tv Mad Money CNBC November 2, 2016 6:00pm-7:01pm EDT
>> guy. >> game seven tonight, mel. i know you're watching, aren't you? who do you like, quick? >> the team with the "c." >> hold 65. >> our thanks to bob peck of suntrust. i'm melissa lee. thank you for you tomorrow. "mad money" starts right now. my mission is simple, to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere, and i promise to help you find it. "mad money" starts now. hey, i'm cramer. welcome to "mad money." welcome to cramerica. other people want to make friends. i'm just trying to make you some money. my job is not just to entertain but to educate and teach you. so call me at 1-800-743-cnbc or tweet me @jimcramer. it seemed like a lock at one point. our minds were made up. we pretty much figured thicks out, even gotten comfortable with the results. suddenly everything is upside down. people are hanging on by their
fingernails. no, i'm not talking about hillary clinton versus donald trump, for heaven's sake. i'm talking about the cleveland indians versus the chicago cubs. that's what matters tonight. i think that in many really bizarre ways, the world series finale feels a heck of a lot like today's market where the dow dipped 77 points, spiep declined 0.65%. nasdaq lost 0.93%. now, you know me, i care about the players for certain and the game is definitely vit russ. but when i think of cleveland versus chicago, i'm defaulting to a map of cramerica and the players that rule those two cities. in chicago, it's walgreens, boot's alliance, boeing, archer daniels midland, united continental and all state. cleveland, eaton, sherwin-williams, parker hanifin, key corp. and cliff's natural resources. i have no idea who wins the big game tonight but i don't really
care, not that i don't care about baseball. mike schmidt's my hero. it's that i like both the cups and the indians because they're both underdogs like my teams from philly, so it's very hard for me too choose. sadly, though, it's not hard to choose which city will win when it comes to the stocks. chicago beats cleveland by a mile and i'm going to tell you why. maybe you'll learn something about stocks through this. let's go head to head like a pitching duel. first, the two big dogs, the aces. eaton versus walgreens. when the chicago based walgreens last reported it delivered a very strong number and manage the made it clear they felt regulators would let them by in. even if rite aid deal falls through, walgreens will then do a gigantic buy bark. kkr the private equity firm with a stake in walgreens announced it's stilling its remaining
shares to the public with another 2 million shares going to the company's ceo. a man who already owns 13% of the company. that will clear kkr out. they'll no longer have a stake in it. it shows the level of commitment of walgreens that's about as strong as i've ever seen from a ceo. my charitable trust owns the stock. we've advising club members of actionalertsplus.com that we'd buy if we were allowed. against walgreens, all cleveland has to offer is eaton. eight be sadly reported a disappointing quarter last night pretty much across the board with weaker orders, particularly in truck related businesses. the ceo said the indecision regarding the election softened demand, causing him to trim the company's forecast. it was a very heartfelt and down bet conference call quite frankly. game one, chi town. next up in our world series of
stocks, we've got boeing versus sherwin-williams. when boeing reported last week it traced out a scenario of terrific orders, huge cash flow and a remark be book of business especially for narrow body planes but also for defense. given all the recent hand wringing about how aerospace had got enweaker, i found it a total wake up call. this isn't isn't done. it's in full mode long term. there's some softness in wide body aircraft. hello. the stock has taken off although in the past few days it's pulled back a bit. let there be no doubt. there was indeed a dynamite quarter. against boeing, cleveland's got sherwin-williams. sherwin will yaps was shelled after it reported a week ago. many people came in expecting a real good quarter, a can't miss even. kind of like where the tribe was
a couple games ago. oh, well, was it really that bad? yeah. the bleek report started a parade of weakness that even ended up darkening the hope depot and low's stories. just so, so rough. this one was an easy call. boeing went eight scoreless innings. cleveland threw in the towel and sherwin williams called the bull pen by the fourth. how about game three? archer daniels midland versus parker hanifin. oh, this was supposed to be a battle royal, but it was very clear who people were favored. they are favoring parker hanifin. i heard people say it was a gimme. gimme for cleveland because despite so many different struls struggling, they posted some good numbers especially in aerospace. get this, for an industrial, it reaffirmed its forecast. not many industrials have been able to do that. in fact, when parker announced its results it actually set off a mini rally in the industrials. money was flying out and health
care was looking for a home. by virtue of its solid process controlled sales, it looked like this was definitely going cleveland's way. by the end of the first inning, it was a walk. wrong. out of nowhere, archer daniels midland, a former rubber arms serial disappointer in the agricultural space actually reported a surprise. terrific ag services. the sweeteners were fantastic. i was astonished. this felt like cleveland's game to win, this was a home game by the way. but then chicago delivered a huge upset, one that took the betters to the cleaners as archer zanl stock rallied more than three bucks in one session and then climbed again today. it the about ages since this thing gov off the schneid and suddenly it's among the s&p's big ef winners. talk about rising to the occasion, archer daniels has a really sneaky changeup. just when the talk was a chicago sweep, who goes to the mound?
