Dow climb 2g 28 points s p advancing 2. 2 its time to revisit fang, my acronym for facebook, amazon, apple, netflix, alphabet, aka google ill throw in the other big tech theme under fire, microsoft. Lets start with apple in the Tour De Force of the new iphone and the watch to me it looks incredible. Battery lifes longer. One hour to four hours depending on your new model. Cheaper prices you also get apple plus, their new streaming service for free with purchase. 4. 99 per month value. Ive looked at some of what theyre developing for the video platform even though i think it is universally poopooed, over time i think youll see its essential watching its half the price of netflix i like the entertainment the new watches 0e78 only cost 199 i think thats the price point to get worldwide adoption for this thing which will only layer on still more Service Revenue. I have fantasy football on this thing. Every time one of my guys scores,explosive when a version of the ipod hit that level, 199, thats when it took off what will the tim cook haters say when that happens given that the watch is all on him and so many love it the upshot, you have a razor blade that sells 17. 5 times, that rapidly growing Service Revenue stream to tide you over through the different iphone iterations, i think the stock is absurdly cheap compare that to cocacola, clorox procter gamble. Next up, facebook. With all of the heat that amazons been taking from the federal trade commission, been taking from the 48 states attorney general facebook feels more like Collateral Damage than what were used to which is this company being the sole scoff law in washingtons cross hairs. You need to be careful when you think about facebook politicians on both sides of the aisle dislike them most of the media cant stand them you know who never abandoned facebook with this whole kerfuffle . The only people who matter the customers. The users. You. I bet if you went back and looked at all of the high profile quitters, most are back on the platform. You cant afford not to be when you see the terrific camera options, its about getting the best possible photos for instagram. That belongs to facebook you see really smart people like Michael Rubin come on cnbc, hes the incredibly smart owner of fanati fanatics he puts half of his ad dollars on google and half on instagram. Now you know where the world is going. I think weve seen the high tide in the era of facebook evisceration it survived. More than that, its thriving. Im thinking its the beginning people are beginning to recognize how many entrepreneurs have used instagram to create their own businesses they are ambassadors for instagram. I bet theres an opportunity there. Facebook, hold me. 48 states attorneys general going after these guys for monopoli monopolistic practices everything, millions of page sz of documents theyve decided not to bring a case google has dramatically lowered the price of advertising for everyone thats not anticompetitive give me a break. Buy it netflix, this ones tough. While i dont think theres any one straw that can break the camels back, were getting so many services, disney, hulu, apple. We might have reached the point of saturation. As much as i love netflix, im worried about this stuff i dont know how to value it anymore now that theres so much competition. Im uncomfortable gaming the signups. Ive always liked netflix because i believe in the subscription economy i know id pay more for the service if they ask me to. I dont know if thats true of everyone else. Call me baffled. Next up, amazon. It has a weird doe image problem. They think stamping out the competition needs to be broken up the republican in the white house hates them maybe its because jeff bezos owns the Washington Post more than 100 Million People belong to amazon prime from a business perspective, stock perspective, thats what matters. Not long ago, we had andy jasse. He talked about how his division has brought about relentless price decreases. Price cuts in the Cloud Infrastructure space something thats been a source of empowerment for millions of Small Businesses that doesnt sound anticompetitive for me how about you . Its against amazons cloud competitive infrastructures. I know there are people who believe, who truly do believe that amazon is stifling innovation i think thats dead wrong. Amazon facilitates innovation. Where would we be without these guys this company has been the single most powerful force for deflation in america theyre keeping prices down for every company in history do they run rough shod over the competition . Thats another question. I like the stock i remind you that the queen told us last week the technicals say its time to buyamazon i checked with her, she still says that. I agree with her problem is microsoft this is the least controversial one. This is a company that was at one point completely in the cross hairs. They were legitimately stifling innovation microsoft is an innovator, now its a competitor. Its done Amazing Things to pcs, analytics, gaming cloud. Its a dominant software company. I think the stock is a trillion dollar bargain, yes, even at these levels lets take one step back hardly a day goes by since President Trump was elected that we dont hear negative things about what chinas done to hurt american interests whether were speaking about intellectual property theft or the manufacturing base, its all true despite all of this, you know what keeps this country in the game what makes it so the United States is still the largest economy