Inched up. General electrics finally on the move. After better than expected set of orders for Gross Margins. Vf corp. Ended up lagging because of the hate affair. Sell, sell, sell. The house of pain. With apparel. But today gave you a terrific quarter and amazing dividend boost and 4 for 1 stock split. So much for catching that one, right. That train left the station. All aboard. Really . Whats not up for this amazing year . What has a good balance sheet. Find me something with a decent dividend, some solid growth maybe. A price to earnings multiple well below that of the market. Is there a single bargain out there to still be had . Holy cow. Im going down the list doing the charts, all that stuff i do on the weekend. And you know what comes up . Apple. Apple. Thats right. Apples not up for the year, even if it rallied 8. 7 , it has a 2. 3 yield, sells at 12 times earnings and best of all, no one believes it can do anything other than be range bound. Sell, sell, sell it has to have the lowest expectations of any major stock ive followed. Apples had a great day today rallying over 12 because of an upgrade by Society General. I normally dont follow that research, but it made so much sense, ive got to talk about it here. There are three reasons why this piece of research is worth devo devouring. First, did a ton of work on the number of new iphones that have been sold. And unlike an iphone manufacturing scaleback, this upgrade says there might be more upside to the numbers according to the piece. In fact, this piece says that higher volume and increased demand may be in the cards when the Company Reports october 28th. Second, how apples having higher Gross Margins on the sales. If youve been on any of the last few calls, its been all about the gross analysts keep t apples going to make less and less on what it sells. And thats why it sells so cheaply. Theres a curious bit of reasoning here. Goes like this, apples cheap because there must be something wrong, something wrong must be cheap because apples not making as much on each device. Theyre trying to pin the tail on apples Gross Margins. If the Gross Margins are going higher, its busted. Finally, most important, Society General says the following, quote, looking out further, we believe we may be seeing the first signs of weakness in android samsung hand sets, end quote. Thats right saying they may be taking back share. The principal reason why so many are worried about the margins is a belief that an inexpensive but equal if not superior device from samsung will cause apple to break price and give the darn thing away. It amounts to a recognition that apple won this round. Now, there are plenty of reasons to own apple here. Were on the verge of an ipad refresh. And both the ipad and ipad mini are much loved devices. Many of us are really readyt ow yet, though. I didnt think i needed it and then i tried it and now i dont know how to live without it. Plus it knows me. Im not playing fantasy football and somehow after i type a players name a couple of times like Larry Fitzgerald or kendrell tompkins. Belichick forgets him sorry, i love this stuff. I believe well feel the same way about the new ipads. Expectations are so low, i bet they blow some people away with the new gizmos. A couple of days ago this apple snared Angela Aarons to run the burberry business. She may be able to shore up the most glaring weakness, social. How to compare social buzz. Shes all about splash and pizazz as youll see if you look at the videos. I think it makes sense. The idea of unveiling new phones and ipads in some big auditorium is the opposite of what people want. They want everything that integrates facebook and twitter and sights and sounds we dont know of yet. Angela aarons may give the skills that the Company Seems to lack. No wonder the ceo of salesforce. Com tweeted aarons might be the biggest hire by tim cook since steve left us. I dont know if this is sanctioned, but says, quote, she is a true visionary and now tims number two and successor. Shores it up with the retail exec with the most social smarts is someone you want to back. You know what apple needs to do when it reports . Im going to suggest something that every veteran watching the show is turning it off right now. I think apple needs to split the stock 4 for 1. Making it rewarding for the retail investors, to you and not the highfrequency Trader Hedge Fund kingpin. Hear me out on this. There are two executives i believe care passionately about their stocks. Reported amazing numbers this morning and gave you a 4 for 1 split. Heres what im thinking, you dont get many better and smarter execs and they see what i see, a market dominated by trading bandits who knock stocks down sell, sell, sell you need a stable basis of shareholders to get away from the egregious pattern. And hes about as rigorous as they get. Talk about something apple needs to get away from. This ridiculous grip of predator and prey with the Company Stock being the prey on october 28th, apple announces a 4 for 1 stock split. Heres the bottom line, looking for an overlooked stock in a red hot market with terrific catalysts, then look at apple. I cant think of a metric thats expensive. I can think of things that can go right and very few that go wrong. E . Caller booyah, jim. Booyah, steveorino. Caller