Mad Money 08/13/26 | 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 market somewhere and I promise to help you find it. Madam Money starts now. Hey, I'm Kramer. Welcome to Vad Money. Welcome to Craig America. Other people make friends. I'm just trying to make you a little bit of money here. My job is not just to educate, but to entertain. So call me at 1800743mc or tweet me at Jim Kramer. History doesn't always repeat itself. It doesn't always rhyme and sometimes it's impossible to make heads or tails of what's going on regardless of what the history books say. Yet that never seems to stop the bears from invoking history as a way to scare you out of your stocks. I'm hearing a lot of talk these days just like this, just like that. Even after decent session with the Dow edging up 70 points, S&P advancing 65%, NASDAQ gaining 081%. So let me explain what I'm talking about. There are always plenty of seemingly intelligent skeptics in any market. They rarely want to be called bears, just wise historians, or at least they fancy themselves as such. They give you so-called sagelike advice like something like this. The four most dangerous words are this time is different. They sound so brilliant when they tell you that those who think this time really is different are lightweights, amateurs, rookie in investors who are about to lose everything. They are fooling themselves into thinking that the same pattern will give them different results. I hear that constantly. I can't stand these people. I've made it my life work to prove them wrong. And while times our past did cross, I found myself on their page during the docom implosion, for the most part, I think they're the ones who lack the rigor, they're the lazy, non-intellectual, those that are the ones who are on an intellectual vacation. They revel in making predictions, even as they never take responsibility when they get anything wrong. In the docom era, the bears made out like badness after the peak in March of 2000. But many of these people had been dead wrong for years before that and after. I want you to be able to participate in any serious rally. Even if it turns out to be temporary because remember from how to make money in any market. Most of the money in a given year is made in roughly seven days. It doesn't ever trade to pay to trade in and out. You may miss those days. Textbook example. Those who argue it's ridiculous that you could ever rely on Nvidia chips to be worth anything out of out more than say two or three years. So, it's certainly absurd to offer bonds or nodes that are backed by the computing power of the data center as was roughly promised this Monday when five huge asset managers in Goldman Sachs teamed up with Nvidia to announce a new $500 billion effort to establish new compute financing platforms. The depreciation of a semiconductor, any semiconductor, even one as tremendous as those made by Nvidia, according to the Bears, would be so rapid that it's insane to base any kind of security on these things. Yes, that is the bare thesis. But it only makes sense if you've been living in a cave for the last 20 years. Sure, semiconductors couldn't retain their value in the 80s and 90s when Intel kept rolling out big improvements here for your 286 fly by 38740 pennium. In those days, new chips regularly made the old ones obsolete. It was meant to do be that way. But you see, that's no longer how it is. Now, Nvidia chips are made differently. As we heard yesterday morning from Cororeweave, arguably the best builder of data centers, they just signed a new deal to lease some Nvidia's A100. Nvidia A100s, those are from 2020 and they're still selling for about the same price as was originally paid. The GPU shortage is just that dire and the chips are just that good. Nvidia's old chips still work just fine. Not only that, Coreweave CEO Michael Intrader has contra those same contracted out those same chips until 2029. That's now nine years of life, three times more than the bears thought for the same GPU. Now, it's true. I believe that partnering with Nvidia is really the only way for data centers to ensure that their their compute lasts longer. That's because of a thing called CUDA, which is effectively the software operating layer or platform from Nvidia chips. It's the platform developers that they they use it to program their stuff on. The company does softwaredriven upgrades to all of its chips, including the old A100s, which is how they maintain their worth. These aren't penniums. These aren't 386s. There was nothing like that historically. So, how can history repeat itself if the DTS are so different? Maybe it's just a bias against hardware. No matter, when you buy Nvidia chips, you're buying Nvidia software right along with them. And that's the big reason why they hold their value. Or how about Cisco? A little more than 26 years ago, at the height of the dotcom mania, Cisco, the networking kind, became the largest company in the world with a market cap of $550 billion. It then proceeded to crash along with everything else, bottoming out down 90% in October of 2002. So, when the company's stock finally broke