Listen to Jim Cramer’s personal guide through the confusing jungle of Wall Street investing, navigating through opportunities and pitfalls with one goal in mind - to help you make money.
Mad Money w/ Jim Cramer
Mad Money w/ Jim Cramer 7/22/24
Take your business further with a smart and flexible American Express Business Gold Card. You can earn four times points on your top two eligible spending categories every month, like transit, U.S. restaurants, and gas stations. That's the powerful backing of American Express. Four times points on up to $150,000 in purchases per year. Terms apply. Learn more at americanexpress.com/businessgoldcard Breaking news. The Peanut Butter Group and Chocolatey Corp have merged to create PBC Inc. And the byproduct of the merger is the new delicious Jiff Peanut Butter and Chocolate Flavored Spread. I got the press release and get this. Critics tried to say it creates a monopoly on cravability. But obviously, it's not illegal to be irresistible. Calling it now, this will revolutionize the snack industry and the contents of my pantry. Visit pbcincorporated.com to try the flavor merger of the century, Jiff PBC. My mission is simple. To make you money. I'm here to level the playing field for all investors. There's always a more market somewhere, and I promise to help you find it. Mad money starts now. Hey, I'm Kramer. Welcome to Mad Money. Welcome to Kramer, I've been with my friends. I'm just trying to make you a little money. My job is not just to entertain you, but to educate and teach you. So call me at 1-800-743-CMC. Tweet me to some Kramer. From the stock market's perspective, the selections become mega versus mega. Wall Street is trying to make up its mind about what it means for Biden to drop out of Kamala Harris, almost certainly becoming the Democrat nominee. I think the race will shake out as one candidate who's happy to work with mega cap tech and then the candidate of MAGA, which doesn't necessarily translate into support from mega cap tech. You can see this view on display all day today with Dow Advance 128 points. S&P 500, game 1.0 H per cent, but the NASDAQ, the tech heavy NASDAQ. That one of 1.58 per cent. Pretty much exactly as it should be in a mega versus mega stock world. A lot of people seem very confused by the juxtaposition of Kamala Harris and Joe Biden. Just as they seem confused by the implications of Donald Trump picking J.D. Vance's running mate, I am not confused. At least not going to come to the stock market. Trump adding Vance to the ticket means the Republican Party is going full on nativists. They're embracing the politics of the late 1800s populist party, though that was considered an extremely left-wing movement at the time, one that was aimed at curtailing the power of the robber, barons, and the money man on Wall Street. Still, with the Trump Vance ticket, there can be no doubt. The free market Republicans have been obliterated. And their place is an American first withdrawal from the rest of the world, where all the money in the industry is left here, tariffs go up, and the government makes it much harder for businesses to move their operations overseas. The days when other countries threw up tariffs and all sorts of other trade barriers to American goods, then we open our factories there. Our government does not need to retaliate. They're done with Trump. But in their place, if Trump is elected, in some cases, will be a pay-to-play military plan, which you could uncharably call protection money? Novel approach serious and real bad for business. But it's meant to make America great again, not make business great again. I think that's why the Smokap rally is such a dang power. Just like much of the Russell 2000 reward back in 2016 when Trump was elected president. In fact, that was the last time the index had such a historical and historical, prolonged run. The Smokap rally is more pronounced this time, possibly because Vance injects a level of certainty into the scheme, and Trump relies on remains heavily favored to win the White House. There's no more lip service. International companies better get their act together with his game plan or get out. The chip and videos allowed to make, for instance, for China might be conceivably made illegal under a MAGA regime. But not about the other side of the trade. That's more interesting because it just unfolded yesterday. The Kamala Harris side. Here's why I disagree with pretty much everything you've heard about in the last 24 hours. I think Harris would be way better for big business than Biden, and certainly better for big business than Trump. Sure, she wants higher tax rates for corporations, that could be an issue that was the Smokap screen I heard all day today. However, I'm talking about something very different here. I'm talking about an ethos so deep that it's actually somewhat historic. At their best, the Trump Vance taken stands for helping small businesses thrive, making them keystones of towns all over America. Before those towns were crushed by de-industrialization. They see that as a huge problem. They want to bring that world back, although with better wages for our workers. Harris, on the other hand, is a true believer in globalization, much like most of our leaders prior to 2016. In Trump's world, Taiwan stole our semiconductor manufacturing job, so now it should pay a price for the protection of the U.S. military. But I suspect Harris will share the vision of General Mundo, the current Commerce Secretary, who recognizes that Taiwan is a friend. One that needs to be defended, even as we subsidize our own domestic semiconductor manufacturing in order to get more control over the supply chain. What makes Harris different from Biden? President Biden is someone who, by his own admission, doesn't know all that much about capital. He's arguably the most pro-union president in history, something he's proclaimed endlessly. Walk the picket line against Ford. That's been Biden's approach to populism and adversarial attitude to big business and small business for that matter. But Harris, I don't think she has the same view. She didn't before she hooked up with Biden and became his vice president. So she's an elected official from California. She knows the people who run Silicon Valley. The people I know who talk to her require Harris is very sophisticated about what these companies do. And she doesn't want to hector them, as Biden's done rather endlessly through the Federal Trade Commission and the Justice Department's anti-trust division. Biden's agencies seem to believe big businesses, bad businesses. From what