve jobs was alive and many people think its peaked. Though our chartnado chartist who appeared on chart week last week begs to differ. And so far shes been very right. Fourth is regeneron, which i hope youve caught every penny of this stock because the run dates back to when the ceo came on this show. He was our first guest, 2005, and talked about his revolutionary new drug for Macular Degeneration for the eye. And anticholesterol medicine. I believe it could be a billion dollar blockbuster. And its got proprietary heart and autoimmune medications. The moves been augmented by takeover talk. And i believe this stock cant stay at these levels. Even as i do agree that as a healthy pipeline of innovative medicines and weve liked it. Netflix has rallied 1,533 despite doubters the whole way and still gets nowhere near the respect it deserves. Even as there are about 30 Million People paying fees, its been a ground breaker in the way we consume entertainment, its also got a house of cards and i dont know that orange is the new black. Thats a tough one, women like it. About 200 points ago, i suggested that apple buy them. They didnt bite. But carl icahn did and the legend continues. I think netflix is still a buy, but the stocks are expensive and like amazon and tesla no longer has priced to earnings multiple moorings. Next up, this companys stock isrg is up 1,445 since it started trading. Its down hideously this year over questions about how doctors are using the companys product. I dont have much comment other than you should read my colleague herb greenbergs stuff on cnbc. Com. He has nailed this issue nine ways to sunday. I never go against a greenberg red flag and today in this one is no different. Salesforce. Com is the eighth best performer and we know from the ceos multiple appearances on the show that the 1,341 gain the fact that crm has pioneered using social, mobile and Cloud Technologies to become the premier Software Company of our era at a time when all areas are innovating. I do not think things have changed. The last stock thats beaten googles 900 gain is capital oil and gas which has rallied. Its been the most prolific producer from the largely pennsylvaniadominated field and a low cost producer of the fuel. Its been able to Beat Estimates routinely as natural gas has gone down over the years. Consider cabot an innovator, more success than any other Resources Company during the period since google came public. So heres the bottom line, yes, indeed, we have to wish google a happy ipo birthday and thank it for our many, many happy returns. But the real take away is that there are actually stocks that have beaten this remarkable companys 900 gain in that period. In each case, these were accessible gains for many regular people to have and amazingly, many of them, including google may have much further to go morgan in california. Morgan . Caller mr. Cramer, you are a gentleman and a scholar. Thats always the highest form of praise. Go ahead. Caller my question is about a local company, its a favorite of mine. So i might have some bias here. Its pandora. I have some calls and im not hedged. Im coming in to earnings, theyre doing well right now. I need some advice. You know, i understand. I was listening to it this week with my buddy michael hale and i was saying this pandora system. I dont know, i think the shorts have misjudged it. I think it has staying power. I think it can still go higher. Wow. How about josh from wisconsin, please, josh . Caller hey, big trucker booyah to ya. How about a nice road trucker jesse booyah to ya. Caller very cool. Ive been holding on to apache for quite a while and i like the stock for quite a few reasons. But every time things keyed up over there in egypt and its bad, i mean, im really sorry about those people over there, but the stock gets massacred like today. Right. Caller should i hold it or sell it . I dont know, i feel exactly like you do. Should i talk about apache . The human life lost there is amazing. Apache is an inexpensive stock that seems to want to get cheaper because people just cant get it in their heads that maybe these egyptian fields will be protected. It would be at 100 if that field was in any other country other than egypt. Frank . Caller how you doing, jim . How about you, frank . Caller good. I recently purchased shares from broadcom after reading good reports. Its been steadily dropping and its past the year low today. I would like to buy some more to average out my lows. I dont know, stephanie link, we just are so glad we sold the stock higher. Ive got to tell you, i agree with you, it has gotten cheap. But cheap gets cheaper in this particular market. Goog, happy ipo birthday. 