debut four months ago. who is this? why are they so? why so many questionmarks on the graphics we find out the answer to all of those. >> riddler. >> exactly lets start the program with the big stock story and market story really of the day. and that is apple. a stark warning on revenue gue are due to the impact of what else, the coronavirus. the iphone manufacturer tumbling today but finishing well off lows go to josh liptak. with more on what apple said and the reaction josh. >> that's right, brian apple finished in the red today but maybe not hit as hard as some expect. many analysts weighing in and concluding it's a short-term challenge. meaning they think the demand for apple products simply shifts from the march quarter to future quarters there is still a lot of uncertainty and questions. how long does in outbreak really continue how long before chinese consumers feel it's safe to go back out and shop? remember apple's only has 7 out of 42 stores reopening even those with limited hours appear and when will the manufacturing facilities rarp up this is the second tielk they cut guidesens. back lack last january they did the same but investors piled into the name betting on the stock surging more than 100% of course it's no just apple many companies depend on china as a ski consumer market and critical link in the supply chains there are other companies expose ds for the 8:30 break. hp, tesla, dell and hpe. what about apple's big rival samsung? tech analyst patrick morehead at sources saying it's not completely insulated either. back to you guys >> josh lipton thank you very much all right. so we know the stock fell. but lets be clear. apple is still up nearly 9% this year coronavirus has been going on the better part of a month do you take any comfort or solace in the way it traded. >> you have to if you said to me what's apple going to do on tuesday with the news i would say down 5.5, 6%. broader market down. here we are stock not even down 2% maybe you say the supplier gets whacked. could have beeno downtown 2% sky works almost 50% of the revenue from apple down 1.5 or 2% these are minor moves given the huge run the stocks had but the broader market you have to be encouraged. quickly i'll say this. i still think 280 is a level that apple needs to revisit given what's going on in the world and the potential for the selloff in the broader market. but just today you have to be very encouraged by the price. >> bad news good price action. it's the trader saw. that's when you want to buy. if you have aggressive trader buy apple today, use the low as the stopout point. if you're not aggressive wait for the breakout but this tells you the psychology of the market is right now. which is, okay, coronavirus bad, but it's likely a temporary phenomenon and these -- it means that earnings will be pushed to the next quarter to the next quarter. after that and so investors say i don't want to sell and add into that every central bank in the world is opening up liquidity spicket et cetera. begin had combine those two coronavirus plus liquidity that's why the market is staying elevated. >> i have to say hold hon a second, because i agree with everything you whys said when you consider we do this all the time it's 11.5% of the triple qfxlk between moikts and apple you have 30% the dynamic here is apple more than most tech companies it's a greater percentage of revenues interest greater china mainland, hong kong, taiwan. if you think about the quarter giving everyone the reason to bang the table or be emphatic about apple. you had 14.8% of revenue from china. and the previous four fisk quarters it had been down. and i realize you guys are talking about market dynamics. they couldn't be clearer i think you're right i do think we have to think about apple. and i do think apple the next few quarters there is a hangover from this. even if the coronavirus ended tomorrow which it's not going to. >> i hear what you're saying but i have to say i don't fully agree. i think a lot of the apple story is 5g, right and i don't think the coronavirus really changes 5g at all. i think it was the latter half of the year story to start to me it's not surprising that apple announced they would miss. it would have been shocking had they announced they weren't. >> right. >> the part that was more impressive to me was you brought up the smh that was a really. >> semiconductors. >> by the way, the nasdaq 100 finished higher today. >> yeah, up. >> which is comforting a bit given your point, tim. i beat that dead horse a bit, which is the weighting of apple. >> and. >> the nasdaq went down fractionally but went up. >> it's extraordinary. to be clear also, the -- the platform companies and big cap and megacap tech are outperforming. the rest of tech is not. if you look at what apple is as far as i'm concerned it's a platform company even though a hardware company we're pushing the company higher on 5g and services but i do think you have to be somewhat wary about liquidity dynamics and passive investing works until it doesn't this is a number that everybody said bottom up investors would be nothing down after a record run. by any measures of the company it's a record run since june of last year. you can't say in one day of trading no big deal. >> it's interesting, brian, you use the worded comforting. i