10 Episode results for "Corona Hard Seltzer"
No, the Corona Virus Did Not Sink Sales of Corona Beer
"Usps increasing so now is the time to say with Sam pro online from Pitney Bowes starting at just four ninety nine a month get a free thirty day trial and a free ten pounds scale when you visit. Pba DOT COM SLASH VW daily From wondering I'm David Brown and this business wars daily on this Tuesday march tenth. Wow It's been a long few weeks as anxiety's been mounting over this corona virus no surprise that the viruses hit many businesses especially those with global supply chains in companies that sell rely on travel. But there's one company hit hard because of branding. Yes you guessed it that would be corona the maker of beer and hard seltzer. It's sales slowed tremendously because many Americans. It seems are confused about the association between the beer and the virus. Oh Com on. They are not the last couple of weeks. Misleading story went viral. It implied that Americans are so dumb. That many of us believe the beer can cause the virus that message spread by a certain less than honest public relations firm seemed to indicate that sixteen percent of us are confused about the relationship between corona the beer and corona the disease. That's killing people. It also implied that Krona's beer sales had fallen because of the virus. The story was so convincing that many major news outlets picked it up including CNN. The New York Post and vice among others not surprisingly twitter went Gaga over this story. None of it's true. Let's talk for a minute about the difference between correlation and causation. Shall we correlation means? Two things are happening Ed once but may have little to do with each other causation. Means well okay you get it. This is key to what happened. So a firm called Five W. P. R. published a poll of more than seven hundred Americans. That poll asked questions about the corona virus and about corona the brand one of the findings. According to this firm. Thirty eight percent of those polled said they would not by corona beer under any circumstances now as a writer for the Atlantic noted the PR firm then went on to state without proof. The reason these respondents won't buy corona is because of the virus not so in fact many or even all of those thirty eight percent may not have been corona drinkers to begin with as was reported in the Atlantic. They might not by corona regardless. But that's not how the PR firm chose to sell it in fact that firm trumpeted the so-called finding saying who would want to go into a bar right now in order corona well in in fact corona sales have fallen. That's in part because sales of many beer brands are down in China at a time. When beer sales usually climb we're talking about the lunar brew year a New Year Abn Bev which distributes corona outside of the US forecast day ten percent decline in sales in China because people are staying home. That's according to the fact. Checking website slopes so that particular sales declined does appear to be a corona virus effect. Just not related to the name of corona beer. What got much less play as a statement from Constellation brands which distributes corona inside the US in America Constellation said. Sales grew five percent in the four weeks that ended February sixteenth. That's double the sales trend for the last year. Snoops reported constellation clearly felt it was necessary to correct the wild misconceptions in a press. Release the firm stated that its customers quoting here understand. There's no link between the virus in our business. Exactly giving constellation brands even more headaches. However was the unfortunate coincidence between its long planned on brand marketing campaign for hard seltzer and the growth of corona virus. Constellation is spending forty million dollars on a marketing campaign to launch. Its New Corona Hard Seltzer in North America according to industry publication food dive. It's slogan coming ashore soon. The new campaign coincided with the first big warnings that corona virus was coming ashore to countries outside China including the US. Twitter of course reacted with many complaining. That coronas campaign was in bad taste. The hard seltzer market is booming however rival white clawed did one and a half billion dollars in hard seltzer sales last year according to CNBC and Constellation is sticking with its campaign but we bet that it's marketing folks have taken more than their fair share of headache medicine. Really as the corona virus panicked continues be on the lookout knock just for symptoms of the virus for symptoms of viral stories which may not be everything they claim to be from wondering. This is business wars daily. Hey listen if you like our show. Take a second subscribe that way. You won't miss a single episode. Thanks so much for listening. I'm David Brown. We'll be back with you. Biz episode business. 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Coronas hard seltzer, Ubers new Work app, and Square processes CBD payments
"Jammed this is snacks daily this Friday before I got good news and bad news. The good news markets rose yester- bad news the bad news it was because the economy is looking so bad analysts expect the Fed to cut interest mortgage news. This is the best snacks daily up that we've ever put together and even more good news. We got three grand story stories wonderful mix blitzer number. One Square is a payment processor. It's going to start working with CBD shops so you can get your mother-in-law that cbd cream she asked for. It's a weird gift but the candidates industry is inching toward legality with new law. That just got passed. The law is called these safe banking. Ask second-story. Jack Corona is owned by a company called Constellation Brands. Just just announced its earnings report. The stock fell six percent but it's Japan into Spike Seltzer in corona away. WHO's is snacks daily jumping into who is doing spikes the third and final all story UBER. It pretty much invented the GIG economy now. It's going back to its roots of new purely GIG ECONOMY APP but before are we get into all that. We know what you're thinking. What you got to have a plan. Everyone needs plan experiences by AIRBNB. We've told you about him a couple times but it's taking things to the next level. He's got freaky freaky. Jack and I heard about this. We jumped in snack though it technically book anything. What are we got going on. AIRBNB has animal experience. Let's give you a quick example means. You can take your on vacation. It actually means nothing like that but you could do that. You're totally free to AIRBNB has a bunch of curated experiences that you can go on such as a tea party with sheep sheep in London's thing costs forty-one bucks and like got five stars so you're not booking airbnb place to say your booking a trip to have tea with sheep. Let's say the land isn't your thing and you're more four of the water type paddle boarding with Mr beaches the Corgi okay so we heard this really who's GonNa be spending their vacation at Fort Lauderdale. Doing this apparently two hundred and eighty four people who left reviews news yeah pretty good reviews because you stand up pal and a little dog a very well trained down to likes the water. We stand on the front of the board. Now Corey's can do anything but the third one we found was like this is when you want to get out there because the first two were domestic animal a dog other kind of cool the last one is a wild animal you can go play with Arctic foxes in ice and this isn't a small thing not only you gotta get to Iceland. This is a nine hour excursion with like only a couple of other. I hope bear grylls is the leader of that explode do anything with grills even if it involved that tea party with sheep daily. Lots of rain food is Candy Candy. They don't reflect the views of her family is still informational just so get not recommending any securities. It's not a research report or investment advice uproar sale of security digestive business music video. LLC members SIPC happy see jared sitting here wondering for like years who is going to do with the Uber for staffing. It's a it's a need. That's that's GONNA be Hoover. It's it's going to be doing this. Uber just came out with Uber War right because you know there's already Uber Rights Uber Uber Freight and now there's Uber War for rounding out the Brady Bunch here. It's for temp workers to find work and the most famous corker ever. Are You thinking Ryan Howard Ryan. How high now from the author makes a lot of Thunder Mifflin. Now Uber's got a situation going on right. It's Got Prophet. It's in search of a prophet puppy. Uber had an insanely huge loss last and it needs to find a business line. That's actually going to deliver profits in the short term Uber Rides ubereats. It's too like biggest businesses. They're not bringing enough revenue to cover the cost that means they're not profitable and if this new California California law that requires them to treat drivers as employees goes mainstream. We mentioned this one like a month ago. Profitability will get even worse for Uber's Corbis because they're going to have to start paying for benefits and other things that employees get gig workers now. Uber is basically trying out a new bit so if you're uber here's the situation you just IPO. You're basically like a former college student. Who just graduated yeah. You don't know what to do with their skills are trying things out. Maybe a little delivery do little taxi work at the family business and some money but you're a covering your rent. You got to figure things out if only Uber had a better guidance counselor and that's why they're focusing on a new area that they think could become a prophet puppy. It's is called Uber Works and it's pairing temporary workers with businesses that need temporary work purest form version of the UBER APP. I downloaded downloaded uber was jumped in snacks in the APP store. It only nine reviews a ridiculously small number for something you've old disclosure jacks like side housing. There's a painter now these days so if you are thinking about downloading the APP. It's going to walk you through. It's GonNa try to sell you on it. Yeah you can find work opportunities that fit your schedule and fit your skills skill Jack. This is incredible. Tell us more about and then. It's got three images to like help you. Imagine what you might do what you're seeing here. What do you got a man moving chairs. At an event sounds exciting. You got a woman boxing things. In some generic wear sounds hard but nice wear and then he got a guy cleaning dishes with rubber gloves on smiling or you don't see faces. Actually they're all vaguely smiling okay. That's their like working. Happy happy like rods like Uber Rides. An Algorithm is going to set the wage based on supply and demand so let's say it's holiday time and not many workers are are available. The prices are gonNA. Go Up to attract them into doing your Gig work prices of course being dollars per hour you get so there's GonNa be surged pricing. You can make some money now. Even though this is like a new thing for Uber it's not a new thing overall. Yes fiber and up work or both publicly traded companies that do freelance work. Freelance is kind of just the more professional national version of Gig work but here's the APP. That's making it possible to connect someone with the need with the someone willing to do. The war starts Chicago as of yesterday now. I'm a little freaked down here because I know what you're think after each Gig Gye know what you're thinking. You're going to get rate. You're going to get get five stars on an Uber Ride. You can't five star rating a funny way. Jack and I also get rated. We dare every day by the way if you WANNA drop five stars to rate this podcast. You're more than welcome to we would love it in the meantime Jack. What is the takeaway for our buddies overdue but this this could avoid Uber's whole independent contractor problem ever that California Law that Jack just mentioned that's about how they're going to treat drivers as employees potential. It's going to raise as costs for workers by like thirty percent over but a core element for that for Uber is at its core business happens to be drivers yes and that is the the test of the California Cornea Law for Uber Uber's entering a new space. It's now the pure pure middleman. It's not just about tax. Remember that test. If it's the core business then we have to treat them like employees. No one's going to say that catering the wedding or painting the House or whatever happens on UBER IS UBER core won't have to treat those workers as result as employees were just takes a fee from the business that signs up and it's nice and clean up potential profit puppy for second-story liquor legend Constellation Brands. It's doctors doctors fell six percent but it's getting into Corona Seltzer which we're calling corona sprint. He's wanting to say that for so long because legend it is not just a liquor company. No A vice company. It's such a vice coming they own corona which by the way is like ninety nine point nine percent gluten for your hedging yourself off there. I noticed with there's a smidge of gluten gluten but it's basically gluten free bears this thing and it's delicious own. Robert Mondavi Wines Yep Robert Mandavi is an Italian American legend who put Napa Valley Vineyards on the act saying that because he's part of their wine club and they own high West whiskey in. They've got balanced point beer in they've got PACIFICA. Africa Constellation is a full liquor cabinet now. Everyone you know only heard this earnings. It seemed like the company was doing pretty. Well beer sales rose by seven percent last quarter now before okay overall sales sales were up two percent from last year but one situation here just like you can invest in stocks companies can invest in stocks and Constellation bought four billion dollars of the stock of canopy growth which is a cannabis come. It's the world's biggest cannabis company one problem that investment just lost one point three billion dollars last quarter as S. canopy stock dropped yet canopy stock dropped from forty eight sixty when constellation bought four billion of the shares to thirty six forty five what they are now. The core business of constellations insulation is profitable and doing well but overall had a loss because of that Downer canopy investment so that's why the stock fell six percent but that's not what we're focused on. We're focused stone forwards forwards ready. Corona branded hard cells. Let that sink in. It's coming. What are you doing with the lime in that situation. I think you put it in. I think you always put it and we also talked about four flare. Get this. Here's the Topical Line my God. That is a terrible idea tropical lime beer seltzer. Yes sounds bad okay. We're GONNA see other. Flavors are mango. Cherry blackberry sounds like a hazing opportunities like a sorority so we got a corona alcoholics seltzer coming and that's because of the trend alchoholic seltzer sales sales tripled in the past year not a justification to get into tropical wine flavored sparked seltzer but they're doing anyway yeah. I'm concerned about that. Tropical wine flavored again. They may go back to the drawing board on that one Jack. What's the takeaway for our buddies over constellation. You don't just jump into a new alcohol category you strategize and all you do it soup strategically in fact. We noticed three things in this announcement that led us to that. Take away the management said. Spike Seltzer had an impact on our bear franchise. That's the reason why they're getting into this is because has spikes shelters actually taken away from the beer market. Hawker all summer they also said spiked Seltzer as quote unquote here to stay no laws when you're drinking clause and Dan. This is the third and final thing we noticed that was the biggest of them all. They think that these spikes seltzer trend is going from low end to high end so right now. You've got truly and white cloud the low end. We're talking like Bachelor Party here. Constellation thinks it can position itself at the high end of these spiked Seltzer and they said quote unquote. That's where we have the most market share when when you're pricing things a little bit higher and that's they think they can win for our third and final story square the payment processor will start working with sellers. Get the dummies out. This comes after news last month shop ECOMMERCE platformer well. We covered handles all your e commerce. Yep It started letting. CB companies use shop now square saying hey. We know that you're swiping buying that almond milk lot. It's got those little tablets in the little terminal you can stick your credit card and they're very square and they always say. Do you want to tip twenty percent and you're like no because I just bought a bar full disclosure. This is a pro tipping point. Yeah we ask for very much into dipping but what they're saying is hey now. We're going to let CBD selling in companies and shops use our payment processor. We're seeing CBD and cannabis to a lesser extent moving from the black market which is a legal to the white market which is legal in the meantime. They're in like a grey market. There's definitely some shades of lack of clarity on this one for example. CBD has been legalized federally because it comes from hemp and hemp became legal when the farm bill passed Congress earlier this year but here's the problem technically cannabis which is different than him is still illegal federally yes and the result we're. GonNa Shifting to cannabis here the result of federal illegality for cannabis even in states where it's legal. It's illegal for banks to work with cannabis case. He's in point. Let's say you're walking around Berkeley California. Maybe to stopped. You got a nice juicy. Maybe not able there's a cannabis shop on your left. California has legalized cannabis but if you try walk into this candidate shop you're going to be met with a TSA style metal detector and a bunch of warning signs. They're going to see a bunch of warnings say we take cash cash only cash and inside the shop. There's GonNa be a full. I'll just stock full of ATM's because you didn't bring enough cat exactly and that's because it's a federal crime for a bank to be involved in transactions of an illegal nature and this is what's known as anti money laundering laws yes so hemp is legal but cannabis is still federally illegal so banks. Thanks don't want to be involved in any company doing anything even animus even if it's just CBD even if it's in a state where it's been legalized Sir Jack. What's the takeaway if you're a shop just trying to sell some. CD OR CANNABIS LACK of financial services is keeping both industries down. This is the banking bottleneck loans electronic payments bank accounts. Those haven't been available for cannabis company except there is a recent development last month the safe banking act S A F E it was passed by the House and its head to the Senate Eh. If it becomes law it will allow banks to work with cannabis companies that are doing legal business in the state like California where it's been leak and there's about ten states that have done that legalization so that would allow cannabis companies to stop working with Pat and pen cashing cashier and keep all their cash vault with let them join the modern financial in the meantime banking is the bottleneck almac when it comes to cannabis Jack. Can you whip takeaways for us over there uber just rolled out another APP. It's called Uber Work and this APP for temporary could become it's elusive profit puppy constellation. Constellation brands stock tanked on news that its cannabis investment has performed badly but it's Japanese hard with like the Spike Seltzer with Corona Hard Seltzer which is top shelf hearts out the third and final story squares welcoming. CBD companies to its electronic payment universe and it's because cannabis is moving slowly from the black market two shades of gray and banking's the bottleneck time for a snack today this one sent in by our Apron Lovely Schenectady New York. Yes it's connecting New York. Ge Plant home my my grandfather work yeah works at GE and she works in the Wind Power Jenner now are we spent a Lotta time crunching the numbers here. Jack and I had to get an advocate at ti eighty three and three chalkboards double check the stuff so the top offshore wind farm in America is just off the coast of block island. I've seen it Gerald Island very nice player. It produces thirty megawatts of power okay and phone in a year that is two hundred sixty two million kilowatt hours number following you still now an electric vehicle has a tank and it goes about sixty kilowatt kilowatt out. Give or take you know these tanks and each tank goes two hundred forty miles before you have to reach our okay here. We go wind power. Faciliate Block island produces one billion miles sales of energy. I'm following a big number. Got It down her year average lift rat Yup Nick six-mile okay not that far in conclusion. Yes the Wind Empower Facility Awful Block Island Rhode Island of course has one hundred seventy five million lifts of energy per year exactly already knows her favorite unit of measurement on the left laugh. Now that are crushing our we present us your address because we gotta get you a T. Ball. She deserves this teaboy. Not Remember to send us your snack facts robinhood snacks looping with you guys. Thanks for snack and we'll be back with you Monday. Have a great aunt. Wait the Robin Hood snacks podcast. You just heard reflects the opinions of only the host who are associated persons of robinhood financial. LLC and does not reflect the views of robinhood markets inc her any of its subsidiaries or affiliates. The podcast is for informational purposes his only and is not intended to serve as a recommendation to buy or sell any security and is not an offer or sale of a security. The podcast is also not a research report and is not intended to serve as the basis of any investment decision robinhood financial l._l._C. member Finra S._I._P._C.
Unilevers hates virgin-plastic, Harleys e-bike isnt connecting, and Walmart tries to return its ecommerce acquisitions
"This is nick this is Jack and this is snacks daily teaboy Tuesday October eighth or bringing a good one we got three incredible story the job is this the best next day we've ever done the best one yet we're kicking it off with Unilever which is an enormous European company that's going aggressively Green Ben and Jerry odd from Iowa it's probably a big farm in India where Human Rights Workers Rights and environment could be questionable at best so it's very important you'll ever does this in south of the bubbles according to Mike McGuire and then we had Tony Harris jump in and say you know what let's go a little partnership ish with Clara that was nine years ago it even publishing a full list of farmers it sources from so it's like Hey Todd Iowa this guy is good to actually not really shaded against White Claw Very Lovely Nicky this is my personal favourite une Basic Beach Jack you're skewing the poll already but we're down to do that now signed meantime though you'll ever has been busy by up some interesting Vermont companies including like two leaders over there Ethan Allen's finest seventh generation based in Burlington Vermont Ben Celts like Teen Spirit from Jesse Jesse that's fantastic also runner up from Jesse Corona Matata love that so this alcoholic Seltzer from Krona's should be called companies and now it's asking about the return policy because it doesn't want them anymore the first victim here but Novo's Khakis always the case but let's get right to Hashtag t four sustainability was cool this was before millennial dollars like flowing into US III bows that were like sustainably sourced from somewhere where you knew the berries name classic business boy Tuesday which is now thank you Jack for kicking off we noticed last week on snacks that corona was releasing heart Seltzer and the name really boring name Renews Unilever it's got health beauty cleaning brands loads of brand at some point in your life you've had like Unilever all up in you and around you you know what I'm thinking Jack Right Oh case study anybody ever Michigan Ross knows what I'm talking about back in twenty ten unil- ever made a pledge that one hundred percent of its t was going to be sustainably sourced by twenty wants to go green and interesting electric bike that just isn't working we're looking at why people aren't that into you right now third and final story Walmart bought a bunch of economy each this is on basic beach go to add robin attacks on twitter and vote for WHO's GonNa win winner gets a t shirt coronas marketing department doesn't get it for our first store Unilever's go and even more all in unsustainability with like this aggressive anti plastic pledge one of Europe's most valuable in the meantime let's head teaboy Tuesday daily we gotta get some rain food is Candy Evers also anglo-dutch whatever that means they got to headquarters London and Rotterdam we're looking at this for just more like make up your mind so let me tell you about Unilever it has been sustainable so fuels but ultimately ends up in a landfill not good for the environment you deliver is the number eight largest producer of plastic in the world hands dance behind seven unilab sustainability can actually boost profits neck here on snacks daily we chatted with all of you earlier this year about the purpose of a corporation being revived I earlier this year it's not just about profits anymore that's not the number one concern there's also consideration to sustainability and a bunch of other good things about me varies based in Waterbury Vermont both blondel ever now to kind of an issue here they're still producing a ridiculous amount of plastic and plastic comes from petrochemicals stock and classic still but the Non Virgin stuff I e the recycled stuff the stuff that was already used for something else in the past meanwhile Unilever's American competitor is the family still informational just so we're not recommending any security it's not a research report or investment advice reporting this thing and we said you know what smackers can do a lot better and they did what did you guys send it they came out with four a bunch of great ideas actually the top four for twitter poll today the first wchs bodies Bray Unilever boom lifted ice tea you're probably haven't had in college and then Ser Kensington Mayo because you got out of college and you're like hey I got to have a little organic on my sandwiches corona hard seltzer yeah that was pretty creative way better on this kind of its battling Yan's truly and white claw and corona heart shelter come ons knackers can do better so jack and I tried Asoka your which if you're trying to visualize like we do one of those things where it's like this is how many trips to the moon that would be but it's just a really big number and since you're levers anglo-dutch we're talking seven hundred thousand ton then go hand in hand and Jerry seventh generation it's T- brands sustainability branding is like baked into these things while Patagonia's like hey guys I'm on you very true now the great thing Harley Davidson is going forward its core customers tattoo its logo to their biceps that is the pinnacle of Customer Loyalty Right there but the United States sales have fallen every year since two thousand fourteen it happens once it's a thing if it happens twice it's a coincidence three times it's a trend four times this question because our friends over at Reuters decided to jump in an interview like a bunch of dealerships about a third of them selling this bike and they had a pretty interesting response I love that they got the early scoop because quarterly earnings of humankind very trimmed this electric bike doesn't even have a motor so they created an artificial sound kind of sounds like Adroit in star wars yeah this is straight up tron. Hey Tom Virgin plastic in half by twenty twenty-five they're going to get busy like swap in the plastic for compostable materials maybe they'll get a bunch of insurance doing this like hand on hand then they're also going to use a lot of Anton T. O. N. N. E. S. British Weirdness Jack Kenya whip up now the takeaway but tell me what the big pledge was pledge you'll ever announced yesterday it is going to cut its electric bike it's supposed to be the future bikes supposed to be the green motorcycle Bu- it's not really working at exactly the case Jack Let's go back to five years behind when it comes to sustainability just like they're making the same cut plastic and half pledge but it's only GonNa Happen by twenty thirty guy so jack what's the takeaway for our buddies done it they do they want listeners of snack daily to like by this bike as their first bike nick you said it best this bike looks like a character from the movie transformer exactly last year when Harley Davidson rise to how to problem probably should have realized the problem sooner than last year but two thousand fourteen harleys had a problem in its biggest market which is this livewire electric bike it looks awesome I won't lie but the entry level bike for like conventional engine is eight thousand dollars this thing is almost thirty thousand dollars the phone companies one hundred sixteen years old not really resonating with today's young customers so Harley Davidson they got the roundtable said hey how are we going to fix this let's come up with the solution the better place yeah. The implication is that being good and making profits used to be in conflict and maybe now they don't have to be Unilever has proven for years that sustainability and prophets during gambling that is the huge you'll ever equivalent of us it's like destiny's child than you ask compared to Unilever's Spice Girls Jack you always know how to put it and they're a cool this leads us to our next problem which is Jack can you whip up the takeaway for our buddies over at Harley if you don't have a product market fit you don't even have a product Jackie we'll come out and they'll give us the report but they talk directly to the source the motorcycle dealerships and what they found is that all those new young buyers Harley was hoping for they're not offer or sale of a security snacks as digestible business news reduced robinhood financial LLC member FINRA SLASH SIPC launches haven't really been interested in motorcycles and don't plan to be it seems like nick a wwe wrestling event it's not going to sell beer chips with Himalayan salt because there's no product market ninety nine dollars for an electric Harley bike that's as much as tesla you could buy four vespers you can buy thirty acres in the Amazon if you really wanted to have a green impact nailed actually Reuters nailed this best they said that the target market for this product is the quote unquote the young green affluent. First Time Motorcyclists Jack every strategy is a bet and this one didn't have product market fit for a third and final story Walmart is basically firing all of the innovative econ they are two D- Two pre orders for the livewire begin in January so we're gonNA pause and ask ourselves nick how's it going how's the lime wire seller check. I'm glad you asked innovative smaller faster companies let's go to the time I'd in two thousand Sixteen Walmart acquired its ECOMMERCE company jet Dot Com for three point three and million dollars the shopping spree continued the following year Walmart acquired a faux vintage company called MoD cloth which sells you know urban outfitters anthropology type along that trajectory it decided to launch a secretive incubator on the future of retail that it stealthily called Store Number Eight and in store number it launched liberty island no two of them coke and Pepsi are number one and two plastic trash producers in the world and so you deliver pumping out a call seven hundred thousand tons of doing this for years profit puppies because of sustainability yeah we're killing over here in our places for our second story Gable with the theme over here Harley Davidson launched burning cash in a big barrel and then yesterday we found out that Walmart's Bonobos was gonna be firing dozens of employees last week it actually sold bod cloth even came out with like a unique sound because technically it doesn't have an engine it's electric so it doesn't make like the rare rare that you like and that's the thing harleys are the loudest inventions ed I'm not sure that customer exists that's a lot of circles like a big ven diagram lap you're talking about the young environment mm cruise they stole the noise from planes in Topgun actually best comparison if you're crews on the monorail to Epcot Center Disney that this thing sounds like Harley how come this doesn't apology competitor and then in June it actually like folded up jet dot com it's like cool e-commerce purple look thing into its own staff at Walmart new corporate in the product most of the buyers of this product our existing customers that already have Harley and here's the problem if you want to buy this thing you're gonNa have to shell out twenty nine thousand seven hundred email addresses new business cards so jack what is the takeaway for our buddies over at Walmart the war on the unprofitable 's has hit a new frontier and Jack what was the solution they came out with an electric bike called livewire they basically like hey we want to target everyone who listens to snacks daily if they couldn't thrown avocado all over this thing I projects has been so focused on Walmart is cleaning house right now Jack to get our hands on this I think we've got to focus on Walmart sexton the threat Amazon was threatening Walmart's core business so walmart does any big slow uninnovative company does when has money but he's concerned it buys small before because they're spending so much money to acquire new customers it takes a lot of time and warmer is full of old guard old school retail people who just love the prophets of the Big Stores Selloff Jet Black Aka hathaway's nap because it was losing fifteen thousand dollars per customer on the APP that sounds like it was just by Jason Ashby in the lovely Knoxville Tennessee. Go Nick this one is about drowsy driving which can be a killer a study shows they don't have the patience for the unprofitable 's Jackie whip
Its a correction, folks
"Look these things happen. It's normal but unnerving. We get that so today why they happen and what it means from. American public media. This is marketplace in Los Angeles. I'm Kai Ryssdal. It is Thursday today. The twenty seventh of February. Good as always to have you along. Everybody well here we are right day. Four of honestly. Who knows how many days of big scary corona virus induced drops in the stock market? Another twelve hundred points down on the. Dow today four and a half percent four and a half percent on the S. and P. Five hundred as well. It's jarring I know but context being everything to point here. One the economy which as we know is not the. Dow is at this moment strong and too painful. The weeks like this may be these kinds of drops corrections. They're called are actually normal and good marketplace's Sabrina short gets is going. Technically there's no official definition of a correction but most people will tell you it's a fall of ten percent or more from a high correction basically can arise literally out of the Blue John. Bollinger is president of Bollinger capital management. Some corrections can be predicted. There are hints out there for example in this there were as a lot of fear building up a about the corona virus. Now the fact that we call them corrections suggests that something needed to be corrected and sometimes it did. Excessive OPTIMISM CALL COMPLACENCY JIM. Paulsen is chief investment strategist at Duluth old group. You'd become too easy to make money for a while. And there's a resolve that investors give up the scrutiny of fundamentals. And just buy something because it's simply going up and they don't want to miss out corrections can clear out that kind of buzzed. Buying and make people pay closer attention to the underlying health of companies can also shake things up for example. If everyone is piled on like lemmings to a few tech stocks it can shake some investors often. A different group of stocks can become the popular ones as for what to do when one comes along. Here's Andrew Karoly professor of finance at Cornell for the average investor out there the first instinctive reaction I always recommend is to stay calm and try to understand it. Listen to the market experts but not necessarily to react and certainly not to react quickly. Maybe just wait for to pass. They always do eventually in New York. I'm suburban ashore for marketplace. Eventually yes but we are stuck in the now and Goldman Sachs had a rather foreboding prediction this morning. Companies in the S. and P. Five hundred Goldman says might not see any earnings growth at all this year to clear that does not mean they are not going to be making any money this. You're just that they will be making the same kind of profits they did as last year. On average marketplace's Merrill Cigar looks at what that might mean? Let's get something out of the way. Why do we care about profit growth? So what companies are only making as much money as they did last year gusts foce chief economist at. Pnc says that growth is really important if we don't see increases in profitability than we don't see expansion efforts so we don't see businesses building new facilities. We don't see businesses hiring more workers we wouldn't see rising wages but there's always a but if corporate profits are the same this year because of the cove in nineteen outbreak. That's not necessarily a huge problem. Scott Younger teaches finance at Cornell could be honest one year of flat. Earnings growth doesn't matter a whole lot one year can be a blip. It doesn't necessarily mean the. Us is headed for a recession prophets. Were basically flat in two thousand twelve and the economy's still expanded also. Flat isn't so bad. Yonker says you need to worry when profits are dropping by a lot. It's when you have big negative earnings growth. That things matter so in in Oh seven. Oh eight right. That's was the financial crisis we saw. You know earnings declined by forty percent and remember that this Goldman estimate is an average. Here's Gus prochet again. Be Effects are going to be unevenly distributed across the economy some companies prophets might fall in industries like travel and retail and energy. And some might go up. I'm Maryelle Sierra for marketplace or less doom and gloom thing here before a quick up not bank of America analyst said this morning global economic growth since not corporate growth in. Mary was talking about but the whole global economy is going to grow at a relatively subdued two point eight percent this year. That is the slowest rate for global growth since the financial crisis so that now though for a slightly more promising items starbucks said today that it has reopened eighty five percent of its four thousand or so stores in China might remember a month. Maybe what five? Six weeks ago news that starbucks was closing. Those stores was one of the big moments for us on Wall Street today. Smart money on the wow us when we do the numbers we've been bringing you stories this week of the American labor force not with a sampling method data. Scientists would be happy with to be sure but nine story so far nine people and their jobs that we're using a stand ins for the one hundred sixty four million of us. The Bureau of Labor Statistics Calls with the American labor force. We're doing it because while these are the people who make this economy work wonders whether this economy is working for them. This is the United States of work. There's always things that you don't like about your job. You work hard for what you want you know. Every job has their ups and downs. Whatever good job means the waking fast? It's not a career. It's a lifestyle before I introduce you to the tenth person. You know a reimagining of the American labor force an observation a pretty obvious one perhaps but the jobs or job that you land in depends on hold on the kind of education and training you are able to get community. Colleges and technical schools play a big part in that places like Oh. I don't know Minneapolis College in the twin cities which offers liberal arts degrees business and nursing programs also were kicking off the first program in the nation on bicycle repair Which Minneapolis is known for? Its bicycle friendly environment. We continually compete with with Portland for that title. I I would have thought Portland would've had the edge just because weather up there so rough. But maybe that's just me and they got some fat tired bikes. Get STUDENTS TO CAMPUS. Even in the worst of snowstorms that's Derek Lindstrom. He's the dean of the School of Liberal Arts and Cultures at Minneapolis College. The bls characterizes his job as management professional and related occupations. Four out of ten of US have that kind of job. It is the biggest category in our series. It includes Michael Durant our CPA NEW YORK. Dr Scott Ends alone in Ohio and Stephanie Silverman at the Belcourt Theatre in Nashville but back to dark Lindstrom. He is forty years old. He's married with two kids. He used to teach communications studies. Now a doctorate in higher education administration though he's doing something else I think my main job is to support faculty so they can provide exceptional Educational Experiences for students as supervise over one hundred faculty members beginning from American Studies all the way to women's studies. I have world languages. History Philosophy communication studies and so part of my work is putting together a schedule that allows students to be to successfully move through the college over the course of their academic career here thinking about staffing levels a lot of spreadsheets. My former faculty colleagues joke that they knew I was going to be at the end because I like spreadsheets which is not something you think of. When you think of academics. It's not there's there's a part of the institution that needs to operationalize learning and and that's that's my role. Is there something you wanted to do when your kid no And not because it's not valuable but My Dad was a laborer on the railroad And I'm a first generation college student and so my understanding of of education was. You went to college to get a good job in parentheses. Whatever good job means. I knew that if you went to law school you could be a lawyer. If you want to med school you could be a doctor. But that was the extent of my exposure to higher education Except for Beverly Hills nine. Oh Two on our anything that we might be a popular Culture Reference Right Cal State University not to make light of it but of course that's a pretty common experience for more students at Minneapolis College as well You know you you know you need to go there. But you don't really have the background to know too. What's going on even thinking about the different ways in which my my kids Will Experience Higher? Ed is is way different. Because they have most myself and Christina to be way finders for them. Yeah Yeah Yeah So. It's it's pretty much given that your kids are going to go to college right. Is that an option. Yeah that's an option What that may may play out more. That looks like is dependent on on on their interests and abilities It's Kinda only eleven year old. Has It in his head that he's going to go to Harvard? I don't know where that came from. But he's he's got it locked in. He told me the other day he did had. Did you know only five percent of applicants make it to Harvard? Five percent a good human kidding me. Yeah I know right. So what? What world problems are you gonNA solve before you apply? Yeah but does this Does this job puts you in a pretty good place financially in the twin cities. I mean you could buy right. Can you take the kids on vacation and you got to pay for the House and cars. Yeah it it's it's provided for for good life for my family You know providers opportunity to Take my in laws when my father-in-law was diagnosed with vascular dementia Yeah I mean. I don't want to give me a pay raise. I'll take it but I'm not gonNA complain. What would happen though if this job went away? Tomorrow well timing would be really Difficult being that in the last week the the Public School district that my wife works eliminated all of their librarians in in a move. That's been part of a larger budget cuts to the school district. And so if it went away tomorrow it would be problematic because we'd have to people on the on the on the marketplace for jobs If if I were the only one looking for a job in the household it would it would be difficult but There are some there would still be some opportunities to to to move laterally or or getting back in the classroom as well. Yeah it's IT'S INTERESTING. You've got a trade right. You've got a skill you can teach. Yeah that's correct and you can. Work spreadsheets spreadsheets. Do sometime before the end of the year. I'm going to go up and visit with Derek. Maybe learn more about that bike. Program don't know same thing by the way for everybody else that you've met over the past week or so. I'M GONNA go spend a day or to talk to him about the work that they do and whether this economy in working for them somehow you missed our interviews the last couple of weeks or you want to read more about this project and how we did it. Check our website marketplace dot org slash work more. Got The United States work on the program tomorrow. coming up at risk root cause optics. You can probably fill in the corporate buzzwords we love to hate but first let's do the numbers okay. Deep Breath here peeps down off eleven hundred and ninety points four and four tenths percent. Twenty-five thousand seven sixty six the Nasdaq down. Four hundred and fourteen point. Four point six percent eighty-five sixty sixty and P. Five hundred lost one hundred thirty seven points. Four point four percent there as well. Twenty nine and seventy Microsoft. We can seven percent today questions about disruptions to supply chain coronavirus. Thank you very much. Hp and apple same same HP off three point six percent apple down six and a half percent. Today Bank of America dropped four point eight percent. You heard it's global growth forecast right. Citigroup brush down five point four percent today. Bond prices rose yield on the ten year Treasury note record lows one point two seven percent money in this economy basically free. You're listening to marketplace. Hey Al I'm Mary Matters. Host of marketplace's podcast. This is uncomfortable on this week's episode. I along with a couple of guests. Help answer sticky listener questions around money like whether you should share your salary with friends or how to not feel guilty for treating yourself. There's a lot of work. We all have to do about convincing ourselves. That what we want is okay in what we want. Might not be what our parents. But at a certain point you're grown and you just like what you like new episode every Thursday. You can listen wherever you get podcasts. This is marketplace. I'm Kai ryssdal decisions. The federal government's eventually going to have to make about cove in nineteen. The medical decisions to be clear are based on data that comes from the Centers for Disease Control and Prevention and that data is based on information that comes funneled through the. Cdc's Emergency Operation Center. Sam Whitehead from W. A. B. E. in Atlanta got look inside on the main floor of the CDC's Emergency Operation Center is its mission control. Public Health workers sit side by side in long rows some huddled together to confer over data officials gathering side conference rooms for strategy sessions. Giant monitors display charts and maps with up-to-date information on the cove nineteen outbreak for such a busy place. It's kind of quiet if can be deceptively quiet Sometimes Dr J. Butler is Deputy Director for Infectious Diseases at the CDC who led a recent