900 in nine years, hot stuff, but there are other stocks, nine other stocks with even better gains the good news, they got more to run hallelujah google, mad money will be right back. Coming up on fire . Cookouts with cramer is heating things up all week. Closing out the summer by finding this markets hottest themes. And youve got an all access pass to this picnic. Tonight, these Health Conscious brands are bringing organic to the grill. Can they get things cooking in your portfolio . And later, take a dose, looking for prescription for profits . How about a company thats worked to develop each of the top 50 selling drugs worldwide. Cramers putting newly minted ipo under the microscope for further examination. Dont miss his exclusive with the ceo. All coming up on mad money. Dont miss a second of mad money. Follow jimcramer on twitter. Have a question . Tweet cramer madtweets. Send jim an email to madmoney cnbc. Com. Or give us a call at 1800743cnbc. Miss something . Head to madmoney. Cnbc. Com. Every day were working to be an Even Better Company and to keep our commitments. And weve made a big commitment to america. Bp supports nearly 250,000 jobs here. Through all of our energy operations, we invest more in the u. S. Than any other place in the world. In fact, weve invested over 55 billion here in the last five years making bp americas Largest Energy investor. Our commitment has never been stronger.  every day were working to and to keep our commitments. And weve made a big commitment to america. Bp supports nearly 250,000 jobs here. Through all of our energy operations, we invest more in the u. S. Than any other place in the world. In fact, weve invested over 55 billion here in the last five years making bp americas Largest Energy investor. Our commitment has never been stronger. Things are heating up on mad money. All week, im looking at this markets hottest trends. Its in our cookout series. And tonight were going 100 organic. Regular viewers know ive been a huge backer of the organic food theme for years now. Organic food is a 63 billion Industry Worldwide growing at 9. 5 clip here in the United States alone. Incredible considering the food plays tend to be slow and steady growers 2 , 3 , not ultra fast ones, but the real source of the strength has less to do with the numbers and more to do with an intangible, the culture, which is why ive fired up the grill for all you folks at home in order to get everybody on the organic bandwagon. Nearly 36 of American Adults over the age of 20 are overweight or downright obese. I mean, thats bad. Were in a desperate fight against fat. And Everybody Knows it, especially the younger generation. Thats one of the big reasons why increasingly, people care more and more about what they put in their bodies. I know this from my own young adult daughters including my vegetarian daughter who forced me last night to eat vegetable dumplings. And these days, eating healthy isnt just about looking at the calorie count on the back of the packaging or eating fewer servings or going all atkins or cutting out carbs. Not just about ingredients in your food. All these things matter. For the truly food conscious today and this has become a large cohort, its about the providence of the ingredients. The way in which the fruits and veggies and grains were grown, the way the cows and chickens and pigs were raised. Is your meat shot full of hormones and unnecessary antibiotics . How about gmos, were you coffee beans picked personally and paid for using best fair trades practices available . And so on . And thats a lot to keep track of. And its very difficult to go to a regular supermarket and put every single product youre thinking about under the microscope. Lets see here, what do we got . Oh, look at this. Oh, wait a second. That was made okay. Anyway, doing doing that for your entire diet is a fulltime job. Give me a sonar scan of this orange, which brings me to the first group of stocks i want to talk about. The organic Healthy Eating grocers. Were going to buy our ingredients in the new world. Many marvel at a place like whole foods can get away charging with such socalled outrageously high prices for its food hence the old saying give a man a fish, he eats for a day but for dedicated and natural food crowd and people looking for goodtasting food, thats also good for you, whole foods has something incredibly valuable. For everybody and its called trust. You go to whole foods and you know everything in there has the companys Good Housekeeping seal of approval and these guys make it very difficult to get your food in their stores unless it meets their exacting standards. And lets be sure of something else, by the way. When we actually measure the prices whole foods charges, they actually arent all that much different or higher from the other guys on a whole variety of products. They actually judge it by a basket and the baskets not out of line at all. So you got the organic crowd, the other cohort, wealthier people willing to pay up for food which is a cut above what you can find in terms of quality. And given the tale of two cities nature of our economy