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tv   Mad Money  CNBC  July 8, 2019 6:00pm-7:00pm EDT

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that's got stronger again, the issues macro-wise. >> guy >> if i'm a met fan when i'm not i'm worried about pete alonzo throwing that utah there >> come on, man. >> and devon >> that does it 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 cramerica. other people want to make friends, i want to make you money. my job is not just to entertain but to educate and make you money. call or tweet me @jimcramer. there is more to this business than watching the federal reserve and that's true with a day like today where the dow loses and the s&p shed and
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nasdaq declined. everyone acts like this a totally by narcoticry si bianar. the fed tightened nine times and we've had a phenomenal bull run here i'm not saying the fed doesn't matter jerome powell almost drove the economy off the cliff when he was determined to raise interest rates. i'll be watching him like a hawk or maybe a dovish hawk when he speaks to congress however, i think far too many people are misreading the fed and more important, they are misreading the moment first, let me set the stage. let's talk about the economy after gaining strength for the better part of a decade, the economy started losing steam last fall. the business cycle is a tricky thing. it can speed up or slow down for any number of reasons. we don't need to know the cost we just need to notice that a slowdown is happening. the problem late last year is
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that they didn't notice. they didn't notice in 2007, either something they get wrong now and then if you look back at the period since the fed started tightening, there is one huge decline from october to december see that why? because the data from all across the economy is weakening, we had a last, can't come up with a better word, rookie fed chief. jay powell he didn't see the signs and didn't recognize the power of his own words. he felt compelled promise multiple rate hikes and said he was willing to over shoot to raise rates too much if that's what it took to tame inflation, how could he have been more wrong? the economy was already decelerating so his hawkish policy freaked out the business community badly. freaked out the stock market freaked out everybody. it crushed stocks. it was a horrible mistake and i said so repeatedly at that time when things were really off the
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rails. but and this is a big but, i believe powell learned from his mistakes last month he was more data dependent like his predecessor janet yellen when president trump fired. with yellen you knew what you would get. if the economy was hot, she'd tighten. powell didn't use these words precisely and he hasn't flat outside the last rate hike in december was a mistake however, by effectively adopting the position, he's giving the stock market new level flexibility and this is something people don't seem to understand going under friday east's emplo number, they were betting on a rate cut when the fed meets. that was the chatter so hard to block out when the number was good, well, it made a rate cut less likely so everybody starts freaking out. the thing is you at home do not need to play this game anymore there is no need to guess powell's intentions. that's not what we do.
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that's not investing we know if the economy slows down, it will cut interest rates. he said that we know if the economy accelerates, it will raise interest rates he's using common sense. so what happens if you step away from the fed betting window? it's crazy you can start analyzing company's based on the earnings again, what we do on "mad money" which brings me to the game plan for the rest of the week when we come in tomorrow morning, pepsi co kicks off the earning for what matters when you pick stocks, not will he, won't he that's a fool's game first, you need to know how a stock has been doing and in pepsco, it trades what's known as 24 times earnings and that's substantially more pricey than the average stock in the s&p 500 which is 18 times more too expensive?
