Skip to main content

tv   Mad Money  CNBC  December 3, 2021 6:00pm-7:00pm EST

6:00 pm
thanks for watching options action have a my mission is simple, to make you money i'm here to level the playing field for all investors. there is 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 make friends, just trying to make you some money. my job is to educate and teach and call me at 800-743-cnbc. tweet me @jim cramer you never want to see a high profile tech name yet nearly cut
6:01 pm
in half because it could take a lot of other stocks with it. through bowling like pin action. even as it problems are company specific, that is exactly what happened today with the dow declined 60 points losing 4% and nasdaq nosediving because of a company called docu sign reporting such a horrendous quarter. why did one quarter matter so much do we believe that docu sign, one that we use all of the time would be able to maintain the same level of success we saw at the height of the pandemic that turned out to be a pipe dream. it was poorly executed by management's own and docu sign was really important because so many investors were hiding in case the omicron variant or the winter weather sends us back to social media mode but the company did a lot less
6:02 pm
business than anyone expected. even 90 days ago is that does mean people are going back to signing contracts in person. that is bad for docu sign alone. or does it mean there is isn't as much business being done in the part of the economy where docu sign is popular like financial services and real estate and health care that is bad for each of the industries not to mention all of the tech companies that make their money by helping those industries to digitize and a week employment report this morning that was stunning and you could understand why the nasdaq could get obliterated. it didn't help that kathy wood, darling stock and docu sign. took a major hit sparking fears from traders that her whole portfolio is under assault. it probably is, but because she doesn't run a hedge fund, they can't shoot against her. but her flagship arc innovation, arkk, was down more than 50 5%
6:03 pm
today. going in today, docu sign is trading at roughly 130 times earnings, it is creating a puzzling environment where skitti skittish investors are wondering what tech stocks should be selling for. and then there the is etf factor docu sign can reverberate down the whole group. today was guilt until proven innocent, right. guilty and nobody was proven innocent while the dow and the s&p managed to rebound, the nasdaq was down in the dumps and if you have some of those in your portfolio, you're going to see that lost money today. it is not a loss unless you take it but it does feel bad so then we have to ask, well this can't last forever. what could turn tech around? well that is up to next week i think it is going to have to take individual numbers that are much better than docu sign
6:04 pm
so to the game plan. on monday we have two analogs, we have mongo db and you may think the name is crazy but it is a $30 billion data base software platform and coupa. now both companies have been big winners but they've been whacked and hit again today. down nearly 4% for the session even as the business is strong maybe something is wrong maybe we'll find out it could be hit even harder. down 6.5%. money managers are running for safety to the likes of believe it or not, american electric power. that is my favorite utility. mongo db and coupa, after what will be one of the very biggest weekends of when we are going to hear about the omicron variant i will be shocked if it is not
6:05 pm
entirely negative. it will be tough but we'll see how they behave. maybe there is no bad news tuesday night we hear from sentinel one i was shocked to see the stock has already come down from 76 to 46 for no obvious reason aside of the stock market rotation so that might be a good test case to see if tech is over sold or could bounce or even go up. that said, i'm going to be more focused on toll brothers that keeps putting up is a mazing numbers. mortgage rates are very low. going slower still profit margins have been good and thanks to the hybrid work environment, the stock is not going to be hurt i doubt it bad employment data, it will cause the federal reserve to go easy on us as they wean themselves off aggressive bond purchases and rate hikes fund managers have this -- funny
6:06 pm
managers, fund managers have decided to see if stitch fix should get a stay of execution it is a it is fallen down to 23 today. again, we're looking for anything that might indicate when the digitization stocks are ready to bottom. stick fix might give us a signal wednesday's tech test case is a company called ui path and they used software to automate repetitive tasks that are done by human this stock has been cut in half. no fault of its own. and think it is coming to an end. i have something for you, andy warhol campbell's soup. unsteady soup sales and out of control costs could play a role. they did before. i hope they don't. on wednesday we hear from hr, that is the registration hardware and this is stock knocked around think i the ceo has a long-term
