Alibaba came public in 2014. Snap, and it went off like a snap, without a hitch. Believe me, it could have been dreadful. It could have been like the facebook deal. Boo which caused tremendous concern about the entire underwriting process. It could have been like twitter, which was way too hot, too soon. It could have been like zinga or groupon, two deals that spiked as only a small amount of stock was offered, socalled sliver deals and then cost aftermarket buyers loads of money. Instead the snap deal went off pretty much like clockwork. Congratulations, New York Stock Exchange. Causing nary a hiccup for the rest of the market. Dow sinking 113 points. S p backsliding 0. 59 . Nasdaq declining 0. 73 . The stock of snap, the company that has pioneered social picture messaging opened up at 24, a pleasant, not too hot, not too cold, gold i locks like 7 premium to its 17 ipo price. It went smoothly and while you may regard the stock as hopelessly overvalued, it could have played havoc with the entire market as those other social media deals did. While it flirted with 26 at one point, it ended up closing pretty much where it opened, at 24. 48, which is the definition of orderly. Okay. So what does that matter . Why is it so important . Ill tell you why. Because i have become used to the idea that often the inability of the stock exchanges and the bankers themselves lets not spread the blame that theyve been unable to handle highprofile hot merchandise, and thats created a sense of fragility about the whole asset class and turned a lot of people off the stocks just when they were beginning to gather a full head of steam with the public. Thats exactly whats happening now. To retail investors. So i was incredibly grateful to see that they werent gaffed by snap. These kinds of deals are so often botched like facebook or designed to offer a huge pop thats so phony, like zinga and groupon. They caused angst about how the stock market can be considered a responsible repository of your wealth. When one of these deals blows up, it makes you feel wreckless trying to save money with these flimsy pieces of paper. So, yes, its news when things work out as well as the snap deal did. Now, im sure many of you think im nuts in general but also nuts for being sanguine about a stock that seals at 35 times sales, almost twice what facebook sold for when it came public even as facebook was on the verge of profitability and snap isnt anywhere near profitability. It may not even be a possibility. I admit its per se overpriced. Lets just stipulate its a ludicrous price. But a lot of that is because of the way wall street works. Its how it parcels out ipos. You see the syndicate dish out stocks to their best clients and ask that they pledge to hold on to it, not flip it. So they get it at 17, dont flip it at 24. So they agree. But then they dont get enough stock in the ipo to actually make a difference to their fund ah performance. After they pledge not to flip it, they really have no choice but to go into the aftermarket and buy more, paying up to round out their positions. Hence why the stock price then floats to a premium. The average price these managers wend up with is still quite a bargain, right, when you average 17, say, with 24. And therefore, its a win. Now, i cant countenance paying 35 times sales for anything. However, i know that as long as the stocks hot and the vibe is hotter, as is the case with snap, then the company will get advertisers and more daily average users who will check it out, which means the momentum can remain strong. Its kind of a circle. Now, if you bought the stock at 17, i would definitely say sell it here, please, because even as i think the revenues will double in 2018, making it half as cheap as 35 times earnings, i think they can do 2 billion in sales, thats still more than twice what im willing to pay for even the Fastest Growing companies and im breaking my rules. Just so we are clear, alphabet and facebook are much, much snaeper than snap. Favorites of mine i have liked for a long time, you can tell if you read the bulletins i write. On snap, i said this morning, what can you do . Snaps valuation is just the price of hypergrowth right now in a growthstarved tech world and perhaps if the snap people can take all that money and use it to develop a whole network of productions that appeal to those who check their device 18 times a day and can be advertised against, then maybe they can pull it off. I find it unlikely and, again, wouldnt hold on to the stock, but that doesnt mean it cant go higher if it becomes the ultimate online mtv equivalent. Twitter went dramatically higher before it crashed and burned and it totally lacked snaps cool factor. How do i know that snap is cool . Do i look like i know anything about cool . Yes, because ive been at this business. Ive been meeting ceos for 30 years but this was the first time my daughter asked me to get a selfie with one. But if im so adamant that snaps too expensive, why on earth does it matter that the deal went off without a hitch . Let me give you four things that could have gone wrong today that didnt instead of pointing out four things that went wrong every day like everybody else does. This is wrong, this is what im worried about. I just encapsulated every show and article i read. First, there turned out to be a lot of money around the buy shares in snap. I have seen when you have a huge deal like snap, and it was huge, 200 million shares at 17 bucks, it tends to cause selling in similar stocks because of paucity of cash dedicated to this kind of stock. Instead, there were only small ripples down in the group but nothing special. In line basically with the declining market. The selling took place in other areas, notably banks and the big industrials. Second, despite the expensive price of the stock, because it was it was arrived at in a smooth, practiced way. There was no panic as weve seen so