press tour. He thinks of this facility as a kind of emergency room where critical problems instead of patients get triage. D- maybe consider this the the E. R. of public health so Even though at any given moment and maybe quiet there's times when it's Quite hectic the EEOC is always staffed around the clock but activity picks up during events such as the Kobe. Nineteen outbreak the CDC says. It has about one thousand people working on the response globally. Some have been pulled off the regular day jobs to pitch in Butler says different parts of the agency started watching the disease after it emerged in China late last year. There's a team tracking cases one developing and running diagnostic tests yet another looking at the best treatments eventually the CDC decided to bring those groups together here. Of course this government. So there's a structure to what we do here. Although our goal is to get outside of our bureaucratic silos and be able to communicate. Butler says the idea is to help. People make quick decisions about deploying resources. The agency's budget for Public Health Preparedness and Response is eight hundred fifty million dollars in the current fiscal year. There's also eighty-five million dollars in Infectious Disease Rapid Response Fund Butler and others at the CDC declined to say how much it costs to run the Emergency Operation Center or how much invested in the cove in nineteen response. We've tried to be good stewards with The public funding. But also recognizing that money should not be The issue primarily when we're talking about the health of Americans. A big part of the government's response is carried out at the local level. That's why Dr Marcus. Pleasure has spent the last few weeks working in the EEOC. I'm there for maybe a half a day in the morning. He's chief medical officer. With the Association of State and territorial health officials plush helps the CDC coordinate with local public health departments. That want to make sure they're following the agency's recommendations often. It's a request. Hey we need some form guidance on this can you give us something that we know assigns based and we know that there's going to be used uniformly across many different communities plush appoints out. This is a new disease. Public health officials are still learning about it and already there is some disinformation about Cova nineteen and the EEOC braintrust relies on partners outside the CDC to help dispel it like the American Public Health Association. Dr Georges Benjamin is with the group he says. Those kinds of rumors can make an outbreak worse. He says his organization routinely amplifies CDC recommendations through social media and its public health members to make sure the best information gets out to the public. You only really get a few times to make sure that they're getting the right information. And so getting that information out there correctly as quickly as possible is very very important this week. The CDC is started putting out more details about how Americans should prepare for a significant disruption of their daily lives in the event cove nineteen starts to spread widely through their communities in Atlanta. I'm Sam Whiten for marketplace. The big challenge of the corona virus. So far is something called. The supply shock the idea. That manufacturers can't make enough of whatever they make to supply the market. We saw that with apple and its revenue warning a week or two ago. Microsoft as I mentioned in the numbers it makes software that is pre installed in computers made in China. Right it's worn. Sales are GONNA fall big manufacturers in Korea Samsung among them. Now say their supply chain problems are gonna hit output as well. What's going on? Here is a global manufacturing model that focuses on low costs and lean inventory at every step in the process. Model Heretofore widely praised. Were all the parts arrive at the plant just in time marketplace got song reports now and what we have learned about the just in time modeling whether the pain this time might change things. The just in time model comes from Toyota. Which in the seventy s started having car parts arrive at the plant at the moment of assembly economist? Adam SLATER OXFORD ECONOMICS UTAH to Over those read them so that they live just as you need them. The final product goes out. And then you get a new set of inputs coming in just when the need for the next to go out and it became Global Manufacturing Gospel thing is the quest for leanness and cost-cutting led many companies to put all the eggs in one supplier in one country and they got burned when some disaster hit. Say An earthquake or a pandemic barry. Lynn is executive director of the Open Markets Institute. Back then something went wrong. Toyota went down but every other company continued to manufacture cars today. If something happens if one of those suppliers goes down all the companies. Go down. That happened in the car business. Nine years ago when it's Nami hit Japan now it's electronics and China's corona virus supply chain economist. Susan Helper at Case Western reserve says manufacturers have tried to build in safeguards. But there's a lot of cost. Cutting inertia to overcome. Purchasing managers are really intensely measured on. How low their costs are so? That doesn't leave a lot of room to kind of spend extra money because there might be some contingency in which everything falls apart this time around. She thinks the pain of over reliance on Chinese suppliers could speed up change. I'm Scott Tong for marketplace. You use them. I use them even though we know better right buzzwords lingo shorthand words and phrases like low hanging fruits monetize. I hate that one even though yes I know. We gotTA monetize stuff. Also my particular non favorite going forward Olga Kazan wrote in the Atlantic the other day about buzzwords corporate and otherwise and why they bug us so much walkman program. Thanks for having me so those remind. What did you get when you reach that on twitter? What are people really hate? People really hate capacity at risk when you're talking about people Root cause optics. You can probably fill in the rest. Everybody's got the list. Why do these words bug? Uh US so much because Lordy they do Well there's like a couple of different theories right One of them is just that they're annoying because we kind of find the tasks that are associated with them annoying so Circling back in touching base is kind of interlinked with having to follow up on some tedious thing. That you really don't want to be thinking about anymore but nevertheless you have to track down so it's sort of just linked in your mind with these Annoying business tasks or are we protecting ourselves? Is that kind of what's going on here. Yeah so in some cases you know they're kind of useful when you're trying to make something Sound a little bit better than Than it actually is so things like optics sounds better than like this might look bad. Otherwise you know So in some cases. Yeah you're you're dressing up Something that otherwise is a little bit unseemly. Su there is a line in here in unleashing. Find it it's The fact that so many people were lined buzzwords suggests that work and its language is a kind of pretense and speaking. The Language of work reminds people that they are pretending which reminded me of something rupaul. Said to me on this program he said. Oh honey everything is drag right. So we're just dressing it up. Yeah sort of I mean so one of the researchers The way they put it to me is that you know it's sort of like pretending to be an adult And so you're you're using these words that you normally use you would never you know. They're not real words. But you're kind of at work you're pretending to be an adult. And so you're you're saying things like root cause and growth hacking you know because you feel like you should so there's we're just not gonNA stop right because it's IT'S A. It's a mechanism for us. Yeah I mean it's it can be useful for some people especially you know if you need to relate to someone in your office and you can. It's kind of a shorthand in some cases it obviously makes you look good to the boss. If you speak the language that your boss made up for you speak so you know it's Most people are probably going to continue using these even as they find them a little bit annoying. We certainly will. Art Hit me up on twitter. I met Kai Ryssdal. Tell me what you hate to hear and we'll give you another list. Maybe in a couple of days older Hussan ready in the Atlantic about the buzzwords we we love and hate all same time. Oh thanks a lot absolutely. Thanks for having me on This final note on the way out today example. Three thousand seven hundred and forty two. I think it is of brands. Not Quite being on. The Ball Constellation Brands parent company of among other things corona beer. And I bet you can guess where this is going anyway. Constellation which owns corona is spending forty million dollars. Launching a new product Corona hard seltzer which they started promoting just this week on social media. Which is where I saw. A tweet cans of Corona Seltzer in big block letters coming ashore soon a company spokeswoman emailed CNBC and. This is a quote while we empathize with those who have been impacted by this virus. Are Consumers by enlarge understand there is no linkage between the virus and our business which is true but come on. I gotta go down. Duster was off eleven hundred and ninety points today. Four and four tenths percent Nasdaq down. Four hundred and fourteen points. Four point six percent there s and p five hundred one hundred thirty. Seven points on the downside. Four point four percent there as well Amir Bowie John. Buckley Eve Epstein. John Gordon are the marketplace editing. Staff Betsy streisand is the managing editor result. We Will See Tomorrow. This is APN.
$350 Billion and 10 Million
"Everybody you money. That's why they call it from pool global headquarters this motley fool money. It's the motley fool. Money Radio Show. I'm Chris joining me this week. In studio senior analyst Jason Moser and connecting via zoom video from his home senior analyst Ron Gross. Thanks for being here guys. We'll be talking with restaurant expert. David Hankiss we've got some stocks on our radar but we're going to begin with the big macro the three hundred fifty billion dollars small business loan program launched on Friday although the final regulations were not released until just hours before the program began. We also got the jobs report for March. That came out Friday morning. The unemployment rate going from three and a half percent to four point. Four Percent Jason Moser. We know it's going to be a lot worse than that because in the last two weeks ten million Americans have filed for unemployment. Yeah and I think this report is it it ended. I think the survey ended the middle of Mars. So it's not really reflective of what know today but as as we say on the show. Oftentimes it's it's more about the revisions. We witness a month from now on. You know that that certainly no exception here. It's you're right. It is way worse than than perhaps what it sounds like they. We know that in when you look at some of the projections out there from some of these different firms It shows you the disparity. I mean you look at Oxford Economics. They're projecting that by may the US will have lost basically twenty eight million jobs and we'll be looking at a sixteen percent unemployment rate Which ultimately that would arrays all. The jobs gained since two thousand ten That compares to a Another point of data that we're seeing from the Saint Louis Fed where they're projecting that this could result in forty seven million jobs lost in sending the unemployment rate past thirty two percent. And then you compare that to new Goldman Sachs Projections. Which came out recently in. And they're a little bit more in line with maybe what? Oxford economics is calling for talking about unemployment hitting a fifteen percent. You know I it seems like one of the constants here is is the the hope at least that this will be a quick recovery in in. I think that's that's fair to at least hope for. I mean it really does depend on the actions that we're taking today. Are they helping stanch the spread of the virus? And furthermore I mean you can't ignore the fact there's the potential of a second wave. I mean this is not something where we just defeated and then it's over. I mean we're going to have to manage our lives with this for the foreseeable future. And so how we do that. It's GONNA play out on the economy in some capacity. It's just a matter of of how dramatic that effect. That impact is going to be yet. I have to agree with Jason. We've gotta be at ten percent plus unemployment right here perhaps as high as thirteen even fifteen percent and it is going higher gig. Workers haven't really even started applying For the most part for unemployment yet We need these. Bandaids these bridges to kick in the cell phone. The Small Business Loan Program The paycheck protection program. Which is basically forgivable loans There are bridge. And they're going to be a bridge to another stimulus program because unfortunately the two trillion that we've already got is not going to be enough and that's unbelievable say probably GonNa need another one of similar size to get us. Pass this to where the health crisis abates and people can get back to work eventually but unfortunately it's not gonna be any any time soon. This is really all about buying time. Isn't it I mean in in Rome right? I mean we've already got DC talking about yet another package. And I mean I think we all probably assume that was GONNA be the case This is this is. We're all in the same boat here right. I mean this is really about finding. It's it's it's the ultimate bridge loan in the biggest challenge in trying to buy time is right now. We just don't know how much time we ultimately need in. That certainly could change Over the course of the summer as we move into next fall and winter too. They're just so so much uncertainty either for all of the reassurance we'd gotten in the certainty that we have today that we didn't have before there's still a lot of uncertainty out there so assuming all of this plays out the way we hope it. Will that these bridge loans get the small businesses to a point of stability over the next couple of months. A ultimately Ron. This has to come down to states being able to flatten the curve for the virus. Because everything we're talking about right now is dependent on that for sure and as Dr Foul she said yesterday you know. He can't believe that as a nation where we're not shutting things down and that there's still more than a handful of states that are not complying. And we're not seeing the curve flatten as we could be if everyone was was taking this extremely seriously as some states are are. Let's get to some of the businesses out there and run. I WANNA start with oil stocks because oil stocks had a pretty good week. Exxon Mobil Chevron Royal Dutch Shell. They're all up around ten percent and this is an industry that so many people have been asking us about Ron. I'm not asking you to time the bottom on oil stocks but do you get the sense that the geopolitical risk within this industry to least been diminished. Perhaps but it's gonNA depend on the emergency meeting on Monday between OPEC in Russia. The hopes are that they're going to strike a deal on to cut production and that will shore up prices which were basically decimated over the last month or so a cuts of perhaps ten percent of global supply. I think are going to be discussed and and we'll see where the will shake out. They've got to do something though. Interestingly DEMAND FOR OIL IS WAY DOWN RIGHT. We're not driving. A lot of production is has been cut. Businesses activity has been slowing. So you've got a demand problem as well in this industry but if prices confirm up and then rise I would imagine that bodes well for these companies and these stocks now. I don't like these companies long term and as a long term investor. I wouldn't I would stay away because if I don't if I don't like industry or a business long-term then there's no point in trying to play a balance or or hit the bottom or call the bottom and as you say you won't. You won't make me do that so I won't But certainly those companies that have strong balance sheets that will benefit from rising oil. Prices will survive and probably do well others are not gonNA survive small and middle-sized guys are still going to go bankrupt Waiting Petroleum I think for bankruptcy recently as one example But the big boys like the Exxon's will probably define. Yeah it's interesting. You mentioned the price of gas and I don't know about you Jason But I've been seeing that on twitter This past week people just sort of tweeting pictures of gas stations where the price is less than two dollars a gallon and there's that for me just sort of that momentary like Oh my. Gosh. That's great but then I remind myself I'm not really driving anywhere. Yeah most people aren and I mean it is just a just a fascinating time. I mean we've normally look at those types of conditions man that is just so wonderful for the consumer and yet here we are. We know that there's pretty much nothing right now. That is just wonderful to consumer as Israel just in a state of of Trying to figure out how to move forward. Well you know maybe one silver lining there is just the the distribution companies across America The trucking companies that are trying to move goods from point eight point be particularly as there appears to be a national shortage on toilet paper. Still not straight. I fully get that and I got the email from Amazon the other day that are subscription for toilet. Paper is slated to to to arrive here next week. I'm really curious as to whether I'm actually GonNa get it or not. Because apparently the grocery store shelves or not fully restocked with toilet paper yet coming up to beverage companies making headlines for two very different reasons. Stay right here. You're listening to Motley Fool Money Modern Woman Priscilla Human Studio with Jason Moser Ron Gross joining from his home. We've talked on this show before about luck and Coffee Chinese Startup Company that IPO last year. Trying to go head to head with starbucks in China shares of luck and fell eighty percent this week after an internal investigation found the chief operating officer fabricated sales last year. And Ron. There's more information to come. This is an ongoing investigation. But this is every investor's nightmare right that the company that you own shares of someone was high up in the food chain was lying about the sales and it just craters. It's a disaster. As an investor is a foolish investor. Who Really thinks that management teams are such an important part of the investment decision making process and the running of a business? And then you have those folks who you've trusted lied to you. It literally is a betrayal and ended. It hurts you in the wallet As well as well as your ego I would imagine because you trusted these folks in this particular case fraud can happen in any company in any in the country. It's more likely I think we're finding in China. Because of the oversight problems we have there were. Us regulators are prevented from inspecting the audit work of auditors over in China. And that's a real problem If we clean up oversight and it's been hard to specifically with China because they're not cooperating. We could maybe get some of this to go away. You'll never get it one hundred percent probably people do lie unfortunately and it's hard to catch them in every circumstance but this is just as astor. The company hasn't been public at long last night when public. At seventeen dollars a share They did a secondary offering January at forty two dollars a shared a now. Where are we five or six dollars? it's been a pure disaster And it's it's a risk of when you invest in Chinese companies Jason. We've talked a lot. About what the future will look like. In terms of regulations across any number of Industries as regulations get relaxed to help small businesses. Stay IN BUSINESS. And this is one of those incidents that makes me wonder if we're going to see a regulatory change or a policy change because there have been US senators who have pushed for this type of thing. If we'RE NOT GONNA see if not greater oversight over China maybe quicker punishment. You know the the idea that Something like this would lead to a Chinese company being delisted by the Nasdaq the NYSE. Yeah and I mean there are certainly that potential right. I mean there's Ron was talking about. I mean it's lack of cooperation on the part of China. We have this thing called the Public County of the Public Company. Accounting Oversight Board Which which ultimately is geared towards helping Create transparency with with you know all companies that are that are going to be publicly traded but but when you have essentially country they'd say now we're just GonNa Kinda go our own way with it then. You have to start taking a little bit more drastic action. There has to be consequences for behavior and in this case. I mean there's clearly gonNA be investigation. I think there are going to be. All sorts considerations is to is to potential actions. I'm not saying it should be a blanket action Certainly luck in should should suffer some consequences here. If this proves to be as as true as it sounds you know it goes back to the questions we get all the time about investing in China. How do you feel about doing it in for me? It's always been a very difficult leap to make because of things like this. We have track records of companies. Doing this over the last decade particularly you know ten years ago a little bit more than that one these Chinese small-cap started coming onto the scene Sometimes you know that saying if it looks too good to be true than it usually is. I think this is another example. Constellation brands has a portfolio of beer wine and spirits. Fourth quarter profit and revenue came in higher than expected for constellation Shares down on Friday despite this report chase and we've seen speaking of regulations. We've seen governors across America Designate liquor stores as being essential. This seems like an environment where constellation brands would do. Well Yeah Yeah I think so. I mean this is sort of a good news bad news. Good news situation so follow me here. Good News as you mentioned. It was a good quarter. The beer business in particular was was pretty impressive. Growth in the beer business was eleven point. Four percent now the modell. Oh family the modell brand family was responsible for a lot of that depletion. Zehr more than eighteen percent The Corona brand family grew to nearly five percent that's encouraging and does sound like the Corona Hard Seltzer launch has been successful in Howard. Celta really does seem to be taking off and I'm glad to see that the constellations of playing a part in that role Bad News Right no guidance. I mean we really don't have an idea of what the rest of the year is going to look like in and you couple that with what has been an ongoing drag in the canopy investment and canopy is just not working out. I I. I don't know what the future holds there. Clearly that's that's a greater market Type of situation But they're still potential there And then the good news ultimately again as you mentioned. This is an environment where constellations should do. Okay given that beer liquor wine and spirits. Industry has been deemed more or less essential. And I think a lot of us are very appreciative of that fact and in given constellations broad portfolio of offerings from beer wine and spirits. I mean I think that plays out pretty well for them. The essential part is interesting because just about an hour ago. I saw come across the tape. That Coronas GonNa Stop Brewing Beer because Mexico deemed non-essential. So that it's really interesting. I think where you're domiciled. Wha what laws your country is GonNa put forth what's essential? What's not essential It'll be interesting to see the impact on this company in this business As you mentioned Jason. They pulled their guidance. We're going to expect more companies to do that. Earning season when it kicks in later. This month Constellation still down about thirty percent year to date. Would you buy at this level I don't know that I'd buy necessarily I mean I I. I think it's it's generally speaking a good business with a good position in what is fairly reliable market. I you know I just feel like right now. I just feel like things are going to get worse before they get better. I'd love to get some more clarity here. As earnings season progresses just to see how all of these companies are approaching this and what the with the general consensus is for for how the rest of the year is looking our email addresses radio at fool dot com from Phil Crans in Philadelphia. He writes. There's a lot of talk. These days of finding an investing in companies with strong balance sheets. These are companies. That'll be able to weather this storm and possibly come out in a stronger position. What do you tend to look for when evaluating the strength of a company's Balance Sheet? Ps coffee is the greatest strength on earth agree. One hundred percent fell run. Gross what do you look for? So we could talk ballots hours but we won't I'll go quick here. Take a quick look at the cash in the debt levels choose Microsoft and example one hundred thirty four billion of cash. Total debt of eighty seven million. You WanNa make sure. The company has enough cash flow generating to cover the interest expense. So in Microsoft's case two point six billion of interest expense each year their cash flow minus their capital expenditures covers that eighteen times. That's very very strong. Also look at the debt to capital ratio. The higher the more risky Microsoft's forty four percent. That's pretty good Lots of different metric news also look at short term solvency like the current ratio the quick ratio. I'll let you look that up. Glue that But yes balance-sheets extremely important Jason. Yeah I mean looking at a good business like Microsoft in a good position there. Let's take a look at the business that perhaps is dealing with some challenges here and that's a Carnival Corporation The cruiseliner company and alike. Ron's idea there of looking at net net interest expense compared to the money that companies bringing in a lot of times I'll just look at operating. Income Accompanies reporting and look at the The net interest expense in in. That's essentially the current ratio. And that's giving you want that number to be high right. You WanNa see that. That interest expense number can go into that operating income number. Many many times over that just tells you they. They can afford the death that they have in their no concerns there and you know when you look at Carnival today. It's it's a pretty good looking situation based on their trailing government financials right I mean operating income of three point three point. Two billion dollars in net interest expense of one hundred eighty three million so they cover that many times over. I think it's a pretty safe bet. That operating income is getting ready to fall off a cliff. That could be a problem and then you look at what carnival is ultimately had to do. They resorted back to the debt markets to raise more money. That's good. They're going to need it but they're certainly paying a lofty price for him. At Jason Brings. Up a good point. Don't just look at quoted ratios or quoted multiples That are backward looking usually because when you have things our problem in the future you need to take the feature into account because a company like carnivals cashflow generation going forward. We'll look nothing like it was over the last twelve months Rama. Got Less than a minute Last week on the show we talked about Warren Buffett. And what he might be buying when you look at the big tech companies Microsoft apple with all that cash on the balance sheet this safe to assume that those companies are going to be doing some buying over the next six months looking to make some acquisitions I would think for sure. The question is are they going to go in big and by big companies I think most big companies wouldn't WANNA sell at current prices but some Tuck in acquisitions some smaller companies that wouldn't mind Getting taken out at these levels. That may make more sense. Yeah I think that's. That's that's the point. They're these big companies with a lot of value there. They're not going to sell at a loss. All right. Jason Moser Ronco skies. We'll see a little bit later in the show up next a look at the restaurant. Industry analyst David Hanks. Stay right here. You're listening to Motley Fool Money Motley fool money. I'm Chris Hill. The restaurant industry generates roughly nine hundred billion dollars in revenue year. Even with the recent stimulus plan passed by the federal government. More than half of all restaurants could still go out of business. David Hankins is one of the top food and beverage. Industry analysts in the country on a recent live video chat for Motley fool members. My colleague Bill Man and I talked with him about the challenges facing restaurants and the extent to which the stimulus could help. I think it's it's good news. I think it's not going to be nearly enough I It certainly provides a bridge and the big question is how long this lasts right. I mean so providing two and a half times payroll is what I understand. It does but listen. I mean you know. We're looking at projections where the restaurant business may not be fully and running again until the fall and so It's it's good for now but it's pretty clear that it's not gonna be enough especially if some of our mid to long-term projections hold true. Which is at the restaurant. Business doesn't really come back for a while. And so it's it's a good start but you know I think they're going to have to come back and revisit it probably in a month or less so David reading some of the research that you have done. A lot of restaurants have moved in to take out. They've moved very quickly and I've been. I've been really impressed by a lot of sit down establishments how they've made that shift so quickly. Maybe you could break down for us. The difference in economics for these companies that have moved have moved from. Sit Down to Take out how does that work for them or does it work in the long term Elliott. That's the big question right and so I would say generally speaking when you look at the takeout business for sit down restaurants It's the IT. It has historically been a very small percentage of their sales ten fifteen percent of sales. You know some that. Do a well might be doing fifteen to twenty percent but at fast food restaurants are not generating sixty or seventy percent of their sales from off premise dining. And so what ends up happening? Now is you've got. Let's say it's ten ten percent of a million dollar restaurants their revenue for that one hundred thousand dollars. Well that's now a hundred percent of the total restaurant's revenue and it's not sustainable right in and I give a lot of restaurants credit for shifting on the fly have already been you know working with third party delivery age companies like Grub Hob or door dash and had that infrastructure place But it's it's not gonna be enough and I just had a restaurant earlier. Take all means said they're shutting down two of his four restaurant because they just can't make it work and so I think in the short term a lot of restaurants or trying to make it work And again this government. Bill may help some of that in terms of bridging payroll and things like that. But there's still a lot of fixed cost rent and mortgage if you own the building. Whatever it is that need to be covered in and generating or trying to survive on that ten percent. That's now your entire the entire revenue of your restaurants. It's just not going to be sustainable. And and so you know. And that's in addition to increase paper costs and margin structures pretty different on delivery or takeout versus in store dining. So listen it's you know every every hand is on trying to save their business but it's you you know I think it's in the long run. GonNa be very hard if we don't get this economy up and running pretty soon. David as this Everything we're saying play out with the Kobe. Nineteen pandemic as it affects every industry one of the things that we're talking about it. The Motley fool is consolidation within a given industry Last year you and I had the chance to talk Motley. Fool money one of the things we talked about was kava grill acquiring Zoe's kitchen So that was no longer. I was taken out of the public markets. Maybe it's too early for this question. But Alaskan anyway Are there restaurants on a national level that you look at it and you think to yourself? It's entirely possible. Someone's going to buy them. There are and I do agree. It's too early but I do think what could end. Up happening is private equity companies which already have been on a roll through the restaurant business. Their there's still money is cheap right now. You guys know better than anything. I mean you know negative interest rates and so you know companies. That have the financial wherewithal potentially in the next. Several months could have their pick of of a lot of restaurant companies right and so not to name anyone. That looks weak or that you know but but listen I mean even the best of companies right now in two or three months. If it's still going on their balance sheets could look horrible and I think There will be some private equity. That's going to scoop in To acquire some I think consolidation probably is is the order of the day And I think you know if you look like a cracker barrel right. Last year. They bought punchbowl social. Which if you've ever been is a phenomenal concept. A lot of high energy. The millennials Gen Z. They love it. I actually went once or twice And they are essentially saying they're they're pulling support from that and they don't necessarily see that as viable ordinance likely that that's going to go into bankruptcy and it may or may not Cease to exist. But it's certainly one where cracker barrel On out and they're saying you know we can't and they just thought that last year and so I think you know the the financial toll on the restaurant business certainly ought to talk about the mom and ops and that's main street and that's where a lot of the damages occur but. I think you know to your point Chris. There's going to be a lot of consolidation. A lot of brands that will end up being for sale or that the where there will be consolidation Don't know who they are necessarily yet. But I I can't imagine that even the big companies are gonNA come out of this unscathed. Someone mentioned to me this morning. They were asking whether I thought that Darden might be. You might be an eventual acquirer of certain of certain names and mishandled the answer just a little bit because I said yes of course they might be interested in but then it occurred to me. You Know Darden's not letting you know they're not living in an environment. That's different from anybody else. They need every bit of cash that they have. You mentioned McDonald's as being a a real estate company. And that's long been my thesis for McDonald's as well. But what are some other companies that you view as being safe is not the right word but being somewhat well-structured for the For FOR THE UPCOMING COUPLE OF MONTHS. Yeah is interesting. I'll preface it by saying we've been talking to our clients. I was at a Beverage conference in February and it seemed like You know twenty years ago now but we had always been preaching to our clients. Are Restaurant clients say that increasingly the the basis of competition is either on experiential? Where you build a great experience inside the restaurant that you can't have anywhere else right and a lot of fine dining or casual dining focused on that or the other sort of a piece of the competitive pie was convenience right. So that was sort of the two axes. That restaurants were increasingly competing on anyone. That was really trying to build that experiential factor. It down for the most part right now right and those are the ones that are trying to pivot and so those already had a off premise strategy. are well positioned so certainly most quick service restaurants that have drive throughs now. Everybody assumes that. Qsr is dominated by drive-thrus only about thirty percents. Like she less than thirty percent of fast food restaurants actually have a drive thru rides. Though I mean. Mcdonald's Burger King. And all of those that you think of but There's a ton of them that don't ride and whether they're airports train stations stand alone places or in malls There's a big chunk of SR that does but anyone that has a drive thru has an off premise Strategy certainly the pizza chain Papa. John's hiring a ton of people Domino's continues to be in my play. More of a Tech Company that delivers pizza and a pizza company But they've always you know At least in recent history been doing very well and so those that really had already played in this space And I mentioned domino's only because I think I mean I can't think of a dominoes at has dining room right. And so they were already one hundred percent off premise. And so those types of operators predominantly fast food You know not not even fast castle but fast food. You know more traditional service I think are probably going to be the ones that weather this the best and listen. Qsr fast food has been growing faster than sit down restaurants anyway over the last several years. That's only going to accelerate obviously And so I think you know what the ultimate end point is of the restaurant. Landscape is that you're going to have a lot more fast food and a lot fewer. Sit Down restaurants over the next even three or four months but certainly a year or two years now. The landscapes can be dramatically different. So David you've also mentioned door Dash Grub and the delivery companies like that. Is that a part of the business. They you track or that you have any on. How how they will be transformed by this. It is I mean you know going going into the beginning of this year I want say the growth and remember the exact number but it was about thirty five percent year over year growth in third party delivery And so you know. It's still a relatively small part. I think the the total sales we track for third party delivery of all types. You know grub bobby. Caviar door dash breeds was about ten point two billion and it sounds like a lot in it. You know it would be probably one of the top five largest chains if you actually look at it in that way but it still has a share of the total restaurant business. Two or three percentage points right. And so it's it's not huge And and certainly they've been they've been on the front lines of this because they're the ones that a lot of consumers turn to four delivery The challenge I think for them is that first of all. You just need to make sure that most of their partners or their restaurant companies they work with stay in business right so while the business has been growing. It's also been growing as an ancillary part of most restaurants business. Not as the primary part and so everyone says. Oh I'm sure you know grub or or door district doing great and I think they've they've they've seen you know some some of that but you gotta still have a driver to deliver it and be. You've got to have restaurants that make the food and so it'll it'll be interesting to see how it develops a lot of restaurants push back. Because the fees that those companies charge are essentially most of the margin that a restaurant would otherwise make the product. And so so there's been some pushback right and and you know it's drone because it's it's up till now been incremental business for the restaurants and you know if you can get some incremental revenue with you know You know even if the margin is lower. You're going to do that. And I think as this evolves and again take out or delivery at least is such a big part of your total revenue. It's you know the questions remain on how restaurants you know will handle the different margin structure because you know what we consider sort of typical restaurants. Pnl is out the window right now completely changed and I'm not sure. There is even a typical piano right now for a restaurant But yeah no the I mean they. They should do continue now. The other thing that was born a note on them and we and I we spent a lousy actually talking about them. And we've done a couple of studies on them. None of those guys. Were making money before this right. I mean and so if you look at you know ubereats pulled out of a couple of markets if you look at Grubb's You know th they may news couple months ago when they put out shareholder letter that you know basically you know in some ways almost Question the business and so I you know I think there is A. It's not going away right delivery. Obviously as day and age I mean you know. Consumers are so used to delivery and so we do think. There's probably going to be some changes in how that business works. What that looks like is not quite clear. But we'll we'll we'll see how it plays out David as we as we get ready to wrap up here. What what is something that investors should be watching for other than the obvious. Good news that we all hope for a. But what should we be watching for for a positive signs in the next say month or so restaurants? Really don't survive when people have shelter in place orders right and so I'm sitting here just outside Chicago. My entire state is the shelter in place. The mayor just prohibited people from going down to the lake in Chicago. I mean a big a big piece of restaurants success is going to be the ability to get back to whatever. The normal is And so you know. We're certainly keeping an eye on that again. We've done some forecasts We think restaurants is your best case as an industry will be down. Eleven percents relative last year. Worst case scenario is about twenty seven percent down which is Similar to what the Restaurant Association had independently predicted. So either way you cut it You know businesses and can be good this year and it's just how quickly we get act to it going back to the first question about the stimulus right. I mean that's a bridge and you know I mean like any industry. The longer we're relying on you know the government to support something while the economy shutdown worst. It's going to be for everybody and so you know. I think the restaurant industry is is probably one of the best parameters of the broader economy and as the economy gets better. The restaurant industry should improve and vice versa. As the restaurant industry proves that means the economy is improving so You know I think those are things to even I up. You know a lot of people are talking about things that they can do to support restaurants certainly just ordering take out and delivery from them. I've seen mixed responses about buying gift. Cards right Some restaurant doers are selling them. I think other restaurants say you know what that's creating is essentially an unfunded liability for later in the year you get the revenue now And does support the restaurant in the short term but now they've got a You know Capitalize on that or or something that is a debit for them later op. So they're just mixed feelings in the industry on gift cards but I would say the more you know if you're in a situation where he still have your job and you're still working and getting income you know. Support Your Restaurant community as much as you can and by beverage alcohol and and you know tip tip your drivers and tip the servers and people that are there because they all need your help right now. Don't think of it as drinking more alcohol. Think of it as doing a little something to support your favorite restaurants up next. We've got a couple of stock ideas for your watch list stare at here. You're listening to mouth full muddle as always people in the program may have interest in the stocks. They talk about on the Motley. Fool me formal recommendations for against don't buy or sell stocks Selena. What you here. Welcome back to Montlake Money Chris here in Studio Jason Mazar Ron Gross Zooming. In from his home as the public health crisis goes on no state has been hit harder than New York and in response. The Motley fool has donated one million dollars to New York. State's coveted Nineteen Response Fund which is being managed by the nonprofit group Health Research Incorporated. The funds will be used by medical supplies set up field and support the medical staff. If you'd like to join us in helping New York you can go to donate dot full dot com also. I mentioned earlier that the interview with David. Hankins was something we did in a live video stream for Motley fool members. We've been doing a lot of those lately and if you're not already a member and want to join us a great way to do that is with our free investing starter kit. It's a fifteen page report to help you set up a brokerage account. It includes five stocks selected by our investing team. And it's Free. You can get it by going to fool dot com slash starter kit. Let's get to the stocks on our radar. Our man behind the glass. Steve is GonNa hit your with a question. Ron Yup I. What are you looking at? I've got Costco. Ceo St Continue to be so impressed with their business model in their culture stock not as badly hit as some currently down only about twenty percent from its highs but that creates a nice entry point. I think interestingly they along with Walmart and target have started to see some weakness in traffic. Now that everyone is kind of stocked up. I guess that was a bit inevitable but I think long term. This is one of the survivors of the retail. Fallout and there will be a fallout great membership model. Great value prop for customers tremendous culture in leadership. I really liked it here. Steve Question about COSCO. Oh Pure speculation given that this virus on longer than we think. Do they have supply chain issues? We should worry about They certainly are out of Stockton. Several items toilet paper of course being one of them but I think they're pretty good With respect to their relationships with suppliers. I don't think it'll be a long term problem. Jason Moser what are you looking to your targeted? Ron grosses heartstrings this week. Chris. I'm going with Domino's Pizza Z. I I was really impressed to learn about how actually diversify their customer bases between delivery and carry out. I think most of us would just think this is a delivery company but actually fifty five percent of transactions are delivery versus forty five percent carryout sixty seven percent of sales are delivery versus. You know about thirty three percent of sales being carried out and I suspect that delivery. We're going to see a little bit more of tilt in that direction here in the near future and that's part of the reason why really liked the business but seventeen thousand stores today. The targets that they've set out for twenty twenty-five are strong. I mean whether they hit or not as a different story. But they're looking by twenty twenty five they won't have twenty five thousand stores worldwide and they WanNa be generating twenty five billion dollars in global retail. Sales I feel like the the given situation today. There's some tailwinds here for Domino's I wouldn't be surprised to hit those targets Steve How much should I tip my domino's pizza delivery driver oil boise you ever work in the in the service industry you know the better the better you tip the better you feel and really the people out there that need. I see no reason not to be tip at fifty percent these days. If you can afford it what do you want to add to your watch Steve? I do like Costco and I own some costco so I think Alonso more all right Ron Cross chasing guys. Thanks for being here. That's going to do it for this week's show. I'm Chris L. Thanks for listening. We'll see you next week.
