Lower open the nasdaq looking as if it was opening. All getting upgrades merger monday, among them 5. 2 billion farm deal and talk about drama hbo go crashes during game of throwns and thea who may be pursuing regional programming. The biggest loser was the nasdaq. 2. 6 drop. Led by all of those names before the bell on friday, cr are amer warned you the selling was not over. That is a dichotomy that people at home need to worry about. The insiders need to have a price that they wont go. I was, i mean, you are pretty good. But that was really good. You saved people a lot of pain on friday. That was a nice lift. The list was false because there is a lot of funds that are on the wrong side of the trade. I think we should never invest in irony. It was something to have a caesar chicken wrap on my shoulder and a pizza on my other shoulder. What happened friday is the beginning of liquidation. It started earlier in the week. There are funds that are down a lot in selling. Check the headlines of stories. Go to Yahoo Finance and you will see sale after sale after sale. The market cant handle it. There is not enough cash rep. As i pointed out a number of times. The pain was a lot worse than you would see with some of those decli declines. Among some of the big funds investing in the stocks. Has been worse. One wonders how that will continue to play itself out. Maybe it is done, jimmy dont know. It is important if it is liquidation we wont know. It is entirely possible that we get to some level where actual biers come in. We were not on that level on friday. Netflix, yelp and in tell. It held up. Look at enc it gave up nothing. Traditional old line tech. The stocks that we had to warn about. The fundamentals are fine. Just got over valued versus where people wanted to sell it. Those are two out of three you have to watch. A lot of upgrades on the street this morning. They out perform saying the recent sell off has created a buying opportunity. Also Pacific Crest upping intell to out perform. Under armor upsell coa. Is this a function of getting cheap enough . There was a note today golden buying opportunity in enterprise so software and it has the hit list. This was the april massacre. Workday, fire eye, net sweep. All good companies, lets see whether this along with the issues that you had could cause things to stablize. In the meantime Procter Gamble could raise its dividend. Warren buffet likes it. When you read that he is not just bad luck, he has lost his game, lost his alpha ability. I think this is a procter market right now. The one thing that could scare the shorts is that one of their favorite names to short got a take over bid this weekend. Mallen croft. I recommended quest to mad money and i was hit by a word that aetna wasnt going to support it for the syndrome and this was a name that people told me was the equivalent of autonomy. That could scare some of the shorts. And bet against the workday and concur. Lets talk about some of these deals. Maybe well call it a merger monday. We had that deal on the pharmaceutical side. 5. 2 billion or so in cash and stock. Well, it was at the time 86 and up. It will be worth the deal. Giving credit to a lucrative ms drug and 30 a share point. Questioning the actual chemical make up of the ingredients in the gel which is one of their key for that is their key really. Right. So they have a 20 plus percent shortage that being quest core but what is a more important theme here that we continue to talk about playing out time and again is tax in versions. It is an Irish Corporation for tax purposes. It is the st. Louis corporation in the real world. There are two worlds. They do not have that kind of a tax jurisdiction. When you are in specialty pharma you need to pursue a tax in version on your own to be able to compete you want to in square as many products as you can. And the stock goes higher. This is a drug that was questioned they questioned at 60, 50, and 30. Obviously not questioning it. How many divisions does malencrod have versus citron. Always talking about the indications. It is good people the shorts will say it remains closed. You can assume this was the best they could do. It was 49. 5 of the combined. 50. 5. It was the smaller of the two. Quest core didnt have that irish tax treatment. You cant compete now in specialty pharma in particular. When we talk about these tax treatments. Look at endo they have higher multiples than any of the other companies that do the same types of things that dont have a more favorable type. I thought for sure that perigo did a deal. I thought for sure that perigo would see through it. I put them on mad money and i listed it. I said earnings per share are earnings per share. It worked. It went up dramatically and when i look at what mallincott is doing. Until our government figures this out. If you are a phiser or like any of those names. You more it and try to lower your income as much as you can. You dont need to go to ireland to do that. The cash you makeover sees you cant bring back for acquisition without it being taxed. So, it helps in a lot of different ways. In areas like specialty pharma where you are acquiring a diversified group of drugs. They did a deal all of these hot deals came during that deal. They are making people a lot of money. I remember when it was a great chemical company. Again, the idea that it is a Foreign Company is ridiculous. Orange county Company Getting together. It goes to the point that you made. And the need to do something and yet what are the hopes for that. I remember taking classes at that facility at harvard and it was a rich fantastic company with a rich family. I guess they were irish and i didnt know. Tax attorneys would say they are great americans. What is the point . When we come back this morning millions were treated last night to the new season of hbos game of throwns requesth. Nasdaq is off and more losses today. Stoi. Is she yours . Im not anybodys. That is the season four premier of hbos game of thrones. Looks like there is trouble in the realm. Ive always. They knew steve. He was probably one of the great wrestlers of alltime. They said steves kid came out great. Come on. Steve cant be. Yeah, i mean his son and its a remarkable show. It is one of the most successful shows of alltime. It is charging people 14 a month for the privilege. That is not an in significant sum. The yahoo news is going over the top. We are getting ready as are the content providers. Every day we get closer and closer to that world. People have the Video Service and the broadband coming into their home. There are so many Different Things happening. A content that needs to be produced for the companies that want to get involved in servicing their subscribers. I heard this is for youtube. Makers is an interesting company. Many people wanted to own this property and it is the plum because people want to do shorts, they want to do he did an interesting deal with dish. It was complicated in a sense but creating an over the top product that dish can offer two people. Brings to mind the numbers for captain america winter soldier. 