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Transcripts For CNBC Mad Money 20150219

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bunch of losers! >> boo! >> it's the exact same thing in this business. we don't talk about it. but it plays out every day including this day where the dow dropped 44 points s&p declined 0.11%. and which is why tonight i'm giving you something special. i'm giving you a list of some of the most competitive ceos around. guys who really have the gloves off when it comes to their rivals. guys you want in your corner. why bring this up now? i'll tell you why. because i had the privilege of interviewing the single most competitive ceo in the business this morning. i'm talking about john ledger. the man who transformed t mobile from the also ran telco play into the company with the most momentum. they shot the lights out when it reported this morning. they added subscribers, bringing the total additions to 8.3 million. you can hear him crowing about it on twitter at 6:00. these are astounding numbers. you know how he's done it? you know how what's driving t mobile? him. that's right. by being himself. the single most in your face ceo in america. and i love it. ledger is a bomb thriller. he's a guerrilla fighter. he dresses like bill belichick. no, he dresses worse than belichick! he needs a hair cut bad! or does he? when you picture phone carriers complete with a kim kardashian ad during the super bowl, the most recognizable person for being famous and most tweets and instagrams in the entire country, you need to make a splash. at one point in the interview i had to stop him, because he accused verizon of having a phony offering. wait a minute you can't say that about verizon and he doubled down. take a look. >> verizon's xlt -- whatever that fake name is which means they invest in the network. they did -- >> wait a second. come on. >> jim, there's no such thing as xlte. it means we invested in capacity and t mobile is cleaning their clocks which i announced on the network. >> name me another ceo who talks like that. no one comes even close. ledger whose rap would seem clownish. if not for the fact it's working. he needs the youth of america to switch from the man, meaning verizon or at&t. he has this whole marketing rap that goes with the pink t-shirt that he wore under the hoodie to the set. he does it because it drives the button down folks up the wall. it's like the lawyers who are always very powerful would rather have you make less money as long as there's no chance of getting in trouble. in trouble with whom, their mommies. i know who almoster fears -- no one. it's why he's taking share from everyone. okay, you know who else is dressed in sheep's clothing -- walter robb. i know he seems like a mr. rogers freshest produce, but he's a gentlemen and he he wants to eviscerate the competition. he's not trying to coexist with fresh market. he's trying to bury them. when he wasn't winning for a bit, when the competition seemed to have the upper hand he and john mackey -- much more of a visceral competitor came out and cut the prices, and showing people where they sourced their goods. you know what? i have seen no response of any sort from the competitors. i think their they're dazed and confused how aggressive whole foods has become. they may be natural and organic, but he's got one foot pedal to the metal and the other on the jugular. and how about under armour being overvalued, i hear more short stories about them than any other stock. some told me to worry about the under armour in the west coast slow down. it takes three minutes with plank before he starts telling you how he's going to crush nike. and half hour in he's willing to concede that the world's big enough, maybe, for both him and nike. at least for now. under armour wanted kevin durant the fabulous nba mvp to be one of their spokes people, a sponsor. he lost out to nike. i bet that was a bad day to be around plank. he signs stephon curry and then he inks a deal with g.o.a.t., muhammad ali. i think he wants to go out to beaverton, oregon and pick a fight with mark parker. a very nice man. he's like the marines, no better friend, no worse enemy. i won't bet against kevin plank. do you know who's the most subtly competitive soul out there? mcnerney from boeing. you can't stop. i remember when he interview him over here and i asked him, he's a aye a yaly, he looked at me like i had lost my mind, no, he explained. he want to crush them. there's nothing at all about the competition here. no holds barred. we wonder why boeing is hitting 52-week highs. try going against this fellow, john stump, wells fargo. he doesn't want to cut your heart out but he does want to take your business from any other bank. any business. your first video with him he's liable to give you a fantastic deal on a mortgage or refinance, and then the second meeting he's selling you something else. here's