Transcripts For CNBC Mad Money 20171211 : comparemela.com

Transcripts For CNBC Mad Money 20171211



well hitting all of these records think about it, stocks have indeed come very far very fast we're right on the cusp of multiple rate hikes. there was a terrorist attack in times square we've got a special prosecutor investigating the white house and last week we almost had a government shutdown that was only temporarily averted, yet stocks, they're in great shape the dow gaining 57 points, smpt advancing 0.32%. led by, you guessed it, apple. look, these are not easy questions, frankly, at this point. when i talk to people, far more of them want to get out of this market rather than get it. it always pains me, but that's what they want to for. many of them genuinely believe we are being led right off a cliff. like obvious little -- i think they may be mistaken, though, i'm going to give you a sense why. we can start with a bigger picture. that's the so-called macro first of all, the whole world is on fire here and all of these u.s. specific worries pail in comparison to the synchronized global expansion we're experiencing you can go constant net to constant net to see it when you look at the u.s. alone, it's pretty darn incredible. we have very strong growth that's -- when people have jobs, they spend money on homes, on cars, on devices people collecting a steady paycheck are a lot more confident than the unemployed. even better, we're in this sweet spot where there is still so much slack in the labor market from the great recession that we can have tremendous job growth without much inflation i always call that the holy grail of investing it's not just that we're creating lots of jobs, it's where these jobs are being created. i think that matters as much we didn't talk about -- i've got that broad brush number frost labor department, but you know what sector really shined? the manufacturing sector it's incredibly robust manufacturing. we've been worried about losing that for years robust because the united states now has found abundant natural resources that we tend to take for granted. with the exception of russia, no other real industrialized country has access to so much cheap oil or cheap natural gas in fact, we've reached an odd place where we have far more energy than we ourselves can use. we're now producing about 10 million barrels of oil a day it doesn't mean we're not importing, but this is what we're doing. so million that's a record. it's even more impressive when you consider opec flooded the market with crude in order to drive our competitors out of business their strategy failed and the u.s. has become a major energy exporter that's huge for manufacturing. especially our plentiful and low cost natural gas supplies, which makes america a far more attractive place to build stuff. beyond that, our oil companies are more flushed than you'd expect at these prices because drilling costs keep coming down and they can find more oil with fewer rigs hey, by the way, that's why this rig count we follow on friday and the oil inventories on wednesday, hate to clue you in, but they really don't matter that much anymore. we're getting much more out of each rig that matters who cares about stores when we're exporting oil at a record pace it really doesn't matter how much is stored what matters is how much we're exporting. jobs are being distributed more broadly in places that have been fallow why doesn't that story get more air time it does beat me. it's part of the ongoing feel good, i guess. and while it's tough to keep companies here when they could pay workers so much less if they moved to mexico or any other developing country, some of them are doing plenty of hiring in america. maybe it's the low cost energy advantage, maybe it's the president's bully pulpit, maybe it's a bit of both those are just the organic positives. how about tax reform big impact whatever your view of this bill politically, it is a huge positive, not negative, for the market even though there are some issues for individual investors like selling out first in so you have to pay higher taxes i'll give you an example i've interviewed a host of tax paying companies like boeing, they've got high taxes and they intend to return some of that point to shareholders in the form of dive depends and buy backs. and an $18 billion buy-back. but they also told us that they'll use that found money to hire and to innovate now, we know they have far more plane orders than they can handle they need to expand the capacity maybe they get the money to maybe that happen. bullish. speaking of aerospace, this industry is another reason why you can picket stocks when they're down, particularly the industrials. there are only a handful of companies directly involved with aerospace and the obvious ones that hand scout are honey well, united technologies and boeing there are only a handful involved in aerospace and defense. these are major industries and they're generating a ton of business aerospace and defense are why so many industrial stocks refuse to go down, frankly even those ones partially involved i'm thinking about a eaten or ppg, the airspace cycle is real, it's on fire and it's generating a lot of jobs. then there is something president trump's chief economic adviser gary cohn said the other day. he said deregulation by our president is sparing jobs. now, as a small businessowner myself, i am always conscious of the layers of red tape all of that stuff is true, by the way, they make it impossible