I'm hearing, Harris has what I call a more nuanced approach. Moreover, Harris has a secret weapon. Her brother-in-law, Tony West, he's the current General Counsel of Uber and the former General Counsel of PepsiCo. Before that, he served as a key Justice Department visual who did his best to fight for the American people against the banks that were partially responsible for the Great Recession. You better believe the General Counsel of Uber knows something about the Internet and something about the ingenuity of our great American tech businesses. Through the help of West, whom I hope would be a close advisor, there can be a conversation between the people who run these companies in the President of the United States. Right now, I think there's not much discussion with Biden instead. It's all done through the regulatory agencies, which again, are antagonistic to power. The megacaps are often seen as too powerful. Hence why Biden's FTC and Justice Department have it in for them. And a Harris regime, mega, isn't per se bad. What a change of pace that would be. Now, you may ask, isn't being kind and civil and understanding of megacaps bad for our country? Look, I care greatly about our country. But do you come to me to learn my Hamiltonian view on big business? Do you want to know my feelings about Taiwan and whether they should be punished for taking our businesses? No, you don't. You want to know how to make money from events. And I'm saying to you that Harris will be more understanding President than Biden when it comes to business. She gets that not all businesses are bad. Some are good actors. Sometimes good businesses do things that aren't great, but they don't need to be prosecuted to get them to change as I feel is currently the case. I don't want to generalize too much about what to expect from her because she just started running. But those who've seen Harris in action, those who've talked to her before she became a team player for the Biden administration, generally seen with respect to her as a case-by-case adjudicator. You can see her having an honest thorough discussion with Tim Cook, CEO of Apple. In the chassis, CEO of Amazon, Ruth Poor at President of Alphabet, Jason Wong, CEO of NVIDIA. That's probably not going to ever happen under President Trump and definitely didn't happen under President Biden. The latter seemed to be relatively unsure about what these companies even do. Bottom line, if you're looking to invest in tech, you want a world where tech has a voice in Washington, not slash vocal cords under Trump, or on mute under Biden. If you own many stocks of international companies and you want to vote your portfolio, Harris is more likely to help than her. That's more than I can say about everyone else, and it is why you saw most of mega rally today. How about we go to Tony in Florida, please, Tony? Hey, Jim, I just wanted to tell you that out of the park in the last monthly meeting, you hit a grand slam. Actually, a lot of people like that call. Jeff Marks did a great job, too. We talked about some new stocks. How can I help you? Yeah, this holding that I want to get into. I drink every morning now. It's better coffee and it has no sugar in it, so it's a lot better for diabetics like me. And it's trying to go against Munster and everything. It's Celsius holding. Do you think that the buy is so low? I have to tell you, this stock does seem to go down every single day. It's almost as if people felt it had to stay in the sun. I don't necessarily want to write it off, but the numbers have not been good of late. So the stock is going to track that, Tony, until there's some turn. And I know it's down from 99 in a straight line from March, but I have to tell you, if the numbers were better, this wouldn't be happening. Dylan in Texas, Dylan! Hey, Jim, thanks for taking my call, buddy. I just wanted to see what your thoughts were on HubSpot, ticker symbol HUBS. OK, I think HubSpot is too high. I don't think that, first of all, I really don't like enterprise software. And I've been dead right. I've been dead right to hate enterprise software. Second, this stock is down. It was takeover talking. I don't think it's going to cover all that easily. It's too expensive. And I hope it makes a lot of money next year. But right now, it's just very, very expensive. I'm down on enterprise software. I'm down on HubSpot. I like two enterprise software companies. I like ServiceNow and I like Salesforce. Let's go to Kevin and Indiana. Kevin. Hey, Jim, thanks for taking my call. Of course. What's up? Jim, I started investing in the late times. The dark, calm bubble hit. And I bailed out. I panicked. Then I started listening to you. I got back in on the lows. And the rest is history, Jim. Oh, fantastic, man. Thank you. You had some good calls. Thank you very much. I manage over a million dollars in the market now. And I'm retired 67 years old. And it's a lot of fun. Well played, my friend. Well played. Congratulations. Thanks for your guidance. I celebrate people like you. Thank you for calling it. I'm just a regular Josh Mode. We all are, my friend. We all are. How can I help? Okay. I've had this whirlpool stock for quite a while. And when it went down to 88, I loaded up on it. And now it's going up. Is it when interest rates come down and how does it come back? Is it going to go up more? Yes, it will. You know, my concern is that I want them to be able to pay that dividend. I do worry that it is not as well the deal they did, this international deal I did not like. I've made that very clear. It is a very inexpensive stock. And if you can take a little pain before the dip, it reminds me very much of Best Buy, which you know from the club, has been a winner for us, but it sure looked like a loser. They're in the same boat. Best Buy and Whirlpool. So I say we take some pain, we get the gain. If you're looking to invest in tech, you want a world where tech has a voice in Washington. But I can tell so far, Harris is more likely to help with that than her. Well, man by the time the marketing is best reported, but I focus next to the quarter, but it's not at all response. So my thesis changed in the credit card company now that we know more about how it's doing, I'll give you my take. Then two of surgical is firing on all cylinders. But as the stock went up too much to get in the action, I'm sharing what could happen. And Wall Street was not happy with Domino's guidance last week. And with the stock giving up most of this year's gains, what should you make of the pizza chain that I have so long champion? I'm getting later from the