Uk cpi hits 1 , the highest in almost two years. As for our own core cpi, 2. 2 is just a shade light. Netflix shares soaring. Reid hastings said it will double down on original content next year. Goldman sachs beats both the top and bottom line. The shares, get this, theyre up in the premarket. Visa ceo Charlie Sharf resigning, saying he can no longer spend enough time in San Francisco to do that job effectively. Netflix surging after blowing past expectations. Quarterly subgrowth of 3. 6 million. The company also out with betterthanexpected earnings. Reid hastings last night on the earnings call. Its time for me to apologize for the volatility again. You know, this time its good a good direction. But i think more and more investors are able to look at the multiyear picture and they see the patterns emerging. And so then it would be less and less about our guidance. Stocks on pace for the fifth biggest gap on earnings. I wonder if hes going to apologize for the volatility this time . They have handpicked analysts that do the Conference Call. The Conference Call is really hilarious, frankly. And i want to say, i want to be picked next, i really do. I want to be on the hastings call, because the way this call should have within set up is, okay, let me just ask you, how much do you love tata and how much do you hate pablos mother. Im not giving away any stories because its very clear that narcos drove international. It was unbelievable. Stranger things drove domestic, but narcos is incredible. I so much want to give away but i cant. I want to talk about the fact that pena is coming back and that gives away everything. It is so clear that this is a hitdriven company. And the analysts keep talking about Free Cash Flow and bound by the four walls of the spread sheet. What they should be talking about is how there it is, you see it . Steve is back, pena is back. Judy is probably gone. But this is about content and how much they love it in turkey, how much they love it in poland, how much they love it in latin america. This is a content play and he cant forecast other than the fact when he told me narcos was a combination of breaking bad and scar face. Its all algorithmic. They said they dont know whats a hit and whats not. But they do. If you like breaking bad, youll love narcos. This is literally this guy and his partners coming up with stuff that we want better than everybody else. They have a second and a third. They keep they are able to have noncancellable shows. I cant believe how good they are. They dont cancel them. We dont really know what the underlying numbers are. The show runners know the ratings. So you can argue all you want about if you like, they will like, but they can produce whatever they think is going to work and say its working. Theres no doubt house of cards drove the initial subs here in the states. It caused a shortfall in the second quarter. House of cards 4 was a bust. I agree. And now narcos, the ads was well above where the estimates were for analysts. The bernstein analyst said we cant figure it out because we dont know how much is going to drive viewership. So they will get to 100 million subs in the nottoodistant future. Here in the states and internationally theyre adding so many more. But they still have a long way to go. I thought it was interesting when he pointed out video internet companies, facebook and youtube, video internet companies. Right, right. The key line in the whole darn Conference Call. People people are begging them to say when are you going to stop spending. And finally reed gets sick of them and says, no, well keep investing in growing the contents. We see the ability to continue to please customers with a wide range of contents. So i think if youre trying to model a business, which is all these analysts try to do, if youre trying to model a business long term, you should think of content, hours viewed and brand love. I am raising numbers. Heres what im doing right now. Narcos 3 raising numbers. Im raising numbers right here. Raising numbers pena. You know as well as i do thats a harder game than it looks. But not them. Any primetime chief of a Major Network can tell you, you dont know whats going to be empire and whats going to be i do. I really i dont know if i think that anymore. I think these guys are machines and they have learned. Theyre the only guys but they have a lot more programs than just narcos and not all of them are doing as well. 6 billion, 6 billion on programming in 2017. Excuse me, 6 billion in 2016, 1,000 hours in 2017 so even more. Brand loyalty per share is incredible here. Im not arguing. Youre just getting very excited about it. Theres nothing wrong with i love lucy. Youre like a thursday night football guy. I am thinking big and she is thinking small. I have not watched a network show in years. I still have no idea what was going on by the way, but i enjoyed it. As did the rest of the family. How much did you love tata . I dont know what that is. Tata for now. They are, even as theyre spending more in original, theyre pulling in the number of other titles in their library, so there is that. Eventually it will be more about what they bring and not whether or not you can see godfather 2. Its hbo. But you take them at their word that they make more money on these. Up front they dont. Okay. Okay. You dismiss me with faint praise. They are a powerhouse. They are going to be a part of our lives and everybodys lives in the streaming world for a very long time. They are helping to change this environment that we talk about so often and accelerate the cordcutting that is taking place now at a rapid rate. It is starting to pick up bigtime. Were going to be talking about it a lot in 2017. I think doueutsche is still a sell. Web bush takes their target from 50 to 60 this morning. There are some nonbelievers out there. Yes, theyre spending a fortune on programming, but theyre very good at programming, okay. I think one of the things that came out about this quarter is, once again, the more the merrier. Bring on more. We dont really care about the competition. Its the competition is