lately, those at the top are doing just fine, the kind of consumer who shops at a place like whole foods, i say, hes far from strapped. Thats why i want to go through the organic grocery names and after the break, well grill up the actual organics and natural food makers. Lets start with whole foods. Its the biggest and best run. Even though the organic cohort has been on fire, whole foods is only up about 16 for 2013, roughly in line with the s p 500 and recently the stocks been clobbered falling to around 53. The reason, whole foods reported in the last day of july and the company dlir delivered a quarter considered underwelming and the next year was only in line. Oh, the problem with in line. Its a momentum stock, people want to see the company beat the numbers and then raise its forecast. Its got to beat and raise the other issue is that the company said the samestore sales were tracking. So far in the current quarter, most people would kill for that. You have to understand whole foods is up against tough comparisons. Last year in the fourth quarter, it saw 9. 7 increase in samestore sales and these fabulous numbers are what the companys now being graded against. Little unfair when you think about it. In my opinion, this weakness in the stock represents a buying opportunity. Whole foods has the ability to expand to 1,000 locations, triple the store count. The Company Plans to add 33 to 38 new stores next year, 8 or 9 growth. And the out years further down the road, whole foods could add as many as 50 new locations per year. Meanwhile, the companys old stores, ones open for more than 11 years, theyre still performing quite well, 5. 8 samestore sales growth. That is fantastic. That is great, great growth. Can you tell which one is from whole foods . I dont think either are. Anyway, right now whole foods is selling for 30 times next years earnings with a longterm growth rate of 19 . Thats not too pricey, only 28 times earnings when you back out the 6 per net cash on the Balance Sheet money used for buybacks, dividend, you can get a high multiple. Always remember the best of breed stock never comes cheaply and whole foods is no different. What about the fresh food market tfm for you home gamers. Heres another organic supermarket. 130 locations, mostly in the southeast, growing to 500 stores. Tfm trades at 28 times earnings with a 20 longterm growth rate. But im somewhat concerned about the companys regional and national potential. Its going to be tough for a fresh market break into the northeast. The Company Reports at the end of august, well revisit it then. If the results are spectacular, hmm, goes higher. Right now, im still saying go with whole foods. How about the recent ipo and the organic grocery space . These have been on fire. Are they worth owning . Natural grocers, the longest name of any company ive heard of became public more than a year ago up 119 since the ipo. Whoa and while the 68 store chain is expanding rapidly, i say caching caching. Then theres fareway, came public in april, its now come down 6 points. It sells an exorbitant 91 times next years numbers. If the market keeps getting hit, then high multiple stocks like this one will get killed. This stock goes lower that said, i misjudged the strength of the stock since it became public and you can question my reservations. I cared about relevant valuation while the buyers seemed to care about how great it is, and it is, to shop there. People getting married in aisles and stuff. And then we have the most recent ipo in the group Sprouts Farmers Market became public a little less than three weeks ago and jumped 122 . This areas roaring in the first day of trading. This deal, had a double. As long as you recognize this is one expensive stock. Heres the bottom line. When it comes to the organic grocery aisle, you want to stick with the best of breed which is whole foods. And please, im begging you, ring the register on at least some of your shares of these recent ipos like fairway and sprouts. You want to keep playing with them, at least only do it with the houses money. Stay with cramer. Still to come, seconds anyone . Grab yourself another plate because cramers giving you another heaping portion of Innovative Companies including one stock up nearly 25 that could be ready to move much higher. [ kitt ] you know whats impressive . A talking car. But ill tell you what impresses me. A talking train. This ge locomotive can tell you exactly where it is, what its carrying, while using less fuel. Delivering whatever the world needs, when it needs it. After all, whats the point of talking if you dont have something important to say . Just by talking to a helmet. It grabbed the patients record before we even picked him up. It found out the doctor we needed was at st. Annes. Wiggle your toes. [ driver ] and it got his okay on treatment from miles away. It even pulled strings with the stoplights. My