frequently, and no sense that it really is the end of the run, which is something that ive often been willing to say when these kinds of deals get out of hand. Yes, the stocks too expensive, but the deal was orderly enough, not violent, intelligently placed and not done at a stampede, so no one screamed, this is the top third, after yesterdays remarkable rally, we could have been subjected to a dramatic decline today given that yesterday was a highly emotional move based on demeanor of a new president and a coming rate hike. We could have easily expected either buyers remorse from that run or some heavier profit taking. Instead you got neither. It was not much more than a garden variety decline. Given that were falling from the 21,000 level even as oil was down badly, please dont forget, 113 points down from 21,000, thats not that much. Its a lot less foreboding than down, say, from 15,000 or 10,000. We got to get used to these heights, people. Finally the stock of caterpillar got smashed, trading down more than 4 as its headquarters were raided by federal authorities. This is a big dow component. I know the issues may have been pertinent only to cat, but in a tough market, many industrials would have gotten hammered off this kind of price action. Instead the group kind of yawned. Are we too complacent . No, were Going Old School here. Before the Great Recession when we had bull runs, we used to call sessions like this a consolidation session. Thats right, we consolidated. There were signs of health, some small profit taking that in many ways whet the appetite of those waiting to get in or make you worry that the value was all one big gigantic short squeeze. Those are off the table. Its obviously not a gigantic short squeeze. Heres the bottom line, in short, a declining day following a rampaging bull run is actually a sign of health, especially when its associated with a gigantic yet well run ipo. It should ultimately bring out more buyers than sellers, and more initial Public Offerings of companies that may have been fearful to tap the markets. Of course it wasnt an up day. But on a percentage basis, it was, in many ways, the next closest thing to an up day. Art in new mexico, art. Caller good evening, professor cramer. Thank you, art. Whats up . Caller well, lets go back down to the railroad yard. Theres been some drama down in the Railroad Yards this week and i need your thoughts about csx. You know, theyre in the continued throes of an attempted corporate remake, and theyve got a designated railroad makeover artist in one hunter harrison. Yes. Caller last week, chairman and ceo michael ward announced his retirement, as did csx president clarence gooden. Just this week, csx announced that theyre going to lay off 20 of its Management Employees in a bid to save 175 million a year. I got to tell you, art, all these things theyre doing, you know, mike ward was not an idiot. I mean these stories all act like they was just running that railroad into the ground. He was doing a good job. I think that this rally i mank maybe theres three up and six down in this thing. Now, it really is kind of an insult to mike ward what happened, and i dont think that this stock has as much upside as a lot of these crazy people think it does. It could go up a few, but its just mike ward did not sit there and destroy that railroad. How about george in california, please. George. Caller hi, jim. I have a question for you. Should i sell my walmart shares that pay dividend to buy amazon stock . You know, look, these are very different parameters. A person who wants income and wants to wait around for mcmillan to be able to figure out whats going on at walmart can get paid that dividend. I happen to like amazon because i like pure growth, and i think everyone should have one pure growth stock, and amazon can certainly be that one. Michael in texas, michael. Caller big booyah, cramer. My question is due to the recent overselling in ups, is now the time to buy . First of all, i like ups. I love it when the guy came. The ups guy was always nice to my dad. I loved that. Ups missed another holiday season, and im getting tired of that. I prefer i have to say i prefer fedex here. Ups seems cheaper, but im really beginning to question their whole concept of whether they can handle the amazon challenge, let alone the omnichannel challenge all together. We went old school today. We saw signs of a healthy market, one that takes a little breather on a Day Associated with a big ipo following a raging bull run. On mad money tonight, they all have cheese, but only one can deliver the most dough. Pizza players are dominating the stay at home economy. Ill deliver the answer. Then its a company thats worked with the likes of lg, fiat, and ford. Heck, it may even have a hand in your smartphone. Probably never heard of it. Ill reveal it just ahead. But first box was once the hottest new tech play on the street. Its stock took a stumble today. Whats next for this cloud player . Ive got the exclusive with the ceo. So stick with cramer. 