to compete with big business since trump took office, it's not the federal government that people are worried about, it's state and local jurisdictions. this administration's been rolling back relgts regulations. they've gotten a lot softer when it comes to enforcing existing once again you may thing this is really bad i'm not talking politics purely from an economic standpoint deregulation is good for the stock market remember the premise here. i'm here to tell you why it's not crazy that stocks can stay up here. now i certainly think that banks are feeling this deregulation. banks have since the great recession lived in fear of losses and what the regulars would say if they took them, but a bank that takes no chances on anyone less than totally credit worthy, i would say that's a bank that's not really doing its job. thanks to all the rules and regulations put forward after the recession, banks have been very averse to expanding, let alone lending money to people who might need it. less regulation means they can afford to take rivgs and bank stocks can be viewed as -- or value traps. if you want to see what i'm talking about, look at letter c. look at the stock of citigroup do you know a week ago we learned that it's going to have a $20 billion loss the stock barely budged. it's now about a point below its high because we realize that the losscomes from bookkeeping it's what happens when you cut taxes. the losses aren't worth as much. plus, if the regulators aren't going to freak out about it, why should we? finally we're witnessing some just truly amazing, i would say breath taking comebacks in certain stocks for instance, look at value. vrx, now many thought that when bill acumen, the big time hedge fund manage bailed from his huge valued positionat around $11 i had to be a game-changer, it had to be over, right? a big guy who knows the company blows out of his stock it turns out it was just beginning. valeant just broke out above $20. there are all sorts of others. courtroom by and fitch, american eagle outfitters some of these seemed in a per t permanent death spiral, but it didn't happen. the mall doesn't seem all that dead either. if you're in any doubt about shopping, consider costco, home depot, walmart have you seen how they're doing? they're incredible or the comebacks in stocks of macy's and kohl's, retail suddenly is looking pretty darn good it's just very hard to keep stocks down in this environment. that's really the major takeaway tough to keep them down. so let me give you the bottom line last week i did present a list of worries when we were hitting the all-time high again like today. but i think the reason why this market keeps hanging in there, matters a lot more the truth is, when the economy is this good, you are, indeed, unlikely to get a sustained decline. let's go to alex in arkansas alex >> hey, jim. from the university of arkansas, home of the razor backs. >> we love the razor backs what's happening >> i had to take a break from studying for finals to ask you a couple of questions about the human resources firm i recently invested in. their fundamentals look strong and they announced a two for one split last month where do you think their p.e. ratio is compared to their competitors and do you see continued growth should i buy more? >> i think you're absolutely fine no need to buy more, alex. here's the deal, we did a profile of inseparaparity, it ws called a what the heck well, human resources and business optimization services are very hot you're in a hot one. no need to buy more. but i like insparity james in tennessee james? >> hello, jim. >> james, how are you? >> just fine my question is, what is your opinion of johnson & johnson stock and the liability in the lawsuits and what would you say would be a realistic 12-month target price >> okay, first, congratulations to alex gorsky and army on a billing victory. everyone is a winner in the army-navy game second, i don't think those lawsuits are all that relevant third, i can see j & j creeping up to 155 without a problem. it's a great american company. i don't want to minimize what's happened to people who are suing, i just want to say it's not a reason to avoid the stock. all right. don't let the negative nancys fool you, there are worries out there but plenty of positives, too. boy is it hard to keep the market down. a company leading the way in parkinson's has come down in the next few months. is there a red flag? then the auto parts retailers were stalled earlier this year. are they still in need of a tunup or could this be the big breakout could an investment in golf be a hole in one for your portfolio. see how it's disrupting the space. boy are they ever. don't miss my exclusive with top golf ceo and stick with cramer ♪ (music plays throughout) ♪ ♪ ♪ ♪ ♪ ♪ we're drowning in information. where, in all of this, is the stuff that matters? the stakes are so high, your finances, your future. how do you solve this? you don't. you partner with a firm that advises governments and the fortune 500, and, can deliver insight person to person, on what matters to you. morgan stanley. or a little internet machine? [ phone rings ] it makes you wonder. shouldn't we get our phones and internet from the same company? that's why xfinity mobile comes with your internet. you get up to 5 lines of talk and text at no extra cost. so all you pay for is data. choose by the gig or unlimited. and ask how to get a $200 prepaid card when you buy any new samsung device with xfinity mobile. a new kind