guy like the predecessor and a personal hero of mine who knows when to fight and when not to fight. wells fargo never went against the justice department. they didn't have any of the big lawsuits hence why wells has done better than any other major bank. they're not in the crosshairs. you think starbucks got to where it is because howard schultz is a pushover? he's a dominant executive who outworks and outthinks everybody else. but do you know who's the most competitive executive, could it be oracle's larry ellison? i have to admit that. he slashes and burns the other guys and has a toto philosophy i mean toto turn off the oxygen. toto. that's what he does to his competitors. like salesforce.com. speaking of salesforce gentle giant, a giant. but the guy you don't want to up against, you don't want to go up against is john chambers from sysco. that's right. the mild mannered gentleman from west virginia. he's as subtle as john ledger is in your face. however, chambers has been in world domination mode. he won't stop until he vanquishes everyone in the space and then some. you won't know he's doing it with chambers politeness is lethal. i know there are plenty of fierce competitors i left out, but if you open stock with a stuffed shirt suit guy, a head coach, you may be betting on the wrong time. let's go to mike in new york. >> caller: jim, i love your show and you taught me a lot about the markets. i'm long on apple. my question is since apple's record earnings and all-time highs do you think there's a chance that the dividend increases this year? >> let's put it this way. who am i to tell tim koch what to do? my man that is close to 100 points don't trade apple, own it. go to wick in north carolina. wick? >> caller: hey, jim, booyah. thank you very much to you and your crew for helping us to make some money. >> my crew is good. i that stayed up to watch the end of the unc/duke game and still came in this morning. >> caller: well, i'm not a big basketball fan, but i'm a panthers fan. so -- >> sir per? >> caller: so my question is -- now that the -- now that it's over, what do you think of the future of solar city? >> it was a difficult conference call. the quarter wasn't that good but it was getting better. they kind of glossed over it, don't worry about, it's kind of a tesla thing. but there are people will be jumping over all solar city when oil goes up. i need to go to john. >> caller: booyah from north carolina. congratulations for ten years of helping us active investors. >> thank you. thank you. >> caller: thank you for taking a call from me for the fifth time. i must ask the right questions. >> that could be more than jim in florida. >> caller: since late september, the stock charge has not looked good, down to 81 started a recovery up to 86. then last week they announced their partnership with costco ends in 13 months. and down she went. once you hit -- hit the horn. more gasoline put on the fire today with the announcement that they have violated u.s. antitrust laws which they will an peel. so the question is, do i stay away from it? or let it settle for a few more days or start to open up position? >> jack moore and i run action alerts, stephanie has moved on. i love steph, but we have been struggling, downgraded it last week. i'm very disappointed in american express. the best -- i have been a member since '82. i mean, this thing is really -- the company has to come out and try to explain what the heck is going on with that costco deal that we didn't know was that important. i'm not going to offer it myself i'm just not. lowest compliment, i wish we didn't own it. if you want to win, you want to own stocks with ruthless competitors at the top. who should you trust when it comes to crude? don't miss my take. cheaper gas is putting a sizzle on the stocks. and chances are you have parago stocks in your medicine cabinet, i have the ceo. stick with cramer! >> announcer: don't miss a second of "mad money." follow @jimcramer on twitter. have a question? tweet cramer, #madtweets. send jim an e-mail to madmoney@cnbc.com or give us a call at 1-800-743-cnbc. miss something? head to madmoney.cnbc.com. you can find a new frontier. there's nothing stopping you and a lot helping you. technology that's with you always. this is our promise. it's never been better to wander because wherever you go, you'll find us doing everything we can, so you can. anything? no. you? no. aflac! what are you guys looking for? claims! legend has it these hills are full of 'em. it can take months for an insurance claim to surface. claimin' takes patience. aflac paid my claim in one day. they got some new-fangled kinda one day payin' machine? hehehehe yea, i got aflac at work. aflac... in just one day, we approve and pay. one day pay, only from aflac. aflac... female announcer: through sunday, save up to $300 on beautyrest and posturepedic. even get three years interest-free financing on