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tv   Mad Money  CNBC  June 13, 2013 6:00pm-7:01pm EDT

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is a nice trade. >> i like h&r block. >> restoration hardware. again, home depot wins. it didn't have a big day today. should have a bigger day today. >> i'm melissa 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. i promise to help you find it. "mad money" starts now. [ applause ] hey, i'm cramer. welcome to "mad money." welcome to cramerica. you want to make friends? i'm trying to make you money. although family is above all else, and i'm honored to welcome many cramericas here today.
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my job is not only to entertain you but to educate you! all right. kids, kids, listen up. both here in our family affair live audience show and at home, because the clock is ticking. sure we talk about the events of the day every day here on "mad money." we talk about where the averages go out. today is no different. dow climbing 184 points and the nasdaq is advancing. a shockingly good session helped out by quiet behind the scenes talk that the federal reserve is not done with the program to try to keep rates low. for those of you in the younger cohort, we have to do some serious long term work. right now, we have a lot of work to do. because here's the deal. if you start investing at this moment, if you start putting your money away now you have a much better chance to see that
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money grow beyond your wildest dreams which is why at the top of this special "mad money" i'm going to give you the starter kit you or your children need to get rolling. with five stocks, fab five thank you that you buy and hold, and follow for the long haul. because you know the brands. you're interested in them by nature. your you use or them or go to them already. long time viewers of the show will know the household names. i want to say a few words in praise of owning a few individual stocks. buying stocks remains the single best way to make money over the long term, we have never lost that mission. i know that sounds simple. maybe soporific to you but it seems that fewer and fewer people are willing to buy stocks at all. whether it's because of the insider trading the big boys get the information first, which we
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know from stories at our own network breaks regularly is actually true. many people are simply revolted by the prospect of investing in individual stocks. meanwhile, it seems like lots of folks who opine on the market in all sorts of even you -- venues regularly do the best to scare you out of your stocks and the wits who worries about cyprus, or north korea, japan. china. or the european central bank. and of course now the nefarious policy -- policies of ben bernanke. but we don't think that. as we saw from the terrific retail sales, lower jobless claims today. it seems like there's a negative
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imperative, a perimism to be pessimistic no matter think. you need to think to put your money in something more passive and forget about it. they want you to put it into the index funds. they want you in bogus rtfs meant not for investing but for trading up and bond funds that have totally annihilated you. all because they've told by the experts that they're they're the best of breed. and not only do they not believe in you, but they don't want me to help you. now, i think that's a cynical, demeaning stance. the simple truth is that we can together identify best of breed companies with terrific managements in order to invest in them. i can help you through this. how about the doubters, the patrician theoreticians and elitists who don't believe me or don't believe in you. well, four years ago on our family affair show, we created a
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kit friendly portfolio we suggested that parents pick for their children. then we did an update in 2010. take a gander at this. and how did we do versus the acknowledged benchmark we all pit our picks against, the s&p 500? our kits portfolio gave 40% gape versus an 83% increase in the s&p. random? guesswork? monkeys throwing darts or banging out letters on the keyboards? that's what they regularly compare the show to. maybe we're smart monkeys. the truth is you can beat the market by picking individual stocks and we did it. we isolated some terrific names you all know. we told you to buy them for your kids and they transferred the averages and it was that simple. so terrific. do we pat ourselves on the back and say, nana-nana to the naysayers? no, of course not! hey, we like to the so-called pros who think you're too dumb to even look at your money let
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alone invest with it which is why they want you to send your money to them so they can take a cut off the top for taking it in. that means that we can't just buy and hold the stocks from here to eternity. that's the bogus conventional wisdom. we have to buy them and do homework on them. drop, pick better stocks, eliminate those that who have lost their way, i think two of our original picks plus another name we swapped into need to be changed. because i believe we can do better. i believe i can do better. that's right. just because it was recommended doesn't mean we need to be wedded to them. take disney. all that happened since i picked it at 22 bucks, they have gotten better and bert. espn, what can you say about the best media brand in the business? acquisitions of marvel and now lucas film? only abc is now wanting and it won't stay that long. for now. because ceo bob iger has decided