on earth its the great economy alphabet, amazon, apple, facebook and microsoft you dont get to be that big if youre a bunch of boneheads. You get to be that big usually because youre the best at what you do or at the very least because you provide a valuable service for your customers that could be destroyed by breaking the companies up, making it more expensive than you you dont need me to tell you that these companies are politically unpopular. You do not need a weather man to know which way the wind blows. I believe if you put the Big Tech Companies to a vote, if you had them on a ballot, i bet theyd come out ahead of any politician or any newspaper for that matter. Thats just another reason why their stocks are still worth owning Love Companies and love stocks even if the old media led critics and the politicians hate them reggie in florida. Reggie booyah i like that booyah, reggie. Booyah, jim. First time caller. In the market, what are your thoughts on nokia, nok as a 5g play. Poorly run. Cant be backed. Even the europeans dont want to back it, which is really saying something. They have to get their house in order. Its not bruce in new york. Bruce. Hey, jim. Youre the best, jim. Thank you. You are the man ive owned church and dwight stock. Periodically i do my research and read whatever is available i very rarely find whatever is negative about them. Recently spruce Point Capital came out claiming accounting gimmicks were used to inflate earnings should i totally go on that since theyre short sellers . Well, look some short sellers do very quality work and occasionally they actually up end the bad stuff. Ive got to tell you something, i think church and dwight is one heck of a company and always welcome i think you should hold onto it. Big tech cant seem to catch a break. It seems to be under fire every single day, but im telling you, not to bail on this cohort and these people who say tim cook should be fired, theyre boneheads. I like that because the pred i called them sparky, he calls them sunshiners. They use the decline in the stocks to pick up a discount hold off from netflix. Mad tonight. You thought my fantasy stock draft was over im searching the waiver wire. Then on pins and needles when it comes to an investment in pinterest, im telling you why it could be worth investing. Some stocks come roaring back lately are all worth getting a Second Chance ill give you my take. Stay with cramer dont miss a second of mad money. Follow jimcramer on twitter have a question . Tweet cramer madtweets. Send jim an email to mad money cnbc. Com or give us a call at 1800743cnbc missomhi setng head to mad money dot cnbc. Com do you have concerns about mild memory loss related to aging . Prevagen is the number one pharmacistrecommended memory support brand. You can find it in the vitamin aisle in stores everywhere. Prevagen. Healthier brain. Better life. By the way, shes the it wasnext mozart. G day. As usual we were behind schedule. But sophies enthusiasm cannot be dampened. Not even by a runaway donut. We powered through it in our toyota prius. Because a stars got to shine, no matter what. Its unbelievable what you can do in the prius. Toyota lets go places. Because theres always another team looking to punch one in. A spectacular touchdown grab with nfl redzone from nfl network on xfinity, you get every touchdown from every game on sunday afternoons, all season long. Watch every breakout star, every heartpounding running attack, and every big time defensive stop. Sundays were made for football on xfinity. Thats simple, easy, awesome. Add the Sports Entertainment package for nfl redzone. Click, call, or visit a store today to learn more. Time for the waiver wire. Time honored tradition. Facebook and since football season began im liking some things we picked last week. Opta, sales force. Com. Getting hammered as part of the wide rotation. I think the rest are about to have a bit of a run. How about some new Wide Receivers for our fantasy . Whats been left behind . This one has been down and out ever since management got the numbers last week. I have parsed every single word that they said at that Goldman Sachs conference you know what, i come out with this the companys operating growth is to attack it brought the stock down below the line and they were taxing related largely. I know Ceo Kevin Johnson took some heat and recently its a bookkeeping matter. What really is important is the growth rate was left by the change what about that securities and exchange issue with their Accounting Practices the story that pulverized the stock yesterday. There were two other companies flagged, routine inquiry about an industry. Only starbucks made the headlines. This hurt others in the industry it was a nothing burger, plain and simple im going to go with vnr i think the ceo made a ton of sense when he came here last night on the show and he talked about how the companys recent acquisitions went for carbon containers would be great additions. Now i have been skeptical giving it seems to be a bm wear they changed my mind i believe in the dell crown relationship will be severely crimped. No wonder vm wear rallied more you heard the comments from doug merit. Hes the ceo of splunk premiere and data analysts helps and harvest actual insights with machine data oh, and sales force dotcom was willing to buy it, splunk could make a big sale. Splunk is for real and this stock market is acting like its fake shopify and chipotle they help small and medium sized businesses they shelled out 450 million