could push become and take the other say and say it's disconcerting the market doesn't react to any bad news what so far. tim alluded to it in terms of passive investor markets go up every day regardless until they don't. the longer the markets look past the bad news we have seen i think the more worried you should be. >> i'm pushing back on your pushback. >> i'm pushing back on the push back on the push back. >> someone is falling over. >> exactly if you need one of these -- i'm holding the iphone for everybody on the radio. >> i'll push you back. >> if you need one, you're going to get it. >> i understand. >> you may not get this quarter maybe not the second quarter but if you need a phone or computer where arpds you're going to get them. maybe the market realizeds the fourth quarter is not good but everybody already said the ignore the first quarter universally when the numbers come out we have 173 i thinken i heard on cnbc this morning companies reference coronavirus already. maybe they have a monster quarter. >> you push back on him but sounded like you were on the same side. >> because he he said he didn't finding comforting because the price action didn't work i thought maybe the market thinks as opposed to selling 15 million iphones this quarter -- i'm making that up they'll sell 30 million next quarter. >> i'm looking at a broader not necessarily apple spsk but the fact gnat looks past any semblance of bad news. and you use the word need. nobody needs the phones. i'm hard pressed to find a person on the planet needing it. we want them you talk to the strength of the consumer again i'm not certain -- never underestimate the consumer want to spend should they spend is a big are problem. >> you guys and girls should apply this to the entire market then because in fact you're making this case that apple -- maybe you're not -- that apple is separate from the rest of the pack because every other day talking about coronavirus unless we think is didn't matter brian's argument you delay the purchase but you buy the phone is same for thinking same thing about casino. >> casino you lose -- you bet every day. >> you don't go back and eat in time. >> right, but it goes back to whether or not you thichlg this is a temporary disruption or think that this is something larger and so if you are in the campana you think this is something larger and the economy- the global economy was weak already. >> you're the panelist you're supposed to answer -- not ask. answer the question. >> my point was the same point at the top of the show, buy apple and buy the market until proven otherwise we can get to bubbles and crazy valuations that's my point if everyone turns on the psi et. look at europe, the german economy is terrible. no physical fiscal stim lap they have to print more china the same most of southeast asia will likely do that that's spilling into stocks in a direct and indirect way. so until that dynamic stops i want really hard to say that the fundamentals matters. >> good discussion there on apple. now to stock number two and a company big are than apple in terms of sales, and another dow component, wal-mart. the company posting the biggest miss since 2015. the stock department react what gives courtney reagan is here now? how many times you been at the nasdaq. >> twice today. >> twice with a little stock exchange in between, you know, hitting the hot spots. >> you've been on seymour city glad to see you. great interview with the ceo today. what's the take away after the day you heard from. >> the take away is the long-term strategy that wal-mart laid out is intact sfiet the weakness of the fourth quarter yeah category weaker than wal-mart planned during the holidays but it's not signal of fundamental shift in anything like consumer spending or wal-mart strategy of blend being digital and physical together. plus the stock didn't get shocked with coronavirus impact like you've been talking about because the 400 plus stores in china remain open. some of the sales are tight tighter and sales more towards food there could be a margin hit. deliveries are still happening on the supply chain side there hasn't been big impact so far. here is what the ceo told me >> that in the u.s. about two thirds of what we sell is made in the usa the other third doesn't come from china and we've been acting to buy goods already here made in the u.s. usa in the country to offset some of the things that we might otherwise feel pressure from. it's too difficult to call right now exactly what happens in the quarter. but we said because of what's happening on the ground in china, our chinese business not the rest of the world. we expect to have impact but not putting that under guide zbloons not in the guidance so far in the u.s. comparable sales grew under 2%. below expectations but that's a comp most retailers pining for right now plu plus it's a continuation of multiyear growth trend for u.s. sales. digital sales grew 35% on the quarter. today u.s. commerce said the e-commerce will near $50 billion the first time a number like that wal-mart he is's online business has been becoming sizable through organize igic growth and acquisitions amazon struged with grocery. that's wal-mart's strength in store with and with the growing online grocery business. it's fascinating talking about the two