Tomorrows story line because after the fang stocks declined today, you Better Believe the obituary is being written again right now. With two as and two ns facebook, apple, net fix, nvidia or goggle, the company now known as alphabet. Any weakness in fang is worth taking seriously, of course, especially on a down day like this the dow declined 37 points the nasdaq lost 0. 44 . These periodic pull backs. So that way you can try to figure out whether its worth tearing your hair out some more. Maybe sell first, lets take it from the top down or whats known as the macro for those who want to sound really smart we have higher Interest Rates. Bonds sold off that gives you higher rates which i think is a consequence of the economy doing better, not to mention the tax bill that could really make thingsheat up when you consider the big hole this puts in the deficit, you know the government is going to have to borrow a lot of money, meaning there will be a hurj influx of supply in the bond market the governments got to pay its bills, doesnt it . When uncle sam pushes a lot of bonds, that pushes the price down which by definition drives Interest Rates up. A flat yield curve, short rates set by the fed and longterm rates set by the market are roughly the same its often an arbinger of recession. But with the government boring this much money, loan rates are going higher no need to fear an inflated yield curve if you ask me. I want banks to lend more. Lending has been punk, but if longterm rates go higher, making loans will summed get more profitable, giving bavgs a real incentive to lend there are consequences here. When we see rates go higher, we immediately think inflation. Normally the two go handinhand the value of any future earnings stream diminishes. Given that the fang stocks represent big bets on the future of earnings high growth companies, future earnings stream, inflations real bad for them so their stocks sell off when rates go up let me simply it, higher rates lead to lower prices and fang be the king of the juice. Worse, when the economys humming, investors lose interest in whats known as secular growth stories like this in this virmt, the industrials can give you much larger year over year gains because their numbers are accelerating so rapidly. Stocks go higher when they beat the earning estimates. The bigger the beat, the better. With the economy roaring, the industrials should versus the secular Growth Stocks blow away the numbers, particularly now that were getting a boost from the tax cut. Fangs numbers will likely be just as good as they always are. None better, none worse, with the industrials catching fire, fangs numbers should be less impressive than the beats im expecting from the smoke stack companies. Took me about 100 pages for explain what i just explained to you. Remember, im not saying you should sell facebook, apple, amazon, netflix, nvidia and alphabet tomorrow morning, theyre going to do it im giving you the bare case so you know what youre up against and dont panic. When the stocks get slammed, maybe youll even buy some lets deal with the components first, im hearing that facebook will simply do the number and not much more than that because there is no acceleration or product that is taking the world by storm its become same old same old. Thats not enough to the market. Thats really the rap against facebook, other than the fact that twitter might be doing better thats not a lot of worry but its enough. Amazon, okay, today walmart caught on upgrade that talked about how the company is figuring out the omni channel. If thats the case, you an argue theyre in a much better position to go toetotoe with the online closus. The death star is not inflicting a lot of pain. Even best buys doing well, for heavens sake. I think amazon is fabulous, especially its red hot web serves business. I say if we get any real weakness, ill pound the table that said, you know whats describing the stock down. Apple just caught a downgrade saying the iphone supercircle is getting long in the tooth. I dont know, i mean, how many times have we heard this my reaction, look, you may be tempted to sell it here and try to buy it back at lower levels i dont know if i would get that right. I dont know i think thats a fools errand i say own apple, dont trade it. Every trading call to get out of apple has been wrong this piece did not change my mind even when the piece said at one point this is its just happened over and over again i remember when the apple 5 ended there was a big selloff. How did you do if you sold after the apple 5 . People arent good enough to get back in. Netflix, this decline is all about disney its putting together a rival to netflix. This is a tough one, i have to admit. I always think, though, what would it take to duplicate netflixs business i think it would cost more than the companys current 80 billion valuation. That said, i will concede it is definitely the most vulnerable of the fangs whats the problem nvidia . Its one of the most expensive stocks in the world. Its one of the dominant Chip Companies when it comes to servers, gaming, Autonomous Cars and artificial intelligence. Not by micron. Look, nvidia, the stock has periodic swoons. And this one has lasted a long time ever since the Company Reported i believe its digesting a big move and this stock, like the other fangs, is simply the victim of a rotation im not pafrpging and nvidia, i dont think you should either. Alphabet, the Company Formerly known as google. Gain market share and about 100 billion in cash to fall back on. Thats a nice cushion. It has a web service that is doing well, not goods as amazon. I would not be a seller. My as well as the stocks of apple, nvidia and facebook we believe in high growth. So could this be the end of fang look, people pronounce these stocks dead so many times. Its just an endless headline. So youve got to wonder how theyve managed to survive at all, let alone thrive. But ill tell you that in all my years in the business, weve seen super Growth Stocks go in and out of favor, however, there is nothing wrong with