for six river. Its a fulfillment expert that can give them the delivery that rivals amazons. Who knows when it will find a bottom maybe that happened today. Stock was up ten bucks as for chipotle, when you are the number one performer in the s p 500 and you hit a wall other than no reason than rotation, it scares people who go on to full. It gets hit on starting up breakfast. Wendys. Socalled c. The same story that caused starbucks not to get slammed not only is there nothing wrong with chipotle. Thanks to new menu items and very effective advertising the best of the best is down almost 10 and stashing a wide receiver over a buy week i know it can still go lower but chipotle is one of those and it goes down just like the rest of the waiver wire gems stick with cramer. When we have a rotation, when Money Managers swap out of one type of stock and swap to another, you cant try to get ahead of them. Thats a suckers game high quality turbo charged Growth Stocks. You smile. You take the other side of the train when you think its kind of died down today that rotation already started to get rolled back there are still some terrific buying opportunities opportunities like a stock i havent talked about opportunities like pinterest the virtual pin platform social Media Network that came public in april let me tell you something, after following the guys for the last five months, pinterest could be the big winner from the next new generation of social media i am very pleased with how the ceo has conducted himself, very nonpromotional, kind. Even impressed with the numbers he was able to deliver in the past couple of weeks we have witnessed the rotation out of this stock, high flying growth and the move has crushed the stock of pinterest even though the company crushed a spectacular blowout which catapulted the stock, its now erased the best gains through no fault of its own its back to 29 bucks. Youre practically getting that quarter that was so good for free 29 and change calling it a steal. What makes it seem so compelling for those of you who dont use it, its part social network, part catalog of ideas. It helps you find images and things that youre interested in now they have so much data they can direct you to new things that they know that youll be interested in. Pinterest retains its identity as a haven of positivity the only one i know is still in the internet people love the view to share their vision boards. Over a business perspective, the users or pinners as theyre often known share photos and videos of stuff they want to buy, especially things they want that they cant identify through a Search Engine because they dont know what its called. Thats what pinterest means by what is called visual discovery in the discovery engine. Now as much as i like the story, it hasnt boosted sales since the ipo. Pinterest surged higher becoming public closing at 24. 40 before climbing to the 30s. Then pinterest reported while the headline numbers were modestly better, management freaked people out by forecasting a much larger loss while the stock got slammed the very next day we spoke to the ceo and he explained that pinterest needs to spend that money because theyre in growth mode the opportunities are too enticing to pass up. Ive been a big believer ever since then the rest of the industry didnt catch on until 100 growth it came in at negative 26 million but the street was expecting a 37 million loss so, again, sharply better than expected the real highlights though were the operating results. Pinterest had 300 million global Monthly Average users. Up 30 year over year. Nearly 10 million more than the analysts were looking for. Global average revenue came in at 88 cents when the street only wanted 80 cents. Pinterest keeps improving their platform its increasingly personalizing, more shopable definitely best of all, management raised their full year forecast, the thing that caused the stock to sell off back in may whats driving the strength . Cfo todd morgan, this guy is a smart hes so smart when we met with him he explained that theyre getting, and i quote, more share of wallet with our incumbent large advertisers, end quote, meaning the existing customers are purchasing more ads. They love him. Find success in verticals like autos and entertainment. Toyotas an entertainer. Thats gold. Theyre selling ads to small and medium sized businesses. Like i told you before, the quarter was so incredible that the stock caught fire. It piled on more than 18 from 28. 33 before climbing to 36 over the next few weeks but then it was struck down by all things growth sank back to 29. Now as much as i love pinterest financials, i dont think they really capture the essence of the story. Lets talk about some more etherial side of things. First off, i love that pinterest came right out of the gate doing what i call upod i thought they under promised and over delivered even if thats not what they were doing, they set reasonable expectations and beat them handily thanks to terrific execution. Pinterest has made great improvements to the platform theyve a trackttracted more usn the platform remember what it was like after snap the stock was untouchable for the better part of two years because it came public with too much hype. It snapped quarter after quarter. Much of it was selfinflicted. For many more mature social media platforms, Monthly Average user figures, theyve started to flatten out or even shrink thats why other platforms have started to juice their revenues. Without more eye balls visiting their