of network designed to save you money. click, call or visit today. about a month ago, we got a call from a fellow by the name of lance in florida. he was asking about a small biotech company called acadia pharmaceuticals. the stock just got slammed and slammed hard in the first two weeks of november and lance wanted to know if it was worth buying in. i've talked about this one before i haven't been keeping track of it i told lance i needed to do some homework and dig into why the stock sold off before i gave him a verdict, you can't just cuff these things because this is, or at least we claim it to be the most interactive show on television we did our research. my view, this is a tough one to get your head around, the stock's been a real roller coaster. a lot of people don't like roll roller coasters. that said, i think acadia's got enough going for it that this stock is indeed worth speculating on meaning you can invest a small portion of your discretionary mad money pour folio in acadia, not for your retirement money, but i like this bun. what makes me feel so good about it first, let's talk about what the company actually does. acadia's a biotech focused on treating central nervous system disorders, specifically mental illness and some symptoms of parkinson's. the company has one drug on the market that's n-u-p-l-a-z-i-d, approved by the fda in april o'2016 that's for treating hallucinations and delusions associated with parkinson's related psychosis. it's the only drug on the market for these parkinson's symptoms roughly 1 million people in the u.s. are afflicted with parkinson's with another 3 or 4 million in the rest of the world. about 40%, that's a very high number, 40% of them experience parks sen parkinson's related psychosis. acadia is studying the same compound on dementia related psychosis. certain types of schizophrenia even when most existing antipsychotic drugs work, it's so often the side effects are so terrible that it's very hard to keep people on their meds. you hear people saying did he go off the meds there are consequences the drug is in phase three clinical trials for dementia and schizophrenia and phase two for depression these are huge markets there are 8 million americans with dmen stha sha related psychosis, which includesal seemers. at the moment, there is not a single fda approved drug for this condition instead, most doctors prescribe off label anti-psych ticks anti. it can't prevent people from suffering dementia from having new psychotic episodes this could be big. how about schizophrenia? at acadia studying the same drug in phase three clinical trials more than 3 million americans suffer from skiz friechizophrena these are gigantic markets it's really devastating both for the people with the disease and their families who need to take care of them although unlike dementia, schizophrenia typically manifests itself in your 20s or late teens and hijacks your whole darn life. this disease is as varied as it is terrifying. sometimes it causes ha lewis example nations and delusions. think voices in your head. sometimes it's paranoia, incredibly confused and jumbled thinking and sometimes it's extreme emotional withdrawal in short, it's the kind of condition that makes you think thank heavens for modern medicine there is a problem with the medicines here and that's where acadia comes in. the drugs we use to treat schizophrenia, they've got major flaws. some of these pills can make you gain weight. not talking about adding 3 or 4 pounds, 30 or 40 pounds and do it in a matter of months and hit or miss in figuring out which ones work and which ones don't acadia is studying the compound as a treatment for schizophrenia patients who aren't getting the help they need from the current antipsychotic drugs about the market it works via a totally different pathway so it could end up being very popular if it can get fda approval let's put it all together, okay? you've got the makings of what i think is a pretty good story, i should say sadly a pretty good story. because these people are suffering mightily however, over the past couple of years, this has been a tough stock. it's been whipped all over the place with the rest of biotech the sector falls in and out of favor. wall street liked acadia when it was trading at 35 last year. when the fda approved its lead drug for parkinson's and psychosis. now roughly a year ago we got some positive phase two data on how acadia's main drug works for people suffering from psychosis caused by alzheimer's disease. acadia's very much a one-drug wonder particularly whether it can get approved to additional applications beyond parkinson's is interesting another interesting component is takeover sfeklation. earlier this year, we heard a ton of rumors that it could be the target people even mentioned of a company like fooizer or and & j. then when the company reported in may its sales came in weaker than some analysts expected. then it plummeted to 25. that is where it bottomed, though and, you know what, acadia starting bouncing again. imagine if it held some bullish annual meetings and started hearing renewed takeover chart trouncing -- with much better than expected sales and a dramatically smaller than anticipated earnings loss. it looks like it was really starting to gain traction. but to 35. in september, we got more takeover speculation this time, the evening standard reported that astrazeneca was considering a bid. in october, we finally got some real news. the fda granted acadia's drug -- as a breakthrough