Weve got record highs, dow surging. S p gaining. Nasdaq 1. 06 texas earnings forecast and yesterdays trade deal with china. At the same time individual companies are taking action to fight Climate Change in a way thats unprecedented these are issues that could hurt earnings per share yet the market doesnt seem to care. The market seems to like it. Its insane. For my entire life, especially the last 40 years, you have companies doing anything they could to make a profit and the government working to restrain them. It was the government that forced big business to care about clean air and clean water. Thank you richard nixon. We took it as a given companies would try to get away with anything they could to maximize profits for their bosses the shareholders this endless cost for growth, wall street didnt care at all it was amoral. And if you want to be a good investor, you ordered this stuff. But in eamon yumtal twist weve seen a shocking paradigm shift suddenly capitalism is trying to regulate itself at a time the market is a priority for the government if you told me private industry would lead the fight against Climate Change, i would laugh in your face. Tuesday, they announced theyre going to start taking sustainability into account with had they invest. Thats right because they think Climate Change is too big a risk to ignore. Today microsoft demands that its own people along with suppliers and end users take aggressive action to reduce their carbon emissions. This is extraordinary. Even the users were going to find out more about what microsofts up to later in the show when we sit down with Ceo Satya Nadella in washington which we happen to be at pretty cool, huh theyre attacking Greenhouse Gases root and branch with the goal being carbon negative by 2030 ive been in this business for 40 years thats not the way its supposed to be. Forget earnings per share, microsoft is focused on something weve been talking about on mad money for some time, something we call impact per share. Its almost like theyre turning into the old epa back when the organization was a lot more heavy handed you want their business . Build Wind Turbines and solar panel. If not theyre going to take their data centers and put them somewhere else the government is more focused than ever on creating value for shareholders there are tons of winners from trumps trade deal with china that arent getting enough credit, visa, dow chemical, j. P. Morgan, and the belingering boeing how do i get those companies because ceos were named at the press conference ive heard endless carping about how chinas commitments probably wont kick in until they roll back tariffs on our exports. Give me a break. Take the numbers for 2021. The other impact per share side, the push starts now, not in years. There are no contingencies ive got a real sense of urgency from microsoft something reminiscent of the department of war to come up with ways to fight climate destruction. At its heart theres a titanic struggle going on here corporations are rethinking their entire purpose including the hard science of stopping what ceo nadella called the devastation of the environment by cutting the carbon cord, not a climate denier here. The government wont do it, then microsoft will lead my example the president doesnt seem to regard Climate Change as a serious issue for the nations welfare. Otherwise he wouldnt champion the burning of coal. Do you know what this 48 hour period tells me . Weve got a donk inquir the whie house. Can it be done the bottom line is that its possible but the much more important point is that this shift has happened at all. Whether or not microsoft can save the environment, what matters is that theyre making the attempt and the stock wasnt punished for it at all in fact it was rewarded. Like i said, the worlds turned upside down. Lets take calls let go to adam in florida. Adam caller hey, jim. Thanks for taking my call. My question is about pinterest i bought it on ipo today and watched it go to 36. On the last earnings call, the company did just about everything they said they would do i bought more at christmas time. Now theres a report saying pinterest surpassed snapchat as the number three social media app in the u. S. In relation to users. What are your thoughts for long term hold from here . Ive got to tell you i was impressed by that same report that you saw i think the stock can bounce here i dont want to get too ahead of keys here though because why it is not blowing out the numbers and i think that its good but its not great. I actually prefer alphabet here. The world is turned upside down, people were seeing a paradigm shift. Its now all about impact per share, not just earnings per share. And stocks arent getting punished for trying to have a positive impact on the Climate Change situation microsoft had a total return of over 400 since Satya Nadella took the helm. The company Just Announced ambitious Climate Change plantae. They want to roll back time. Im sitting down with the man himself from the companys Head Quarters plus a special appearance from the cfo. Then you might know heinz, but how many varieties of ketchup are you seeing in this market . And Gw Pharmaceuticals made big earnings this week i sat down with the ceo yesterday to find out if it can head higher. Stay with cramer dont miss a second of mad money, follow jimcramer on twitter. Have a question . Tweet madtweets send an email or give us a call at 1,800,743 cnbc. Miss something head to madmoney. 