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to take care of business. if your kids are like my kids or this kid of 63, then you're going there at least half dozen types. me, i have been there ten times. who's counting? we're sticking with mcdonald's too. now that don thompson has taken it over and introduced the new concoctions. we know they are doing well throughout this country and they're goingic to the world by storm when they blew away the monthly numbers. i'll tell you, i was so thrilled that they blew them away. that said, i'm not happy with hasboro. yes, it's been a huge underperformer of late. kids love kids, not lately. the toy business has been upended by the internet. so we've got to leave hasbro behind. we'll extrapolate you and recommend that they be replaced with whole foods. that's right, whole foods. i think the kids are recognizing
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organic and natural food earlier and earlier. we want to start them young on a good concept, good stock. and something that's right. nutrition. plus, whole foods can triple in size by the time the kids become adults. plenty of room to run. we tried to have an apparel company this the mix, and while we did well with nike, but the original pick for the spot we started in this portfolio. these days i actually worry about nike. it's got too much china, not enough america. so we're swapping that good growth stock with too much foreign exposure for one that's reinvigorated and domestic. we're swapping it for gap stores. ever since glenn murphy took the reins six years ago he turned gap from a loser of a retailer into the power house that every kid and parent knows and likes. i see value not no, ma'am the chain but in the stock too. now, it's -- this is a tough one. i know it's not going to please everybody. but it is time to retire apple.
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when we first went in, they beat the estimates. yeah, it consistently -- it trounced -- it destroyed the estimates. but those days are behind them. we're numbers people on the show instead, we are swapping one household tech name for another -- google. why google? aside from the fact that every kid in this room, at home, everywhere around the world uses it? it's got a hammer lock on search, it can operate on many different platforms and it's profitable. and google can handily and easily beat the estimates. yet, like apple it sells at a very low price to earnings multiple versus the growth rate although the growth rate is not declining. so here's the bottom line. when we know that when families invest in best of breed stocks that our kids know and love or will love, we know they can beat the market. that's why i'm recommending that you sock away some shares of disney, mcdonald's, google, gap,
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whole foods. start with five shares, start with one share. as long as you get started. get started now. so there's plenty of time ahead for the stocks to work their fabulous magic. let's take a question. >> hi, jim, i'm christina. this is my mom sue. my sister amy. we're from northern michigan. >> oh, excellent. thank you for coming to the show. >> yeah. >> don't call her between 6:00 or 7:00 even if you're dying because she won't answer the telephone. >> you have horse sense and probably a -- you know, there's 11:00 to 12:00, no. 9:00 to 10:00, that's "squawk on the street." that's a good. carl and david would be hurt. >> you recommend gold as part of a portfolio. >> yes. >> and with the market declining recently, would you recommend gld as pard of a hedge right now? >> i like gold coins. gld didn't farewell, but i think gold -- look, if you get insurance for the house, you
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don't expect it to pay for you to police officer the house the you're destroyed. i like the hedge and i like the coins. i like the bouillon. >> over here. bouillon dreamer! >> i like that. >> first off, i'm dead serious here. i honestly believe you should be chief of the federal reserve. second -- >> thank you. thank you. we have a fabulous chief -- we have a fabulous -- i appreciate that. but ben bernanke is as good as it's going to get. thank you very much. he's the best. >> secondly, the navy recently adopted a stealth drone they plan to add a fleet of these to the aircraft carriers. so would bit a good time to start investing in companies that have a stake in major defense contracts such as these or since it's in the prototype status, is it better -- >> i like lockheed martin and
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northrop grumman. i know that they're considered to be out of favor, but they have great cash flow, great dividends. those are investable stocks. yes? oh, okay. >> boo-yah! >> happy to be here. >> right out of new jersey, right around the corner. >> okay, excellent. >> love to watch your show. watch it every night. if i miss it i watch it at 11:00. this is my husband, karl. he does not like your show, but he has to watch it. >> hey, this -- hey, clear him out of here. leave. yeah, and thank you, ladies and gentlemen -- no. go ahead. >> but he has to -- i really love your show an i love you, jim. >> thank you. thank you. >> you're really, really good. >> thank you. >> my question to you is, since the energy boom and everything, everybody says smart money is moving to the midwest where the energy is -- where the oil is refined.
