Mad Money 11/03/26 | Audio Only

My mission is simple. To make you money. I'm here to level the playing field for all investors. There's always a bull market somewhere and I promise to help you find it. Madam Money starts now. Hey, I'm Kramer. Welcome to Mad Money. Welcome to Cra. Other people, my friends. I'm just trying to make a little bit of money here. My job is not just to entertain, but to put it all in context. So call me at 1800743 CNBC or tweet me at Jim Kramer. Look, tech is trying to make a stand here. It's just not the tech that's led us for the last few years. We've been conditioned to think that tech will be led by an Alphabet or an Amazon, an Nvidia, a Meta, a Microsoft, but those have almost been millstones millstones around investors neck. I keep hearing about mega cap meltdown. Kind of true. Today though, we saw a lot of second tier tech stocks make moves, make stands that while still connected to the data center, were not the same old same old that have not been able to maintain rallies and have stopped giving investors good performance. The averages reflect the shift with the Dow down 197 points, S&P gaining.36%, but the NASDAQ jumping 83%. It was a day that made you feel that if you just stick with tech, you can ride it all the way back to higher ground. That's all well and good except it's been that way every time since most of these stocks peaked for five or six months ago. Those of us who still like tech and I know dwindling number took heart that both AMD and Arista networks reported very strong quarters after the session tonight. Lisa Sue the CEO of AMD will be on squawk on the street tomorrow. Oh, I bet she has a terrific story to tell. Jrialis, the CEO of Arista Networks said terrific things about the data center networking on tonight's call. I want to think that these are not oneoffs and that just because they aren't mega caps, they do still matter. I want to believe that the non-magnificent tech can lead us. But I also know that there are concerns we must be aware of before we get too cocky about one session set of positives. First, we know that there are exit polls taken all over the country. And a lot of hedge funds know how how these exit polls go. Some would say the top of this tech market uh occurred when we started to realize that data center builders had managed to alienate most of the voters around the country. I think that what some exit polls must be saying this evening is that the data center neutral politicians are ahead and therefore it may not be the shutdown that so many think. Oh, that would be used for the bedal de data center story. I think and have thought that data centers are fungeable. If you don't want them in your state or your c your county, they'll go to another state in another county where they can be used as a honeypot. There will be canceled projects for sure. And even though these stocks have come down a great deal, over 50% in some cases, I still don't think that the stocks of NeoClouds like Iren or Nebus reflect that yet. Although it is front and center when it comes to the trajectory of the bellweather coreweed, the old data center builders looking for subsidies came in cavalerely and became bad corporate citizens. In some cases, raising electricity and in some cases spoiling local water. These days, data center builders come to town early, not to get subsidies, but instead to give gifts to local communities. They find out what towns need, and they help take care of the local interests that make a town click. All data centers now can be closed loops so they don't impact the water. their owners can subsidize electric bills, bringing them down for other rateayers. They bring jobs to places that haven't had new jobs in years. There are lots of towns that actually need those subsidies. I am not saying this isn't an issue. I am saying that enough towns need the subsidies that there'll be plenty of sightings still. I just don't know what will happen to the ones that are already cited but are in states that will now want to ban them starting tomorrow. Now, that won't hurt Amazon because Amazon can buy its way into new towns without a problem. But it will hurt and Iran or Nebius or Cor without anything to fall back on and they'll be scrambling something that's not reflected in the stocks of at least the first two. I do think that no matter what to have an election behind us is terrific news for a group that collectively has been a >> the house of pain >> for months now. Other than the data center, the election may not be all that important to the vast majority of companies. Gridlock's been good for the market and it looks like that's exactly what's going to occur. If the Justice Department individually tries to block winning Democrats from taking their seats, I'm sorry to say that the market really won't care. Whatever ties up the government is good for stocks. Then there is the war. Our market was indecisive at the open today because we had learned of a limited US strike against an Iranian island facility near the straight of moose. We also learned this was one of many limited strikes recently which made me think, I don't know about you, that are multiple strikes still limited. The market is saying today that you can take the war off the table. That's been a a wrong judgment for ages, hasn't it? But the market frequently misjudges President Trump's musings about the war and routinely gets the next actions of the Iranians wrong, too. But when the president said that the US would cut off aid to Israel by the end of the year, that was perceived as a sign that the war may over may be over sooner than you think. Caught a mixed judgment. The negative reaction to Apple's earnings weight on the market. More on that later. And there were bears