6:07 pm
view and thes sell off in almost every single case has been a reason to buy not sell okay, then we have the second part of the market, we have gamestop, the king of the meme stocks now that amc is slowed, we still haven't heard a turn around plan for the gamestop management but the company may be getting bailed out by console shortages. i think the best cohort has run out of power except to attack me but i've taken the week off other than to post dog pictures. you have to check out the pikes of my dogs their hilarious. but anyway, in the dow rise and fall of gamestop thursday we have some cramer faves that i think will be able to handle the appreciate a pair of charitable trust names. i discussed about whether to sell boradcom today because it is a lot but it is a technology
6:08 pm
company and although it is a chick maker that has been consistent and pays a about dividend as for costco, it has seen it get hit after big runs you have to treat that as a buying opportunity and i'll give you much more on that later so stick around you want tried and true. how about hormel we're talking about, yes, spam with a 2.4% yield. this is the limited edition pumpkin spice which is a little out of season but it is as good as ever and will be 24 years ago just like it was 24 years from now and it is down big from its highs. even moves with the portfolio. not that much like spam, lululemon, they report and i think that is going to give you a fantastic set of numbers i also want to hear from chewy too, the pet retailer has seen stock get cut in half. i posted some chewy toys recently it is a called a bear market,
6:09 pm
people digitize, pulverized friday we hear from a consistent health care game and that is centine. and you'll hear about buybacks as opposed to some of the things you'll hear from the earlier ones like it very much. in the end, it has masked the weakness in and this is the week where world's collided, i love that book. well will the beating tib next week or does it come down enough for that santa claus rally to start early. maybe earlier than expected. the bottom line, i think we may be in for more punishment. but giving the crushing blows there is reason to believe we're getting closer and closer to the light at the end of the tunnel, and no, huh huh, it is not an oncoming train let ooze go to paul in
6:10 pm
tennessee. what is up. >> caller: i was wondering what your thoughts are on a retail stock. it is up over 400% this year before you dropped almost 20% on tuesday and another 8% today it is p.e. is below ten. what is your opinion of dillard's. >> dillard's had a very big move there are stocks that i prefer more i would prefer macy's and kohl's more than dillards my mom called it dollars by the way. mom was funny. to loisa in minnesota. >> caller: investment call -- >> yes what could you help. >> caller: you discussed the partnership with nvidia using lockheed technology to fight fires and today they discussed the technology on cnbc is it time to buy, the stock is down 16% from the high and yielding
6:11 pm
3.36. >> i like lockheed i thought the interview with -- that was a good piece. i don't know if you heard morgan brennan talk about it today. she did a terrific job and a great story but remember it is not about the nvidia part, it is about much of the things that they do with the defense department and morgan pointed that out. but i like lockheed very much. i thought the northrup interview was good too i think we'll be in some pain next week but given the crushing blows i believe that the santa claus rally to kick in sooner rather than later. on mad mn tonight, boot barn and the company's top brass. then this week's volatility was an important reminder to make sure your holders are diversified and you don't own every tech stock and that is why i'm playing am i diversified
6:12 pm
and speaking of tests. you have stumped me so i'm turning in my homework on two stocks one that i think you might actually want to pull the trigger on stay 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 or give us a call at 1-800-743-cnbc miss something head to
6:13 pm
6:14 pm
6:15 pm
every day in business brings something new. so get the flexibility of the new mobile service designed for your small business. introducing comcast business mobile. you get the most reliable network with nationwide 5g included. and you can get unlimited data for just $30 per line per month when you get four lines or mix and match data options. available now for comcast business internet customers with no line-activation fees or term contract required. see if you can save by switching today. comcast business. powering possibilities. after a brutal wave of selling, you got to circle the wagons around high quality stocks that are underestimated by wall street
6:16 pm