ambulance talks with smoke alarms and pilots and stadiums. But, of course, its a good listener too. [ female announcer ] today cisco is connecting the internet of everything. So everything works like never before. [ female announcer ] today cisco is connecting the internet of everything. Youre not made of money, so dont overpay for boat insurance. Geico, see how much you could save. With labor day just around the corner, its time its time for another cookout. Mad money style. But cramer only cooks with the finest natural and organic ingredients because the natural food space which has been on fire all year has pulled back recently. And i think now is a good time to talk about how to play it. Weve already covered the organic grocery space. Now its time to talk about the companies that actually make all the hippy dippy natural and organic food stuff. Remember, we like this theme because consumers in america, especially younger consumers are increasingly conscious about what they eat. Not just in terms of whether or not its fattening, but where it comes from and where the ingredients raised naturally, without all sorts of chemical junk added to them. So we want to compare three of the main organic natural food stocks. Haines celestial, the largest player in the space with a host of brands you might recognize like celestial seasonings, garden of eden and the greek gods yogurt. Then theres the smaller, annies which is focused on selling healthy meals, snacks, dressings, condiments, mac cheese, the right kind. Last but not least, theres white wave, the organic and natural play spun off from milk titan dean foods, sells organic Dairy Products such as soy and theyve got the almond milk. Coconut milk. I mean, look at this stuff, theyve got true moo. These are alternatives. I want you to think silk brand. Thats what everybody likes including my kids. How do we decide among these Healthy Eating names. Lets start with white wave here. This is a stock that until the recent positive preannouncement had been trading sideways since the spinoff. Now people are realizing there are terrific growth drivers. The premium dairy business organic milk is growing in the mid single digits. However, the area where white wave really excels is plantbased beverages. This is weve got soy, almond milk, soy is really the one thats smoking right now. Soy milks been around for a while, but almond milk is the hot new thing. Which is why its sold double digit growth. Although i think its too sweet unless you like cereal. Even sweeter than trix. And the company has a strong dairy and nondairy creamer biz. They are still going up against the big guy, nestles. Then theres haines. The growth is about expanding further into baby food and new products that can be picked up in more and more supermarkets. Already has a killer position in whole foods with a ton of aisle space. They do know what to do. Theyre the unparalleled experts. I think theres more room for the company to expand. How about annies . Here the company with the fastest growth in the cohort, but annies is the smallest of the three players. Theyre growing off a small base. Coming out of new categories like this microwavable mac cheese as well as frozen foods but dont have the breadth yet of hain celestial. Next we have to consider geography. White wave, more more international exposure. 16 of the sales quite strong r strong for them and hain has almost 35 of the business coming from europe. Most of the united kingdom. Struggling in the economy, but you know i believe europes got a genuine turn going on, that could mean terrific upside for this company. It also happens to make delicious veggie dogs. Lets grill some of these up, do you mind . While im talking, do you mind im kind of a celebrity chef, you know. Thats what they say about me around the shop. There are food makers, so we need to be considering the commodity consider the issue of commodity costs. Right now they say they arent seeing much in the way of inflation for the main cost inputs. The company has expanded, on their hottest product. Their stuff is dirt cheap to produce versus moo cow milk, hain celestial and annies have to contend with more input inflation, but their products are more proprietary than the dairy alternative lineup. Meaning more ability to pass higher costs on to the consumer. You know this is not that much of a differentiated product, right . What else . Annie reported the last a week before last. I interviewed the ceo recently and the miss off a 15cent basis. A little weaker than expected revenues. Stock got dinged for about a point because management reaffirmed the guidance and its got accelerated Revenue Growth posting in line and stronger than expected sales. Not a spectacular beat because only because they already preannounced to the upside. Youre going to get that kind of action. Going forward, hain celestial reports this wednesday. Ive got to tidy up