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. Apps except work. Rywhere. Why is that . Is it because people love filling out forms . Maybe they like checking with their supervisor to see how much Vacation Time they have. Or sending corporate their expense reports. Ill let you in on a little secret. They dont. By empowering employees to manage their own tasks, paycom frees you to focus on the business of business. To learn more, visit paycom. Com i got to spend all day at microsofts headquarters in redmond, washington. This was a huge day out here si see, today, microsoft announced they plan to fight Climate Change with the goal of becoming climate neutral and want to off set emissions from its entire history by 2050. Do you know how ive been telling you wall street cares about sustainability i think thats why microsofts sustainability made investors a fortune in recent years so they have the leeway to take a stand. A few moments ago i sat down with the great Satya Nadella hes the great decree of in his first appearance on the show take a look. Here here on eamon yumta monl day. You became the capitalist leader doing something important. Youre doing impact per share. First of all, thank you for being here its so awesome to have you here on our campus. Youre absolutely right. Its a big day in fact, its a big decade in front of all of us and today is a start what is when i think about our mission to empower every person and every organization on the planet to achieve more, the fundamental thing is lets put more depth to what achieve more looks like for the world to us, it means we need, of course, as a company, we need to be able to drive broad Economic Growth but its just on Economic Growth, but its about really having that core inclusive growth, trust in technology, and all that we do should lead to a more Sustainable World todays announcements were the last part which is commitments we are making by 2030 to become carbon negative, to in fact go back in history all the way to our founding in 1975, look at all of our Energy Consumption from electricity and other sources and make sure that we recapture that and of course we also know that its not just about what we do its the ecosystem and the innovation we need break through, so were even putting a billion dollars in an innovation fund. We know its a small part of what all of us have to do to achieve more im not sure its small out 2050 if you dont do these things, what does it mean for both the planet and of course microsoft the signs i think at this point is very clear. If the temperatures rise, i think the impact its going to have on lets talk about the economy. The economy that we all enjoyo the capitalist system that we all enjoy i think will fundamentally be in jeopardy if the planet which is the resource, the factor of production that has fuelled all of our caputist society will be in danger. To me, thats the existential priority for us as a company, its about making sure the commitment as a start of then ensuring we are living up to those commitments i think its 2030 and 2050 that we are looking forward to doing our part youre a rigorous man and the company is rigorous about numbers. This is the first time ive heard anybody lay out an actual lets say yardstick thats hard and its not just for your company but its for your suppliers and even for the users of your technology how can you enforce it and what does it mean when someone says do you know what . Its profitability were not playing ball look. This is not the first time weve done these things. First of all, youre absolutely right. We have to be rigorous and its not about making commitments or making claims. Its about follow through. Right so, for example when we change some of the benefit policies to say anybody who works at microsoft even if they are a vendor will get the parental leave or sick leave, we have to pay for it because we fully expect the companies that are employeeing these people will not be able to increase wages. In some sense we have account, weve done homework, we know what the emissions are on all the scopes, scope 1, 2, and 3. And we feel we have a bottomsup plan on it one of the things that helped us is the carbon tax which we introduced multiple years ago has built an internal rigor so to speak on what does it mean to have a way to think about an accounting for carbon and then go after it. Going a little bit bigger than carbon, you care about other values including carbon, artificial intelligence. Many of us are worried that it can be used for harm, not just for good youre thinking about what technology will mean i mean, youre talking about tech intensity i hear that and i say im concerned that techs too intensely powerful you are the second largest tech company on earth and these are the things youre thinking about. First of all, im an optimist okay, fair. I do think technology can make a huge difference think about it its the most malleable resource that we as humans have ever found, the software, right and to think about this as a factor of production that changes, you know, precision medicine, precision agriculture, feed everybody, right . Or connected cars, you know, connected factories. I think that this is amazing and the technology in terms of computing in the real world. Artificial intelligence, think about the state of the art of whether its reinforcement learning or large scale model training is essentially helping us discover new knowledge that is not possible even before or take someone with disabilities today with break throughs in Computer Vision for someone with visual impairment, they can interpret the world. Someone with dyslexia can read because of what technology can provide. It doesnt mean we should be clear eyed about the unintended counsel kwebss of technologically driven unemployment or bias in algorithms take bias. First of all, we as a Software Company are Building Tools like how we built tools in order to ensure people dont have secure bugs in software, we should say if anyone building an a. I. Model, how can they debias the a. I. Model the best way is to have a diverse Team Building it in the first place. I see so smart you wont be able to track the diversity unless you do some of the things were talking about at the same time that youre doing all these things, you are a competitor you have a different style from your predecessor who was a good friend of mine from