like cramer fave boot barn focused on western and work-related footwear and apparel. boot barn never gets enough credit because too many money manager rarely leave manhattan and they've missed from $8 at the low in march of last year to under $120 today it is not a docu sign stock. and more importantly we know boot barn is in great shape because they have reported 62% same store sales growth. since then it has been dragged down by the rest of the market, given back half. and could this be your kans to get into one of the best kept secrets in retail and let's check in with jim conroy he's the president and ceo of boot barn. mr. conroy, it is great to have you back on "mad money." >> thank you, very much for having me again, great to hear your voice. >> same. so i have to tell you something in your last conference call in
6:17 pm
stevens investment, you described the two different kinds of buyers, there is the rodeo buyers and the nascar buyer. i think you could help our viewers by telling us the difference >> sure. our legacy customer was truly a western cowboy often working on a ranch and working with horses, et cetera. they would attend rodeos, and live in a revery much outdoor environment. what we've done recently is try to expand the market that we're going after and by doing so we've gone to a more what we called a casual western or country customer and that customer perhaps doesn't wear a cowboy hat but maybe they do wear jeans and cowboy boots and they'll go to a country music concert but maybe they have a ball cap on, so that sort of strategic step forward that we took was truly an effort to expand the addressable market
6:18 pm
that boot barn could go after. >> now we know that, jim so i have to reach the logical conclusion that frankly you have more room to grow, larger store cap, not just trying to do the same thing over and over again, but store count with a rodeo base hanging on to a nascar base you could put them everywhere. i'm not kidding. in virginia people think that it isn't western and it works perfectly. >> that is right you're exactly right when we first went public, we thought we have the opportunity to grow to 500 stores across the country. as we've seen the performance of our new stores in brand-new markets like in virginia or ohio or pennsylvania, not only are we further emboldened by the performance of brand-new stores and markets and think we could continue to grow our store count there but at the same time we've been adding stores in a mature market and not seeing a
6:19 pm
cannibalization. we think we'll blow past the 500 store maximum that we had called out when we were in public and we'll put a more precise number around that but it will be a couple of hundred stores north of that. but we just want to add some analytics to it. >> at the same time, i don't know who is doing your e-commerce work but it is pretty strong >> yes, it is. we're really excited about the e-commerce channel really nice growth in sales. even more impactful than that is the growth and profitability of that channel and i'll say that the last piece is one of the things that we're most proud of and the most recent couple of quarters is our ability to really integrate the e-commerce business and our stores' business so we have one fourth of the e-commerce product sales are shipped to stores for pickup we now have the ability to fulfill our e-commerce demand from our stores. we're taking e-commerce returns
6:20 pm
in the stores. so we're really trying to do is build that sort of intersection of customers that shops both channels. >> and others are trying to do that and they have not been as successful as you are. one other thought that i think people miss about you, you were an essential retailer during the height of the pandemic maybe again, i'm trying to get people familiar with you, you stayed open and it had a major effect on your business. >> that is right so when covid first began to emerge in the spring of 2020, by virtue of the fact that we carried work boots and work apparel, we were deemed essential. and what that enabled us to do is continue to service our customers, albeit sales were depressed for a short period of time we were able to retain our store managers and most of our field team and as you know, most of our competition within the
6:21 pm
industry is a series of a few hundred mom and pop western retailers and because most of them didn't carry enough work product to be deemed essential, they have to close down. and it was, to be honest, a bit unfortunate for them because they wound up forfeiting a fair amount of market share and we bref many customers to boot barn because we were open during that period of time so it was an opportunistic moment to be there for our customers and take care of customers that had gone to other stores previously that had been closed and as you look at the growth that we've had over the last 37 weeks or so, roughly 80% of that growth has been due to the introduction of new customers to boot barn >> well in another time we might have just said, i would say focus on the price of oil.