sights, well, thats the only way they can grow we call them vanity. Its vanity pages, not pinterest. Both the Monthly Average users and the average revenue user grew by roughly 30 . Best of both worlds. Plus, they barely began to monetize their International Business i think its great over there. Tons of room to grow third, pinterest has a valuable value position their users wanted to know, they go there to buy stuff but they dont necessarily know what that something is specifically. Thats exactly what advertisers want impressionable minds that are willing to spend money searching for something that they might have finally, its just a nice place to be. It is. Its sweet when you look at the rest of social media, its like a toxic waste saying do not read my twitter file im a glutton for punishment ive got to stop anyway, you wouldnt believe the level of vitt tree ole when senator Elizabeth Warren retweeted me saying Corporate Executives are afraid of her holding the feet to the fire thats warrens whole brand. I cant think of a Better Campaign ad for warren than me and david faber saying ceos are afraid of her. Heres my point, pinterest doesnt have anything like that. Its clean its embracing its just people sharing images and videos of what they love no wonder its doing so well i wish they would send out fewer emails bottom line, i think pinterest is dominating the new kinder, gentler wave of social media companies. Just what the advertisers want id be a buyer of the stock after the big pull back over the past couple of weeks the lockup on Insider Selling expires and that often triggers a lot of selling get another chance to buy some here on weakness, put on part of your position and then wait before buying more the Pinterest People is the real deal welcome Ben Silberman back on the show any time. Timothy in texas timothy. Im determined in chad. Its gone down ive had it for multiple years its gone down 1 3 in a last couple of days im already here. My question is should i continue to hold the position or sell the remaining position . Look, i think you are very smart. What youve done is youve taken some bases youve made it so youre derisking the company in a little bit in the meantime, i liked cheggs last quarter it was part of that overall rotation out of stocks, high multiple stocks, high Growth Stocks into low multiple low growth and i think that has run its course i want you to ep could the rest. There is a lot to like about pinterest. Its emerging as the winner in a new generation its a haven of positivity and maybe best of all, the stock has become cheap versus where it was. Id be a buyer much more mad money. Worries about a potential recession. But with positive chatter from trade talks, some of the down and outers starting to go up is it time to circle back . Are there some sweet pickings . Im going to give you my take. Im giving you my take on square and its fair. You guessed it, square and all of your calls, rapid fire in tonights edition of the lightning round so stick with cramer couple weeks ago everybody was freaking out about a possible recession and most Retail Stocks had become pretty tough to own you werent in the online club or the off price club you got the you got can you be now that were hearing positive chatter they have a lukewarm reason to keep cutting Interest Rates even maybe a bonehead fed chair would do that. Longterm treasury sales long term bond is what freaked people out that signal is being rolled back to the point where the bargains trading in acceleration is more likely thats why the left for dead Retail Stocks have been making a stunning comeback. Some in this group seems to be back in style. Is it time to start piling into more troubled retailers . You have to be very careful here because a lot of whats been hurting small efficient in the retail bond predates a trade war slow down. The death of them was long before President Trump started slapping tariffs think about this so far in 2019 weve had more than a dozen retail bankers. Some were companies that filed for bankruptcy before like pay less shoe stores they planned to close nearly all of their stores. We had a couple of Makeup Stores go under beauty brands, diesel u. S. A. , even a big italian brand those were clustered near the beginning of the year. Then we got a bit of a break but the bankruptcies are coming back recalendars holding filed for bankruptcy a month ago. Barneys new york, High End Department store filed for chapter 11 management said theyre putting the business up for sale now the fast forward chain with 700 stores is preparing for bankruptcy perhaps as soon as nde wall street journal and all of that is just from 2019 if you go back a little further you can add sears, toys r us, limited, rui 21, wow there are many chains that are in rough shape privately held Nieman Marcus seems like an obvious candidate for bankruptcy might be the best way to clean it up. J. Crew is another one weighed down by debt now that longtime ceo Mickey Drexler is retired, the preppy apparel chain, lets just say, its struggling. We have some extremely troubled retailers and by the way these are household names but they become too small for me to talk about on air even though they are iconic and if you walk through most malls, youll see them between ecommerce and competition from discount chains with much lower price points, many of these merchants are being eaten alive so you have to be selective in retail names and theres one thing in particular i want you to watch out for. As i looked over that