mauling Palanteer as well. But tech buyers were boyed by how well a $10 billion block of Oracle shares were placed. Oracle, which had promised that this is the last fund raise for three and a half years, sold nearly twothirds of the shares to 10 large shareholders and the deal priced at $116. Then today, the stock flew 126, up 6% as these fund managers believe Oracle's word. I think the oracle block trade gave lots of investors hope that we have found a level where investors at last can come in to buy at least tech without as much risk as a few weeks or months ago. So then the big question is going to be tomorrow. Have the tech stocks come down enough that somehow they are okay to be bought? I heard that all day but I've also heard it every day for the last 3 months. It is a bit mind-numbing. Perhaps the market is simply shifting in. Maybe buyers will be okay if they are not buying tech stocks that are issuing huge amounts of debt or equity. Has there been enough pain, though? That's what you have to ask yourself before you know we've got a real bottom. I thought Friday's session caused a huge amount of despair. >> But the one thing really lacking is what I call a crescendo. What's a crescendo? It's something that the late great Mark Haynes, terrific anchor here, and I used to talk about all the time. We noticed a pattern time and again where the market or some powerful group in the market will be going down down down for weeks on end with occasional hopeful sessions interspersed maybe like today. Those optimistic days will be followed by days like last Friday where there is just such a revoling session from start to finish that you just makes your heart sick. What would cause that pattern to end? Well, usually it's not a whimper, but a bang where the stock market gets crushed in the morning and pulverized midday before then rally on big volume to finish higher at the end. A down opening and an up close on big volume signified that the sellers were at last done and the bottom would be put in. Perhaps this time there will be no crescendo. Maybe yesterday when the NASDAQ 100 finished in correction ter territory for the first time that signaled bottom protect. Maybe we can rally on the backs of the non- negas like AMD and Arista and we can just leave behind those big cap techs that need to raise more and more money just to stay in the data center race. Here's the bottom line. I like that the election will soon be behind us. That's a positive. I think that's going to be end up being good for the data center stocks no matter who wins. I would like to wait for the crescendo before I commit too much money back to tech because so many other areas are working including an area that I'm going to talk about later in the show. But did tech really bottom? The trust owns plenty of stocks that will profit from the very rare crescendous bottom if we don't get a true move up. One thing's for certain, it sure be a breath of fresh air if we could just rally without that magnificent seven for once. Rewarding companies with great balance sheets and terrific earnings is a heck of a lot better than betting on companies that are bleeding with red ink and companies that forgot how important it is to make more money than you spend. Let's go to Evan in New Jersey. Evan, >> hi Jim. I was hoping to hear your thoughts on Roblox after the earnings report. >> Too disappointing. You know, we've got so many companies that reported really good numbers and stocks are down gigantically. Let's focus on those. Those are the ones that I feel have a little more immunity when it go when things go bad and go up when things go good. And that's what we're looking for right now. History says a crescendo in tech is worth waiting for. So, it would be okay to wait. On May money tonight, as investors are rotating out of tech, I'm digging into why the life sciences sector could benefit. Don't miss my analysis. Then, I'm sitting down with the CEO of Crowdstrike to discuss how the company is combating cyber security threats on a global scale. Plus, with fall in full swing, I'm getting the latest on outdoor apparel with the CEO of Columbia Sportsear to see if their brands can climb to new heights. So, stick with Clint. Don't miss a second of MadMoney. Follow Jim Kramer on X. Have a question? Tweet Kramer #madmentions. Send Jim an email to madmoney@cnbc.com or give us a call at 1800743CNBC. Miss something? Head to madmoney.cnbc.com. The tech sector in the AI infrastructure trade, well, they're decidedly out of favor right now. NASDAQ 100 entering correction territory yesterday. But as investors have rotated out of tech, they seem very eager to buy almost any other type of stock that can offer outsiz growth. All right, today we had one of those sessions that actually was pro tech, but those have mostly been one or two day wonders since the peak in June earlier this year. So investors have been looking for growth in other haunts. One group that's been the beneficiary of this rotation out of tech is a small number of companies that we call the arms dealers to the life sciences industry. These are suppliers to biotech and pharmaceutical companies as well as research laboratories, other companies doing life science research. They sell everything from highriced extremely complex equipment used in the drug development process to consumables uh like test tubes and types of basic chemicals used in everyday lab procedures. Now we love to see this as we've long admired these particular companies but many of them had what we'll call a few lost years in the wake of the co9 pandemic. Now that was due in part to inventory gluts took a long time to get through as well as a few lean years for the IPO market which matters matters because that's where many biotechs