Where the hype is too great like when a goat was riding a s surfboard with a gopro on his head nine years ago. It was about to reach the high 90s before falling to the single digit within a year and a half. But to put it in my terms it jumped the shark. The dui advanced 87. The nasdaq where all the stuff is jumped 1. 14 . Actually i have to tell you its a big reason im out in the sa salesforce conference billing itself as the Worlds Largest a. I. Fast tool. When will Companies Stop rolling out these stories to prop up stocks. When i saw the gopro on the surfboard i called the top and prepared to do the same thing with a. I. If i have to because the promotion machine may have gone haywire. When i heard about how cocacola is launching a new drink codeveloped with the y3000. Maybe it tastes great but when you see it hyped from cocacola maybe were on legitimate use cases because this is not a consumer or gented technology. Ill never argue with the ceo of nvidia. He was talking about how a. I. Could allow businesses to save massive amounts of money but not trying to hook the consumer on anything. Its not like everyone can use a. I. Reperiod from frank sl tman. Unless its visible it may not be that available. A lot of companies have emblaised it for so and if they cant deliver real return and the whole notion is a transformative business to consumer, it will fizzle, the stocks of companies that pushed that story will fizzle with it so need to closely listen to frank about how bullish it is. Lets let snowflake tell us. Maybe its just unbelievable for the enterprise but we cant say how great it is at home. Lots of company want to embrace it because it can save costs in the call center and coding process. If you use Large Language Models where you ask a computer without coding you got a winner. You can quiz your own computer about cyberthreats and itll tell you about it. A ceo from palo alto says the same thing. Makes sense for cybersecurity. So im not saying a. I. Isnt huge. Im sure it will be a very big deal and know nvidia demonstrated how it eyes them more efficiently to Save Companies fortune. Capital one or any of the Auto Insurance companies or finance companies can use a. I. To make sure theyre offering the best price, gigantic numbers for them. But taking up stocks, because companies claim theyre embracing Artificial Intelligence. Im starting to think its silly. We own Meta Platforms and im happy to see working with nvidia to get in front of chatgpt. Heres the problem. I broke that story in november of 2021 when i went to nvidia. Thats when i broke it. It had a deep relationship with meta to do what was written in the paper. Nothing truly new here. Thats overenthusiastic stock versus reality of business. Now, even without Artificial Intelligence i think techs are undervalued. Were beginning to see higher corporate tech spending, something sha snowflake talked about in the Conference Call and apple narrative from china is getting baked in. The one that has me steamed or stunned is the one from Morgan Stanleys adam jonas who upgraded tesla from hold to buy because tesla could be a tech company and if it can tap its own superbrain dojo, thats it. It could be like Amazon Web Service and could be worth 500 billion more than its current valuation because of dojo. I like jonas but he missed the test. Maybe hes just getting ahead of the next leg higher as a Supercomputer Company that could challenge nvidia down the road. Thats why teslas stock went up 10 and nvidias stock went down. Im not convinced. Any company that needs to sort and process needs a. I. Any company with expensive smart coders will find out. I got to find it out. I got to see it, okay. Ive come right here to see it. Right now there are companies that can and will bring in revenue especially to the consumer, but im not saying that the consumer is the best use case themself or herself because if anything, this is an enterprise story. I am saying the days when a company or Analyst Thinks a. I. Must be bought and it brings a buy this stock conversation, thats peeking. Remember, todays tech strength was not based on a. I. But on actual earnings per share which is great news and a show 6 strength when we heard 2 could be ten types oversubscribed. Thats what i want to hear, not about a 500 billion a. I. Possibility for tesla. Many people laugh when i said the use cases for gopro peaked with the stock nine years ago. I know that sucker right from the top. I do the same here. I have to learn more. Weve seen tons of ceos shy to shoehorn a. I. Into their narratives and worked but those days will soon be numbered unless they have a legitimate way to make lots of money off a. I. Rather than watching a goat surf admittedly off the coast of hawaii. Lets take calls and wes is in texas. Wes. Caller a navy deep sea hooyah booyah from texas. Thank you for serving, booyah. How can i help . Caller with clear headwinds and manufacturing front and seemingly unlimited demand when do you think Lockheed Martin will get wind back in its sails. I think soon. We know jim who was at American Tower is a total winner. The budget is fine for defense. The stock has had a down almost 100 point, just the right time to buy it with almost a 3 yield. I think you got a good one. Ethan in california. Ethan. Caller booyah, jimmy. Yo, ethan, how are you doing . Caller im wanting your thoughts on pool corporation. Very well run company and i think people feel its a discretionary item and consumers arent spending discretionary, so i want to be a little cool on pool. Lets go to jeff in california. Jeff. Caller hey, booyah, jimmy, how are you doing . Doing well, how about you . Caller fantastic. Thanks