Mad Money w/Jim Cramer 10/03/19
"It's Peter King hosted the aptly named Peter King podcast dropping every Wednesday. I chat with big football people now. I've added a second mini dropping Monday mornings capsizing my football morning in America Column Listen. My mission is simple to make you money I'm here to level the playing field all investors. There's always more work in summer now and I promised to help you find money starts now Pam GonNa make money remark or do you want to make friends just trying to get some money by job. A census thirteenth educate teach you put in in context call me one eight hundred seven three. CBC or Tweet Me Jim Cramer. We've gotten so used so used to being off rate great that we've been selling stocks for days on end sell sell sell sell sell sell in part because we're worried the report not self-taught earnings that includes early this morning when the market got severely oversold before rebounding. Dow Closing up one hundred twenty two points. SNP gaining point eight percent Nasdaq eventually point one two percent. No one wants to own stock unless it can report what's known as bt a bt e meeting a better then expect you quarter. The jury of bt has cast a pall over this market but now they're earning season is actually arrived with pepsico kicking things off. Many stocks are down big from their highs and I'm starting to think that they fallen so far that bt is the wrong concern instead we looking for quarters that are not as bad as feared or Nablus and a bf for short yesterday. Wall Street was concerned that Pepsico would fill deliver better than expected numbers and the stock plunge from one hundred thirty seven down one hundred thirty three in change in in anticipation of that bad number after all PepsiCo missed. If there's any degradation frito lay if there was any market share lost coca-cola you had to leave the testing would get club like a baby seal but as turns out PepsiCo's results were not as bad as feared it was a nab of quarter with strong sales in both food and beverages while all the company didn't raise his forecast the stock it already been hit so hard going to report that this didn't really bother anyone and that is nabbed for certain gets better. It's better some of Pepsico's divisions are truly on fire Gatorade. Since returning to the old fabulous growth trajectory used to have now now through as products are being stepped up by millennials. There was a lot to like here two days ago. This quarter would have been a non event today. Sent pips goes surgeon to a new all-time high. Hi and that's not just because it was better than feared like I told you last night. When the market gets is oversold it can act like a quilt spring with stocks rallying beyond where you or not expect him the Go-to on good news so who else can deliver a Nabokov quarter. This is the list people get a pencil and paper out. This is a one list you need. I I suspect shaping more simple. JP reporting generally better than expected quarter next week fed funds rate may have been cut. EUCHRE may not be perfect but this is J. P. Morgan's moment the moment to shine banks gigantic deposits. It's usually advisory business plano credit lending they should all be very strong as banks generate more and more of the revenue from fees rather than from interest. I'm confident that we'll be able to raise numbers. Jamie Donald took talk about portraits down. She that would be much better than feared to. Maybe even forget Nabet. I'm betting this one offs ubt second unlike in the look of American Express in the stocks beneficiary adhere Steph one hundred twenty nine in July two one hundred twelve today. I don't think AMEX report a better than expected quarter but thanks to that excruciating decline doesn't a half to it only needs to be not as bad as feared the the rap. Here's that their businesses slow worldwide because of the trade where I'm skeptical burqas hasn't been able to crack into China in any meaningful way China's the epicenter of the worldwide. Wait this. Stephen worry worry well. He's pretty new to this. Business is self. effacing man is transforming American Express. I'm coming with a spotty episode of track record in Okapi the person's smooth booth numbers like the ones we come to expect from Mastercard Visa and it will get those again next up. There's Abbott Labs. ABT That's a medical device maker. If you watch the show for a while you know I'm a huge fan of miles white longtime. CEO WHO's created enormous amount of value for shareholders over the years. We've been buying added from my chapel. Trust you can follow all the it was before we make them by joining. The Action Plus Dot Com club we like avid I incredible consistency at the stock is down nearly nine percent from its high very rare to see that I think it's opportunity applesauce revolution new diabetes monitoring device that management about on the call best of all the medical device makers are the only part of the healthcare cohort been flying under Washington's Raider four speaking Washington the Democrats Republicans may be united in how they view the drug industry's repugnant but I still think there's one drug stock that you can buy right here after this to clients Merck. This company has tremendous momentum and it's reports on October. The stock doc is down about five points from its highs to me. It looks like a buying opportunity. I expect murked raises forecast rather dramatically thanks to the incredible growth of key trudeau their groundbreaking cancer drug drug. It's better than Nabokov what else here's a real nab. STARBUCKS starbucks report to the thirty so you got a little timer but it stock has been crushed. You can pulverize from ninety nine down to eighty four and that's thanks to excessive enthusiasm when it got to nine combined with a very odd one time shade down from early September that traders well this. They felt like Taber trump chumps. If they own the stock they've adopted it ever since maybe that makes sense when starbucks was trading in the nineties but at eighty four sorry. I think it's by don't forget they got that Nitro. Pills love the NITRO. I get sick to my stomach. Every time I have it. I mean honestly I could drink this better than nitro six facebook facebook. Can you believe it facebook and what am I thinking right. Here's one thinking even though the social media kingpin and Nice Wednesday still down dramatically from its highs and it's only takes one statement Komo one politician reverse today's rally as investors have rebelled against for and our government has started investigating all big tech well. This thing has become less toxic. I know the long knives our facebook. I'm not blind but honestly I think they benefit from the fact that they're no longer the only big tech company that's been targeted. Companies don't want Republican. I mean number one one else kind of public enemy number three or four depending upon the day that's encouraging delusion me mother users well guess what they love it that have been talked out of it by washing or newspapers that it attack menacingly. They don't care about that stuff including the call today from you turn general to limit encryption. Stop it already when you talk to the consumer packaged goods companies I do. They Adore facebook because it owns instagram and instagram's indispensable. If you're trying to reach new customers I facebook video program daily. I can tell tell you that the return on investment the Bank bucks speaks phenomenal. I think you'll have plenty of opportunities to buy the weekdays for reports on the theory. Even if we have an economic slowdown you stuff goes drugstore. That's why I like. CVS Charlie Victor go into quarter on November sick. Now the stocks from Cleveland Hires. We'll start warming up to its merger with that not plus. CVS suspending cash supports the three percent yield so they're paying for you to wait for what I bet. We'll be finally there's shop. Fi Yes yes. This is the ultimate empowerment story. A couple of thousands of people set up their own. E commerce sites every week. We hear from shop in three weeks. We sold this thing for action. Words about sixty points above love where it is right. Now I think you can sink your teeth in as it goes lower into another dip. Look there are dozens of other stocks that could work your stocks of high quality copies that have just been shelled. I don't know if the market's done going down. Although I think we saw an important moment of capitulation during this morning's breakdown but the Oslo you're still not as low as I'd like. Here's the bottom line. When the Labor Department releases its big employment number two. I bet there'll be some sellers to me. That's the perfect moment to pick up. Some of these novels names aims betting they'll the well not as bad as feared. How about we go to Bradley Illinois these Brad Good evening interested in value of Bantac earlier. They had failed buyout in broad comes back to the table. Non Pass Steal. Those are supposed to be a one time dividend of twelve dollars. Yeah just stick with it kills in charge there. I know he's temporary but rick is moneymaker and you're GONNA make money in it. I even twenty three. I want to stand there and buy stock how alley in Minnesota L. E. Hey Jim I just have a quick question in with regards to the future outlook of General Electric sure sounds good what's up. I noticed that the stock last year lost twenty two billion dollars. It's got one hundred eight billion in in debt and it's only got thirty five billion to pay cash. Do you think this'll be a stock that will go insolvent in the future or didn't uh no as a matter of fact I would say that Larry culpepper got the situation as bad as it is. Frankly under control twenty nine teams reset year twenty twenty. We'll be better the problem. Here is not Larry's doing and he is really cleaning things up so I don't Wanna bail. I do think there could be more. We do not want to bail. I'm going to Christian Nevada Christian. Hey how you doing. My question is. I'm currently down in my position sprint. Should I sell now or should I never you're on the wrong horse my friend. You need to be t mobile mobile with the deal without you got. John Leisure working for you and leisure is the bomb watch for stocks reporting not as bad as feared numbers Jason. Stop worrying about bt decline US week this to pick the ones that I've given you here tonight. College branch civilised easy reporting earnings say the portable festival estimate better than expected numbers but the stock still dropping feel like you need com- tailored for the move took the CEO then full time yeah all face it ugly sell them but the stock spinout they poker of late. So where should you stand with the Stop. I'm investigate and wild few days and the average is wondering how you position your portfolio. I'm here to help when we play. Eh diversified so stay with Kramer. Don't miss a second of mad money. Follow at Jim Cramer Humor on twitter. I have a question tweet. Gramer Hashtag Mad tweets send Jiminy mail to mad money at CNBC DOT COM or it gives us a call at one eight hundred seven four three CNBC. Something Ed Tha mad money dot C. N. B. C. dot com since eighteen ninety six. SNP Dow Jones indices has been leading source for index innovation. We've always been committed to leveling the plainfield with solutions for all investors as well as the cutting edge research and real time information investors need to navigate the markets confidently our solution span all major major asset classes in developed and emerging markets globally we leverage leading trends like es G. and factor strategies to anticipate these changing modern day dynamics get our latest insights by searching index allergy on the web these numbers from Constellation Brands S. T. Z. The big alcohol company best known for Krona and Modell this morning constellation Puerto. It first seemed like a pretty solid core. Netra factoring in at twenty cents earnings hit related to the company's major investment can't be growth the that's the tough cannabis producer situation they still deliver to twelve percent earnings beat off of dollar two dollars and sixty seven basis with southey higher than expected sales up to your ear. Even better measure raised their full year forecast. The stock end up getting hammered down six percent today what went wrong. We didn't think the headline numbers constellations wine and spirits businesses probably they're trying to sell their lower end brands to another winery at C. J. Gal one point seven billion deals been delayed which makes these results harder to interpret beer. Business was basically just in line. Companies Investment can't be growth getting pounded of late. Put it all together and there was enough hair on this quarter guests care where the bars are saying guess because we ought to find out more did the stock related to serve the plummets six percent today. You got to wonder if this could be the buying opportunity. We've been looking looking for your so. Let's take a closer look bill. He's the presidency of Constellation brands learn more about the quarter and where the company's headed Mr Monti. Thanks good to be here. Jimmy so bill. I've got to tell you in terms of things that were moving parts. Let's call them that it was tougher understand this quarter than others because of the wine and spirits lay with Gallo because of the way there's a counting for your canopy business so can you just walk smart a little better because I think people may have been so confused that they did the wrong thing. Yeah we think so too Jim. I mean when you look at our core business or Mexican imports. They were up in depletion over eight percent when adjusting to make it an even time him of how many days there were on the quarter very strong medalla was particularly strong up fifteen percent and was the number one growth driver with over thirty percent of the growth on the entire a beer business so we had a really strong quarter when you then add to that that our margins with the best they have ever been in the quarter. We think our beer business representing eighty percent percent of our total profit had a really really strong quarter. What I think people may have gotten mixed up in a little bit is some of the accounting treatments around Canopy Bob. Let's face it. Seven hundred fifty seven million is a big number and that number is how much we're up on in our total investment and canopy since we made the initial national investment so we think the same as you that this is a great opportunity for people to buy in because we think some people miss the miss the success that we had during the quarter quarter canopies come down along with the rest of the group. There are a lot of shortsellers driving down some of these types but those a lot of competition. There's a lot of cannabis stories out there. I'm being pitched one every we single day. Do you think that can't be because of some of the missteps Bruce Whitney done or because it doesn't have a new CEO because the currency is retiring is just too hard to get your arms around or is this an opportunity that may be. I know you guys have a limited how much you can buy but it does seem like it's the best capitalised capitalize cannabis story out there. Maybe it's up to you for that. One it is the best capitalized and importantly it is still the leader in total cannabis sales and with our acreage deal which will be finalized when legal here in the United States canopy will be well well positioned to win in the United States as well so we continue to be very bullish on canopy and its long-term opportunity to win in this market place. Do you think it can be the consolidator that everybody needs because I've you got Ta Bill. There's too many companies essentially right now. Yeah I think so you know one of the reasons. Is You know why we made the initial investment is we felt. They understood government regulation. They understood the science better than anybody else in the industry so no one in our judgment is better position than canopy to win. What we we all believe. We'll be at two hundred billion dollar business in the next. Several years or more are what are the things that the previous everyone's saying. When are you going to do a spy celso wearing spicer pills. Are you've got one now and say no one cares now. I mean it's really incredible. Thickly are not this category exploding just at the look in their frigerator of any millennial millennial. What does it mean that the corona hard seltzer and when can I see it in stores or is it there. I just hadn't gotten time yet now. You're going to see it starting march March this coming year but remember what Caroni is coronas. DNA is all about refreshment and when you add to the fact that corona is the most trusted brand from the for the twenty one to fifty four year olds whether they be non Hispanic or Hispanic it is a perfect marriage between Seltzer and corona brand franchise and as we've said before we were only going to do this if we could do it profitably. We're going to make a lot of money entering this category and we think with margin structure that is well above everyone else. Who's playing in it today now. How is that possible because everybody tells me it's so they're making a ton kind of money. Constellation brands well as you know our bottom line. Margin structure in this quarter was well over forty percent and when we see Seltzer forgetting to an effective run-rate level that takes a significant piece of this year. We're going to have a very similar margin profile on this product to our regular regular core corona business so if you look at the other players in the industry they don't have margin profile anything resembling that will be well okay so I I also want to know about we got some new tariffs president just put on Scotch and whiskey over there. We're having a little problems now getting through this. Maybe the Canada Mexico Trade Agreement. What what are these terrorists meaning for you. They mean almost nothing to us Jim. You know we were not sure whether they'd be any impact if anything would be implemented in Italy and it wasn't as you know we have our refusal property in Italy so given that the vast majority of our business is done here in the United States and has done with with with brands that are made here in the United States plus in Mexico. We will have no impact whatsoever relative to the tariff so we're good to go one question. I got a stake in for mess cal. You've got high west. You've got the best at least in my place. Selling Tequila did Craft Jin. Put these altogether. You're going to get something that in the end is going to move the needle for this big company well. Let's not forget fed gusts that guy was up in Iowa yeah right over six percent in the in the most recent quarter and we've got a lot of opportunity with the brands that you mentioned to to really grow our spirit portfolio. We're excited about it a lot of its craft. A lot of it's where the consumer is moving the whole premium trend but that whole sector of the business is going to be important to us going forward all right terrific. I'm so glad that came on bill really clarified a lot of good things that is bill new ones. He is constellation Brands Presencio. Thank you so much good to see you. Jim Cramer Hi everybody I'm becky quick along with Joe Kernan and Andrew Ross Sorkin welcomed the squawk pod from CNBC. That's right. We are launching a podcast. Everyday squawk brings you. The best stories debate analysis from the most powerful show in business news. You'll you hear interviews from our guest special behind the scenes content in the latest headlines. Everything you expect from squawk box in podcast. Let for us on. CNBC DOT COM slash slash podcast apple podcasts or on your favorite podcast APP subscribe to Squawk pod today. How do you know when it's safe to circle back to a stock doc that suddenly turn toxic tickled to. That's the largest cosmetics chain in America for years old. It was one of the Hottest Sisli Gross stocks retail then a little over a month ago. The company reported very disappointing quarter and the stock dot. Take taken to the woodshed losing you a thirty percent of its single session decline. Stop kept falling as one else. If another express it's their betrayal but over the past couple of weeks. ULTA started getting its group back. The stock surged from twenty five to sixty five although it's come down from there's levels after getting hit with a sophomore analyst initiation Goldman Sachs this very day so ignorant of this five dollar tip Ulta is well off its lows does and we want to know whether it's still a by from then or if it's bounce too much or if it's too high was this just a relief froude or something really changed here that makes this story which was just horrible more compelling. I think the rebound I think it's the real deal. I'm GonNa tell you what first of all you need to understand what went wrong here. In many ways ultimate was a victim of its own success for years. They delivered spectacular double digit same store sales some of the best in the whole whole retail cohort under the leadership of its incredible CEO. Mary Dillon Company did a tremendous job of getting people in the stores they Louis Room with their salon services cosmetics and hair care and skin care products of course they get you signed up for their incredible loyalty program which has millions and millions of people. It was an all round great business all round great stock. It was a long time Kramer faith in short ulta beauty became a market darling and the problem with Mark Darlings is when they failed to meet expectations. We'll guess what their stocks just completely eviscerated at the beginning of this year. The buyer seemed exhausted and it's supposed to stock had more than tripled in less than five years trading twenty-five time six years which is a lot for retailer plus in April. We learned that there were some heavy insider selling during the first quarter directors executives sold you a two hundred sixty billion dollars in stock when they saw less than fifty four million worth in all of two thousand eighteen the insiders included CEO Mary Dillon with the the benefit hindsight. Those insiders sales told you as a good time to ring the register in this one vehicle. I should've seen it insider sell stock doc for many different reasons. It's not necessarily a sign that something's going wrong. ULTA was huge so they were only being prudent and they took some profits still it was not something I like to see so that was the setup going into the last day of August. When ultra reported a subpar quarter and the stock fell off a cliff? How bad were these numbers. This bad wow while the company missed across every line item they they weren't business same store sales growth came in at six point two percent also wanted to see six point six percent net sales a little weaker than expected and they post an eight cent missile missile the two dollars nine hundred pages now the growth year was already slowing. Thanks to the law of large numbers but this was more of a slowdown than anyone expected because we're all used to having this thing beat. The number beat the number beat. The number is expected to blow up worse. There were some you'll excuse issues for example alters earnings grew at a slower pace than it sales else for the first time in years still at the results were tepid. The guidance was downright. DISTURBING ULTA slashed full-year same-store sales forecast from six from the six to seven percent range down to the four to six percent range. That's a rural diesel. We always quote diesel for total sales. They've been guiding for low double. Digit growth the edge that down down to somewhere between nine to twelve percent so might have been just high single-digit growth imagine took 'em cleaver to the Ernie's numbers cutting the midpoint of the forecast from just thirteen just under twelve civil in the com school Maryville and talked about headwinds. Oh man talk about a word. You never want your head wins. We are currently seeing in the US cosmetics ed exploring not long ago. ULTA seemed like it had tailwinds now. It's got headwinds. What is the problem here doing mentioned that most of the top cosmetic brands both mass market and prestige. We're experiencing negative growth for the year. ULTA thought this was temporary but Dylan says we now believe that the softest we've seen so far twenty nineteen will continue through the remainder of the year. Oh man that's just stinks. She goes on to explain the corporate. Okay the main issue driving. The softer cycle and cosmetics is that the newness and innovation that have been the focus of most brands. This year has just not driven kind of incremental growth. We've enjoyed for some period of time in the past. You'd have new styles. NEW RITUALS DO APPLICATION ACACIA techniques that would produce better numbers but don't tells us quote the most recent cycle of innovation has just knocked driven these behaviors resulting in a soft cycle for the cosmetics addicks category period so the makeup businesses hurting although don't you dare tell the Ki- ULTA supplier estee lauder ask for Breezy Freighters Company just reported spectacular numbers disturbing. I found it still outside of makeup. Listen very strong growth growth in every category especially skincare and don't said she's trying to fix the makeup is as promising lovers the company's consumer insights and more closely with their brand partners to turn things around Jeez when your company has a fabulous track record and you slash your guidance your stock. It's an islet. I the analysts cut their estimates on. How could they not five firms downgraded Ulta with Morgan Stanley argument. This was a quote thesis changing and quarter. That's devastating. That's why the plummeted nearly thirty percent in a single day and spent the bulk September licking its wounds. Nobody wanted a seemingly broken gross stock in this environment. The crazy thing thing is that in the past couple of weeks old has made her comeback. Usually it takes more than a month to get that kind of bounce after such an ugly shortfall. It's almost like someone's switch. The switchmen flipped here and investors have been given the okay to get back into Ulta. What's change remember how the insider selling earlier this cheer really should have been our signal to register Ulta. Well just get this late last month. We started seeing some insider by September twenty six. Mary Dillon shelled out about three hundred eight thousand to buy one one thousand nine hundred shares in the market. Okay not big but get this. It's not just the Charles Hellabrunn Very Smart Guy Member of ultras board of directors since one thousand nine hundred five biggest source source of insider sal sales this spring so they started buying in a series of transactions from September twenty sixth to September thirtieth harboring snapped up fifty the sixty million dollars worth of stock that huge unlike insider selling buying occurs. If you think the stock's GonNa go higher right thinking about insider cells all sorts of traded reasons. Maybe they just need cash estate planning divorce but insider insider buys on that's that's powerful. Wall Street saw that the people who know Ulta best had become buyers. That's when the stock bottom since then. It's been a big move but we were lucky today in that means if you wanted to buy it because it put back more than five dollars two percent after Goldman Sachs syndicated coverage with a neutral my view right now ulta cells from nineteen sometimes textures earnings estimates. It's no longer trading high flying much closer value territory. Actually the cheapest I reckon since Dylan took over and that's why I think the stock by the bottom line yes ultras last quarter was a disaster. I wish I had seen it coming but with this SARS buying in the stock looking cheap for Cisco Threat. I think too tempting to ignore when it's going down even if it's looking at permanently lower growth mid single oh digits same store sales figures well. It's still pretty darn good for retail IRA men by a little ole to here and then maybe you get a bad employment number. Whatever that would mean you get a chance to buy even more on the way let's go to Spencer in Florida Spencer but Bouillon well played so I was wondering what the market volatility going on right now only a good time to invest in a five and below or wait for a price point you know Mike Chappell Trust took a profit in it because we just felt we had such a gain went down then it started coming back and we think that we think the businesses really well. Run worried worried about tariffs frankly but then they came out and said listen. Maybe we do have to raise price. A little bit. I didn't fought blow is fine. I really want to buy a tease. I don't think you should buy up here but retail. Dell's making another move and this is part of it. Let's go to David in New York. David thank you for taking my call of course a lot of time trading the ask you about your thoughts on the real real you previously mentioned goodbye. Birds real real is one. I mean in what has become truly a class of second rate. IPO's this is a members only company for luxury auxiliary good and I like it now. I think a lot of people are worried. Is this the next stitch fix. I didn't think districts that bad frankly but we'll go into that and later I think real real feels real to enticing to ignore right now via little here and then grab some more market rolls over this is GonNa take the market debris down by this much money. Eh The market dropped over a hundred points in the first two days of October so you have to wonder. Does your portfolio have what it takes to fight the unknowns in the market pay. Let me be the judge. We're GONNA play. We haven't done it a while. How am I diversified then. When is a win not a win when it's a trade war win? Alex played all your calls rapid fire in tonight's edition of the lightning evening round so stay with Roemer when the tape starts to look like a Christmas tree. I understand why you might begin to feel a little concern but remember panic has never our strategy is part of a good strategy is maintaining a portfolio that can come face to face with volatility still gets you through defensive with earning season season getting underway. It's even more important and make sure you keep a diversified portfolio. They can deal with the ups and downs of what's the common. That's why we play. Am I diversified. What did you do okay. You give me a call. You tell tell me your top five hundred I told you propose diversified or maybe needed mix at all. Let's start with Scott Neil line. I Scott what cooking Jim how are you buddy couldn't be the scout from Chicago after thirty years of being in the S. and P. Five Hundred Futures Pitt finally trying to figure out if I inverse effect well I gotTa tell. You I'm honored that you called in because you obviously have a good handle on everything financial. So let's go to work can help you well. I hope you can't also I've got a J D Microsoft nvidia excellent and Sir Okay Right now. We do have bliss when my absolute favorite defense talks with you mentioned a friend who works for it and video was used today and that's because I think it's about to get approval Mellon Knox and also gets Mike Run. Stabilize excellent is a terrific utility. Sooner is a healthcare software company and Microsoft obviously obviously Great Tech Company but here's the problem. Mike Invidia do tend to trade together. I'm actually going to say let's keep Nvidia. Let's go with Microsoft and let's get a I'm scared of retailer in there and I'm going to select as of tonight Cosco and then I think we have total game but that has to be done. I don't like that overlap. Let between Microsoft and Invidia also known as my dog and I have a great dog picture today video go to twitter. Can I go to jockey seen in in California jockeying. Oh Yeah Jam for having me Back Time Fan of the show. I appreciate everything you do. Oh thank you thank you very much yeah so the five that I have our Disney Costco American waterworks. Boeing and visa all right. Let's go to work here. Okay Disney's entertainment murky. Arkham waterworks is a terrific utility. Boeing great defense company visas. It's terrific Fintech and COSCO's one of my favorite retailer retail. We've got entertainment. We gotTA utility. We've got fintech and we've we've got defense aero. Wow who what spike is stuck on okay. Let's go to this in Illinois Vac Iraq. I love creamer first time caller electing off. I am diversify. Let's go to work okay Roku. AM CVS DOT COM that's C. Well okay man okay here. We go Roku within a call and you know what we're GONNA do. We're we'RE GONNA. Call it entertainment. 'cause there's just a little too much overlap here. Don't want everything sold qualcomm going to call as we're going to call that communication software. AMD well. I gotTa tell you these are going to go to together so we're going to get rid of qualcomm because there's enough indications. AMD CBS big position actual Lord's really like and I tell club. Moore's one of the cheapest stocks out there is A. Let's just call her online retailer so let's keep broken we need to do is we need to bring in something here again. We can use news let see why don't we put in honey. Will I like to have a diversified industrial. That's doing incredibly well that would fit in in place choice of qualcomm. I know we're going to cut back on yield a little bit but I like it. Okay all right. Let's go to Dave in Kansas. Dave run shock Jayhawk Jim okay love. The jayhawks always been a Jay Hawk fan ever since wilt what's going on Danny. My Symbols Holds Our C. E. O. Key Deity. Oh yes Kale a love. PEP HE A. Y. All boy we've got some work to do here okay fintech which I love by the way it's a great great coach call being asked me about. I was too negative. It's a winner Kalay that semiconductor capital equipment. It's really good paychecks. We're going to regard that as payroll processing little small category PepsiCo go blowout quarter today and the is Gio oh to beverage companies but they don't trae together why this is hard beverage bridge meaning alcohol so we've got an alcohol company. We've got a soft drink and frito lay company executives should Regina Gilgen likes US especially hot on fire chips. I have to eat him with a fire extinguisher nearby Fintech but but we call payroll processing. I just love this company Kale sending duck equipment. I've been doing credibly well and thin too great fintech companies timmy. I'm liking. I'm liking what I hear. I N M I do. I have more you may have money is sixty minutes is back after the break and I mean the and then the lighting matters other. Are you ready Skate. Governor Light Resin drew in Texas. This is drew Buja Jim how you doing. I am having a good day. How are you I'm doing well. That's got a question for you you about yet. He like Eddie. I know people were worried about the balance sheet. I gotTa tell you I think it's a good shape and I want to buy. Let's go to Kevin in Georgia. Please Kevin. Hey how you doing tonight. I am doing well. Actually it out. We weren't bonds kind of train down here. We go what's up. They end up looking for your opinion opinion on the egg fertilizer or take on Mosaic Mosaic. No you know mosaic is that's a commodity business. I have always shied ride away from commodity businesses on the show and it's never hurt me that that's my view okay. Let's go to Canyon. There's a cool name in Texas Canyon. Show show me the money Jim. I'll do that with me. Jimmy sure I'm with you. Show me the money last year on this date square with ninety eight dollars dollars the fundamental about as good as the flights that the longshoremen is it time for the lab to unload the clip here well longshoremen where my wife Lisa who it was on a video today that I give people more fantasy. here's the problem you are going to run into the fact that they. Wa- Sarah Frier and the stock is never moved off ever since Sara frier left the governing so I like square but it is really incredible how one person could mean so much. I think that that companies good company. Let's cut it gave it in California cal point. We say we are Jim Cramer David. I'm calling again for your insight and guidance this time on Raytheon Arkin and made a little pop when Finney birger look. I gotTa tell you this combination can raytheon the United Technologies is simply brilliant. I don't understand why people people are so worried about everything here. Great again a great. He's got this completely under control. It is a by rate at Mercury on united and let's cut a Romi in Virginia Virginia Romi Jim. This is Romi Virginia. I had a question in reference to Bristol Myers. Ah The merger the merger with cell gene is going to be a winner and it is true that I like the Abbey Hourigan merger more but the Bristol Myers cell not merger is a dynamite Combo. Let's go to denise in Virginia Denise. Hello Jim everything my husband's though and I are top fans advisor family and friends and you recently he's looking at Davy Net for our long-term dot portfolio the price over the team. You know you're going to be good thing. I'M GONNA send you back to that then toss. That's what I know. I know what's inside. Ben Toss. 'cause I know Cafaro. I I don't WanNa. Go feel like you are. Let's go to Daniel and Pennsylvania Daniel Daniel. Yes come on my brother. What do you got your ship Gramer. Yes Kramer. Thank you for the valuable service providing health for the thank you is this. The kid is invest thank you what is your opinion about an Kado oil and gas. Don't coach real bad I actually I don't WanNa touch it matter of fact. I I am sixty. I often talk about that. It's about what's worse. Stocks can go to bed and that's because there's no such thing as negative numbers Bryan Indexes Brian. I hear you Brian Djerma in Texas originally from flatbush in UTICA. Okay there you go I'm invested for income at this point. I'm going to be happy that I bought Finish Petrole mess today. Yes and I've got my chapel. We look at it here. We're like shocked at how bad the stock axe but it is a fossil fuel company and the millennials up rebellion yield six point seven percent. I think it's a very good good situation but I recognize how much possible fuels are hated. Let's go to one more. Let's go to Tom in New Jersey Tom. Gin Hey listen. I want to thank you for the skills. You passed onto me. Oh terrific thank you. What's your thoughts on waste. Management was hoping we're going to be able to say I feel very good about it and don't forget we've Mr Fischler on and he's burry good. It's CEO. This is the level and that ledger couldn't how the lightning round is sponsored by a when is a win not a win when it's part of a trade yesterday and it's the worst sell off in ages so there was a moment where it looked like wall all street genuinely believe the president might take WTO victory against Europe and simply use it as a bargaining chip to get better deals if this ruling against Europe for dumping Airbus planes was fifteen years in the making why don't use it to show some graciousness negotiate better terms over the long term from the EU on a host of other products where their tractors remortgage remortgage us at least. That's how the thinking went. The president trump wasn't having any of it. He slapped new import duties right on instantly ride their faces no negotiations just here's a new tasks wind scotch host of goods. We import from your. That's the last thing that Wall Street the street is hoping for actually yes indeed a measured response to distinguish good got Europe from Bam Bam point China so etre punishing opening why other than how did not crater may actually bounce because there's actually another camp of investors who believe that the White House could be even more punitive here. There's just happy. Trump didn't go after the licencee. LVMH erm is hence this tie or some of the other finer leather goods just really make a mockery of things. I gotTa tell you this is all becoming insanity. If you don't know where the president is on trade at this point and you haven't been paying attention to this show trump appoints tariffs everywhere to reverse longstanding trade imbalances everywhere he thinks the United States has been a patsy all over the world and regards this. WTO Williams win he wants to use it to escalate are simmering trade war with China Dreamy trade with Europe as well as keep going with our neighbouring China and you know what that is bad news for the stock market in short while this ruling was a win against Europe's unfair trade practices. I think it'd be a loss for our economy and our stock market. I say that as someone who's back though trade war with with China the hill but this is not the time the raw all new tariffs not when we're fighting a potential economic slowdown in our our country really though I'm Qatar said so many money managers in commentators still haven't figured out what President Trump schools are. He's been pretty upfront about it now. I think the president's had a two prong strategy on on trade. He wants to confront our allies bludgeon them into opening more plants here while at the same time starving China of new investment but tariffs are basically a sales tax and any kind of sales sales tax hurts our economy which brings us to second pro. The White House was hoping that the Fed would back them up and cut interest rates aggressively offsetting any damage to the trade war. Unfortunately if you wanted to accommodate Federal Reserve he really shouldn't have put it very different. People because fed chief trump pal doesn't seem self as a team player is an Orthodox Central Bagger he controls the independent so pals raised interest rates with Alacrity last year and now he's dragging his feet of rate cuts without the Federal Board. What are we left with the dollars too too strong for manufacturers to thrive especially in the slowing global economy. It's not like these new tariffs on wine and olive oils would create jobs instead. Our largest enterprises are paralyzed us with indecision as executives. Don't know where the next tariffs are going to hit. It seems so capricious arbitrary. We're fortunate that domestic economies still humming. That's made up for Slowdown International National Congress. Last night. We spoke to paychex payroll processor and the job creation day talked about is very real. We have a real labor shortage. That's godsend for anyone who works for a living but the last thing we need at this moment is a two front trade war. Hey Look I'm all for cracking down on China probably harder line and a lot of people the White House and I think we started the upper hand there and I know that a Europe plenty of unfair trading practices of tone in theory president trump's not wrong you but in practice I think fighting to trail could be self defeating for our economy and first first presidency. It's too bad because judging by the president's attitude he's happy to keep imposing more and more tariffs everywhere. That's something we can't afford much more unless the Fed is on board which it's not Mr President is time we had a deal done something not unilateral just to show that we still have a functioning government when it comes to trade these days even though I am a hardliner maybe the harder than you. I am wondering well. Let's just say if we ever get done and we'll get the unemployment number. I can tell you what I fear. On Fridays. We've had a lot of erotic tweets from the President President and if you want the market to stabilize Mr President this might be a good time to start tweeting about other things than the stock market for the Fed it. Let's say a role how we from probably go higher no matter what let's take a little were. Taurean One tweeting about the quite sensible mortgage software. I'm certified it just right here man money. I'm Jim Carney I'll see you to borrow I'm David favor join me crawl into me and Jim Cramer for the opening bell our of CNBC squawk on the street the podcast subscribe for free wherever you listen and you can always catch us live weekdays at Nine A._M. Eastern C._N._B._C.