get their funding IPOs. Funding that later gets spent on these suppliers. Now just as that was starting to end the industry had a new challenge from the arrival of the Trump administration which many thought would be a negative development for the new drug approval process. That turned out not to be the case. administration seems very pro new drug and investors seem to have gotten past the negativity of that and are eagerly buying these companies. So, let's tick down a few of our favorite names in the space. So, you have them. To start, we're going to highlight Agyant Technologies. That's letter A, which provides a full range of instruments software services and expertise to customers of life sciences, diagnostics, and even some other commercial markets. Agelant shares have been absolutely on fire. Just incredible. up 50% over the past six months, including 29% gain since we last spoke to the company's fantastic CEO, Porig McDonald, late May. During that conversation, McDonald told us that the company was seeing a great benefit from the reassuring of manufacturing to the US, especially for drug manufacturing, as well as building strength in the biotech and pharmaceutical industries. Now, here's a good example. GLP-1, diabetes and weight loss drugs, where Agyant helps with both the production and the testing of these medications. And while it's perhaps not why investors are buying the stock right now, we should also note that Agelant has exposure to the AI buildout too as they do a lot of testing for semiconductor manufacturing as well. What we care most about is that Agelant has had excellent numbers recently. Uh they're on track to deliver 8% revenue growth, 11% earnings per share growth in 2026. Both of which represent an acceleration from their 2025 results. accident reports later this month, but we have no reason to expect anything other than strong numbers from this quiet powerhouse in the life sciences space. Next, the life sciences arms dealer that we feel best about right now is Thermo Fisher Scientific, TMO, who's the largest player in the space. More than $250 billion market cap. This company's one of the best partners to the life sciences industry, selling everything from big ticket equipment to consumables, diagnostic services. Offers the type of product that drug developers need for some of the most advanced types of medicine like cell and gene therapies, mRNA medicines. Additionally, after the acquisition of a company called PPD about 5 years ago, Thermoffisher has an in-house clinical research organization CRO, which drug companies can use to run their clinical trials for development stage treatments. All right, TMO shares are up roughly 49% for the past six months. These remember all the tech money's going to these and we know the business is strong because we just spoke with CEO Mark Casper last week about thermopisher had delivered an excellent set of third quarter numbers. A beat and raise report accelerating organic growth in the reported quarter. We hope that you saw that interview because we thought it was profoundly important. It's one of the reasons why we wanted to highlight the strength of this group tonight. Aside from discussing just how well is company's doing, Casper confirmed in that conversation that there's something big happening in the life sciences industry. The FDA seems to have gotten more interested in both encouraging innovation for new medicines and probably most important speeding up the new approval process. The other thing that we're seeing is a real desire to learn about how can we do things more quickly. Right. >> Right. because patients are out there waiting for medicines and the FDA is saying we're not going to compromise safety which is a great thing but if there are better ways to develop a medicine we want to understand it as a regulator and where it's appropriate they want to adapt to the technologies that exist today that's huge not only does it directly rebut the prevailing thesis from last year that the FDA is supposed to be uh opposed to innovative drug development it also gives us hope for much more drug development which of course means more business for these arms dealers. Now, two more quick ones, both of which reported just this morning. First, Waters Corporation has always been a strong underappreciated company in the space. They made an aggressive move to become an even bigger player last year when they combined with Beck and Dickson's biosciences and diagnostic solutions business in what's known as a reverse Morris trust transaction. That deal is working out phenomenally well for Waters, whose shares are up nearly 50% over the past six months, including a nearly 5% gain today after very strong third quarter report with even better guidance for the fourth quarter, including an outlook for 7 to 9% organic growth. Finally, let's take a look at a company called Revity, which is the relatively new name for the company formerly known as Perk and Elmer. About three years ago, in the midst of the postcoavid morass for this industry, Perkin Elmer broke itself up, selling its applied sciences, food, and enterprise services business to a private equity buyer and rebranding the remaining diagnostic and life science business as Revity. Candly, it took the investors a few years to fall back in love with Revity, but they sure seem to have done so. The stock is now up roughly 69% year-to- date, including an 8% gain today after a beat and raised result of its own. Here's the bottom line. All right. So, we know that tech can be out of favor, but if you can only offer growth away from tech, then investors will eagerly buy the stock. That's why we look at these arms dealers to the life sciences industry, Agyant, Thermoffisher Scientific Waters