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no, makes sense. pepsico is one of the most well-run companies on the earth. 2.9% yield which is attractive at a time when the tenure treasury gives you 2%. pep gives you more consistent growth than the average stock with an above average yield and demand, huge demand for money now, the long-term interest rates would be higher and pepsico stocks would be less attractive that's definitely not the situation now. it's the reality, it's not the fed doesn't control long-term rates and as long as foreign brands keep the rates low and inflation stays low, our rates are going to stay down, too. all right. enough about pepsico stock what about the fund mentals of the company? the relatively new ceo that took over when the amazing ingenuity stepped down talked about accelerating worldwide sales growth how does he pull it off? maybe good execution and what's
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on this table. this is their new products the products that pepsico is introducing, good examples of -- maybe. the good examples of what we got here maybe he does it with a nice bump in international sales. i think the new products matter. ingenuity matters. it's more important that when he'll hear from jay powell we want to pay attention to the conference call of what pepsico has to say and when we interview them on cnbc, notice, i have not talked about the fed once. so sales look good what about the gross margin? what the company makes i'm petting pepsico's role comes down they are growing with packaging, ingredients, transportation costs are climbing now the economy cooled off, i think trends will begin to reverse, which could allow pep to deliver a nice upside
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forecast, okay forecast i don't think that this quarter you're going to see everything that goes into this bottle go down into value and what it cost them but they can focus that in the future some things could hurt them. pepsico is vulnerable to the dollar nobody expects pepsi will gain from the currency. everyone expects it will lose. we're putting that in the so what category. we do care about the overall direction of the stock market, however, we won't care in the way that the pun dandits do. what matters to us simple if pepsico beats benchmarks and gets pulled down because of the endless fed chatter, you should think about buying the stock why not go buy with both hands there are too many investors who focus on what the fed will say we need to gauge their disappointment and let them make ma mistakes and then only then would i sanction the trigger if the fed heads worry about the
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economy, i, whether it's in good shape or not and whether we'll get a rate cut or not, you may have a chance to buy incredibly high stocks like pepsico on the cheap. thanks to the endless and sometimes pointless guessing game on wall street, you get a sweet deal on all sorts of terrific stocks. just remember, we don't need a rate cut for this market to work we just need the fed to exercise some common sense. i think that's what jerome powell will give us. let's go to allen in florida, allen? >> caller: jimmy, i got a confused boo-yah for you jwph is the only company with an fda approved marijuana drug. it's $32,000 per year per patient. they are signing up thousands of new patients a month they will be selling it in europe this year and insurers agreed to pay for it the sales force hired to have a deep pipeline 20 years of marijuana drug research, why is their market cap so low?
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>> i mean, let's -- this has been just a gigantic winner. we have to be careful in saying that this one has a market cap that's too low it's been just a rocket ship it's up 78%. there is a belief that they have not been able to come up with more drugs, only this one narrow area i do believe that it's worth more than it's selling for as do you but i do not want to say that a stock that's up 77% this year is one that is -- has a market cap that's too low because that's a nice move let's go to jim in colorado, jim? >> caller: thank you for taking my call. i have owned lockheed martin for several years now with a $270 basis. it ismy second heaviest equity in a cramer-approved diversefied portfolio. >> i like that. >> caller: i love the company. i love the dividends, i think maryland is great. i think it's the best of breed and defense and right around all-time high. should i be taking profit here
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>> no, no, for every reason -- it sells at a market multiple. that's wrong it's better than that. second, it's spewing cash. third, you're absolutely right about marlin would love to have her no reason to sell a stock just because it's up because that business is on fire. i want people to think bigger. think outside the fed. have others made their own mistakes if they do, if they sell because of something powell says on the hill for heaven sake, it delivers, what an opportunity. that's when you buy. with news bruce is out, how is consolation brands doing i'll talk with the ceo and with reports floating around broad com is in talks about an acquisition, i'll talk about the man behind the incredible recovery and eloquent d radow ae plans. i'll look into another way to
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play that deal don't miss my sitdown with the ceo of the properties. stay with cramer >> announcer: don't miss a second of "mad money." follow @jimcra@jimcramer on twi. have a question? email him. send an email or give us a call at 1800-743-cnbc miss something head to madmoney.cnbc.com. blam (vo) the hamsters, run hopelessly in their cage. content on their endless quest, to nowhere. but perhaps this year, a more exhilarating endeavor awaits.