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and smart money -- everything else, you know, regional banks. i would like you to recommend a utility stock that's going to benefit from the people who are moving there and making their homes there. >> wow. >> i looked into a company, etr, but -- >> that's the one -- that's exactly what i was going to recommend. it's got a good yield and it's in new orleans, and my daughter is down there and using the electricity like's going out of style. it's never too early to get the kids started. with disney, google, mcdonald's and there's plenty ahead on this very special family affair show. we'll be right back. on a special edition of "mad money" -- it's a family affair. the right meds, pharmacy kingpin rite aid posted one of the best years in decades, but is it the best medicine for your portfolio? or should you pick up a
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prescription of rival's wall green's or cvs? later, the final match-up between companies from san antonio and miami. and tonight, a showdown ben two stocks that have been riding rough seas. carnival cruise lines and cloud play. which least valuable player should you bench from your portfolio? plus, kran americans are all in the studio and the results can be unpredictable. >> will you marry me? >> stick around to see what happens this year. don't miss a second of "mad money." follow @jim cramer on twitter. have a question? tweet cramer #mad tweets. send jim an e-mail to "mad money" or give us a call at
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what the heck is happening with rite aid? here's a company that's always been the redheaded stepchild of the drugstore business. the questionable number three player behind walgreen's and cvs, but yet they're jamming with the stock up a whopping 132%. since the beginning of the year. don't get me wrong. the entire pharmacy space has been roaring lately. walgreens up 35% and rite aid, the perennial underperformer in this group has somehow managed to leave behind both of them in the dust. so what is going on here? and what should you do about it? first of all, this gigantic move with rite aid is when a company
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has been left for dead manages to turn itself around! ♪ hallelujah >> for years from 2000 -- 2008 to 2011, they struggled with earnings and massive debt load and people speculated the company might have to go bankrupt. that's why six months ago this stock was trading $1 a share. but rite aid has been trying to turn itself around. partnering with gnc and carrying more private label favorites. well, it's much choeper than the real thing. whether they were talking snacks or over the counter medicines and the turn is indeed for real. rite aid handily wall street's estimates back in mid april, delivering 11 cents of earnings per share when the analysts were expecting a penny. that was astounding. then they announced they were
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refinancing high interest rate debt, and getting the more lower rates, thank you ben bernanke, available to them. they raised the guidance for the first quarter that we'll hear about when they report next week. they look like they have their act together, hence the ferocious snack back in the stock. but now i think after this run it is time for you to ring the register on some of it. let the rest run, because you're in holy grail territory. you are indeed playing with the house's money. why bother to do that? why get off a winner? first, one of our cardinal rules here at "mad money" you never want a gain to turn into a loss. secondly, after this move, rite aid is valued onni earnings.
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when you compare it to the two giants in the industry, cvs and walgreens, it's not the bargain. it's only marginally cheaper than cvs and walgreens. when you consider that cvs pays a yield and rite aid has no dividend, they are among the best-run companies not just retailers in america. these valuations don't make any sense to me. rite aid may indeed have improved dramatically, but it's nowhere near as good as cvs and wal walgreens. you should plow them into the best of breed sector. it is cvs or walgreens? there are a lot of good things coming for the big pharmacies. you said 27 million people being add to the health insurance rolls thanks to obama care, yet baby boomers are starting to become eligible for the medicare prescription drug program.