list of bankruptcies you know what many of these destitute retailers had in common . They were taken private by private equity fields in the not too distant past you borrow against the business youre buying and you stick it with debt and take it public again a few years later often as a riskier version. Now sometimes this process can work out and work out well for everybody involved the private equity owners get serious about improving the companies. The increased cash flow can more than offset the Additional Debt load Dollar General and Burlington Stores theyve been with private equity backed ipos 2009 and 2014 often companies in this situation struggle to cope with the leveraged buyout hangovers and end up collapsing under their own weight this is a difficult environment for old school brick and mortar retailers. They can spend heavily yet its very hard to do that when your Balance Sheet is spread under a mound of debt. Thats why i think theyre the most precarious player in the industry theyre the canaries in the coal mine theyre the ones i dont want you to try according to retail dive, online trade publication for the industry, nearly 16 of the major retailers are acquired since 2002 have filed for chapter 11 more than half those bankruptcies came in the last two years. On top of that, of the 14 largest retail bankruptcies since 2012, ten of them were backed by private equity, 10 out of 14. I think we ought to be extra cautious about this particular subset there are two stocks in particular that i am worried about. One got a reprieve last week but i dont want you to be sucked in here im worried about michaels, mik and party city, prty michaels is the largest arts and crafts Specialty Chain in north america. Its a great store i love going there its a great place to buy stuff for your kids if they are artistically oriented. In 2006 michaels was taken private by two firms, bank capital and Blackstone Group then they sat on it while the market languished. At first the stock was a strong performer. Michaels was being haled as a pe backed retail deal that didnt end in disaster somebody forgot to not do it since then the stock has become a disaster why . Why . Because they reported a series of very weak quarters. Some of them were in line and truly abysmal. Then the Company Delivers a better than in favor result a week ago and the stock is off to the races shooting from 5 to 10 bucks in a matter of days. The number is okay but not 80 michaels said 20 same store sales growth i dont trust the balance and i think youre getting an opportunity be at this to get out higher than you would otherwise. Hey, how about this party city big party supplies, halloween chain. Were coming into their sweet spots, halloween in 2012 a good firm thomas h. Lead partners. In 2018 they took it public. We w5r7bd you to stay away from this the stock was in the low 20s now its at 6 bucks and chains party city has been eviscerated. Theyre all the same chart, arent they . That was thanks to a series of uninspiring downright dismal quarters when they reported last month, the Company Posted some atrocious results and they slashed the full year forecast that one really hurt stock plummeted from 6 to 4. The past few weeks its erased that the whole cyclical core has gotten its mojo back the stocks not the companies i say do not be fooled michaels is a 1. 5 billion company with 2. N in debt and just 131 million in cash equivalence the Free Cash Flow keeps falling on top of the 12 decline in 2017 party city is a 6 Million Company but 2 billion in debt. Their cash flow numbers are even worse. Down more than 91 last year no thank you the bottom line, we have seen so many down and out Retail Stocks come roaring back lately macys was up. Macys has been down a lot, but dont be misled. Some of these companies have Serious Problems that a stronger economy just wont fix especially the private equity backed retailers they have debt loads like michael and party city i say dont buy. Dont buy. Sell, sell, sell mad money is back after this at cdw we get that your it staff is beyond busy. Theyre on the job twentyfour seven so they sleep when they can. [ snoring ] cdw services can help. Our experts will design, orchestrate and manage the most complex technology. So your it people have more time to innovate. And get some shut eye. That sounds great. Uh, i got a malware on my shirt. Should we wake him . Probably should but lets wait till the updates complete. To free up your it staff you need managed services by cdw. People who get it. It is time are you ready skeedaddy time for the lightning round start with john in california. John jim, out here in california you know we love ya. I havent talked to you in a while. I dont live at 10th and p, thats the problem. Anyway, jim, i called you six months ago and me and the kid got involved with that you said you liked it and we made 50 . John, were not done because millennials love, love, love protein and this is the natural play and it doesnt have that kind of a nasty commodity aspect that tyson has. I want you to stick with it. I always thank you for your calls. Lets go to george in new york hey, mr. Cramer im good, george. How are you . Im well. Thank you for all the advice thank you of course my question is regarding selective therapeutics theyve had a lot of uncertainty. What do you think. It means well a couple of qu sure, what the hell, hanging around yeah, invested in ntp ingredients. They report earnings i mentioned the conference call. Taking other hits. I put some new money