CEO. So stay with Cramer! ♪♪♪ Don't miss a second of Mad Money. Follow @ Jim Cramer on X. Have a question? Tweet Cramer. #Madmentions. Send Jim an email to madmoney@cnbc.com or give us a call at 1-800-743-cnbc. Miss something, head to madmoney.cnbc.com. ♪♪♪ Join FinterAct, a peer-to-peer community of financial services professionals, and keep your finger on the pulse of the industry. FinterAct offers a digital hub to start conversations, connect with fresh perspectives, and problem solve with peers. This member's only community also provides access to virtual and in-person events where you can chat tech stack, develop efficiencies, and learn new ways to propel your business forward. Apply at FinterAct.net. ♪♪♪ At EverNorth Health Services, we believe costs shouldn't get in the way of life-changing care. And we're doing everything in our power to make it possible. Behavioral health solutions that also keep your projections at their best, it's possible. Pharmacy benefits that benefit your bottom line, it's possible. Complex specialty care that cares about your ROI. It's possible. Because we're already doing it. All while saving businesses billions. That's wonder made possible. Learn more at EverNorth.com/wonder. When you're hiring, the best way to search for a candidate isn't to search at all. Don't search. Match. With Indeed. Indeed is your matching and hiring platform with over 350 million global monthly visitors, according to Indeed data, and a matching engine that helps you find quality candidates fast. Use Indeed for scheduling, screening, and messaging to connect with candidates faster. Plus, 93% of employers agree Indeed delivers the highest quality matches compared to other job sites, according to a recent Indeed survey. Leveraging over 140 million qualifications and preferences every day, Indeed's matching engine is constantly learning from your preferences. Join more than 3.5 million businesses worldwide that use Indeed. Listeners of this show will get a $75 sponsor job credit to get your jobs more visibility at Indeed.com/MadMoney. Just go to Indeed.com/MadMoney right now and support this show by saying you heard about Indeed on this podcast, Indeed.com/MadMoney. Terms and conditions apply. Need to hire? You need Indeed. Between the global tech outage caused by a buggy crowd strike update, and the insanity is the 2024 election. You might have this one of Friday's biggest unreached reports. It's from American Express. Rather than viewers know, I am a big fan of the credit card company for years, and I've stopped with it despite the new found worries about the health of the tumor I've been right to. But on Friday, American Express reported what I thought was an excellent quarter when I got up in the morning, yet it stopped finished the day down 2.7%. I think it's another example. In a long line of American Express selloffs that fake you out after what's been a tremendous long time winner, one that rallied 80% from its lows last October to its highs last week, every single time they report. There's big sellers. What the heck is that about? What makes me so confident here? First, even though the company's build business and total revenues both came in a bit light, when you drill down to focus on profitability, Microsoft's best roots netting up by 39% in your year, including a game from the sale of its fraud detection software business. Even excluding that, though, and that was a one-time game. They adjust your earnings per share. Get this. They grew 21% to $3.49. Also, we're only looking for $3.24. That's a big time upside. At the same time management raised it for your earnings for guests by 65 cents. The new range is well ahead of what the analysts were looking for going into the quarter. That's despite leaving their full-year revenue forecast unchanged at 9 to 11% growth. So then, why do we see such a sour response to the quarter? Let's start with the legendaries. Even though I don't necessarily agree that they're all valid reasons to sell the stock, we've got to get them out there. First, given the stock's huge gains over these past several months, expectations were high heading into the quarter. Markzpress came in too high. You can see it. It has these moves. Almost every one of these is when they reported the quarter. People sell the darn thing. If you want some context, Markzpress was up 33% going into the beginning of the year. So you can go in. You can see this. You can get this. That's more than double the S&P scheme at the same time. Vastly more impressive than MasterCard would be. So up 5% and 3% respectively. Even though those have no credit risk, Markzpress does. Second, Markzpress didn't get much credit for raising its earnings guidance because while the company raises a full year outlook by 65 cents, Matt had also said that its results for the second quarter got a 66 cent boost from their sale of a certified. Now, that's one off, so Wall Street doesn't care. In fact, when you factor in the 25 cent earnings beat for the second quarter, you could argue that the new forecast represents a guide down for the second half of the year. That and most important third American's best had a revenue shortfall, one that represents the slowdown from the previous quarter. Basically, while management standing by their full year revenue forecast from 9 to 11 percent growth, the revenue growth has already slowed from 11 percent in the first quarter to 8 percent. And I think this is the most legitimate concern. Even as I'm more focused on the earnings lines, which were very strong. Yeah, we've got to go over this because this is really important. The final concern is elevated marketing expenses. And this is the one that I took seriously. While American's best consolidated expenses were only up one percent, which is impressive when paired with their 5 percent build business growth and 8 percent revenue growth, some investors and analysts came in one line from the port when the company said that it's one percent increase in expenses, quote, "primarily reflected higher variable customer engagement costs driven by higher card member spending and uses of travel related benefits and increased marketing investments," end quote. And the other thing is that American's best is having to spend aggressive with ads and cardholder benefits to keep its member built and buildings growth elevated. For that thing, that may or may not be true. But if the company's putting up excellent earnings growth despite its elevated marketing costs, I come back and say, who cares? Yeah, you know why American's best sold off from private. But I usually