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you have a boom in generic drugs which are much less expensive than brand name, but carry higher gross margins for the pharmacies that sell them. i like both cvs and walgreens. how, i think cvs is the better buy. the reason? truth be told, not only is walgreens the largest drugstore chain in america, but it's the better retailer. that said, cvs is more than a drugstore. that's the difference. it's cvs caremark, a pharmacy that opens a pharmacy benefit manager which is a third party administrator that help insurance companies and hmos save on drug costs. caremark is the second largest player in this terrific space, 25% share. and the company has really turned this part of the business around, after initial hiccups n 2010 and '11. and plus the largest of the
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pharmacy benefit managers, for months, express scripts was your pbn, you couldn't fill the prescripships at walgreens. picked them 24 million -- picked up roughly 24 million prescriptions. so far, cvs is keeping much more than i thought. as for walgreens it has begun to recover from the express scripts debacle and more so. the remodeled stores are terrific, especially in new york city where they brought dwayne green. manager thomas, i see him every day. i regard it as my store. i like how they're going global. the big european pharmacy chain. but to a certain extent the company is still looking the wounds. that's why they extended the contract with caremark. so here's the bottom line. if you own rite aid, terrific, congratulations.
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but since the stock is now trading at almost the same valuation as cvs or walgreens, start playing with the house's money and swap it into cvs because they're the better drugstore to opwn. let's take a question. >> boo-yah, jim. i'm alex from new jersey. i want to know what's going to happen with myriad genetics after the supreme court ruling? >> i don't know. we're trying to figure it out ourselves. sometimes it's better to say it happened so fast. all day i have been saying i have to get to myriad genetic, but it's like an honest show and i did not get to it. i have to do the homework. it was kind of stunning. we were talking about it before the show and i said i hope no one asked me about myriad genet genetics, but i don't know the
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answer, but i'll come back. thank you very much. how are you? >> hi, boo-yah, jim. i'm tyler from villanova. >> go nova. >> i saw you there. it was great. >> it was a good show. we had a good time with that show. it was really fabulous. >> so my question about sprint. >> sprint? sprint. do you see value in the long term? >> yes, i do. because of the way my friend david faber talks about this, i'm proud of the work he did. because it's better than everybody else's. print, tv, doesn't matter. but there's known a stub. you'll tender the sum and get back a stub. it will drop the stock. don't be confused. the combination of the two, sprint is nationwide, you keep it. i might revise my thinking if dan hesse ever leaves the company. i do like him. thank you. how are you? >> boo-yah, jim, great to be here. >> i know it's a tough day in new york, it's busy and rainy and you got here.
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>> i'm sam, i have a question about michael coors. >> where are you from? >> new york. >> michael kors. >> the stock jumped up on a higher earnings report. i was wondering what your thoughts are for the short term? >> two things are going on. one, a rumor every day. a rumor that the quarter -- this quarter is weak. they just reported so i don't no how they can possibly know that. but second there's this kind of like tiffany's going down. the high end -- i like vocal course. i'm sticking wit. it's family affair night. we want to make sure you get a clean bill of health. at these levels, i think cvs is the better drugstore to own. much more family matters coming up later on in the show. coming up -- on a special edition of "mad money," it's a family affair.
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it's the final match-up between companies from san antonio and miami. and tonight, a showdown between two stocks that have been riding rough seas. carnival cruise lines and cloud play, which least valuable player should you bench? [ male announcer ] let's say you pay your guy around 2% to manage your money. that's not much, you think. except it's 2% every year. go to e-trade and find out how much our advice and guidance costs. spoiler alert: it's low. it's guidance on your terms, not ours. e-trade. less for us. more for you.
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"family affair" edition of "mad money." all week we have been running our nba finals. pitting companies from san antonio, the home of the spurs, against stocks that are based in miami. just like lebron james and the heat. so far, we have been searching for the best operators in each town, but tonight, we're not doing it that way. we'll do it differently. to put it in basketball terms we're taking the least valuable players from san antonio and miami, then having a sell block style of this thursday face-off to see which is worse for your portfolio. we're pitting one nonstarter from the land of the spurs against the benchwarmer, a swimmy from the heat. so who is the host valuable player based in miami? i think that singular honor has to go to carnival cruise. here's the giant cruise line operator, doing an effective job at making sure no one wants to
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board a cruise ship again. they stumble into big headline grabbing disasters. back in february, remember the triumph caught on fire and then spent five days adrift off the coast of mexico and no power and so much sewage that people called it a floating biohazard. this is a year after another one capsized in italy. and at this point you have to wonder if this is an annual occurrence. when the debacle happened it, it tumbled down. at the time, the floating biohazard would ding their earnings per share and we have to underpromise and overdeliver on wall street. in mid march they cut their four-year guide from $2.24 down to $1.80 to $2.10. last month they lowered the earnings forecast again.