players. they have different strengths and weaknesses and if you look at total revenue, wal-mart is ea way bigger than amazon. >> it's amazing. >> courtney reagan i heard cramer talk about it everyone is piling on the actual number but e-commerce up 30%. incredible number. >> it is it's expensive revenue for them, right. that's the margin issue they weigh as they build the business here is the thing i'm sort of -- maybe you can answer. >> yeah. >> a lot of retailers talked about the short are christmas, which everyone knew. >> right be exactly. >> quite some time, right. >> totally. >> was wal-mart already fully the stock discounting even if the estimates didn't come down because they -- you know same thing? after target. >> i think so. when we heard from target i think it was a shock because they were the first big box numbers to give numbers and wal-mart never broke out the holiday sales. they won't even detail a big day like black friday or cybermonday other than saying the season was strong with weak points. but wal-mart was weak in apparel but that's wal-mart strong target weak in electronics wlormt strong. i don't know if you kaunto count that as a category because there was so much focused on the go forward story we moved past it a bit to the previous point about the expense of online growth, wal-mart did say they expect the online losses to either be flat to this year or slightly lower and so i think that was something that was sort of a bit of a relief to a number of shareholders even if they're what changing the digital strategy and how they go about it because they went through the period of acquisitions they are not doing that so much right now. >> that was a genius acquisition of jet you talked with mark lorie. >> right. >> and my wife worked in retail and consumer products and still does 20 some yeerps. >> brick and mortar retailing from management and e-commerce but the management is totally different. they are learning and they bought that knowledge. >> they did. i think that is what investors have become comfortable with is the risks that wal-mart is taking they are smart risks and not -- not too damaging if it doesn't work just like the jet black got a lot of headlines when yet only operated for a couple years. only in new york and now it's shuttering but doug the ceo told me we learned about commerce we knew it was a high touch business always hard to scheme we needed to experiment with it and figured out a lot of learnings to check the becomes that's not failure and we know a lot of the things are going to stumble as longs as we don't repeat the mistakes and not too expensive. >> lucky to have kourtney here breaking the down the retail this is the concerns with wal-mart one concern there a while. valuations trading close to 23 times next year numbers. bug market multiple. in terms of the broader market and historically expensive the other thing that a huge inventory build year over year maybe they are anticipating something. i don't know but if they don't see the backin' end demand marjs will be crushed. i would beconcerned. >> i think courtney also hit on what to me is the key point. everything we just said is about a company -- it's about the multiple you are willing to pay in any company we are willing to pay a higher multiple for wal-mart. not amazon multiple but not a wal-mart ofiester year 30% where losses were either flat or lower losses on the business that gets them that multiple is so much more important right now. and so wal-mart has gotten back to competing on price which they can destroy everybody. and it means it's less important about the margins. it's sound being like amazon be docent it. this is about multiple and what you're willing to pay for multiple it's clear investors are paying more. >> isn't it clear that wal-mart is the underdog in this story. wal-mart have to fight and scrap >> right. >> moving to the big retail story and courtney please we beg stick around macy's dage a deep dive after the credit rating turned to junk the records may come up short. down 35% on the year karen finerman, the market cap is now under $5 billion. any reason to own ms. acy's. >> i don't own it that might be the reason there is a disconnect. they don't have a debt problem in the near-term what's astounding and has been for a while is this is a company that bay pays a dividend of 9 plus that is a giant disconnect i mean maybe they should cut the dividend buy back their own debt i don't -- >> we just talked to the ceo of macy's i asked that question are you going to keep the dividend and he said yes they are keeping the dividend not cutting there is no change to the strategy and talking about the bigger shift on the polaris strategy which s&p says might be the right thing but it's in a tough sector and that seems to be a bigger reason for the downgrade but not the debt but i agree it's confusing what's going on. >> look at the debt, the debt looks to be about $5 billion and the market cap and debt are the same. >> they've paid down 3.5 billion in debt the last four years. they have a decent cash flow this is serious. >> it's always the bull case is the real estate. >> yes. >> everyone says they own the real estate. >> so with sears. >> yes. >> it was a good theory. >> i'm saying it's not a bull case >> i deserved that by the way. >> karen is not