6:22 pm
because people were trying to pay the price of oil do we still have to think about the price of oil in boot barn? >> i don't think so. the price of oil had gone up over the last months recounts had been increasing yet of all of the things working well, the oil patch is still a drag so if you think about our 67% growth versus a two year ago period, pre-pandemic period, that is with the drag of the oil markets hurting our sales growth, hurting categories like flame resistant work apparel, so hopefully we have finally unhinged the boot barn story from the oil story. >> for thanksgiving i wore the hat. hats are bigger than we think, right? >> yeah. hats is about 10% of our business if you combine cowboy and
6:23 pm
baseball hats it is an iconic part of our category they are -- they bring a fair amount of life and energy to the stores we clean them and shape them in a hat steaming station in the front of the store so it is a very important part of the branding. >> well, look, you've done a magnificent job. i'm going to have someone on this week who are immune to the crazy selling that we're seeing but if you weren't, i would just tell people, this is the next chance because, boy, you have multiple years ahead of you, jim and you deserve it because you're the pioneer in the category i want to thank jim conroy president and ceo of boot barn have a great weekend, sir. >> thank you very much you as well. >> thank you this is one we've been hiding for a long time. i have to tell you, jp morgan introduced the content to me, but these are the kind of stocks that you want to look at on a day when docu sign is bringing stocks down. do you think that has anything
6:24 pm
to do with docu sign right. "mad money" is back after the break. >> coming up, master the unknowns be ready for any market. another edition of am i diversified is coming up next. w2 if you wake up thinking about the market and want to make the right moves fast... get decision tech from fidelity. [ cellphone vibrates ] you'll get proactive alerts for market events before they happen...
6:25 pm
and insights on every buy and sell decision. with zero-commission online u.s. stock and etf trades. for smarter trading decisions, get decision tech from fidelity.
6:26 pm
tv: mount everest, the tallest mountain on the face of the earth. keep dreaming. [coins clinking in jar] ♪ you can get it if you really want it, by jimmy cliff ♪ ♪ [suitcase closing] [gusts of wind] [gusts of wind] [ding]
6:27 pm
it is been a wild and some would say hideous week where we saw major action in the major averages a day where the dow hit a high of over 500 points, it plunges down over 400. that is what we saw wednesday. so how do you hedge your portfolio in these crazy times you have to stay diversified and this is where you call me and tell me your top five holdings and maybe i mix it up and we want to first up go to a tweet from edward on twitter who
6:28 pm
said @mad money, and i have apple, amazon, google, tesla and am i diversified i love the nfl red zone. that where we are. so, amazon, we're going to call it, we're not calling it a retailer we're going to call it a vast digitization machine which could fit into a lot of different categories google is similar, but they're different -- i mean they're conglomerates. and jp morgan and terrific back and now apple. now we do have to pick i'm going to bless this only because my travel trust has three. you see how they traded together and one of the things we're trying to do is eliminate the stocks that trade altogether in one etf. i'm going to bless this.
6:29 pm
i would not do it unless i've done it myself and apple you have to own it, you can't trade it but of those three, the one i'm most concerned about right now is is this one because everyone is gunning for it all right. let's go to a video call from lisa in maine. lisa >> booyah, jim, greetings from maine. i'm lisa here are my five top holdings. am i diversified best buy advanced micro devices, your favorite and mine, jim, nvidia, sonos and hasbro thanks for your help, jim. happy holidays. >> happy holidays. we have a smartest viewers algonquin. okay so hasbro toys, i miss mr. golden very much son os, entertainment to homes, we'll call that a home play. and nvidia, well, nvidia, my dog
6:30 pm
and nvidia, that is a chip company, chip gaming metaverse high performance computer and chip gaming, high performance computer we'll have to make a choice there. best buy, too many chips go into that so we're going to say no to best buy instead what we're going to do is we're going to put in -- let's go for something that is target, i pulled them up the other night. target is doing very well and instead of amd and nvidia, let's do raytheon technologies why am i doing these because i like what i heard today out of boeing. we've got some good china news coming but i would rather play with a more diversified way and you make those changes and then you are diversified. i feel like i'm compelled to make those changes after a day like today next up is peter in oklahoma.