but beth mooney of cleveland's key corp. oh, she's got a mean curve. versus oscar munoz, a recent trade to chicago's united continental. i love oscar. he's kind of like bo jackson. but mooney has delivered a level of play that no airline, including cramer fave united continental. i expect a hike next month which will allow key corp. to insta instantly make a ton of money off your deposits. hieblg or no hike, it doesn't matter, mooney's numbers this quarter were fabulous. amazing that interest margin. that's the era of course. at last cleveland gets a win, which brings us to the final tonight's game. actually it's not much of a contest. at least in cramerica. chicago didn't need seven games to win this world series. you see, tonight, well, actually last week, all state, the giant insurer reported solid top and
bottom line numbers after the close. but you see it didn't matter because it's up against cliffs natural. that's what we could find from cleveland. that's an iron ore and cole producer. meanwhile, allstate is a huge winner in a higher interest rate environment because it can make more money off your premiums. the trophy goes to the championship star cubbies. now, i'm -- now, i'm not ducking the facebook is down badly tonight. i can see that. i'm not ducking it. just because the giants aren't in the series. in truth, i want to make my own judgment from listening to the call and not relaying on the tape like so many suckers. and i'm not dodging the election, but candidly aren't you getting like a ton of that in other places. i think you don't necessarily need this guy opining every minute on it. sometimes it's okay to focus on the national pastime. so here's the bottom line.
what does the series say about the overall stock market? i think it captures a lit of the zeitgeist of the moment. an aerospace company like boeing can still get you a win. agriculture is coming back. gets you right on base. and regional bank is a solid holding in a rising interest rate environment. what's win in the series is winning in the market. i just wish there were more ws to go around. janet in washington, janet. >> caller: hi, jim. congratulations. we're almost to the end of the election, yay. >> yes! yes, we are! >> caller: yes. i'm considering a bank stock because of the rise in interest rates. i am skeptical of the big banks because of their ethics. so is there a good regional bank like bbt or should i just stick with visa? >> why don't we go with key? bbt is good. kelly king, very good.
we just talked about beth mooney with key. she did a really good job, and i think they've got the mojo, meaning they've got really good long growth and good net interest margin. i say key is the one. go tribe. let's go to wes in maine, wes. >> caller: hey, jim, thanks for taking my call. how about some cubs in seven booyah, my friend? >> partisan statement. >> caller: thanks for helping me out here. i've got a position in t. rowe price. great company. well run company. well respected. nice yield, 3.4% or so. but the stock's been a lag ard over the last three, four years, just kind of going sideways. i wonder if that's, you know, a fundamental weakness in the financial services industry or is that more specific to t. rowe price if. >> i think what's going on there, to be clear is that they're considered to be active fund managers and penople don't want that right now. what they want is people are
putting money in with outfits like black stone, okay? i mean blackrock, i'm sorry. meaning they want what they want is pass if money managers and blackrock stock is a better buy. i prefer to be in, frankly -- if i want to be in a financial right now, i want to be in citi. anyway, you've got my take. yes, i know, facebook down huge. i should just be focusing about that. i should be focusing on the election. but, you know, sometimes you take a little break, and we root for -- i'm focused on finding some winners. you've seen players like walgreens, boeing, archer daniels, key bank that rise to the championship stakes on "mad money" tonight. the oil hitting the lowest level since september. i'm comparing the quarters of exxon and chevron, telling you how the two companies could have two vast lid different results. then it's been a busy time in splitsville as of late. i've got one company that's spinning off on wall street that
you've got to know more about. i'm eyeing the upcoming break up. you probably have its products in your pantry right now, my exclusive with the ceo is just ahead. so 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 email@example.com or give us a call at 1-800-743-cnbc. miss something? head to madmoney.cnbc.com. ♪ we're drowning in information.