espousing buying companies for a dividend yield because she doesn't. >> right. >> and the 9% dividend yield you can lose half easily in miss on any given day because that's the volatility in the stock. it's not debt issue it's same store sales growth issue and it has none it's a contracting top line. i think the company is interesting here i think today's announcement is a non-event on some level looking at the stock, nothing new happened today. >> the one thing about macy's i think about is we see the department store sector shrink over time in the number of players and stores themds. we looked at best buy and thought why do we need consumer electrics. we have amazon buy it online but best buy figured out a way to come out stoerng stronger and wonder. i wonder is it possible we have room for maybe one department store, even if it looks very different than today and could -- could that macy's. >> you cot to got to stop show rooming at best buy. >> you know melissa mel goes with the notebook and takes notes look at everything then goes home and she is watching right now. >> does all her homework always. >> you just show room the undergarments. >> no comment. >> the group on pilen. crashing 20% we tell you why. what in the world is going on with gold? good question for guy. soaring again, 7-year highs. is it telling us to be nervous catch us live retroactive willen oh on the go on the cnbc app, live from new york's times square stick arnd ou when you look at the critical issues facing our world, what do you see? ou we see breakthrough medicines getting to patients in record time. we see harnessing natural gas unleashing the promise of clean energy. we see engineers simulating the future to improve today. at emerson, when issues become inspiration, focusing core strengths to create a better world isn't just a result, it's a responsibility. emerson. consider 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[ fast-paced drumming ] all right welcome back we are making a prediction group-on will be the disaster du jour tomorrow. shares crashing 25.5% tomorrow and group-on says it will exit the goods business rahel solomon back with more. >> yes, after-hours plunge or online marketplace group-on after resuming trading at 4:30 as you mentioned opening down 25% holding near the levels. this was after a weaker than expected quarter missing on earnings and revenue. the company announcing it's exiting the online goods category first in north america by the end of the third quarter and globally i the end of the year and instead focused op global experiences which it says it's worth $1 million the 2019 goods category performance particularly in the fourth quarter made it increasingly clear we are not well positioned in a saturated market. the company proposing a reverse stock split hoping to boost the price of stock the reverse polite would be effective in theed second quarter and the ratio for the stock split between one for ten and one for 12 also a sleerd high pressure, melissa thomas will permanent like take over the role and group-on adds two members to the board of directors helen vade and valerie moseley brian at a time he we discuss diversifying boards. one is a woman and one a woman of color back to you. >> all right thank you very much. karen, stocks, i know you guys don't talk about the stock much but i never heard you mepgts mention it up 27 years for the year this wipes out the year what do you make of group-on. >> a lot to hate giant revenue miss that's a problem i hate the company is trying to restructure the business, talk about really we're getting it wrong here so big restructuring of the business which they should but the worst thing is the reverse stock split. it's never, never a good sign. if you know only one piece of information about the stock, a reverse stock split is -- i mean, they are just- it's a ridiculous thing to do they are grasping at straws. >> yes. >> stay away. >> yeah, that's a terrible thing. if you hear somebody does a reverse stock split it's only for appearance, nothing to do with the company and clearly the company by their own admission is misfooted on this they were not good at all. i wouldn't buy it even with a coupon or group-on. >> mid-way through q4 it became abundantly clear we were not competing in goods look, honesty is important in this world and so commendable but it really doesn't send a signal that management knows where the business is. it was a tough quarter as everyone pointed out it's taking them back to the 220, 225 level proving important level for the stock and buyers made money from that point. >> that's the point. 