6:31 pm
>> my name is peter chiles calling from tulsa, oklahoma the companies that i own are apple, scb financial, pioneer international resources, snowflake and molina health care hey, jim, am i diversified >> wow, this is what i'm talking. i'm looking for this kind of portfolio. snowflake, one of the great conference calls, this is data and i don't want to call it data warehouse, but it is a lake warehouse. a lot of sophisticated terms it is a great way to store your data apple we know. it is terrific pioneer is one of the three that i'm recommending and pioneer and i like and silicon valley bank and molina is a terrific company but i would replace that with
6:32 pm
centine. financial, oil, data and the great consumer tule company of our time and i like those very much we have one more do we have todd in iowa, please. >> hi, jim this is todd from iowa thank you for taking my call and i would like to thank you for being educational and entertaining both. >> thank you. >> my stocks are 3m, gm, pm, ibm and cleveland chris, clf thank you for your help. am i diversified >> a lot of m's there. okay okay, all right. let's go to work gm, doing a remarkable job, i'm a buyer. bingo. buyer. buyer. ibm very tough here. up a couple of bucks today, i want to see this quarter i'm not a buyer until this quarter so we're put a place
6:33 pm
holder there cliffs, they hate cliffs right now. i like cliffs because they hate cliffs, i think it will do well. philip morris we don't comment on tobacco because we don't want to see it and 3m is so low i want to buy it we have a conglomerate and a stock in gm, ibm waiting for the quarter, cliff is down and out because people think we're going into a recession which is not true and philip morris you're on your own, not going to comment on it. one more last but certainly not least let's go to franko in new york >> hello, mr. cramer this is franco from new york, new york my five stars are marvel, ibm, chevron, nike and microsoft. am i diversified >> these are so tough. let me tell you why they're tough. microsoft, it is going to have a great quarter. it is accelerating rerve growth. it is just terrific but it is
6:34 pm
tech and so is marvel. they have amazing numbers and really may indicate that next year is going to be even bigger. we're going to call this semiconductor and we'll call this just enterprise software. so that is how we'll try to say that they don't trade together now this was up huge and that was down huge but this report last night ibm, i will defer to the quarter. we have to see the quarter and chevron, spending $10 billion to have really good environmental products that will make money, at the same time boosted the buy back yesterday and then nike, i believe that the chinese are making nice with nike they have a deal with the ministry of sports, so we have ath-leisure, athletic and chips and enterprise software and the oil company that i like with a more than 4% dividend and we have to place hold ibm we're not ready yet to pull the trigger. there is much more "mad money" ahead. you stumped me on a couple of stocks one that has been badly damaged
6:35 pm
over the last couple of weeks so i'll turn in my homework i'm so excited about what these are produced in am i diversified because this is what real life is about on days like today where tech crushes you that you have something else. charlie monger called the market crazier than the dotcom boom but he noted and could get hit next week when they report, i think it is about long-term investing and your calls, rapid fire and "the lightning round," stay with cramer
6:36 pm
there's lots of people who are confused about which medicare plan is right for them. hey, that's me. i barely know where to start. well, start here with me, karen. i'm a licensed humana sales agent. well, it's nice to meet you karen. i'm john smith. hi john. at humana we know you're unique so you have different needs from other john
6:37 pm
smiths. yeah, i've always thought so. and together we can find a plan that's right for you. great! i go to the doctor a couple of times a year and i have some prescriptions. but i'm never fully sure what's covered and what's not. with humana's all-in-one medicare advantage plans you get coverage for hospital stays, doctor visits and part d prescription drug benefits. all for an affordable and sometimes no monthly plan premium. do you have any more information? sure, i'll get a decision guide in the mail to you today. they're free. finally, someone who understands the real me. call or go online now to get your free decision guide. call a licensed humana sales agent today. humana, a more human way to healthcare.
