Transcripts For KWWL Mad Money 20160206 : vimarsana.com

KWWL Mad Money February 6, 2016

Over fist, theyre simply techies that nobody wants at the moment but the bottom line is, that will change when these high Growth Stocks represent better values with stronger shareholders. Until then they are falling knives and unless youre a buescher block, id stay away from the kitchen until gravity runs its course. Lets go to phil in new york. Phil booyah, cramer. Booyah, phil. Whats on your mind. Ive been investing for eight years. Where do you see apple within a few years and can that become another win without steve jobs . Thats an interesting question. Its a rim without steve jobs. Its got tim cook. Apple is a tech stock. If you noticed it, it held up better than most tech stocks. Why . Its selling at a much lower price earnings multiple. Going to get a new iterations of an apple phone later this year. You hold on apple. You made a great investment. Dont trade it. Own it. Larry in massachusetts. Larry. Jim, youve been as strong this week as cam newtons arm. Safe trip home. In light of your great segments on coach and brunswick but with the cowan downgrade on all things upscale. Im trying to defend Restoration Hardware or wait for an updraft and move into something more mainstream like mast masco and stanley. What are the good things to analyze to decide whether the rich will remodel their homes . Theres one in San Francisco at a new pier. Its not as inexpensive as it used to be. Thank you for the kind comment. I will tell you this. Stanley works is what my travel trust owns. Got to buy the ones that have been put through the mill and were in a ferocious bear market. Be careful. Have no fear, this, too, shall pass. Last night in San Francisco so why not make it down. Ive got a lineup for the record books. Find be out what mark fields believes the future holds for the iconic automaker. Under armour snags one of the biggest stars of the year and whether cam newton will walk off levi field a winner this sunday. The prices available for the big game will set you back 20 gs. Im talking with the ceo behind the business. Stay with cramer announcer dont miss a second of mad money. Follow jimcramer on twitter. Have a question madtweets. Send him an email at 1800793cnbc. cell phone rings where are you . Well the squirrels are back in the attic. Mom . Your dad wont call an exterminator. Can i call you back, mom . He says its personal this time. If youre a mom, you call at the worst time. Its what you do. If you want to save fifteen percent or more on Car Insurance, you switch to geico. Its what you do. Where are you . Its very loud there. Are you taking a zumba class . Theres a more enjoyable way to get your fiber. Try phillips fiber good gummies plus energy support. Its a new fiber supplement that helps support regularity and includes b vitamins to help convert food to energy. Mmmmm, these are good nice work, phillips the tasty side of fiber, from phillips. Take one of those pillows and take a big smell. They smell really fresh really . No way downy . Downy fabric conditioner give us a week, and well change your bed forever. Want more freshness . Add new downy fresh protect. Janet . Cough if you can hear me. Dont even think about it. I took mucinex dm for my phlegmy cough. Yeah. But what about mike . It works on his cough too. Cough it works on his cough too. Mucinex dm relieves wet and dry coughs for 12 hours. Lets end this. Ive been on my feel all day. Im bushed yea me too. Excuse me. Coming through ride the gel wave of comfort with dr. Scholls massaging gel insoles. Theyre proven to give you comfort. Which helps you feel more energized. All day long. I want what he has. politely wait, wait, wait you cant put it in like that. You have to rinse it first. Thats bakedon alfredo. Bakedon . Its never gonna work. Dish issues . Trust your dishwasher with cascade platinum. It powers. Through. Your toughest stuckon food. Better than finish. A wonderful new world of fords. Since the first model t rolled off the assembly line, ford h been moving america forward. Futures become unclear. Can design, Digital Initiatives and pure unbridled horsepower get ford back in front of the pack . Is it possible that the automobile business is doing better than the conventional wisdom would have you believe . Investors fear that the industry can be peaky. Its a curious disconnect now. What smacks more, recession or fantasy. I dont know which. You know im determined to find out for you. I think the best way to learn is to talk to the straight shooting ceo of ford motor company. Its a pretty darn good fixed income equivalent. I think mark fields, the president and ceo of ford can give us insight into what the heck is going on with ford, ford important all the tow industry. Thank you for coming on. I appreciate it. You declared a special dividend. Fixed income equivalent of roughly 7 . Your Balance Sheet is amazing. Selling at five times earnings. What am i missing . You know, we we when you look at the data, we do think were undervalued. We think that the people are underestimating the u. S. Industry. Underestimating our improvement, our international operations, product lineup. Were going to stay really focused. Were going to focus on growth, were going to focus on derisking the business and were going to focus on rewarding our shareholders. That drives value. Ive got your january numbers in china. 