220ish was the low in december go back three 1/2, four years, a prior low. to sim's point you have a big day in volume tomorrow if you want to play stock market it might not be a bad thing to trade against given the size of the move we see tomorrow but 220 is the line in the sand. >> hold rating in germ tough go there they said the experience in the business is worth a trillion dollars. the market if there is 8.5 billion people -- what $125 a person >> look at. >> you every human being on the planet >> for experiences >> for experiences. >> but every human being on the planet will pay $125 a year to do something. >> we're u.s. centric i think. >> i didn't do the math in my head i used the calculator and lopped off zeros. >> go a ranger game competing hard for a playoff spot spend more than $is a 125. >> it's new york city. there is more "fast money" coming your way. here is what's up next. >> announcer: apple taking a big bite out of the markets today. but is tuesday's selloff a sign of something more rotten to come later, chilling with netflix why one analyst says the stock is a 10-year dream we've got l althat and a lot more when "fast money" returns when it comes to your customers' expectations, there's one thing you can be sure of. they're changing by the nanosecond. that's why cognizant created a unique engineering approach to design and build new digital products. learn how cognizant softvision designs experiences and engineers outcomes. ♪ cool. ♪ and unmatched overall value. together with a dedicated advisor, you'll make a plan that can adjust as your life changes, with access to tax-smart investing strategies that help you keep more of what you earn. and with a new brokerage account, your cash is automatically invested at a great rate that's at least 20 times more than other advisory firms. personalized advice. unmatched value. at fidelity, you can have both. ♪ more than this welcome back to "fast money. stocks finishes the day overall, yes in the red, dow to 165 but the nasdaq higher. and the markets finishing lower finished off the lows. the dow handed in the third straight lose attention session but not all bad like we noted. the nasdaq eeking out a slight gain at a new record high. one big bright spot and really recently, the metals if you have not been paying attention, you need to gold, silver, palladium posting gains. and palladium hitting all-time high the gdx focusing on gold miners surging. bk your take on the metal breakout. >> it's exactly what we talked but at the top with central bank liquidity. that's this move investors, macroinvestors are saying there is going to be a lot of fiat currency out there and you'll see it start to spill over to the digital gold market in bitcoin they're all trading together on the same theme as we come out of this -- or if we go into recession there is going to be a lot more paper money out there. and ut things with a fixed supply and that's what's happening here. >> i want guy's take on this in a second but right now we have breaking news on boeing phil lebeau joining us by phone. what do you have. >> this has to do with the 737 max. boeing announcing that it will start doing inspections on more than 400 of the 737 maxs that have been built but not delivered. these are the maxs parked in renton, most he is lake, a number of areas out west essentially what's going on is inspection attention of the aircraft revealed they found what's known as foreign object debris in the maxs as a result they have said we are going to do inspections on every one of the maxs to make sure that they also do not foreign object debris. the importance here is that fod -- doctor oh foreign object debris you don't want that floating in a plane. it could be a screw, a nut left in there by the team when they were building the lane you don't want that floating around inside any aircraft because it could cause a short circuit, other issues with the wiring inside the plane. so, again, boeing will be doing inspections and you will all of the 737 maxs, more than 400 built but not delivered. the porp question here, brian, that i asked boeing and they say emphatically it does not change the company's projection for recertify attention and undergrounding of the 737 max by the middle of the year even with the inspections taking place >> okay. phil we're all kind of looking at each other around the table here you talk about foreign object debris i don't want to put you on the spot but is this stuff maybe time and wear and tear may have resulted in is there any kind of suspicion this is manufacturing flaws? what are we talking about. >> it's not because of wear and tear this is more the case of in the course of manufacturing an aircraft sometimes they will do inspections throughout the process and if you go to the bogt plant there are signs everywhere saying do not allow foreign object debris. it's the same situation as airbus and this is a case as they've done the routine inspections of the maxs that are parked they found foreign object debris in some of the aircraft that they spee inspected. being prudent and safety conscious because you have to be now more than ever with the max they are doing inspections and all the aircraft before being delivered. >> phil, it's tim. to the point, how common is foreign object debris? if this was not boeing and another airline manufacturer would this be news. >> it wouldn't be news if you found it in aircraft coming off the assembly line. i'm sure that occasionally they do come across the foreign object debris. the concern is you want to find it before you deliver the aircraft the fact that they are doing the inspections, if word got out they were doing the inspections empeople would say ah-ha here is another issue. boeing is saying we look we found the foreign object debris. we want to make sure all of the planes are 100 clean when we deliver them starting potentially by the middle of the year and then moving into the fall and early next year >> all right phil lebeau with the breaking news on boeing phil, thank