to work in this whats our edge refining food thing. I just dont you know, its not my ingredients, i wanted to talk with Brian Sullivan about this i dont see an edge. I dont think you should go there. Lets go to logan in arizona. Logan. Booyah, jim. Firsttime caller here. Okay. Okay want to get your thoughts on rio tinto group. I like it i think its going to have a logans run. Yeah i think that rios good. Lets go to steve in florida. Hey, jim. Booyah. Speak to me. Speak to me occidental petroleum. Too hard for this guy they pay too much. Ka ching, ka ching and that leads to the conclusion of the lightning round. The lightning round is sponsored by t. D. Ameritrade yeah, that too. I dont want any trade minimums. Yeah, i totally agree, they dont have any of those. I want to know what im paying upfront. Yes, absolutely. Do you just say yes to everything . Hm. Well i say no to kale. Mm. Yeah, they say if you blanch it its better, but that seems like a lot of work. No hidden fees. No platform fees. No trade minimums. And yes, its all at one low price. Td ameritrade. Classical Music playing throughout heres a query whats the difference between a broken stock and a broken company . Broken stocks are easy to fix. They often bounce back on their own which is why they can make such compelling buying opportunities. Broken companies no, they take forever to turn and their stocks are very hazardous to your wealth right now weve got a bunch of busted names i want you to distinguish between the bible broken stocks and the uninvestable broken companies, two very different companies. Let me give you a textbook company. Look at square, sq rapidly growing payment company. For years this stock was one of the best performers around sure it got hit hard during the massive market wide meltdown then it came roaring right back. As recently as august 1st square was trading at 83 thats up nearly 50 for 2019. Then it crashed head first into a retaining wall after reporting a quarter wall street wasnt thrilled with. The Stock Plunged to 69 the next day as you can see, its been sinking ever since down to 59 as of today. Suddenly this former market darling has become a complete battleground stock so, i mean, i sit here and i look at it i do have, you know, ruminations that of course i should have told you to take some and i didnt its my bad, but as much as i like to pretend this breakdown never happened, we have to address it head on this show is all about accountability we need to figure out whether square is an enticing broken stock or repulsive company two months ago square seemed like a powerhouse. It built a huge payments network. Thanks to the little credit card readers, the little white things, you plug them into your smartphone and it turns you into a point of sale terminal even better because square is a great read of how much money its clients are making the companys got a rapidly growing Money Lending operation. Square capital no bank has that kind of insight into the borrowers since they control the payment system, if you borrow from them they can take the Interest Payments out of your receipts. Until very recently the financial tech companies, their stocks were red hot. Hedge funds were worried about an economic slow down. They need to have some financial exposure but the banks tend to perform badly in a recession they swap into the red hot fin tech swaps and they swap into square the recession fears have subsided you saw that with Interest Rates going higher and so therefore fin tech its gone out of style. Square was getting hammered well before the rotation was going on whats driving weakness . I think that this is a management issue, but its really a cosmetic management issue so dont get squared squares always had an unorthodox ceo, jack dorsey. You know why and you know what it didnt matter not as long as square had a fantastic chief financial officer, sarah fryer she was fabulous sarah was keeping her eye on the prize. Dorsey hired her away from Goldman Sachs in 2012. I think that may have been the best management decision she ever made. She is that good going next door though because she left square and, you know what, here we go, 11 months ago we dont really have anyone thats standing out, taking that company over which is a lot of the reason why youre seeing this the stock did get eviscerated when sarah left. Wall street trusted here and thats what mattered because she had a very clear edge, brilliant person at goldman. I dont want to put any disrespect to her successor who came over from active vision but Institutional Investors became more skeptical since fryer left. I thought they would have enough strength and thats where i got it wrong since then every time squares reported they deliver solid headline numbers before giving confusing or even disheartening guidance thats what happened in late february while the stock was erratic, it spent the next three months steadily sliding lower fast forward and whats it get the Company Posted a nice top and bottom line beat, they reaffirmed their forecast rather than raising it. You need your stock to go higher and the guidance for the next quarter was weaker than expected and thats why the stock spent the next month steadily sliding lower roughly to the level where its trading now over the course of june and july square surged higher back above 80. Positive analyst chatter and you had the fin tech bull market it felt like maybe square was out of the woods then the Company Reported after the close august 1st that is when the wheels fell off