 All right, it is time to talk about the markets with Jim Kramer on the floor of the New York Stock Exchange and Jim Let's begin with Allergan's earnings and actual earth plus name Yeah, I mean put on note the same listen was pretty good number now I think that people have to recognize this is a very football name in other words people are always looking for something It's wrong at Allergan not something. It's right. I like the quarter. I think that they're going to be doing big numbers I have been saunders on for mad money tonight But just understand that the reason why I can't get where you think it might go Is there's just a lot of bears in the stock? It's a lot of people who are just looking for things to roll over as there is for all big farm I mean, there's just a lot of sellers every time these stocks go hard. What about Valiant pharmaceuticals? Valiant is an example of stock that's come down so much that there are no people who are sellers It's almost like everybody who's left. It's just said, you know what I'm willing to own it And the they have changed the maturity so that there's no cash flow problem It looks like that balsam loma stabilized. It looks like sale looks to stabilize their dermatology business is stabilized They still can sell dendry on to continue to lower the debt. It's a company that I would say is not a good short That's how we describe it our Jim you interviewed Apple CEO Tim Cook last week and then this week the market cap crosses $800 billion. Yeah, I mean look, I think that this is a story about service service revenues I think that people have dramatically underestimated how big the service revenue is going to be they Really denigrated the the value of the Apple App Store They don't seem to understand that many many people pay a service stream every single month They also are beginning to realize that Apple's music if you look at Pandora has become triumphant There are a lot of people who thought they had to buy Pandora Pandora lagging got that influx That influx of capital from KKR, which apparently they did need so there's a lot of momentum building on What is something that people didn't think would be building because it's been such an afterthought? Which is what you pay Apple once you buy the razor the razor blades and you've been talking about services revenue before any I had to press them to talk about service revenue in part because I saw this as being some burgeoning big gross margin business That is taking advantage of the ecosystem and there's a hundred fifty million people who can see believe me part of this Ecosystem who will be paying fees and that's a kind of a an annuity. We like cable companies We like we we like phone companies as long as they can add and raise their bill. I think Apple It's going to be like Netflix and Costco and Amazon Prime It's just a revenue stream is going to keep going up and we should remind everyone that Apple is part of Actional Earth All right, and then in real money you talk about Goldman's downgrade of micron Yeah, no, I mean I talk about this in real money Why because and Bruce Cambridge has a chart there, too I think the people have to recognize that you're supposed to get off of micron while it's still Doing well. In other words, this was not a call that said my clients not doing well It's a call which says the average length of time that it does well is Coming upon us and then it goes down as more money gets put in for capital equipment to be able to build more DRAMs it was a very thoughtful piece and you have to you have to understand that if you wait until Supply is in is in balance with demand and that one extra chip and prices fall Precipitously so this guy who just had a very good call is trying to get out of ahead of that And that's what you have to do if you're going to play a boom bus name All right, and then on stop trading on squawk in the street. You talked about Tesla Yeah, I mean Tony's saying that you just really quality work for Sanford Bernstein It's talking about the need for the gross margins for the for the new S model to be really good And it may be north of 25 in order to be able to justify the Valuation the stock now a lot of other people are listening to there was a guy at the Iverstone conference talking about how That the convertibles a good bet because it could stock you go up They do have a lot of capital there's a lot of momentum to this very heavily shorted name It's not really looking what Tony's looking at which is this idea that it has to start generating cash flow And as long as there isn't anyone looking at that serious rigorous level, it'll keep going higher Because people are basing its own momentum and the idea that it's a tech stock you keep hearing it's a tech stock It's a tech stock. It's a tech stock And I think that what happens is that people say well that if it is a tech stock We can start using it like Amazon but I but remember Amazon a tremendous cash flow This does not have tremendous cash flow But it doesn't seem to matter people keep thinking it will have tremendous cash flow So it's a situation that's on the common that people keep thinking it's going to break out if they do the 500,000 car run rate by next year and if they do the million car run rate by 2020 then I think Tony is going to say I wish I'd recommend it or we'll be watching that one and then we'll end with earnings to watch What are you expecting from Whole Foods Whole Foods? I think it could actually be decent quarter I think that Whole Foods will say listen. We're not for sale And and if that therefore the stock could go down and then it will be then the people who's wanted to be for sale We'll start saber-attling again. All right. How about action alerts plus holding simmer X energy? Okay, simmer X look it boils up it goes up it boils down it goes down doesn't matter what they say simple as that All right, and then Jim you're hosting a trading strategies roundtable tomorrow. Yes, and we're gonna have some fixed income names We'll have a goal. We'll be talking about some very interesting commodity situations and and stocks All guys who are the trading roundtable has been very very well received lots of people on it I urge people to check this site out. You're really going to like it We'll be watching that tomorrow live at 11 a.m. Jim Thank you so much as always and for more of the stocks to mention please head back to the street comm