and Revenue. All right, they're not household names, but they're exactly what's working right now. They are the new techs, the ones that seem to be replacing the data center as the theme. If that's the case, then I know they have a lot more room to run. Let's go to Anthony in my home state of New Jersey. Anthony, >> hi Jim. Thanks for taking my call. Uh I'm doing the investment club in September and uh I really love being a part of the community that you're building. >> Thank you. And that's exactly what it is, a community of people want to learn and we do teaching. Thank you. >> Absolutely. Um my question is about Eli Liy. I took my first small position last month and it's up about 11%. When you start a new position, sometimes it's at elevated prices simply because of the timing of when you first invest in the stock. So, do you think new investors like me should add Lily at these levels or should we wait for a drop? What you do is you take a position. Let's say you want to buy 100 shares, buy 25 straight out and then you wait for a decline. If you don't get the decline, you're fine. You got a nice short-term gain. But I don't like to buy all at once because if it does drop down because of rotation or something wrong, then what happens is next thing you know, you got a terrible basis. And if you have terrible basis, you're more than likely going to kick out the story rather than buy more. So small buy at the beginning and then buy in a pyramid on the way down. That's the way I've done it all my life. And it's worked very well for me. All right. Tech may be out of favor now, but these arms dealers life science industry are exactly what is working. Much more mad money ahead. Crowd Strike just unveiled a new kill switch designed to stop AI agents in their tracks. I'm getting the details straight from the co. Can Columbia Sportsword just beat earnings expectations? They didn't. But with the consumer uncertainty still looming, can it weather the storm ahead? I'm checking with the co and Apple delivered and earnings beat last night with the stock on hammer. Anyway, what gives? I'll tell you why. I'm not sweating. So, stay with Crap. We just had Crowd Strike on last week, but in the world of cyber security, that feels like a year ago. Since then, for example, Binance disclosed a $6.3 billion cryptocurrency theft that the FBI has attributed to North Korea. Today at the company's Falcon European Conference in Barcelona, Crowd Strike debuted a new technology they're calling the AI kill switch. It sounds like a major breakthrough and earlier today I had a chance to check back with Crowd Strike founder and CEO George Kurtz about the news. Take a look. George, everyone's told me there's no such thing as a kill switch. That we can't shut things down with agents. that they are on their own uh and they're faster than we are and smarter than we are. Is today the day where we say that's no longer the case because of something that Crowd Strike has. That's correct, Jim. If you think about it, everyone is building AI agents, but they never had the off button and now they do. And this has been something we've been working on since we launched our Guardian product, which has been a smash hit at our Falcon in USA at the end of the summer. Now we're in Europe. uh at Falcon uh Europe. But the biggest thing that customers were asking for is we need a kill switch. This is what we've built and we're so excited to be announcing it today and it's going to be an incredibly important part of making sure that AI agents run and operate safely. George, I don't want to overstate this again. I mean, when you talk to the people behind Anthropic and Open AI, they say, "Listen, you know, accept the fact that we don't have it. Except the fact that they can run wild. I wish they couldn't." What you're saying is that if I what I'm here's what I hear. If I hire CrowdStrike and I have agents and I think the agents are doing something wrong, I can stop it and I can stop them cold and this idea that they are in charge or they're faster than we are, smarter than we are is off the table if I hire Crowdstrike. Well, >> that's right, Jim. With our Falcon technology, as I've talked to you many times in the past, we are at the epicenter of where AI agents are running. We see when the agent is created. We see what identity it has. We see what tools it's calling. And we have the ability to stop the agents in its track both on the endpoint as well as integration with uh network devices including one of our own AI gateways that we launched at this event today. So it's the combination of the platform that we've built having visibility where AI actually runs as well as being able to uh kill these connections across the network. So, you put the do two together and it's uh it's a very potent package. >> All right. Now, I want to understand again I'm I'm a little obtusive in this because I've told it none of this can happen. Uh if I hire you and I'm worried about my agents, they can be stopped. How about uh on the defense and also on the offense? In other words, let's say I I'm a company that has really smart agents, but they figured out how to infiltrate somebody else. I can shut them down. If I am a client and uh I am worried about someone getting into my system, I can shut those kind those uh bad actors too. I can do it on both sides. >> Correct. And let's talk about that for a minute, Jim. Because for the last 30 years I've been in security, which is keep the bad guys out. It's always about the outside. Keep them out. Keep them out. And now really for the first time, security has moved from security, keep them out to safety. How do you actually allow agents to work within an organization? And enabling agents to work safely is a massive market