therapy status for dementia-related psychosis and the company started a phase three trial, the last phase before you can ask for approval. stocks spiked to 41 on the news. that's where it peaked at least for the moment. nobody seems to care bad sign because sure enough, last month, this one is exacerbating they gave us an update on their phase twoal seemers stud this year, though, while the study met its primary end points, wall street was underwhelmed, the stock got slammed and plunged 9% on the news when it reported a few months later, the results were better than expected. they were hope for an epic blowout. didn't get one right until we got that call from lance in florida asking if acadia's a buyer even if that time, it's rebounded about 12%. lance, you got horse sense i think it's got more room to run. as it far as i'm concerned, the bullish story is in tact it's just that this stock goes through period of belgian overly liked followed by periods of excessive hatred this was the most volatile stock i've ever done the work on bottom line, acadia's been a really wild trader, but -- i think the stock is absolutely worth speculating the next time it pulls back and i think from what i just went over with you, it will pull back again. just like every other biotech in this environment, it's prone to periodic weakness. what a tough one but one i want to own when it gets hit again can we go to john in california, please john >> oh, happy holidays, jim, from out here in sacramento we love you out here. >> you're very, very kind. we had that gentleman from tri-point. he's got a lot of land there i think it's a good stock. what's going on? >> okay. i got -- it was up a bit and a bought it. they've got the cure for hepatitis c, it loses 20%, they make a ton of money and bought another company awhile back. i was wondering what's your opinion of where it's going with this big billion-dollar acquisition? >> i liked it. in the same way just so we know that i liked the acquisition of any one of these companies that can produce something with it like j & j has in this case, they caught -- i think you have a floor around 70 and i think it will be up 15 that is not bad. talking about a five-point down, 15 up. i'll take that risk any day of the week i always say i have the smartest audience in the world. lance in florida, thanks for shining the light over acadia. i know it's been a wild one, but the potential is there you've got my blessing much more "mad money" ahead. for years, the auto parts retailers were some of the best performers around, but then they took their foot off the gas. are the stocks back on track or could there be speed bumps ahead? 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how long does it take for a stock that has fallen from grace to get its groove back for years, the auto parts retailers were some of the best performers around. i always highlighted them. if you owned advanced auto parts or autozone or o'reilly automotive from 2013 to 2016, you really cleaned up. but earlier this year, the whole group suddenly wept out of style on the wall street fashion show as the companies reported a series of ugly short falls and their stocks, they got obliterated. however, in the last few months, the auto parts retailers have started to rebound autozone and o'reilly bounced from their lows over the summer. advanced is up 28% since november 8th that's a magnificent move. if the auto parts business is really back on track, these stocks are dirt cheap. in a market we're constantly hearing people fret about sky-high evaluations so how is it that the auto parts retailers have been making such a monster comeback crucially was this merely an oversold bounce or could these gains have more room to run as part of a brand-new up trend to really understand what is happening here, though, you need to understand the recent history. they had a terrific four-year run before the stocks went free freefall now, that was just a few months ago. it was just earlier in the year. the reason, the big driver here during the great recession and its aftermath, americans became a lot less eager to buy new vehicles makes sense. old cars need more maintenance, which means more business. more business flows right to the line of these companies, the parts retailers. at the same time, these companies were veracious buyers of their own stock, eventually autozone, although o'reilly typically had the best numbers then something went very wrong for these guys in the first half of 2017 and their stocks fell off a cliff. for starters, there is the amazon factor. for a long time, everybody assumed that companies line auto zone or o'reilly were somehow immunized against the amazon but in late january, we learned that the retail death star would be targeting the auto parts space. as i pointed out before, whenever amazon has an industry in its sights, every stock in the group gets slammed, even if they shouldn't be. then within a matter of weeks, the auto parts retailers start reporting really ugly earnings the future competition combined with these numbers made things worse. advanced auto parts, which was the laggered of the group for so long came in to 2017 on a high note business seemed to be booming if and the company looked like it had overcome several longstanding problems. like acquisition problems of genuine parts international. then in february, the company reported a substantial earnings miss management cut their full-year forecast and their free cash flow went down in may, the