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. morgan woke up to the mood bruce, the ceo of cramer cannabis company growth and a frequent guest on the show resigned when he called into quake bsquax it was clear he was terminated a. big alcohol company you may know as corona, reported a fantastic quarter yet hardly anyone seemed to notice because perhaps they were concerned
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can canape was spending the war chest too quickly. let's go straight to the source and check in with bill, straight shooting ceo and president of consolation branch he had a bet serns nse of how hs company is doing welcome back to "mad money". >> thanks. glad to be here. >> dynamite quarter and everyone was focused on one line, which was you said we were not pleased with canape's recent year-end reports and he was fired can you tell us what you weren't pleased by and why we should not be worried going forward about a consolation brand's investment because of canopy? >> sure, as you and i have talked before, we see this as a great opportunity. this could be a 200 plus billion-dollar business over the course of the next ten years, and canape is best positioned of anybody to take advantage of that with that said, we recognize
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that there are some great opportunities to push this forward, to make sure that the right form factors are being invested in and that we are winning the markets that matter and this move was all about making sure that we do all of that. >> were you spending -- was bruce spending too much money versus the actual war chest that you gave him, and were you concerned that perhaps there wasn't enough maybe margins, that targets weren't right exactly was making you uncomfortable with what bruce was doing? >> what we were really engaged on is the fact that we needed focus. we need to win canada. it's a proof of concept. we need to win the united states and our deal with acrhe -- acrage we were unanimous we needed a different leader to take us to the next phase of growth. >> okay. so let's figure out what can you do at a time when it's still a
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class one felon to sell cannabis in the country can you do away from the united states can you do medically what can you do in canada that makes it so $4 billion will give a shareholder a lot more growth than we think? >> well, one of the important things we always talk about relative to the legality of it, particularly as it relates to the u.s., 68% of u.s. consumers think cannabis should be illegal and it's over 50% for any demographic you want to talk about. men, women, various age groups, republican, democrat, independent, all over 50%. our belief is it won't be long before we have legality at a federal level here in the united states with that said, canopy is perfectly positioned to win in the medicinal market in canada, as you know, there is going to be opportunities later this year in edibles and in beverages as
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canada opens up those additional opportunities and there is opportunities in critical markets around the world like germany as an example. so there is a lot of opportunity to make sure canape is well-positioned to win in the long run in this category. >> is the ceo settled? will it be the previous co-ceo and are we sure there was nothing wrong with any of the bookkeeping because i know your cfo was on the board and among the best i've ever seen. i want to be sure there was nothing untoward. >> no, no problems with the financials david kline is probably one of the best cfos we've seen and we'll thrilled he's our cfo and on the board thank you for that compliment. >> no problem. let's go forward here because a way from canopy, the quarter was extraordinary. you reaccelerated and got new products immediately contributing to the bottom line. what is the secret behind a reacceleration what we know almost every other beer company
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continues to lose? >> well, we are focused on our brands and when you think about the share of voice we have today while other people are stepping back from their investment, we're accelerating our investment against our brands and there is probably no better example that modelo that accelerated in the quarter to a 17% growth rate. i personally say internally, it could be the single biggest opportunity within the company it is on fire. a lot of that comes from the fighting spirit advertising we're doing and we've never invested more against our business. >> at the same time, i think we're relatively early on the rollout, correct >> it is in the sense that it has a very strong core hispanic group behind it but in the last two years, we've seen a 60% increase in the number of non-hispanic consumers that have engaged with this brand but our household penetration is
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significantly less than corona as an example. we really feel the sky is the limit on modelo. >> do you think the issues with tax and trade are behind you or do you monitor every minute how the democrats, whether they are going to give the president a hard time because it is very meaningful for you to get this bill through. >> right we certainly feel like the tariff issue is behind us and as you know, our beers are authentic mexican beers. they have to be made in mexico this was not a choice. this is where they have to be made from their authenticity stand point. we're confident that's behind us and quite pleased that it is. >> refresca and spikey, the spikey, boston has got it. is that something you can do you guys have been the forefront among drinkable cannabis, so these are things we have to look forward to >> well, refresca is our focus
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and we just introduced it nationally over a month ago and thrilled with the startup. i was just with all of our beer sales leadership group today and i'm telling you to a person, they were excited by the potential for refresca it's a great product and delicious. our focus is entirely on it and maximizing the opportunity behind that particular subbrand. >> look, my -- look, i'm unshakable this is the best beer stock and i feel better about canopy, which i recommended heavily after what happened because discipline is good discipline is good all right. iwant to think bill, the president and ceo of koconsolato brands mad money is back after this