Constellation Brands CEO, Winners of the Humanization of Pets Index, Homework: Sea Limited
"What is decision tech by fidelity? It's technology that can help you find a stock based on what's trending or investing goal. It's real time insights and information formation delivered in your own customized view of the market. It's smarter trading technology for smarter trading decisions and it's only from fidelity pretty open an account today at fidelity dot com slash trading fidelity brokerage services. LLC MEMBER NYSE SIPC. My mission is simple to make you money. I'm here to level the playing field all investors. There's always more work in summer. I promised to help you find. Money starts out crave Balkan money. Welcome Mark Cuban. My friends. I'm just trying to make some money by job is not just to entertain but teach educate coach calling one eight hundred seven three. CBC Or tweet consumer. What are you look at your resilience or complacency the averages staging huge rally last night's moment of crisis when Iran launched ballistic missiles at Iraqi airbases housing? US troops and no Americans were hurt. I'm marvel this markets ability to overcome even the toughest of obstacles Dow gaining one hundred sixty one points espy climbing point. Four nine percent Nasdaq four. Point six seventy although it was higher near other the say about an hour for close so is this book being resilient as or our investors being being complacent why not both yeah. That's what I think is it's a combination of these two forces and I think they've taken control i. Let's cover complacency. A few few days of the United States ordered the killing of extremely bad guy and Iranian gentle who've been the major architect of state-sponsored terrorism in the region. Now I'm not here to litigate whether or not that was not Michael. What matters to the stock market is that most commentators immediately assumed it meant we were headed for war with Iran? Do Not Pass Go. Do not collect two hundred dollars. There's took it as a given that. Both sides would keep escalating until all out. War became inevitable the price of oil oil and Gold Sore. We saw investors by ways of put options betting on a monster sell off but at the same time the stock market pretty much ignore though fractious evil. It became obvious the retaliation was imminent. Iran finally struck back last night when the market was closed they want more than a dozen ballistic missiles at air basis interacted house. US troops and the overnight a futures plummeted five hundred Dow points now and actually you know the president tweeted. It looks like there were no American casualties. And all was as well you can see the future star rally. Then a Boeing seven thirty-seven non maps from Tehran crashed after takeoff and the second wave of fear swept the market. But we're no. Further attacks came when the Iranian government tweeted that their message of revenge has been sent the overnight futures reversed the Pajama traders who sent the markets down to percents reveal to be just plain wrong. I've been telling you a week. de-escalation was always on the table. And that's exactly what both sides seem to be doing the scaremongering needed. Did you use disservice by playing down that possibility. Things only got worse for the bears when we got the the kind of Bush numbers that just finally staying the course but outright buying stock complacent going to the Iran crisis that complacency paid off when the president demonstrated restraint baffling his critics who simply can't conceive of Donald Trump with an olive branch instead of Zucca however such de-escalation was Asian that induce short squeeze that that was part of it but that was the bigger. We've got some genuinely good news. From individual companies as well Samak when formation mation and that helps explain the markets disease. Why don't we take them down our first? AP That's the nation's largest payroll processor. They should more than two thousand jobs created last month and its latest survey. Okay well any piece not the ultimate arbiter here. That's the Labor Department's nonfarm payroll figure that comes out through Friday. It showed that the Fed's cuts they're working. We also know the cuts working working because lenore gigantic homebuilder Elian reported today. Every single item was most important new orders up twenty three percent even better management told us to California California one fifth of the country but even large percentage of NASA's housing market has bottomed. It's been a lot of trouble that they're just numbers peaked. Little while ago. Now it's recovering that's all about J.. Pals rate cuts working their magic third. We got the same store sales number from macy's with remember not not as bad as feared the company use. Here's a close underperforming stores trimming its footprint to slept with mostly good stores and high quality are knows A or B malls. This smart strategy should have done a while ago just reminded that we could see he some much. Better numbers from retailers including Nordstrom perhaps home depot between the strength and the strength of the basis. I've got to believe that the housing-related chain chain can reverse its recent underperformance and enter the bell tonight Costco nine percent same sources. Nine percent of they did mazing ECOMMERCE afterthought for them. Well I gotta go to Costco someone. tweeded Kirkland has great locks doors curtain fourth catch been roaring or week but we needed some reinforcements forced to keep the ball rolling. And that's exactly what we got from Apple Apple holiday sales specifically cover lead some data on holiday APP sales ellsworth air pods numbers were staggering. It's not easy to move the stock for the world's largest company but this news love apple to climb nearly five bucks breaking through the level. Hey You oh my thesis. It really hasn't changed that much apple. Only this company is incredible track record of innovation and customer satisfaction. Let's keep monitoring their nine hundred twenty five million million iphone users now. Look I was going to be -cation recently seven other iphone owners all older models unlike me with my spiff eleven got the three camps spike. The continued carping from the naysayers would drive me crazy that there's nothing new under the apple son. I think everyone of my trip dates now feels the I need only iphone eleven. It's much leapfrog. Same thing with the twenty people in the box of the eagles lost last Sunday. We're only my phone was worth taking pictures with. Pictures came out to dark the other models so much for the no innovation. Wrap this steady drumbeat. We've had unbelievable coverage. CBC of Incredible Utilization Station starting to see these new technologies really pay off five G.. Zuma trying to show is just amazing this year. It's pretty similar to the up become turned we got last night from Harman's Winston East Powell. Did you catch that. He regale us about stories about products. That we've seen I think would have seemed impossible recently. Maybe he's a couple years though not enough good news for you happier story. Almost nobody noticed this morning. American Express finally got the nod. If years and years way to open up a Chinese franchise all on in its own no meddlesome joint venture partners here. Good news it. It's really kind of thing that I didn't expect to see right now. And I think China's hi China's going to follow through with its promise on the phase one trade. What does it mean for? MasterCard wasn't for visa for Goldman Sachs nose to find out they're just buying or how about the companies but he's that we're supposed to screw up a didn't this morning constellations brand symbol S. T. Z.. Reported very strong quarter fabulous consumption and not just from the middle and Corona we sell loyd Sim partially Miguel Mexican restaurant in Carroll Gardens Brooklyn. That wouldn't be so important if there hadn't been a story circulating yesterday. That constellation might have shortfall shortfall because of slowing beer sales. Sure bear beer sales. Will they not as greatest that they've been another another time but they were pretty darn good and compared to everyone the business these guys are grasping it. We do. Deep Dive Constellation later the show with bill. Nunes Fabio CEO. Let me throw more more. That's one that I've kind of bashed of late Rub. I've been extremely bearish on the online food delivery business. I think there are too many competitors and it's ripe for consolidation. The private tour dash already bought caviar from square. which which by the way is finally getting respect for growth posted departure from the amazing CFO? Sarah frier but dentistry needs more deals in today. GRUBBS said they're considering a merger but what are the stock roared award twelve percent. Here's an idea. They should be bought by door. Dash or by UBEREATS. Could've forty-five that happened. I would of course we still had one more day. We're Tesla's Seles steamrolled the shores thanks to some price target bumps. Netflix soared on note. That perhaps there's no churn coming from the Disney plus initiative the bottom line all these Bush notes it's create conviction which creates resilience and causes complacency keys potential sellers from selling. That's how stocks that's how they have a spectacular rally. Let's go to Joe in Pennsylvania. Joe Boulevard Jim. I'm a first time. Caller are long time listener. Thank you about nineteen months ago you had to show regarding the cloud princess. You mentioned that Cooper software was wonder under the best of the princess. The next day I went out and bought shares yesterday they made an acquisition of travelling and expense specialists come committee. They reached an all time high. Today I'm up a hundred and eighty five percent. You think it has more room to run or should I say I thought that was. It's very good. I think management is doing incredibly well bulls make money bears make money hogs get slaughtered so kick off a little the restaurant. It's a great story. Let's go to FILL IN NEW JERSEY. Police Phil boy adopted. Kramer how are you good. How about you Phil? I'm doing doing good. I'm glad to market came back. It's been a whirlwind overnight. But I tell you I took advantage after hours later. What some good stuff? So that's so great it more than that but anyways I wanted to talk about WorldCom. So you know they. I do my homework. They came out with it. Earning the company solid and now they're selling for semantic. WELL WE'RE GONNA semiconductors are going up this downturn. I bought some yesterday. You know I WANNA buy more. I'm not sure I should. The stock is is not die correctly. I think it can have much more room to run thirteen times. Earnings four percent yield really fabulous management. You're not making mistake. Brooke comes a winner. Have always had a ride in Wisconsin Rod. Hey that's right Big Deal from the frozen Tundra. It's Berber cold in Wisconsin. Well Goodbye Goodbye. You got a big guy. He got some big football coming up. What's going on? I'm a retired TEAMSTER bus driver I took a hold of a rocket called a line. Technologies technologies months ago right back in August it kind of thing. The market took a big bite out of it. So I like to follow rule so over the next couple of Months I bought twenty five dollar blocks. My average cost now is two hundred dollars a share. I sold half of it. Made a seventy five dollars share profit. I'm remaining under the other. Half earnings are coming out at the end of the month. I don't know if I should hang onto this rise. Get take four thousand dollars in by packers super bowl tickets it or hit. I love that call. I think the stocks had a very big run. I want you take a little more off the table. It is a competitive industry. And you've really made it's been a terrific terrific by goes through the tax. Is this market illustrating resilience for complacency. How both Ahmed tonight? What the dividend cut in core lab is a frequent guest on that money singles for the overall Wale Mark? Then pets aren't just for coddling. Ms Best Franken help warm your wallet. To a mining companies can help you make money off the trend in the new year and Constellation brands earnings. beat well what to say making one out of celebratory cocktail. I'm breaking down the numbers with the CPO. So stay with Kramer. They don't miss a second of mad money. Follow at Jim Cramer on twitter Abba question tweet. Gramer Hashtag Mad tweets in San Gemini Mail to mad money at CNBC DOT COM or give us a call at one eight hundred seven four three CNBC. There's something bad bad. Money Dot C. N. B. C. dot com. Take them troll of your financial future without about new mad money DOT CNBC DOT COM Kramer's exclusive C. E. O. interviews full episodes analysis. Even your own soundboard plus special access access to mad money one on one with rules and techniques to break down the market for all investors. The Red Flag that makes tropics stopped. Amelia's it's everything you need correct when you need it the new VAT money that. CNBC DOT com. What is decision tech by fidelity it's technology that can help you find stock based on what's trending or an investing goal? It's real time insights and information delivered in your own customized view you of the market. It's smarter trading technology for smarter trading decisions and it's only from fidelity open an account today at fidelity woody dot com slash trading fidelity brokerage services. LLC MEMBER NYSE SIPC and winter skin to market core. Labs told you everything you need to know. When and it slashed its dividend from fifty five cents to twenty five cents on the last year for its purpose? Fiscal Oil Service company out there. There technology helps producers find oil and get the most out of the reservoirs as the price of crude rises. The services become more valuable so with oil choline up rather nicely at least today's poodle reversal house business practically. It's the worst I've ever seen even worse than January. Two Thousand Sixteen royal briefly traded blow through yards about less than half word. What makes me say okay? Core has been mad money many times. It's a very thoughtful company. They make their decisions based on traditional metrics like for the return on Equity pie-in-the-sky forecasts drill for years of Dividends Been Sacrosanct Bash. Wouldn't unless they had some serious long-term concerns that the oil industry just isn't coming back in the supposed to. When the price of crude goes higher? The news was shocking devastating quarterly cut. Its earnings forecast for the latest quarter by roughly fifteen percent. Yet they cut. They're given by nearly fifty five percent that doesn't make any sense unless management's come Peugeot that the oil business has fundamentally changed at first first glance Kors explanation seemed innocuous quote the decline in. US on Shrek has proven to be more pronounce. Originally forecast in core labs third quarter earnings agrees with these from October. Twenty third okay but in many ways it speaks incredible valley despite an uncertain world where the straight of could be shut down by Iran. Anytime a work you work. International oil producers have let their wells went down drastically. I doing just isn't picking up in fact if you look at the Baker's Land Rotary recount my favorite indicate of joining demand in this country. It's actually collapsing. Your one thousand fifty rigs on land in this country. Now they're severs heavy three that staggered right especially you could see where it was fifty two dollars last year lower than it is by the way. That's why the stock market refuses to really freak out about Iran. These investors sell stocks of tension in the Middle East because this historically it causes well price despite that raw cost inflation and can devastate the economy. We slow it down a lot yet. That didn't happen this time around in the skew things well really is barely budged UAE. Because if you're used petroleum you know what you can lock in prices out five years there. That are much lower than the current spot. It's that bountiful. There are three the reasons for this one. The demand for oil seems to stop growing the world. Used only eight thousand bows per day last year. That it didn't twenty eighteen substitution conservation nations preservation. You name it. It's taking its toll on the growth industry to we have a tremendous amount of spare capacity in this country park because of all the shale fines for the last fifteen years and president trump has been incredibly Oil that spare capacity means. We have a much easier. Time absorb supply shocks three technology. The technology of Rick Redevelopment has producers getting a lot more oil per rig so when tensions there in the Middle East. That's not enough to send the price of crude surging anymore American producers. It's Charles Bigger problem solve. We didn't see a massive spike. If you're twenty five Jones plus half of Saudi Arabia's oil production in September. Maybe we can handle the whole country. SCOFFLAWS off-line for days or even weeks at a time plus not just America. The Saudis can easily prove another million barrels. A day. If they wanted to the Russians are eating up the SPLIT THEY WANNA encourage. There's simply oil oil everywhere and not a drop to drill when core labs the brain of the complex cut its dividend last week. They were telling you this. The situation is only going to get worse for the industry. Not Better and maybe that's all you need to know stipple criminal Jim Cramer. You're one of my heroes Laura Chick every weeknight. Thank you so much for helping beginning investors like me when you you talk about the market. I just believe that your spot all love and thank you so much. Every night we want to have learned and earned I'm a big believer in finding powerful long-term themes and then sticking with them maybe for years and years but that only works if you wanted to do the homework doc. You can't just bet on major trend forget about it. You have to keep checking in to make sure it's still playing out the way you expected which brings me to the humanization of pets. It's the idea that Americans increasingly tree compaign animals as part of the family like we do so we keep spending more and more buying them high quality food high quality healthcare. There's there's a fabulous story that's made our viewers a lot of money over the many years that we've been on but unfortunately this is a big but we always like to talk about what we get wrong wrong is what you get right. Last summer. We updated our humanization of pets. ETF that we created a list of eleven ways to play this team and we got to aggressive in the past. I've only recommended minute. A best of breed pet place with ATF. I decided to be like all those other. ETF makers and put them all in their little more risk Some tried true names aims and a few of them just constantly say they blew up in my face. Commit plenty of the pet stocks are still working here but there were some big individuals. That's why the bad money humanization of pets. ETF is only Browley half a percent from when I updated June to the end of the year versus I thirteen percent game for the five hundred. The same period in particular Henry Shine spun off its veterinary supply business as CO veterans and that thing has been an absolute dog down forty six percent chewy the ultrafast go online pet. Had Food retailer. Second was fourteen percents. Never all the close stocks fell from grace pet IQ and a prescription and over the counter drug maker focused on Alice. Pledge Nineteen percent set we cut pedicures. Wait half when we updated. Etf June because we knew something was very wrong. You're clearly we should have just taken it out entirely a long ago. You Louise Old. Animal will help to down six percent. Even Longtime Kramer fave I desk which makes diagnostic equipment veterinarians in the second half of last year as always bankable chairman was seriously injured in an accident and had to pass the range onto a successor. So what is the lesson here of this. ETF what's the lesson of a lot of UCF's frankly I'm kicking myself because the main lesson is something I should have known to begin with. It's much better on a couple of extremely high high quality stocks that you believe it then a broader basket mixes the good with the not so good. There are times when it makes sense to put your money in a basket of stocks. I will get straight stretch where you're speculating on. A bunch high risk reward names like biotech companies in which. I think we'll be able to see next week when Jane Morgan Healthier Conference but generally speaking trying trying to pick a few winners is a better strategy than owning an ETF even when created by yours. Truly if you're willing to put in the time and the effort needed to invest vest in individual com companies. Well that's exactly what you should do if you put most of your retirement money in an index on twitter people because I know that I'm Jimmy Chill now now. Please don't hit me and say he doesn't like index funds because I love index funds and my daughter called me jumbo chill this morning for complete story. So what do we do with humanization. Nj ship pet stocks going forward. I say let's go back to basics of folks from the best opportunity rather than a best. Buy Favorites you twenty twenty. Actually some of the worst performers executive team. But but I'm going back to the well because I believe in I'm going along co and I'm going chewing which has these portraits of your dogs since letters about them and stuff. These have a lot more room to run. I'm going to tell you why now. Let's start with ubiquitous. Chew you probably see their boxes. UPS guys always got him on the truck. That's the online online pet shop. That was spun off by Pittsburgh June to Kim public at twenty two then immediately shot to thirty five closed on the first day trading stock more time than mid thirties until September. When in a couple of Puerto what was generally viewed as a not so hot quarter and then the stock broke down by mid-november to come into claps? It's bucks in the past month though. It's made a major comeback. It's Kinda stocks are all coming back. It is voted to twenty eight dollars and change as of today. This is really kind of A. This is very typical ramp of a lot of the high growth stocks. That don't make money now. Why is we've been survivable? Well some that comes to time company came public June not long before the IPO window slam shop. At the time investors were still willing to pay fast growing but unprofitable enterprises like Julie by September though money managers had got sick. These high flyers and stocks late choice suddenly went out of style style and Wall Street fashion show. I'm always talking about the other culprit. I think choice results in widely misunderstood here consider the numbers that caused us. Dr Get hammered back in September. That time I'm chewy delivered better than expected sales of forty three percent year. I liked higher than anticipated gross margin three hundred basis points. So we're right I hear you. You're getting some really good news and people just hate it. That's when you had to be buyer. Even better management gave you Bush sales guides for the next quarter and they raised their full year forecast. The boop flying okay should we report a wider than expected loss. But to me that looks like a strong quarter member why we liked these stocks growth. So the same thing with the two we were put in December terrific sales terrific cross marks and raced full. Your forecast once again losses. We're bit larger than expected this time though this back only got dinged briefly before rallying rallying pretty furiously Chu is not an earning story people. You shouldn't be thinking that it's a sales story. But every other metric has been on fire for these guys most importantly you need to look at the percentage of customers who are getting their orders automatically shifted in my lifetime value. People who've signed up for occurring shipments in the latest quarter these automatic orders account for more than seventy percent of Jewish sales. That's incredible that's up sixty six percent of the year before this customers who are satisfied. It's used it. Means Jewish becoming more of a subscription play and that makes the stock much more valuable than all these one off different bus and look choose. Valuation is extremely reasonable listening. It's real trades. It only treats at just under two times next year sales for a company four percent growth that is a steel especially when you consider the two might be able to turn a profit picture. Oh and the lockup on insider sales expired lists monthly schmoozing huge overhang clear sailing my other pets pick things clear ceiling to it so long ago. It's an animal. We'll healthcare company that makes medicine additional feed additives vaccines anti parasite drugs more specialized treatment for comments among companion animals like us your osteoarthritis orthopedist. And you're infections. We use the stuff at home fraud mostly for Invidia. This stocks sold off hard over the course of July and August based on worries that Lanka's encores paying too much for bears. That's buyer B. Y.. You are the German thing and we'll help visit simplisafe billion but once people got their heads around the deal well. The stock was found. Its footing again. It was a great move as buyers motivated celery ISA raise cash to handle that massive one of the worst which is ever the by of Monsanto. You see those ads. Timing people look for other people just assume these guys full-time the deal makes a good around along. The world's number two animal health play play and substantially shifts their focus away from livestock and toward more pet exposure. No Wonder Lanka stock. Bob Shooting there after a couple of months ago the cut reporter robust quarters in annals has graded the stock. I think they illustrated an important change in sentiment here. Longest been a law. Guard Wilson Right now. Compared to the other other big animal health plays like Zo edis which has been so great an IDA which win over earlier plus Wonka was actually. It's really cheap. Stock currently sells for a little more than twenty wanting time six years or resentments. That's incredible bargain for company. That's expected to post fifteen to twenty percent earnings growth by comparison so at us which we know is really terrific. Kristen pack runs a gum. She's terrific now sells for nearly thirty times textures numbers. I think long getting discount I copy but along. His stock is too cheap bottom line. We WanNA to keep playing you musician pet story and I think we should. We need to get more selective focus on the stocks that could potentially have the best prospects. That's why I recommend dubbing damn right now on a long ago. They can't Missouri Tent. Hi Jim thanks for taking my call for some color crap so I got into it after. They've made some operational strategic changes over the past few quarters for still weekly stocks not getting trust and do continue to hall or do I cut and give up on the phone. I don't care for Kraft Heinz. I like growth and Kraft Heinz has very little growth. This is this show that is very much oriented toward picking stocks. And that doesn't have it. Let's go to Joe in Illinois. Joe I'm good L.. Let's it's going on first time. Caller longtime follower your. Show love that my question is about the Merck is The dip buying opportunities were bristol-myers. Still a better bet. They're both very very good. My Chapel Trust owns tomorrow and I think it's absolutely terrific but let me just make the case for one moment about Murph. They had a little problem with one key truth and try involving a particular kind of cancer but ki-choo to is a wonder drug and burqas marvelously. Run I say Merck is fine. Alright all right plenty of the pet stocks are still working. I think this is your double down on the best ones. And I'm like in this. Chew in a Lago. What for me? Money is canopy. The growth way on Constellation Brands Manasseh Pot thing stocks headed higher that way up to earnings. I gotTa ask you about one company. It's a company shares. Were up two hundred fifty five percent point. Nineteen you've never heard in our building named when I turned into night's homework it's wow it's a whopper. All your calls. Rapid fire tonight so stay with Roemer is that popping and fizzing the sound of Vista going flat. After earnings constellation brands his still keeping their spirits up but can the company claw their way back into the hearts and home gamers looking constellation insulation brands the stock war this beer wine powerhouse. Best known for Corona and Madel had written off and left for dead by many investors recently thanks to fears of slowing beer sales. ETA potential overpay for its marijuana's in two thousand eighteen constellation pumped four billion dollars canopy growth. That's a big Canadian cannabis play but over the course of last year the whole week court forgot what this warning constellation reminds us that marijuana's just a sideline for them when they reported a spectacular quarter and they continue to be pulling we'd the company posted a gigantic thirty percent earnings beat all the four basis and their sales came in substantially higher than anticipated. Takes you incredible strength in the beer. Business and better than feared numbers and wine and spirits on top of that management razor full year forecasts. No wonder the stock folded nearly seven dollars. Three point six percent so could twenty twenty terrific rebound year for these guys. Let's check in with bill newest all issues. The presidency of Constellation brands get better. We don't a quarter where the puppies headed Mr Newest welcome back. Didn't man money. Thanks good to be here. Hey Bill you're your quarter was really incredible and what I think people seem to misjudge. Is that as you said. You're just beginning kind of scratched. The surface and Sales Maddelo widen. Why do people not understand that? This is the only real growth in the beer category. Well Mandela Jim is not a one hit wonder when we think about the last decade you came out of two thousand nine at roughly thirty five million cases last year we did a one hundred and forty million cases. It's the number four or beer brand in the entire beer category and it's got tremendous upside. We're just beginning to tap into the general market opportunity around that brand so even I know it's been fantastic and has had thirty one consecutive years of double digit growth. We think the sky's the limit. You know I I don't want to burn lead it here but how people die if they your stock the last ten years well ten years ago coming out literally of December thirty first two thousand doesn't nine the stock was just over fifteen coming out of two thousand and one thousand nine hundred ninety so people would have made a thousand percent over over a decade and as always say we think there's a long way to go now when you've doing some exciting things. I hard seltzer is. The thing is taking Kim Braden this taking the whole market by storm. You said today that you're going to be offering a couple of flavors and you don't expect it to take share from your own beer. Only the domestic appears. How's that going to work well? The betterment category is one that the Seltzer group is really appealing to. And you know. There's there's nothing better when it relates to refreshment than corona so our belief is corona. Hard Seltzer is GonNa be a really important player in this market the market it was sixty mill almost sixty million cases last year. And certainly it looks like it could easily double in two thousand twenty and we're GonNa get a significant share of that market but you let to spend more to be in their correct we do. We're prepared to have one of the biggest introduction spends that we've ever had against a single brand but AH recognize we're spending against a franchise and that's corona so We're we're quite confident that we will get a significant share of this business and and we can't wait for March wonder all around well. I know it's popular particularly the millennials. Now let's talk about with David Kline's up to. He's going to canopy. You stuck by canopy today. There are some people who fear that. Maybe you overpaid kind of like what happened with ballast point where you admit yourself. Billion Dollars didn't work out. Can you reassure rus that you didn't overpay. And the prospects are bright for canopy. Well as as you know as well as anyone anytime you have a startup industry they're spits in spurts attached to it. What we're excited about? His canopy remains the share leader in Canada and the largest seller of cannabis this around the world. Now we're putting in place a person that you MC knowledged yourself is a great season executive who will bring disciplined and focus to the leadership of that the business so we remain very bullish about it. Admittedly there will be times when we get spits in spurts and the cannabis business. We think the long term play around that we'll be quite healthy. Well there's a lot of money in right now in the corporate structure of canopy. You've got kind of hard to understand warned situation if we're here to legalizing United States would you be able to Bible of canopy intake full opportunity for the money that you put in it. That's left well. We don't have any plans to do anything to put more money into canopy. At this point we obviously have worn opportunities and those are in the money we would certainly plan to exercise. This is those. But we're quite satisfied with where we are with our position owning roughly thirty seven percent of the company. But we're we're anxious to see what happens in the United States dates as you know we've introduced the first and free brand which is Base brand here in the United States that you can get through the direct website. So there's there's going to be a lot of opportunities going forward in the US whenever that is legally available to us and you've got to be happy about the way that it looks like the new Nafta's working working out not that you would be expected to be making Mexican Beer Michigan but the whole task situations coming together. Pretty well for you right. Well it has. And we expected expected as we've talked before that the tariff situation didn't make a lot of sense as it related to to Mexico and the United States very tight trading partners and and in fact the tariff issue has not been related to us in the least and we're pleased about that. We're we're just focused on making sure we're going to continue to bring great appear to the American public with our Miguel and corona brands in particular. All Pacific goes a good option to get speciale. We're waiting to get special. Buy Place Bill. Thank you so much for coming on this show. Great to see you good to see you. That's Bill Nunes. Presidency of Constellation Brands. S. T. Z.. People this is the only fear company that has any monies back into the brain. Is Tom the lightning round is over. Are you ready skiing. I definitely up with Diet and in New York. Diane Hello Sir. I'm interested in the names. Oh I think doc is part of the way to be able to keep costs down in healthcare and we've been behind the the J. Age icon Andrew President Kramer. I'm a proud of Resin Kramer. Well okay I'll take that creditors. Pretty vaunted position. What's up? Yeah Hey and just seeing what you thought about thicker K.. Art Becker the flag. That's mental health. No health is Homeless impossible to get right. It's a total spent. I'm not kidding everybody's trying to crack. Mental Health has really unfortunately failed. Let's go to Bob in Ohio. Ohio Bob Low Jim. I am a