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. Has box, the cloudbased storage provider finally found its groove . For most of the time since its ipo a little more than two years ago, box has had it rough with the stock plummeting in 2015 and flat lining for the first half of last year. But just since the beginning of 2017, box has run up an astounding 20 . Is this the first inning of a longer term rally or have we missed the move . Box reported after the close yesterday, and my overall impression was mixed to positive. On the one hand, the company delivered a top and bottom line beat. Its Free Cash Flow came in positive for the first time. And its billings, the key metric in this business, increased by 22 . On the other hand, boxs Earnings Guidance for both the next quarter and the full 2018 fiscal year was lighter than some analysts were looking for. However the reasons for that weakness is because the Company Plans to spend more money to invest in its future growth, something we dont normally punish stocks for. The stock got slammed today sinking a little more than 8 . Lets take a closer look with aaron levy. Mr. Levy, welcome back to mad money. Thank, jim. You said, listen, your goal was to be Free Cash Flow positive. It has happened. Please tell our viewers why that is an important milestone. Yeah. So this is a massive milestone for our business. Two years ago when we filed to go public, we told the world that we would be Free Cash Flow positive in q4 of fy 17. That was the quarter that we just announced, and we achieved that milestone, generating 10 million in Free Cash Flow. So the investments that we had laid the foundation for in terms of our sales, marketing, Technology Foundation over the past few years have paid off and allowed us to reach the scale were at where we generated 400 million in revenue last year, closing q4 with 110 million in revenue. Now that were cash flow positive, we can reinvest those dollars back into growth. Were going to remain Free Cash Flow positive coming into fy 18 for the full year, with some seasonality on a perquarter basis, and were going to be able to drive the business to grow, you know, quite well this year where we have pegged our guidance at 500 to 504 million in top line revenue for this coming year. So half a billion in revenue. Whats next . Should we start thinking about the value of your Book Business and offbalance sheet Book Business so we can get a sense theres cash building and your stocks too cheap . Well, i think that on the cash side, you know, we ended the quarter with 200 million over 200 million in cash in the bank. We obviously dont have to raise more capital from the outside world now that well be Free Cash Flow positive on an annual basis. And were going to be driving more growth into the larger enterprise segments weve been serving so successfully over the past few years. In the past quarter, we did 64 deals over 100,000, which represents sort of the threshold where we start to think about these as larger enterprise customers. Were seeing more and more growth within the large enterprise segment. We had multiple customers that did multimillion dollar transactions with us that are standardizing the way they manage their content and their collaboration and their data on box. So our strategy of being the cloud content Management Platform is really paying off in the enterprise today. I thought there was a great moment in the Conference Call where you said one great example of this past quarter is we did a large transaction, a sevenfigure transaction with a Financial Services firm that replaced documents. Is the process of replacing documents as well as using box to solve all their end user file sharing collaboration. If i went to that place, everything they had, what do they have big boxes and now its on file somewhere . Well, it used to be in their data center. What theyre trying to do is migrate all of the infrastructure and the Document ManagementSoftware Technology to the cloud. And when you look at a large, in this case, a Financial Services firm that needs to be able to have the security, compliance, robustness of a platform that can scale to all of their employees, when they need all of those capabilities in one solution, box is the only platform that can do that for them. Theyre able to both retire legacy infrastructure and spend as well as solve all of the net new problems that their end users have around sharing and collaborating in the cloud with box. Now, youve been very clear with me on our show exactly what you felt would be the progression, but i think at the beginning it was difficult because i think people wanted to force you into looking like another company or making some promises that you were not able to keep, not that you ever wanted to make them to begin with. You put out a very nice note warning the people at snap that perhaps they should not be trapped by what others thing but make a Clear Strategy and stick by it. Why did you put that out . Well, i think that was just in one of the interviews that we were doing around their ipo, but due to our earnings being at the same time. But in our case, what we learned was having a very predictable Business Model where youll able to drive consistent growth and overcommunicate your strategy. We were not well understood going back two or three years ago. We were seen as a way that enterprises could store or share thar files when we were building out a very differentiated platform to help Companies Manage and secure all of their corporate documents and their data. So my note or message to snap was certainly make sure that you drive predictable, consistent growth, and you overcommunicate what makes you different, and then ultimately wall street will really understand the story. I just want to cross pollinate for a second. We mentioned snap. Last night we had a guy from veeva on, very good company. A lot of his clients are exactly the same as your clients in the Life Sciences. Do you guys integrate . How does that work . We do see each other within the Life Sciences space. Were obviously focused on more horizontal use cases, which to us means we want to solve everything from how the r d Team Collaborates to the sales and Marketing Teams share their content to how the finance team works with their external auditors. So we are in many large Life Sciences companies, organizations like eli lilly, allergan, amgen, pfizer, and many others. And in some of those environments, those customers are using veeva for a number of very important use cases. So we see ourselves as a part of a broader industry trend where enterprises in every industry are going to leverage best of breed platforms for different parts of their technology stack. So we do tend to see them, microsoft, salesforce and many others within our customers.