out to a new high 26 years later, we heard the same refrain. Oh, here we go. History will repeat itself because Cisco's back to where the market crashed. And then Cisco proceeded to blow through that price and rise another 50%. I wonder what happened to the skeptics who said there was nothing different. And once Cisco touched its old highs, it was all over but the shouting. They seem to have retreated to the bear cave. Or how about the software as a service apocalypse or SAS apocalypse, that funny term for the overvalued enterprise software cohort. The Wags knew that these companies were in danger because artificial intelligence allows businesses to easily write their own software internally. So they were unnecessary, obviated. That's why these stocks kept drifting lower for ages. The convention wisdom said they would all be wiped out. One of the most overvalued uh what's the most overvalued stock according to Cogni? Well, it's a company after Adobe called Workday, the human capital management financial planning software play. It was a darling long, which has now been a masterful short. This afternoon, however, we learned that Silverlake, the big private equity firm, is engaged in talks to acquire Workday. Stock shot up nearly 18% today. It's up more than 60% from it late July lows. That's more like an apocalypse for the short sellers. I don't think I'd mind all that much that these brave souls would protest that certain stocks shouldn't go up and then slink away when they do. Now, what matters, what really bothers me is that those who've been so very wrong for some time simply can't resist going on camera and repeating themselves. They're so haughty. They're h drives me crazy. Now, like a broken clock, they're right twice a day, but they're constantly being asked back on TV, regardless of how wrong they've been for the last decade. You never hear a disclaimer about how their ideas have been costing you money. You just hear that they were right about something else that lost value 5 10 maybe 15 20 years ago which is why we're told that they have to be listened to. It's fatuous. Being right say about the housing peak in 20 in 2008 that doesn't necessarily mean you'll be right about a peak in semiconductors for heaven's sake or the data center. But the media loves negativity because the media thinks that negativity sells. Not that there is any current data anymore to back that. So the professional bears will always get airtime. Look, I'm not saying that data center stocks won't peak someday. Of course they will. As Michael and Trader, CEO of Corwe puts it, one day there will be too many data centers. His job, he says, is in part to be able to get out kind of near the top. But he he doesn't see that peak occurring anytime soon. Neither do I. The skeptic says that he's just talking his book. The cynic says his book is no good because the M will be coming soon. But the bottom line, I think Cory is in trader and is an honest guy. And like me, he does not see a sign of the top even as he knows that a top could eventually come the same way the railroads peaked in 1873 from overbuilding. But that doesn't invalidate all the money that you can make in the data center until then before they peak. History says you may have to sell any mania. But what if it isn't a mania? What if it's just a new way of doing business that lasts for years? Let's go to Ethan in Louisiana. Ethan, >> hey. Uh, what do you think about Intuitive Surgical? >> Okay, I think that Intuitive Surgical, a lot of people worried about it. They felt that J&J, which is a holding of the travel trust, would be would hurt ISRG. It looks like they're not going to be that competitive. I think ISRG is good. I don't want to buy it, but I think it's good. The reason I don't want to buy is because we happen to own J&J for the travel trust. Let's go to Fran in New York. Fran, >> yes. Fran in Monroe, New York. Fran Rosenberg and Monroe, New York. You're taking my call. mother-in-law from Monroe. It's fantastic. What's going on? >> I want to know about Sols. >> Ah, look. Solstice Materials. I happen to like Solstice Advanced Materials. Here's the problem. It's making an acquisition and the acquisition is putting a lot of pressure on the stock. I don't expect it to go up anytime soon. Sure, the data center boom won't last forever, but right now there's still plenty of money to be made. Just stay disciplined and remember bring the register on the way up. If you don't really worried about some sort of morassity down the line I tell you the parent company of Chilies and Majanos just served up some latest drinks. I'm going to sit down with the co of Brinker International symbol eat find out if there's more heat ahead and Cisco is getting slammed after hours. Well, could that sell be a gift? Come on. >> I'm breaking down the art of pot, which means underpromise and overd deliver, and what it means for your portfolio. Plus, I'm drilling down the consumer housing and the overall economy with the CEO, Stanley Black & Decker. So stay with Kramer. Don't miss a second of Mad Money. 