for taking my call. My stock is shopify. I used to own tons of it when it was going up, going up, used to be the king of kings and with Online Shopping going stronger and stronger lots would like a storefront online. The great news about shopify, that on november 24th of 2021, the day before thanksgiving, shopify hit an alltime high of 169 bucks a share, which is up 945 . But theres a big but here, jimmy chill, it hit an alltime low to only 27 bucks a share which was 84 off the high. True. Caller its kind of a weird coincidence that shopify just shot up in the recent months, in fact, again just a coincidence it shot up 84 year to date just you got symmetry there. Now, heres how i feel about it. I think that when we had them on recently people underestimated how powerful their model is and then amazon ties up with them which tells me that theyre going to be able to keep the customer and have the customer make even more money, which means its going to be even better for shopify. I dont know about the symmetry. I like that 84 82 thing but think you have a winner in shopify. Lets go to malinsky in virginia. Caller my eagles and browns are undefeated. It might be early. I want to limit that but it might be early. Caller ill take it for right now because every week can change with the browns. Im trying to avoid a value trap here. Company is doing a lot of right things, has macro issue, consumer demand, credit tightening. We know pigs get fat and hogs get slaughtered. Harleydavidson is getting slaughtered. What do we do . This is no nick chubb. Thats all i can tell you. I think this is not a consistent Reliable Company so well have to say its a little bit more like yesterdays bengals than like yesterdays browns. I think shoehorning a. I. With the notion to jump stocks higher may be over even if there is a legitimate use case. On mad, kick off a big win, smuckerss acquired Hostess Brands and go straight to the source. Then julios bounced back with a. I. So it is more focused on Sustainable Growth for twilio and as i said the a craze has gotten out of hand to promoting stock but could snowflake hold its own in the Artificial Intelligence space . You dont want to miss my exclusive so stay with cramer from san francisco. Announcer dont miss a second of mad money. Follow jimcramer on twitter. Have a question, tweet cramer, madtweets. Send jim an email to madmoney cnbc. Com or give us a call at 1800743cnbc. Miss something, head to madmoney. Cnbc. Com. With gold bond. You can age on your own terms. Retinol overnight means. The smoothing benefits of retinol. Are now for your whole body. Plus, fastworking crepe corrector diminishes wrinkled skin in just two days. Gold bond. Champion your skin. sfx stone wheel crafting the biggest ideas inspire new ones. 30 years ago, state street created an etf that inspired the world to invest differently. It still does. What can you do with spy . fan 1 there ya go thats what im talkin about what can you do with spy . josh allen is this your plan to watch the game today . hero fan uh, yea. I have to watch my neighbors nfl sunday ticket. josh allen its not your best plan. But you know what is . Myplan from verizon. Switch now and theyll give you nfl sunday ticket from youtubetv, on them. hero fan this plan is amazing josh allen another amazing plan, backing away from here very slowly. fan 1 that was josh allen. fan 2 mmhm. vo football season is here. Get nfl sunday ticket from youtubetv on us. A 449 value. Plus, get a free 5g phone. Only on verizon. Nice footwork. Man, youre lucky, watching live sports never used to be this easy. Now you can stream all your games like its nothing. Yes [ cheers ] yeah woho running up and down that field looks tough. Its a pitch. Get way more into what youre into when you stream on the xfinity 10g network. James smucker is buying hostess for 5. 6 billion. Theyre paying a 54 premium for hostess versus where it was trading before we started hearing rumors of a deal. Its called the most expackage of twinkies in history. Wall street wasnt thrilled. The Stock Plunged 7 . Some could be some stock component but what is the thinking behind the acquisition. I felt they needed a much more exposure. Why speculate when you go straight to the source and the chairman, president and ceo of James Smucker company. Welcome back, mr. Smucker. Thanks for having me, jim. We had callahan. We put it on multiple times because the ceo of hostess, he convinced us this is the best grower in the food business and thats why i think it made a ton of sense to be attracted to it. Some of these analysts, theres no synergy like you were a tool and die company or defense company. Doesnt this fit right into your categories . It is squarely on strategy. I mean, snacking occasions continue to grow, and as you know we have our rocket ship which is one crustables and this goff tails nicely because what it does, expands our option alt to access new snacking occasions, consumers are snacking at different times a day and sometimes they want something sweet, sometimes they dont but when they do we want to be there for them and this fits perfectly with our strategy. We had cellcius and own the Convenience Store. Dont you want to be in the Convenience Store sector which is just booming right now . Absolutely and thats one of the reasons why we were so excited about hostess is they have a fantastic distribution model. Our we complement each other so well. They do excellent job in the convenience channels, were just now launching an uncrustable that has a fiveday shelf life and can live in that space and we have great strength in our core grocery channels as well as expertise in marketing so theres a lot of