you very much. tim i come back. a good question. it's an odd story. does it sort of muddle the boeing story even further? >> well, phil has done a great job reporting on boeing. there is a lot of different headlines. some really are important from a news event perspective in the evolution of the story but not necessarily going to affect the stock. but it's important the time line you get back to production so if there is some sense that this could push it back even more, it's absolutely material it sounds like this is not material and i do think that a lot of of the headlines with boeing including the company goingout of their way to say they're extra thoreau, don't know x or y a lot of that is geared toward regulators they wanted to make a posture in the eyes of the faa. the news is important. i don't think it changes anything in terms of the time line. >> 365 is the level that if you recall when this entire thing started that's where it broke down to. the stock very quiet up 10, 11% since the january low. and maybe people are saying we want to get ahead of this prior to recertify attention this terms of getting long the stock. but 335 or so it's muddle in the middle dead money. >> if you look added boeing, i understand last year has been dominated, guy which the 737 max. about you if you look back two years look at the chart. stack stock for a year didn't do anything it wasn't like boeing was a big money maker forevfrs even prior to these problems. >> you had the huge run up to the 440 level. monster move in terms of context with the broader market and given 35% of it back or so but you are right, the course of the time line you just outlined it's basically flat. i think people are not faeg into account the bull story which is their aerospace defense sector which is undervalued but until it's sorted out which i don't think we are close to, leave it alone. >> that's the risk they missed -- not missed but there's been multiple times where they said, you know, this is coming back in service in the spring, in the summer, in the fall and now everybody assuming it's coming again and those deadlines come and go and may not be up to boeing the company it's likely up to the regulators and they're not letting anything go i would not have a lot of confidence i don't have a lot of confidence in niece time lines. >> good stuff buysen boeing, the phil if you are out there thank you very much. coming up, tesla triumphs again while one of altria's biggest bears is raising a price target target appear and options trader say y sulouhod play zum video as it gears up we're back in two. oh, i... i didn't know. you didn't see the sign? that... that wasn't there when i was here earlier. 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(glass shattering) (frustrated yell) (car horn blast) (yelp) ( ♪ ) all right. well back. a news alert on the coronavirus. meg tyrrell with the latest numbers. >> brian, the numbers from hubai province the epicenter of the outbreak in china. new cases reporting at 1693. an additional 132 deaths that does mark a milestone bringing the total death toll to more than 2,000. total cases now more than 74,000, almost 74500, guys we have seen case counts declining, new case counts declining the past few days. waiting to see a few more days of data to see if it continues but the 2,000 deaths a new milestone. >> meg tyrrelle, quickly we are going to break we are talking about how apple things may look like they are winding down the new cases pace slowed but that's a lot of cases. >> yeah. >> this isn't over. >> but the market doesn't seem to care. >> because the fed is. >> i'm not sure the reasons why. i think it has to do with the passive investing. but there are a lot of people probably very surprised that three weeks later we're still talking about this as often as we are again, i think it continues to get worse before it gets better, unfortunately. >> i think there is a safe haven dynamic, especially when you look at equity flows too i think the u.s. markets will be that i think you have seen flows out of asia into the u.s but there is no question that the minute if you started to see a change in the tone in terms of the virus in this country, i think markets would do something very, very different. >> goldman sachs is listing the 20 american companies with the greatest exposure to china in that basket which i follow the stocks run 7% on average more than the overall market the market has not factored it np by the way, tonight 7:00 p.m. eastern time of course here on cnbc, the latest in the special series, outbreak coronavirus, meg, the latest numbers, more insight into what's happening on the ground in china and the impact around the world. tune in tonight, 7:00 p.m. after jim and "mad money." we're back right after this. ♪ ♪ ♪ 100% online car buying. carvana's had a lot of firsts. car vending machines. and now, putting you in control of your financing. at carvana, get personalized terms, browse for cars that fit your budget, then customize your down payment and monthly payment. and these aren't made-up numbers. it's what you'll really pay, right down to the penny. whether you're shopping or just looking. it only takes a few seconds, and it won't affect your credit score. finally! a totally different way to finance your ride. only from carvana. the new way