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 1800743 CNNBC. Miss something? Head to madmoney.cnbc.com. Yesterday morning we got this incredible quarter from eat. Yes, that's international, the parent company of Chili's Grill and Bar. I'm Mashiano's little Italy and that's the stock up more than 11%. I gave back some of the gains today, but still the darn thing is up, get this, 66% year to date. Deservedly so. Breaker reported solid set of numbers, comparable restaurant sales. Uh, Chile's up 5.6%, but we're going to hear about what that's over. More importantly, management issued a very strong forecast for fiscal year 2027. That's the 12-month period that ends next June. What makes me so conf what makes them so confident? Simple. This is one of the rare restaurant companies that's been relentless about keeping prices low for you. I've said over and over again that this is what will separate the winners from the losers in the industry. If you can offer people a great deal like Chili's does, you'll be able to take share in this environment, which is why they're planning to get more aggressive about adding new locations. So, let's check in with Kevin Hawkney. He's the president CEO of Brick International. Get a better sense of the quarter and where his company's headed to shop. Welcome back to Man, Buddy. >> Hey, thanks for having me on the show. I love you being here. Personally, >> I enjoy being here especially after such a great quarter and a great fiscal year for Brinker International. >> Okay. Well, I want first people should know this. I said 6%, you know, whatever. They need to know what it's so-called over. Can you explain to them that you can't just look at one year, you have to know previous years to realize how great that number is. >> Yeah, we were plus six on Chili's. We were rolling over a plus 20 from the previous year. This is where the numbers get crazy. Our three-ear stack was a plus 50 same store sales and our 5year stack was over 70%. These are numbers that are unheard of for any brand, let alone a legacy brand. And we're just doing it with great food, service, and atmosphere. And that's what we're going to continue to do for the American consumer. >> Now, let's talk about the concept of $10.99. Okay? When I go to your place, I cannot believe I can get a big burger or the new crispy chicken. I get the salsa. I get the bottomless uh Coke. I get the fries. I think you must be losing a fortune on that. But that's not true. Well, here's the here's the beauty of our of our business is that everybody comes to Chili's, all walks of life. And so, some come and they want that 1099 meal and we get an unbelievable amount of food. You get great service, the food tastes great, but others want something a little bit more premium. As long as we meet all of the consumer's needs, we can make enough money to make that work. And I will tell you, we have price certainly in the market. We've been running the 1099 campaign now for four years. The consumer doesn't need a coupon. They don't need an app. They don't need to come a certain time of year day. They know they can come to Chili and get an amazing value. And that's why we're winning in the marketplace. >> Okay. So, how did you do it? Even though we went through a period, not this last month, cuz we saw the numbers of tremendous food inflation, but you held the line. How people are going to remember that, aren't they? >> Well, they are. And as long as we continue to give them better food, service, and atmosphere, and we continue to grow traffic sustainably, we'll be able to keep those prices and make money for our shareholders. And that's exactly what we're doing. We're building the business the right way with volume. We're building it sustainably. And that's why we've had 5 years of unprecedented growth. Now you do something else as I know from u formerly running Barcel uh it's almost impossible for me when I was running it to offer a very good margarita with a top shelf uh tequila for less than 12 bucks. Yours is half. How do you do it? >> Well again it comes to making sure we have all things for all people. Right. So if you come to our restaurants this month we have the shark bite margarita for shark month and it is a beautiful margarita. It's got Elmador tequila, which is a name brand tequila. It's got housemade sour. It's got all the things that you'd want in a great and it's it's big. It's not like a little tiny thimble or anything. This is an amazing value. And it's but we also have things we call margaritas with benefits. So you can get a skinny margarita. You can get our alresente which is our which is our one that comes with the extra blue shaker and that's a little bit more expensive and it goes all the way up to Kasamigos and Don Julio and that's more expensive than that, right? But the reality is, as long as we meet all of those customers needs that want those margaritas, we can make money on the margarita lineup. And that's exactly what we're doing. We're now the number one alcohol brand in the United States. >> It's incredible >> for restaurants and we're doing that because we have great value all across the barbell. >> Now, one of the things you do, you'll add