here. Oh, my, i didnt know you had meatless jumbo dogs out here. They report wednesday after the close. I think hain could do quite well. Again, weve got to be careful after this huge run. Plus, its up 35 for the year. Thats trounced a lot of bears. If you want to buy this one, put on a partial position before the quarter and buy more after the results come out. That eggplant has been on there for a little while now. Now, of course, that leads us to a big question. Which one of these healthy food plays should you actually buy . And the answer to consider well, dont want to just talk about the companies, we want to talk about the stocks. The stocks often separate from the actual companies. Right now, annies, for example, it is selling for 36 times earnings with a 22. 5 growth rate, meaning the stock is trading at 1. 7 times the growth rate, thats much more expensive on a priced to earnings basis and growth basis than either hain or white wave, although annies is expanding the share of the supermarket aisles in a fashion that says if the stock gets hit, you might want to be a buyer. Now that dicey tape, hain sells for 25 earnings. Trading a little less than 1. 5 times growth. White wave sells for 23 times earnings, okay, with a 17. 5 growth rate meaning its trading at 1. 3 growth. That makes it the cheapest of the bunch. Yeah. White wave. A lot of guys out there. The way i see it, if the smaller less established player like annies gets a premium even though it reported a somewhat disappointing quarter. It deserves to go higher. As for hain celestial, undisputed best of breed in the space. It could easily see it trade 30 times earnings over the next few months. A 20 increase if the quarter they reported is any good. Im going to reiterate that i think you should wait to see the quarter because, well, theres guys with big mouths out there who want this stock lower so they can cover their shorts and they tend to surface immediately after the quarterly report, even the great ones. So heres the bottom line if you want to play the Natural Organic food stocks, i think white wave and hain celestial are the ways to go with hain, after the close, buy some before the quarter and wait to see if you can buy more into a post earnings pullback lets talk to robby in new jersey. Robbie . Caller jim, how are you doing . Big jersey city jim cramer booyah. Im liking that multiple syllable booyah. Whats going on . Caller best state in the world. You know, in light of the negative media views toward red bull and monster and consistent fda investigations and lawsuits, what are your thoughts on Monster Energy given the relatively low p e well, i dont think theres viable potential. Unless dr. Pepper decided. No, i do not think pepsico or cocacola is interested in buying monster. Monster is one of the greatest performing stocks of the last nine years. Its an expensive stock if the fda does something and cheap otherwise. I think its fine. Im not a momentum chaser. Im more of a value guy and monster is not a value play. How about we go to jim in florida. Jim . Caller booyah for boca raton, sunny florida. Whats happening . Caller pardon my cold. But listen, i want to know about conagra. Should i put my foot on the brakes, coast, or my foot on the accelerator . I like conagra, im trying to decide if my Charitable Trust should be a buyer. Done a great job, yields about 3 , did that good raw buy of raw corp. , i do think in the end you might be able to get that stock at 33. If you guys dont mind, im going to make it so that the hot dogs dont get completely scalded here. No, no, summers not over yet, okay. Its just heating up. Its cookout time on mad money. Sitting at my table, how about yours . Stay with cramer. Tomorrow, kick off the trading day with squawk on the street. Live from post 9 00 at the nyse. This is a great thing for those of us who need solitary quiet lives. Anncr expedia is giving away a trip every day. Where would you go . Woman greece. woman 2 i want to go to bora bora. man id always like to go to china. anncr download the expedia app and your next trip could be on us. Expedia, find yours.  a quarter million tweeters is beare tweeting. And 900 Million Dollars are changing hands online. Thats why hp built a new kind of server. One thats 80 smaller. Uses 89 less energy. And costs 77 less. Its called hp moonshot. And its giving the internet the room it needs to grow. This is gonna be big. Hp moonshot. Its time to build a better enterprise. Together. In a we believe outshining the competition tomorrow requires challenging your Business Inside and out today. At cognizant, we help forwardlooking Companies Run better and run different to give your customers every reason to keep looking for you. So if youre ready to see opportunities and see them through, we say lets get to work. Because the future belongs to those who challenge the present. It is time. Its time for the lightning round on