i definitely rely on pg&e to be an energy advisor. anything from rebates, to how can we be more efficient? pg&e has a number of programs, to help schools save on energy. when i see a program that fits them, then i bring it to them. with the help of pg&e we've been able to save a tremendous amount of energy and a tremendous amount of money. we're able to take those savings and invest it right back into the classroom. together, we're building a better california. last friday the unofficial energy portion of earnings season got started with a bang. when we heard from exxon mobil and chevron. i got to tell you, these two very similar companies could not have delivered a more different pair of results. chevron posted a strong top line beat and trounced the earnings per share expectations whereas exxon missed badly on the top
line even as it solidly beat the earnings numbers. that's why chevron quickly rallied 4% on friday while exxon declined by almost 2.5%. and it didn't stop there. this week the analysts community chimed in and they were much more bullish about chevron's prospects while being incrementally less positive. but you've got to wonder how is this even possible? how could chevron be doing so well at a time when exxon's performance is, say, suboptimal? these are two of the largest energy companies in the s&p 500, two integrated oil titans. the truth is that exxon and chevron have always been a little different. exxon is more of a steady eddie story. exxon's also managed to stay profitable. it's dividend has never been called into question. the chevron has been all over the place. their numbers are a little more volatile, actually a loit. in the four quarter of last year, they started reporting quarterly losses, and as
chevron's profitability wanes, many starts woring about the sustainability of their dividend. since then we've been assured about the dividend. the share price surged back to 105 as of today. now, going into friday before either company reported, both stocks were up 11% year-to-date. so it's not like one had run up massively and the other hadn't. how do we even explain these divergent results? first let's talk about the headline numbers. chevron delivered a monster 31 cent earnings beat over a 37 cent basis, substantially higher than expected revenue. exxon on the other hand gave us a much smaller five cent earnings beat off a 58 cent basis, but their revenues came in at $58 billion when wall street was looking for $63 billion dollars that. is a gigantic miss. the other key metrics seem to be pretty similar. chevron cut its capital
expenditures by 35%, exxon by 45%. chevron's overall production declined by 1%. exxon's by 2.7%. the real difference, though, here, the thing that caused chevron's stock to rocket as exxon's stock went lower was the commentary on the two conference calls. they were so bizarrely opposite. chevron's management painted a more bullish picture. the ceo called out the liquified natural gas and the payoff for all that investment is getting started. beyond that, chevron talked at length about its presence in the permian basis in texas, which has become the hot place to drill and chevron has more than 2 million acres of land there. that is land is lucrative with oil even under 50. the exxon mobil conference call on the other hand, much more subdued. management spent a long time talking about potential impairments to the company's improved reserves, which
understandably spooked investors. i think they spent way too much talking about accounting standards, not enough time laying out a positive vision for the future. but to their credit, they're never promotional, not in their nature. one of the most surprising reactions came from golden sachs analyst who upgraded to buy. while downgrading exxon from buy to neutral. meta called chevron a super major at an inflex point and says its poised for some major volume growth thanked to its permian acreage and its holdings in kazakhstan. as numbers continue to improve, he expected chevron will get a higher --. plus meta thinks management will give us a positive update on its permian basin plans in march. at the same time, meta is a lot less optimistic about exxon. quoting, lowering to neutral as
limbed cat alift to drive shares higher. he thinks chevron is in a better position to great its production and its cash flow while exxon doesn't seem to be doing too much that can move the kneelnee. the reason chevron roared in response to its quarter while exxon got slammed is chevron has been doing a heck of a lot more to improve its position. at this moment, chevron seems like a better company. how about their stocks? chevron trades at nearly 23 times next year's estimates. if you go out to 2018, chevron is trading for just 16 times numb earnings. how.dividends? chevron's supports a 4.1% yield. exxon has got 3.6 percent. i think this recent differential in performance could be just the beginning. chevron appears to have a lot more upside. exxon seems like it's just sitting there. here's the bottom line, though.