something at on the menu and then you'll see first it has like 25 a day and then there's 50 a day, then there's 100 day. Now, is that social media that gets the word out? Is it TV? How do you get the word out? And will you get the word out? Were you going to go big on the NFL or is it better just to do social media now because I know your social media is fabulously successful. >> Okay, there's a lot in that. So, let me just start with it starts with great value. You know, you could do all the social you want. You can do all the NFL TV you want. If the food isn't abundant and it isn't great, people aren't going to come back for it, right? And that's what we did to fix. We started with burgers. We've done our chicken tenders. Now, we're launched that big crispy chicken sandwich for $10.99. It's 80% bigger than the leading fast food chicken sandwich. When you get that sandwich with fries, bottomless drink, and bottomless freshlymade chips and salsa, that is going to be a winning occasion, right? So, we've nailed that. And then we advertise in different ways. So, we advertise a lot on social. We have the best marketing team in the entire industry. >> You absolutely do. And I know that from doing some work with you guys, >> but we also do have broadscale awareness on national TV. We do a lot of live sports. We do a lot of streaming shows. We are wherever the customer is going to be, they want to hear about our 1099 value, and that's why we're winning. Well, let's talk about the tough thing of being in the restaurant business. It's there by the grace of God, but you do can have illness like uh and we saw it at Chipotle about eight years ago, nine years ago, and now we're seeing it with the cycllospora, with lettuce. So, what do you do? What do you do when you don't have it, but you got to be sure you don't have it? >> Well, we're a professional organization. You know, we partner very closely with our suppliers. We know everything that's going on in the industry. Obviously, when anything crops up, our people are directly on it. And I feel incredibly I feel like incredible about our food safety program and there's absolutely nothing um that I ever think about that we aren't doing really really well. So I just say just continue to put the right resources against it. Uh put things on when things come up and we're not going to have issues and that's what's happening right now. >> Okay. Can you tell people about your coaching tree where you came from so people know because I think I hear a lot of people coming from the same coaching tree and so winning one. >> Well it's been an honor. You know I spent 18 years at Proctor and Gamble. is a bastion for leadership and and I had the you know the honor my wife Ann was also a great marketing leader there and we learned everything that we know and there's you know huge amazing coaching tree out there you know obviously you got Brian who's doing amazing things at Starbucks >> about Brian Nickel I always tell you if you bet with Brian Nookie sometimes you got to bet the jockey not the horse Brian turned that place around >> oh yeah he's amazing I learned a ton from him >> and what he turned it around where two places now because he turned around Chipotle he turned I thought what he did young was great >> yeah and I learned a ton from him think about what consuming it throughput and making Starbucks the third place. That's exactly what we're doing at Brinker right now and at Chili's like people want to get together. They don't want to spend a lot of money doing it. And Chili's can be a great place for them to do that. And us now that we have so much traffic coming in, our new thing is about how do we continue to reduce cycle time, get throughput through the box. And we're doing an amazing job. We keep getting ticket times are now at an all-time low. Guest experience is an all-time high. And we're going to continue to win as long as we continue to do those things. And you know, we had Cisco on this week and not the I had to tell you know the kind the networking this morning but the Cisco food they people are going out more than ever. I could not believe how the numbers are still going up. >> Yeah. You know this is postco people want to get back together. They want a place that they can >> they remember what happened because why is co still thought of? >> Sorry. >> Or they seem to remember what they want to just have more fun. What? Like what did co do that made it in people's minds that they've changed the way that they lead their lives? Well, you know, I think it was a thing that it made people, you know, kind of be concerned about going to diners. That is over, right? And we had some restaurants that bet on all digital. Let's take out the servers. Let's put in kiosk. And then we went the opposite direction. We said, let's hire more employees. When I started, we were at 50,000 plus employees. We're now at 85,000 plus employees because we put more labor and more people to serve the guests, whether it's busers, whether it's food runners, whether it's servers. And that's why people are having an amazing experience at Chili. So, you know, I'd say is some