6:38 pm
whenever i get a question about a stock that i just don't recognize, i always promise to
6:39 pm
research it and then circle back so i could give you a more informed opinion so as we get closer to the end of the year, i have to catch up on our homework. now tonight we have two relatively unknown names in sectors that are right at the center of the sell-off over the past couple of weeks one of them has held up okay and the other badly damaged. let's take them in order back on october 20th, kevin in illinois asked me about v tech, vtex, which is a software company focused on latin america. they help brands set up market places they got its start doing e-commerce for walmart in brazil but then they branched out to the rest of latin america skpnding into europe and north america. last year it got 94% of the sales from north america and more than half from brazil alone. management likes to point out that latin america had the fastest growing market for e-commerce last year it grew to a 37% clip leaving
6:40 pm
the rest of the world in the dust now if you're feeling generous, you could describe v tex as shopify, except they're more focused on large businesses. within latin america it is the largest provider of digital commerce technology. they have more than 2,000 customers across 32 countries including names like adidas, whirlpool, sony and nestle among others and their technology is embedded in large enterprises which is a good place to be and in many cases taking a small cut of the transactions that they facilitate what about the numbers like plays, business was booming in 2020. of course the pandemic forced everyone to stop online. but the growth has slowed in 2021 and no, it is to the docu sign keep listening v tech is just 12% revenue in the most recent quarter down from 140% in the same period last year. as far as profitability. they were close to breaking even in 2020 but it is going in the wrong direction. it is not that their business
6:41 pm
was worse, they're up against difficult comparisons. last year was unique it became public this july at first the deal was well received, the ipo price of $19, a couple of bucks above the high range and then it opened at $25 before reaching the low 30s in august v tech has been working lower slipping to 13 and change as of today. that is a hideous decline. there is no clear catalyst to explain the stocks under-performance although part of this is because it is a victim of the rotation away from fast growing tech stocks and value plays but it is not like wall street hated this thing when the period ended in mid-august, most of the analysts were positive and at worst they were neutral but it plunged from $29 to $21 which suggested that analysts were expecting them to be more efusive. it over hyped the ipo and the
6:42 pm
public investors were punished like we talked about last night. showing a big slowdown in growth a coupled with soaring costs management guidance was in line with what the analysts were looking for. plus the stock had a been battered by then it has been hit much harder since jay powell took a hawkish turn but you don't need me to tell you that every one of the growth techs are the same [ inaudible ] is the amazon of latin america, a stock that we like since this whole "mad money" started it is possible i like the story here and the stock has come down a great deal one problem. i have no idea what could cause this thing to bottom here at 13 and change, i'm on the fence. how about this if it goes below 11, we'll be trading less than ten times 2023 estimates, i feel bullish. if you like v tex, as long as
6:43 pm
you do it smart. and a very small position now and buying more on the what i call the pyramid fashion next up on october 26th, greg called about prg holdings which is another one i never heard of. stumped me the buy now pay later king pin except prague holdings get the leasing business, they offer lease to own transactions to people with not so good credit, either point of sale partners namely retailers it was created when the retailer broke them up splitting off the retail side from the financing division i think it has a lot going for it but remember that the fin tech stocks are among the most hated stocks in the business that is all of the different payment companies. regular viewers know i like the companies using artificial intelligence to up end the credit industry and even when they have bad credit scores. remember that anomaly.
6:44 pm
but i think could do better than prague the sales came in weaker than expected and management cut the full year forecast the business is chasing after consumers with terrible credit people who can't get financing lending money to people with bad credit is a risky proposition. you get hurt when the consumer is week. but just as important, you also get hurt when the consumer is strong right now the consumer is very strong when people are flush with cash, there is less need for finances and services and maybe thar why the stock struggled to gain. and the best thing i could say is that it got a cheap stock trading at 11 times less than next year earnings but sometimes stocks are cheap for a reason and i think this is one of those times. "mad money" is back after the break. >> announcer: coming up, a storm is coming so give us a call. cramer has the answers to all of your burn questions.