situation deteriorated even further. advanced auto parts posting an enormous earnings shortfall. down 2.7%. we saw a similar story from autozone small shortfall in february. o'reilly's results were stronger but they still gave tepid guidance when o'reilly reported its first quarter results in late april, they only gave you mild disappoint not good but much better than autozone or advanced auto parts and the guidance was decent. what caused these hideous numbers? the thing that they kept cited was the very mild winter, second mild one in a row. for those of you who live in warmer climate, colder weather is very tough on cars. all the snow and ice results in the need for more maintenance. that's good for business by the same token, a mild winter means less demand for relamt parts. at let's that's the story they were tell. they also blamed the delay in federal took refunds you're less likely to upgrade your car when you're waiting for the government to give you back your money the rising minimum wage put pressure on the margins of every one of these guys. if you put it all together, you've got some very steep selloffs that seem pretty justified. autozone tumbled from789 at th beginning of the year to 481 hideous. o'reilly 271 to 169. advanced auto parts lost more than half its value, 169 to 78 where it finally bottomed a month ago. however, since then, all three have made remarkable comebacks which means to me they were being straight with when they blamed the weather and the tax returns. it rang true how did the bottom play out? the big washout in autozone and o'reilly came in early july. o'reilly preannounced very disappointing same store sales figures. that was a pretty big miss and the whole group got eviscerated. o'reilly losing nearly 19% of its value. in sympathy, autozone down 9%, advanced auto down 11% that was the moment of capitulation with the weak investors the ones who really didn't have any convibs? well, they blew out en masse everyone who was going to sell seemed to have finally sold. o'reilly is autozone ended up bottoming a week or two later, although it took advanced auto parts a few more months to turn things around. you're always asking me about these. the turn went into full swing over the summer. first o'reilly reported better than expected quarters and even though the company cut its four-year forecast, nobody seemed to mind since they had already preannounced the downside a few weeks earlier then autozone delivered a nice beat in september and on a conference call the ceo he gave some pretty rosy commentary about stwant advanced auto parts lagged behind because in august they missed the estimates and cut numbers. very different than what you got from o'reilly. but the latest round of earnings from all three companies was pretty darn impressive o'reilly gave you another beat in late october. actually raised their full year earnings forecast. advanced auto parts missed on the top line they also delivered a big earnings beat and management reaffirmed their guidance rather than cutting it. you know what the stock did? it shot up 16% in one day. then last week awed owezone knocked it out of the park on this once great group of stocks, i think the market may have overreacted in the first half when these companies reported a wave of shortfalls and everyone was freaking out about the death star amazon. the numbers now seem to be improving and the stocks are far from expensive aap sells for 17 times next year's earnings estimates, o'ri o'reilly, out ozone only 14 times. i've recommended it as a takeover target at the deal economy conference advanced -- i bet he would love to get out of this one the bottom line, these stocks should never have been down so much in the first place. the selloff was a total rush to judgement, like the ox bow incident but -- which one should you buy? this is an interesting thing for you to know yourself you can take your pick you can bargain hunt with auto zone or speculate on a takeout with advanced auto parts boy, this industry, it's got something for everybody. let's go to steve in new york. steve? >> boo-ya, mr. cramer. how are you? >> i'm doing well, steve. >> jim, i saw my stock jumped 30% over the last couple of weeks on some good news and reports. i was wondering if you think this stock could be a "game change" for the car industry or should i sell on the good news >> let me think. let me think let me think let me think you know, i know we looked at this, the online platform. i have to do more work on it, boy, sometimes these have been real bad and sometimes they've been real good and i do like -- what made me hesitate is that carmax has been all over the place and i'm not sure what to say let me do more work. the auto parts retailers, they are very much back maybe they should never have gone down this much to begin with take your pick when it comes to any name in this crew because it's got something for everybody. much more "mad money." it's in driving range meets bowling alley meets nightclub, meets experienceal stuff it's envogue i'm talking to the ceo of one. then with bitcoin futures officially trading, i'll tell you what to make of the cryptocurrencies and "rapid fire," in today's edition of the lightning round directv has been rated number one in customer satisfaction over cable for 17 years running. but some people still like cable. just like some people like wet grocery bags. getting a bad haircut. overcrowded trains. turnstiles that don't turn. and spilling coffee on themselves. but for everyone else, there's directv. for #1 rated customer satisfaction over cable, switch to directv. and for a limited time get a $100 reward card. call 1-800-directv my name is jamir dixon and i'm a locafor pg&e.rk fieldman most people in the community recognize the blue trucks as pg&e. my truck is something new... it's an 811 truck. when you call 811, i come out to your house and i mark out our gas lines and our electric lines to make sure that you don't hit them when you're digging. 