opportunity for crowd strike. So we have AI capabilities to prevent these breaches from happening on the outside and we also have the capabilities to make sure that agents uh are are basically doing what they are instructed to do. If they go outside of those guardrails at runtime, we can kill those agents. And that's very important because when you think about the the model and the lab creators, they're building it in a lab. They're training it a certain way. But when it hits the real world, it doesn't always operate that way. This is the reason why cars have airbags. If there's an accident, you're going to protect the occupant. And I think the kill switch is going to be mandatory for companies going forward. You have to have the ability to kill these agents if they go off the uh reservation, >> right? Yeah. I will it be possible to get insurance if you don't have the kill switch. I imagine insurance says look we're not going to do it. You got to get kill switch or else we're not going to give you protection. >> Well, I think there's going to be a lot of guidelines and uh focus on making sure that companies have that. They're going to have to go to their auditors. They're going to have to prove that the agents can be stopped if there is an issue. And this is going to be just table stakes. You see a lot of governments, a lot of states talking about the kill switch, talking about uh regulations and legislation around this. And uh we're going to be there for our customers to make sure that they have the ability to operate their agents in a safe manner, that they can understand what these agents are doing, why they're doing it, and then if something goes wrong, they have the ability to to stop those agents in their tracks. >> All right, George, let me challenge you. You're Binance. You hire Crowd Strike. The government of North Korea is dedicated to stealing all your customers crypto. Are you telling me that that if I hire CrowdStrike, the government of North Korea will not be able to get my stuff? >> Well, Jim, what I'm telling you is that we routinely see North Korea activity and we routinely stop it. If you look at what they're doing in this particular trade trader group, this is something that we've seen reported on and stopped many times. But it's important to remember that the epicenter of these sort of attacks is on the endpoints on the workloads. And if you can have a laptop that's compromised, if you can have identity that's compromised, bad things will happen. This is why we've built this technology. And we've deployed it at many of the largest enterprises around the globe for these particular threat actors. In fact, we actually worked with the FBI and you may have seen that a few weeks back where we identified a complete laptop farm, multiple ones by the North Koreans. They're very good at what they do. And in this particular group, they're focused on stealing money as well as many of the other parts of North Korean government, stealing uh identities of of users and then being able to monetize that. >> All right. In February of this year, you came on our show three times and you said that when you hear that these big uh the the hyperscalers modelers in this case, yes, of course, when you have uh when you have anthropics saying, "Listen, we can protect you. We will have cyber security." And you said that's kind of ridiculous that you can't just have cyber security and be the company that is trying to be protected because no one will offer you insurance. No, you're just it's just not going to happen. They kept insisting that you didn't need crowd strike. Insisting. And they were completely wrong. The stock was cut in half over and over again. You said they were wrong. And they were wrong. Is this another one where they're going to keep insisting? No. Uh-uh. That guy don't pay no attention to the man behind the curtain. Are they going to continue that stuff, that nonsense that we all had to deal with? >> Jim, I don't think so. Because one of the things that we actually announced today is the collaboration with Anthropic on being able to protect Co-Work. Co-work actually runs in a container. And I can tell you how it happened because our customers went to Anthropic and said, "We need CrowdStrike before we can deploy AI. We have to have Crowd Strike in these containers instrumenting what they're doing." And we work with them. We're the first to market with this. And we're proud of the collaboration. But I think the market, customers, labs, everyone realizes that security plays an incredibly valuable role in making sure that you can actually use AI. It's not going to be all solved by one company or by the labs. It's a collaboration with companies like Crowdstrike working together with our customers who are demanding CrowdStrike and the labs and putting it together and leveraging the trust that we've built for many, many years. So that's part of what an ecosystem looks like, I think. um you know people have figured that out. We're working collaboratively with the labs and uh you know our goal is to make sure that our customers are protected but I think it says volumes that customers would not roll out AI without crowd strike. >> Uh last question why uh have you been able to do this when everyone says you can't do it? I mean are you smarter? Is your team better? I I I've dealt with the Palunteer guys. They'll just tell you, "Listen, we're smarter and better." I've never heard George Curts come out and say, "The reason why this works is because we're smarter than and better." What do you have that the other guys don't have? >> Well, I think we uh we spend a lot of time with customers listening to them, Jim. You know, at the end of the day, if you do the basics better than anyone else, you're going