going into this quarter, we expected a boring, predictable quarter from exxon, but it instead made us worry about accounting issues that could harm the paper value of the reserves. chevron on the other hand has been more of a wild card in recent quarters so when the company came out with some bullish commentary about its future, that caught a lot of people by surprise. chevr a lot of upside going forward from overseas asset while exxon seems content to be the same old big integrated oil company. i'll take chevron over exxon any day of the week. much more "mad money." snack packs, slim jims, from favorite snacks to healthy choices, conagra foods is bying some of america's big ef brands, but there's big news here you need to have on your radar screen. then clorox has been cleaning up for more than a century. but after the company's earnings miss, has it created a mess? and four trends that have held up, i'll reveal them all just ahead.
this has been a busy moment for break jumps. first alcoa swins off as ar connick, then young brands spins off young china, which now gets more favorable treatment from the communist party. we've got one more big corporate divorce coming up a week from now. it's conagra, the packaged food company. separating its consumer packaged food business right here from its commercial food business for restaurants that will trade under the name of lam weston. conagra announced this move a little less than a year ago and we have to figure out how to play the split. these are getting really difficult to play candidly. first let me give you some background on how all this came
about. conagra is one of the largest packaged food companies in the world. hunts catchup, pam, slim jims, a. they also have a big commercial business selling food and ingredients to major restaurant chains. now, before we can really talk about the breakup, it's worth noting that conagra had a serious problem in recent years. in 2012, the company massively overpaid for a company called raul corp. conagra was betting consumers weary of the great recession would continue buying cheaper store brand options at the supermarket even as the economy recovered. but by 20 15rks business was still in steady decline. it was this weakness that caused the investors of janna partners. they bought a 7.2% stake in conagra and they began pushing management to sell the bright label business. thankfully conagra's management
listened and announced it was getting out of the private label business. they ended up selling it to tree house foods for a lot less than they paid. it ended up being a good deal for everybody involved. a few weeks later, conagra told us it wasn't finished, it needed to transform even more. the company announced a major split into two businesses, a packaged food company, and you see a lot of this here, and a food service play focused on frozen potato products. conagra brands will get all the consumer business, the ones i just outlined. the new lam weston gets all the frozen potato appetizers, vegetab vegetable products, some exposure to the frozen food aisle of the supermarket, this kind of thing i'm holding up now. which brings us to the big question. once this breakup happens next week, what part of conagra should you own? we went over whether you should own yum china versus yum. i actually like both of those. ar connick versus alcoa.
i like ar connick buzz it's doing quite poorly. if you own conagra since the breakup announcement, you're already up 21%, so you got a win. most of that is coming in anticipation of the split. since it's almost upon us, i think we've now got to make a decision. when you look over the past four quarters, it's clear conagra's retail business in is in real trouble. the latest quarter they started breaking the business out differently and grocery and snack sales were down 5%. refrigerated and frozen sales down 8%. international sales down 6%. there's some very real weakness in the supermarket industry right now courtesy of food deflation and it's clearly been hurting conagra's numbers. plus the consumer continues to switch away from processed foods in favor of healthier options as we've seen from campbell's, as we've seen from general mills. it's not these guys alone. on the other hand, the commercial business that's being spun off as lamb weston, that's been doing a lot better. in the latest quarter, the core
frozen boods business saw sales increase by 4%. the company already sold its commercial spices business, so now lamb weston can really focus on the frozen and refrigerated potato market. i know it doesn't sound exciting but everybody likes french fries. last month they held an investor day. after the spinoff, the new conagra is going to be an iffy turnaround story. management is more focused on generating value rather than having a giant stable of brands. the company plans to triage their brands, figure out which ones deserve lots of attention, which ones get lots of marketing and product extensions and which ones get put on the back burner. conagra has a multipronged approach to restoring the growth. the company intends to invest heavily. they want to keep cutting costs in order to expand margins and intend to make a number of small acquisitions while possibly
selling off some brands. if they execute well, they might be able to turn things around over the next couple years. about you if you want a company doing well right now, i think you need to go with lamb weston. when it comes to selling frozen potatoes to restaurant chains, lamb weston is the number one. this is an industry that's consistently growing at a 3% clip. lamb weston believes they have a tremendous opportunity to expand the business overseas. i agree with them. that's why the company believes it can deliver high single digit earnings growth over the long term. this is a terrific steady eddie business, and as long as the quarter of all restaurant transactions involve french fries, lamb weston should do just fine. this is the food we love. i really do love them myself. i don't eat them though. conagra's consumer business has a lot of exposure to the supermarket aisles that have been doing poorly in recent years. it was good to see kroger