to buy a car. all right. welcome back tesla taking off today on the back of not one but two big analyst calls. number within morgan stanley up against price target on the stock. adam jonas lowing out a bull case where tesla could hit 1,200 a share. morgan stanley though sticking by the underweight rating on the stock. it could hit sprattly bernstein raising rising the price target to 730 to $325. the analyst saying it's time to start believing the company can sustainably be profitable. so do we actually, b.k., believe either of the calls? i want to -- morgan stanley is not wildly bullish they have the superhigh target if certain things happen. >> i'm not sure that's superhigh the way the stock traded the last couple weeks. we could keep reach that in a couple of trading days if you look at the calls it's what the market has been pricing in six months ago, a year ago you thought tesla might go out of business they were going to have a cash problem, have to raise money now they are profitable. that's what the market, surprised the market that's where we are. the calls are great analysts but i think they are looking in the remember view mirror on this going forward what you have to look at is can tesla now make that transition into the car company that everybody thinks it is i still think this name trades as kind of a story stock it's more than a car company it's an electric battery company. a way to play the did he carbonization of the electric grid that's why it trades crazily not because people think it's a car company. if you value as a car company as everybody said here it's way overvalued >> if you value a car company it's well ahead of volkswagen looking at 030 where you look at where you expect them to be. if you listen to adam jonas. a lot of analysting pressure to make adjustments pmt he takes the wac from 11% to 13% if the dcf and you get significantly better numbers and people are skeptical about dcf and a taken the auto deliveries up to 2.1 or 2.2 million. that's also a function of where the company said they would be company came in at 367,000 annual, the bottom end of the range and said north of 500,000. if analysts have to follow that or if they do, they can get to the numbers by 2030. obviously i've been bearish, wrong. i do think that a lot of the analysting feel the pressure to step in there be a find a scenario where they can raise prices it's snore analysis. he hasn't even -- this is not what adam does i'm not picking on adam. he is a great analyst comes on a does a great show. but the scenario analysis allow us to. >> see the reuters new in german tesla trying to build a gigafactory four in berlin but they were halted because they are trying to build too many trees. because they were trying to cut down too many trees. still ahead by options traders bet zum video moves higher when it reports in a couple of weeks. we bring you the trade you need to hear. plus look at the cramer cam. there is jim sitting down with the ari eeo emmanuelthce, e o of endeavor. the full hour, catch it at the top of the hour. "mad money." for silky hair, glowing skin and healthy nails. nature's bounty, because you're better off healthy. through the at&t network, edge-to-edge intelligence gives you the power to see every corner of your growing business. from using feedback to innovate... to introducing products faster... to managing website inventory... and network bandwidth. giving you a nice big edge over your competition. that's the power of edge-to-edge intelligence. that's why xfinity mobile lets you design your own data. you can share 1, 3, or 10 gigs of data between lines, mix in lines of unlimited, and switch it up at any time. all with millions of secure wifi hotspots and the best lte everywhere else. it's a different kind of wireless network, designed to save you money. switch and save up to $400 a year on your wireless bill. and save even more when you say "bring my own phone" into your voice remote. that's simple, easy, awesome. click, call or visit a store today. welcome back to "fast money. one of 2019's hottest tech ipa surging today. surging up more than 6%. coronavirus making video conferences more attractive. besting meeting stocks like zum. the next catalyst, reporting earnings in a couple of week one trader bets that's could lead to double-digit, options play chief strategiest tony zhang at the plasma to break it down. >> this is a product i use almost every day the options trade almost actively almost 15,000 contracts traded today. four times that today. now like you said this reports earnings in a couple of weeks. it's implying about a 13% move on earnings right line with roughly the 12% we have seen the last three-quarters. we saw some bullish activity today. the trade that we saw across the tape earlier was 786 contracts of the march 5 clinton, 6th weekly options 105 call options traded for $3.40 the break even price is at 108.40 13% of the price of the tok. incredible trade if we look at the chart it's up 40% on the year. and this trader laid out almost $250,000 in premium to bet that this tok is rallying another 13% to to the upside on earnings than petitions that's a bullish trade into earnings. >> all right tony zhang looking at zum video. thank you very much. i wonder, tim is this the story getting the subsidiary trade because of coronavirus