long time listener. first-time caller your show and your comments and suggestions I'm actually calling for my nephews. Finally I'm starting to get interested in stocks. Okay I opened custodial account for him. That's great When he was in his early king showed no interest now? He's First Year in college and he's taking computer classes and he's interested in the cybersecurity thirty space. Okay so one of the stocks that he was interested in was cloudflare. And I know you reviewed view get when it first came on right after the IPO. You weren't too excited a mile. I don't think there's much to Bob. I I was hoping you know I usually your nephew should do go over some of the stocks that we talk about a lot on the show like a cloud can be one of those. Things have been vetted invented indebted. I would feel so much better if he did. Doc Let's go to Ray in Pennsylvania Ray. Hey Jim probably all right all right are you Good pelous suitably APLA. Just doing an equity offering. I got a little thing and it puts up so much. I'm suspicious of the offer. I want you to wait. How about Brennan and Massachusetts Brandon going? Jim Really well but how about you a pinterest. Yeah yeah we were kind of Luke warm. We had such high hopes and it doesn't have the growth that we'd like to tell you. I prefer for twitter to it. I certainly prefer facebook by the way the reddening destroys well facebook lately. And don't you think that's one of the reasons why the stock is soaring. I guess the print Geis's kind of I guess I got tired writing about it. Let's go to Joe in Pennsylvania. Joe Jim Happy New Year to you. Hope you have a healthy happy new year. Oh Joe Thank thank you. Thank you For All you do Question is a company called the OH. That's peer appear gaster. He's the one who is a cloud based company that has done great things in healthcare. I would buy it right here. It's one of the stocks that I think is just about poise. It's unchanged change. It's almost unchanged to really to really make a move. Let's go to Mike in New York night. He blew same Alibaba Alibaba the Chinese recommend. Because it's kicking a day. It looks like Martin on these fast and sales and almost every company on earth sort of Nick and New York knick. Jim How're you doing. I'm doing well Nick Avenue doing good so I was wondering is Uber in trouble in twenty twenty no no need to give hooper sales they offloaded sell it to door dash merging with GRUB. How get it off the balance sheet and then one more? Let's Richie and Pennsylvania Richie They Kramer. How'd you go all right? How about you you got a document or incident it's called Cloudera the L.? Yes Business Club there. Here's the thing about. It's not as bad Bantus. It was that's enough to make you WANNA buy stock. That's fine with me and that pleasure out of Mike is sponsored by I to deal with the catch up. Does homework just before we went away for the holidays. December nineteenth. Cut this call from Doug in New York I had no see limited that symbols also s e for your home numbers and because I wasn't too familiar with us when a right of the bat. Promise get back to a sensational story but too too expensive stock. I want to be good about. This is a very big deal to Singapore based company. It's GONNA become the leading Internet plate in Southeast Asia. And you were talking about some very high growth aries Indonesia Taiwan Vietnam Thailand Philippines Aleisha and of course Singapore separately see limited has three main subsidiaries corinna Ashok and airplay greed is online gaming. Play the number one online gaming by market share in Southeast Asia. Red Hot thrown games especially mope against and they hold a bunch of exclusive licenses of games from other developers. Mainly Green is a platform that lets you play. Multiplayer Games online which is why they've got the region's top east ports business and that's a killer business to you know I'm a big big believer east sports. How about the other? Two divisions shop is an ECOMMERCE platform the number one commerce platform in the region region by gross merchandise value and total orders. Finally Air pay is a digital payments. Play put it all together and see limited. Looks like a like a Southeast Asian version Amazon pay pound on activision blizzard all rolled into one. And that's why the stock has been Sisli when Doug. ESPN belt this one. A few weeks ago she limit as Americans possibilities proceeds. It's were already up. Two hundred forty three percent for the year he'd been in the urine excellent and the darn thing finished twenty two hundred and fifty five percent. Now if you're such such a mammoth one. I don't WanNa upon the stock until this mysterious homework as far as his talks up so much. What the story okay? Initially after see limited started trading United States. There's a little over two years ago. This topic has died. Does splish had been there. The problem while the copy was experiencing some tremendous sales growth. Really one hundred percents. A lot of that was the financial equivalent of what we call empty calories as the company expanded into ecommerce online payments is gross margin. What it makes to the cost of good sold plunged from thirty seven seven percent in two thousand fifteen to just two percent? Twenty thousand retail payments are lower margin than gaming and a couple of spending a fortune to build out these businesses is it created quite a cloud of what was happening that was good. Meanwhile nominee American investors. Were going to get too excited about Singapore based company that might or might not work out see limit it was burning a lot of cash and there was no guaranteed strategy would work which is why the agr fell from fifteen in October of two thousand eighteen to eleven change at the end of eighteen. Well then the stock exploded hard last year because all those initials started paying off I see limited started picking up institutional supporters who argue that stocks the Vac the Bulls nailed it over the course of last year. The company reported a series of fantastic quarters. In February they posted hundred and thirty seven percents sales birth. Who'd he one thousand two hundred sixty two percent game for the ECOMMERCE business must see women is gaining this global? They started order. Selling your games outside of Southeast Asia Minute success they delivered another excellent set of numbers and while the stocks sold off reported in August. I think that had more to do with the markets rejection actionable things growth. Then with anything that happened. Here's C.. Limited pretty darn good when see living report again in mid-november well then they knocked it out of the park. Ah We're talking. Two hundred fourteen percent revenue growth driven by two hundred twelve percent gain in digital entertainment and two hundred sixty one percent game. ECOMMERCE company's quarterly active users rose from three hundred and twenty one million low company. No that's eighty two percent year. This is become gigantic platform. And they've had some huge response. This talk surged more than eighteen percent now every time. Seeing limited shot the lights out last year it picked up even more institutional support by the last couple months twenty nineteen it was a classic anointed winner. The kind of stock hedge funds by US. Everybody knows could finish higher and listen. This thing reserved rally everybody who got everyone who got behind limit at the beginning of your best your emitted brilliant call okay. There's just one problem. This is now gone from eleven dollars to forty dollars in the last twelve months. It's no matter how great the pisses you gotta get a little cautious after two hundred fifty five percent run. So where do I come down. Look see limited has fabulous fundamentals. There's no doubt this is a tremendous growth story. I am just worried that the easy money has already been made. The stock is not undervalued anymore. More and it's undiscovered anymore can go higher sure that it can. Also Lord this point and I hate to chase something that's tripled in less than a year. The other issue emerging the markets are inherently risky. When you buy see limit? You're not just making it better than the country itself. It wasn't betting on the Economy Southeast Asia that adds another layer of uncertainty. Even though I am bullish on that part of the world because now the twenty two thousand eight hundred I wouldn't be surprised at some of the institutional sponsors side this Guitar Ruin Register. Don't get me wrong. I think this stock is absolutely absolutely worth buying into any weakness but wait for me will pull back less than two points from its high. What appeared forty Bucks Joe? Thank lot of cheese Rica pepper on reported after the bell. It looks really ugly but give this guy. A chance. Shouldn't just got there. He's putting a new team. I continue to Nordstrom is a terrific opportunity. It's way hey down with a good deal. Cosco just blew the numbers. I am just staggered. Do nine percent this world war retailers in the world. And you know what I think both home. The people in Lewis are starting to do better lows have good management change the other day and Home Depot finally going back to where deserves the Alexei. There's always a market somewhere. I find it just for you right here on Jim. Karen I will see you to morrow what is decision tech by fidelity. It's technology that can help you find a stock based on what's trending or an investing goal. It's real time insights and information delivered in your own customized customized view of the market it smarter trading technology for smarter trading decisions and it's only from fidelity open an account today eh fidelity dot com slash trading fidelity brokerage services l._L._C.. Member N._Y._S._E. S._I._P._C..
Mad Money w/Jim Cramer 10/01/20
"Today every answer matters more than ever before because whether it's about health deliveries or finance some things just can't wait. That's why IBM is helping businesses manage millions of calls, texts and chats with Watson Assistant It's conversational I designed to help your customers, find the answers they need faster no matter the industry. Let's put smart to work visit. IBM. Dot Com Slash Watson Assistant to learn more. Mission simple to make you money. I'm here to level the playing field for all investors. There's always more work in summer I promised to help you find mad have money starts now. Woken met my walk into COMERICA. I'm just trying to make some money. My job is not just entertainment educate and teach. So call me at one, eight, hundred, seventy, three CBC, or tweet. Me Act Jim Cramer everyone I know is focused on the shape of the stimulus negotiations. They're hanging everywhere from Speaker Pelosi. Where we're watching the Laconic Mitch McConnell's body language we need to know if cash strapped states sport businesses will get the help they need. But the stock market's already made up its mind it doesn't matter. How we have some Solid Action Day benching thirty five points SMP rise point five percent Nasdaq soaring one point four, two percent. Was Easy. We're starting to hear about US layoffs at. All state. Okay. Disney smaller wants Goldman. Sachs. Possible avalanche of firing St Airlines. These people losing their jobs who no for their own I really hope that government and get his act together to help them because it's the right thing to do the border economy needs stimulus package that right a marketing stimulus package small medium this getting crushed. But the market who man the market doesn't see a recession. It sees a secular boom in certain industries and that boom applied out the parts of the economy that are most fragile. I think. We'll have an l shaped recovery on main, street and v-shaped recovery on Wall Street. I know this because we're starting to get earnings from defensive companies would normally give shareholders huge windfalls. Get The ping with the one over outright selling. Case in point Pepsico. The Soda and Snack Company reported was six a one this morning I saw it and I said holy cow substantially better than expected quarter aided by all the stay at home snappers and I was thinking. Wow, I mean this is going to be a four and I sure hope everyone has peleton's at home to walk to work this empty. Calories four maybe five. That's how good a four percent growth reminiscing. Quarter was beauty. Yet, pep stock actually felt near the opening of trading. It was it was that disliked I excoriate Dorn sellers when was squawk on the street this morning. After tortuous morning, it was finally able to rally I. Mean I was just say just go buy the Stock Thank Heavens did and by the way, that's the best when it comes to that whole consumer package. Agra. Package Food Company. Constellation Brands Bureau liquor play. Well, they both reported stellar results and what happened Conagra did nothing constellation stock a hammered. Now we're GONNA have one in the show to straighten out, straighten out how business could be so strong. But the markets the honey badger doesn't care. Now. If we're going into recession I, bet, PEPs would really four bucks in those numbers Conagra be up at least the buck they have constellation we flat. Kept back by some supply constraints at a time when they need as much beer as possible because Cronin medella flying off the shelves, we have McCormack on the spice company and airport a terrific number. But in to slip lower earnings report, quark's remains well below its high get nervous. Do you know that we sold colgate my travel trust today? We decided till members of the Action Alerts Plus Dot Com club that were taken the Nice game because coal gates mainstays are to recession proof. Toothpaste soap I mean it use them no matter what. He's got no love for that kind of stock who I felt terrible selling such fine company I use all the products but betty gets the business cycle is a fool's game. Now I talk about this and we really want to refresh course and you want to know how all this works. I talk about this in confessions of. This is good versions. Any I talked about in confessions of a street addict when my head was starting out, I had this idea. Great Franchise. owns the soccer hines 'cause there's never going to be some companies going gonNA come in and take over their position, but you know what? That works during a period of economic doldrums, but the stock fell apart. As hines even the well. These the economy was on the mend nobody wants to packaged foods, place sickles, and generate Ernie Swift. That's how these defensive stocks are trading. Now, you WanNa stay at home food play it's working I dunno try pinchers has got good recipes, and of course, by Peleton I mean when in doubt by Pella, the market speaking loud clear the recession proof names have gone out of style on Wall Street, fashion show because money manager betting on an expansion despite what's happening in Washington. So what's in style we have to listen let's be let's be stocked whispers your let's see what the market is whispering to us I the most down and out retailers the ones that need. To Thrive, they did well today I saw macy's step by step inch by inch moving up Coles joined cools their scientific celery economy. Doubt US they need to recharge consumers wanted to go out and shop where they can't make the numbers same with Nike's poor cousin under armor with a stock that looks ready to break out and cap stores, which seems like is trying to meet a mouth to kind of recovery that we got from L. Brands. Of course, some of the strength in retail could be the pin action from the amazing performance that we saw in bed bath and beyond. But I think that's a mistake to extrapolate that it doesn't really work like that. you see bed bath Miatas now managed by the dishes famous fall by Mark Trittin late of he's pulled a rabbit out of A. Much of this grant of a multitude of shortsellers. So I gotTa tell you had a real bad day they could have the Delo me. Porsche close thanks for nothing anyway bed bath cells housewares, which are doing a lot better than POW we're going to hear from later about this amazing turn in B. B. Y. which is not done by the way. Let shortsellers tried to knock it down and bring it in its we used to doing something changes, bring it in the mall based footlockers fondest showing some life after spectacular numbers from Nike although a lot of the strength of Nike comes from cutting out the middleman which happens to be footlocker. Even the pathetic stock Nordstrom was up today. Could they really be a return to the mall? If so people are richer less fearful edits seems. They're definitely. Second you'd think that the consumer dependent tech stocks will be hosted the stimulus, but they're roared. So are the stay at home stocks that are technology oriented. Remember to stay at home these there's the lockdown component and the remote work. At least for the moment, but walked down trades aren't really working America's reopen people going out again I think that holds true. Get another major spike and Kobe even if we do. But just because we're going out again does not mean we're taking unnecessary risks. Remote work is still the order of the day and e commerce is on fire hence the surgeon Amazon. Fedex united. Parcel. Hey. By the way Doc, you saw me had him on the day member. They were kind of talking about they do deal was zoomed going to put up there because that's existed they do post docs third. There are other signs of life that are truly positive look at the rally and Penn National. Drift case the former casino company deport a big piece of Barstool. The ladder, amazingly hot fantasy sports gambling website full disclosure they sponsor my bull market fantasy Internet program, lot of synergies. These moves show that younger consumers still have plenty of disposable income to wager on sports, and of course, options and specs. The demand PERSPEX put we take. Thanks for mentioning many of which are continues to pace I try to cover them all, but many of. Them are either hard to keep track of or hard to understand because sometimes they're just big piles of money where you have to hope madge make good investment. You see the success of these deals tells you there's a huge appetite for risk both among institutional investors and home gamers particularly those new to the market as a matter of fact, I wrote a blank check to my. Painter today and I was getting nervous about the blank check until my buddy Haley showed me. There it is. I mean I wanNA, write a blank check afraid to write it for pain or something. In Four. Blank checks, what the heck put it all together and I can understand why so many Republican senators are reluctant to spend portion of the stimulus package. The average is just economies moving in the right direction when Johnson Johnson's down two bucks but darn uniform gardeners up four Bucks Guy Works, which makes the high sophos up six and a half dollars dollars in small business empowers. Screaming Har- ladder up almost forty points on a pre Nassar a better than expected quarter. It's the market is not worried about a slowdown we have worked all those. Remember. We're a bizarre situation here. We're big businesses booming but focuses on the ropes they're being snuffed out left and right it just doesn't matter the stock market. Your small businesses aren't publicly traded Hashtag Bar San Miguel, bsn? No. No What are you have eight tables in business the bottom line as far as the stock market's concerned we don't need no stinking stimulus and that's absolutely true for your portfolio, but it's necessarily not true for America a lot of small operators that don't deserve it. We're going to go under causing a lot of workers who don't deserve it to lose their jobs. Unfortunately. deserves. Cut. Nothing. To. Do with it. Russell. Russell. Do, Jim, this is Russell on the senior Syracuse University first time time. How are you too? Young we? Check in love it I'm doing fine house cues. It's great up here I. Love. It just wanted to give a quick birthday. Shout out to my dad we always watch the show together and appreciate your input how Happy Birthday to his dad stay focused they. All right. What's the question? By question today revolves around GlaxoSmithKline She has k Shaw the recent news on the bench thing how they will not file for approval on the vaccine. Until phase three trials are complete with Sharma companies looking to use the reputation you think she s K is a strong longer term investment to see how they contribute to the end. Of Nineteen you know it's funny. There's a big divergence between the company which is doing quite well to the vaccine business in stock, which is doing quite poorly book your young fellow. You're at Syracuse this yields five percent. You'll keep the keep reinvesting that dividend by actually want you to take on more risk. That's right. Morris does that mean you go buy this? Whatever SPEC is trading now but I want you, you're young person. Let's let's get a little more aggressive. Okay. Now, I want to go to John in Florida John. Thank you for taking my call Jim with all the fires in the West. Coast in Florida. I, I'm sorry. California. And what's going on in the panhandle? And all the flooding, what are your thoughts on travelers? I was friends with the late. CEO and he told me he would not right in these really tough areas but he knew everything new every zip code and you everyday and that always made me feel good about travelers but you know what? I think insurance business suspended by the fact that we have low rates. So I'm GonNa say stay away either do well, right the markets made up its mind it doesn't need those thinking stimulus. I. Worked for your portfolio now. I. Actually Impartial to America and Merkin Steve Bailey. But that's not what this is about serves got nothing to do with. It may have money tonight. How is he at home leaving Trend Helping Conagra? Now I go talk to y'all I mentioned was to well, then it was the summer of shopping for a home and bed bath, and beyond is cashing in on the trend. What do you do with this dog coupons I for them way now I'm sitting down with a Couple of posted its first comparable sales growth since two thousand fifteen and it was all done Omni and then constellation brands beat earnings estimates, but it's stopped this foy anyway. Give me a Delo on getting to the bottom it with the deal still. Don't miss a second of mad money follow at Jim Cramer on twitter I. Have a question tweet Gramer Hashtag. Mad tweets send Jimmy email to mad money at CNBC DOT. com. Or give us a call at one, eight, hundred, seven, four, three, CNBC. Miss Something Ed Tha mad money DOT CNBC DOT com. Because no to investors are the same one size doesn't fit all. There's to it at SNP Dow Jones Indices. We offer index strategies for all types of investments, comprehensive es, G solutions, core retirement strategies, multi asset diversification, and new ways of thinking about risk management and income. They're all in one place, express your investment views and give yourself the freedom go anywhere with SNP. Dow Jones Indices Search Index on the web or Hashtag Index. Allergy on twitter and Lincoln. The packaged food companies keep delivering great numbers and it doesn't matter this become a Rodney dangerfield kind of situation it can't get no respect perhaps for us investors believe the worst is over with the economy even people keep working from home I mean right there. But they're not other stuff take brands which you might not chef boyardee or Hebrew national world broker. Brutally. Pam Slim Jims a huge portfolio frozen vegetables. And all sorts of new spin offs and innovations this morning conagra porter excellent quarter thirteen sent fifty seven, seven basis fifteen percent organic growth much better than the ten point five percent expected skyrocketing markets on top of that company gave you strong guidance for the current quarter and they put through a whopping twenty nine percent given boost bring the yield up to three point one percent what happened. Money managers ignore anger empowered back into into sports betting anything that has great economic growth, and of course, whatever spat came today and you're getting a quarter for free and sooner or later, I think that's GonNa matter. So let's take a closer look sean comedies the President CEO of Conagra. We're about quarter and win the companies headed Mr Holly. Welcome back to make money. They Jim I appreciate you having me on Shaun. I've gotTA Say Your Deck Your Conference Call Your release they all point to the same thing which is that the Conagra way is triumphing in an elevated at home. Moment and therefore it's sustainable. Are you wouldn't have boosted your dividend to above where it was that was cut is that the narrative? That's Jim. We've been laying the groundwork for this for the last five years with arguably one of the biggest transformations, all of consumer packaged goods, and it's enabling us to seize the moment right now and you saw we had industry-leading household penetration gains and number two indepth of repeat. We are really seeing the fruits of our Labor for. Several years I want to go to this Congress leader driving multiple purchase that you just mentioned. You've got a slide other than the near dwell, Kraft Heinz. Let's give them their due here. You are doing better than everybody else when it comes to total buyers percentage of buying repeating purchases I. Think people understand how repeating purchases so important to watching him, walk us through, say one of your great lines and what you're seeing. What are the kind of Mitts in in the food space is that the healthier brands is strictly tied to the level of advertising spent advertising plays a role, but we believe it starts with designing and building phenomenal products and phenomenal packages that are very modern that appeal today today's consumer. Then we seek out physical availability, which is distribution, and then we invest in advertising these days mostly digital with our customers and on our own. And that bills we call mental availability meaning people know it's they're they're excited about it. They see it and they WANNA buy. We've proven that once we can get them to buy it. They will love it and they will come back again and again, which is why that depth of repeat is important. It's really a metric around loyalty and we know if we can get the product in the consumers mouth more often than not will. That loyalty and one of the things I love that you're talking about is not only that's the micro, the macro you talk about the new normal you have in your charts rising office vacancies is the reason why you'll do remote workforce adoption not going away a fantastic part about Adam lifestyle and entertainment and how one, hundred, seventy, seven, seventy, two, percent, Peleton, twenty, percent streaming, eighteen, percent tech choice it all play and to your sweet spot particularly for younger people in what in what you describe as the frozen single serve. Now, all of this is happening. So quickly, we know what sustainable? Well. People are investing in their homes they were forced into their homes but they decided, hey, if I'm gonNA spend this much time here I might as well create the environment that I want and start to cultivate these new skills that I can use again and again. So they've made an investment into their homes be exercise equipment, upgraded kitchens, pots, and pans, things like that. They're now going to seek A. Return on that investment, which means we're expecting them to continue to have elevated eating occasions at home not to mention their household balance sheets are stretched. So it's a far better value to do that. You put it all together and I think it bodes well, for Conagra, brands particularly because our portfolio over index is to lunch and dinner, which are the two day parts where we see the most elevated consumption. Number products how do you know which ones work and which ones don't because it costs money introduce new products I. Know you're doing a lot of this on the web maybe can speak to spend of that but the multitude of new products I do you keep track of what you do? We'll our hit rate on new products is never going to be perfect and it isn't for anybody but our hit rate on new products is better than most and we look at something called a renewal rate, which is the percentage of our annual sales that comes from items launched in the past three years, and we have among best in class renewal rates, and that's a proxy for how well the Innovation is working and it's not surprised to me because we spent so much time trying to track and understand consumer desires and then design those attributes into our products and we're not going to be perfect but we have a pretty good. Track record on innovation. An important part of that is it builds credibility with our customers. Our customers come to US first and ask for our innovation even in the pandemic. When a lot of companies said, they were dialing back innovation our customers came to us and said, we'll take pretty much everything you can offer us, and so we're very disciplined in terms of launching things that we think have the best chance of succeeding and our track record has been pretty strong. One area that I think a lot of our viewers didn't ecoconscious consumption. You guys seem to have a bead on what the younger demographic once quitting plant-based how's that doing? It we have a fantastic team here that works on sustainability. We've been at it for a while, but we continue to invest in new innovations that will contribute to a more sustainable world and one area that is one of our primary focus is packaging because. Waste in plastic packaging has become a real issue in recent years and earlier this year, we made a pledge to convert all of our current plastic packaging into new packaging that is either renewable, recyclable or compostable by twenty, twenty five and I know one of the innovations that we have that you have noticed is our plant based fiber bowls that we started with healthy choice powerballs that has gone so well with millennials that we've now invested to create more capacity on those bowls and we're extending it into our new hungry man double meatballs. As. Well, as our PF Chang Rahman bowls, which of course, we all know millennials loved their Rahman Oh I shall unless question the analysts seem to have forgotten. What a lot of people really liked watch our show. They don't focus at all on the dividend, boost their margins. They've got some questions that are about we're trying to build their models. I know you as a person you would never have raised that this much. If you didn't weren't really trying to show people, you know what? This is not a one to two quarter phenomena correct. Absolutely Jim it's a sign of the confidence we have in the business. We are achieving a level household penetration right now that we didn't expect to achieve, and now we've got the proof points says these new trier's are coming back in they're buying again and again. So we believe that's going to lead to elevated consumption and market share for our portfolio over time and it was. Our cash flows were so strong. We got ahead on our de leveraging and we were fortunate enough to be in a position to take a twenty nine percent increase in our given and I think our shareholders very happy about that. I couldn't agree more what a great quarter a great year. Thank you so much John currently presidency of Conagra doing everything that you said, you do when you first came on this show. X Jim John this man delivers heater how hard it is to deliver while you're faced with a situation of pandemic we've talked about how much money at spent just trying to keep his workforce healthy which he did is the first thing he has on his mind by like the stock. Bed Bath and beyond. Back in business ever since March took over the CEO last year I've been predicting a fabulous turnaround story but even I didn't expect incredible results deliver this I thought it was a mistake I called my friend John Ruskin who? Was Instrumental in this turn and two I don't believe. It was right. Turns out. The pandemic was exactly what I needed. If force them to build out their Omni channel business would buy online pick up in store options and curbside pickup, and also course a massive bull market in homegoods because we can't go anywhere else anyway. But Jeez this docket already voted three dollars and change if the march lows to fifteen last night today. Three dollars and seventy seven cents or twenty five percent soaring to its highest level in more than two years. Your don't even think it's done. Bed Bath earned fifty cents per share when Wall Street was the for a thirty cent loss with senator sales of six percent year of your first positive comps in three. If you're those are some amazing numbers, they make crystal clear that turn around is at hand and because Beth is a hated stock today's move triggered short-squeeze to sixty percent of the thing sold short I'd could this. Martin he's the bankable president CEO of bed bath. Be odd better meet on the quarter company's. Prospects. Mr. Trittin. Welcome. Money. Jim How I could be here. Well, thank you so much for coming on I. Know You came from target you're a straight shooter I know my friend, John Dusk and told me and my wife Vert took us out for drink said he's GonNa turn he's going to bring in someone and they're gonNA turn around bed best she laughed I was confused thought it couldn't happen how heck did you do so fast Well with some work in progress, I mean great great shoots of recovery and transformation. But I think this is really set aside evidence that we have a strong team. We've got strong category and we've got strong performance orix. To share the more on October twenty. Eight. Today a blueprint for the next three years for growth had recovery. All right. We'll give us a little snapshot because I'm understanding that you got two million new customers and they are younger than previous pace. Yeah, they're about six Yanga. The new customers coming on board, which is great news for us as we expand customer profile but really the key to that was our Omni always strategy. When we talk about that, we talk about really understanding our customer they shop today this was pre coded, but even more important inside the covert. We know that eighty percent of our customers pre shop online and either purchase they go to store and we had a really broken paradigm. We had a fantastic digital business really was very large with about one point eight, billion laskey. We've already that by this time this. So we we lodge, but we're growing and we really doubled down on that digital aspect, but we went easy went convenient. I mean lots top at. The moment and you really WanNa make it simple and easy and frictions for our customer. So we look at our website we looked at our integration stores, which is an ability to leverage us or assets and connect those two strongly to an army environment, and it's really worked out the introduction of bogus curbside and now same day to really facilitate ease of frictional shopping sounding digital or in store wherever the customer was you. Mentioned this because. One it did seem to me that you made it. So the stores are actually positive not a negative, the brick and mortar, and then second the bears were telling me he's getting crushed on this boat. Is he getting crushed on? I when I read through, it seemed like the mortgage better. Absolutely better. We know that if we have a digital salvage. Curbside. Same Day, a margin is actually equivalent to a store by Sil-. So for us, we're driving behavior driving engagement and driving those three acids and that's hoping to leverage out of course, margin as we rapidly expand our digital business. Kate the stores are a key to this profitability. Now, one thing that shocked me and I think shocked a lot of people out there who are going to buy the stock goes short you're balancing when I look at it, the devalues should have gone up forty five percent literally just from going from net debt to net cash change I mean my reading it wrong I only took year up. Now. You're reading ride I. Think we really worked on every legal. WE DOUBLE DOWN ON AL acquitted. We took the ideal earlier in the quarter that was truly not because we needed the cash but through the uncertainty, we wanted to create insurance in the liquidity problem business. No matter what what we found we were in cash generation mind and through the return to regular margin makes and this kind of profitable size of digital. We were able to generate some really strong profit dollars and then reinvest that back into our business reject management and ongoing liquidity. When a when toys, Ross? One hundred people told me hey, look by babies going clean up. But they didn't really know how to ask you. I'm not going to dump on this guy started they seem like nice people but you couldn't the previous group couldn't execute. I'm looking to see ten percent of your sales I don't know. Just can't be worth a billion bucks. Well would definitely doubling down on Bob by we think that were under penetrated in the market by some stores and digital. It's a really great business I two worked on in my target is the decomposition of the babies r US business we were looking at that time Bobby Bobby is another share gainer an opportunity, but it really didn't have its act together and I see huge runway for these business great team they were going to double down and you know people still parenting buying the pilot I need support. So we can be a major part of that business in some real sharing growth. Is Your Company. So going to be share donor, some of those big box guys are they now have to recognize that you're not gonNA give up or seed any share? You know we've already seen some great green shoots on that during the cargo period and definitely with back to college of its which were great expression of his returning to really clear value clear communication earning a moment walking align digital and physical credit nominee experience. We really gained some great Sharon categories. Some we maintain some we lost for that was mostly about availability a tree. We see now that full stores open, we really focused on the fourth quarter and the period belong we're coming for everybody we've got share on our side and so when. John Dawson came with original presentation. He showed me bed bath had something like I duNNo. What twenty different kinds of hangers and ten different kinds of trash cans and my wife Lisa said, that's bed bath I. mean you know you go in there you get lost in the hangers. How quickly can you fix that situation? Yeah look at me like you read that report back in the day and and what what I found out the business whether it's mentioned housing or any part of the business they wasn't just low hanging fruit fruit on the ground he picked up, and then we're also going to be build a ladder to get to the the toll fruit you know intensive assortment curation report doubled down on that Joe Hotta new chief merchandising officer and president. Haman is really doubled down if it's teach the assortment and focus on the runway that will guide to have in two thousand and twenty one for the introduction of more I'm brands and a hot focus on a rabbit saltzman. Back. In the day that volume authority really what I think the customers change, and so we're going to reach that authority through your isolation and focused in strengthening categories fuse towards the end. Your conference call by ever societas ever with bed bath and beyond you said that you were agile and flexible to our people reading for an agile inflexible bed bath and beyond wall you know what I think we more the rhythm and as we've been showing the customers being showing up as well. So we've seen a great response to that through Q to what's really fun about that is the back to call Javed's now new strategy, Braam, Van Dyke medication the