reaffirmed guidance today. maybe conagra can get its business back on track after the beakup. what i like about lamb weston is it's already on track. the one worry, it's one week from the spinoff and they don't officially have a cfo. here's the bottom line. for those of you who currently own conagra, here's my recommendation. when the company breaks itself up next week, you want to hang on to the lamb weston spin offand think about selling conagra. lamb weston is a lean, mean, potato-mashing machine and they've got everything they need to generate decent numbers going forward, where conagra is waiting for a turnaround that may not pan out. there's no hurry to make ago i decision. we know there's big time confusion in the first couple of days. we saw it in the crazy trading in ar connick. give it a few days and we'll report back to you about the
timing, tell you if you need to make a move or tell you if you should wait for a better price. ben in texas, ben. >> caller: booyah. >> booyah, ben. >> caller: yeah. rr donnelley has split into three companies, donlly and sons, lsc communications and donlly financial solutions. since the split, the value of the stock seems to have declined quite a bit. is this a buy, hold or sell opportunity? >> well, we said we needed to see numbers. we did a piece about how we were not happy with the way things shook out, and we've got to be able to do -- we want numbers. we want models. we got to have more information. we don't have enough information to make the decision yet. but we can refer you on the website. we did a bag take out on each one and what they're worth. but without the models, you see what's happening. the exact same thing by wait is happening with ar connick. without the models, no one is really sure what to do. we don't know what the company is going to earn. let's go to paul in tennessee, paul. >> caller: jim cramer for president. >> well, thank you very much.
i'm not a political guy, but i appreciate it. >> caller: jim, several months ago, cracker barrel had a good run, and i believe one reason it appears to be a good stock is its dividend and especially its dividend bonus. besides that, i never go into our local cracker barrel a time it's not packed. but certainly weeks ago, its price started going down even before the downturn. i like cracker barrel stock. what's your take? >> i didn't like the quarter. the quarter was really nothing to write home about. as a matter of fact, it was bun of the weaker quarters -- it actually started the theory that maybe restaurant dining is not so strong. and i will go even one step further frankly. it really took, let's say, darden was good and cheesecake factory was good, but that's really about it. and cracker barrel was one i expected to be really good because gasoline prices are low and people go on the interstate. it didn't happen. i'm going to say not yet. i'm going to say penalty box for
cracker barrel. the secret is potatoes. skip out on the troubled consumer business of conagra and take a look at the menu for lamb weston. much more "mad money" ahead. is clorox looking washed out? i'm eyeing the company after today's earnings miss although i still like it. let's get the full story from the ceo. then what's your annual teeth cleaning got in common with fido? i'll reveal and tell you how it could impact your portfolio. and i'll your calls rapid fire on tonight's edition of the lightning round. stick with cramer. >> announcer: tomorrow, kick off the trading day with squawk on the street. live from post 9 at the nyse.
ford charcoal, burt's bee personal care products and plain old clorox bleach. lower than i would have preferred earnings guidance for 2017. what is going on? within the company, the results pretty wildly varied. clorox's cleaning products saw 13 pl volume growth. lifestyle categories up just 1%. the company international's volume grew. i think the real key here is that when you're a consumer packaged goods company with a strok that's straighting at 21 times earnings, your stock's going to get punished when you even slightly lower forecast or even talk about price competition if you think the fed is on the verge of raising interest rates. so is this a temporary blip? let's check in with benno dorer, the chairman and ceo of clorox. welcome back to "mad money." >> it's good to be back, jim. >> benno, i'm trying to figure
out the narrative. i'm trying to figure out whether you guys were more down beat than the analysts. i heard a lot of about price inflation of commodities. i heard a lot about competition. i heard about not wanting to lose share. i did not hear enough about the great growth areas that i think are sustaining the company in a period where a lot of companies aren't doing as well as yours. so i'm giving ah chance to they're the narrative on air. >> thanks for that opportunity, jim. indeed, the highlight of this quarter was the very strong top line growth that we've seen. we have a lot of growth in an environment where growth is so hard to come by. we've shown 8% volume growth. we've shown 4% sales growth, 6% currency neutral on top of a strong year-ago 3% sales growth, and we've been able to convert that sales growth into 3% earnings growth on top of a very strong 20% earnings growth last year. i feel good about the business. we're one quarter into this