130,000 . Y s. Best ever. Ever. Up 36 . Not china. U. S. We know is frankly unbelievable. Europe, i was very worried about it two years ago. You told me, dont worry, going to come together. Came together. Latin america. Latin america, its hard to imagine 295 million. Its hard to believe that could be the driver to wreck everything else. When you look at our results for the Fourth Quarter were profitable in our operations. South america is a political issue, economic issue, commodity issue. Were committed there. Weve been there for over 80, 90 years. Commodity based economy. It will eventually come back. Its tough. When you look at the rest of our business, youre back to profitability. China now, a significant contributor to our earnings and north america continuing to be rock solid for us. Were always looking for down side risk and were looking at it through clear colored a fellow from deutsch bank. Ford is not addressing current or other challenges. Ford management has come across as disconnected from the markets fears. What do you say to that . Were just going to layayut the facts. If you look at the fear right now, has the u. S. Peaked . The next couple years can be pretty good. Jobs and wages are growing. Energy costs are down. Inflation is low. Interest rates are low. That puts a lot of spending in consumers hands. When you marry that with what we call the physicals in the industry, the oldest that the car park has ever been. In any given year 80 of the industry is replacement value. You add on top of that, housing recovering. Not anywhere near prerecession levels. Thats important for the truck sales. Were looking at the data. Im struck, too. I see the f150 numbers. I know you guys make a ton of money on that. Thats not peeking that i can tell. Absolutely not. Were going from strength to strength. When you look at the average age ofof pickup truck in the united states, 50 of them are 10 years or older and 25 of them are 15 years or older. You combine that with the better gas mileage and the housing still coming back, thats the biggest correlation in pickup trails, the housing market. We think barring any fiscal or economic shock the u. S. Market will do well. Were continuing to watch consumer confidence. Lets face it, consumers are being bombarded with the world is falling, are we going to fall into recession . We think the fundamentals here and the u. S. Are very good. The fed were to raise rates a couple times this year . Well, our view is, listen, means the economy is doing well. If they do it gradually over time, we think thats not going to be an issue. If they do it, you know, rapidly and in large ste, that could be an issue. Well, a struggle esoterically this week. People arent buying cars like they used to. Big drop in the number of licenses. Got to be a worrisome millennial trend. Were looking at that data. Its true. Millennials are waiting to get their drivers licenses. When i turned 15 i was down at the dmv getting my permit. You made e n of the guys, whats the matter, whats the matter . Exactly. In terms of what does it mean for the market . Its too early to tell. There could be a more efficient use of the car park, true. You could also say there will be more vehicle miles traveled because the accessibility to having mobility with it there more, people will want it more. That could be good for the look, you can just keep on returning it. You can turn the Balance Sheet. You survived the great recessssn. Youre in the best position from spending that was misdirected. You buy your stock back, keep raising the dividends . Well, listen, everything continues to be on the table. This year we elected in the last two years or so weve gone back to our shareholders 6 billion. This year we decided to have a supplemental dividend because that benefits all our shareholders. Thats important given the very large and Diverse Shareholder base we have. Theres a time to be rational. Thats mark fields, the president and ceo of the ford motor company. Answered a lot of questions ure trying to figure out and so am i. Stay with cramer. Coming up, under armour athlete cam newton with a bold guarantee. Nextxtear, year after thatat will be putting myself in the ranking. Ive got my end. Have you got your end . Right here. Relationship with the super bowl quarterback just ahead. 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Its hard to be an athlete and not be aspirational. The best thing about our brand, now its time to perform. It started with a more technological tshirt and has grown to include apps, equipment, and some of the biggest sports stars today. Can underarmor stay ahead of the competition in the war of wearables and beyond. On a day when so many high flying Growth Stocks just got pummeled, lets talk about a goododne. Under armour. The digital wellness company. We know isoing incredibly well. Remember, ter months of the retail market, under armour reported a truly magnificent quarter. Its been crushed since then. Earlier today we got a chance to catch up with kevin flag, the ultimate competitive chairman, founder and ceo of under armour. Take a look. The year of the champions, kevin. How did you identify who were going to be the champions before they were champs . Thats beethe number one question weve gotten. It comes back to culture. Missy copeland, tom brady, now cam newton, carey price in the nhl, bryce harper in baseball. Under armour has an incredible lineup. This has to be one of the most banner years in sports marketing. I start because isnt that some of ththsecret sauce how youou dont have to worry about it was 72 degrees, you dont have to worry about the right clothes. True. Its about ethos, its about being human . Its about youve got to produce. I mean, our competitors, theyre shooting three, four commercials and picking the one they like best after they go ahead and they focus group, look at it. Weve got one shot and the shot better be right. Im not saying its right all the time. Weve missed. Weve certainly done that. You know, one of my favorite quotes is the harder we practiti, the luckier we getet. You know, well keep working on it. The athletes have a lot to do with it. There are some great stories. Give me some cam. Give msome cam. And we know him as a like what you u ach us. Right. Which is humility. Right. And hunger. Right. Even though hes in the big game. Let me tell people about cam. If the real cam newton happens, people get the true