to be a world champion. And this is what we're focused on. We're listening to what our customers are asking for. One of the number one features was kill switch. And because of the architecture we built, I've talked about it for how many years on your your show, we've started with the right architecture, we can understand where these agents run and what they do. And as Jensen said, it's an engineering problem. We've engineered how to create a kill switch, how to turn these agents off, and how to leverage them effectively and safely. And we've got great people. We've got smart people. We got great customers who tell us what they want. And then we engineer that into the platform that was built for this agentic moment. >> Wow. Well, uh, George, I have to tell you, I think it's what we've all been waiting for. I'm not saying rip up the S1 warning signs on anthropic. I am saying people would be crazy not to hire you. How about that? >> Well, Jim, um, as we always say, we're here to stop breaches. That's our mission. We don't have a mission statement. We want to make sure we keep our customers safe. >> Excellent. George Curtis, Crowd Strike CEO. George, thanks for coming on the show. >> Thank you, Jim. >> Inviting me back after the break. >> Coming up, can shares of Colombia keep your portfolio warm this season? Kramer's asking the CEO next. Last Thursday, Columbia Sportsware, the outdoor apparel and footwear company behind Colombia, Surell, Mountain Hardware, and Prana, delivered a really strong quarter. Gave this stock's comeback another push after years of kind of struggling to gain much ground. Shares are now up more than 25% this year, nearly 10% since the report. Columbia reported a 38% earnings beat off a$128 basis, better than expected sales and gross margins. M also raised the low end of its fullear sales earnings forecast. Although some analysts were looking for more than fourth quarter uh profit outlook. We'll get into that in a second. The big question is whether Columbia could turn that progress into sustained growth here at home where sales were still down slightly year-over-year. So let's check in with Tim Bole from Newport's chairman CEO to find out. Mr. Bole, welcome back to Mad Money. >> Hey Jim, thanks for including me on the show today. >> Oh absolutely. Now Tim, uh overseas really extraordinary. Uh China, Europe really good. How do we get US going? Because I think that things the stock is at a really had a nice move here. And if you get US going a couple percent, I think the stock can go to 100. >> Well, listen, I I from from your words to God's ears, but I I'm hoping that we we will have that. You know, I think there's some reluctance because of our reliance on Q4 and we had a little bit of a hiccup in our deliveries. So actually Q Q3 in the US would have been better had we had more timely deliveries. But I think we're in good shape and we're got in a position to to produce for for fourth quarter and we're very excited about our opportunities there. >> All right, let's talk about Okay, let me just tell you I because I'm did a lot of work ahead of the interview. I'm seeing more color and more personality in the products and I am thinking that maybe you're going, you know, some of your best technical stuff is now looking uh a little bit fashion forward and it's working. You know, it's uh we've talked a lot about the fact that the company needs to continue to improve itself and then most importantly start talking about the important products that we have. And that's what we're going to what we've been doing. A bigger investment in midfunnel, a bigger investment in some of these sort of wacky activations that we call them and an opportunity for us to get noticed and in a different way. And that's going to be our approach and how we're going to bring back our USA business. Well, I know I'm going give you two examples that that that I think you have just examples of where of how much green field there is in front of you. Omniwick. Okay. If you're in a climate that's high, uh you recognize that we have a terrible ozone layer problem and if you are worried about skin cancer, you have to wear yours cuz because these because sun tan lotion doesn't work. or when you're fishing and you're in like I did. I went to with to Trinidad to go after tarpon with monster fishing and everyone had performance fishing group but the younger people they don't look at it because it's not cool enough. Are you able to take Omniwick? Are you able to take PFG and just make them a little bit cooler for young people? Yeah, you know, I our spring 27 product is going to be hitting the shelves, I want to say in the next, call it month, and there's going to be a vast difference in terms of how young people will approach that. We've got a younger team working on the product. It was a very successful product for us for many, many years, but we weren't young enough, and we needed to have more fitted product. We needed to have product which was stylish, the right colors, and kind of the right vibe around the product. And so that's what we're doing and and I think it's going to be working what quite well here especially here in the US. >> Oh that is just great news because I really think that uh you look everyone knows your stuff's the best Tim. Everybody in any outdoor stuff that I do and I do a lot of what I would regard as almost professional fishing and there's it's just PFJ. That's all anybody knows of my age and maybe 50s up. The younger people are trying to do different things. They go into Amazon. They find something that's not nearly your quality. It lasts for a couple fishing trips. They throw it away. Gotta get away from that. In the meantime, you do have some incredibly funny uh different contests. A fax