so excited to talk to you finally. A pipeline i own stock and a little bit over 1,000, and now it goes crazy. I know before november results. Pricelines the worlds way to travel. Were stuck in america and analysts dont use it but its the worlds way to travel. Its the hotel way to travel, airplane way to travel. Its how people travel. Price line goes higher. Lets go to patrick in my home state of new jersey. Patrick . Caller yes, jim, booyah. Booyah, patrick. Caller called today about visa. I love your show, by the way. Thank you. Caller im up 190 , invested its not lowis is saying a l hs doing a pretty good job. I think visa is on fire and going higher. Fire and higher the apple of the markets eye, i think there is more good than bad coming apples way. Stick with it. Stick with cramer. Coming up turbulence, the aerospace cycle helping honeywell fly high this year but the stock was grounded after earnings. Is it your chance to hop aboard before it takes off again . Or do things get rough ahead . Dont miss cramers exclusive. And later, great expectations, General Electrics been on the rise after the earnings. And tonight, cramers checking if it can go the difference. But another big construction name isnt as lucky. The company is probably hiding in your tool box. But if its lurking in your portfolio, you could have some problems. Cramers on the case. Plus, tower power, at t just pocketed nearly 5 billion selling off stakes in the cell towers. But the real cash to be made in this cell connection would coul ahead. Dont miss a second of mad money follow jimcramquestion . 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. At a ford dealer with a little q and a for fiona. Tell me fiona, whos having a big tire event . Your ford dealer. Who has 11 major brands to choose from . Your ford dealer. Whos offering a rebate . Yourtire guarantee,hathe loe affording peace of mind to anyone who might be in the market for a new set of tires . Your ford dealer. Im beginning to sense a pattern. Get up to 140 in mailin rebates when you buy four select tires with the Ford Service Credit card. Whered you get that sweater vest . Your ford dealer. At bny mellon, our business is investments. Managing them, moving them, making them work. We oversee 20 of the worlds financial assets. And that gives us scale and insight no one else has. Investment management combined with investment servicing. Brng invested in the world. Bny mellon. Whats happened with chari security equipment, special made materials and turbo chargers. Components, energy saving, they can give a big boost to your cars gas mileage. Plus the company is incredibly well run under the ceo dave cote, but reported a quarter that was widely viewed as disappointing, a 1 cent earnings basis with earnings coming in lower than expected, management cutting their fullyear revenue forecast thanks to cuts in defense and space spending. We were looking for honeywell to at 1 thanks largely to weakness in the defense portion of the Companys Aerospace business. Falling more than 3 on friday. Is this quarter a red flag or a fabulous buying opportunity . A stock thats been a truly terrific performer over last year, one thats given you a 41 return since we spoke to the ceo last november. Dont take it from me. Lets check in with dave cote, find out where his companys headed. Mr. Cote, welcome back to mad money. Good to see you, jim. All right. I want to give you the benefit of the doubt. Some of the guys on the street were critical. They said, well, were not used to this. Were not used to this, dave cote, honey well. They did talk about the supply chain surprise, thats also not like you. Yeah, i have to say, some of the writings werent actually that bad. The stock price reaction wasnt that good. But i found this one interesting because ive said before that if you keep doing what you say that eventually youll get credit for it. And this time again we did exactly what we said and our earnings actually were a little bit higher than what consensus was at the time. And we said the sales miss was attributable to two things. One was the timing of closing on the transaction. A deal we were going to do. We thought it would close the beginning of the quarter, close at the end. Not a cause for concern. Thats the timing of the deal. Significant. Yeah. It was half the sales miss. Right. Just the timing of that position. The other half was defense and space and we said okay, that was caused by two things, one, the Government Shutdown and sequestration. The second piece was, we didnt do as good a job as getting the shipments out that quarter as we shouldve. You get it back and its part of lowering the overall inventory level. So overall, theres not a cause for concern here. And in fact, if you said okay x defense and space, growth was 3 . When you talk about the 2 to 4 range, pretty much in line. I looked at it and said looks like we did pretty well. What w. Maybe were spoiled. And took our guidance up for the year. We were spoiled. General electric missed, missed, missed, frankly. When they finally get it right, everyone gets excited. You have made during the toughest periods. So its almost as if people say, oh, its finished. Well, i think this is part of the growing pains as we get to that premium multiple i think we deserve based on