tempur-pedic. and of course, free same-day delivery. but hurry! sleep train's presidents' day sale ends sunday. with the price of oil getting slammed hard for the second day in a row, down 98 cents, $51 a barrel that's well above where it traded earlier, i think it's worth pointing out when it comes to oil i think wall street seems to be just guessing if not being clueless. the big brokerage officials are all over the map for west texas and brent crude. there's a huge disparity, the largest lack of consensus i have ever seen in my career. and in part because so many commodity analysts at varyious places slashed it. why do we care that the commodity analysts are disagreeing on oil? why does it matter that the research shops can't agree with each other or agree with themselves as the number of brokers have bearish calls on oil. yet, they're making bullish recommendations for oil stocks. well, it matters because the commodity projections are much more influential than most people think. as a given brokerage forecast oil forecast is the key input for the models that the energy analysts use to rate them one after another. and money managers rely on them for themselves to figure out the model to figure out what the companies are going to earn. but the brokerage houses can't agree on whether oil has bottomed, how low it will go and can't agree on if rapid v-shaped recovery. maybe it doesn't recover at all. it's enough to make you feel as though nobody has any idea what's really going on. they're guessing. that's a major reason why the oil stocks trade so chaotically and even on an intraday basis like today. the price of oil continued to crash hard, the commodity analysts got emotional. that's very bad for trading. when oil made the most recent low at 42 bucks it seemed as though the commodity analysts called the bottom there. by lowering their forecast en masse, almost exactly coincident with that collapse. some cases the oil price targets were slashed by over 75%. less than two months like when barkleys cut the forecast for brent from $92 to $72, then slashed it to $43 less than two months later. one analyst panicked that he's the only word i can use. cut the price target for crude. the commodities stopped going lower and rebounded dramatically. when the energy analysts were moving in lock step a few weeks ago, they almost acted as a perfect contra indicator for the price of oil. now though after the recent resurgence back to the mid 50s and back down, i'm getting a where she stops no one knows vibe, enough. let me give you a sense of the radical disparity. when you look at the eight major firms, the range between what the bulls and the bears are expecting is enormous. just for 2015 the average forecast for west texas crude is $42.77. that's right where it is. but the low -- but the lowest full year estimate is $41.50 for barkleys. and the highest forecast comes from deutsche bank where they see west texas crude going to $67.50 a barrel. they see the oil headed up to the mid 30s to the high 60s. that's a pretty huge divergence for this admittedly the volatile of all commodities. they might be saying well oil will stay right where it is. plus or minus 20 bucks. i can't tell you whether the bulls or the bears will be right. i know they can't be both right. if you look at the forecast for next year we see the exact same thing. the consensus for west texas crude in 2016 is $62.29 but the range is enormous. lowest $51.75. but it's not just the commodity analysts that can't seem to agree. even within the individual brokerage houses there's confusion. take bank of america, they're using a $44.75 barrel this year. and yet somehow bank of america is among the most bullish on the actual oil stocks. ten buys on the oil patch including a quiztive buy rating on occidental rating. there's no way you should be telling people to buy oxy which is the company most levered to the price of crude. that's the one that's going to get hit the worst. when you look the major brokerage firms, what you see is insanity. whether the firm is bullish or bearish they have more buys than sells and often many more beyers than sells with the sole exception of goldman. even goldman has one sell rating on ox depp shall with a whole lot of neutrals. what are they fighting over? in order for oil to find the sustainable bottom we need to see production cuts from opec or production cup cuts from nonopec players like the many u.s. producers where oil depletes quickly over time or we need to see stronger demand. so far we haven't seen any meaningful production cuts from outside of opec and many u.s. producers can turn a profit as long as the price is above $40 a barrel. plus those who can't turn a profit doesn't mean they can stop drilling. that's right. i'm talking about something called held by production contracts. many in the u.s. have lease agreements where they only hold the right to their acreage as long as they keep