96 million that is the best opening of the year so far. They have done aventhers and iron man 3. The top grossing films each year. Bob has been on the show a couple of times and one of the things that we talk about is the brands. What has he done . He has created a Procter Gamble of the movies. They have these billion dollar brands and is there any idea that we wont see the star wars . Their slate is built until the end of 2028. There is no need to experiment. You have held and shoulders. Why do you have to do shoulders and heads . Right. When will they start opening movies over the top at the same time as the screen. Some guys are in the drivers seat and david car. That article was about comcast. Powerful about playing off of jim securitewarts article. Not just a cable company. He tipically does. Just throwing that out there. Correction. That guy, i know he doesnt. That guy . He is like one of the four top journalists. I dont think so. Wow, i think that is called difference of opinion. We can. We can. Ill go up against him anytime on all fronts. I have read him for 30 years. I dont see david coming on our air no matter what. Well get cramers mad dash as we count down to the opening bell. Looking at futures here. Looks like we might see a continuation from friday straight ahead. [ girl ] my mom, she makes underwater fans that are powered by the moon. She can print amazing things, right from her computer. [ whirring ] [ train whistle blows ] she makes trains that are friends with trees. My mom works at ge. My mom works at ge. Beautiful day in baltimore where most people probably know that geico could save them money on car insurance, right . You see the thing is geico, well, could help them save on boat insurance too. Hey okay. Im ready to come in now. Hello . Im trying my best. Seriously, im. Im serious. Request to come ashore. Geico. Saving people money on more than just car insurance. At your ford dealer think . They think about tires. And what theyve been through lately. Polar vortexes, road construction, and gaping potholes. So with all that behind you, you might want to make sure youre safe and in control. Ford technicians are ready to find the right tires for your vehicle. Get up to 120 in mailin rebates on four select tires when you use the Ford Service Credit card at the big tire event. See what the ford experts think about your tires. At your ford dealer. Good morning 7 minutes to go here before the opening bell p. But lets talk a little bit of alcoa. They have done a remarkable job from here. This is what is important. Deutsche bank downgraded the stock here. Youve gone double stupid. Wait to see the quarter. Any stock that has gone up 60 is vulnerable. How do they avoid being vulnerable with that move up . They cant be. The only thing, this is just exactly the wrong time. I have talked about this downgrade with people in alcoa and we were shocked that he took it down so low at the time that alcoa is beginning to get pricing now that the rules have changed. Remember they have both downstream and up stream. You have made fun of me for being a backer of al coa. This is important, goldman finally comes out and likes the airlines. They initiate american air with the fine. That could be a bad sign. What you are seeing is, thank you these are cabitulations. You cant say that guy got it wrong. Where they have come in. But these are real world stocks and it is not the real everybody tries to get that return are. Ive never seen that before. It is a first on cnbc. You can be sure where the stock is going. Infinity and beyond. That was one of my friends from high school wrote that line. Alex, okay. All right. Here is the thing. These are still not that cohort of fireeyes someone saying buy them. I have been picking on them because im a means, because ive been using the stock that is over valued but a lot of people feel has good security. Watch american and watch alcoah. I want to wait until wednesday. It is not going to be so good that you are going to want to buy it. Jim is going to want to get to the b stocks after the bell. And then well do some ds. We have the opening bell four minute as way. Stay with us. Salesperson 1 the real deal is the passat tdi clean diesel gets up to 795 highway miles per tank. Salesperson 2 actually, were throwing in a 1,000 fuel reward card. Weve never done that. Thats why theres never been a better time to buy a passat tdi clean diesel. Husband so its like two deals in one . Salesperson 2 exactly. Avo during the first ever volkswagen tdi clean diesel event, get a great deal on a passat tdi, that gets up to 795 highway miles per tank. And get a 1,000 fuel reward card. Its like two deals in one. Hurry in and get a 1,000 fuel reward card and 0. 