the consistency of what weve been able to accomplish. It seems to me when you look at it and go, 11 years, 12 years in a row of doing exactly what they say. Maybe we should ascribe more credibility to those numbers than something that occurs once in a while. Aerospace has been winning for everybody. If you were to look at aerospace x defense, it was another strong quarter. Commercial side was very good. Right . Yep. But the business jet side not what we want. Well, on the business jet side, thats actually doing well for us because were positioned in the mid and high but theres some degradation in the industry, we know that from some of the players. That parts true but it tends to be in the small and low end jets. And we do the survey as you probably know and that shows what weve said all along and in terms of what our positioning is, very good, were in that large jet, over 25 million jet. That is actually doing very well and should continue to do so. Performance materials is very strong. Yep. The refining business, i think is its hard explain to me how much was added. Where is that oh, thomas russells going to be a good deal for us. Tell people why that is. Its part in parcel with the energy revolution. It has to do with especially the shale gas revolution. What you find are these are small fields in a lot of places. One of the things that ends up very expensive for them to do is get the gas from that field to some place where they can process it. What were able to do is build on a modular basis and very quickly, like 60 to 90 days build an entire plant about one acre in size that can process all that for them and separate it so when they send it its more easily usable. It really reduces the overall costs. This is a big play not just in the u. S. But theyre starting to find shale gas around the world and thomas russells technology will work around the world and were one of the few that have it. I see i didnt think you were bullish enough on this. I see nonresidential getting strong in this country. The figures youve given me about the amount of energy lost by buildings that arent yeah, its huge. 40 of our energy . Ts to buildings. The saving you could get out of buildings would be in the 20 to 25 range of their energy usage. In europe doing it, are they doing enough of it here . Well, they dont do enough of it in either one of those places. The thing you run into is well, theres a couple of things. People get used to things the way they are. The second one is theyll want oneyear payback projects and generally not going to be a oneyear payback. The third one is when you look at it, often times the Building Owner is responsible for the equipment. The people who own the province or condominiums, they get the benefit of it. The owner says why should i do this just to reduce their bills. Sorry, they dont tend to do that. Got it. Those are the dynamics you have to work through. Nonres, its a growth story to come. I really believed. We talked about this back during the recession, but i think its going to be how you went is how youre going to come out. Nonres was slow in, its going to be slow out. I think were just starting to see that coming. I have to go touch on the data issue, youve been passionate about it. Is it time to do this thing fulltime . I just think not a lot a lot of them are worried. Yeah. I think theyre afraid to take on washington in any form. Yeah. Youre not. Well, im trying to do it nicely. Youre the only guy. I would say if we look at fix the debt, our effort, weve got over 100 ceos involved there and theres a number of efforts from ceos speaking up. I would say not everybodys speaking up as much as they should. I would say theres a large number of ceos out there now saying the same thing and theyre saying its not a democrat thing its not a republican thing, this is an american thing, youve got to fix this, youve got to Work Together to get it done and thats the message and i think thats coming across a lot more strongly in the Business Community and we have a real opportunity in this next 50 days. Because this joint conference they have going, this is like the first time in a number of years where they all sit down together where they try to get something done. And we all ought to be pushing well, let me ask what should we be doing . What should we be doing . What should we be doing to make something happen . Well, i thought the effort on rise above, for example, thats probably probably not the last time youre going to do that. There was that time, youll have to do it again this time. And they just dont always fix stuff right the first time. This is youve got to have what i call a relentlessness of purpose to get something done here. Like the way you do at honeywell. And thats why you should feel good about your ownership. Fair enough. Youll look at this and say, man, im glad i held on. I should have bought some more. Thats terrific. I love that. Dave cote, chairman and ceo of honeywell and, yes, full disclosure, my next door neighbor. Thank you, dave. Coming up, expectations, General Electrics been on theand ramers checkin go the distance. But another big construction name isnt as lucky. The company is probably hiding in your tool box. But if its lurking in your portfolio, you could have some problems. Cramers on the case. I know what youre thinking. Transit fares as in the 37 billion it fes we help collect each year. No . Oh, right. Youre thinking of the 1. 