fiscal year. we have a lot of momentum on e business, and we're staying the course. >> there was indeed some companies that seemed to almost make a suicide pact with each other, and you admit that it happened. in other words, there's price competition. but it didn't grow volumes. why do companies just maybe give me an economics 101 or business management class. why do companies cut prices if they can't -- what's the point? >> we have seen competitive price promotions in certainly categories. for instance our glad trash bag business is one of those. and we're seeing that because commodities have been somewhat favorable, and then what companies tend to do is recover lost market shares by reinvesting into trade promotions. we are not afraid to defend our business if that makes sense, and we have done some of that on glad trash bags. but we really take a long-term view, and we try to focus on being balanced and growing our
business the right way. and growing our business the right way for us means to invest in our brand equities and to invest in our innovations. and we're in the very fortunate position to have a lot of innovation in an environment that's really innovation-starved and that's working well for us. over time, we think this price promotion will subside because commodities are expected to firm up over time, and we think that the business from a competitive point of view is going to return to be more rational in the mid term. >> there was a moment -- steve robb, your cfo, he's a straightforward numbers guy, and he's asked point black about renewed life. i have to be a big user of ultimate flora. i just think everybody is going to, and by the way, the ceo of dupont agrees with me and he makes probiotics forriv everybo. but on your conference calls, he says basically he does not think renew life is going to move the
needle for your company. if you put a lot of money behind renew life and we all start taking it every day and start hearing about it, why would i not think that in two years it would be a huge needle mover? >> it will be a needle mover. what steve robb, who indeed is a numbers guy, and it's good to see that he is. what he said is that it has delivered 2% volume of sales growth for us this quarter, but, you know, it is certainly on the smaller side. still it's about $100 million in revenue, and for a $6 billion company, that is not yet as material today as it will be tomorrow. so we love this category. we made this acquisition of renew life in may. it's in a category that's very profitable, that's growing double digits, and where our capabilities, in particular in the marketing, innovation, and distribution building side, really play quite well. it's doing exactly what we hoped it would do for us.
it's growing nicely. the integration is well on track, and we're starting to expand distribution. so watch the space on renew life. this is a business that will do very well for us over time. >> okay. how about your spend? you talk a lot -- facebook reported tonight. it looks like they're still getting a lot of advertising spending. can you kind of break down where you are doing some spend. it looks like you're still getting some results online for some of your products. >> we're getting very good results online, which is why we have, over time, moved our investments into digital and soci social. this area accounts for 40% of our working media spend, which i believe is at the leading level in our industry. and we continue to shift investments into the space because we're seeing the rois follow. we get very strong returns because digital and social allows us to give the right message to the right consumer at the right time and really engage consumers in two-way
conversations. so we feel good about communicating in digital and social, and i expect for us to continue to shift investments into this arena over time. >> all right. i was surprised that lifestyle only gained 1% on a volume basis. to me, it's one of the most deciding parts of your company. is there anything short term that could make that -- that depressed it so i could think a year or two from now, you could get better volume growth there? >> this is really a matter of year-ago comps. as you noted, jim, a lot of our growth businesses are in the lifestyle segment, and this is a segment that's done very well for us recently. and we expect that to continue in the future. >> all right. and then international, i'm still waiting for you guys to really turn on the jets. put it in incremental dollars overseas? >> well, in international, we continue to face the
macroeconomic challenges that everybody in our industry faces, and that has a lot to do with exchange rates and with cost inflation. i'm actually quite pleased with the 4% volume growth that we've seen, 10% currency neutral sales growth, and we are focused on stemming these head winds that are talked about through pricing, cost savings, going lean, and we're doing that very well. but we're also starting to invest in growth opportunities. renew life did extremely well in canada last quarter. burt's bees in asia grew more than 60% last quarter. i feel very bullish about the international business long term based on the strength of our brands. >> thank you so much to benno dorer, ceo of clorox. great to see you, sir. thank you. >> good to see you, jim. thank you. >> this was a good quarter, but these stocks are out of favor right now. one day they will be back in
favor, and you will want to own clorox. benno dorer, clorox ceo. stay with "mad money." what are you doing? getting your quarter back. fountains don't earn interest, david. you know i work at ally. i was being romantic. you know what i find romantic? a robust annual percentage yield that's what i find romantic. this is literally throwing your money away. i think it's over there. that way? yeah, a little further up. what year was that quarter? what year is that one? '98 that's the one. you got it! nothing stops us from doing right by our customers. ally. do it right. let's get out of that water. for medicare. the annual enrollment period is now open. now is the time to find the coverage that's right for you ... at the right price.