9 apr for 60 months on tdi models. Became big business overnight . Like, really big. Then expanded . Or their new product tanked . Or not . What if they embrace new technology instead . Imagine a companys future with the future of trading. Company profile. A Research Tool on thinkorswim. From td ameritrade. Later in the week with Family Dollar and jp morgan. Earnings expectations for the quarter not all that impressive and i think that helps if you are trying to figure out whether you can get into something. You tend not to get hurt. So dont look to any earnings. That is one of the problems. I think one of the problems that the momentum investor has right now. There are no data points that are going to change. It is not like they are Procter Gamble. Yeah. They admitted to adding that engine sound. If you have driven a tesla you would know the sound. I hear nothing. How is that . Lets get the opening bell here out of the way. Kicking off the week. Here is the big board. The independent petroleum assessment. Etrade financial doing the honors. Man, what a couple of days. Talking about p the saabout the of water flow. Is there irony between schwab writing a critical letter. And the stories keep getting more complex and you know i think there is a lot of finger pointing. And the story is amazing. No one seemed to carat all. That was a fabulous interview you guy s did. Senator kaufman was speaking about this loudly. Senator kaufman was a combination of 60 minutes. You are right. One senator not as important as one writer. He said was happening. And by the way, there have been other books written about it as well. He referred to that in his column. I remember him calling me saying will you please look into this. I remember people who were my friends and they agreed that it is true and happening and it is a tax on the system. They say the same thing how are we supposed to make money. How are we supposed to make money . I guess you are supposed to come back and say not that way. The exchanges have always been a challenge for profit. But senator kaufman spoke, it was kind of like how did this happen that it was something that i used to put him on all the time. We were like why are we having more impact. The answer is we are on a Business Network and we were unable to get it going to main stream. You cross over to broadcast and you have a book written by a compelling writer and you have a hero. And that blew out everything. So it looks like times are changing. They may. Well see what develops from the fact that it seems to be a real marker on this road. This could be put away in a drawer. I found a piece that i did in 2009. It is so ridiculous they run ahead of you. Where is the sec, where is the justice department. My nephew said, remember when we said stop talking about this already because you are boring people . We have to move on. Lets move on. Watch hsld today. The lands end split being official and they are carving out the best for his own sha shareholders. He is going to try and get what he can out of it. But what are you left with . Part of the that becomes the question mark for what is left. Sears out so and then craftsman. What are you left with. A place that you and i would never shop at. As you know it is typical to have double digit declines. Going to out perform a price target of 4. 19. Saying it creates a buying opportunity and they take yelp with a price target. That looks like a Procter Gamble product. They need to stablize. I dont know if they can. The selling was so explosive. Pandora getting an upgrade keeping the 35 target as not in the green. You will be looking for stable says among the upgrades. They have been very good. They upgraded but they derisked it. Is that like be iing filleted . Is yahoo down as well . Like when you get the shrimp . I didnt know they do that. You have to ask for it. You guys mentioned alcoa at the wall. Have we mentioned phizer . It is down 2 . Im glad you tried to say it. Apparently the mid point on the trial perhaps was a bit better than what showed at the end point. It is still positive. We are talking about a Breast Cancer drug that doubled the amount of time patients live without worsening the progression of the disease. The actual old line pharma had been doing well. I wouldnt be surprised if they have this nice franchise going and it represents a stock and it fits the parameters of what is working as opposed to what is not working. It is not working today. Some disappoint given what appear to be better results. This is a phase two trial by the way. Phase two is so far away from approval. You are along way away from an nda. A lot of main stream play this morning. Doubling to 20 months the time that an advance tumor does not progress or grow. That is a mistake to sell that stock. It has done well and phizer has a lot of things that are doing well right now. There are a lot of people that want to make a stand and i say, i had a fellow by the name of david crane on. Hes the ceo of a large company. Probab probably the most forward looking. They say you ought to look at solar city. It represents the way to have a panel on your roof rather than have first solar on tonight. They are the ones you think of. You have the vast array of panels. I want to watch solar city too. That stock has corrected that is another name that people have given up on. Lets see if that can hold. You watch gm down about 2 3 of a percent. Starting those ignition repairs today. They met with ken feinberg and start to decide who is going to get paid or not. Based on a ledgely false information over the years. Nobody has their bonus called back. I will say this, there have been a lot of lists put out in the last 48 hours. My travel trust owns gm. I heard that gm is the most over owned. I think gm is very in expensive. But if it has that much of a hedge Fund Following it wouldnt last. Look at stocks like under armor. It is not going up. The liquidation continues here. It does appear to. So call eed draw downs. It is not a period where hedge funds have redemptions. Im not talking about redemptions at the fund. Doing poorly right now. We are not in a period where the windows open. Where they are like look i dont see a lot of funds have a First Quarter window in the time that people are not going to pull on a downside. Those who are shooting against the hedge funds, save it for the quarter. If that is your game you are shooting against a non wounded tiger. Maybe a sleeping tiger. Maybe a crouching tiger. Hidden dragon. Thank you for buying into one of my analogies. One of my literary and cinematological . The issue is about the nasdaq and some of the momentum names here. Throughout the morning futures were weaker than the s p 500 futures. That is a bit of concern that we have here. Look at the whole week. We were down last week 1. 7 . The s p 500 is down 0. 4 . You can see in the last two or three days. You can see that drop down. The nasdaq and the weakness that is there. The problem is pretty simple. If we dont have t