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we're always searching for companies with great management. this is one of these things that's impossible to quantify even though it's important which is why i'm always trying to find examples to help illustrate my point. and last week, we gotyet another fantastic demonstration from a man by the name of rick hill the newly appointed ceo and incredible track record of creating value for shareholders. in may this company delivered a disastrous earnings report and the previous ceo resigned. then they picked hill on the board of directors to take the reigns the stock bottomed at $17.50 a
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month ago and within two months rick hill turned the narrative around you may have missed it if you were on vacation but we learned symantec, we don't know how this will play out. we don't know if the company will be sold but you're up huge since hill took over and that's pa par for the course for this guy. i'm not surprised by the fact rick hill might want to sell eight months ago i said this was a likely outcome like a little mention of press release but i highlight to you this is the time to buy. look, i never would have predicted he could get something done within two months taking over as interim ceo. the man has the touch. i want to walk you through how this happened. what the deal might mean and what we can learn. let's start with howl. for those of you that never had to deal with irritating
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anti-virus popups, symantic, a cybersecurity, you know them as norton anti-virus and life lock. while this company is 37 years old, the current incoronation goes to 2013 when the old saly n symantic broke up. they snapped up the privately held blue coat system and handed the keys to a combined company to the management team with a man by the name of greg clark they named as ceo. it seemed to be paying on. stocks surging from $15 to north of $34 last year the story started breaking down and badly. first symantec left the stock vulnerable to the big market breakdown that brought it back to the teens and that's when i started recommended symantec the story changed. in september they reached an agreement with the smart activist investors at starboard
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value. part of the arrangement, they had to appoint rick hill hill is a long history in the business he's the ceo that sold the semi conductor equipment maker to land research in 2012 for 28% premium. something it made many viewers a lot of money because rick hill was about as close as a regular as you can get and he kept buying back stock and showing you how cheap it was and then boom, you know when hill took over in 1993, it was $100 million company. lamb paid 3.3 billion for it there's a track record that's why when i got behind symantec, i told you hill's involvement made it likely he would go up for sale he worked with them as a consultant to turn around struggling tech companies. it's not been a smooth ride between then and now as 2019 got rolling, stock rebounded with the rest of the market and fell off a cliff on may 9th when the company posted
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an okay quarter but horrendous guidance that's when they handed control of the company to rick hill who brought in the chief financial officer and the cfo of logitec the stock bottomed and found footing in early june it been marching higher until last week and that's when bloomberg broke the news that advance talk to require symantec they are haggling over price cnbc's squawk on the street co-host says he's hearing that they could pay more than $25 a share but less than 30 and if broad com can't make it work, they have a backup plan tipco that used to be a regular. bloomberg said that they are getting financing ducks in a row and note the former ceo greg geor clark not to be confused with
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clark greg, if they have a bidding war, that would be the cherry on top. that's enough to guarantee him a position in the mad munhaoney h of fame. once you know a deal is in the works, that's when the arbitration steps in even though it might go out at 28, if it goes out, i'm not getting behind it here it moved to much however, there is definitely a case for owning the potential acquirer, broad com. this is an odd deal for the company. the second software purchase in a row following the technologies that worked out well back then that transaction did strike many as odd and stock got hammered but the stock only rocketed higher from last november when the deal closed and peaked with trade tensions with china heated up now that the government is maybe ratcheting down somewhat, we can
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focus on fundamentals and they are real good. the ceo is a brilliant deal maker. we know the takeover is doing better than expected and part because they shared a ton of large enterprise customers now they are trying to buy symantec he's trying to get a larger piece of the technology spending it gives him a truly excellent security offering they can sell alongside chips and could be a po potent combination and symantic needs to be turned around, tan can pull that off as well as rick hill. he's done it many times. bottom line, when you find a chief executive that seems to create value for the shareholders, stick with them. two months ago symantec looked like a mess but he struck a deal with broad com in record time and if you want more of the magic, he's still the chairman
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of marvel technologietechnologi you can follow by joining the actionalertsplus.com club. more importantly, view this as a learning opportunity when the ceo learned from the benefit of the doubt, please, give it to them richard in new york. richard? >> caller: hello, mr. cramer. >> yes. >> caller: thank you very much for taking my call. >> of course. >> caller: more importantly, thank you for being thoughtful and generous with your time and knowledge. >> thank you very much very kind. >> caller: i have a question regarding dell technologies. if dell loans 81% which is $55 billion, why is their market cap only around $36 billion? >> this is historically an issue that has to do with taxes and has to do growing faster than dell i totally agree and that's why dell was private michael dell the last quarter was not that strong, but you're absolutely right the issue here is an oddity.