agility we showed to react to different estimates even through the tenseness of the covid moment as really build a preemptive have again in full quarter and beyond. So we're doing it and the customers responding I, say, good things ahead and your partnership to be able to have a same day and next day quick delivery. How's that working? Yeah we've just launched with saying day-by-day rapid iteration of that I think these new norms Jim that customers a US to focus cups. We would know where now we're imply same day I think is the same deal. So we're quickly cosmic quickly adopting adapting and I think as we go into the all important fourth quarter customs going GONNA be nervous about Church baguette big goods whether the Thanksgiving table or Christmas giving moment early and they to have. Safety Security, they're gonNA save those things and I think that bypass curbside and same-day really helped to make it easy and enjoyable holiday season for everybody. Oh, I'm going to give you an open invitation on your analyst David Come on this show. I am a believer I live a mile from the original store and it is something by love what you're doing more presencio bed bath to be on. Thank you so much for coming on the show. Thanks so much Jim guys read the deck. Listened to the copper? Understand. How wrong people have been about this and then go to the store they have money is back in. This morning, we got a terrific quarter from constellation brands as easy. The beer wine and liquor company best known for Corona and Medella, and the muck apparently notes. In fact, the stock actually went down you know what? That's kind of nuts we spoke to see you bill new six months ago when the stock had been hammered by the initial cove outbreak, he explained that the loss of the bar business would be more than offset by us. Well since then the stocks up forty percent, we told you to buy it hand over fist still wasn't regained his pre pandemic right Heizo I. Think there's a lot of unjustified skips, your today constellation, Puerto Top and bottom line beat with real strength and beer stabilization wine spirits. But because management still isn't going nuts about forward guidance because the future is a little uncertain you think the stock I say come on, we know the businesses in great shape don't take it from me. Let's dig deeper with bill new and she's the President CEO of Constellation Brands, get a clear picture of the results. Welcome back to may have money. Jim Good to be here? So I don't think people understand the complexity of what you accomplish this quarter bars I mean there's just it's hard to find when you're on the stand around. Affect your sales Mexico. Some problems I think are going to be solved. Didn't affect your sales not a lot of sports to advertise didn't affect your sales would did affect your sales is that people have a love for Madonna's for corona for your hard spite Seltzer which they? Really took off by leaps and bounds and for your premiums ation and I. Think it's incredible that you had a good quarter at all. So just tell us how it happened. Well said Jim. We were quite pleased with the quarter especially given we expected this to be our most challenging quarter. As you know in Mexico, we had a reduced production for a window of time because of Kobe and that hit during this particular quarter for a beer business at the same time in the last four weeks an IRA we actually gain share and Armadillo brand has has returned to its double digit growth profile. When you throw in that are wind business particularly at the high end with our premiums ation strategy is armed extremely well, we were quite pleased with with this and we're quite excited about what's GonNa come the rest of our fiscal year. All. Right. Let's talk about chronic heart seltzer. It's the second fastest moving hard seltzer. There is an outfit that's private. It's doing incredibly well, we know that there's another outfit. Owned by Boston doing. Okay. But is this not one of those situations where you can come in and crush particularly because Over indexes with the Hispanic Consumer Related Company which by the way, I was on a panel last week. That's the best demographic in this country. It's the fastest growing demographic people don't realize it my. Saltillo is going over the numbers but isn't this precisely the demo that you need to sell into? It is and we're over indexing already Hispanic consumer with our Rona Heart Seltzer, we've done five and a half million cases since inception and we have as you said, the second fastest velocity in the category, it's been a very strong start for us and remember we only have one skew at this point. So the opportunity in front of us is tremendous and we're going to be ready to take it on. We're GONNA more than double capacity next year for Corona hard, Seltzer. There were a lot of people who felt that you would taken down too much debt. The de Leveraging here is rather remarkable how soon before you're comfortable enough to just by. By all the by all the canopy won the open market by all the Constellation because I. Know you think the stocks too low here? Yes for sure that it is but the fact that we did so well in this quarter take. A position with our leverage ratio. Ahead of when we expected to be there will open up tremendous opportunities for us to either buy back stock or make other investments in our business, our businesses performing very well, and we're pleased with. Let's talk about cannabis in what you guys are doing when I first met you. You were talking about the synergies with canopy and talking about beverages that you think could be launched within say twenty, twenty, one, twenty, twenty, two. How's that going? It's been going great. In Canada can't be has one point, seven, million cans since its introduction in March. Now, let's put some perspective around that. All of last year in the United States are only four million cans sold throughout the United States. So when you think about what canopy has done in Canada alone, the upside is going to be tremendous and these are excellent tasting beverage. Well, also the other thing that you talked about last time that I've got to give you credit for I have reviewed every company it comes on the show what they're doing, what they're doing kick for the minority community for African. Americans? And I spoke with Senator Elizabeth Warren, yesterday about you she did not know about the kind of really the kind of thing that pisses can do versus government. How is the decision to commit one hundred million dollars to invest to support African American black and minority owned startups in this beverage in the beverage will. It's gone very well we've had a lot of interest in we're evaluating a number of investment opportunities as we speak as you know, a couple of years ago, we did a similar thing for of businesses that were run by women in today are venture portfolio is over half. In companies that are run. Or owned by women. We think we can do the same thing in the African American and minority owned businesses going forward. We're very excited about the opportunity and and it's a it's a center that has not got the right amount of capital over time. We think we can help change that I told senator warn that your view was that it wasn't just because yeah. The big heart that it's of course it's great. This is particularly in the Spanish community. The african-amer community where they've been ignored and they spending power and people must think that they don't do anything. That's right. We're a big believer and we have to reflect the communities we serve and investing in those communities as an important part of not only giving back but engaging with the consumers that are that are critical to our franchises. Listen I'm going to talk about is the notion of WHO's the number three beer. I think if you asked America's never three bureau, they would say boy I don't know. They would have. When I was going up to forty different beers, how did you get to be solidified number three and do you think you could ever become number two? We think we can I mean Dell has an unlimited upside at this point in time. It's got a tremendous following the Hispanic community, but it's really started to develop in the Non Hispanic community over the last two to three years. There's you know our CMO Jim Sabia has started to invest in advertise against the Non Hispanic population and it's going rate tremendous upside without population and I agree with you I'm sure most people realize that Madala was speciale is the number three beer in the United States and growing like a weed. It's known for thirty five consecutive years as a brand family and Madonna was Speciale as you know is on fire it's hard to get I always love. We're supply is exceeded by demand bill new presidency of Constellation Brands. Great quarter Sir good to see. SEC's back. They made this white necks coping neutral. They did this bars people I mean fifty percent of the business from bars down and it didn't matter was great for mice back in. It is. One another. About Myself. and. Then the lightning round is over. Are you ready Skate Governor? Michael, Michael. How you doing Jim Puja Michael What's happened. Always knows what to do with Roku after the. Show about one hundred, fifty points going until the very compelling story about how they got subscription and add I like both businesses. So therefore, even up here I, still like Roku. How about Mark in Florida Mark? Jim Per you know where you get your great energy. But if you ever decide to sell it, I want in on the IPO. This I'm going to back. What's up. I'm looking for some of you. Great insight on the luxury accessory products companies some of them are doing well, but I put tapestry and it seems to be stagnating. Went up to went up today I mean there's a lot of getting Salata the not so great ones are starting to move up and tapestries K. I like the album more than the stores Brandon in Florida Brandon Big Boo. From Tampa Florida. Hey I'll see the super bowl my friend. To. Talk I've been holding. This weekend Scotty. Crosby. I've got. Own out what's up. Over. The recent IPO. Playing. Alley Baba just please alibaba just by that one. If he don't want that than by J. D., but we don't want to go downscale upscale we want to go to Christina in Illinois Christina. Tight him how are you dynamite how so? Great. So. My question that I'm calling about until you're familiar with it, it's Bernardo, really key truck. Symbian no. I purchased ten thousand shares of it. Well, I bought it at thirty, seven, hundred, Eighty, eight. And yesterday a closed at thirty, four, sixty, five. WE'LL BE SMARTER THAN Steve. when A. Care the dire on Simon. Properties gives them the money. He's hard nosed guy. At the same time, it's not a good business. It's real estate investment trust and I think that you're in the best of a bad neighborhood isn't that is the problem you are in also. The the least part of the pain and I like to be. So. There you go. Now come on. My fault tell you when I'm finished. Let's go to bill and Ted's please bill. Show man. My friend Freitas's also big FAN my new video and Micron, but I'm I got into applied materials that a long-term play Oh. Yeah. Step should have gone up more into the quarter they were linking with Micron Gary Dickerson Guy. We come back on his show come on I liked that company. Glamour. Research a little more. But that's okay. How about we gotTA Asher in New York Asher? But Jim I, know your opinion on Piedmont Lithium P L L stuck pop to nosebleed levels a few days ago on the heels contract with Tesla display right with him carbonate it's finch French about fifty percent with the market expected to produce about thirty plus million cards within six years. Listen this company positioned well, Hey, great. Long term SPEC. Okay. So if I say that and someone somebody who is seven goes into Robin Hood and buys a lot of calls on that person's going to lose money and what's going to happen a six year old is going to clean up instead of you seven year old and that's my view on that stock bird dangerous. But if you want to speculate I got no PROB. Round sponsored by TD Ameritrade. We can't afford to wait for Vaccine Oh we got some brilliant minds work on the problem, but the prosecutor only go so fast when you're testing vaccine, you get people from every imaginable demographic tens of thousands of them to sign up. They're all sorts of criteria though I just got turned down for a vaccine trial because I took a steroid shot to ease the pain for a partially torn rotator cuff. What's that got to do Kobe go figure but it's not just enrolling lots of people. You need those people to take stupid risks like kitten up a bunch of. Restaurants in Florida or make a couple of bars in New York, otherwise, he can't know the vaccine works. That's a tough sell it. So in the meantime, we gotta take what we can get. We can do the social distancing outside not so good inside at Bar Cima Gal we just got the green light to have twenty five percent of our place open. Oh can stink twelve people that means you're GONNA have to mothball the joint until there's a vaccine because no independent restaurants possibly raise person to make up the lost revenue from the other sixty people we were expecting tonight. We can you mess? But everyone's tell where my personal Dr Jon Lapook just at peace for CBS, for interview to professors who explained this gigantic amount of evidence now, that mass can stop the spread. That's why Mark Penny from salesforce sponsored are mass competition with the nonprofit expertise. You can see how we're doing by going to x prize dot org slash. Were hundreds of kids sent entries market, and you both contributed a proud I'm like what you hear mass protect you as wealth symtomatic spreaders. We also have testing right now the standards of the polymer chain reaction tests the PR where they take a swab of your nose and running it through these big machines like the size of a Sofa depending on the backlog you. Can Get your results back in as little as a few hours or as long as a week problem is a weeks long time. You might really sick for days without knowing it unless you quarantine what your wife, there's Alz and you're going to spread the virus. The rest of US overnight is better but still not great look at the NFL players were tested. Saturday. Then, showed up positive on Sunday causing game cancels aged. With. Monday, but ended up canceling the rest of the Games. Few hours matters not many labs can get them done quickly. So here's the best hope it's a new. Test from this be the ISP Y you can google, it fits be medical. It's actually hand held single use. So if the Tennessee titans had fifty three vis vis at say two hundred pop, they could test all at once get the results in a half hour and avoid another game day cancelation. Remember that see you gotTa test that morning right they come in you got fifty three of 'em lined up they can test at once get it in a half hour and then anybody who's Got Covert or test positive can get out this test got an emergency use authorization from the FDA and speak unskilled production. We'll have the more next week I. Think this could be the most powerful weapon yet in the fight against covert. Yeah it's real. Then there are the inexpensive instant tests voice talking about like the Abbott Labs tests, you can take your local pharmacy results coming up fifteen minutes later for five bucks, they're not as accurate as peace tests, but they're fast and they come up with an APP that could be used as a certificate of. Good. Health to get you into all sorts of events that might not be safe otherwise remember with testing great is the enemy of good and you're not gonna be able to do as well as the PR which is more expensive taken separately. None of these things seems like a game changer at all right but taking together social distancing masking the instant test the are the quick PCR I think we have everything we need to get back to something close to normal at least in theory will we actually use these tools to contain covid? Well, that's another question. Real leadership in both the private sector and every level of government. So maybe you shouldn't hold your breath. But man we have the technology to beat this thing. So other countries, but we've got a use it like they do. I like to say this horrible market summer I promised to find just for you right here on that money on Jim Cramer and I will see you tomorrow. The news was Shepard Smith starts now. 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Nasdaq Record Close, General Mills CEO, Wiliams Sonoma CEO, And Constellation Brands CEO
"Are you still using your trip for the rest of your body, mass landscapes law more three point zero was specifically the to make manscaping. Patriot fans gifts, they technology. Won't make us name. Is Water pufus up resistant, so you can train them in the south. Over the Mass Gay Dot Com they get yourself the law more three-point use code audio toward for a limited time. Get a free pair of boxer briefs. Free travel bag, if free accelerate sipping. My mission is simple. To make you money. I'm here to level the playing field. Investors. There's always work at summer and I promised to help you find your. Money starts out. Ham Kramer welcome to make money welcome to create Mirka one make France. And make some money. My job is just entertained, but educating teach so call me at one eight hundred Sibley three CBC or Tweet me Jim Cramer. What's the difference between a speculative stock and a blue chip stock? In the age of Covid, the whole being upended by the pandemic, the lines they are shifting formerly rock, solid companies known dangerous footing form. Respective outfits have become titans of emerging industries sometimes though it's pretty hard and tell the difference. And that's exactly what happened. Today was cloudy, said, gay points advancing point five percent so most importantly Nasdaq with a record close of point, nine five percent. Allowing explain to the prism today's action. If you want to understand this market, the single most important fact is that new cova cases are exploiting their back above forty thousand yesterday somewhere between forty, four thousand and record breaking forty eight, depending on your source. And it really didn't matter to the averages. So. Why the heck didn't the stock market go into a tailspin? Our country has hands down the worst response to this pandemic of any nation earth. With a few notable exceptions like Proton level of government is dropped the ball and it's not just the government we keep dropping the ball citizens to with our flippant approach to wear mass and social distancing. We just don't believe. Some. Don't believe. That this matters, Hey listen. We have a lot of weapons against the vires. lets us what we can do. Pandemics out of control after sacrificing so much bend the curves virus gone exponential again and our politicians are paralyzed because they don't WanNa go back in lockdown. They don't want a big illegal to go outside without a May I ask, what are you going to do? You have to rest the president. This is a terrible situation for our country, isn't it? It's really bad for the economy as a whole, but incredibly that doesn't really mean as for the stock market, and this is mad money. Think of the stock market like a casino for a moment unless you already do when Cova cases, spite people don't cash in their chips and go home. Do they know the go where the action is? They go where the tables are. The hot slots the hot wheels they follow that I fedex surged twelve percent today. So good place to start is the hot table. Industry of earnings misses finally delivered a blowout quarter last night. Be Awesome, covid. Somebody's got liberal. These packages ground services was up twenty five percent year over year. Thanks to ECOMMERCE US residential increased by studying seventy percent. The ripples. Are You here? Just on this one call you can by Amazon, which is up one hundred nineteen points have my favorite shop of five sixty seven points quick site, Oetzi, other ecommerce facilitators adobe, which dot com fast fleet salesforce. Between four and six percent of the laggers like fastly, they'll be in salesforce. Only rallied wanted to percent. Why is this rank speculation? Actually know. With those numbers from Fedex everything related to e commerce in the stay at home economy. Can War service down OCTA crowd, strike coop ringcentral. You name it Netflix's taekwondo. Thirty point say video, Games, club fire to one. Second Hotter area. We got from Pfizer. They're conducting human trials for the coca vaccine, and so far everyone in the study is immunity. That's just twenty four people visors serious, no hype kind of company and the vaccine data sent that stock up more than three percent. If we can get a vaccine sooner than expected, that's used for swath of the economy although it's. It's terrible for the small vaccine plays, which is why they gotta disarray, then ex visor blue chips that spurred all sorts of high flying stocks to become even more expensive, and with good reason what else? How can I talk about Tesla? Company? I love rally forty points today. This is now two hundred seven billion dollar business larger than Toyota car company on Earth. Tesla what make forty thousand cars to it makes ten million. But the action. Tessa makes perfect sense. View it as a technology company rather than an automaker. Books Providence when by the way which I recommended eight and fifty points the free. Have A facebook. Let me a budget consumer packaged goods. Companies have pulled their ads because they don't want their products societas with hate speech. Mark Zuckerberg said he's going to meet directly with the organizations, leading boycotts and more important I think he's bringing a third party to gauge the company's commitment to doing the right thing. Bingo stock rally more than four percents. All these companies have compelling stories. If the Stock Market Casino these high quality, winners are like the blackjack tables, the Games of skill not games a pure chance. You do the work you say fundamentals stay discipline, and you can make money over the long term. However, there are also the soup perspective names. They feel more like the lead table. Or maybe you know what actually feel more like the scratch off lottery tickets. There's a preordained winters in lots of losers. Let me give you some examples. The pet six. because he's walk classical autostarts, there are tons of single digit names popular. Say on Robinhood I can't mention them on air why? To tiny. But even the larger ones I find them worrisome. I there's. Workhorse! We're courses a of a show where CBS me? This is a technology company is focused on providing drone integrated electric vehicles from the last by the livery of cloud based Realtime telematics monitoring that tells impenetrable new just trucks does worry. A fortune and Starts a five percent for the year it's got a tiny seventy, three, million, seventy three. Hundred Twenty three million shares. That's insane mother to go. One or two million shares might change hands given day. Today was one hundred twenty. One, hundred, sixty, five, million, one, twenty, nine, hundred point nine nine. Seen another ten percent today much. Much in the game after the bell see makes me nervous, but hey it could I mean those. Couple cut in half. Hey? Scratch off remember seconds a Neil and I. I, still Chinese Tesla though their trunk workers a lot less impressive years up almost one hundred percent for the company actually has revenues still losing Boland's money Goldman Sachs like it I think. About Tortoise. Toward Tortoise Sang Corp Oh, yeah, okay. Those stock actually ended up losing percent today, but only after an insane move over the past few days towards is a special purpose acquisition view wall spat that's in the process of quiring healy, and that's another electric truck play they make powertrain solutions towards acquisition was worth lot. Hair is worth ten dollars before the hilly and. News soon to thirty four before pulling back to twenty five regular viewers know I'm going to worry about these red SPAC deals, but you know what. Thank you big pop reality gate. Come back with a four tortoise reminds me of the before a Nikola. That's another spat play. They gotta do the electric trucks. She noticed a common pattern here. Credibly speculative Nichols got lots of trump orders. Souls! Truck stop pull back to percents. Actually considered good time finally got a couple of vaccines. There's I've seen. This is another one that got hit today because Pfizer's now leading in the race for Kobe vaccine. Actually has a tiny bit of revenue. Even those earning cash I gotta tell you I don't like the early stage covert vaccine place so only room for one winner here. Really so the whole groups high high risk warned that tomorrow and I do believe that will be a couple of winters. Father's maybe my favorite. Yeah it's another vaccine developer, a make oral flu vaccines. She was picked up to be in. Trump's were speed Colbert. Nineteen project now stocks up. Twenty one hundred percent this year. The. Darn thing just tripled since hit. It got hit. Are To you because you don't WanNa? Be The next Novia when a is down twenty six percent one day. You don't want beer. A Novak's are there are plenty of others just like these six everyone's hunting for the next Tesla or the next thing. Novia, or at least in Novi, will before today. Some of them are king for day. Others just seem like the stakes the bottom line there's the same Margaret were high quality. Stocks were because they benefit the stay at home economy. Think about all that X. Pin action. Then there's the crazy part of the market that's driven by rampant speculation, and that's very different, and ultimately some would say. Likely ill-fated story, but manner having a good time. Peter Massachusetts Peter. In thanks for having me love the show I'm a huge fan. Thank you. Peter tried to use some explosive stuff tonight. What's going on? So, here, you're talking about a lot, but I gotTa Review Today. Hit An all time high and data centers. That's video streaming conference in Gaming ECOMMERCE five. Jesus is so much data and it's all got to go somewhere. What's your take on? ECLIPSES. A by it's a by because the data center is used, and that's probably the best run. Hey, how about we go to chase in Texas? Chase? What up jail? Take a few people down there the other day. The chief of what's going on. Hey wanted to just give a big reminder to all the listeners. Please please please wear your masks. Thank you. All right chill I, I know you like online retail online retail. We all like it. As of late I've owned this sock for a few months now and have already gotten to see a double It's an e commerce platform, and honestly just huge upside potential okay is they're thinking differently about the way online shopping's should be done, right? What is my play for this Chinese surging stock pin, do do. Do Is Red Hot You Know Common Alibaba Guy Because I got the finances and I can understand I. Totally get the love Affair Pin, do do, and I thank you for the kind comments in yes. We're mask Leeson Missouri wease. Kramer. It's thank you very much for taking my question. I have a question for you. I liked your opinion on. Watches at alleged started position in the traditional. IRA, for the purpose of income as like intrigued position like a preferred stock, because Walmart and Amazon. Large accounts put watch. We have them on that. That's me. I mean it is amazing. He's made me. It was the first stock that came out of the great recession just like. I was GONNA. Say That hell, but that has to do with the Kobe thing. It's just a very good stock. Okay, look, there's the same part of the market. It's going up pretty good. And then there's an absolutely crazy part of the market driven by speculation, and you want to be in that side of the Casino. Knock yourself but try to move over the other side bet. Choose your side. Oh man tonight the big G. beat the street is at home. eating drove a jump in sales and profits. Hey, but with the stock dropping after support is in danger of losing its. Lucky charm us being the CEO of General Mills top breast Dan with the rapid acceleration ECOMMERCE. Good is home where the spend is I'm sending down Maceo Williams Sonoma. Wow, and his bars and restaurants being to welcome customers again and then closing that open Eric well. We gotTa Talk to Constellation Brands, which is Miguel on chronicling worth considering I'm talking with fury, so stay with Kramer. Don't miss a second of mad money. Follow at Jim Cramer on twitter. Question tweet Gramer Hashtag mad tweets send an email to mad money at CNBC DOT. com or give us a call at one, eight, hundred, seven, four three CNBC. There's something Ed mad money dot. CNBC DOT com. Tomorrow Kickoff. The trading day was squawk on the street. From post nine the NYSE. Hawaiian Punch Guy. Remember want to give me a punch. Yeah. There's there it is. I'm sorry we can't do person. Never. Wanted to hit? I, do remember you I'm GonNa come. See you on these data to and maybe even get scarily closed to you, so be careful. It. All starts at nine am eastern. This CNBC podcast is brought to you by TD Ameritrade. Investing isn't one-size-fits-all. Every investor has a unique style. That's why TD AMERITRADE offers two different mobile APPs there's TD ameritrade mobile which Letsie manager portfolio with streamlined simplicity or thinker Swim Mobile, which gives you tools you need for more advanced trades and in-depth analysis visit td. AMERITRADE DOT com slash APPs to find the one. That's right for you once again. That's TD AMERITRADE DOT. COM SLASH APPS. As the pandemic makes a horrifying comeback across the Sunbelt Bell, we go back to the kind of stocks work during the first big outbreak in March and April for example, the states gradually going back into lockdown the package food place. They're back now. Just today we got from General Mills and iconic household name and a member of the Kramer covid Nineteen Index Company posted great quarter, resounding, top and bottom. Bottom line be twenty percents sales well, but because madman was a bit circumspect about the future who wouldn't be and didn't bring as much to the sales of the sales down to the bottom line. We'll start cutting the just a hair. What was that a mistake? Let's dig deeper with Jeff Harmony. He's the chairman seal general mills who were about the quarter and his company's Prospects Jeff welcome money. Thanks for having me really enjoy being here. I said Jeff Fire Company for. Thirty years I'm going to give I WANNA. Do a do over here I. Think Anybody it gains or hold share in nine out of ten of their products who accelerates organic sales who I think has come through and be able to produce without any supply chain problems is a hero, and the stock is inexpensive so I'm it to you to say tell me that I'm wrong. I'm not going to tell you that you're you're wrong. We a good year going into the fourth quarter, going into the pandemic especially, North America retail business and Blue Buffalo, which are pet food businesses, growing at double digits, and obviously a during the last three months business really accelerated through strong execution, as you say not ten categories of share growth in the US, all of our categories, growing share in Europe six out of seven categories growing share in Brazil, so as a really good quarter built on the back of three good horrors before that. Well Jeff! I know that you had balance-sheet concerns at one point. That you had to address. You're out. You're operating cash flow which I don't think anyone focused on the call was magnificent, and your leverage is so much better than it was a couple years ago. That's the thing I. Think I'm most proud of that. I'm not sure people fully appreciate. We tried to get to a net to ratio of three and a half. Times by the end of this year we got all the way down to three point two times net debts Ebitda which brings us that much closer to get back to our normal capital allocation and our first priority there when we get two to three times net debt, the Dow will be growing dividend again and so it really is a big deal. Yes, our our our earnings. Our cash flow is even better than earnings and we're really proud of that. 'cause I always is the ultimate dividend growth stock and I think it's GonNa. Come back and now do that. Let's talk about something else that. I thought it was magnificent of blue. This was an acquisition that initially be will say we'll. Maybe there's an overpay, but you have thirteen point three percent household penetration. You've got all channels going by candidates. We buy it through Chewy. But this is this is turned into an acquisition that is really taking share from a lot of other companies. It's been a great acquisition for General Mills, and it's been a great acquisition for our shareholders, and all the pet parents in is every blue buffalo everything we thought it would be. We've grown a double digits two years in a row including eighteen percent organic sales growth this year we are growing share in the business and we've got some great innovation lined up for next year, and so people treat their pets like family and we've been feeding food. Food to families, one hundred and fifty years, and now we're just feeding into furry members of family and so blue buffalo is everything. You thought it would be two years ago when we buy it. When we bought the business when people at home, they do two things. They have breakfast at home. They have cereal, Cheerios, or something like it, and it means suddenly that they cook a Betty Crocker and Pillsbury so both breakfast and dinner are growing nicely. You going really well. This year is our third consecutive year of sales growth in in breakfast cereal this last quarter zero grew twenty six percent. And, so we had a good run on cereal, and even a better around this last quarter. As you say, people rediscovered that the kitchen is the heart of the home, and that's good news for Betty Crocker in Pillsbury. We have two of the top five food websites in the US, on traffic on those is up. One hundred percent as people are trying to figure out what. What what to do with these new products, they have in their houses, so it's been a really good run for for baking are meals businesses last word so talk to me about a just in general I mean for instance candidate had been dragged. Don't up some international, because looks like the international is another thing. I think we were getting upset about now. It's pretty good. It is good especially. Our Business in Europe turned around in the fourth quarter. We are the third fastest growing CPG Company and food in Europe. During the quarter I. We grew on our yogurt business. We grew share on our bars. Business Paso haagen-dazs, double digits, and in in Brazil we grew double digits in the last quarter, and so it's been. It's been a really good business. The only parts of our business that struggle in the fourth order or some of our food service business, both here in the US and. China, but even there in the US we took share, and so while we were down twenty eight percent in our food service business, the sector as a whole is down far more than that, so we competed really effectively even there yet all these good and but we gotta go over something else. At the top of your call, you did something that no one else has done. You mentioned the name George Floyd you mentioned to her fluids named twice. You mentioned black lives matter not just that we have to help minorities. Now you're from Minneapolis. We will read these stories. These are stories of tragedy and stories of import. What is General Mills Role Minneapolis and around the country in the world to try to make things better. Well many. General Mills does have a role, and we obviously can't do it by ourselves, and we can't address racism by ourselves. Neither can business in general to be a combination of business working with politicians working with the community altogether journalists doing been doing that for decades here in the twin cities we, we sponsor the mlk breakfast every year for the last thirty years, and so we're proud of what we have done, but if you look at the education gap, so the police reform, this needed or healthcare gaps, it's clear that we have a lot more to do. And as a company, the strongest thing we have going forward is our culture of. Of Inclusion and that's the reason why we've done so well. This last quarter in this last year is because we get the best ideas from everybody and everybody has a seat at the table. If you look at our board, if you look at our senior leadership, team is a very diverse group, and we really value that, and so the you know, the the recent events in Minneapolis have been been really tough, and now is the time to step up an act, and we think that we need to be part of the solution along with others, and it's not just acting. Obviously, there's been tremendous food shortage because we'RE IN A. Terrible recession people need food. General Mills answers the call. We did we donate a ten million dollars worth of? Cash and in kind product donations in the last quarter this year. And when you come to a pandemic, you really need to take care of all your stakeholders, and so we've taken care of him employees. We've kept them safe. We've taken care of the community by responding to acts of racism as well as food insecurity, and we've taken our ever shareholders with good results I think those things work hand in hand. So well, look I just gotTa continue. I, think people need to know this from your successor, and for many general mills has always been one of the one of the most terrible copies and everyone knows Minneapolis. It's I remember piece in The Times. What is it with Minneapolis at all? The company's always care. General Mills has always cared in. You're your great Stewart Jeff great great to see you again. Thank you so much, send we. We've had great leadership here in the twin cities for a long time and thanks for having me on your show. You sure have that's Jeff. Harmony listen this. He's chairman of General Mills. It's Brian Rare that you get a chance to buy. The stock went down and when it is you take money back if You're still using your beard trimmer for the rest of your body masks. Law More three point was specifically to make manscaping. Picturing advance advanced gifts. A Technology Trim won't make us name. It's waterproof shock-resistant, so you can trim in this out over the masking dot com. Get yourself the law more three point zero use code audiotape would for a limited time get a free pair of boxer briefs, a free travel bag free accelerate sippy. New covert outbreaks in the South and southwest accept it. Stuck at home for of the year and when you're stuck inside, you got a powerful incentive group, which brings me to Williams Sonoma, the furniture and housewares retailer you might also recognizes West Elm Pottery Barn. Here's a company with the powerful e commerce business in tons of terrific products that have southern come essential. That's the reason we assume has nearly tripled from its march lows. They may be the Best Omni channel retailer in America so can stop. Keep working its way. Let's check in with Laura. Albert she's the presence of Wilson. Get better sense of. How are companies doing? We're headed. Back to make money. Thank you so happy to be here. Okay, so tell me how you did something that I think is almost impossible to do you at positive comparable store sales, even though all of your six hundred sixteen stores were closed for more than half a quarter. Yeah. We entered you. With strength across all reinstalling a strong and of two thousand, hundred nineteen, when the pandemic maximize our abilities in let an lead into online virtual design services. and. We found new