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taking it down to a $1.45. not only have prices gone down, but as the ceo jerry cahill told "squawk box" they're spending aggressively to get their ships up to snuff. >> basically,'s not a safety issue, but what we're talking about because all the ships have and continue to be all safety standards. what we're doing is going above and beyond. the real dollars that are being invested are dealing with the comfort issue. not with the -- the fact on the triumph a lot of guests were subjected to a lot of discomfort. >> yes, they were. >> so we're trying to deal with that issue. it's not a safety issue. >> how about san antonio? do they have any companies that can rival carnival for least valuable player? in my opinion, they have a stock that believe it or not is even
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worse, rock space hosting. when we talk about cloud computing and money it's based on the companies that provide software as a service. they have them spend less on servers, it's good, it's cheap, saves money. that's the hot part of the cloud. rock space is the other side. they don't have proprietary software. instead, they're in a commodity business. they're leasing server and networking equipment to companies that use the cloud and need to get their computing power from somewhere. it had been growing rapidly, but when a turbo charged momentum disappoints, it can get -- keep getting crushed and crushed for years. forced valuation comes back to earth. they reported a dismal quarter, where numbers came in much lower
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than expected. which sent the stock plummeting from $75 to $70 overnight. ever since then it's been in free-fall. then in late february, rock space had cut -- had to cut pricing for the cloud band width and content deliver services by 33%. a month ago, rock space reported another hideous quarter. it's become a serial disappointor and the stock dropped from $52 to $39 again in a single session. they're trading at $34 and change. i don't see things getting better. in fact, it can get worse. they're still far from cheap. the stock sells for 40 times net and that's they have lost their mojo. it's kind of sort of what's happening here. amazon is in this business too. and just this week, amazon announced an 18 to 20% rate cut
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where they compete with rock space. ibm going up against amazon and ibm, getting caught in the cross fire of duelling giants. that's a license to be riddled with bullets and short falls for many quarters to come. here's the bottom line. i think san antonio's rock space hosting is far more dangerous than miami's carnival cruise. carnival has no real reason to go higher. believe it or not, it's been a great company. but at the same time, they have a healthy 3% yield. even with shoddy execution, i just don't see carnival going that much lower. hey, consider that a win for the heat. because they're actually owned by mickey airson owned by carnival corps. but rock space, i think it has room to go a lot lower which
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makes rax our last valuable player and gives the home of the heat a classic sixth man victory. stay with cramer! coming up on a special edition of "mad money" -- it's a family affair. experience the nonstop excitement as cramer answers stock after stock face to face in the "lightning round." i got this. [thinking] is it that time? the son picks up the check? [thinking] i'm still working. he's retired. i hope he's saving. i hope he saved enough. who matters most to you says the most about you.
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call... and ask about all the ways you could save. liberty mutual insurance -- responsibility. what's your policy? "lightning round" is sponsored by td ameritrade. now it is time, time for a very special "lightning round," "family affair" style on "mad money." that's right. take your questions. sell sell sell. and then the "lightning round" is over. are you ready? time for some "lightning round." what have you got? >> boo-yah, jim. we're from lubbock, texas. >> holy cow.