drilling and producing. so even if they're losing money they may have to drill anyways so they don't lose what could be a valuable lease hold. how about opec cutting production. it's not happening. so they don't seem to be inclined. what about stronger global demand? the decline in oil is a huge boom for economies and lower prices will lead to more robust demand for crude, seeing some of that in europe. but the bulls see it happening quickly. i'm with the bears because i won't see a meaningful pickup in oil demand yet. even though there's a million barrels in excess floatling over the world today. but the battle between the bulls and the bears rages regardless. even intraday. consider in the release it wasn't going to sell more oil down at the prices with the stock getting slammed down to 86 bucks. then eog was loved after the conference call this very morning saying that it could change its view on the dime if prices went higher which caused the stock to rebound back to $93.80. the first move said no bottom and then i think people are guessing. i say this though eog is the guest to own because if oil comes back they'll turn on the spigot. if it comes down they have the spigot off. they have enough cash flow to buy everybody else who goes belly up if it really keeps going down. win win eog. the bottom line, oil has become the ultimate bottom line with vicious bears. but i say please don't try to be a hero. even as i think that the below 40s can hold. battle grounds are dangerous. why try to play something so difficult when there are so many stories out there when they're so much easier to fathom? well, we have much more "mad money" ahead, including a hot restaurant stock that has a lot more sizzle. i'll tell you why it can keep burning up the street. and then the huge generic player parago. i have the ceo. plus walmart gave workers a wall street boost. what does it mean for the stock? well, i'm giving you my stake. stick with cramer. there's nothing more romantic than a spontaneous moment. so why pause to take a pill? and why stop what you're doing to find a bathroom? with cialis for daily use, you don't have to plan around either. it's the only daily tablet approved to treat erectile dysfunction so you can be ready anytime the moment is right. plus cialis treats the frustrating urinary symptoms of bph, like needing to go frequently, day or night. tell your doctor about all your medical conditions and medicines, and ask if your heart is healthy enough for sex. do not take cialis if you take nitrates for chest pain as it may cause an unsafe drop in blood pressure. do not drink alcohol in excess. side effects may include headache, upset stomach, delayed backache or muscle ache. to avoid long-term injury, get medical help right away for an erection lasting more than four hours. if you have any sudden decrease or loss in hearing or vision or any symptoms of an allergic reaction stop taking cialis and get medical help right away. why pause the moment? ask your doctor about cialis for daily use. for a free 30-tablet trial go to cialis.com i just told you about how the oil patch has become the ultimate battle ground. as the analyst who covered the group can't seem to agree on much of anything over the epic collapse over a few months. stay away from the oil stocks for the moment because regardless of which side you're on, battlegrounds are nasty places where you're liable to get hurt. what can i say? i'm a lover not a fighter. but there's a hugely important flip side and it's a theme that's as straightforward and as obvious as the oil space is muddled and confusing. whether oil is headed to $35 or $65 it's cheaper than it was a year ago. it's good news for the economy, especially the restaurant business which seems to be the biggest beneficiary of the decline and fall in the price of gasoline. remember the average american household has an additional $1,000 on average of disposable income this year. courtesy of the lower price at the pump. this past earning season we saw over and over again how consumers are spending it on the road. not only do people have more people to spend on eating out, but it's become much cheaper to drive to and from any restaurant. the restaurant story is obvious. sure the stocks have already run, but they're looking stylish in the fashion show right now. i think you go can find a lot more upside as long as you pick the best names particularly when you can spy on -- or when greece and ukraine heats up. we have a slew of strong report denny's reported a grand slam of a quarter last night. bloomin' brands delivered pretty -- well better than expected numbers. texas road house, now it's on fire. and dine equity roared to all-time highs today in anticipation of the earnings next week. let's get to the big movers and it's not noodles, which is disappointed after the close. pot belly, the sandwich chain, which was a total dog since 2013, the worst of the