ways to engage in serve. Our customers turn data I. THINK IN OUR ECOMMERCE business that follower store closures strates the power digital I model and the relevance of our high quality, sustainable products rates, but the thing I'm most proud of all about our results is that we took care of all of our stakeholders, and when I say that what I mean is. Is that we paid our of our scheduled associates who were scheduled for twelve hours during the whole time through the store closure period, and this was a decision made because they're so valuable to us. And they were able to find new ways as I said earlier to stay engaged, and what we're seeing now is incredible. Gratitude from that Rupe is our source reopened in excitement and engagement. The other thing that we did as we relief that person communities from food masks to furniture that we gave away, and lastly we're able to give you a mid teen awkwardly dividend for shareholders I hope people at home understand that this. One of the few who kept the employees remember the stores are closed, so your employees and some these places as dead weight loss. That's not how you regard. You regarded them as you invested in them. You are doing some investing yourself. I'm seeing extraordinary numbers for instance pottery Barden children then I'm ready to talk last down, but potter born children up eight point five percent. How's that possible was reinvented? They kids team some really been focused on new customer growth last year. They launched the West. Had Halliburton kids collaboration? And a modern navy line, and we've seen really strong growth in our baby business, which is the entry points is? And then also believe it or not. We've seen strong growth in our dorm business. Even though there's a lot of uncertainty about whether people will go back to school. Our dorm businesses not quite strong, so we're. We're driving new customer growth. We also, kids were very forward in our sustaining all the efforts, and we had converted a lot of products degree guard, and we could see that the customer really cares about that. In fact, we we just we know that seventy percent customers saying sustainability is one of the very important things that make their product choices happen. You've got into debt. You've got a terrific thing. Fifty percent market, highly fragmented eighty percent ECOMMERCE adoption. Well, everyone else is under penetrated and guest again increasing focus on Saint Sustainability Seventy seventy consumers value that there are so many trends that you are in the heart of Laura I don't know we could do urban to suburban. We could do out of out of China doing that, but most exciting like we can do a home. Office, the most excited when that I've seen of late bread maker ice cream machine. People are making Brad again. People are making desserts again. This is we've SONOMA's sweet spot. We love it and the other thing. That's so exciting. Is the Millennium Learning? And they were the famous people to go out for their kind of tests. And now they're making it at home, but we know about that. Is that like any other hobby? Once you start doing something? You tend to spend more money on it, and so this is just the beginning. I know people will go back out to restaurants when they open, but they're also going to know a lot more about their food and enjoy. So this we don't see this just as a short term trend, we see it as long lasting tailwind for business, and as you said Jim there's a lot of secular are highly supportive. Harvest threaten out from interest in the hull to the interesting cooking to ECOMMERCE acceleration. You know the fragmented market and focus on sustainability, but let's talk about retail brick and mortar for second. You are closing stores you're. You're rationalize your fleet. You have a lot of leases that are up. You have a lot of leverage or even getting reductions in rent. When I hear these things I say, wait a second. You're the best at Omni channel how much you really need in a standalone mole given the fact that you're. You're incredibly lucrative when it comes to virtual reality when it comes to ordering things right to your house. Source really our competitive advantage. We don't need as many never got. And we don't need as many as we have now and we have a very disciplined process of working at our source Fli in so it's a combination of you know. Was the landlord great to us during the peons? Are they great partners. Is The ball a great location? Whereas, the other store next to our people in our stores are the secret weapon and we've seen this through the. Whether, they're in the store working from home. They're the ones that really help you furnish your house and we get a lot of big projects now, so people do like the come. Sit On, things. Look the fabric. We learned how to do more and more that online, and in fact that three business that we bought a couple years back has really paid off now because that helps, people imagine what things look like when they're in their homes, but there's nothing like sitting on a surfer and. And the experience of our stories is very memorable. I think it's Pavlovian. You walk by Williamson using pepper, and so that's not going to change anytime soon. It's just that ECOMMERCE will be the growth driver finally have got S. you're a pioneer in trying to be able to shift out of China. You do have some tariffs that hurt your bottom line, but you've been inventive. Where are you going to get that new merchandise made? And how quickly can you continue that pace out of China? Is So. About ten years ago, we started on. We walked away from an agent structure sourcing ourselves, so we have a lot of people all over the world working for us, and we're very close to our vendors. That's a huge advantage We design most of our products ourselves as well so we're you know we. There are designs and we can move that. China is still important part of our sourcing strategy. We have great Chinese verse. However, we had too much time. The terrorists were big numbers. The first half of this year actually was the hardest in terms of communist Jackson back. We're not the same as they were last year versus having or not having regardless, we've moved over half of our business China. We moved a lot of our business to America. We've moved on things to Indonesia to Vietnam and India's always been a very strong supplier country for us. Well look I want to congratulate you again. You do have the best channel. Nobody could have positive comps if you didn't and. But really what you did with your employees. This really special that really matters. That's right that's. That's what you'll be remembered for. Not just the Great Com. That's Laura Albert. She's the President CEO Williams-sonoma. What a stock! What a management style Kramer. Every now and then his businesses nicest for three months ago and cove in one thousand nine cents a whole country lockdown. We checked him constellation brands. Beer wine and liquor company with canvas kicker. You probably know them as Corona Miguel. Maybe Pacifico, a lot of people worried that they take a huge hit because all the bars closed, constellation made it crystal clear. They're doing fine. Then any business well, it was more than made up for the for the Food Service Business I've to tell you people by beard home, Sisson Stocks Juggernaut, including a moss or six. Six percent gain today if constellation poured into other phenomenal quarter while their sales only in line, listen listeners, the company or two dollars and thirty cents per share. We'll servicemen looking for two dollars and one cent, not many beats going around these days this talk room to run the chicken with bill. New Orleans. He's bankable presidency of constellation brands. Get a better read on the quarter and what comes next? Welcome back. Thanks Jim good to be here all right so bill. What could you have done since this was a blowout quarter? If you could actually get all the beer that you need it out of Mexico? Well. Certainly, we had a bunch of headwinds, but that that didn't stop us from having a pretty good quarter. As you know, we're a little under indexed the on premise, which was off about seventy five percent in the quarter, but when you grow almost twenty percent in the off premise arena, you have a pretty good quarter which we did well, they went there because you know that they are closing the bars again around around the country. There's just too much Kraus's none of social distancing. and. People. Say Well. That must hurt consolation, but in reality that is not a way to look at. It's What what you said earlier is true. A lot of people move their consumption from on premise to the off premise in these typical types of environments, so the networks to some degree to our advantage, because we are overrated, overweighted in the off premise arena, so it actually works pretty well for us as you. On the first quarter, we performed extremely well in that particular channel. So now I go home and I see billboards for Corona Hard Seltzer, and it looks like the initial returns are pretty amazing. They have been we today. We've shipped over three and a half million cases well on our way to roughly ten million cases in this fiscal year, and it's gone extremely well almost ninety percent of it to date as incremental to our business outwear the number, four Seltzer and variety pack already of we've got almost sixty five ACP share. And it's growing every day. We're just scratching. The surface of we think the ceilings pretty high. So which can you meet the demand I mean? Come on the show, and they're having trouble meeting demand. Quantum Adele having trouble. King and make them much seltzer. We can we'RE GONNA? Make roughly ten million cases this year, which is about the amount that we can for this fiscal year and we think that's roughly going to be about what the demand is, so we think those will be pretty well balanced in the meantime. Pretty interesting. This empathy deal that you made. A GARY CHECK I've been I've been on his show. He's from ground. Right around the corner from me. Online online is the way to go. Can it be meaningful for the bottom line? Well, we think it can one of the things that's happened during the pandemic is a radical increase, three teary congress, and and direct to consumer, and I ain't Gary stunt an excellent job with his brand of of approaching the entire business that way, so we hope we not only can leverage that particular business, but also learn a lot apply it to other brands within our portfolio at is going to be the way when we talked to consumers. They tell us they continued to plan to buy. A lot more often than they did before the pandemic. Bill you're tough numbers guy. I know you were not happy with canopy. Put Your Man Klein and there's is a tough guy. How quickly do you think you guys can turn that around because I know you still got the best capital, but some of these other guys were Pesky in that category and I felt I felt that you could dominate it. Can you still? I guess, we think we can. We're still the best capitalised business David has already created a much leaner structure. That's that's really set up to win. And most importantly and you and I have discussed this before a beverages is going to be a game changer the work the canopy has done to put out outstanding tasting products with virtually no calories It's really going to be a game changer, and and no one is better position canopy to win in beverage. Have to tell you that I was thinking. To tell people help people with politics I. Don't do politics if the Democrats swept the stock, which was is constellation because we'll be drinking beer in all fifty states rather quickly. Certainly we think if the if there's a change of administration. During the next election that would certainly be advantageous relative to galleries for Kansas all right now there are two issues i. want to talk about that I, think are important. One is your decision to put a hold on facebook I. Think they're trying now, but I want to know what it means to you. And then you made a decision to invest in the community invest in the African, American community not write a check, but it will invest what why are you going that way? One of the things that we realized is that the African American community in particular has been under served relative to capital as an example, african-american population is roughly thirteen percent of the total population, but gets only about one percent of the venture capital. Our view was this was a great way to provide some of that. Seek capital over of course of a number of years to encourage some of these smaller businesses. It really had a tough time having access to apple. Our view is it could be a great win for them and a great win for our company and the decision to suspend facebook. Could you go back to facebook if they? Made Immense. So what we choose chose to do was we've suspended our engagement with facebook or the month of July and we're going to have an overview of our entire approach to digital advertising, and to make sure that all of our media partners meet the commitments that we have to racial equality, social justice and facebook will be one of those, and if they do the kinds of things that we think are appropriate, we would certainly consider going at a, but we're going to expect all of our media partners to meet the that we have for ourselves. Are there enough? Media Partners Without sports I'm used to seeing your ads when I watch football games. Well one of the reasons that we we advertise less during the first quarter is there just wasn't the kind of live. Sports and other live activities that we're used to seeing and we're being very judicious, but we're ready. We expect to continue to advertise a one of the things we always see. In prior. Recessions are the people that invested in their brands and continued to do so during recessions always came out the other side in a much better space. That obviously with the NBA, starting with baseball starting. You're going to start to see some of these. Live of instant live sporting events available to us again, and we're looking forward to getting back in front of consumer more often well terrific regulations on what could have been a tough quarter. Was it instead? It was a great one bill new always great to see you, sir. Thank you. Bills President and CEO of Constellation Brands think about all the things that can go right now. The stock is still down a lot. I want you to stick around what you stick with my friends. Scott Wapner. Here's a peep of what he has one tonight. Tonight took seven PM. We'll. Some health cautions. Be here to stay one. I don't travel company where in close how some business owners in East Austin Texas are coping with the resurgence of the virus, and which masks are the most effective all tonight at seven? PM was Scott Wapner. By revelers Roy. And then the leading round is over. Are you ready Steve? Zach in Texas Zach. Bar Zach. A. Ought to be on on the. Ledger. Retail letters downing I have friends of my online community and on that note a big. Wall, street that and I. With a K.. Fight you every single agent. Straighten it out with the Ken. What's up? So. My question is about the micro ticker and you talk be down yesterday. act. That was crazy I. think it's a great opportunity. Maybe get forty eight really. Jeff Jeff Jeff. Jeff from downtown. La Thank you so much for your years of hard work in really incredible doc recommendations about three months ago chip. Yeah, you. two months ago Jim, you raised about shop, the Fi the to doc you signed and dated dogs and doom of course, and they're killing it. Man I just love. down. There in the right direction. I gotTa make that. What's up? Yeah, the soccer calling about has been on a tear. It's gone up three hundred forty nine percent in one year. It's up to one hundred sixty two percent just three months. It set all kinds of records. ASAKUSA called ever quote. The. There's a lot of these companies that they do is to get. The lowest price an insurance and people. Just they love these companies. I'm not gonNA, fight the. Let's go to Michael and thank you for the commerce. It's got to Michael Georgia Michael. pregame thanks Nicole you walk with you. R. V. L. Now, or would you wait for better outer wear I mean I've been telling people a kit fractions plus dot com. It's our favorite. Five G. played just went up. Twelve point I can't. I can't count inspirer. He'll let let let let it come back Oh. Let's go to Josh in New York Josh. Big Time Fan. Longtime viewer might question is about Kalispera. I recognized that this Beth. y'All. Tumor play. You know I'd be about terrorism. Blessing them for a little bit of money only for a little bit but I'm not GonNa, go against it. That one is fine, not great. Let's go to jared in Wisconsin Jared. J. Seed! Go on fool. Proof, city and I know. The Belmont stakes. Yup phonies. Journey Laurie. I love my question is. DORNA OPERATION WARP speed. Bump stock at warp, speed I don't like that Look, maybe they hid it maybe but the RNA that I'm betting on. Is The visor are in? California Dan? Yeah. Just, want to thank you for all that you do for the millennial investor. Of course shot to the Danny and other physicians on the line helping out the battle with your little kidding, my guidance just busy now all parts of the country. Jim, I was wondering what your thoughts are. Black Hawk black rocks by better than to Anfield Stock Bounds big at PNC dumped its shares foolishly, and I think Larry things could. We're making more and more call. We're GONNA know that all were so scary and that late Jones inclusion. Big around is sponsored by TD Ameritrade. A major reason why this market keeps turning higher, even though Kobe cases are spiking daily highs and unemployment, still at ridiculously high levels. Of course, we hope it goes down machine number tomorrow. Well, then let's take a look with Caroline Broden. She's that brain technician who runs the NACI Queen Dot com website also happens to be my colleague Dot Com. We need we need a charge to get better sense of what's happening in the major averages right now. Brother thanks could even more upside here even though it's in the. The face of a tough backdrop and the list we spoke with her about six weeks ago, and she laid out some very bullish targets for the SBA five hundred hundred. Let's start with the Nasdaq. Because this tech heavy index was was able to close on record today, though it still down lovely three hundred points from bruins price targets. So maybe this. Run your when you'll get the daily chart. Remember. She's a fifth queen. When you look at the daily chart, the Nasdaq one hundred has been an absolute champ. What short it's above the twitter day moving average, which is the one that's in paying well well above that and the fifty day moving average well, the another one. That is just that so far away. It's great whatever favorite by triggers the five day exponential, moving average versus the thirteen day isn't boomed with five day on top, and that's been the case since early April and following that by trigger is giving you some huge gains with always see this line above. Went that blue on top. What else at this point the Nasdaq one hundred giving you almost a perfect picture chart? It's got a Bush pattern of higher highs and higher lows is price keeps holding above the most recent low, which was set on June fifteen most important every time. This thing pulls back. broden points out that the client has been similar in both pricing. To last few sell loss since the bottom in March these corrections last for one four trading days, and as long as it's pattern holes, she could see the Nasdaq one hundred rallying. I'll just say it another two hundred to four hundred. Year and Broken Bronwyn be surprised if we saw eleven five six eight. That's the next step up roughly twelve hundred points from here as long as the bottom in late March hold. She thinks we are in an uptrend. Yes, she likes the Nass Alright the theme of the Nasdaq hundreds. It's a tech heavy index. They can keep winning even the middle of a major virus outbreak. We have why not. There's a ton of overlap with the. The cream recalled in one thousand nine hundred index. What about the weekly charter? The more broad-based which doesn't have a lot of cream covid overlap here. Brolin's feeling less sanguine six weeks ago. She told us that the S. and P. Travel Thirty two eighty. Okay, so we thought we could get to read about here. As part of a thousand plus point, rebound office, March slow McCain, five, very close tantalizing that level in early, June. espy climb to three, thousand, two, hundred and thirty-three right below our target, then the rally fizzle, and the next got slammed by the pandemic and South West that was important hurdle for Brodin, and yes, it'd failed cleared her next price. Target is three, thousand, seven, hundred, twenty. Okay, and that would represent newell time high of got there, but she can't feel confident in that target until we break out. Out Above. Three thousand, two, hundred, eighty, right given that we failed to break through that resistance. She's worried about potential downside risk when you zoom in on the S. and P. Five hundred daily chart, the picture is even quite frankly lesson card well, the index is still Bobbitt's keep fifty day in two hundred day. Moving average is expressed by the green and this on a short truce would even. Remember Britain's favourite triggered the five day in thirteen day that we talked about the good on the NAS-. This is average crossover some working. In fact it's embarrassed territory with a thirty day above the five day suggested the momentum's headed in the wrong direction from Viviana Queens. It's typically a warning that we could see lower prices now. This moving average combo had been in by move from April sixth through a few days ago. Just like with the Nasdaq. If you took your cue from his trigger, you'd have had a fabulous rally, but now the trigger says hey. Maybe it's time to sell. Sell of course that doesn't mean abandoned all hope she's not saying. Yes, we've off. Hundred is duped. We get a little rally going and the five thirteen triggered term Bush again. If the S&P can do that and then take out last week's highs up about forty points, then broke broken things. We can resume the recent rally. In that case. She says the could attack one two hundred three hundred points vs levels long-term. She still believes we're headed for. Thirty seven twenty still go. It's a nineteen percent gain sure Wanna stay long for that right, but short term the SB could be approaching a make or break moment if it can't breakthrough last week's highs, three thousand one hundred fifty block. Okay, brother, thanks, you need pair for pain because the near future could get ugly spy. What happens with an S. put? Put on the charges and triggered by Cowan. GRUDEN's just the things are looking brighter for the tech heavy Nasdaq one hundred, then, the more broad base isn't five hundred the Nasdaq Juggernaut, but she's worried about the S. and P. Before S-. Keep that in mind. This new outbreak is great news for the Nast just like it was today a huge breakfast break. Because it's got so many Kramer Kobe nineteen plays, but it's bad news for the S. and P. Five hundred apparently up at all very bad. Let's review some of these general mills getting break here. Because now they have the balance to be able to go back to the old journals. Way taking share. Numbers and investable. Give me a better given. Winston Best Omni Channel, story that there is and constellation brands. Let's say that you believe that there's give me a democratic sweep. We just found the stock probably one hundred points. Why because they got the best tasting cannabis beer and nobody else seems to have that. Could be a shortage. Say always a bull market suburb by just be Radio Buddy Jim Cramer. You to morrow. INVESCO Q. Q. believes new innovations create new opportunities. Here's to greater possibilities together. Learn more at INVESCO DOT COM slash Q Q invesco Distributors Inc...
020: Hometown Homicide and Murders in Thailand (Collab with A Teacher and a Crime Scene Tech Walk Into a Bar)
"Down this road is a small City Once thriving in full of life, but now desolate and abandoned. Well abandoned say for the boss is rumoured to reside with it, which I presume is while you're here. Now, there's nothing wrong with a little morbid curiosity. But please remember to stay close to your guys. You wouldn't want anything to get left behind. Welcome back everyone. Hello. If you remember not too terribly long ago, we featured a couple of guests on our show. We had a teacher in a crime scene Tech walk into a bar and they just recently invited us to also be a part of their show. Yep. They spun the wheel of murder for us. Yep. Wish is still my favorite thing about their show. I love it. They were kind enough to allow us to share it with you guys. So here it is for all of our listeners. Enjoy life. Hi. I'm Ashley and I'm a teacher in Georgia and I'm Talia and I'm studying to be a crime scene Tech in Colorado. And we're off a teacher in a crime scene Tech walk into a bar. Okay, we're having problems you guys welcome to the chaos. Yeah, we're super excited because we have another episode where we have special guests. Yay. We are with no Phil again. Yeah song with Jen and Christine from Nokesville. Yes. Say hello. Yeah. Thanks for watching. The Shadows come out of the shadows and darkness us know Phil. Do you guys want to introduce yourselves and tell our listeners a little bit about your podcast? I know they heard us when we did our clubs together, but for anybody missed it go for Christine. Oh, okay. So we're firm note Phil. Will your tour guides do the city filled with dead? The Terrors and Nightmares and we take you through the city and each week. We have a different thing. We take you to tour our most recent tour was on Bloody Mary. So go ahead and touch that wherever you get your podcasts one thing that really terrifies Jen are a bloody mary I hate you Bloody Mary in Freddie Krueger are like two things on my my childhood that I'll never get over. You should play it when you were a kid now. She know what I'd like my cousin threatened to edit. Oh, yeah, you put it. Yeah, nothing. I did it. I don't think I could ever convince me to do it. I was like, hey you guys, you know, it sounds like a really great idea super fun game where you get mounted fog of your life. I'm the boring slumber party attendee. I'm like, oh guys just want to watch movies and go to bed at Birth. But tell us about who you are. Yeah, who are you? Oh, I'm dead. Okay, but that's yeah, that's my favorite. I'm like about myself. Yeah, just like a quick like no no such a teacher thing to do. Let's go off. Hi. Hi, I'm Ashley and I'm the teacher. Yeah, give us one fun fact about yourself two lives one fun thing. You did over the subject two truths and a lie fact that's actually funny. That was a college thing. We should play that sometimes on the show. We should that would be fun Christian you go first. Oh God. All right. I'm Christine Phillip Fraser. I I currently print t-shirts for spreadshirt has my daytime job and then I do this at night. I have my to college. What are my whole world? I don't want children cuz I have them there enough. They act like children. I obsessively collect POP vinyls of Harley Quinn and basically any other interests I have so like I have a Jason Michael Myers and stuff like that. So just like horror icons sign like that. Yeah. That is cool. I like playing horror video games or just games in general. Most may be see I don't have a whole lot of free time anymore. Now that we podcast right? Yeah. Neither do e seems. Yeah, I graduated with a bachelor's in psychology thousand times with that to use and I'm freaking out and I need someone to talk to that must be nice or researching something. It's like hey, I remember that. I understand what this I know exactly wage weird things going on here means yeah. Yeah, that's about it for me. So let's Circle back. I'm Jen still. I'm glad you're welcome back. Yeah. Yep. I just recently completed my program as a cytogenetic technologist. So last time we recorded you were about to take your tests and so happy for you. Good job. Yeah, so I just started training in that before that actually used to be a chiropractor. Oh, oh, yeah. Yeah stop that. But I also enjoy playing scary video games with Christine. That's mostly zombie games. We play a lot of zombie games. So if you listen to our zombie episode, you can see how passionate we are zombies. Oh, yeah. Do you play Call of Duty? That's actually one of the only ones we don't that's I watch my husband play Call of Duty and I I frequently like egg him on and I'm like, why are you so much? I can't get better zombies. Just let me show you how to do it. Come on. I know and I'm like, I'm like him. He's right there. Why aren't you shooting fast enough? There's a method and there's a method to the madness birth. Call of Duty yeah, that's what I do. So in my spare time when I'm not broadcasting I watch my husband play video games and make fun of his playstyle and I also have three cats and a corgi. So my little Alice she's what yeah, I know it is a heart. But yeah, well, we are super glad you guys are here. Thanks for having us. We're excited for some true crime stories, but I think we have some drink recommendations first. Oh, yeah, but who wants to go first? Okay, I'll go first thing. Not it. Yeah, those goes I can't even I can't even see all of you at the same time. It's just I notes and everything so that I can see the button at the top. I know you're in Middle minimum of you very tired me and um, um, um, yeah. Okay. So today I'm drinking Corona hard Seltzer. This is cherry flavored. I've actually never had this before another never drink in a coronavirus either. So yeah, I will just well you don't like beer so no, this was the only thing I could find in my French so so okay, it yet this in the Barefoot know I'll try it right now. Try it right now and give us a number out of ten. I just spilled it all over my shirt. It has a hole in her face in a drinking problem, ma'am. So I would give it like a 727. Yeah, I like I like them sweeter usually careful nice, right? No pill want to use. Yeah, so do so in honor of our hometown murders. I am drinking a cut water cocktail and a can soak up water is local to San Diego and they have all like delicious spirits and stuff. So this one's my actually my favorite. It's their cold brew mixed with their horchata vodka so long to delicious. It's like cinnamon coffee. Yeah. I was on with life and work tomorrow. I'm working from home tomorrow, but we got so I love hot water level their spirits and I love how convenient they're like cocktails and it can are and they're I Love Drunk. Yep. And that's awesome. Yeah, that is what I'm drinking one more podcasting because it's just easier to just grab that than to make myself a cocktail. Yeah. What do you give it out of ten? I give this a ten out of ten other 10,000. Try it. All right, Christine. Oh, you want me to go now? Okay. I do want to go ahead girl and Ace pumpkin craft cider shot. They love ace off. The Great Pumpkin one is delicious. I never travel one today to just just zyuzin, but I love the pair one the payoff delicious and so good. What do you give it? I thought I would give it about a nine. Does it taste kind of pumpkin e know it tastes like applesauce Oh, you mean interesting? Yeah. Yeah interesting or that's what I get from here. But yeah, I'm inside or whatever it is. So in a weird turn of coincidental events, I also chose a hard Seltzer nice job. The Cherry hard Seltzer with with lights Corona today is the the only time this has ever happened cuz normally I do fear in July does wind so I know what happened today the Stars aligned cuz I actually pretty much just got this I've had them before but my husband was like who get the Bud Light once and then when you make sure Instagram post about your drinks you can tag post Malone was like sounds like a plan. Why not? He's definitely going to hear it. Yeah, his Bud Lights Out of the wreck postie. Yeah. I love post Malone. So hey, I think I'd also give this a seven out of ten. Yeah. I'm going to go with the know we have to say ten out of ten if he's listening post Malone friend to rate it highly if you off. Yeah, exactly. Thank you. I'm so happy that I saw your commercial and that I bought this. Yeah, what about constructive criticisms? So post Malone or the floodlight people? I don't know. It's just not as sweet as I want it to be like there's mine like white claw black cherry is like super heavy. Yeah. Thanks football. Yeah. I feel like the thing with white cloth is the more you drink the sweeter it gets like the drunker you get the better. Yes today. The first two are not super great after that. The fourth the fourth one is Bomb through the case of your favorite number 11, you're going to be like so happy. I'm sorry used for like most drinks that people bring to parties and stuff exactly true like dog. Cricket, yeah, my drink it for enough beer pong events. It'll tell you to slaughter like muscle through the first couple drinks. Yeah get through it. Yeah. All right people so, we just have just want to add him. Yeah girl. We still have our magnets that we are sending out. You just have to review us off Apple podcasts and take a screenshot. Send us your address and we will send you a magnet. Yeah. So Sinister screenshot to keep one. Yeah, we got them from Sticker Mule home. Yeah, I love sticker meal. Yeah, they turned out really good. Yeah, the print quality is honestly like way better than I expected it to be. Yeah, that's why I should probably send you one. Yeah, I probably should have sent one in the package that I sent to you today. But so yeah take a screenshot of your review send it. You can email it to a teacher in a crime scene Tech at gmail.com or you can log Diem it to us on any of our social media needs. Yes, sometimes sometimes I forget that we have a Twitter. Yeah, you can sweet message. Just I don't know direct with us GAA CST Twitter twitter.com. Can you tell what generation were all from birth know how to do the things? I don't know how the twittersphere works. I really don't it's been a steep learning curve. It has been it really has been like I don't know what that means. Right? I think that's it. Yeah. So do you guys want to tell us what you got? It's been a really long time since we spun the wheel of murder from this episode. Yeah, so incredibly needs a refresh. So you guys spun the murder wheel for us and we got home town murders. Oh, yeah, that'll be good. So, yeah, so since Christine and I are home. Different parts of the country we did a different home town murder for each City that we live in Edward so mines from San Diego and Christine's is from Las Vegas no more Virginia City, but dead close fish. I didn't feel like talking about too bad cuz I don't know that there's a whole lot of information there. Should I mean I kind of wanted dead. Yeah, so I would have been really jealous if you would eventually yeah those things like, oh I looked and we're going to cut you out of this whole record you don't get to tell three at all and they're bound to say that burger. So just open for you to cover if you want. Yes. That's true. That's your table for next week. Here we go. So which one of you wants to go first, you guys want to rock paper scissors you want to fight each other? I don't know. She would totally suck. In a fight like I would just feel like snow please don't do it. Oh, yeah the Hufflepuff. We're just kind of oh, you're a Hufflepuff. I'm a Hufflepuff off Hue lamp off. Yeah. So Aaron, you're a celebrity and your mother claw. I'm very laid off. Are you I am yeah. Yeah, I thought so. Oh, well you pick that up just just had the horoscopes Ashley reads. Yeah actually reads houses. If you meet her husband, you'll think of them as a slit their claw. Yeah. Yeah. I'm a gryphon Puffs. So yeah, but I'm married. I'm married to a Slytherin. I just really like slytherins. Hi Chris. I appreciate the cleverness in The Cutting news. Yes the wit. Yes, very windy over here. All right. So which one of you 21st you were supposed to fight or something? Yeah. Yeah. Yep. Duke it out. I guess that was the worst fight ever meet me up. Cuz if she wins she'll tell me to go first anyway, so I thought okay. Okay, so I am covering a story that was actually pitched to me by my husband. He was an engineering student at San Diego State University and he said that he'd often passed by the by the morial plot. That was a memorial to three professors. And when he looked into who they were he came across this tragic story so he's like should cover that story like all right, cool. That's cool off. Fabric. Martin Davidson was an Army veteran who enrolled at San Diego State University in nineteen eighty-seven in nineteen. Ninety one. He completed his undergraduate degree and earned a bachelor's degree in aerospace engineering first years. He continued to study a while trying to find a job in his field. However with the defense industry downsizing he had no luck with the job hunt. He ultimately decided to change to mechanical engineering in the hopes that it would Denton with more job opportunities and he enrolled in the master's program in Nineteen Ninety Four. It was during the master's program that he worked alongside his faculty advisor associate professor Chen young they worked together on trade-ins thesis which was on shape memory Alloys which is a type of metal that was able to be twisted and could hold its shape until heated have no idea what that means but that's gone either but I'm here for it. It's natural. So Leon was originally from China but came to the states to study at Virginia Tech afterward. He then went on to become a senior research scientist for Paradigm. Inkan Virginia birth becoming an associate professor of engineering at SDSU in Nineteen Ninety Four while in school Davidson was described as being a loner by fellow classmates and professors and his landlord was quoted calling him meet Nick, which I never heard. Sorry. Okay. Yeah, like neat Nick heard where his room was like super tidy and sparse and with only a calendar and his undergraduate degree wage. Creating the walls. He's a minimalist. Yeah. Yeah. There we go. Yeah, I got there wasn't a word for it. Then it's not not in the nineties. It was like what a neat attic sounds great. Sounds rude. I mean, yeah probably had no friends are neat. Nick talked about it. Yeah. He said to be the kind of person who completely devoted his entire self to his job on Monday August fifteenth nineteen, ninety six at 2 p.m. Davidson had a meeting scheduled with three associate professors and three student Witnesses for his master's thesis defense. It had been rejected before so after returning to his project and putting an even more time and effort into completing a thesis. He had hoped that this would be the time all his hard work paid off when the meeting began. He produced a printed copy of an email. He had received from potential employer and handle it stated that his employment status was dependent on successful completion and defense of his master's thesis. Okay next without any further exchange of words between him and the professor. He walked over to a nearby first name. Cabinet were earlier that morning. He hit a nine-millimeter semi-automatic handgun Yanks, 15-round spare magazines. Oh, oh, my turn towards his professors and opened fire off five minutes after the meeting began at 2:05 p.m. Gunshots rang throughout the engineering building Davidson shot and killed Liang where he sat at the faculty table and wounding the other two professors thought it was said that Leon was Davidson's main target since he felt incredibly resentful towards him for making him work long hours in the lab with little to no credit