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>> my two children knows when "mad money" comes on no more sponge bob square pants. >> that's a good call. >> what do you think of chewy's holdings? >> it's the highly valued. a very expensive stock and already up too much. i'm going to throw in bloomin' branch. thank you. yes? >> boo-yah, jim. i'm donna. >> lauren. >> from maryland. >> fantastic. >> i have a quick one. barnes & noble, should i pitch it or keep it? >> we saw what happens to best buy, they're the last game in town, i think it's okay. >> i'm tanya from the ukraine. my question is given the current worries around the global economic environment what's your opinion on citigroup -- >> i want to buy citi. michael korbeck is doing a terrific job. he's like in a hundred countries. i think the situation is good. a lot of people are spreading bad rumors, i think they're not
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true. i think citigroup is very undervalued, i want to own the stock. yes, sir? >> hi, i'm zach from detroit. detroit boo-yah for you. >> i'm going to give you a gm boo-yah. >> awesome. my question is about gig amonth. they had a great ipo. they're down today. >> that's your opportunity. it has both -- it has both actual profitability and accelerating revenue growth. it's going to be one of the best ipos i believe for 2013. yes? >> on this rainy day, we are helping our family offices and we have a question for you today about utilities. >> a lot of our family out ofs and our high network individuals we advise they're looking to getting out of fixed income and come back into the equity markets. we have contracted income and what do you think about a duke energy? >> i like duke energy very much. i read an article that said that
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duke if it went just -- give you more, i think it's a steal. utilities -- that was a very big move. i think you're okay. duke, thank you. oh, wow. big crowd. what's up? >> boo-yah, jim. >> we're the quinns and the meyers from doyles town, pennsylvania. we are huge fans. we have -- we even got our license plate that says boo-yah. >> i love that. i have a horse named boo-yah. >> ethan has a little shark he wanted to add your collection. >> okay. >> you have the bulls and the bears. we thank you, jim, because you're a huge advocate for the little guy. >> sure do try. >> you keep the sharks at bay. we really appreciate it. >> thank you very much. >> thank you. >> that's it, no stock? >> how do you think about underarmor as a stock? >> i think it's buy. we were trying to think what to replace nike with. i thought under armor was too expensive, but it's a good stock, i like it. and that's the end of the
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we have got our whole cramerican family in the house. let's see what questions they have. let's quiz cramer. who's first? >> i am. hi, jim. i'm robin from new york. i love you, the show and i love stocks. i'm an action alert subscriber and if you're single i'm interested. >> oh! no, i better not. >> okay. but here's my real question. i'm also an insomniac and i'd like to know what are your hobbies, what do you do for fun other than answer tweets, listen to conference calls and read research reports? >> um, you know, i love to garden. i love to fish. i like to read history. i'm fixated on world war ii. i think i tried to read every single new book that comes out. that's my pleasure. thank you very much. >> thank you. >> yes, sir? >> hey, cramer, jim from new york.
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with mike ermantrout out of the picture, what further growth do you see from hiezen burg llc? >> remember when we had hiezen berg on, this is in reference to breaking bad. he compared the empire to apple. and i've got to tell you something, i think google is coming in and killing him. there you go. yes? >> hi, jim. i'm anna from new jersey. i have two students that watch you in st. louis just starting to invest. >> fantastic. >> how do i teach them to hold the earnings? they think it's a short term winning -- >> you have to tell them look, what do you think would look good in 2015? that's what i like sellgen. that way if they say, you know, if you tell what will look good in 2015 they will hold it until 2015. listen, what do you think looks good two years from now? that's the way to do it. >> thank you.
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>> jim, we bought general motors stock in 2011, it's up 45%. the question is when do you sell a stock? >> general motors is going to have a huge year and i think china will come back. i think i'm the minority in that. i think it's much better company. i would not sell this until they pay a bountiful dividend. i'm not kidding. i like ford more because i think europe is doing more for ford. they're both good stocks, congratulations. yes? >> hi, jim. scott and laurie from rochester, new york. by way of alaska. my wife has a question here. >> yeah, jim, i was wondering have you ever thought of traveling or have you travelled through alaska and have you done any research on the gold mines up there? >> i absolutely love alaska. i was there, i visited the bay to make sure they're not polluting, they're not. there's deer all over the place. i love alaska. i like alaska air. i think that's the way i would
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play it. i think you're in great shape up there. anyway, stick with cramer. coming up on a special edition of "mad money," it's a family affair. analyze this. every family has issues. tonight, dr. cramer is here to help you solve the financial ones. stick around for some family therapy that could help you create wealth for generations to come.