understand why that's sold off was both a mistake and a buying opportunity. First, let's not overlook the huge earnings being. Whether or not you include the gain of a sale of a certified or a stock, which is very simple long-term targets. They aimed to grow revenues, had a double-digit clip, and earnings had a mid-teens clip. In this most recent quarter, they hit 21 percent earnings growth, which is worse than what I've gotten used to, but still well above the target. This is why I'm not sweating this small stuff, because America's best is killing it. While the stock's up significantly over the past nine months, I still think it's not getting enough credit for its remarkable earnings growth. Second, MX has real strength with millennials and Gen Z. Well, that's not new. It's been part of my showcase for the stock for ages, but it was once again on full display this quarter. Their U.S. consumer service build's business was up six percent overall. With spending from Amazon's millennial and Gen Z customers up 13 percent compared to 5 percent growth for Gen X customers and just 2 percent growth for the baby boom or cohort. As CFO Christopher Nicoleak said on the conference call, "These younger card members continue to demonstrate strong engagement, and we see that they transact over 25 percent on average that are older customers. And in some categories like dining, they transact almost twice as much." End quote. There are key reasons. No, there are probably the key reasons my analytics may look harder. But for me, this matters for the future. I love how successful Marx has been with the younger generation, because it gives me confidence that this strength can continue for many years to come. That elevated marketing budget everyone was so worried about, I mentioned I'd take it seriously. It is helping them own the younger demographic, which I think is very much worth it. Third, positive. Amazon's credit metrics, they had spelled a major bearish concern. Over the past couple of years, there have been occasional worries about the company's credit metrics. Yet they never get credit when these numbers are good. On Friday, America's best put up some solid, very solid credit metrics. Total provision for credit losses was up just 6 percent year of year. Substantially lower than expected. Right off rates and delinquencies, they look totally benign to me. In fact, American Expresses delinquency rate dipped a bit quarter over quarter, plus it remains well below pre-pandemic levels. It is very impressive. Finally, do not forget that American Expresses now ramping its capital return efforts for turning $2.3 billion to share over the last quarter. By far the most we've seen in the past six quarters. Even though Amex raises different by 17 percent over this year, that's big. It still doesn't have all that use of payouts. Geoclox in it's just over 1 percent. Much of that capital being returned in the state claims in the form of buybacks. Over the past year, American Expresses shrunk its share count by 3 percent. If you go back further, the numbers are even more impressive. The share count has come down from around $1.2 billion in early 2011 to just over $700 million. Now, that's an under-appreciated aspect of the stock. I always like to check out the share count. It represents a permanent tailwind for the share price. Here's the bottom line. America Express turned another very strong quarter on Friday morning, but for whatever reason, it seems to be the case every time the stock sold off in response. I think that's a mistake. You can argue it was due for a pullback given how much it won this year, but I see this as a very viable dip, which is why you've got my blessing to pass tomorrow. If you want to, under American Express, you'll have money back in between. Coming up, does intuitive surgical have room to run after a solid quarter? Go beyond the earnings beat with Kramer for a closer look. Next. Schwab trading is now powered by a meritrade. To give you a new, elevated trading experience, Taylor made for Trader Mines. Go deeper with Think or Swim, the powerful award-winning trading platforms now at Schwab. Unlock support from the trade desk are a team of passionate traders who live in brief trading like you do. And sharpen your skills with an expanding library of online education crafted just for traders. All designed to help you trade brilliantly. Learn more at Schwab.com/trading. Support for this program is provided by Chevron. Demand for energy is projected to continue rising in the future. To help keep up, Chevron is increasing their U.S. oil and gas production, and they're innovating to help do it responsibly across their operations, including their Gulf of Mexico facilities, which are some of the world's lowest carbon intensity operations, helping supply energy that's affordable, reliable, and ever cleaner. That's energy in progress. Learn more at chevron.com/meetingdemand. Over the past year, we finally started getting through our COVID-era medical backlog, with people catching up on non-urgent procedures that they postponed during the pandemic. Now, that's been horrible for health insurers that have to pay for it. But it's terrific for the medical device companies that are used. We saw a shining example of this late last week when a long time Kramer-Fave Intuitive Search Board Porter spectacular quarter. Remember, this is the company that makes machines for robot-assisted minimally invasive surgery. Even though the stock had been selling off earlier this month, this part of a border rotation out of the market's hottest names, as the laggards finally played catch-up, that all changed when a tour of surgical would pour it. See, these guys delivered a strong sales in Ernie's beat with revenue of 14% year over year. While the Ernie's came in at $1.78 per share, Wall Street was only looking for Buck 54. Do you hear that translates to 25% Ernie's growth? Just important, both the revenue growth and the Ernie's growth accelerated from the previous quarter, accelerate revenue growth hard to find. Now, intuitive surgical is two main lines of business. You can think of them as the razors and the razor blades. First, they sell these big expensive DaVinci surgical systems, then they sell consumable kits that you need for every procedure you run on these things. Last quarter, the company placed 341 DaVinci surgical systems up from 331 the year before. As for the consumable side, worldwide procedures growth came in at roughly 17%. Now, that is better than the 15.5% number that Wall Street was looking for. That represents an acceleration from 