and giving him busy work that had nothing to do with his thesis research suggests and Larry was his next victim. He was a 44 year old associate professor who was reportedly set to become the department chair the following week a fellow Professor had said that he quote fretted about students finding work up. The Department's many foreign students with their English when writing papers if a student didn't get a job. He felt jobless. So Davidson targeted Lowry because at one point Lowry had caught him with old number. So the students shouldn't have an accused Davidson of cheating. So with this Burning memory in mind, he turned towards Lowry with only one door in the classroom leading to the main hallway Lobby ran to escape a murderous Davidson. However, he only made it to the doorway before he was shot several times and died Jesus man. He then turned to sites to a thirty-six-year-old associate professor of aerospace engineer Constantino's lizard lizard. This was no stranger to Davidson Davidson felt like Lazarus was out to get him and that he was one of the main causes preventing him from finding work after witnessing the death of his two colleagues horrendous exited another door in the classroom that led to an adjoining classroom knowing he was unable to escape he attempted to hide underneath a desk Davidson reloaded his gun and chase after him he shot and killed his old Professor thought he was still hiding under the desk. She was sad the three students that were there to witness a thesis defense were spared with Davidson saying they weren't the targets. One of the students was actually able to run away. The shooting started and he warned the rest of the people in the building and notify campus security during the 5 minutes shooting spree Davidson unloaded 23 rounds with 16 hitting the three professors. Oh just after the crash occurred Davidson had every intention to kill himself even having pain to suicide note with details of the location of evidence and computer files in his house. But ultimately he said he was too much of a coward to go through with it took the security found and pacing on the third floor and the main hallway with the gun still in his hand. He apparently ordered the officers to shoot him. But ultimately he surrendered dropped his gun and was taken into custody openly weeping about what he had done. Wow, Das what an ass that's right. Yep, like nobody feels nobody feels that I'm sorry. No one feels sorry for you. Just not even a little river know. So Davidson was charged with murder was given three consecutive life sentences without parole one life for each Professor. He murdered this plea deal was taken after the widows of the slain professors argued against the death penalty under thought that they didn't wash. Children to have to deal with the added stress and Trauma of appeals that are frequently filed and awarded in death penalty cases. Wow. Lazaridis daughter at the time was only fourteen months old. How old they were all super young. So one was Thirty thirty six one was forty-four and I think that alone was 36 as well. Wow. Yeah and part of me feels like it was good that she'd the home is argued against death penalty cuz that would be like giving him exactly what he wanted. He wanted to die. Like, you know deserve a Rock prison, you're going to suffer consequences. Yeah, so they wanted him to be put away for good song could create some sense of normalcy for their own children and to add insult to injury calories eight year old daughter Nini was struck and killed by a car while crossing the street just six months later. Oh my God, she was adopted from China. He and his wife had adopted her from China. And yeah God, however, despite taking the deal in nineteen ninety seven and thinking all was good Davidson actually applied for executive job. I'm seeing 2017. Of course, you did after hearing the news the widows are now grown children were in shock considering he was already granted clemency when they decided not to put him on death row, right? And for the life of me, I couldn't find the result of this but I did find that there was a change.org petition asking for the governor to reject the application. It was created by Esther Alonzo who was a sister in law to to learn just thought. Wow. Yeah while Davidson had a strong motive for he carried out this deadly attack. There was no clear sign of the professors were even going to reject his thesis that day even though they had done so in the past, but ever since that first time he felt like there was a larger conspiracy where they and the entire engineering department were were out to get him to ruin his life work so hard to earn my eyes are rolling so hard. Yeah. It's just an example of a clear mental breakdown. Yes, right, which I get into so it was even stated that it seemed like Davidson was in for a bright future consideration. He was a named author in several Journal articles alongside Leon with their research being funded by McDonnell Douglas, which was a major Aerospace Manufacturing Company defense contractor. It was believed that Davidson off from delusions and paranoia and even came from a family history of psychosis and he was apparently remorseful at the time of the trial according to his lawyer. Hmm. So well, of course, yeah, he was a grain of salt. I yeah, yeah. Yeah, like I think she was just trying to get a lesser sentence for sympathy. Yeah, although he didn't actually commit suicide in an article from Psychology today right in by forensic psychologist Katherine ramsland. She references Davidson along with other School shooters in regard to academic stress and aggression and how that can lead students to become murderers. She specifically talks about the how the mindset could lead them believe that there's only one solution to their overwhelming anxiety. Even if that one solution is incredibly extreme, like killing your graduate advisor or yourself or yourself. Yeah. She says that someone suffering from Suicidal Thoughts. Tend to not recognize their own cognitive distortions and they wholeheartedly and truly believe that what they're thinking makes sense and that they have to act they form the sort of tunnel vision that rolls out and excludes all other possibilities for a resolution is if you are major regressions toward your school work like Master's thesis and you believe there is one roadblock to your success you remove that roadblock permanently from your path, right? She says that mental abilities absent and that words like never only know one and always are actually commonly found in suicide notes like both found in his and there's people that don't have these thoughts aren't capable of understanding this page. Is it because their brains have the mental flexibility to see other possibilities and outcomes, but not so suicidal people right in Davidson's case he had to act there was no other choice for him. He made the decision to put in any way it was causing this major life stressor and he acted on it leaving nothing but trauma tragedy and a lifetime of Heartache for all those involved. Wow. So that's the story of Frederick Davidson. Wow, and and the memorial SDSU I'm surprised that isn't a bigger story. Yeah, that was Heavy. Yeah, it's crazy ones really sad know. All right. Should we go next to Ashley Christine we can wrap paper. I can fight. You know, I think you'd beat me up. No thought maybe not level but maybe she'd run away with me. Yeah, it makes a liar. She's a scrapper social six something on me off or getting your mind. It's all right. All right, so I found the story of Julia bulette. So this lovely lady I have chosen in part because she was offered on January 20th 1867, which is the day before my birthday a hundred Thirty-One years before I was born in Closter happy early a hundred and thirty one year off. I was like, oh, wow, what are the odds? Yeah, this woman was well-liked and even considered a treasured citizen with in Virginia City Nevada back in the towns. Boom know. I that's one of our favorite. Please don't ever tell anyone that I lit up her. She had two friends, right? It's like she stayed at home. She didn't like people very nobody really actually even know who she was. So this was rather unusual as she was a prostitute and prostitutes were often looked down upon back in these days and she was yeah, it's still in some circles, but other overall, she was respected valued in the community. So proper ladies would kind of like turn their nose up at her but that was the dude selector knob got going. She was even an honorary member of the Virginia City fire engine company. Number one. So firemen and minors alike were among the mourners at her funeral. She conducted her business independently out of her home in the red light district and within her fifteen years of the business. She had earned modest success for herself as with many people's histories as far back in time. There's nothing to corroborate the stories of how Ms. Julia conducted her business or her charitable acts but they're out there are stories. It said on History. What it said on History net.com that confusion. I know that's why it's set on History net.com that she would often donate freely to the fire department and would even help out by working the brakes at the hand car engines while the firemen would be battling the Flames. There's also mentioned that she had housed hundreds of sick miners took her home during an epidemic gentleman callers would often have to pay a little more for her Services because unlike others she would only see one man each night and he would enjoy his favorite alcoholic beverage as well as her company in her clean home. Body was discovered on January 20th 1867 when friend and neighbor Gertrude homes had stopped by that morning with breakfast. She had been beaten with a pistol and a piece of firewood and then angled she was wearing her nightgown. So she had been on her way to bed already when the ACT had happened and many of her fine clothes jewelry and rolls of silk had been stolen the Virginia City territorial Enterprise reported on her obituary and within it she was described as quote being of a very kind-hearted liberal benevolent and charitable disposition few of her class had more true friends and it was also reported that this was the Lifeboat worst murder ever in this city horrible and quote the day that she was found the mines Mills and even saloons closed out of respect and the following day most of the Town gathered in a rental sleet for her funeral at the firehouse. Oh, wow. Wow, that's actually really nice. I know everybody seemed to like her down regulation held that criminals and prostitute wage. Not to be buried within the cemetery. So she was buried on a nearby Hill and a mahogany casket with silver handles many in the town were in an uproar about finding her killer. But still it took about four months for the police to find a job and a viable suspect John Mulaney of French Baker and Drifter. He was first identified by another prostitute Martha Camp who had awoken to a shadowy figure in her room standing over her with a weapon attack when she screamed the man fled and but she glimpsed his face and a few days later. She ran across him in the street and identified him as the person she saw in a room that night good for her later after million was in Customer a seamstress was admiring some silk. She had purchased from him when she overheard two men discussing Julian's murder when she heard them mentioned that two rolls of silk had gone missing. She immediately went to the police. He sold her off like what big, you know, I was going to say 4 months finding the perpetrator like that's actually pretty quick for that time. Yeah, it's funny like one of them. Right now yeah. Yeah. Yeah, but he done messed up. Yeah this led to the police going through Millions possessions and his home and discovering a trunk filled with you. Let's possessions Palm Lane was poorly educated and had a very weak grasp of the English language. So it's now assumed that it may have been rushed judgment that led to his conviction and subsequent hanging. Ooooo. Mullane's court-appointed lawyer had believed in his innocence and had managed to hold off the inevitable guilty verdict for about a year before the case went before the Nevada Supreme Court, and he was sentenced to be hanged Mullane maintains his innocence the entire time claiming that he had been asleep under Julia Sports went to other men had entered the home and they had been the ones to give him the trunk of her possessions to hold for them. Okay. Yeah, okay. When asked why he had been spotted outside of her home shortly before the murder. He confessed to having been casing her home for a future rubbery. Okay. Yeah checks out. It seems like when I wasn't going to kill her I was going to commit a future crime. That's but not this. Yeah not this one. I didn't use a crime later claimed to be executed on April 24th, 1868 and was hanged in front of a crowd of three to five thousand people. Oh damn a mom, which was Mark Twain who wrote for the territorial Enterprise at the time. Oh, wow. Well, that's he wrote quote. I believed that if ever it would be possible to see a man hanged and derive satisfaction from the spectacle. This was the time for John Mullane was no common murderer. He was a heart for sassin and quote. So there are still people now that are kind of maintaining that like, it may not have actually been this guy. It may have been other people but this was the man who paid for the crime and that is all I was able to find on her name. Was so freaking long ago. That's a good one. I love yeah, so I like the old like you get a lot of software. It's like this whole website tells you this story and then you go to the next one. You're like, okay cool. That sounds plausible. You go to the next one. It's like know all of that was wrong. Yeah my story. Yeah just like that. I was like so many conflicting facts, but I'm just going to pick one and roll with it. Cuz what do you do when it's a month? Yes, so when we spun the wheel of murder We got a listener location, which was Thailand. So I did the research for this case. I almost picked this story of the metal casket killer in Thailand. Sometimes he's also called the Thai Ted Bundy. Oh God, but it was a breaking story. They just caught him in January of 2020. Holy so he's still awaiting trial and there is not a lot of detail. So when I typed it up, it was like a page and half and I was like, okay an hour cuz but it's super interesting story. They found 300 human bones in the palm of his home. Wow. Wow, yeah, wait from 300 different people or from like 1 and 1/2 people. Well, how many bones are in one person two hundred and two hundred six, but so I could potentially be a person at half. Well the person off so they found one body a full body and then another body and then three hundred bones. So they saw they could be up to life for three or four victims in that location though. Yeah, just in that location. Oh damn, so it's a crazy story. Maybe one day. I'll cover it. Once the whole rest of it comes out your stuff with such a teeth. I'm like, oh my God the future guys. He locked his girlfriend in a metal box off. That's how she died. Anyways, we're not showing and I'm like and then that's our story and yet it off. Yeah, I did that too few episodes ago. I was like I almost did this and she got so excited and then I was no sorry. I forgot what it was. It was the balloon boy. I would love to hear that story. I'm not doing that. No balloon boy for you. Okay, so we're going to be talking about the murders of off Hannah witheridge and David Miller. Hm to British Backpackers. Who were murdered in Thailand? The island of Koh Tao is a small island 250 miles from the Thailand capital of Bangkok is only accessible by boat, but still manages to bring five hundred thousand tourists a year. The beaches are gorgeous and pristine and it is known as a party destination for young tourists. One of these young tourists was Hannah with Ridge. She was a twenty-three-year-old graduate student working towards her Master's in speech and language therapy. Well on a break from school Hannah decided to do some world-traveling her family asked her repeatedly not to go to Thailand because they heard it wasn't safe. But Hannah was in constant contact with her mother to help assure her worries. David Miller was twenty-four years old and was about to start a job at a mining company. He traveled to Thailand from Jersey English song. With his group of friends David and Hanna met on the island by chance because they were staying at the same Hotel on the night of September 15th, 2014. The two groups of friends took all of Hannah's friends and all of David's friends. They kind of met by chance and they start hanging out and there the whole stretch of the island where they're on is filled with these beach front bars. So they stayed out drinking late into the night kind of went bar hopping from bar to bar and at around 2:15 a.m. David and Hanna left the group to take a walk together on the beach there just a few meters outside of their hotel walking back, but they never made it there in the morning after the sunrise. The owner of the hotel is woken up by one of his employees. She's found the bodies of David and Hanna on the beach right outside of the hotel. Oh, wow, the crime scene was horrific with blood covering the sand both victims home. Have been bludgeoned to death and a garden tool is found nearby covered in blood. So the local authorities they're called The Royal Oak police are called to investigate but on this small island, there's only six officers. So not fair. That's great. Yeah, like a giant tourist destination. Yeah. Yeah, there's only six month for service to police the whole island. Well, that's crazy when they arrived they immediately run into problems controlling the crime scene locals and tourists are flocking through important of areas enough. Yeah, you had a lot of people reported taking pictures of the victims and posting them to social media go. Yeah, people are terrible a senior officer was sent from police headquarters. Some Bangkok to take over the investigation and Control the Chaos. He personally called David and Hannah's families to apologize for the poor conduct conducts at the crime scene. Yeah, so I guess their families had seen the pictures. Oh God on social media and told I don't know before they were told but it was like one of those things of like those photos should have never been released. Yeah. Yeah, like a public dead need to see that know and especially I mean, especially not the victims families. Oh, yeah. So the Thai Royal police the one of the senior officer he's like in charge of everything called them in personally apologized. But I mean, you can't take that back. So there's so much you can do about it. Like damage has been touched. Let's traumatizing no matter what way you cut it. Yeah. I'm a forensic team is called in to gather and test evidence from the scene. They test the murder weapon cigarette butts and the victims themselves for evidence early on the police dog. That they have a lead the DNA profiles of two Asian men were recovered from Hannah's body the police began a wide sweep of the island trying to take a DNA swabs from as many Asian men as possible. Well in most countries around the world forensic testing is taken care of by someone independent from the police force to ensure a proper chain of custody and bias from affecting the results in Thailand or suburb the police handled the whole process. Hm. Oh the six of them off. All six of them is a lab tech what a mess. It is a faster mess. So at this point sixty more officers have been sent from the mainland to kotel from Police Headquarters to help manage. Whatever's happening scene. Yeah, right so the dog Officers Focus their search on the Burmese migrant population of the island the Burmese often outnumber the ties on the island and perform most of the manual labor jobs and service jobs are on the island. Most of the Burmese population has immigrated to the island illegally and are looked down on by the Thai citizens, even though they outnumber them off you all the crappy jobs for them. Hey, that sounds a lot like a Human Rights group and migrant worker rights received a lot of information during the investigation into the murders. There were claims that the Royal Thai police were torturing Burmese then to try to get a confession. Oh, wow. Oh man over there. I'm reading this the first time you're like, I'm just as surprised as you guys I skimmed it like earlier today there were reports of boiling water being poured on video game. To try and elicit confessions the Thai please deny that these claims are true though. Of course, of course, they do has to come from somewhere. Yeah, like, you know, just throw. Okay. So either way I would probably throw yeah and in the winter and the documentary that I watched there there was photographic evidence. Yeah. So how do you refute but of course they say like, well, I don't know that didn't have them in a city like maybe maybe maybe he boiled and burned and maybe it was a September that we don't know about all dead. Yeah, of course, there's Governor. That's for sure number seven. We don't need speed of him. He's just quietly there. Yeah. Yes looks like an executioner month So eventually three Burmese men are spotted on CCTV footage near the beach on the night of the murder and they're brought in for questioning and one is released birth. Or to sollen and way Pio were held on immigration charges because they had illegally immigrated and they were interrogated the to claim that they were tortured by the police for hours until they confessed zsalynn claims that he was abused by the police and told that if he did not confess he would be burned alive or have his limbs cut and thrown into the ocean to drown what the hell but if he did convey if he did confess they would only sentence him to two years in jail. It's a big jump off. Yeah, right the Thai police however claimed that when the suspects are entered into their custody. They're taken to the hospital to have their physical condition documented. There were no signs of abuse on the report in the mid never asked for additional Medical Care. But if it happened after their intake then that and like what exactly odds with the you know, the medical professionals are going to be like hey, so I'm going to go against the police here and say that yeah, they totally tortured them like, yeah, right. Yeah, but also if they were convicted with two years, do you think the family would consider that Justice? That's true? Yeah, exactly. So the police were able to find an Apple phone at an address linked to one of the suspects that belong to David Miller way piyo claims. He found it on the beach though the two faced trial for murder on July two thousand or in July 2015. So this is a quote pulled from Time Magazine at present the case rests on DNA evidence linking cigarette butts found around twenty meters from the bodies next to a crooked log, whereas all in and way up. I'll admit they were playing guitar and drinking beer on the evening in question. These samples purportedly match those received from witheridge has corpse but many have concerns that the scene was contaminated immediately after the discovery of the bodies with a myriad of officials journalists and even bewildered tourists were seen trapezing through the area while evidence was still being gathered gruesome photos of the bloody corpses circulated online either leaked by officials or even taken by a passerby leaked by officials Thailand's forensic. Chief has said that by not using trained Specialists police contradicted the principles of forensic science. Yeah big-time the Thai Place claim that the DNA evidence on Hannah's body was a hundred percent matched two suspects, but that's not how DNA works. Apparently, none of Hannah's DNA was present in the samples. The defense had Thailand's Firenza wage. Chief who was horrified at the way the evidence was handled at the crime scene testify at the trial. There was no medical exam ER. I'm horrified to know medical examination at the crime scene when the evidence was recovered and the bodies were not examined until they had been moved from the beach. So Jesus many items that would have held crucial forensic evidence were not tested such as Hannah's close when the forensics Chief re-examine the murder weapon. There were two DNA profiles on it that a victim David Miller and one profile from a Known Unknown man who is neither of the suspects for the force that would have for the force that would have been had to have hold on for those thoughts type the notes that I'm sorry. I don't even know for the force. I would have had to have been used. So we all the garden tool there's no way that there would be no touch DNA found. I read it right thumbs up because I don't know when I typed the tool was basically like a hoe, right? And so for you to swing it with enough Force to bludgeon somebody to death third. Yeah, definitely would have been the h d in a left on the handle. Also two people like that's just interesting that he was able to kill two people with the same thing. Yeah with the blunt force trauma, like exactly he would have to like knock down for now just one. Yeah really quickly. Well, so it was reported that David was first bludgeoned and then thrown into the song shallows of the water where he drowned. Oh, wow. Oh so he was knocked out and then he drowned in the water. Yeah. Yeah and Hannah there was dead. Affected sexual assault and then she was bludgeoned to death. Yeah, but yeah, it's interesting because neither of the suspects for the crime their DNA is not filmed at all. Okay, which yeah, how how do they find it on her body? If it not on the there is so there is no like concrete evidence of how they found it. Oh and like they're saying it's a match of a hundred percent. Yeah, which is rare for that to happen. Yeah, it's usually like 99.999, right? And there's like, it's a perfect match. Yeah, they removed the DNA samples from her body and there's no Trace Amounts of took her DNA in them, right which doesn't make any sense. Yeah. No. Yeah, so I don't know if like with the corruption going on. They pulled the DNA from the cigarette butts off. That's what I'm thinking. Yeah, just like whatever we'll just pick these like we found this these guys probably did it. But when most of the crime scene yeah, it was here seriously and then when they requested to rerun the DNA samples, they said that they didn't it was all destroyed in the first desk cuz there was a bouquet of course so convenient venient. Yeah. Okay. So the trial for three months and David's family is present for most of it Hannah's family also attended it was a really hard event for him for them because they had to rely solely on translate. She has to be able to understand the proceedings of the Court. There were also reports of Hannah's family members having to leave the court when they showed the crime scene photos and talked about her attack. Yeah. Yeah. The prosecution was seeking the death penalty for the two suspects and in Thai courts, there are no juries so long The case is decided by three judges. Okay, and sketchy it's funny because when we talked to dead curious It's So Different in a South Africa, it's one judge. There's no jury just one judge. I remember like hearing that and I was like what I was like I was like, but what if the judge is bad? Yeah, like so biased you just paid off to have a certain. Yeah, that's true too. They can exactly tell the judges quickly returned with a verdict of guilty and agree to sentence the death penalty and appeal and appeal is planned. But the two are currently on death row despite concerns raised by the public and whether it just family they say that they are very pleased with the investigation conducted by the Thai police Miller's family also expressed confidence in dog. Tied you just judicial process saying that the evidence against the defendant seemed powerful and convincing. I was just want closure. That's yeah, that's what like thinking can be really think of it as closer. If like any part of you doesn't think that those are the right people like well Hannah's sister is one of the ones who's like, yeah, I don't think that's great. And I think she started a few petitions and she's put stuff kind of publicly online saying like the Thai police are corrupt, they'll do whatever they have to do to protect their tourism industry, right? Absolutely. Yeah, open-and-shut case. Yeah. So this is a quote pulled from a guardian article Heather's family described as a beautiful person inside and out saying she would have gone on to make a significant difference to the lives of many people. One of David's former teachers described him as a bright young man and a Talib. Artist with real potential to forge a worthwhile and fruitful path in his life a year after Miller's death his parents unveiled a memorial for him a bench on the North Coast of his home Island inscribed never let a person sit alone full. So on a new police station has been built that now holds 50 officers still not better than better than six. We're getting getting there may be five years from now. So the mayor continues to try and convince them that the island is safe most likely to protect their tourism industry, right? Kothao is very safe says mayor. I've been waiting for this month and I am sure. Yeah, sometimes it looks right Cheyenne Mother of God. Just listen to your heart. You calling to you. Yeah be confident birth. For hotel is very safe says mere Cheyenne because we have learned for generations to take care of visitors Thursday. I'm sorry. What is that creepy person? Cuz there's I know there's like so many connotations with that. Yeah, we have learned for years to take care of them. And there was a quote pulled from a different article where he had said something of like well if beautiful tourists wear bikinis on our beaches and they're not safe. I don't know what to say about that job or something. I don't know what to say about that. Yeah. I don't even know me and then he backpedaled and was like, well, no. No, that's not what I meant. I just meant. Okay. Well, okay now with all know that your Freudian slip a douche. Yeah, so there have been a string of suspicious deaths on Koh Tao khong Of Western or european tourists and when questioned about the other deaths of the tourists on the island the mayor place the blame on the Taurus pact against the whole comment about you know, how to take care of them real good. Yeah. I miss quoted it because he said the reporter said something like so you're saying that like if young women wear bikinis on Thai beaches, they're not going to be safe and he responded with something like well not if they're beautiful. Wow. Wow. Yeah. Wow. Wow, I roam the viral ever and then and then he back pedal and said, well I spoke badly. Yes. Yeah, you really never can. Do you say that was bad luck. He continues to place the blame on the Taurus by saying that they come to the island to party and lead a dangerous lifestyle that leads to their deaths. He says that they do things they would normally another never do in their home countries and that the culture is the Thai culture and the Western culture is clashing and he says life whether that is leading to overdosing on drugs or alcohol driving too fast and cars or motorcycles that lead to a crash or diving without proper scuba gear or the weight of the deaths is on the Taurus. Wow, bludgeoned don't bludgeon yourself. Yeah, exactly precisely and there were reports of other people being brutally murdered on the island, right which was blamed on the islands kind of undercurrent of drug culture. And there is a couple families there. They call like the time off Iya and there's a whole bunch of like other stuff that hadn't even get into because what yeah, so basically the truth about the murders of Hancock, And David remains undetermined some people believe that it's the suspects that they already have in custody and some people like me. I don't think so think no. Yeah. I mean you got away. Nope. I feel like they got away and I feel like the people they caught are innocent and they just happened to be in the wrong place at the wrong time. Yeah, they're just happened to smoke a cigarette in the wrong spot. I agree with their plus they're illegal. They're immigrants. They're bur me ya. Yes. They can't fight for themselves. Look down upon. Yep, or the more they try the more likely they are to look guilty in their eyes. Like oh, okay. No, that's exactly what somebody who was guilty would say. Yeah, you know who would say that someone who did it just like that. Yeah. Yeah pretty much, you know, like the way they conducted the whole investigation just sounds super sketch. It's shady. And then yeah, it kind of breaks my heart because when the families had a press conference after The trial they were like, well the investigation was off to a rocky start, but we really believe that the Thai police said everything that they could and they completed like a thorough Immaculate investigation. I'm like no I disagree know are you just trying to answer because yeah, it's easier and it was just sad for everybody. Yeah it is. It's a lose-lose. So that's all we have. Yeah. Also Thursday, we're not going to spend the wheel of murder this week. Cuz we're going to do it too when we record our next episode cuz we're way behind we're thanks to the doorway behind or ahead or something off. But sometimes when we have a super-heavy episode like today, we tell a funny at the end. Do you guys have any fun? He's funny stories. Why do you have a funny? I'm sure I do but I just can't think of anything. Do you want me to go first? And then maybe it'll spur some people sure. Okay, go for it. So one of my little girls who I don't have I talked about her. I don't know if I have on the podcast before she's obsessed with my husband. So we are oh like family pictures right away. And so I draw my family portrait. Okay, this is me. This is my husband. This is my dog. This is my cat. And so of course all the kids want to see a picture of the dog and the cat right? So I show them and she's like birth. About that guy wasn't his name. That's my husband. His name is Zach. She's like that's your boyfriend. I'm like, you know, man, that's my husband. Yeah, and she's like, I want to see a picture of him. So I'm like so I show a picture of Shaq and then later that day. She's playing in the block Center and I'm like, what are you building that building is amazing tell me about it. And she's like, it's a castle. I'm like, oh awesome song who lives in your Castle. She's like me and Zack. I'm like, oh she's trying to steal. Your man is I'm like she's off castle for you. Actually. I don't know. It sounds like a competition. She's got a gamble for him and she's like real Precious. So I mean, I'm like, oh, that's cool. Is okay. So do I live in the castle too? And she legit looks me up and down and just goes no savage. There's no room for you. I was invited to the council just me home. Okay, so there's like two days later. She's drawing a picture and she's like I drew this for Zack and I'm like, oh, well, that's her nice home. You know, I'll take it home and I'll give it to him and I'm sure that he's going to love it and she's like no you need to take a picture of me with this picture right now and send it to him so he can see me when he's at work. I'm like my girl this girl is dead. Out of here that's really like to come for you later. And I was telling our director about this and then she was laughing. So I was like why in the world and then she came to pick her up for the bus and she goes where is Zack and she's like little girls active not work here. Goodbye. How long that's funny. I I still can't think of one have only thing I can think of is when he was being mean to you on the phone the other day and I was like, I'm going to come get you a little boy and then he does Snapchat such an attitude. He's like is she coming over if she come like well that didn't have the right effect. Yeah. He's like especially yeah. Yep. Yeah. He okay. He told me to shut up and I was like little Ashley overheard it. Yeah, and she did not like yeah. She was like don't make me laugh. Over there and he was like, oh is she on her way now? Like we're actually yeah. No, this is not how this works. Like, how do you fight against that way? I know I just gave up. I was like, just please be nice to your mom most of the time. I just I'm like, yeah. Yeah. Yeah. Okay change of subject wage. Really? Yeah. Okay, cool. I think do you do you have anything to share too? Well, I don't have any children but I put Alice in Doggy Daycare full first time yesterday. Oh she do she did really? Well. I was spot he saw the doggie. Daycare. We went to has cameras like watched them were you thinking about it? I was afraid of spying I would have been entire day like when my supervisor would come by I would just minimize the screen looking at dogs. And so I sent a screenshot. Our brother and he's like, you're such a helicopter mom, but it was like so proud of her like the gave me like a little doggy report card and said she did really well so and then like he made friends with like three dogs and I'm like that's really good because she doesn't know how to dog because she grew up around cats all the way the way she fights with with other dogs are plays with those dogs as she plays with him. Found like our cats. Yep. She doesn't she doesn't know how to dog. So you're not a Catholic like makes her paws and like wipes her face. I don't like your voice is so cute. Yeah, so I was like so happy and like such a proud like dog mom that like she got along with other dogs in accordance week at home. So now is my like highlight of the week. So that's adorable. Do you have anything Christine my birth? Nephew he is he was turned a year in May and his brand new baby sister was born on the 1st of this month. So he's he's learning how to be gentle with just things in general. So like yeah, he he walks over and he like lightly Pats her head like he would a cat or a dog and then whenever he sees yeah whenever he sees this cat he he calls them meows. I smoked he he's taken to slapping his new thing. If you're holding down he likes to slap you in the face and I was over there earlier today and he was sitting on my brother's lap and he he slapped my brother's cheek twice the first time my brother said no don't he slapped him against my brother lightly slapped started crying how to play it out like that. That's how it feels. That's why you don't pass. He's like, I don't care. I'm one and I don't understand how dare you not funniest little kitty kicked me out of my chair cuz he apparently likes to climb up on benches now. So like I got up to make room for him to get up there. I was going to put him in his baby seat and he climbs up onto the the bench just sits down proudly and starts grabbing my French fries. Oh, you're like wow, like I guess help yourself little thing off. I guess. Yeah, that's what we're doing now. So they have experience in your way is just a hilarious kid kids are funny me Super Bowl. Well, thank you ladies for coming on and joining us some awesome. True crime stories. Yeah for having us. We all look very tired of like midnight here in Georgia like Easter time here here. We're about to play spooky games in Georgia. Got the chef and over here, man, whatever, California Nevada you guys all right. I'm just in the middle. Yeah, you're in the middle. Yeah, we like to end our show by saying remember we don't really know how to pick it up every time try a different thing every week. It's not illegal to be weird, but it is illegal to murder. I love you Schmidt early off on Monday. Excellent. I see most of you returned and relatively unscathed Bravo. I hope you enjoyed your visit to know Bill and look forward to seeing you again next time.