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dr. cramer, he's with a patient right now. please leave a message. >> all right. we've got families from 13 states in the studio today. after a wild market we have been having i've got to prescribe some family therapy. maybe in an unhealthy attachment to the stock, like a blackberry and well, the doctor is in the house. let's talk to some families an start the healing process. you're first. state your names. what do you need? what are you here for? >> hi, jim. i'm theresa from edgewood, new jersey and this is my daughter mckenzie who is 9. she has a business that she runs, a lemonade stand that she's been running for three years. last july 4th she work all day. after she paid her two employees and her supplies she cleared $350. >> $350? >> in a single day. >> you don't need therapy, but there's all right. he's deal with it.
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>> i was going to ask how should i expand my business? >> how to expand your business? congratulations, $350 is unbelievable. big boo-yah to you. i think first the way i would do it is -- i think this is what companies face all the time. to you expand the business or take some money out of the business and give yourself a dividend? i would take 10%, $35 and put that in the bank. go for better table, have a couple of corners. not just one corner. try to get a monopoly on the corner. the government is never going to investigate it and tell us what kind of lemonade you're using. or does mom make it? >> we have three different kinds. we have ice pops. like she keeps expanding her offerings. >> i was going to tell you to buy general mills. that's what i'm giving you. they too are very good at the food business. and congratulations and best
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wishes. next up, how are you? >> good evening, dr. cramer. >> thank you very much. >> larry from boston and my daughter jo from new york. >> hi. >> boston -- red sox/yankees that's difficult. >> this was from the first interleague play. red sox and the phillies. >> thank you. one time is doing quite well and the other team we won't talk about. >> don't ask who won. >> exactly. how can i help? >> jim, we have a situation with a family dispute, friendly but some of us in the family wish to keep the principal very carefully protected in the retirement accounts. which i know you treat very conservatively. >> yes. >> but others of us, the certifiable kran-maniac -- >> i like that. >> wish to expand the principal with a little bit of income so
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that we can retire eventually and maybe even leave something -- >> i would like to spend some money. >> let's opine on some stocks here. >> we'd like to know what percentage of the retirement account should be in the boo bonds and what especially should be in the high dividend yielding stocks even given the craziness -- >> sure. longevity and a belief that there's not a lot of value in bonds right now makes -- if you don't mind, can i ask your age? >> sure, your age. >> then we're being to live forever. >> that's for sure. >> i think you should be 80% in higher yielding. we can cut that back if interest rates go up. i'm giving you an 80 to 20 ratio for stock to bond. all right? >> thank you. >> thank you very much. and nice to meet you. "mad money" is back after the
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break. oh, he's a fighter alright.
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(announcer) scottrade. awarded five-stars from smartmoney magazine. . to everyone here in the studio, and to all of you watching at home, thank you so much for making me a part of your families. i'd like to say there's always a bull market somewhere. i promise to find it just for you, right here on "mad money." i'm jim cramer. i will see you tomorrow. ♪ ♪ mama said there would be days like this, mama said, mama said ♪ ♪ mama said there'll be days like this, there will be days like this mama said, mama said ♪ ♪ i was walking the other day and everything was going fine ♪ ♪ i met a little boy named billy
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joe and then almost lost my mind ♪ ♪ mama said there will be days like this, there days like this my mama said ♪ ♪ mama said [ music playing ] good evening, everyone. this is "the kudlow report." i'm larry kudlow. we have breaking news now on the war in syria. and it looks like the u.s. is about to get much more directly involved. the obama administration now confirms the assad regime in syria has, indeed, used chemical weapons against the rebels. the white house says president obama has decided to expand the quote scope and scale, end quote, of u.s. military support to the rebels. this is the so-called red line assad has crossed. the administration says the chemical weapons are responsible for killing up to 150 people. let's get some quick reaction to this breaking fuse from


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