cramers mad money. Say the name of the stock, i tell you whether to buy or sell. Play until this sound and then the lightning round is over. Time for the lightning round on cramers mad money. Im going to start with susan in california. Susan . Caller hey, cramer. I bought salesforce in june at 38. What do i do . Do i keep it . Do i sell . Youre fine. Youre fine. Buy, buy, buy this quarter isnt the blowout quarter. I think the companys future is in good shape. Its got the mobile, got the cloud, its got social too. Lets go to jim in michigan. Jim . Caller hi. I wanted to find out about Spartan Stores sptm. I dont know, it feels to me about like sysco. Lets go to sonny in illinois, sonny . Caller booyah, jim, love your show. Thank you. Caller ive got a question for you. I got my eye on this company that had a solid Second Quarter results reaffirmed 2013 guidance, aes, should i pull the trigger . You know, i look at aes and look at aep which has got a really good yield and i think is doing very well and i want aep lets go to anthony in michigan. Anthony . Caller jim, let me give you a big shoutout booyah from shelby township, michigan. Ive got to get there. Ive also got to get to grand rapids. Places you got to get to in life. Whats up . My bucket list. Go ahead. Caller jim, my question is with select comfort. I bought it at 23. 65. Theyre a market leader, i need your help with this one. Market leader doesnt cut it. In the end, its like a bed company. Theres nothing strong there. Im not going to get behind this one. I dont see a lot there to like. Lets go to ohio. Pradeep. Caller how are you, jim . Im fine. How are you . Caller im fine. Google buys and then theres a disappointing quarter. I cant recommend it. Lets go to pat in washington. Pat . Caller yes. Go ahead, pat. Caller hi. Hi. Caller thanks, jim, for taking my call. My pleasure. Caller i live in a little town in Eastern Washington on the snake river bordering idaho. We are the gateway to health canyon. And my question to you is youve always said to not have too much in one stock and i find myself having 25 of my portfolio is in costco. Thats a tough one, pat. Caller i love the store, its six miles from my house and the stock i bought very, very low and its done very, very well. I know its tough to pay the taxes. By the way, ive got to tell you i think i would have to 20 even as my Charitable Trust has a big position in costco looking to buy it at 110. Lets go to bob in florida. Bob . Caller hey, nokia, nokia. Im not going to disagree with that. Ive been recommending it like three and change, everyone thinks im a total bozo, but i think the stock can inch up to five without a problem and then were going to caching caching that because it aint that good of a company. And that, ladies and gentlemen, is the conclusion of the lightning round. The lightning round is sponsored by td ameritrade. [ indistinct shouting ] [ male announcer ] time and sales data. Splitsecond stats. [ indistinct shouting ] its so close to the options floor. [ indistinct shouting, bell dinging ]. Youll bust your brain box. All on thinkorswim from td ameritrade. From td ameritrade. Time to have new experiences with a familiar keyboard. To update our status without opening an app. To have all our messages in one place. To browse. And share. Faster than ever. Its time to do everything better than before. The new blackberry q10. Its time. Every day were working to and to keep our commitments. And weve made a big commitment to america. Bp supports nearly 250,000 jobs here. Through all of our energy operations, we invest more in the u. S. Than any other place in the world. In fact, weve invested over 55 billion here in the last five years making bp americas Largest Energy investor. Our commitment has never been stronger. This man is about to be the millionth customer. Would you mind if i go ahead of you . Instead we had someone go ahead of him and win fifty thousand dollars. Congratulations you are our one millionth customer. Nobody likes to miss out. Thats why ally treats all their customers the same. Whether youre the first or the millionth. If your bank doesnt think youre special anymore, you need an ally. Ally bank. Your money needs an ally. I want to tell you about a stock i believe is not getting enough respect. A Rodney Dangerfield name if you will, letter q for your home gamers. Conducting outsourcing Clinical Trials for the drug industry. Theyre the largest player in the space and just as important, they have terrific exposure to phase two and three trials. The later stage trials where the pharmaceutical companies are spending the lion share of the budgets to quickly bring as many new drugs to market as possible. Quinntiles became public in may. 5 the first day of trading. When you consider the strength of so many other recent ipos, doesnt seem like much to write home about. It feels very much under the radar. Quintile reported the first public quarter in august. New net business up 13 for the quarter, meaning the company literally has more business coming its way than it can handle. Its a 5. 