worst, final live managed to deliver a much better than expected quarter and the stock soared 16% yesterday. again, pot belly which has always stood for the right for every american to be obese. has been one of the worst performers with consistently declining traffic since 2013. this time they moved into positive territory which allowed pot belly to post a 3.7% increase in same store sales. even better they improved as the quarter progressed and they see traffic staying strong so far in 2015. but i'm not saying pot belly is a buy, far from it. but man, talk about a rising tide and pot bellies is about as far as it gets from the healthy foods. it can do a lot better. as the ceo put it in the conference call, i'm quoting here, unemployment rates are low. consume ever confidence is up. and more recently easing gas prices certainly mean more disposable income, end quote. fantastic back drop. how about bj's restaurants, the brew house and chain. they went up and that's more than a 14% move. wow. they had a -- off the 21 cents basis. the same store sales are up but management said in first seven weeks of the current quarter, they give you a little tease here same store sales are in the mid single digits. wow, act sell rating. again, while bj's turned itself around it's not one i'd tell you to buy here. but an environment where a company like bj's can see the stock rocket like that higher, imagine how well a truly great restaurant can do. which brings me to my favorite restaurant stock right here. look you know i like chipotle. i'm talking about what we have seen so far. i'm talking about jack. i know jack. jack in the box for you home gamers. jack in the box burger chain, and cramer uber favorite, kudo ba mexican grill. it's a permanent denizen, maybe a penthouse of restaurant stocks. here's a name that's been en fuego for years. jack in the box has given us around a 250% gain since i started to rej it three years ago. and candidly it's my youngest daughter told me to go there. i loved it. what can i say? i'm in i have been recommending it ever since. i did the homework. even after the huge run when jack reported an amazing quarter, it sent the stock soaring 7.4% yesterday. man 88 to 94.70. yep, jack -- jack in the box, with more than 2,200 burger joints has shocked the lights out -- they run the great promotions too. they delivered a 6 cent earnings beat, 4.4% in same store sales in jack and are you ready, 14% sales growth. plus, management raises the earns guidance pretty dramatically. that can be way conservative because they like to underpromise and overdeliver. they have seen the same store sales accelerate. there's the pat earn again, wow, gliep is not coming up. even the company -- i love this. on the conference call even the company was surprised by how well they're doing. here's what ceo larry comma said on the conference call. i just have to be honest. we're just astonished by the performance as you are. these are subtle changes and very few companies compared to what we intend to do that are driving big-time results. a guy asked a question saying this is amazing. and the ceo saying yeah, i can't believe it. highly unusual moment in our conference call. i like jack in the box even up here. because's not merely doing better because of the nice gasoline though. they have a bunch of terrific initiatives that are bolstering the performance. they have rolled out popular new products like the sriracha burger. they're allieuowing you to serve more people at the same time. breakfast and late night were already jack's strongest parts in the quarter. they're embracing the 24/7 model that always served me well after being 86ed from some of my favorite night spots in california. but it's kudo ba that gets me excited. with the sales figure it's clear their plans are working. there were new menu items, introduced more profitable store designs and this turn is still in the infancy. thanks to higher sales per restaurant and improving restaurants, they can make jack roughly 55 cents per share in earnings to bring in $2 per share. that's huge. i remember when it used to lose the chain money. sure, this stock has run, but jack still doesn't get enough credit for kudoba or for the fantastic veggie burrito. i'm going to say it rivals chipotle's offerings. although it's nothing -- the tacos. i think the stock is worth $110 per share, and that's being conservative. plus, if it ever stalls jack can spin off kudoba. it would be like, wow, i second chipotle. i think the estimates could turn out to be too low. plus, it was a smart buyer and they repurchased $101 million worth of stock over the previous 12 months. i mean these guys still think it's worth purchasing. here's the bottom line. the restaurant stocks are benefiting hugely from the stronger consumer and cheaper gasoline and i think jack in the box is the best in the bunch. this stock has been up for days. the market i think when it