6 million daily Customer Care interactions xerox handles. Or the 900 Million Health insurance claims we process. So, its no surprise to you that companies depend on todays xerox for services that simplify how work gets done. Which is. Pretty much what weve always stood for. With xerox, youre ready for real business. [ male announcer ] staying warm and dry has never been our priority. Our priority is, was and always will be serving you, the american people. So we improved Priority Mail flat rate to give you a more reliable way to ship. Now with tracking up to eleven scans, specified delivery dates, and free insurance up to 50 all for the same low rate. [ woman ] we are the United States postal service. [ man ] we are the United States postal service. [ male announcer ] and our priority is you. Go to usps. Com® and try it today. Earnings season is all about expectations. Get those expectations down ahead of time and you have a Spring Loaded situation. Like we saw today with General Electric. Failed to rein them in and you have the debacle of the first order we most fear like the one we got last week from Stanley Black decker. Many people were mystified today at how a big cap stock like General Electric could roar higher again given the lack of any growth on the top or bottom line. Earnings per share were flat, revenues down a tad, yet the stock off to the races rallying 5. 9 over two trading days since it reported which is an impressive move for a 265 billion company, its trading like a small cap. How can that be . How is it possible ge could go higher on those seemingly tepid numbers . Pretty simple, the stock trades on expectations not earnings. Ge saw its orders rise an outstanding 19 including 22 surge in growth markets. Yes, the same markets that ibm, as well as a remarkable 17 increase in europe. The margins, what they make after the cost of sales were up nice, 120 basis point Margin Expansion was breathtaking for the analysts that cover the stock. Aviation, power, locomotives, even oil and gas. I regard it as terrific. But the real good news here was the absence of bad news from the ge capital business. For a long time, weve been conditioned to expect General Electric to be the cats and dogs of real estate banking and credit cards that is ge cap. Heres a division that was originally meant to finance the sale of ges big capital goods not unlike what caterpillar does for the equipment sales. The finance business became the companys principal source of earnings. For years the divisions that made actual things took a backseat to the finance biz as ge became more and more of a bank and less and less of a manufacturer. That was terrific back when finance was fabulous and fabulous way to make money worldwide, but the world of the economy went south and a huge subprime lender as well as a large banker and real estate earner in europe. I couldnt believe what they owned. They were huge in every single place. When things got bad, tried to bill itself as an industrial that stumbled rather than a finance company that invested in terrible pieces of paper. Needed help to finance the commercial paper. As the Great Recession hit and the prospects of a quick recovery went out the window, ge slashed its dividend and became a company much more rumored in need like citigroup with a kind of a hard group hard goods arm. Like appliances. This is like citi with washing machines. Now, though, ge is putting the legacy behind it shrinking the Capital Division where it will be an adjunct to the aerospace power, appliances, oil and gas, all good businesses. Also gone are the days when ges earnings, when it had them seemed to be based on taking advantage of the tax code. Something every company has a right to do but you cant expect wall street to appreciate these lowquality earnings the same way it appreciates actual growth. We dont want clever tax avoidance, we want higher earnings per share. Bigger revenues, last but not least in the past seemed like ge was playing limbo with the company lowering the bar quarter after quarter after a series of endless disappointments. Some division or another always, always reporting some sort of sluggish growth, some european excuse. The house of pain. And an excellent reason to sell, sell, sell. Had ge set the bar too low . Well, that finally happened. Now theres accelerating growth and a belief that the investor meeting about ge capital will include talk about a further reduction of the finance divisions mental drag on the institution. I say mental, okay. And more disposals shrinking even further, maybe even an ipo. And holding an analyst meeting. Last year it was truly terrible. Showed weariness about the companys prospects, that seems no longer to be the case which is why ge can be rerated from a so so financial to potential industrial turn around play with real leverage. But companies that live by changing expectations can also die by changing expectations. The rerating by wall street can be a double edged sword as we saw last week with the disastrous quarter from Stanley Black decker, a company weve come to know and trust. Heres a company that let expectations get well ahead of the story. If ge looked good on