the way to do that is to explore your options. you can spend hours doing that yourself ... or you can call healthmarkets ... and let us do the legwork for you - with no cost or obligation. we'll search a variety of plans from nationally recognized companies to find the coverage that's the best fit for you ... at a price that fits your budget. and we'll do it at no charge to you. just tell us what you're looking for ... what deductibles you prefer ... what doctors you want to see. let us know if you want prescription drug coverage ... or vision care. not sure what you want in a plan? at health markets insurance agency we evaluate your needs ... and offer options that meet them. at no cost. you can talk to us over the phone ... or meet with a local licensed representative in person. why pay a penny more than you have to for an insurance policy? in the past 3 years, healthmarkets insurance agency has enrolled americans in more than 1.1 million insurance polices ... put our free service to work for you. at no charge. britt of indiana did.
and she writes ... when we became eligible for medicare, we were overwhelmed. i called healthmarkets and they helped us find the right plan. leon of california says ... healthmarkets was excellent. they explained all our medicare choices and followed up at every level. and here's what judy of indiana writes ... medicare shopping was very confusing - if only we talked to you first! at healthmarkets, we make finding the coverage you need fast and easy ... because we know you have better things to do. call this number and let healthmarkets find the right medicare plan for you - without cost or obligation. call a licensed agent now before open enrollment ends. call now. >> announcer: lightning round is sponsored by td ameritrade.
>> it is time! it is time for the lightning round! that's where i take your calls rapid fire. you tell me the stock. i tell you to buy, buy, buy or sell, sell, sell. we'll play this sound -- [ buzzer ] -- and then the lightning round is over. are you ready, skee-daddy? it's time for the lightning round on cramer's "mad money." let's start with marty in california, marty. >> caller: yeah. how you doing, jim? booyah. >> booyah. >> caller: i'm calling from oak dale, california. i was wondering about -- i got 75 shares stock in jcpenneys. i was wondering should i hold or should i sell? >> look, jcpenney is much better run than it used to be, but it's very tough retail season, very promotional. kate spade said that today. i would say don't buy anymore, but it's okay. that's all i can say. it's oak. andy in utah, andy. >> caller: booyah, jim! >> booyah. >> caller: gw pharma. >> it's run up a great deal on
some very good news about a terrible illness and what it can do for child epilepsy. i still believe in the future. there's a lot of good things that can happen, but it has run up. stocks that are run up and stalled in this market tend to stay here. so i'm not aggressive on it. let's go to christopher in colorado, christopher. >> caller: hi, jim. i'm new to the stock market. i have shares of nsu, and i was wondering because gold prices were supposed to go up by december 31st, if nsu is a good investment. >> i don't know that. i don't follow the canadian golds candidly. i've got to do work on it because i tend to have lost a lot of money when i followed them when i was a hedge fund manager. i will do work on it to let you know. let's go to brad in california, brad. >> booyah, jim. we love you out here in california. >> thank you. >> caller: now, jim, these pharmaceuticals, they got less than desirable results from a clinical trial and then it goes down 60% in a day. it happened last week and again
today with sempra. >> i know. >> caller: it seems like an overreaction and you're spending a bounce of some kind. >> they tend not to be. these are the problems with this. when you only have one shot on goal. this company seems to have like one -- i mean there's not a lot in the pipe for this company. i invite them on to find out what else they have, but when you see these declines, they tend not to bounce back fast. be careful. let's go to dave in illinois, dave. >> caller: dr. cramer. >> yes. >> caller: synchronizing data across all devices, amazon echo, and i like otex, open text. >> it's expensive, man. that's an expensive company. a lot of these -- you know, what, it's a good company. i'm just kind of struggling because if facebook is down this much, then anything can go down. but that is a good company. i can't just say sell it because facebook is down. and that, ladies and gentlemen, is the conclusion of the lightning round! [ buzzer ]
>> announcer: the lightning round is sponsored by td ameritrade. do it for everyone g. well, i feel pretty smart. well, we're all about educating people on options strategies. well, don't worry, i won't let this accomplishment go to my head. i'm still the same old gary. wait, you forgot your french dictionary. oh, mucho gracias. get help on options trading with thinkorswim, only at td ameritrade. what's critical thinking like? a basketball costs $14. what's team spirit worth? (cheers) what's it worth to talk to your mom? what's the value of a walk in the woods? the value of capital is to create, not just wealth, but things that matter. morgan stanley