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it's why i've been recommending the m ware because i actually believe that i know this is going to sound odd, it's a discount because it connected to dell maybe it should trade at a premium because it's connected to amazon. let's go to ken in california, please, ken? >> caller: boo-yah, jim. >> boo-yah. >> caller: calling from palm springs. our best performing stock seemed to have ever increasing earnings, 44 cents per share i harvested profits once and decided today to get back in here is a question, if they are not acre session target, what do you see alteryx going to next string >> it's one of the hottest stocks i've seen alteryx follows you everywhere what's a bad software manager? it's alteryx they are good at their job i'm doing a piece i regard as being too expensive but the
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companies are great and right now, alteryx is on that. great company. too expensive but does make money. let'sylanmaryland, art? >> caller: i'm a first-time caller from washington d.c. also known as tweet town i have a stock i've been in for quite sometime, ter has been very good to me for some number of years currently it's somewhere in the 47, $48 range. is this a buy, sell or hold? is there any -- >> it's an excellent test of measurement company. i think you're absolutely right it's a terrific company and i would continue to own it even though it is up, it is up almost 50% this year but i do think that it is very, very well run and i would think just own it. all right. when a ceo earns the benefit of the doubt, i want you to give it
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to them. rick hill worked real magic. much more "mad money." this company has hot properties in his portfolio so is it time to make room for the stock i'm sitting down with the ceo o vici properties. why keeping it simple could lead you to profits don't over think anything. rapid fire, tonight's edition of the lightning round so stay with cramer
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couple weeks ago eloquent da rod d -- eldardo is buying cesars it occurred with a smaller deal i really like, the vichi properties real estate investment company owns the land under many of the cesar palace locations and carted three properties for a total of about
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$3.28 billion. there is more to it than that, we'll go over it i think it's the slow and steady way to invest especially since the stock supports a 5.2% yield which is attractive in the low interest rate environment and people agree with me because the stocks are up 18% for the year let's take a closer look of this because we have ed, he's the ceo of the properties and had a better sense where his company is headed. welcome back to "mad money." good to see you. >> good to be back. >> i remember when you first came on and i said wow, this could be real estate play and it's been remarkable and yet at the same time, it's got less risk than when i saw you last. how have you been able to do that even though you've been making big acquisitions? >> since i was here, we've done $5 billion of transactions and raised $3.2 billion on equity with the number you cited a moment ago we've added new tenants and hard rock and century and what we've
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been supported by is this understanding that this is the cheapest great real estate on the planet now in terms of being in a place where experiences are taking place that amazon has not figured out how to put in a box and ship to your house. >> many of the real estate investment trust candidates from when we started the show 15 years ago have fallen on hard times and not because of management but other companies have come in and hurt them their trends are helping you experience online gaming, turns out to be gaming and it tends to happen at the places you own. >> exactly right when you combine that with the sports betting across the country, it's really the way in which the next generation of guests for these properties will emerge and when you look at the larger culture and this desire to gather, we saw it yesterday in the world cup, right? >> right. >> the thousands of people that turned out to watch a game on a big television together because it's such a much richer
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experience when it happens in a place that's animated and our operators are really the best on the planet at creating that experience that you are so compelled leave home for. >> in the interim, since i've seen you really fabulous diversity. >> yeah. >> all over. >> yeah, we've since i met with you, we've added a property in louisiana and done two deals with dan gilbert's gaming company jack. >> i hope he's doing well. we hope he's doing well. >> he's a tough man. he's going to do well. we brought great down in detroit, a market we really like and jack, cincinnati where we'll partner with hard rock and one of the things we like about the asset we'll buy in the next year or so is these are downtown assets you know the gaming landscape well there are few downtown casinos in america and last year we picked up two of them. >> that harris in new orleans which i've been too many times and fortunately, they are getting rid of smoking i never liked that nor the ka y
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casino player but that's a property that's one in a million. the number of people that go to new orleans everyone single year keeps going up very big. >> it does and it benefits from so many of the tourism and demand drivers that las vegas also benefits from it's got a great big convention center, very popular destination and phenomenonly sec suucly suc tomorrow ris -- tourism. we'll be happy. >> you lowered the leverage tremendously are there more things to buy we know the real estate investment trust have that continual growth. >> one of the important things we achieved with a deal we announced is that we restocked the growth pipeline. we have an agreement with the new cesars once eloquent da rda