great for us. I really like that. A lot of people do have two or three services. Oftentimes if you have one, youre more likely to have another. If you have hbo youre more than likely to have netflix and hulu. Why dont you join these people with the 60 price targets . I think you ought to sit down with Reed Hastings and listen to him. I would like to meet and talk to and spend time with mr. Hastings. When you sit down and talk to him, the greatest comment is im going to raise 9numbers novembe 4th. Why . Because he is saying the crown about Queen Elizabeth, the most boring person in history, im raising numbers crown per share right now. Jim cramer, content programmer. Im interviewing him next time. The world got tired of frank and claire underwood. But november 4th is going to be so huge. Do you really care about elizabeth ii . I dont. But this guy will make me care. Im going to care about Queen Elizabeth ii. We also care about goldman. Yes, im moving on. What a transition. Lloyd blankfein . Goldmans earnings released, blankfein said we saw solid performance across the franchise that helped counter typical seasonal weakness. David will have an exclusive with blankfein tomorrow. Get out we cant wait for that. Equity up 22. Investment banking revenue not so good. Down one. But they got their care share o ipos. They did. Investment banking was perhaps the least impressive part of it. Fixed income currency and commodities. And when you take out the dva from last year, its up 49 year over year. And i think a lot of the analysts are looking at that number. So youre going to see a number of notes this morning that say this was the best report weve gotten from it was so far not bad. Jpmorgan sitting pretty good. B of a yesterday, fine. This one does look to be the strongest. Theyre looking to be keeping expenses in control. Theyre 39 comp rev for that quarter. Staff down 5 . Yeah. And the lowest share count they have ever had. Yeah, they buy back a lot of stock. Decreased by 1. 8 for the quarter to a record low. They should just keep buying. Thats what theyre doing. Its an impressive quarter. I remember when david said theyd never get above 6. I said 10. How did you get the blankfein interview . 7 a year ago. Roe above 10 is impressive. Can they keep it there . I dont know. You have to interview him and ask mr. Blankfein. Look, the banks have been good, okay, other than wells. Wells wasnt horrible. I mean they obviously have a little transition problem there. But there is without a doubt one more group that nobody likes that is doing well, the banks. Bank of america was a really good quarter. If we get this fed rate hike that everybody keeps saying were going to get, youre going to wish you own this group. They did have a lower than expected tax rate at goldman. On the stock performance, weve watched these things fade every day. They cut your heart out. I know. They open nicely and then they fade, as we say. Is that going to help with goldman today . Remember, goldman has a window. They start selling stock and that always gets people down. Its not i watched bank of america yesterday open up big and just sell off. At one point it was down. Thats just crazy. It was such a good quarter. 17. 40 book value. But theyre not allowed to be in there the government tells you how much you can buy. Do goldmans results make it less urgent to get into more consumerfacing businesses . I would think so unless its at home. I mean im crafting a world for tonight on mad money where you never leave your house. You play war craft or candy crush for you, david. Thank you. But you order dominos pizza. Do you have your vr goggles on at all times . You will. You will. Because you want to know who is real and your a. I. Assisted robot helping you . You watch netflix where they are in your head and they are telling you you like this, you like that. Youre ordering on amazon and youre going nowhere. Youre literally going nowhere from now on. Bad for ulta. Yeah. You still, if you do go out, youve got to look great and thats mary dillon ulta. People will be walking outside with their goggles on. Bad enough they walk like this all day. Now theyll just have gaug els. That could be. Theres nothing wrong with that. The mall is going to look better in Virtual Reality than it is in real life. Youll be ordering away. You know, in the middle of dinner the other night, a box from rulala came to my house. Just point that out. Weve got to get to dominos, speaking of home delivery. So get this. Do you want to do it after the break . No, no, we have to obey the programming gods. Narcos 4, raising numbers, crowned. Queen elizabeth ii. When we returning, the list of ceos stepping down is growing larger. Details on why visas Charlie Sharf is leaving. Take a look at the premarket as earnings are coming in above estimates. Squawk on the street in a moment. Hey gary, what are you doing . Oh hey john, im connecting our brains so we can share our amazing trading knowledge. Thats a great idea, but why dont you just go to thinkorswims chat rooms where you can share strategies, ideas, even actual trades with market professionals and thousands of other traders . I know. Your brain told my brain before you told my face. Mmm, blueberry . Tap into the knowledge of other traders on thinkorswim. Only at td ameritrade. The es and es hybrid. Its your daily retreat. Get up to 5,000 customer cash on select 2016 models. See your lexus dealer. Visa announcing that Charles Sharf will step down as ceo effective september 1. He will be succeeded on the job by former American Express executive and current visa director alfred kelly. Scharf. Whose family members reside on the east coast said, quote, i love working and running this great Global Company and i am sad to have reached the conclusion that i should step down, but running a San Franciscobased company just doesnt work for me personally right now and wouldnt be fair to visa. Jim, you broke this last night. Yeah. This is a tough one. And the internal memo is very clear. You know, a lot of people resign to be with his family. Yeah. Theres some issues that he wants to deal