the surface, they looked fantastic until you realized that the gain had to do with a tax gain. Stanleys quarter turned out to be a bungling of immense proportions. The chief culprit, the security division, which it bought for 1 billion a couple of years ago. It was a competitive situation where they had to move fast, apparently they moved too fast and turns out the quality of the earnings and the management were far weaker than we thought that plus the weakness in government business. Who knew Stanley Black decker had that much government business . Led to a drastic estimates slashing and a radical 14 decline in the stock. The house of pain. As analysts and investors were shocked and appalled, you could tell that most people were in the stock not for the security business but the doityourself tools which were strong. Home depot had spotlighted tools as an area of strength, but the rest of the business was weak it didnt matter. It gave no hope of any improvement any time soon. For some it seemed like a writeoff, although it wasnt evident from the call. Unlike General Electric that made excuses or cited weakness in the environment, Stanley Black decker led people to believe things were somewhat better than expected and the stock had been one of the best performers in the whole housingrelated cohort. Turns out, it wasnt housing related at all. The parallels of the old General Electric i find eerie. People deserted ge for several years because it became what many thought was a second rate finance company with a first rate industrial business attached to it. Stanley black decker was a hand tool company with a small, thought to be irrelevant security business buried underneath. Now that ges back to being the General Electric company, as it takes money from other industrials that are doing better and have less leverage. Meanwhile, Stanley Black decker will do nothing, unless, keep this in mind, unless an activist storms the gates urging the company to break itself up because it turns out a bunch of pieces that dont Work Together. Stranger things have happened. I dont think that Stanley Black decker would have been as bad as it was last week, if somehow management signaled all was not well. But the same thing goes for General Electric where many were prepared for one more down report. Instead, we have ample hope for an even better Fourth Quarter and a terrific 2014. Something we spelled out at the finance meeting. Ges become a goto stock, swk has become one to avoid. In great and not so great expectations. May i speak to chris in maryland. Chris . Caller booyah, jim. This is chris calling from maryland. Shout out to my finance professor kurt marks. Thank you. Youve got your guys calling the right show and doing the right thing. How can i help . Im calling about Lockheed Martin, i want your opinion on the stock. I understand why people would be worried about Lockheed Martin because honeywell did signal that defense wasnt so strong. Ive been behind Lockheed Martin the whole way. Can i say theyve gotten the big sebelius contract. More of a composer than someone who knows how to handle the stuff. But that said, its still inexpensive and if it gets hit, id be a buyer. Can i go to richard in new york, please, richard . Yes, hi, jim. Booyah, jim, to you. Booyah back at you. Okay. This is it from new york. I just purchased some ipo on wednesday. Its called veva. Symbol is veev. Im doing very well with it. Whats your take on this new stuff . I think this is a fabulous cloud play. Fabulous Customer Relations management. I think its terrific, really what the pharmaceutical companies in order to cut costs. Theyre all using it. I think you have, yes, and my highest compliment, richard, horse sense. Great expectations, expectations can make or break a stock which is what we saw last week with ge and with Stanley Black decker. The key is the tone in the details this earnings season. Youve got to stay focused, this is the time for ge, its go to. Stanley works, im returning the tools. Mad about mad money . Immerse yourself into cramers world while you watch the show with zeebox. On your phone, tablet or on the web, get sneak peeks, go behind the scenes and join the conversation. Download the free app today for the ultimate cramerican adventure. Humans. Even when we cross our ts and dot our is, we still run into problems. Thats why Liberty Mutual insurance offers accident forgiveness with our auto policies. If you qualify, your rates wont go up due to your first accident. Because making mistakes is only human, and so are we. We also offer new car replacement, so if you total your new car, well give you the money for a new one. Call Liberty Mutual insurance at. And ask us all about our auto features, like guaranteed repairs, where if you get into an accident and use one of our certified repair shops, the repairs are guaranteed for life. So call. To talk with an Insurance Expert about everything that comes standard with our base auto policy. And if you switch, you could save up to 423. Liberty Mutual Insurance responsibility. Whats your policy . Before we get to the lightning round, lets take a minute to extend a preveterans day thank you and booyah to tim who signed up for mad money tickets salute to the troops on november 8th. If you or someone in your family served in the military, wed love to have you in our audience to honor the veterans this year. Go to madmoney. Cnbc. Com for tickets and details. We cant wait to thank you for your service and in person. And now it is time, it is time for the lightning round on cramers mad money. What is that about . Rapidfire calls, you 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. Are you ready skeedaddy. Time for the lightning round on cramers mad money. Marie in north carolina, marie . Caller booyah, cramer. Booyah. Caller should i wait until they report . I want to buy it. I want to buy the stock right here. They did that deal, af negative press. Terrific opportunity. John in new york. John . Caller hey, jim, how are you doing today . Fine, how are you . Caller good. Ive got a question about blackberry. 