the Underlying Companies you have to wait until their stocks come down and youre given one more chance to buy them that could be happening now. Now, look, i understand owning fang can be painful. But if you look back say at apple stock, for example, how many times would you have bought high and sold low over the years if you let this stuff freak you out . Heres the bottom line, dont let some analyst downgrader or rotation of high growth scare you away from buying fang. The one time i wrote obituaries for a living, but i never wrote a premature one. Until i see a corner support from facebook, apple, amazon, netflix, nvidia and alphabet, i think we need to presume that these stories remain very much alive. Can we go to paul in florida, please paul hi, jim thanks for taking my call. And a big booyah from pensacola, florida. Lets go fishing. Oh, yeah. Lets do it. Whats happening . I really enjoy your show. Thank you. Thanks for all the great information you provide for the little guy game stop, symbol g e. They have increased their dividends in even of the last four years but the stock seems to remain in a steady decline its a Digital Business now the stocks are under pressure, the business isnt the physical gaming stuff, i keep hoping that the stock will get to some level its cheap enough to recommend but ive not found that level yet thank you for the kind comments. I try to help everybody, which includes the little guy. Were all kind of little when you think about it thomas in alabama. Thomas caller thanks for taking my call, jim. Im a firsttime caller but i routinely listen to your program. Thank you caller ive made several investments overs years and one in particular back in january i bought some General Electric based on your recommendation it was selling for 32. 75 a share. It kind of gradually went down and came up and then about six months ago, i think it was on the the show, a caller called in and you recommended holding on to it. It was going to boom back up since then, its gone back down. I think its 17. 59 a share. Ge is a good company theyve got different projects going on all over, aviation true. But, thomas, sometimes you just get had and i got had. I was wrong about ge thats my fault. I shouldnt have recommended it on the way down. I thought business was doing better why did i think that because management told me that. Did management know something i didnt know . I dont think so i think they got snookered too, but, you know what, weve got a new guy in town, flanery, i think hes trying to get it together so i would not sell it, but i cost people money because i believed and im ashamed i dont think theres more to say than that. Fangs not dead. Facebook, apple, amazon, netflix, nvidia and google are very much alive. On mad money tonight, some of my best ideas come from you. The latest company youve clued me into, its up nearly 50 year to date. Ill reveal the name just ahead. Then has bitcoin started to replace gold as the place to store value . Im going off the charts to find out. And a company that is bringing the bomb market into the digital age. Ill reveal the name so stick with cramer their experience is coveted. Their leadership is instinctive. Theyre experts in things you havent heard of researchers of technologies that one day, you will. Some call them the best of the best. Some call them veterans. We call them our team. Retail. Under pressure like never before. And its connected technology thats moving companies forward fast. Ecommerce. Real time inventory. Virtual changing rooms. Thats why retailers rely on comcast business to deliver consistent Network Speed across multiple locations. Every corporate office, warehouse and store near or far covered. Leaving every competitor, threat and challenge outmaneuvered. Comcast business outmaneuver. I put everything into my business. And i had all these points from my chase ink card. So i bought ingredients, utensils, even made custom doughnut cutters. Wow all with points. Thats how i created the ripple. The doughnut, in a doughnut, in a doughnut. Suddenly, its everywhere. I mean, it really took off. What will you create with your points . Chase for business. Make more of whats yours. Im always telling you that we here at mad money strive to be the most interactive show on television why do we do that . Because im a nice guy who wants to be responsive to your concerns but there is another component, too. Its a form of crowdsourcing every now and then our callers will unearth fabulous stocks most of our viewers have great horse sense. Which brings me to penumbra. This is a medical Device Company i got clued into because of a call from collins in South Carolina 13 months ago then i got another call from sarah in new jersey back in february both times i decided to circle back and do more homework. My verdict, i gave you my blessing to buy penumbra but recommended you wait for a better entry point before buying it hand overfist i know when i do that it upset people why dont you come out and say buy it there is one problem here, and youre right, penumbra hasnt given you many entry points. It was 82 when i circled back in march and surged all the way to 116 last month penumbra has finally given you that long awaited pullback the shares are now down 20 from the november highs and people are getting nervous. So given that its an audience name thats made some of our viewers a lot of money, i think weve got to figure out whether were doing with a buyable dip or if this is the beginning of a larger decline its not always easy to tell first of all, let me give you some background here penumbra is a company focused on making devices that help treat patients with naur owe vascular conditions i want you to think an russ mitchells and stroke victims this is breakthrough stuff their products allow doctors to perform minimally invasive procedures to remove blood clots that might be blocking circulation in a patients brain. This is a big deal and its not just the brain, penumbras devices can remove clots in your peripheral vascular system, all the veins and arteries in your