perspective. This is a guy every summer, he comes and trains and works out with the trainer. He comes to baltimore, he works at saga more house retreat farm. This year he brought all of the carolina panthers. January they lost a playoff game and after that happened he called h trainer, nate, he said, nate, i need you to come train me. What are you talking about . You had 18 weeks, 19 week nfl season you have to go rest your body. No, he goes, go rest. Cam said, no, m not going to rest. He said, i want to train for the next three weeks so that my body knows what it feels like to play through a super bowl victory. Like you talk about a champion or a winner. You know, this guy doesnt cam is like he is like he is hes an exciting athlete. Hes kind of you . Hes well, i dont know. Hes got a big small and hes tall. They love him. A lot of personalaly. Lets talk about the company because one of the things that ive seen from the time we met, i said you were a talent company, then a Technology Company that sells apparel. Now i think youre a Transformational Company about health and wellness that happens to be digitized technology. I dont know, i think our story youll see me always say, dont forget to sell shirts and shoes. In red ink in the middle of my office. Reminds me every day. Some of our story about connected fitness might have gotten people worried about it, are you still selling shirt and shoes. Were lucky to have this business and still growing at a 31 rate last quarter, 28 for the full year, 25th consecutive quarter 25 apparel growth, 23rd line growth. 95 growow in footwear. Like every indicator from our womens apparel to our mens apparel to our youth, everything is up from our international growth. We grew over 80 the last two years. We are a Growth Company and within that were absolutely we are a Technology Company. Were coming strong from changing the way athletes dress to now focusing beyond that we dont want to be a cool logo to changing the way athletes live. Of course, our definitioioand aperture of what athlete is, that definition continues to grow and expand every day. We have an intersection thats a strange thing. Youre a winner. All high Growth Stocks are losers. How do you train people not to focus day to day on a stock price that may not be indicative of how youre doing . Its controlling the controllable. Celebrate our tenththear as a Public Company november last year. 30 average top line growth. 30 bottom line growth. Winning is a culture. All we can do is point to that. Out about us in the middle of last quarter. Right. Youre in a quiet period. Do what i do. Youre part of being in a Public Company and you bite your lip and you wait and say, you wait till they see what we look like now. Right. Were very proud of the company. Were very proud of the results but, you know, youre also human. Yo you are realistic. That streak of 20 plus percent top line growth is somebody asks you, how long do you think you can keep it going for . We dont think in terms of when is it going to end. That is really important. Question, can you believe what happened . Can you believe where you are . We never believed it couldnt happen. Why does it ever have to end . Why cant we keep going . We look at our team the same way. The expectation isnt us competing against someone else in our existstg space, we want to be prepared sitting out here in silicon valley. What is it going to be if the silicon valleys started making apparel, before they start making footwear. Before they juju in the game were going to jump into technology. Connected fitness is developing, not recognized by wall street. How can you that didnt really in the end were saying he sells shoes which he cant beat niko. He sells clothes that are too warm. We have a Holistic Group of millions of people that identify with under armour bebeuse of connected fitness. Right. Is the story being told right . So a year ago i appeared on your show this month and i told you that we announced these acquisitions. We announced this community of 120 Million People. That would create a math house. Thats a digitization of our company. Werra company like amazozo they credit 40 of their revenue to the recommendation engine. You bought a tube of toothpaste several weeks ago, it takes eight weeks. Would yoyolike us to send you u new tube . They know a customers purchasing habits. Through our math house. We announced over 160 million users. Weweave over 130,000 downloads occurring every single day. That means every eight days were adding another 1 Million People to our community that are voluntarily telling us how much they slept, what activities they did, how hard they did it, how many steps they took, what they ate with my fitness pal. Again, last year alone we had over 2 billion exercises booked into our platform and over 8 billion foods. Its the World Largest database of food ever assembled. What are we going to do with this data . First and foremost, we can use it to enrich our consumers lives better. Were understanding, meeting them where they are and building a product that answers customers problems and solves problems for people first and foremost but does it in a way thas informed and not wasting. What youll see from shipping to fishing to the way under armour can create i think we can reinvent what the expectation of a sports brand can be. Entire ecosystem coming. Kevin plank, founder and ceo of stay with cramer. Check this out, bro. Whats that, broheim . I switched to geico and got more. More savinin on Car Insurance . Yeah b bfessor, and more. Like renters insurance. More ways to save. Nice, brotato chip. Thats not all, brotein shake. Geico has motorcycle and rv insurance, too. Oh, thatss lot more. Oh yeah, im all about more, teddy brosevelt. Geico. Expect great savings and a whole lot ore. Ugh heartburn no one burns on my watch try alkaseltzer heartburn reliefchew

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