16% procedures growth in the previous quarter. That's actually unlike almost every other company in the space. Of course, you almost never see a stock certainly 9% in a single day without a great forecast. And this time, intuitive surgical raised the low end of its full year forecast growth from 14% to 15.5. They also cut their operating expense out. Look, very, very good. On the cops quote, we heard a lot of positivity. First, we got some context on this 17% procedure growth result. Most came from a larger installed base, but there was also a 2% increase in average system utilization. That shows hospitals and surgical centers are getting more use out of the machines. It's the whole medical technology thesis that we like so much on the show. Meanwhile, procedures outside the U.S. were up 22% reflecting strong growth in general surgery, gynecology, and thoracic surgery. But U.S. procedure growth still grew a solid 14% in the period driven by growth in general surgery, which offset a mid-single-digit decline in bariatric surgery. Now, look, by the way, everyone's been worried that these GOP-1 weight loss drugs would crush bariatric surgery. And thus, crush intuitive surgical. But the class really hadn't been that bad, and certainly down one is not going to crush the story entirely. There's enough business and other types of surgery to absorb that impact, even though it is jarring to see any number down like that. We also heard about growth opportunities. First, there's the new DaVinci 5 system, but you can't have roughly half the company system placements in the U.S. last quarter. Management made it clear that the DaVinci 5 launch would be measured throughout the back half of 2024 and early 2025. Tutor surgical is very careful about collecting feedback as it launches the new system. But the early customer feedback has been very good for this one. Management also called out the success of a digital platform, including an app, My Intuitive, that's now used by nearly 14,000 surgeons. That's a major reason why the number of surgeons using Intuitive is more than double versus a year ago. That's amazing. Management believes that increasing the reach of their digital ecosystem will be a big growth driver for their hardware over time. Also, the whole Intuitive called out the success of the international growth initiatives. They're seeing success in Europe, especially Germany, the UK, and Italy. They're seeing success in Asia, led by Japan and India. Although China, like with so many other medical device companies, remains difficult. In fact, the China doesn't seem great for these guys right now. Honestly, it's pretty bad for everyone. Finally, there was some talk about all the potential new indications that could be on the horizon, but the focus on positive results from a major rectal cancer management clinical trial in China, studying robotic assisted surgery versus laparoscopic surgery and open surgery as treatments. Overall, I think this was another great set of numbers from Intuitive. The growth accelerated from the first to second quarters, the company rides the wave of elevated surgical procedures worldwide. My only real concern right now is the stock is about valuation. Especially after its monster move in the wake of the quarter, the darn thing made a new all-time high today. At its current levels, Intuitive surgical sells it for roughly 70 times. This year's earnings have been 70 times. That certainly ain't cheap. But then again, Intuitive surgical has always been expensive. In early 2021, the stock sold for as much as 85 times forward earnings. For the past five years, in fact, the stocks had an average valuation of 58 times forward earnings. So while 70 times these numbers is high, believe it or not, it's not insanely expensive versus its own history. Listen, I could tell you that Intuitive surgical is cheaper if you look to the out years, trades at 60 times next year's earnings estimates, 52 times 20, 26 earnings estimates. I could also tell you that Intuitive surgical is beating the estimates for six straight quarters and the size of these beats just growing over the past four quarters. So maybe the estimates are simply too low. Maybe the stock actually cheaper than it looks as it is often been the case. I believe though, although it's hard to say how much cheaper than it looks, valuation has never really mattered all that much for companies with repeatedly explosive growth like ISRG. Hence why we keep recommending it. In the end, the truth is that as much as I like Intuitive surgical, it really does feel like you're chasing here with the stock up 10% over the past two days, trading now at an all-time hot. So here's what I'll say instead. This company's firing on all cylinders. And if you don't know this stock already, it should be on your shop, you listen preparation. Hey, look, we're going to have a market-wide pullback. You know we have these. Look to this one. We tend to get plenty of these kind of market-wide pullbacks in August and September. So in a particularly wild election year, I wouldn't be surprised if we get a 5% to 10% pullback at some point and you've got to pounce. Bottom line, when the pullback comes, that's when you can start picking up some Intuitive surgical off these terrific numbers. Let the market throw it out on some big picture worries that have nothing to do with the underlying business and then you can buy a hand over this. Yes, it really is that good. Yes, it's really worth owning. Let's go to Trey in Texas. Trey! Jim, I'm at the age where shaking hands with strangers is quite nerve-wracking. Do I lean forward and show them the double chin or lean back and reveal the receding hairline? Fortunately, there's a company dedicated to slimming me down and restoring my once Greek godlike hair. Should this work? Is personal care product provider hymns and hers a buy? I have liked the stock. I did a piece of battle when it dropped back down to the low 20s. It's kind of stuck here, but I think it's got a little, look, the drugs that are alike. Wigovie and Mujaro and Zapbaum. And I think it's got what you just described and I don't think it's that expensive given all the growth it has. The stock is up 128% for the year, which is why it's prone to some profit-taking. But I agree with you, Trey, and I don't care double chin, her suit, whatever, you're in good shape. Gloria and Illinois, Gloria. Hi, Jim. My husband and I watched you show for many years, but he's gone to heaven now. Our friend Don from Illinois calls you, and he says I need to be more diversified since I have mostly health and tech stocks. So