goes down i want you to think about jack as a place to put a bid in and you'll get a better entry point. we are going to my home state. going to joe in new jersey. joe? >> caller: hello, cramer. i love your show. i never miss it. >> thank you. >> caller: yeah. i just had the best tasting bacon cheeseburger and shake at the shake shack. >> yeah. aren't they unbelievable? >> caller: yes, they are. i tried to get in at the ipo price of $21 but my brokers weren't participating so i was unable to get in. do i go in now? too high, what do i do? >> okay. this is really important. if you buy it here you have to buy it with the idea that you're going to own it for multiple years because it's very expensive. you have to buy it with the idea that it might go down and you can buy more. i am a buyer of danny meyer. that's the man who created this chain. he's not the ceo. that makes me want to own it. but i recognize it's very expensive right here and it could come down. i think that's the best way i can put it. let's go to claus in pennsylvania. claus. >> caller: booyah, jim. i have a question about denny's. they came out with earnings yesterday. should i buy sell or -- >> you know, that stock was down 5% in after hours. i'm saying who -- what schmo is selling this stock? that was a dynamite number. i would not sell denny's. that chain's move is in its infancy. restaurants are thriving right now on cheap gasoline. jack in the box is the best of the bunch, but wait for a pull back. much more "mad money" ahead. including my exclusive with the drug giant parago. they have been taking a beating of late. is it time to kind of snap some up or maybe there's a healthier option. i've got the ceo. then walmart is hiking wages for the workers but will better pay lead to a better stock price? don't miss my take. and plus a brand new edition of lightning round is around. so why don't you stick with cramer. have you heard of the new dialing procedure for for the 415 and 628 area codes? no what is it? starting february 21, 2015 if you have a 415 or 628 number you'll need to dial... 1 plus the area code plus the phone number for all calls. okay, but what if i have a 415 number, and i'm calling a 415 number? you'll still need to dial... 1 plus the area code plus the phone number. so when in doubt, dial it out! in a market where so many stocks have run up dramatically is there anything that still counts as a bargain? how about parago the largest maker of over the counter drugs on earth. they have a drug business that picked up when they acquired elan, an irish pharmaceutical dual. the stock has pulled back hard since mid january. the stock is off the 20 points. and regular viewers know that i have been a big fan of this company for many years. even though consumers have more discretionary income, i think the scars of the great recession will keep buying the knockoff versions of ibuprofen. we know that drugstores love these products. what excites me here is the pending acquisition of omega farm. privately held over the counter drug maker for 3.6 billion euros in a deal that will expand their presence in europe. we know that they have a terrific track record doing smart deals. this could be another great move. so let's look with joe papa the chairman and ceo of perrigo. welcome back. good to see you. have a seat. i feel there's a lot of moving parts. the perrigo when you first came on is really a legacy company. >> right. >> if i look at the snapshot it may not be the right one to look at. because you had a front line litigation problem. you have some new products that you even say in the last conference call are not coming out. talk to me about omega. that should be what i'm thinking about if i'm a buyer of perrigo stock. >> that's right. before we did the omega transaction, we were 80% u.s. and 20% the rest of the world and now we expect to close at the end of the march we'll be 5 55% u.s. 45% the rest of the world. we can bring our products into europe and then into some other countries around the world. we'll go from being in six countries commercial shali to 38. >> right, now, do i have to worry say -- i loved the animal health business there's litigation on front line. i regard you as a plain vanilla story. it's something i don't understand. >> it is true that animal health was with probably about a third of the reasons we had problems -- >> and we love animal health. >> we're launching the product. the product is launched. we started shipping in december. having said that we believe we had an exclusive opportunity for the product. in which obviously would be much better than the semi-exclusive. however, we'll defend our intellectual intellectual property agreement in this. >> the other thing i don't want -- you know, call me biased. i don't give my dogs chinese dog food. chinese vitamin -- what are they doing in our country? >> that's an interesting question. >> isn't it? do people know that