people went the opposite direction. Right. Let's take dollars out of the dynam. We went for it and it's worked out amazing. >> Well, we've had more than a triple since you've been on. I think it's not only that though, I like mine and I got a real good one off of 10. That's my jersey one. You'll see me there. I always wear a suit there. They always laugh about that. That's Kevin Hopy's president of Brinker International. >> Coming up. Worried about the movement in Cisco? Have no fear. Kramer is here to explain what's going on next. This morning, the stock of Cisco, the networking powerhouse, got blowned to smitherines. The action was just hideous and curious because after Cisco reported last night they the stock initially shot up 10 bucks in after hours trading going up to 134 and then it did this weird piouette last night and then traded all the way down to 113 as of today. Wowza. At first glance, it seemed like the company was doing well. But the stock's meltdown told you that maybe something had to be wrong with the quarter, right? In truth though, the problem was with the guidance, not the results, which were exposively positive in just about every line item. If you listen to our interview with CEO Chuck Robbins on the Squalton Street this morning, he actually told you what was going on. He said Cisco had a tremendous quarters and sporting incredible business in all sorts of huge contracts with the hyperscalers, multi-billion dollar orders and that regular networking business on fire. But it's now the beginning of his fiscal year and he likes to be conservative about any outlook at this point in the calendar. That's why the guidance seems soft even though the orders were strong. Close followers of good execs like Robins know that almost that's almost standard practice. They don't like to get aggressive at the beginning of the fiscal year and then let people down. Right now, Cisco has so much business that this was almost certainly low ball guidance. But the stocks decline today is sending the wrong signal to you. Luckily, it's given you a great buying opportunity. And I think Cisco's absolutely worth buying by >> as a play on artificial intelligence via networking within and among data centers. The stocks on sale not because of disappointing results, but because of a considered outlook. Keep in mind the market regularly gets things wrong during earning season. So much happening. Many times you'll have a completely a company report a terrific set of numbers but the stock still goes down. The temptation is to say I guess the company really isn't doing that well. But often the reality is that perhaps you should just be buying more. The vast majority of good CEOs simply don't want to overpromise. They greatly prefer to underpromise, give weaker guidance and then overd deliver, beating that guidance. Many decades ago, a very good consumer package, good CEO visited my hedge fun office. He wanted to talk business within the confines of what an executive could mention publicly within the bounds of the law. He told me that I shouldn't be upset when he gave cautious guidance at the beginning of the year because he was one of the best practitioners of UPOD in his entire segment. He said it would make things easier for the coming quarters and I would thank him for it. It may have been about my third year in the hedge fund business. So I nodded my head and said that sounded good, but what exactly was upupod and what did it stand for? He looked at me like I was indeed the dumbest person in the entire industry. And he said underpromise up and overd deliver. Okay, simple, right? That meant give lowball estimates that can be beaten. I was mortified. I understood it though it never explicitly was spelled out anymore. But the bottom lineup pod is still the way it goes under promise and overd deliver. When you see it like you saw it with Cisco today, don't run from it. You're likely to have an excellent start for a very good position. Let's go to Chuck in Michigan. Chuck >> Jim, thank you for taking my call and helping create financial stability for my family and making investing less confusing for so many of us out here. >> That's what I want. Doing some teaching, it's getting through. Thank you. Well, how can I help you? >> Your advice has helped me to diversify into many different names with confidence, but one has stood out as a big lagard in my portfolio this past year. After many years of gains, it's now down almost 10% year-to date and 25% in the past year and had a bad quarter its last after its last earnings miss on uh July 29th. >> Time to trim sell out or hold on to Meta. >> Okay, I think we're going to hold on to Meta. As I said in today's and I hope everybody goes and listens to the replay as I said in today's Thursday uh August the our club meeting I said you don't know one day Mark Zuckerberg could get up and say you know what we're going to become a cloud company and we're going to be able to monetize uh uh our our product that's a telco product and we're going to be able to say you know what we are now a far more diversified company um but right now WhatsApp doesn't make