6:45 pm
"the lightning round" is next. hey businesses! you all deserve something epic! so we're giving every business, our best deals on every iphone - including the iphone 13 pro with 5g. that's the one with the amazing camera? yep! every business deserves it... like ones that re-opened! hi, we have an appointment. and every new business that just opened! like aromatherapy rugs! i'll take one in blue please! it's not complicated. at&t is giving new and existing customers our best deals on every iphone, including up to $1000 off the epic iphone 13 pro.
6:46 pm
your record label is taking off. but so is your sound engineer. you need to hire. i need indeed. indeed you do. indeed instant match instantly delivers quality candidates matching your job description. visit when it comes to autism, finding the right words can be tough. finding understanding doesn't have to be. together, we can create a kinder, more inclusive world for the millions of people on the autism spectrum. go to
6:47 pm
[uplifting music playing] ♪ i had a dream that someday ♪ ♪ i would just fly, fly away ♪ people, with quickbooks live someone else will do your books for you. they'll even pair you with an expert bookkeeper like me, who knows your business. knows your business! expert bookkeepers who understand your business. intuit quickbooks live bookkeeping.
6:48 pm
lightning round is sponsored by td ameritrade >> it is time. it is time for "the lightning round. and then the lightning round is over are you ready skee daddy eric in arizona. >> caller: i'm a new kid in the market, new listenering. cherry therapeutics. i love what they're trying to do i was a nurse's aid before i was a teacher so i've seen how -- could wreck a nursing home and
6:49 pm
hospital. >> you're right. you're a younger person and you're new and i think you could buy it it is -- for an older person, it is too speculative because the company is not making any money. i like your call to joy in massachusetts. >> caller: hey, jim, thanks for having me on, man. i'm -- cvs - >> it is okay. i think that is under assault. you could mention any one of these. it is just okay. that is means well run but just okay to garresh in texas. >> caller: booyah, jim my question is on norro vac. it is a vaccine not getting approved in the u.s. it looks like a bright future but the stock is not moving. >> yeah, because people -- it is not, that he came on like gang busters an i like pfizer, okay pfizer has the pill coming up too. that is the inexpensive way. i feel safe with pfizer.
6:50 pm
mark in new york. >> caller: hey, jim, thanks for taking my call want to get your thoughts on office depot. >> no. i do not need that company that is an amazon road kill. to jacob in ohio >> caller: jimmy chill, got to say booyah here from northwest ohio, how are you doing today. >> i'm doing well. how about you? >> caller: really good hey, so recent sales on stocks and some states looking to legalize cannabis use, i want to buy the company that supplies the shovels, my stock is groweneration. >> -- we said we've had enough we've made too much money. let's not be greedy. bulls make money and bears make money, hogs get slaughtered. robert in new jersey >> caller: good evening, jim the stock i wanted to discuss
6:51 pm
with you is canopy roads the red of the cannabis sector selling off would you be a buyer. >> at $9, i guess i would. this did not have a good quarter and not doing that well. my solution is that it has a big stake constellation and run by a good gay david klein but i have to tell you, i don't like the cannabis business. you i just don't i thought it was an overhyped business like what we are seeing in the gambling business which is brutal. to guess in virginia >> caller: hey, jimbo. i want to ask you about pana tear technologies. >> cold stock. cold stock cold stock the cold stocks aren't working okay i read the business, you can't even understand what they do because most it is black box we fool around and we trade it, but no, it is a cold stock it is not working. junior in new york >> caller: booyah, jimmy chill
6:52 pm
long time caller and viewer, thanks for all that you do we appreciate your keen insight on the market. i'm calling about wish. >> this is a decent company. you buy it at 3 and it could go to zero. it is a good spac. and that, ladies and gentlemen, is the conclusion of "the lightning round." >> caller: "the lightning round" is sponsored by td ameritrade. >> announcer: coming up, charlie munger had praise for this stock. should you be buying it in bulk. cramer has everything you need to know, next.