they're doing it buying that? >> i don't know if one realizes that the product coming in from china is not always labeled made in china. the good news we make all the perrigo products in south carolina. that's the way we approach this is make the products in south carolina at our facility. there's some over companies that choose to import in. >> they're undercutting everything. >> that's true. i do believe over the long term that will get straightened out. the biggest issue we have had really in the quarter was the fact that we have some new products that we expect to get, you know earlier in the year. they have been delayed. >> you're -- look the last part has slowed. some issues with -- we see them with the growth rate. i'm saying well that's in the stock. what's not in is omega. what's not in is the biogen relationship. >> and biogen is doing a fabulous job with the drug. we have a royalty. we think we have an outstanding partner and that they have a long life. it's a really important indication for multiple sclerosis. we're very excited about that partnership. >> what will the company look like, legacy versus nonlegacy by 2016? >> well, we're continuing to grow. historically -- >> i love legacy. this other stuff is harder to understand. >> so we're going to add the -- you know, we have added the elan transaction. we're adding the omega transaction. those are 20% of the company. the rest we'll continue to do the legacy things we have done. but what's really important we'll continue to launch new products because the trends we talk about going back to the first time i was on the program are still the same trend. we have more products going from prescription only to over the counter. >> something we don't about -- with pfizer lipitor. i'm not putting that in the numbers. what would that be? >> that's an amazing -- >> that would be the holy grail of opportunity. you're not paying much for perrigo. one last question. do i -- the lawsuit, the chinese, are these things that can be resolved within this year? >> i think the lawsuit we'll expect to hear something from the judge. i can't ever make a comment on a legal action. >> in 2015? >> i think we'll hear something, yes. in the 2015 time frame. but you can never make any promises when it goes into the court of law. we do believe we're making good progress. it's important to get the products over the counter. >> well, look, like i said we're not paying a lot for the stock. it's down a lot from the year. i think that's probably wrong. the president and ceo and chairman of perrigo. you can listen to them, if you want to learn more about the stories. stay with cramer. let me talk to you about retirement. a 401(k) is the most sound way to go. let's talk asset allocation. sure. you seem knowledgeable professional. i'm actually a dj. [ dance music plays ] woman: [laughs] no way! that really is you? if they're not a cfp pro you just don't know. cfp -- work with the highest standard. >> announcer: lightning round is sponsored by td ameritrade. >> it is time. it is time for the lightning round. you say the name of the stock. i don't know the calls or the name of the stock ahead of time. i tell you whether to buy or sell. when you hear this sound -- [ buzzer ] -- then the lightning round is over. are you ready, skee-daddy? >> frank? >> booyah. >> caller: i have a question about cvs. i sold it after earnings. >> if it comes down, buy it back. let's go to another frank, frank in virginia. >> caller: how are you doing? >> really good. how are you? >> caller: really good. i got my tickets for the "mad money" tenth anniversary show. i'm looking forward to the party. >> it's going to be fun. we'll rock the house. what's going on? >> caller: my stock is box -- >> i think it's fine. long term. i'm not looking for it to shoot the lights out, i like it long term. adelaide? >> caller: hey, jim, thanks for taking my call. >> my pleasure. >> caller: you mentioned last week that the bank stocks were poised to move up. regents financial. >> these are plays on interest rates. they have not been going higher but i think rf has good higher. but that stock can get hurt. larry in minnesota? >> caller: hey, jim, booyah. back in november, morgan stanley announced a spinoff of -- >> go ahead. wow. kind of left me in the lurch. i'm not sure i can handle that question. why don't i go to next one? kurt in idaho. kurt? oh, wow. tell you, hey, kurt, pick me up. whoa. let's -- what we'll do, when you're in a jam like i'm in right now, go to miles in florida. miles? >> caller: hi, jim, thank you for taking my call. >> i can see for miles. wow, what's up man? >> caller: my question for you is i'm invested in a technology company called flex tronics. >> what a good call. they're buying back stock. the quarter is really good. i'm surprised that that stock is still stuck at 12 bucks when it deserves to be at 14. mike, did a great job. steve in ohio. steve? >> caller: hey jim. i'm ready for baseball. let's play booyah. >> i like that cadence. what's going on? >> caller: rpm international. >> that quarter didn't matter. that franchise is dynamite. that ladies and gentlemen, is the conclusion of lightning round. >> the lightning round is sponsored by td ameritrade. our board was important in this decision. as were the leaders in the company that i worked with on a daily basis. it was really a team effort, a team decision. and widely supported. we're all very excited about it. >> and it's a start. i'm talking about walmart's decision to take a hit to nextiernext year's earnings to give their workers a wage. and even as this news sent next year's earnings estimates south and clocked the stock more than 3%. i can say hallelujah. this move shows that the new ceo you saw gets it. he's figured out that what walmart needs more than anything else is a workforce that's inspired. and to make that happen, he has to start outbidding other employers in order to get and retan the best workers. only one problem -- he's still below the others in hourly pay, especially costco which pays their employees $21 an hour. and more important costco's probably the single most generous retailer when it comes to benefits which as we know can be worth far more than hourly wages when it comes to keeping the best employees that's why you can walk into the costco and see the same people for years and years. i see employees at costco who know what i want and can anticipate what i'm looking for. they love. that's evident the moment you ask about something in their area of expertise. ask an associate how to cook that roast or what goes best with the crab legs. they never get mad no matter how often you come back free samples. last year i was paling around with kyle after a show we did in the gulf. we went to walmart and see louisiana. i asked the greeter where to find cargo plants and she sent me to appliances. when i found my way to the pants section there was no waist smaller than 46. you know, walmart, not everyone is stout and portly. i had the great privilege of interviewing the ceo of why they can past more than anyone else. they're successful precisely because they pay more than everyone else. like keeping the associates being content and has the lowest turnover of any other retailer. that means they have the lowest training costs and that's the real secret of costco's profitability. it detracts from the manager's time and jim said if some retailers, 30% of the profit goes to training. but they have almost no training costs. jim is not the only one who realizes this. howard schultz at starbuck's is offering tuition payments for those employees helicopters to keep. i want the people to know how to make the cramer with the cappuccino going to work at dunkin' donuts. chipotle promotes from within. and mcdonald's, how do you say revolving door? that's okay when the menu is simple but mcdonald's is anything but a simple menu. fabulous to recognize how you can have a sustainable workforce. now, if you can make that shopping experience a little more special, your stock might be the one to buy. stick with cramer. ♪ there's confidence. then there's trusting your vehicle maintenance to ford service confidence. our expertise, technology, and high quality parts mean your peace of mind. now you can get the works, a multi-point inspection with a synthetic blend oil change tire rotation, brake inspection and more. $29.95 or less. can it make a dentist appointment when my teeth are ready? ♪ ♪ can it tell the doctor how long you have to wear this thing? ♪ ♪ can it tell the flight attendant to please not wake me this time? ♪ ♪ the answer is yes, it can. so, the question your customers are really asking is can your business deliver? you have to watch this one tonight. it's huge. gary mencoe he couldn't sweep his fraud under the rug. don't miss the 100th episode of "american greed" 10:00. we have fiesta restaurant group going higher. you know that's one of my favorites. then noodles which i odon't like going lower. nordstrom, people knock it down. wait a second. they're stopping they're spending. almost done. their big spend. that stock can go to 85. hold on the it. there's a bull market somewhere. i promise to find it for you, right here on "mad money." i'm jim cramer and i'll see you tomorrow. >> narrator: in this episode of "american greed"... in grand rapids, michael vorce has money to burn. >> he was going to bars and tipping $1,000. he was buying expensive clothes, up to $20,000 at one visit. >> narrator: he drives fast cars and fast boats. >> he'd load the boat up with girls and go out and party. he was living the lifestyle. young guy, lots of money throwing it around. >> narrator: he says he has a fleet of more than 50 luxury yachts. he has the papers to prove it. that's all he needs to con trusting bank loan officers out

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