extremities, its amazing. I wanted to wait but you only caught a modest downturn before the stock started roaring again. Second time, let me circle back, i mentioned march of 82. I said go ahead and speculate on it but again i put that darn caveat, wait for a pullback and again the darn thing took off like a rocket. That is still the big selloff from 116 down to 93 over the past few weeks so what the hecks going on here okay one of the reasons i like penumbra and probably why i kept getting calls about it, the company gave you a fabulous winning streak of much better than expected quarters reminds me of that stock out of israel you got a beat after a beat after a beat after a beat with penumbra thats how you get such a relentless rally remember when i said at the top shoeft its beating estimates that matter. The streak was broken, though, when penumbra reported in may it delivered a larger than expected Earnings Loss and reported again in early august, another wider than expected loss this didnt seem to phase the Analyst Community or the shareholders penumbra wasnt an earnings story. Its a rapidly expanding medical Device Company that is all about Revenue Growth one advertisemenalyst said don penumbra, just own it. I think he confused it with apple. Like i said, though, the real mil mixup is revenue. Sure the Revenue Growth has slowed down last year from 40 to the mid20s, but thats the law of large numbers penumbra did a 1. 3 secondary Share Offering in match. It didnt matter stock rallied 6. 3 the next day. Thats a good side they had to recall the 3d stint retriever, but hardly anyone seemed to notice they told a good story in september, the presentation was wellreceived, stock continued to rally and that was the setup going into penumbras thirdquarter Earnings Report six weeks ago. Once again, they gave you a nice top line beat with Revenue Growth accelerating to 29. 9 they earned a penny better per share when wall street was looking for a 6 cent loss. They earned a penny, they didnt lose management raised their full year sales forecast. Sure enough the stock spiked in response, surged from 103 to 1113 then going to 115 and change the day after that, this thing was hot as a pistol, but thats where penumbra peaked. Suddenly the stock hit a wall and reversed you know what the worst part is . Sometimes youve got to own this i cant really tell you why it went down. To my admittedly unrefined eye, all of the news seems to have been good news thats obviously not how the market saw things. First big slide came on november 10th, an 8. decline right after the postearnings rally. Lets call that profit taking. I always tell you no one ever got hurt taking a profit the very next day, though, the new england journal of medicine, incredibly influential publication published the results conducted by striker, one of penumbras competitors. The takeaway, okay, the general consensus in the medical community has been that when someone has a stroke, you need to remove the blood clot within the first six hours, after that the damage has already been done strikers study showed stroke victims could benefit having it removed up to 24 hours after the stroke in short, there should be more demand for machines made by striker as well as penumbra. Its good news for anyone who is in the business of removing dangerous blood clots from peoples brains. While penumbras stock initially rallied in response, within days it had guchb up those gains and kept sliding analysts at bmo downgraded penumbra from outperform to market perform thats wall streets peak from taking it from a vital hold. The seem team at bmo drastically raised their price target for the stock after the Company Reported its fabulous results last month, when the stock was ten points higher than when they downgraded rational for the downgrade, valuation. Fair enough. Its not exactly chief if the valuation is so stretched, why do these guys like it at higher levels simple they liked it when it seemed to be going up and i think they stopped liking it when it seemed to be going down look, penumbra is a textbook example of what happens when Growth Investors decide to declare victory and move on to Greener Pastures some of the recent selloff makes sense. Penumbra wont really benefit from the big tax cut as i said, a lot of stocks that i mentioned at the beginning of the show that arent going to benefit that are high growth like this. Most of it is because the stock started declining and then a lot of weakhanded investors panicked and they were selling their whole positions. I described at the top of the show, you got everything getting hammered the bottom line, ive been telling you to watch out for a pullback in penumbra since last year am i going to run from it now that we got one . Penumbra, i think its a broken stock, not a broken company, and the name by a name of larry beagle skn beagleson remains bullish. So am i. Those who like these highgrowth superstocks, i take it much more mad money. Tonight with bitcoin bursting on to the scene does an investment in gold or cryptocurrencies make more sense in this market im sitting down with the man with the revolution in the bond market with the ceo of Market Access. And why breakouts could be the new normal in this market. Stick with cramer. Whats Critical Thinking like . A basketball costs 14. Whats team spirit worth . cheers whats it worth to talk to your mom . Whats the value of a walk in the woods . The value of capital is to create, not just wealth, but things that matter. Morgan stanley you ask, i deliver has bitcoin started to replace gold as a repository of value . A place for rich people to hide their money when they get worried on inflation or government confiscation . The recent decline in the precious metal and the run in bitcoin, this idea keeps popping up does it have any merit will they really replace gold as the favored alternative to actual currency . Its an important question, which is why tonight were going off the charts with the help of carly garner, a brilliant technician who is the codpounder of carly trading, the author of high p