electronic arts today is tell is us. and they're still going to the supermarket to buy food so they can cook at home, as you can see from today's run on the stock of kroger. and tonight in the stock of whole foods after some surprisingly good numbers. we've hit on these big themes before over and over again. they're the bullish themes that are still working, and it's terrific to see them remaining intact. we learn early in life to take care of our teeth. that's something that doesn't ever go away whether it's with solid and growing toothpaste sale as round the world from colgate and procter & gamble or the denl equipment sales from henry schein. it's not all done with smoke and mirrors either. the company's sales growth increased by 5.1%. remember, the latter is the kind of growth we like because it comes naturally. it's not purchased. the second powerful theme, we shower our pets with love. you know why i call this the
humanization of pets theme. few companies have taken advantage of this trend like zoe ettis. introduced a drug this quarter called app oh quell which stops dogs from itching almost immediately. for those of us with dogs, and we have two rescue dogs, bud, and everest, the drug is a godsend. we put that fabled elizabethen collar on their necks when they're all itchy and scratch kbr and now we're going to give them app oh quell. judging by the early sales, we're not alone. by the way, henry schein sells equipment to vets. electronic arts delivered a terrific number last night much to the chagrin of those who sold the stock down 5%. what do i say? wait for the conference call. they didn't seem to wait to see the company's certain games are doing pretty well and they're predicting great things. they're all gog have a good
holiday scene. then take 2 reported great numbers. kind of eye-popping figures. these video game companies are immensely profitable and they're all part of the stay at home thesis we keep articulating. most of these games are all digital downloads, they're not being bought at game stop. in fact, very few people are boyi buying from game stop. hence why that stock fell $2.63 or 11%. so don't relate the two. video games are incredibly strong. finally kroger, kr, confirmed its annual earnings guidance today. that's a big deal these dayed. shaded up, not down next year's numbers. i've been waiting for this moment because it confirms something we've been talking about when it comes to, say, mccormick, the spice maker. whether it's because of costs or fear or desire to nest, people aren't going out to dinner as much as they used to. we know that from most of the
restaurants, which have all reported disappointing numbers, but now we know it from the other side, kroger, and this stock is dirt cheap after being hammered relentlessly. i like it now. food deflation seems like it's gotten past them. one thing that's certain, though, this company is absolutely capitalizing on the stay at home thesis. we need to find out more -- it looks like things as we depart this evening are even looking up for whole foods, which reported a surprisingly better earnings per share number, although same-store sales still not what i want to see. going to the dentist, pets, stay at home dinner thesis, all these trends are proving to be bankable during what is definitely becoming one of the most turbulent earnings seasons, if not turn leent seasons ent e entirely in this country. stick with cramer. hey, hey, hey, there are no bad suggestions here... no matter how lame they are. well said, ann. i've always admired how you just say what's in your head, without thinking. very brave.
good point ted. you're living proof that looks aren't everything. thank you. welcome. so, fedex helped simplify our e-commerce business and this is not a passive aggressive environment. i just wanted to say, you guys are doing a great job. what's that supposed to mean? fedex. helping small business simplify e-commerce. will your business be ready when growth presents itself? american express open cards can help you take on a new job, or fill a big order or expand your office and take on whatever comes next. find out how american express cards and services can help prepare you for growth at open.com.
i'm jim cramer. see you tomorrow. >> whoo! why grow up? [screams] hi, i'm jay leno... >> all: hi, jay! >> hi, everybody, how you doing? and this is a show about cars... it's fun to drive cars that are really different. >> this one's a death trap. >> oh, i see because-- >> because it's dangerous to ride. >> and motorcycles... [revs engine] and, well, anything that rolls... >> better buckle up, little boy. >> oh, my god, strong as an ox! explodes... i love the smell of napalm in the morning. >> yeah! >> or makes noise. >> you ever run a dragster? >> no, i haven't. [engine roars] this is "jay leno's garage." >> start your engine. [tires screeching] >> get out of the car, sir!
IN COLLECTIONSCNBC Television Archive Television Archive News Search Service
Uploaded by TV Archive on