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over, we acquired two on the las vegas strip assets that will have tremendous value. we have a growth pipeline going forward in gaming we're excited about and the day will come where we will go outside of gaming and think that we will be able to capitalize much like epr has. >> because that top golf is a good outfit. >> they have done phenomenonly well. >> you got the golf courses that -- >> yes. >> really got a great pedigree last time i saw you i was concerned you were concentrated with an outfit, cesars, that's been cured, right? >> it will get even better so tom who the ceo of eloqueeldn old credit guy and smart credit guys are really focused on credit quality and tom announced his ambition to restore cesars to investment grade. >> great. >> and you know that for a read, for the biggest tenant to be investment grade, it's what is called a credit tenant that is another step in getting us to the blue chip status we
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want. >> you have to understand you're getting both price appreciation here if that happens and this terrific distribution i have much less worry about. you did a great job when you were here last but i love how things changed for the better. people keep telling me i should ask about this first refusal, this could be good growth, too. >> it could be right now the come -- cesars has 25,000 rooms to fill every night in las vegas and tom is recognized what a number of people recognized, which is this is more rooms than perhaps we need. they got the biggest -- they will have, they already have the combination of eldorado and cesars, the best footprint to capitalize on proliferation sports betting that spoke system if you will is feeding a hub bigger than it needs to be and it could become and remains to be seen, it could become a means by which cesars
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continues to improve the balance sheet and optimized portfolio giving us a chance to own more strip real estate. >> i like it i like the growth. i like everything you've done. you've been a terrific operator. i wish you the best of luck. this yields 5% i prefer these properties. he's the ceo of vici properties, a little litten theratin there more "mad money" after the break. don't miss your golden opportunity to experience the luxury you desire on a full line of utility vehicles. at the lexus golden opportunity sales event. lease the 2019 rx 350 for $389 a month, for 36 months, and we'll make your first month's payment. experience amazing. ♪ you wouldn't even ride with someone under 4 stars.
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♪ casey? yeah... so why do you stick with a bank that treats you like this? yeah, check the... uh...check uh... online reviews! we're pretty sure they'll send you over to us. because we're not just a bank, we're an ally. [phone ringing] ally, this is pamela how can i help you?
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it is time, time for the lightning round. buy, sell, buy, buy, buy, sell are you ready? lightning round, i want to start with phil in pennsylvania, phil? >> hey, jim, big boo-yah to you. my question is about adaptive biotechnologi biotechnologies. >> that's where el send you, danner doubled down with the ge acre session let's go to alberto in ohio. alberto? >> caller: i have to ask you is
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g.e. going to make a turn around or sell my stock >> don't sell here i know steve says a terrific analyst at j.p. morgan but larry is a terrific ceo and we'll put with culp. i need to go to rob inflorida, rob? >> caller: jim, how are you? >> good, rob, how about you? >> caller: good. thank you. vector group, do you think it going to turn around, the share price or stuck on tobacco road >> stuck on tobacco road people know me i will not recommend tobacco stocks i'm not going to do that i'm also tired of the juul ads that make me feel like they are trying to keep people healthy, how about that let's go to beverly in south carolina, beverly? >> caller: hey, jim, i am honored. i wanted to tell you that your show and your books have helped
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make me very comfortable at age 86. >> wow yes! thank you for calling, beverly this is terrific, thank you. >> caller: i am very interested in what's going on with the stock abbvie. >> they bought allergan and i was in italy when it happened. i'm not crazy about -- neither company has enough of the a pipeline to make me intrigued. i know that both companies would disagree with me but i have a right to call them as i see it i prefer to see you in the split which is a medical division company. how about dominic? >> caller: hi, this is dominic's grandfather. he has a question for you. >> sure. >> caller: boo-yah, jim, i'm a
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14-year-old investor with the help of my grandpa today i'm calling for your opinion about starbucks. should i keep it and see if it grows or sell it and buy mcdonald's. >> i'm not going to let you sell it kevin johnson is doing a good job. if you're talking about david favor, doing a cigarette jgreath mcdonald's but a 14-year-old is buying a stock and hasn't been brainwashed to think he can't pick anything and been told we're stupid and they are not. he's going to make good money and i think it's sensational i like them both i like mcdonald's and i like starbucks. let's go to steve in california, steve? >> caller: yes, thank you for taking the call, jim. >> sure. >> caller: pbf energy. >> i've been looking at them terrific about pipelines i'm concerned about it and, you know, when i recommend when i recommend a refiner, i have not