1 1 2 up, 1 1 2 down, i dont know, no edge there. Lets go to tim in california. Tim . Caller hey, cramer, vsat, what do you think . Should i take profits or get out . I think its got more to go. I think its got more to go. I like the situation, i would hold on to it, i wouldnt go. Lets go to steve in michigan. Steve . Caller booyah, skeedaddy. Whats up . Caller i want to talk about lululemon. I know a month ago you tested the charts, but lately theyve been getting ha inting hammered shorts. Weve got to see who the ceo is going to be. I like the stock, but i want to see that ceo situation. Lets go to chris in new mp booyah. Caller go red sox. Hey caller yeah, im liking the im liking the portfolio and the yield of starwood. And i do too. On cnbc a lot, very smart guy, i think thats a good one. Lets go to stewart in new york. Stewart . Caller cramer, how are you . Real good. How about you, partner . Caller okay. I like this small domestic oil company and one ive got, i think, is a winner. Kodiak oil. Kodiak, i do believe that oils going to go down and therefore youll be able to buy this stock maybe back at 12. If you dont own it. I agree with you, i like it and Brian Sullivan is doing some fantastic work going into the patch like we like it. Lets go to kurt in indiana. Kurt . Caller bbbooyah to ya, jim. Whats up . Caller my stock tonight is Union Pacific railroad. Very controversial. Stephanie link of actionsalertplus. Com are stymied, we didnt think the quarter was that good but we think 2014 will be a better year. If anything we want to buy it under 150. Buy, buy, buy kathy in illinois. Kathy . Caller this is kathy in illinois, i was wondering what your opinion is on channel adviser. Seems like it goes up and down. I like channel advisor. But my favorite in that group is salesforce. Com. Best in show. And that, ladies and gentlemen, is the conclusion of the lightning round. The lightning round is sponsored by td ameritrade. Coming up, tower power, at t just pocketed nearly 5 billion selling off stakes in its cell towers but the real cash to be made from this connection could still be ahead. Cramers dialing up the winners. Five tech stocks with more than a 10 . Change in aftermarket trading. All the tech stocks with a market cap. Of at least 50 billion. Are up on the day. 12 lowvolume stocks. Breaking into 52week highs. Six upcoming earnings plays. That recently gapped up. [ male announcer ] now the world is your trading floor. Get realtime market scanning wherever you are with the mobile trader app. From td ameritrade. [ male announcer ] more room in economy plus. More comfort, more of what you need. Thats. Built around you friendly. Check for more well, i guess i can double check. My watch [ male announcer ] it pays to double check, with state farm. Customer erin swenson ordebut they didnt fit. Line customers not happy, im not happy. Sales go down, im not happy. Merch comes back, im not happy. Use ups. They make returns easy. Unhappy customer becomes happy customer. Then, repeat customer. Easy returns, im happy. Repeat customers, im happy. Sales go up, im happy. I ordered another pair. Im happy. both im happy. Im happy. Happy. Happy. Happy. Happy. Happy happy. I love logistics. You want to know the dirty little secret right at the soul of american capitalism . Ill tell you, theres nothing worse for business than competition. It is downright poisonous to profits. Executives love to preach about the virtues of the free market. But theres something they like even better and thats an unfree market where only a handful of players are capable of competing with each other. Thats where our mad money word of the day is oligopoly. A market controlled by a small number of firms who can rake in enormous profits because its so difficult for new entries to get a foothold in the business. Its just like monopoly but instead of one Company Running everything which is in most cases illegal, youve got three or four of them. Nobody ever made a board game of it. And they dont need to considering how well monopoly owner hasbro is doing. Finishing up on a better than expected quarter. When we find oligopoly, we look to jump in hand over fist. The airlines have been making you a killing because of oligopoly. I still like the group and would switch into adoration mode. I mean, whats the deal . Cant you be happy theyre taking the 13 billion from jamie dimon. And over the weekend, i notice weve got another oligopoly in the wireless tower space. Cci, the largest owner of cell phone towers in america is buy or leasing the lion share of at ts structure. Spending 4. 