7 billion company with a 9 billion backlog and gave you upside guidance for the full 2013 fiscal year. The stock popped 1. 50 on the news. I think it could have a potential to go a lot higher. Last week announced its buying novella clinical that will give them more exposure for oncology drugs and medical devices. Lets take a closer look with the ceo. Welcome back to mad money. Good to see you, sir. Hi, jim. Thank you for having me. Thank you so much. In all your public filings, there is a sense that you do best when a drug Company Gives you when you get a soup to nuts contract. What is a soup to nuts contract in the reorganization mode . We call them fullservice contracts. And i think you know we try to work to commercialization. A fullservice contract is really one where not only do we help you design the trial, we help you execute the trial. And at times, we even help with the post marketing surveillance, the observational studies afterwards. What we like is that full scope of work, then we can take advantage of our 1,600 medical doctors and ph. D. S. In other words, lets say you get approval, youre not done. You can still do i know you said that in your reading in the writings that a lot of these Big Drug Companies dont like the boom bust of sales youre the solution to that. Yes, well, a couple things we do after approval. Increasingly, what you want to see is you want to see a faster approval path. That often means required observational or post marketing type studies taking place and were a real leader in that. We bought a Company Called outcome science and its an organization that literally wrote the book on those practices. Then the other piece is really our commercialization piece. And we are the largest provider of commercial services. Again, we mix the feet on the street, nurse educators, mix them with expertise around outcome and consulting and that combination seems to be very effective for our customers. Now, we know theres been an explosion of Biotech Companies. When they raised money and dont want to partner with the bigger company, you seem to be the preferred vendor for them. Yes, we did about 27 of our new business with smaller biotech. Now the novella acquisition you referenced is an effort to even provide a little bit more Personalized Service that sometimes its perceived big quintiles doesnt provide for smaller tech. For oncology, were going to work with them to provide a little bit higher Touch Service model. One of the things i see, youre up against really great companies. Weve been recommending that. Weve liked these hard companies that take share from. I know you mentioned that you sometimes have to compete on price. Its true. I have to say were really proud of our 1. 36 book to bill ratio this year and our Product Development segment. Thats the segment that competes directly with them. Were confident that overall the larger cros are taking share from the smaller cros. Okay. And we believe we certainly compete well against those companies. But its a great place to be right now, jim. All right. At the end of last year, you did have a cancellation. I know theres a couple of stern a. G. S negative about you guys. Was that one off, do you think . Well, its an industry that has cancellations as part of the business model. Our cancellations are not running ahead of longterm trend. So were very comfortable with where we are on that. And, you know, again, as one of the leaders in the industry with 13 net new business in the quarter, 16 net new business overall for the half year, we feel pretty good about where we are. Okay. One last question, when you go in to a biotech company, are you the guy who says no go, no go . Because a lot of our Biotech Companies say, listen, were not at the no go no phase yet. Well, we have phase one, clinical services. And well do sometimes those are done in our own facilities. Sometimes those are done in other places. So we will help them design the right trial for whatever their particular drug indication is, et cetera, and then try to have effective regulatory path way as possible. But you must do that in conjunction with the fda in some sort of way. You cant just wing it. Our people are very experienced working with the fda. Not only just working on the regulatory process, but for instance, our status statisticians work with the fda. How do you effectively get a statistical signal from it. Not a lot of companies can do what you do, which makes it proprietary. I hope you understand now why i like this company. Little off the beaten path but it shouldnt be. Stay with cramer. [ male announcer ] this store knows how to handle a saturday crowd. [ male announcer ] the parking lot helps by letting us know whos coming. The carts keep everyone on the right track. The power tools introduce themselves. All the bits and bulbs keep themselves stocked. And the doors even handle the checkout so we can work on that thing thats stuck in the thing. [ female announcer ] today, cisco is connecting the internet of everything. So everyone goes home happy. Let the speculation begin. We learned that stat oil selling 2. 