811 is a free service. i'm passionate about it because every time i go on the street i think about my own kids. they're the reason that i want to protect our community and our environment, and if me driving a that truck means that somebody gets to go home safer, then i'll drive it every day of the week. together, we're building a better california. if you want to be a good investor, you need to find major new trends and get out ahead of them every now and then that means checking in with the privately held company that is at the forefront of something very big. tonight i want to talk to you about one of the few growth areas left in the golf world, it's the interactive driving range. this is a concept pioneered by top golf a normal driving range is kind of boring, you whack the golf balls and away they go top golf came up with a new idea they put microchips in the balls and you hit them at targets on an outfield. it's like a gigantic dart board. because the balls are chipped, they can score every single shot for accuracy and distance. suddenly we got a fun, competitive experience and top golf has become a full-on entertainment venue with dynamic entertaining spaces and food and drink menu the company is small they're opening their 38th location on friday it's already a major driving for c callaway so let's take a closer look with eric anderson, he's the co-chairman and ceo of top golf and the eighth most powerful person in the golf world, according to golf inc. only seven spots behind the president of the united states mr. anderson, welcome to "mad money. have a seat. thank you. >> thanks for for having me. >> candidly, i found out your company through entertainment properties which told me it is the most stable grower in their huge, frankly, different entertainment venues so what's going on how much of it is golf, how much of it is experiential. how much of it is women? you have a lot of women who play. >> about half our business is the golf game, the golf entertainment game, about half food and beverage and we've got about 35% women. so it appeals to everybody. >> opening up 38th, how many can there be >> well, we think at least 100 in the united states and then another 100 or 200 around the world. we're in australia now, mexico, canada, we just announced dubai as well. >> now how much are people who went out, you know, have a good time and how many want to be great golfers? >> we're about 40% golfers, 60% nongolfers. >> that high nongolfers? >> we're starting to see that defined as somebody who doesn't play eight rounds each year. we're seeing kids show up now and we've got great instruction programs and it's a lot of fun you can watch your kid and you get a cocktail or a coke and watch them hit some balls. >> when my kids were little, we took them in chuck e cheese. it really was an exercise in spending a lot of money for nothing. this seems like such a better idea it's out, it can be outdoors it's got something that can be a lifetime sport are you hearing from parents this is something terrific for their kids >> we really are we've got some great stories already with young kids learning to play golf, working with our professionals there. we had a great story the other day one of our professionals, a young kid was doing really well and our professional went out to him to watch the drive, chip and put, the program from augusta. the kids can get a lot of practice in. golf is maybe a 20-minute game with a four-water walk so you're really learning how to hit the ball before you go out on the course a lot. >> there are so few golf plays, i've used epr as one of them at a certain point, when you've opened enough, is top golf a company that could be public >> yes, we definitely fit the criteria to be a public company. providence invested in us recently we look at that as an option for us at some point. >> top golf crush seems like something i want to play republican right >> yeah, absolutely. we bought this company called now top tracers to track the ball in addition to chips in the ball we take it, you know, to the big arenas we were recently at f-1. you can set up topgolf and play it at any kind of venue. we go outside our regular venue. >> where are we in golf? tiger woods came back. there was a lot of hoopla about that i'm trying to figure out in a 50-year panoply, where is golf >> golf certainly hit a peak at one point in the u.s. with tiger. i think it's stabilizing and we're seeing real growth again i think golf gets growing in a couple of ways, if you count our activity, it has grown it's expanding the audience and how people get to it. >> one last question, we're about millennials in the show, we're about experiential, does that fit the criteria? are people doing instagram when they're there? is it very much a facebook or snap experience? >> yeah, absolutely. it allow it is to be for millennials a dense parallel experience you come in, you play the game, you can have some great food our associates do a fantastic job. you watch some tv, work with your friends, whether it's your girlfriend, business colleagues. right in the middle of it you say, that's great, i want to take a picture you stop and it's instagram moment i knew we were on to something when drew brees took a snapshot and said this is my score. i'm winning. when people are taking a picture of the screen and telling me, hey, can you beat my score >> that tells you everything, frankly. that's the greatest. we all love drew brees that's eric anderson he's the co-chairman and ceo of topgolf. i like this story. "mad money" is back after the break. 