85 billion to buy 600 towers from at t leasing another 9,100 for 28 years at which point theyll have an option to buy those too. Ive been a fan of the tower stocks for years because they have a terrific business model. You build a tower and rent space on it to multiple different wireless providers. Each tower can hold three or four antenna rays and every additional one you add is almost pure profit. Were talking astounding around 90 , i do not have a lot of businesses that have that kind of profit margin. But lately, things have gotten even better to the point where its about to reach true oligopoly status. This at t deal is just the latest in a long line of transactions that have concentrated the bulk of this countrys wireless towers in the hands of three operators. Its not even like the rails, theres four of them in here like the short line. Crown castle American Tower and sbac. The second largest player announced it was buying global tower partners, number five player picking up 5,600 towers for 4. 8 billion. The number one operator in the country is getting nearly all of the towers owned by at t, the number four player. And this isnt the first time theyve bought towers from the wireless provider, a year ago did it with tmobile picking up 7,200 towers. Wireless providers like these deals because it gives them muchneeded cash to build out the networks and upgrade them to 4g and the Tower Companies love them because they know how to ring the maximum amount of value from these assets. So, okay, we adore oligopolys. The companys going to have to do crown castle a secondary offering where they have to issue a lot of stock in order to pay for this. And because theres going to be a secondary, the stock got dinged falling 1. 30 even though this at t deal should be additive to crown castles fund as early as next year. And longterm, the transaction will mean about 5 boost. These are highquality assets, people. About half the towers crown castle is getting are located in the top 150 markets. Towers have just 1. 7 each. Which means crown castle can lease out space to at least one more wireless provider minimum. That means they can make a lot more money off these towers. I think you should try to get a piece of crown castles secondary offering. And if you cant get your hands on these shares, you can buy the stock into the weakness going into the secondary. Take a look at this story, consider putting in your shared orders tomorrow morning. I think you need to be in this one before people realize exactly how great the secondarys going to be. The at t deal is just part of the story. First of all, crown decided to turn itself into a Real Estate Investment trust. Get special tax treatment namely so long as they pay out 90 of their profits to investors in the form of dividends and dont have to pay any Corporate Income tax as part of this reit transformation, paying a 35 cent quarterly dividend. Crown castle has so much growth. I believe theyll be able to raise that payout year after year after year. We know that model works in this business because American Tower already did the same thing turning itself into a reit about 36 months ago. Looks like theyre wrong. What else. Just this morning, crown castle reported while the headlines numbers were mixed, one penny miss while revenues came in higher than expected rising 20. 6 yearoveryear. The commentary was bullish. Management talked about how the wireless carriers are planningqs an unprecedentesibility with ve and sprint and tmobile talking about multiyear plans. I cannot recall when it was all at once like th further, historically when the carriers would talk about capital spending, they would talk about it in a calendar year basis. And today we got four operators. Deploying the next generation of these services and talking about the need to do so over multiple years, end quote. In short, riding a multiple year bull market here and doing it at a time when the tower industry is considered, well, a slap happy oligopoly. Yeah, probably strikes you as high, but it has a 4. 6 longterm growth rate. And many Money Managers will pay through the nose for that kind of growth. With this purchase of at ts towers by crown castle with other deals in the space, the wireless Tower Business is becoming just the kind of oligopoly that has made us so much money in the past. Take advantage of crown castles upcoming secondary offering to buy the stock in weakness or try to get some shares in the deal. And justice, please, look the other way on this deal. Youre supposed to be blind for heaven sake and enough with these procompetitive prosecutions already. Stay with cramer. This veterans day, mad money honors those who defend our countrys freedoms by helping defend their financial futures. If you or someone in your family is proudly serving or has served in Americas Armed forces, we invite you to join our live studio audience on november 8th for mad money invest in america salute to the troops. For tickets, go to madmoney. Cnbc. Com. Humans. Even when we cross our ts and dot our is, we still run into problems. Thats why Liberty Mutual insurance offers accident forgiveness with our auto policies. If you qualify, your rates wont go up due to your first accident. Because