this bus this time we saw the same darn pattern, better than expected earnings and sales but they left the full year forecast unchanged and gave conservative guidance literally, the same thing that happened in may. On top of that square told us they would be getting out of food Delivery Business theyre selling caviar to door dash i think they got a fabulous price. I say that as a caviar client at my restaurants you dont want to be in the online Delivery Business the margins are cut throat this time wall street finally ran out of patience with square. Theyre sick and tired of good quarters and conservative guidance which is why the stock dropped 14 the next day thats how its broken down to below 60 it hasnt helped that names like square have gone out of style and theyre rotating to the more sensitive stocks that benefit from more rate cuts. So what the heck are we supposed to do with this thing, with this onetime market darling . What goes on now last tuesday three different analysts published seriously contrasting opinions on square i like to canvass the analysts to get a sense of what the bulls and bears think. On the bears side, atlantic he can witt tis was under weight. They see square as one of the least attractive players because they think its decelerating while the company is trying to expand the Consumer Payments with cash app, the guys at atlantics, they think the future is uncertain for that business, which they think is competitors like venmo. Remember paypal . On the bull side, square caught a pair of upgrades lisa ellis at moffitt nathan son a brilliant analyst gave it a buy recommendation, 85 price target the stock has gotten too cheap she agrees with me about selling caviar, byebye. They see square investing heavily to take a share in larger, more complex retailers or restaurants not the current bread and butter they view the caviar sale as the first part of repositioning. That would be okay people dont like to hear spend, spend, spend i agree with misa ellis. Square used to be extremely expensive. Now it sells for 8. 53 next years sales i hear ya. Yes, that is high, 8 times sales. Given that the company has a 46 longterm growth rate im calling it reasonable relative to its growth rate heres the bottom line squares fundamentals are sound. It is sound. Its not a broken stock. I mean, let me clarify that. The stock is broken right here but its not a broken company which means you can absolutely buy this one and im going to tell you i think you can buy it now. Worst case, it goes down some more and the stock gets even cheaper. I just wish the new cfo could tell the story as well as sarah fryer used to. If they did, because the company isnt broken, just the stock, it would be a heck of a lot higher. Stick with cramer. Stand up if you are First Generation College student. crowd cheering stand up if youre a mother. If you are actively deployed, a veteran, or youre in a military family, please stand. The world in which we live equally distributes talent, but it doesnt equally distribute opportunity, and paths are not always the same. Im so proud of you dad. [man] i will tell you this, Southern New Hampshire university can change the whole trajectory of your life. uplifting music through the at t network, edgetoedge intelligence gives you the power to see every corner of your growing business. From using feedback to innovate. To introducing products faster. To managing website inventory. And network bandwidth. Giving you a nice big edge over your competition. Thats the power of edgetoedge intelligence. Thand find inspiration who win new places. Ct. Leading them to discover were woven together by the moments we share. Everything you need, all in one place. Expedia. Mr. Pickets, welcome back to mad money. Thank you so much. Thank you. Have a seat. Look at that. American flag. American flag this is all about america. Yes, it is, isnt it . The oil industry has done a fabulous job of helping us get out of the opec trap it is our problem and we need to, you know, understand resources in america are abundant all we have to do is have a plan we have no plan. Weve never had an energy plan in america were the only country in the World Without a plan. We lost a great one today, boone pickens. It makes me smile when i watch that boone, we actually didnt need a plan, it just happened because of people like you people who decided im going to invest in america, im going to create something and im going to make it so we are energy independent. Who would have thought that . That man had a vision back in 2011 it all panned out. It panned out in his lifetime, a lifetime where he gave a fortune to his alma mater, oklahoma, and taught people like me in generations, be optimistic about what we have here in terms of our natural resources. I never stopped learning from boone pickens. Hes a great man, great guy and he loved the show. And boy did i ever love him. I like to always say this, theres a bull market somewhere. I promise to find it for you i am jim cramer and i will see you tomorrow ethenny frankel, founder of the gamechanging megabrand skinnygirl joins the tank. I created a cocktail. Some of the best ideas are the simplest. Lace your face. I dont know if its attractive. Im a oneman show. This is the guy which takes you to the top. Palmini punches calories in the face. [ sharks ] whoa who wants to thrive with us . No youre all over the place. I promise its gonna be worth it. The b. S. Meters are [ imitates beeping ] what were your sales . 1. 3 million. What . The sharks are circling