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let's start with james >> cramer, i bought in at 1009 on pure therapeutic. should i hold it or get out? >> i still believe in it i'm not backing away jason in texas jason? >> home of the ut longhorns where property values are through the roof pun intended my question sawn thompson reuters ticker tri. >> i think it's very inexpensive and there is always going to be a need for it, and therefore it's okay to own how about john in south carolina john >> hey, jim. mgbl farmers looking good. >> that thing is insane. why not take half off the table, really you're not going to get a 400% run without some people taking profits. doulg in arizona doug >> from warm and sunny arizona i'm calling about etson international. >> oversold and i don't think it's going to be as dangerous. how about jerry in utah? jerry? >> jim, a big rocky mountain booya to you i love the good advice you give all our action alert winners. >> i think i should have been pushing the club to buy the stock. i like it so much. hopefully it can get in there. that concludes lightning round i'm not really a wall street guy. what's the hesitation? eh, it just feels too complicated, you know? well sure, at first, but jj can help you with that. jj, will you break it down for this gentleman? hey, ian. you know, at td ameritrade, we can walk you through your options trades step by step until you're comfortable. i could be up for that. that's taking options trading from wall st. to main st. hey guys, wanna play some pool? eh, i'm not really a pool guy. what's the hesitation? it's just complicated. step-by-step options trading support from td ameritrade bitcoin? bitcoin. bitcoin. what do we do with bitcoin first, let me say this, as long as it's not against the law, i am supportive of anything that makes people money bitcoin has made people fortunes they've made people fortunes all over the world you know what i say? hallelujah that's great second, i hate it when experts try to keep other people out of securities or instruments that make you money one of my biggest gripes is i so often hear hedge fund managers come on tv and say the stock market is too risky for them or the easy money has been made or it's too dangerous for individual investors i balk at that kind of thing i've been hearing stocks were too expensive since when i was poor and bought my first one almost 40 years ago. i was often warned against buying stocks because i could lose a ton of money. i'm so glad i didn't listen to people who, frankly, would have kept in in my chains as long as there is no systemic risk, you shouldn't listen either bitcoin, i'm concerned they're too disorganized, too dark, too dependent on software they can be hacked. i'm regarded as a door-slammer like people who say don't buy stocks, they're too risky. not true i've waited ages for a device i trust. a futures contract to help us discover the real price of the darn thing as much as bitcoin's definiters may love it and they're very emotional about it, anything that trades at an entirely different price is unreliable and does bear the resemblance to monopoly money you can't have something selling for 15,000 one place and 16,000 another. the newly raunched bitcoins futures are changing that. we call this a pair brabolic moe i've not once seen a straight up move like this one that actually lasts. not once i've been looking at a lot of parobolas. all of the different who like it say it is different. or maybe it's not different. in which case -- look, as long as we have aborderly market, i was totally cool with bitcoin. i like the fact it was a secure way for people to get money out of country i don't like, countries that are failing it's certainly better than gold which is difficult to transport and easily confiscated if you live in, say, venezuela, it's a terrific way to hide your wealth or transfer it overseas without being detected by the government which i don't blame anyone from trying to do some say it's the same reason criminals love to do it. i even let myself hope when square decided to launch a pilot program letting its customers buy and sell bitcoin, that might create an orderly market i was dead wrong on all of these and the results we saw until last night when the futures started trading. not that they went erratic, but at least we have price discovery. i'll be monitoring these cryptocurrencies closely it might one day augment gold as a repository of weathlth. i can't rule that out either i'd like to see a lot more discipline at the end of the day, though, you know, there is a need for me as a prudent guy to urge some caution. look, i never want to stand in the way of anyone making money as long as they know the risk. if you want to pit your money in bitcoin, ask yourself, do you know the risk? if you do, be my guest i'm not stopping you if not, though, maybe you should be on the sidelines because my first rule, do not harm. stick with cramer. 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