college. You are a cerebral lead by example person, but youre also competitive. When i watch your Retail Federation piece, you mentioned its walgreens you mentioned walmart and starbucks. Youre in a titanic battle against another company to get those customers and you offer value position that aws doesnt. I care about that. Tell people. First of all, i think whats happening in retail is pretty exciting yeah. If you think about it, everyone 2019 sort of retailalid what retail is you need physical stores, online presence, and connect the two things seamlessly. One of the things i talked about is how walmart completely changed the game around how theyre doing delivery i can order my groceries i can start going to the store given the geofencing features. Their iot inside the store wakes up, makes sure things get packed fresh and is ready for delivery. Its the best example of walmart taking the physical aspect, dim tal capability, and partnering with them, same thing with walgreens, what they want to do for chronic care like diabetes or what marks and spencer has done, they embedded computing. This is another fascinating thing is people, places, and things are increasingly having digital twins. And since a Digital Infrastructure is more malleable, you can predict things, automate things, gain insights how did you get insight to do azure . When i saw you last, you made bold claims, i said at the time, of how much money you could make with azure youve vastly exceeded them even as some of them were oh, please, who is this man . How did you see it how did you know and how much of the future will be azure quite frankly, you know, its sort of the guy who guy who gave me permission to do all this was steve balmer. He wanted us to be bold and go at the cloud very aggressively and thats what we did one of the key things he did was we didnt think about azure separate from microsoft 365 or dynamics 365 or even xbox live or x cloud we had a vision. After all were computing infrastructure and platform company. What is that next generation and by the way, i was always grounded on the fact that it will be a distributed computing infrastructure its the cloud and edge. For example, one of the fascinating things is i used to talk about the edge. In fact i started talking about the cloud and the edge four years ago and people said what is he talking about. Except now it is the conventional wisdom. Thats what it takes i think you have to have conviction on where the world is going, make sure you bet long before anybody gives you credit for it, and then of course execute. And thats what we have done and every layer of the stack, at the infrastructure level, platform as a service, saas layer, and thats what were doing. Do you think the marketplace will continue to pay as much as it does for your perfect execution, for instance, the stock 410 return since you started, 1. 24 trillion. Will there be some executives at major funds say im not going to buy that stuff, that guy cares too much or will the world change so much that if you dont care about these mandates, your stocks going to go down thats a great question you and i were talking before we got on the air which is, you know, theres this great book called prosperity and he talks about what is a corporation. And the corporations purpose is to find Profitable Solutions to the problems of people and planet okay. Profitable is the keyword but problems is the other keyword for people and planet. So, i think what happens is if youre creating a lot of profit and creating more problems for planet or people, i think itll catch up with you. So, in some sense, the way i look at it and say is hey lets go after the core of what were doing. Its not about caring about arterial things. Our shareholders are the ones giving us permission to be able to think about whether it is the Affordable Housing or the carbon its our shareholders who care as much about this as anyone else and they give us permission and therefore we are accountable to them to execute on these commitments we are making and thats good for business its interesting. Theyll give you 28 times earnings, one of the highest multiple for any of the plus 100 billion companies because they want you to have that permission there are other issues in tech that youve spoken about that are lets say on the hot griddle right now, privacy apple versus the Justice Department corporations upholding things that arent necessarily in the constitution, theres nothing about privacy in the constitution sadly i think, versus a government that is intrusive. Once again weve got situations. The government wants coal. You want no coal government wants intrusion where do you come down on these things first of all, we are clear that both things matter here, the two things being privacy as a citizen, as a user, i care deeply about privacy and as a citizen i also care about public safety. Right so, both of these have to be in the balance i think we have to come up with legislative mechanisms for that. Things like back doors and so on are just bad ideas but like the cloud act which is a completely different realm today is actually a good first step in terms of having the Legal Framework for how we can, in fact, protect the privacy of anybody who has data in the cloud and yet have the ability for any Law Enforcement agency to include legal warrants. So, we now have to have a technical and a legislative break through around what is considered personal information thats not in the cloud. So, i think that this is something that we will have to work out we just cant take all hard stances on all sides no. But weve got to recognize that, look, privacy is a human right and thats what, i think, the co is core to our values here in the United States and we cannot jeopardize that. Youre articulating them well were going to take a break and bring in your sensiol atnacfc, amy hood, when we come back. I can. The two words whispered at the start of ev