making mistakes is only human, and so are we. We also offer new car replacement, so if you total your new car, well give you the money for a new one. Call Liberty Mutual insurance at. And ask us all about our auto features, like guaranteed repairs, where if you get into an accident and use one of our certified repair shops, the repairs are guaranteed for life. So call. To talk with an Insurance Expert about everything that comes standard with our base auto policy. And if you switch, you could save up to 423. Liberty Mutual Insurance responsibility. Whats your policy . Cramer, you are super, you are awesome. Im a firsttime investor. Thank you for inspiring me to get in the game. Your show is the best. Im so glad youre on tv. I want you to know you have transformed me. Thank you, cramer. I hope you enjoyed today because tomorrow the taper talk begins all over again yeah. Tomorrow we get friday september employment at 8 30. And we need to recognize well be right back on washingtons red hot griddle because thats how washington works. No matter what the number, ll, sell. Given a reason to if its too strong, w governors h it cant be revived by the feds failed efforts. Lose lose scenario. Its an opportunity for some to take profits. You know what, i say bring on the sale for heaven sake. So many stocks have gone up endlessly, we need a selloff to cool things down. Wouldnt you like apple under 500 . Which brings me to the pattern that has plagued the market for years. First we get great earnings like were having now and then the stock market flies to new levels and then we hear rumbles that somethings going awry in washington thats more important than any other company could possibly say and then the washington drama. Play out, giving the market a real beating and then we start all over again toward alltime high thanks to fabulous earnings. This preeminence is a system of the aftermath of the Great Recession and an activist administration that doesnt care about the stock market even though the stock markets doing pretty darn well. Companies become big players in the bigger scheme of things and dont listen to what they have season. Ifgou and produced a spectacular rally. Then literally two days after that, we begin to hear about the possibility of Government Shutdown and a debt ceiling wrangle. We figured out the president and congress wouldnt let any shutdown go on too long and we never default on our debt. Then it dawned on us maybe, just maybe the shutdown wouldnt be resolved quickly and it could be more serious than we thought. Like Social Security checks and defaults to the chinese. Then we get the Government Shutdown which hammers the market and then the second punch where it was clear at least to me we had to go down to the last hour before a deal could possibly reach for either one. But the market didnt look at it that way. Bottoming decline from the top. And we turn our focus to earnings again and were off to the races. Nothings new to this rhythm. In fact, if you look at the charts, its clear what we keep getting. Better thanecwashgton steps in. Any part of washington, president , fed, congress, taxes, whatever. They get arck ithe drivers s that issue but not before that. Its got to be resolved and then we get another run when washington recedes. The employment number, the chatter and pain will begin anew and you can do one of two things. Sell some stock because the taper talk will run thick or the recession chatter will take over or just ignore the sirens. Why dont you sell some stuff tomorrow, it didnt get hurt today and get ready to buy it back when the taper talk recedes once again. Stay with cramer. [ male announcer ] united is rolling out global, satellitefed wifi to connect you even 35,000 feet over the ocean. Thats. Wifi friendly. I got this. [thinking] is it that time . The son picks up the check . [thinking] im still working. Hes retired. I hope hes saving. I hope he saved enough. Who matters most to you says the most about you. At massmutual were owned by our policyowners, and they matter most to us. Whether youre just starting your 401 k or you are ready for retirement, well help you get there. But at xerox weve embraced a new role. Working behind the scenes to provide companies with services. Like helping hr departments manage benefits and pensions for over 11 million employees. Reducing document costs by up to 30 . And processing 421 billion dollars in accounts payables each year. Helping thousands of companies simplify how work gets done. Hows that for an encore . Well, netflix did it. We put out a couple of barriers there, told you what they hado i try tosomewhere. I promise to try to find it for you right here on mad money. Im jim cramer. Ill see you tomorrow president obama speaking in the rose garden today, acknowledged that obama care website is off to a terrible start, and he pledged that help is on the way. But then he vigorously defended the new health care law, failing to admit that premiums are going skyhigh, patientdoctor relationships will be busted. He particularly cited phony numbers on falling premiums and other costs. Not true. And he failed to mention the job losses stemming from this massive tax and regulated approach. He really had no explanation for why his health secretary, kathleen sebelius, entertained only one bid