65 billion to build a war chest of 7 billion smackers to fund and find more oil. So what will stat oil do with the money . We know theyre happy with the purchase two years ago for 4. 4 billion to get terrific bakken Shale Properties in north dakota. Remember, we rocked the bakken. And statoils had a good experience with chesapeake for 32. 5 interest in chks 1. 8 million acres which paid 3. 8 billion five years ago. When the representative appeared on mad money in june of last year, he said he likes buying in the United States very much because the countrys very accommodative to those who want to drill for oil versus many other places around the world. I believe given the companys positive disposition towards the United States expressed here on mad money, presume it might up its drilling budget for properties it already owns, cant make much money on that. Or it might put more money to work buying Oil Companies in this country. We know the chesapeake where carl icahn stake close to 10 , could they sell rest of the marcellus position . Given how capital oil and gas or c. O. G. Keeps finding better and better nat gas properties, i dont think chesapeakes a seller. We know theres plenty more oil in north dakota than we first thought and even since the time of statoils buy. So perhaps the company reaches out for whiting petroleum, a highquality producer with assets, well, not that far from brigham. And i presume that statoil can augment to a slightly higher level without stressing the Balance Sheet. Whiting down 10 from the highest due to production growth. Kodiak oil and gas as its on the 2. 5 billion company. It had been for sale earlier this summer but nothing materialized. Perhaps it is game on . The worry here is that can its had inconsistent growth. Why would statoil want to take a chance considering they could have swallowed kodiak with the money it had on hand. How about if statoil wanted to make a move on the most Attractive Company in stock, that would be concho resources. A company with fantastic assets. Maybe the next big shale play after the eagleford in texas and the bakken in north dakota. Current capitalization about 10 billion, might be beyond reach, i dont know. Finally, theres sand ridge energy, a perennials for sale candidate here, guys. With a caretaker management that sells for 5 a share that leon cooperman told us he liked at the delivering alpha conference. 2. 5 billion. It can be swallowed easily, though, by statoil and its got some quality of assets. Possibly if an imminent deal cant with ruled out, statoils got the money. Its a match that i sense will be consummated in a very, very short period of time. I say bakken booyah. Stick with cramer. He great outd. And a great deal. Thanks to dad. gasp nope. Aw guys grrrr lets leave the deals to hotels. Com. nice bear ooo that one nice got it oh my gosh this is so cool awesome perfect yep, and no angry bears. The Perfect Place is on sale now. Up to 30 off. Only at hotels. Com [ agent smith ] ive Found Software that intrigues me. It appears its an agent of good. [ agent smith ] ge software connects patients to nurses to the right machines while dramatically reducing waiting time. [ telephone ringing ] now a waiting room is just a room. [ static warbles ] yeah, im married. Does it matter . Youd do that for me . Really . Yeah, id like that. Who are you talking to . Uh, its jake from state farm. Sounds like a really good deal. Jake from state farm at three in the morning. Who is this . Its jake from state farm. What are you wearing, jake from state farm . [ jake ] uh. Khakis. She sounds hideous. Well shes a guy, so. [ male announcer ] another reason more people stay with state farm. Get to a better state. Did retail get too hard hit . Tonight, Urban Outfitters reports a pretty good number. But then the stock just zooms. Why . The shorts may be scrambling. Theres always a bull market somewhere, i promise to try to find it for you here on mad money. Im jim cramer and ill see you tomorrow. I mean, youve been called a lot of names. Youve been characterized as a hero and as a villain, a martyr, terrorist. Im not yet a martyr. Right. Lets keep it that way. Julian assange, the nomadic founder of the website wikileaks, is under legal and personal attack from the u. S. Government for publishing military and diplomatic secrets. When we met him, he was under house arrest in the english countryside, where we conducted the most extensive Television Interview hes given about his life, his beliefs, and his concern about being charged and extradited to the United States