with at home. Hes an honorable guy. You notice hes staying on until december so theres obviously nothing untoward. Ive met his successor, whos a terrific guy. But this is one where life is precious. Balance doing what you need to do with what you want to do and that is what Charlie Scharf is doing. Charlie scharf is good at what he does but theres issues. And some people do have issues. When they have to address the issues, they do the honorable thing and thats what hes doing. Its interesting to see somebody who says spend more time with my family. Hes only 51 years old. He was a very young guy when he got the job, hes still a young guy. I dont know much about kelly, whos taking over, 58yearold member of the board. I met him when they put the super bowl together, he was big in putting the super bowl together in new york. An important guy at American Express. Very strong. But obviously charlie i think was one of these guys, he came in, was technologically backward. Visa is always very smart, very sharp guy. I wish him well. We should wish him well. I think that hes some people have real issues and they have got to go do things and its not like hes spending time with his family because visa wants to get rid of him. Believe me, no one at visa wants him to leave. So youre not drawing a line through any of those . I dont know i mean doug i thought was doing better. A savage piece in the journal yesterday. Obviously doug is gone. I will tell you that they would beg to keep charlie but charlie has to spend some time in new york. Sometimes things are as they seem, and the internal memo is what it seems. I just hope everything is good for charlie. There was a fourth too, im trying to remember, another ceo. It is interesting to see how boards respond here to try to figure out when the board has proactive or when they are in the case of scharf being presented with a situation where they have to figure out succession quickly. If you go over the internal memo that i got, its pretty clear that this is not something he wants to do but he has to do. Hes been the stock has gone from 30 to 80 under him and hes done a remarkable job and he loves his job. But his family is new york, hes back and forth and back and forth. He does want to spend more time. They dont want him to spend more time with his family, they want him to do what is right, and what is right for him at this point is to do this. He deserves privacy. But i can tell you that this is his own decision, not visas. Thats very clearly not visa. Not going to stay on the board because then he would be looking over the shoulder of kelly. But hes got a lot of things, hes done a lot of public servgs a service. Hes a tough guy. Sometimes i have said something good about some of his competitors, but hes a compassionate man and lets just take it as it is. Those who say that it isnt as it is, im happy to explain to them that thats not the case. Very nice. Jim has good insight. Well get cramers mad dash, count down to the opening bell and take a look at the premarket. A lot of earnings of course. After the close tonight weve got intel and yahoo . A busy day ahead. Dont go away. What powers the Digital World . Communication. Like centurylinks Broadband Network that gives 35,000 fans a cutting edge game experience. Or the network that keeps a leading hotel chains guests connected at work, and at play. Or the it platform that powers millions of ecards every day for one of the largest greeting card companies. Businesses count on communication, and communication counts on centurylink. Whoa. Whats going on here . Oh hey allison. Im val, the orange money retirement squirrel from voya. Val from voya . Yeah, val from voya. Quick question, what are voya retirement squirrels doing in my house . Were putting away acorns. You know, to show the importance of saving for the future. So youre sort of like a Spokes Person . No, im more like a metaphor. Okay, a spokesmetaphor. No, im. Youre a spokesmetaphor. Yeah. Ok. See how voya can help you get organized at voya. Com. Weve got seven minutes to get to the opening bell. Lets get to our mad dash. Were going to talk a little big blue. They changed the name. Its called Rodney Dangerfield inc. They get no respect for the big change of this Strategic Imperatives that they moved up to, david. Now represents 40 of ibm. Each time the annual lists come up with new reasons. Tax rate a little lower, Gross Margins werent that good for the cloud, this time cash flow. Did they overproduce cash flow. So no matter what they seem to do, people dont like it. I would point out that the analysts thats because they have no organic growth, jim. Oh, so okay, yeah go netflix. I talk about narcos, thats fine. They dont. They dont have enough. They obviously have the businesses you described growing very quickly. The rest is but the rest is falling off. Im not going to disagree. If you read the questions, the analysts are very skeptical. These guys have delivered on how much should be cloud. They do produce a good deal of cash flow and return a lot to shareholders. But you know what, david, this is like charlie and the tuna. We dont want tuna with good taste, we want tuna that tastes good. They offer a big dividend. Most growth, investors dont want a big dividend, they want solid they want service now, work day, they want salesforce. Oracle is doing a similar transition, okay. Oracle, theyre a little bit more boisterous. If you go out against them on the Conference Call, you often feel like you feel the lash. Theres no lash here. But ive got to tell you that the analysts just dont like this company. They just dont. And it controls the narrative. Its a little like proctor, when they didnt like the ceo of proctor. So i feel like ibm is a little snake bit. Would i sell it down here . Probably not. But theyre not giving the analysts what they want, theyre giving Warren Buffett what he wants. He wants that stable cash flow and he wants that dividend. And so what happens is that they please one large shareholder whos already in the stadium, but they cant get others to come in the stadium. So it is what it is. T