6:53 pm
when traders tell us how to make thinkorswim even better, we listen. like jack. he wanted a streamlined version he could access anywhere, no download necessary. and kim. she wanted to execute a pre-set trade strategy in seconds. so we gave 'em thinkorswim web. because platforms this innovative, aren't just made for traders - they're made by them. thinkorswim trading. from td ameritrade.
6:54 pm
6:55 pm
it is about time somebody big in finance finally gave costco its due recognizing it is as the
6:56 pm
shoppers finance that is run right and flies straight what makes it even better that is this craze came from none other than charlie munger, the partner of warren buffett at berkshire hathaway and why, the 97-year-old munger had a lot to say about the current stock market calling it crazier than the dotcom boom and you saw what happened today some were too high and he lashed out against cryptocurrency and saying, and i quote, it should never have been invented but i want to talk about costco. a key holding of my charity trust and the investors club munger loves going to costco because the membership based model holds down costs as he puts it. people trust it and they have the power to reduce prices in fact, he said, as i quote, a sentence from hell, he also thinks costco digital business could become a huge internet
6:57 pm
player, rival amazon now i want to teach you about the dangers of short-term thinking this week costco reports november sales numbers and the came in 14%, wall street was looking for 15%. some thought this was a deceleration when i saw the numbers, my immediate reaction was holy cow. charitable trust better sell this thing and then i thought about it and realized that costco could raise $120 price of an executive membership by as much as $100 and very few customers would balk that is the kind of bargain it is and because as munger points out that membership fee is a huge bargain. this man is a billionaire and he's focused on these things so we decided to hang on to costco for the charitable trust. even great retailers miss the numbers and i figure this was costco's turn. owning the stock long-term, having the fortitude to stick with it. i'm sure i will want to kick
6:58 pm
myself when the company reports next thursday. it will be a drip and someone will be disappointed but same deal a sell-off in the stock of a great company is an opportunity, not a reason to turn tail. people always seem to misjudge that they say something must be wrong. no, you should be thinking something is right there as i see costco has the number one most important quality in a great stock. this is a company with the ability to raise price at will they could snap their fingers and become more profitable overnight and that makes them a member of a small club we know chipotle could take prices up and most people wouldn't notice. the loyalty factor is gigantic and apple gets away with highway robbery, but the ones i like are netflix, amazon prime, to the point that we own amazon for the charitable trust and i'm confident they could raise prices substantially and very
6:59 pm
few people would balk. i think costco is no different it feels a little quaint to judge companies based on pricing power after the debacles where business comes public. think lemonade or my favorite dutch bros, the stock has done well but it is a brand, all birds, the honest company clear secure, those not doing so well. call me old-fashioned but i'll taking pricing over height power any day of the week. so ask yourself do you own yourself with stocks that could raise prices with impunity but cluz not to gauze they want to keep the growing customer base happy because they care about the customer why would you buy the stock of some aimless retailers when you could go with maybe the greatest of all time. go with costco in a world beaten down, growth stocks like docu sign could lose 40% of the value in one day and no one seems to be interested in
7:00 pm
buying it even down there. it is not like costco which could miss numbers and barely get dinged and as charlie munger said, we are lucky to have costco there is always a bull market somewhere and i promise to try to find it for you right here on "mad the michigan school shooter, allegedly, is in jail. but now his parents are missing. i'm shepard smith. this is the news on cnbc the parents of the accused school shooter now charged with involuntary manslaughter themselves. >> these charges are intended to hold the individuals who contributed to this tragedy accountable. >> the disturbing warning signs prosecutors say the parents saw and failed to act. hiring stumbles in november, even before covid omicron. >> families are anxious about covid, about the c


info Stream Only

Uploaded by TV Archive on