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made a big deal of refineries. i like marathon pete and that yields the same amount and that ladies and gentlemen is the end of the lightning round >> announcer: the lightning round is sponsored by t.d. ameritrade what's the hesitation? eh, it just feels too complicated, you know? well sure, at first, but jj can help you with that. jj, will you break it down for this gentleman? hey, ian. you know, at td ameritrade, we can walk you through your options trades step by step until you're comfortable. i could be up for that. that's taking options trading from wall st. to main st. hey guys, wanna play some pool? eh, i'm not really a pool guy. what's the hesitation? it's just complicated. step-by-step options trading support from td ameritrade
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on some level you have to admire the simplicity. we get a strong payroll report on friday morning, right, monday morning people assess and come
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in and with guns blazing they buy the stocks that you bet are from a robust labor market you would think there would be more to it, wouldn't you right? shouldn't there be more mystery, more science, more brain power maybe not. sometimes it really is just that simple and i'll tell you why right now we have retailer s eeo powerful you can point out them. we know the win because they are that dominant. i'm talking about companies like walmart. the stock is up 21% for the year and hit an all-time high today why is walmart so strong the company is doing great the best sales in ages and on top of that walmart has a plan the family is letting doug mcmillan spend as much as he needs to become a real rival the digital sales exploded 40% up 44% the year before wow. that's staggering. i think walmart made a brilliant move when they bought jet.com. sure didn't seem at the time but
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then acquisition was a total bargain since they got to keep mark, i don't know if you remember him on the show, smart fella. smartest guy on the show other than jeff bezos. there is -- the only conceivable challenge, they are doing surprisingly well. who else wins when employment picks up costco the numbers are extraordinarily consistent it's worth paying up. costco is expanding online the food business is making a lot of money but most importantly, the darn thing is a club with 90 million paying members all of them would probably pay more think of it as the amazon prime. lululemon, voided 2% today the go-to stock because it has the strongest sales numbers. money managers never hesitate to buy the best there is a myth envelope every growth portfolio manager keeps in their desk and says in the event of a fabulous employment report, please open and inside is the simple instruction by
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lulu fourth, home depot, the home improvement play when you create a lot of jobs. it doesn't matter how good the last quarter was in this case, the fund managers didn't like the numbers but they are in short supply on wall street what matters is the future not the past home depot is always a buy finally, best for less, amazon we're a week away from the amazon prime day, which is actually days, july 15th and 16th mark it on your calendar you've done well if you own amazon ahead of the self-created shopping holiday because when people arecompany' you can sell into strength the payroll report and etfs were way down the stock in those etfs do usually trade together but not amazon $9 too much more for you? some mangers like to buy the retail eft i think that's a mistake, though
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because 20% is amazon. home depot and walmart are 10% and costco is 5% you're getting a lot of good exposure and lower quality names in there, too. stick with the winners, don't you think? that's why i hate the sector efts stick with the ones i outlined if the job market stays strong, the stocks keep winning and winning and winning. stick with cramer. tell him we're flexible. don't worry. my dutch is ok. just ok? (in dutch) tell him we need this merger.
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(in dutch) it's happening..! just ok is not ok. especially when it comes to your network. at&t is america's best wireless network according to america's biggest test. now with 5g evolution. the first step to 5g. more for your thing. that's our thing. weveryone, looknk isn'tat your phones. the design thinking, the digital engineering,
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security, blockchain, and we will be first to market! yes. when we do we launch? unfortunately, in 2 or 3, hours. why the delay? cognizant is helping banks use digital technologies at scale to advance speed to market. investing is not a game. we're not playing a parlor trick. is the fed going to do this? is the fed going to do that? we'll look at pepsico tomorrow and see if the company is doing better and maybe the stock comes down because of non-sense about what powell may or may not say on the hill. this is called investing and it's worked for years and i like to say there is always a bull market somewhere i promise to find it for you here on "mad money." i'm jim cramer see you tomorrow ..
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troy stratos goes through life asking, "why work for money when it's so easy to steal?" in all, he makes off with more than $40 million from people who call him a friend... like nicole murphy, eddie murphy's ex-wife... worth millions. troy and i had such a great relationship. we were like the best of friends. narrator: but stratos is more often described as a predator than a friend. he dazzles his victims with charm and promises. hack: he was willing to sign an $11 million, 11 movie contract with me to keep me exclusive to him.

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