what do you think about Procter and Gamble? I think Procter's terrific. It's a big position for my travel trust. A lot of times Jeff Marks and I bat him back and forth and I was thinking maybe at once this you know me how to sell, but it sells at 25 times earnings and I like it still. It's got a two and a half percent yield, 2.3. I just think the Procter, you're not going to go wrong with here. They're doing a lot of things great. Maybe get three, four percent growth. It's terrific. Let's go to Rod in New York, Rod. Hey, Jim, it's Rod from Syracuse. We're a long time club member. Excellent. Excellent. I'm up 70% this year in my portfolio. Wow. I want to thank you for your work. I want to thank you for your work ethics. You're inspiring. Thank you. I went out on my own outside the club stocks with one called Vertex Pharmaceuticals. I'm up 20% in the last six months. So my question is should I trim it? No, no. Vertex, I wanted to add it at one point to the fund. It is just so good. It has CF down, they're working very hard on this. The non-adjective painkillers. This is a winning stock. And the fact that I haven't added to the club to my travel trust is my fault. It's a terrific situation and I do not want you to sell it even at this all time high. Man, our viewers are so smart. All right, listen. I think Intuitive Search Plus has a lot going for it. And I give you my bussing to buy it. Hand over fist. But only if you wait for a solid pullback first because it is just spiked and I don't like to recommend coming in after a spike. I have much more made of money. I had included my shoes with Domino's. Enter Seago and Ernie's. I'm seeing if the company can start delivering for Cheryl as when I check in with the CEO. Then Nike, Starbucks, they're all struggling to find their footing. But I think one of these companies has a chance to turn yourself around. I'll be able to name my thesis. And of course, the order calls rapid cards tonight since they have the lightning round. So stay with Cramer. What do we make of this harsh action in Domino's pizza? It was over 13% of its value list Thursday. It was much of its latest results. You know I'm a big believer in Domino's. But even though the company reported a solid Ernie's beat with inline sales, Wall Street was not happy with the guide. You see, management cut their international annual net store growth outlook. But also spending the global net stores forecast because of problems at their largest franchisee, Domino's pizza enterprise. So can this be your chance to buy a phenomenal long-term performer on weakness? But maybe we need to make a little more worry. Let's check in with Russell Wieners. The new CEO of Domino's Pizza. You get a better sense of the numbers. Mr. Wiener, welcome back to Mad Money. Jim, thanks so much for having me. I say new, but that's only because we haven't seen you that much. I'm so thrilled you're here because I think people want to know, is something a ride? Because one thing I've always said about Domino's, this is the most consistent story I follow. But I didn't know about the DPE. And I didn't suspect you to pull guides. Well, you're right. I started in marketing in 2010. We launched the new pizza. And you called us at 10 bucks. So thanks. I got that right. You did pretty well. Well, that's because my kids loved Domino's. And then you added the no cheese button and their vegetarian. So it was really fast. It was huge. Well, so, you know, we've been very consistent over the years. What I heard from investors when I talked to them after the call was the DPE thing was a surprise. Our job, Jim, as you know, is to provide only, you know, positive surprises. We're supposed to be consistent. There was a miss there. We have to take guidance down. Like he said, 175 to 275. I met Domino's pizza enterprise, the CEO, Don May, here in New York a couple of weeks ago. That's what our teams are focused on. So I'm just appointed. Yeah. Yes. But at the same time, that's not tens of millions of dollars that we're talking about. No more than that. But, you know, Jim, we gave a number. Our job is to hit it. For perspective, though, on our international business, you know, we've got 40 to 50 percent of our growth is coming from China and India. China just increased their store growth targets from 300 to 350 a year. India and the six markets, jubilant, runs 5,500 stores a year. So when you're in 90 plus markets around the world, you're going to have some fits and starts and some. But the beauty is you have the other markets to, you know, round things out. Now, the other positive, the other piece of information I got from investors was, wow, on this U.S. business. Right. Because, and you know this, you've been covering this, 4.8 percent and positive same-store sales is a good number. But the quality of those sales are through people coming into our stores more. It's through traffic. Traffic in QSR now, folks are struggling because prices are a little bit high. But you're saying that it's not from price. You didn't raise price big and therefore hit the numbers. That's not what happened. No, no, no, no. We, we'd like to think we have profit power. People talk pricing power. We price for profits for our franchisees, which means driving the top line. It also means really good value for customers. I think that's why people are coming to Domino's now. Our value has never been better. So today's orders are tomorrow's sales. We increase orders on our delivery business, carry out business. Every single income segment, I don't think anyone's doing that in our industry. Okay, I want to put this DPE, this outfit to rest though. It's a publicly traded company. Why did you not get a heads up from them that there were problems? Why did we learn this on the day of earnings? Yeah, well, they did announce the day before. The way our process works every year is we budget with our master franchisees. We actually had a pretty conservative number for them this year because last year was a little bit tough. We were working together in Q2 and it looked like Q2 wasn't going to hit. Teams got together and said, you know what, we got to say something as soon as we know and that's what we did. I got it. Okay, now let's talk about the things that I think are very exciting. First, let's talk about you've added, you very rarely add something. And when you do add something, it's a big deal. You added New York style. How's that going? Yeah, it's great. Jim, I call it innovation with intent. Sometimes you look at people launch products. You wonder why do they do this. We launch about two products a year now