contest, it's cool. A don't panic room. Let's talk about that. Where'd you come up with that one? That sounds a fantastic fantastic promotion. >> Well, you know, it's uh we've had some great results and great creativity from an an ad agency we're using in London, and they're really talking about, you know, the importance of being in a cultural moment. And we have the tech bros who all built themselves these bunkers and we said, you know, why not do it for everybody? So, we put together this don't panic room. We put some time and effort into making it really interesting and and it it allows us to be quite different because other outdoor companies really can't approach it in the way we have. So, this is about making fun of people who probably ought to be have making fun of and uh and being different. And that's really the key. I think it's fantastic. Now, Europe is not doing uh the the continent is not doing that. Well, your numbers are terrific. What's selling over in Europe? >> Well, you know, we've had a really good approach with the kind of products that have been successful for us here in the US. They're slightly elevated. Our margins are better in Europe. And and there's an approach that we have uh which I believe is is quite inclusive. It's not exclusive. It's more inclusive. And it it utilizes the same sense of humor that we have here in the US. And that's what's really allowing us to be different. And and again, we're a small player in Europe, so we can grow rapidly and and do well when others are maybe hitting against the top number. All >> right. Meanwhile, direct sales improving. Uh what's what is what's selling the best there? I would say it's a little bit of everything, but frankly the the method we're using to promote ourselves, the midfunnel uh execution against uh our products, which are best products, footwear is actually much bigger in Europe than it is here in the US as a percentage of our sales. And those kinds of products require a good healthy dose of funnel expense where it can really turn the needle. Is that the up high 30% uh European distributor situation because that's I mean unbelievable numbers >> that's across the board in Europe and some of that was due to earlier delivery so we put stuff in market faster and it's it's been successful and working well >> and then people need to know robust growth even though look international but a little bit more than 30 about 35%. But uh China up below 20% up low teens is pretty terrific there. >> You know we have a really terrific team in in China and the the team there is focused on digitally making sure that the products visible and and quite available even though we're still a small player in China but there's real real opportunities for us there. >> Well Timsus I I think the most excited that both of us have been about what's going on. I think that that a little bit more fashion with an omni wick, a little more fashion with form is good, a little more fashion. I mean, I love that. Look, I wear your shoes when I when I fish, but younger people say, "Geez, Jim, what are you wearing with those sho?" What? You know, the answer is to the best. I always say they're the best. But if they start looking a little more younger, I think that even younger people realize that it matters that it's the best. I want to thank Tim Bole, chairman CEO of Columbia Sportsware. What a move the stock has had. Tim, so so great to have you on the show. >> Thanks, Jim. Everybody's back after the break. >> Coming up, you've got questions. Kramer's got the answers. Get charged up for a fast fire lightning round next. It is time. It's time for the white conf. Bye bye bye bye bye bye bye bye bye bye bye bye call stop my sting pl and then the lightning round is over. Are you ready ski day with Joe in Illinois Joe love the show and thanks for all you do. >> Thank you. You watched the show of I watched the show a while back and you had who I believe is the CEO of Repanon. He was so adamant that his cancer drug was going to be a winner that I jumped on it. I'm plus 981%. What are your thoughts on the continued growth? Tell me what to do. Jimmy >> in which? Oh, rep. Okay. Um, all right. Well, look, this is anti-cancer and it's all spec. It's all experimental and so far it's going their way. I think it can be your spec. I would just take one of these. If you have any other specs, you got to sell it. Let it be that stuff. Let's go to Raj in California. Raj, >> yes sir. How are you doing? >> I'm doing well. How about you? >> I'm doing okay, sir, so far, thanks. Question is, are you Trump? No, we're going to be we want to go with Tesla. If we're going to be in self-driving, we go with Tesla. We go with market winners, we go with leaders. Uh let's go to uh Leslie in California. Leslie, >> Jim, um I'm down 15% in FedEx um FedEx Freight and Morgan Stanley has an has a neutral on the stock. So, I'm wondering buy, sell, or hold. >> Oh, you want to buy it? We like it for the club. It's had a very nice move off the bottom. It came out uh it came public by as a kind of like a spin-off by FedEx and the stock did not hold well because there's a big block of stock out there that's for sale that's owned by FedEx. They just have to bring it to the market. If they did then it'd be a clearing event and I think the stock would go right up to 150. I want you to own FedEx at a really good quarter. FedEx freight that is. Let's go to Steve in Florida. Steve >> Jim Kramer, how you doing sir? >> I'm doing fine Steve. How are you? >> Very good. I'm calling about Celestica. It's 45% off its June highs. Currently trades at 12 times next year's earnings. Last week, management guided 90% revenue growth for 2027, which puts their PEG ratio at.16. Thank you. >> Yes, this is the kind of stock