and you wonder when coronavirus goes away people will forget about the video conference thing. >> it's up 41% year to date. if you ask me zum i'll tell you it's a tv show from the shefts which no one else understands. this is the 26 billion-dollar company this is a not a coronavirus story. this is a major move to the cloud. platform dynamic, recurring revenue where investors are putting money and giving multiples to companies yeah, it's coronavirus but, yeah, i think this is a real story. >> 43% short interesting with 105, the level tony talked about was the all-time high level june it heads there given the short interest the zip kwoed is 03164. >> 03124. >> out of massachusetts. >> anybody buying zoom. >> yes into earnings yes stay with it tony is right. >> stay with it into earnings. tony sclang zhang is right more "options action," tune in the full show friday 5:30 p.m. eastern time up next, your final trades. >> 02134. >> announcer: "options action" sponsored by think or swim by td ameritrade check the markets? yeah, actually i'm taking one last look at my dashboard before we board. excellent. and you have thinkorswim mobile- -so i can finish analyzing the risk on this position. you two are all set. have a great flight. thanks. we'll see ya. ah, they're getting so smart. choose the app that fits your investing style. ♪ when i lost my sight, my biggest fear was losing my independence. mmm... good. so i've spent my life developing technology to help the visually impaired. we are so good. we built a guide that uses ibm watson... to help the blind. it is already working in cities like tokyo. my dream is to help millions more people like me. there's room for more than just the business you came for. whether that's keeping up with what you always do... or training for something you've never done before. that's room for possibility. ♪ >> announcer: final trade sponsored by interactive broke err. minimize cost. maximize return. welcome back restoration hardware getting a boost from warren buffett and the gang at berkshire hathaway topping the tape and jumping to new all-time highs after berkshire you said the stake. >> guy. >> yet. >> your take. >> we talked about this late summer early fall when mr. buffett announced. trading around 175 or so you think it's a huge valuation company. it's not even with the move we have seen only trading 19 times next year's numbers it's cheap looking at earnings growth margin are improving it continues higher into earnings in march. again we've been talking about it stay with r.h. >> i can't disagree with the fundamental part of this but this thing has been on an absolute tear. to me the way i trade this where it's straight up and you have news that buffett buys you start trimming a third at a time take a third off here. see how it trades. maybe another third off. at some point this thing is too straight up. >> it's a case where looking at the other housing trades that i think are emblematic of what's going on not just in-housing but sherwin williams and other names way to play furnishings in the home this is why the multiple continues to move higher people are not necessarily buying new homes they are fixing up the ones they have it's not quite a fix up. it's expensive furniture but people have equity in their homes and spending it. >> the thing that's interesting to me obviously the chart is crazy. i feel stupid for not owning it when i thought it was cheaper. but the short interest makes it dangerous as well. this is still- dsh i mean it's a battleground stock sort of i don't want to get in the middle it. >> but do you buy it on the back of berkshire i don't want to just say warren. it could be todd combs. >> do you buy it because berkshire was buying >> no. >> that wasn't the catalyst we've been talking about i'm not suggesting mr. buffett or the mignons got in on the back of the "fast money" recommendation. >> they are big fans of the show. >> huge fans as it turns out. >> they're going just because guy and tim said we shall. >> maybe they did. wise guy. >> i'm being serious the cloud sofas ever sat in one. >> so awesome. >> you can't get out. >> you're sitting in the clouds. >> have you ever did that. >> no. >> all right time for the final trades. lets go around the horn. mr. cloud, tim seymour what you got. >> platinum in the saturate fear process you have the industrial trade you can stay in this trade. pplt is the etf that allows to do that. >> good name there thanks, tim. >> b.k. >> stick in the metals space as well not gdx, but gdxj, the junior miners take out by the bigger plays. >> gdxj. >> i don't know what a jupier miner. >> like a junior mint. >> i like baba coronavirus creates opportunity here and ultimately i think it's actually cheap. >> a name we mentioned from time to time, gardener. denver>> my mission is simple, e you money. i'm here to level the playing field for all investors. there is always a bull market somewhere and i promise to help you find it. "mad money" starts now hey, i'm cramer. welcome to "mad money" and cramerica. a lot of people want to make friends, i'm just trying to make you some money my job is not just to entertain but to educate and teach us so call me or tweet me at jim cramer tough day for the averages dow sinking 166 points s&p losing

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