complimentary capabilities that are going to allow both businesses to continue to grow here. All right, so the sporting Morgan Stanley comes out with a note talking about glp1, the revolutionary drugs that make it so you dont want as much snacking. Are you concerned about this lets say, the drugs that people are using and the longterm future of snacking . Jim, we view that people are always going to want to snack and there are times of day when somebody might want a proteinbased snack like a Peanut Butter with celery but other times people want something a little more indulgent and hostess created single serve small portions that allow people to have snacking, sweet snacks in moderation and think and weve studied this business for a couple of years, and we really see a long growth trajectory here and, again, those complimentary synergies for both parties. Its possible i know its rumored that General Mills obviously was in there trying to buy it and i think maybe people feel like you end up having to pay too much versus your own stock. Would that be a cause of concern . You know, no, and, in fact, when you look at our multiple post synergy, its going to be down around 13 times and we think thats very ream and, again, this is an accretive transaction. It is going to grow our business. It is going to allow us to grow snacking occasions and ultimately it will benefit the shareholders through that. The 100 million in synergy is pretty confident. Absolutely. One thing that people dont understand, it is an engine of innovation in a category that has lacked innovation. Can you lock in those people who came up with some of those incredible, incredible snacks that this company has put out since andy what is got in. Andy is a great team and have done a fantastic job with innovation. I think if you take that innovation engine that theyve got going, continue that and we continue to pour a little gasoline called marketing on top of this with our expertise in marketing well see tremendous growth here. One thing that threw me, you own the best coffee brands. One of the great things that randy did was create the donut coffee, the boost. Isnt there synergy about what you know about what a consumer wants . You are going where the consumer is, and thats why i think this is such a good deal. I could not have said it any better. You know, we play very strongly both in morning, breakfast and lunch but also those in between times, so, of course, coffee and now coffee is consumed as a snack, if you think about how often consumers are making cold, sweet coffee benches in the afternoon to treat themselves, why not have a dounette with that. Obesity drugs. Is it not true people like a treat . 100 and all of us want to snack in moderation and, of course, we all, you know, want to watch calories and, again, i think the reason the way theyve come out with single serve packs really allows the consumer to be diligent and watch those calories and be responsible. But i had a hoho and twinkie today already because i had to. And i felt like something sweet. Well, i like that, dont forget those. My favorite cookie. You did get rid of some. You did get rid of some of the pet food and i know that some of the pet foods were not necessarily ones you would stand behind but, i mean, thats a great category. Why did you divest . Well, if you think about the strategic journey that weve been on, we have been very diligent about taking our family of brands and focusing them down to the brands that are going to grow. If you think about why we got into the pet food category in the first place, it was all around dog snacks with the milk bone as the crown jewel and meow mix as cat food, we kept those two because they are our Growth Drivers and similarly in the past when we divested pillsbury baking mixes and crisco cooking oils, those were categories that were in decline and shedding those assets allowed us to really focus clearly on those assets and brands that we know that we can grow, and, again, it just speaks to the fact that hostess fits perfectly. Very clear from your presentation today, you want to delever and also youre committed to the dividends and decided were going to grow and be wasteful and not worry. Yeah, you know, our capital deployment strategy is clearly focused on getting this next uncrustables plant up and running which were doing and continuing to grow our dividend and pay down this debt and delever as quickly as we can. We would expect to be around three times in two to three years. Well, thats what we want. We want the responsibility and i know im a huge believer in the company and i think you got it for a very good price. Mark smucker, sjm, thank you, mark. Good to see you. Thank you so much, jim. Guy, look, im saying it is a good acquisition, the analysts didnt like it but weve believed in hostess since day one. Still do. Mad money is back after the break. Announcer coming up, this company soared after its last quarterly report. Will the good times keep rolling for twilio . Find out next. 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Since then many have gotten profit b89 and stocks have come roaring back since the lows last fall, take twilio. The Communications Platform that hips Companies Directly connect with hair customers versus call, chats, emails, when you get a text from airbnb or uber or a hospital, its their software or from home depot. Twilio grew too fast in the pandemic, but the stock peeking at 4 a7, plummeted to 41 and since then laid off 28 of their workforce and going through a major restructuring and you know what, it is working. Last month they delivered a 24cent earnings, 24 off a 30cent basis and rallied 14 sinc