with our new hungry for more strategy. The question is why New York pizza? That's an acronym. Yeah, hungry for more sales, more stores, more profit. How? Four ways. Right? Most delicious food. It's all about the products you launch and make them delicious. Operational excellence is the O. We're delivering 10% better than we were two years ago. Right? We're now in value. That's why we're getting all these people in. And everything we do is enhanced by our best in class franchise youth. So the New York style pizza, we looked at our portfolio. And believe it or not, Jim, not you, not me. But there are some people who don't like down on those pizza. Why? They're looking for something a little bit more thin. And so this is a great product for those folks. And we're bringing incremental eaters into down on those pizza. Now younger people are telling me the offering $3 you tip, we tip promo matters again because people are pinching. They're pinching dollars. Yeah. You know, the R in Hungry for More is about renowned value. It's not just value. It's not just a price point. It's value that people talk about. And so all you tip we tip is, it's a $3 bounce back. You buy pizza, you get $3 next time. That's boring. That's not renowned value. But everyone today is pretty frustrated. I was telling you a story earlier. Someone bought a chapstick the other day and was asked to tip for the chapstick. And so we kind of just changed the messaging and said, hey, let's call it you tip. We tip put the mechanism the same. Everyone's talking about it. No, we had an alpha called 100X and they were on and they measure customer satisfaction. And you had the highest customer satisfaction in your segment. But they said, look, some of this is just because it's the price value. Yeah. It may not be the super best tasting, although you know, I have to love it. But the fact is, is that you're offering something that seems to be reminiscent of before COVID. Before things went crazy. Yeah. True. Yeah. Well, the way we look at value is not just price. It's an equation, right? The price is the denominator. The benefits are the numerator. So what else can you give people? So one of the things I think is great about our price points is you can use our national promotions on any item. That's a benefit. It's not just the pizza. It's sandwiches. It's pasta. It's salads. It's desserts. Most people now are getting a little bit of whiplash. Prices are higher. Now, discounting is coming maybe on a certain item. Well, Jim, you may not want that item. Adominance, you can get anything you want for our national promotion. And those are benefits. We feel like the more benefits loyalty programs, another one. Are we open 30 million? We're somewhere. I can confirm we're definitely over 30 million. But we'll give an update at the end of the year. It's every -- we change that program to get more frequency from our light users and our care users. And it's really work. Well, look, my takeaway is just the first thing you said, which is we're not used to getting anything other than positive surprises. Obviously, you're hungry to never have, again, a negative surprise. Even though it's international and not necessarily under your control, and even though I don't think it was $10 per share, it was something that you're not proud of and you're not going to let it happen again. Nope. Well, that's all that matters to you. Yeah. And focus on that U.S. business. You'll see it at the end of Q2. This was a really special quarter. Excellent. That's what I want to hear. Russell Wieder's the CEO of Domino's Pizza D.P.Z. and you heard it right here. They have money back in from time. Coming up, lightning doesn't just strike twice in Kramerica. (Singing in foreign language) That's your catch in my call. It strikes every day. Kramer is back in the flash with your questions. It strikes. It is time to start with the light round. (Inaudible) And then the lightning round is over. Are you ready? (Inaudible) Hey Jimmy Keel. How are you tonight? I am doing well. But you? What's going on? I am fine. I just want to shout out a big for all the Buckeyes in Ohio. And I do have a question on the stock here for you. Sure. Let's go. Let's go to work. It has trouble getting traction. It's S4. Salesforce. It does have trouble getting traction. That's a nice way to put it. I've been kicking myself and making sure I've sold some higher for the trust. But you know what? We've gone for a long time. It's been a huge winner. But I think it's a hold here. I would own the stock. Let's go to Tom in Ohio. Tom. Hey Jimmy, I kept in the stock at $10.13 a share. I'm up over 500 percent. What are your thoughts on ADMA? Do they have more? First of all, run. Congratulations. I mean, that's been a rocket. And you know, I have to tell you, if I were you, honestly, I would take some off the table because you've got it so that you can play with the house's money and never, ever worry. But I understand your strength. You've obviously nailed it. And I do like this kind of biological company. But I want you to take a little off the table. Just so that I can sleep at night for your sake. Let's go to Anthony and watch it. Anthony. Hey Kramer, thanks a lot. My stock is O.U.S.C. I've made a bunch of money on the way up. I want to see if I should double down and keep going from here. You know, Lidar, we've had this kind of moment here where it's come back into Vogue. I would actually take some off the table. It's another part of this big small cap rally that we keep talking about. I think it's gotten ahead of itself. I would ring the register on something. Clarence and Connecticut Clarence. Happy Monday, Jimmy Till. You betcha, man. What's going on? Well, let me tell you. I'm a few months older than you. But I've been following you since you took the street that kind of public. Oh, my God. 1999. It was unbelievable. What's happening? All right, so here's my question. After hitting high of 109 back at the end of May, my stock has pulled back 25%. Still has a PE of 34. But I want to know, do I buy or wait for earnings or just avoid vertical? Look, everyone's turned on the data center trade. I think it is the wrong thing down here to turn on it. I think we started to see good numbers from Nvidia. I mean, good pin action from Nvidia. I would hold on to that stock. I would not sell that stock. Let's go to Leon and Pennsylvania, please. Leon. Good evening, Jim. I make this fit in some for-- Look, I believe that everybody should have one oil. This one's got a nice shield of four. I think you're in good shape with it. I would hold it. Let's go to Jim