that I was talking about at the top of the show. Has it come down enough? It is no longer expensive. It had a fantastic quarter. There was no hair on the quarter. I was quite surprised that it was treated so negatively. Maybe this kind of company which is really solid, doesn't need to borrow money, is in great shape, is the kind of company that can bounce first, not the kinds of companies that are issuing debt and issuing equity, which seem to be left behind right now. Let's go to Mike in Texas, please. Mike. >> Yeah. Hey, Jim. Listen, I'm calling about sterling infrastructure. It had a massive run earlier in the year and it's all the way back down even though earnings killed it. Is the story still true? Buy old or sell? >> Okay, this is one where I think it's going to clear. the election will be a clearing event. Well, no, this was a total data center ratification story. If all this if the whole elector is against data centers, then this company's stock is going to go down more. I think we can get the election over with and Sterling can have a move back. And that, ladies and gentlemen, the conclusion of the lightning round. >> The lightning round is sponsored by Charles Schwab. Coming up, the analysts may be taking a bite out of Apple stock, but Kramer's adamant the future remains bright. He's explaining why. Next. Look, maybe the re market's reaction to all this stuff is wrong. That's how I approach earning season. So many companies reporting at once with many presenting their numbers in a nuanced way. It's easy for investors to make a mistake and sell when they shouldn't be or maybe they should be buying. Once the stock's trajectory is down though, then the analysts aren't going to get in front of a speed and freight trade. So instead, they find themselves agree with the freight trade just to justify themselves in the decline. They get on board the down train. We saw this today with Apple, which reported an amazingly strong quarter last night. Offers you a glimpse of the future. It seemed very positive, but they had this ever so small decline in gross margins, at least when you strip away the tariff refunds due to the higher price of memory and signal that gross margins could be even lower in the current quarter. More important, the very lucrative services revenue stream, which was up 10% last quarter, might see its growth slowed only 8 to 9% this quarter, and near-term there may not be a way to turn that trajectory around. Oh, I heard all that, took it in, and said, given that so many tech companies are struggling with escalating costs, especially for compute, this disclosure was pretty darn positive. While everyone noted the light services revenue guide, no one seemed to mention that Apple's overall revenue outlook was much better than expected. It was a great quarter with conceivably another great quarter ahead of it. I'll take it. However, because the stock had run so much before the report, there was little chance for it to go higher today. There would almost certainly be something that would trigger a decline. That's what I told investing club members right into this uh earnings report. I said it was slated to go down. Calling it an impossible situation, my regular Sunday column. But I said that I would own it, not trade it because I didn't know when you could get back in and you would want to get back in because the future could be terrific. A bunch of analysts rationalized the solve and some took price cutting actions overnight. I guess maybe they wanted to call top me. I said two things were happening that could propel the stock much higher after it shrugged off the the decline. First, the new iPhone Duo, the folding phone is out and it is extraordinary. I mean, amazing. Is it expensive? I believe the phone companies are in such a dog fight that one of them will give you the bargain of a lifetime for the gem of a phone/TV. That's what I called. I asked CEO John Turners last night on a call I have with management what the availability is like. And let's just say that I don't expect my five phones by Christmas. I was hoping to buy everyone in the family a phone. If the Duo sells as well as it seems to be selling, that could bring millions of people into the Apple ecosystem. That in turn will drive services revenue. So I am more sanguin than most about the concern from last night's guidance. The second thing that made me more reassured that you should own Apple, not trade it, the price of memory. We are also sure that the price of memory is going to go up so much that it's got to hurt their earnings. But wait a second. If we are so sure that memory is going to continue to go higher, then why are the memory stocks acting so awfully? They're screaming that the peak price is in and even though Micron has tick or pay contracts where you have to pay no matter whether you need them or not, there will be excess supply. I do not know what's right. The current builds on forever higher prices or the notion they have topped out. But the longer term trajectory of a chart is worth a lot more than a momentary uh movement and it says that Apple might be in better shape than you think when it comes to the price of memory. Shortterm this doesn't matter. The stock could mark time maybe turn lower. Longer term, I say the duo and peaking DM prices should make you want to own Apple, not trade it. My stance remains positive. The same one I have had for ages and ages and ages. Still, I like to say there's always bull market. Some of my problems are just for you and your man. 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 or its 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 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 MadMoney disclaimer, please visit cnbc.com/madmoney disclaimer.