and Oklahoma, Jim. Big old home, Leon and you, Jim. And thanks for the investment club. What a great resource it is. Yes, thank you very much. How about Kava when it came out? Thanks to your good wisdom many, many months ago at 40. And it climbed at 98. I know it's in the discretionary consumer category. It dropped to 80 today. Is that just because of the category it's in? Yeah. Yeah, I think the look. This one, it has had a very, very big run. It's up 86%. A lot of the stocks that have had very big runs are coming in for sale. It's only a $9 billion company. It's going to have multiple years of goodness. I would just hold on to this stock and have it dropped anymore. I would actually do some buy. Let's go to Austin in Oklahoma, Austin. Hey, Jim. How's it going, sir? Huge, huge fan of yours, man. Oh, thank you. Thank you. What's happening with you? Oh, not much, man. The stock I'm calling about, it's been up about 28% in the last three months. And I'm not sure if it's a 2-8 to buy. It's a visual search and discovery company. The ticker is P-I-N-S Pinterest. Oh, boy. I tell you, I think Pinterest, you should be buying it handover with this. I mean, I think this, by the way, is, along with Reddit, the new companies that you have to be in because of the advertising dollars. I like Pinterest very much. And that, ladies and gentlemen, inclusion of the Lightning Round! The Lightning Round is sponsored by Charles Schwab. Took a bad loss today for the investing club. We've done part of our position in the disaster that has s-day order. For the high-end, or some would just say plan expensive, cosmetics company, it's faced endless guy-downs and supervising orders of judgment. Those negatives pale in the face of my own ill-advised strategy to stick with a loser, hoping it could somehow become a winner, even though the latter strategy is to bank on a potential turnaround in China which just ain't happening. The job of trust decision to back off a seasoned pro like CEO for Brincy Alfredo is all on me. I thought he could handle the China downturn, but he couldn't. I blame myself for believing when I should have been a skeptic. Through it though, China has helped tarnish many a CEO from Nike's John Donhoe to Starbucks's Luxman-Virus 7. Both CEOs are struggling and their stocks, while not as horrendous as s-day order, have been pretty abysmal in part because of China. Nike's ad campaign, "Am I a bad person?" could be asked of Donhoe, or at least, "Am I a bad CEO?" Because with every downturn there has to be a fall guy, and right now that looks like Donhoe. You can't just blame Nike's downturn on China. The US business ain't doing so hot either. Calling into question whether Nike's run by a shoe dog or just a dog. How about Starbucks? The last of the iconic senior growth stocks are modern China. Cheryl just got good news last week when we learned that Elliot Management, the incredibly rigorous activist firm, has taken a big stake in the company. Now this one makes a ton of sense, though. We have some for the child trust, and we want more now that Elliot's in. Why? Because there's no doubt that Starbucks, the brand, is still great. It hasn't been destroyed by this regime. The company's just dug down by mechanics like throughput, difficulty making new drinks long lines. My hope is that Locksman sees how good Elliot is at orchestrating turnaround, and actually asks for their advice. Let him come to the table. If he chooses to go against Elliot, though, I think he and the company are in for the fight of their lives. Perhaps Starbucks will see its numbers benefited from what seems like a lull in the Gaza War. Remember, Starbucks was heavily protested by pro-Palestinian demonstrators around the globe, even though the company has zero connection with Israel. It doesn't even have any stores there, for heaven's sake. As for yesterday's load, I'm not sure if their brands have been tarnished. Management's dismissal of the much cheaper elf brand was certainly an arrogant mistake. They hope that China will come back misplaced. Nike, I know there's a belief from Wall Street that Nike's sneakers have been eclipsed now by new balance and challenged by Hogan on. I actually share that belief. But Starbucks, I think, is all about the company failing to deliver. Elliot's in there because they know this business can be fixed, and when it's fixed, I believe the stock will go very quickly in 90 if not $100. If I want restricted in Starbucks for the travel trust, we'd be buying more right here right now. I can't do it, though, because I just talked about it on air. My belief is that either Luxman and I are Simmons fixes it, or Elliot finds a new team who will. The brand's so pristine, so good that I have to believe that they can find the best leadership and have them right to ship, perhaps even before the end of the year. Starbucks is the only one of the three big China losers that I consider worth buying, because it's the only one that doesn't have a demand problem. In fact, its problem is that it can't handle the demand, and that's a very high-quality problem, indeed, which is why we upgraded today and told club members that we're getting a chance to ride along with Elliot with or without the current Starbucks team. Like I said, there's always a more market somewhere. I promise you I'll find it just for you right here on Mad Money. I'm Jim Kramer. See you tomorrow. All opinions expressed by Jim Kramer on this podcast are solely Kramer's opinions, and do not reflect the opinions of CNBC, NBC, Universal, or their parent company or affiliates, and may have been previously disseminated by Kramer on television, radio, internet, or another medium. You should not treat any opinion expressed by Jim Kramer as a specific inducement to make a particular investment or follow a particular strategy, but only as an expression of his opinion. Kramer's opinions are based upon information he considers reliable, but neither CNBC nor its affiliates and/or subsidiaries warrant its completeness or accuracy, and it should not be relied upon as such. To view the full Mad Money disclaimer, please visit cmbc.com/madmoneydisclaimer. Join FinterAct, a peer-to-peer community of financial services professionals, and keep your finger on the pulse of the industry. FinterAct offers a digital hub to start conversations, connect with fresh perspectives, and problem-solve with peers. This member's-only community also provides access to virtual and in-person events, where you can chat tech-stack, develop efficiencies, and learn new ways to propel your business forward. Apply at FinterAct.net. You