any money and they haven't done that. What happens if he does it? You'll regret selling it. Please hold on to Meta even when it's down 24%. Let's go to Tim in California. Tim, >> the radio ushered in the dawn of electronics. What's your thoughts on MSI? Motorola. >> All right. Motorola is a great company. They they got to come on. They've just been they've shut the lights out for so long that I I mean I think the stock has doubled. Uh but Motorola is just a very very good company. And I think I'm glad you brought it to my attention so I can holler. Please, please, Greg, come on. You know me, Greg Brown being a fantastic CEO. Um, okay. The sell off in Cisco is a classic case of upupot under promise and overd deliver. Don't be afraid. Embrace it. It could be a potential buying opportunity. Watch more money at Stanley Buck and Decker building a tour breakout or there's a couple screws loose. I'm Harry at home with the CEO. then think of joining the CBC Investing Club. I'm going to give you an inside look at the investing club's monthly meeting and answering some member questions that I didn't get to handle during the meeting that I just mentioned. And of course, all your calls rapid fire in tonight's edition of the lightning round. So stay with Kramer. All right. For the past few months, we've seen this kind of quiet run. The shares of Stanley Black & Decker. It's iconic toolmaker with a stock that's now get this more than 55% from it lows. Now normally you wouldn't expect this kind of move at a time when the housing markets that's called tepid which is better than what it really is. But it turns out business is pretty darn good for these guys. About two weeks ago steer reported a solid quarter inline sales large earnings beat the big chunk of the earnings came from a one-off tariff from I remember when it was the all the way. Even better management raised their fullear earnings forecast. While the quarter wasn't an immediate positive catalyst, Wall Street eventually came around and the stocks now up nearly 9% since then. Can he keep running? Let's dig deeper with Chris Nelson, the president co of Stanley Black & Decker to find out. Mr. Nelson, welcome back to Mad Money. >> Thank you very much, Jim. Great to be here. >> And I am so glad you're here because I think this is a new Stanley Black & Decker from we heard from the company last, the one that a lot of people want to invest in because it's the number one tool company in the world in terms of quality, but we're always worried that housing kept it down. But that's not the way it works anymore at your company. >> No, no. We've really in the past couple years put in a lot of work to transform the company and focus it on not only our core businesses of tools, fasteners, and power equipment, but on our core brands of DeWalt, Craftsman, and Stanley and really focus on that professional, the professional construction market. And we've seen a lot of tailwind uh from being able to focus on that professional. as you know, whether it be data centers or infrastructure, there's a lot of work going on right now and DeWalt, our biggest brand, plays right into that. So, we're really excited about what we see now. Now, >> I happen to bump into a person who's was a DeWalt salesman and he said, "Listen, I go to the job site." And I said, "No, they got to go to Home Depot, don't they?" And he said, "No, that's not the way it works anymore. This is a novel and brilliant idea." >> Yeah. So we um we've invested a lot um as we've gotten our balance sheet in great condition and we want to be in investing in growth growth growth growth. We've got great brands, great franchise, great innovation. We need to activate those brands and be where our clients are. So we have job site specialists who who are on those mega sites working handinhand with the general contractor understanding what tools they need, what training they need, bringing the resources that they need to coordinate all the activity. And we see great progress. Uh last quarter that channel which is our um industrial and commercial channel was up double digits and we see that continuing on. It's been a great initiative and it really plays to DeWalt's strength. >> Yeah, it really is great and people should understand DeWalt still is the gold standard in the world. >> Yes, it is. Uh DeWalt is uh it's like I said, it's our leading franchise. $7 billion worth of our sales and it has been growing above market through all of this and as we continue to invest in the brands, invest in innovation. We see an accelerated future and it's not it's we're not waiting for it. It's actually happening now. We had uh growth in Q2 grew at roughly 3% organically and all of our three core brands Stanley, Craftsman, and DeWalt all grew which was great to see. >> And our our viewers should know that Chris is not not waiting for 2027 to have it happen. and it's happening now. One of the things that had kept me from being, let's say, recommending the stock aggressively was I felt the dividend was at risk because the balance sheet wasn't that good. But you weren't uh content to have that happen either. >> No, we've taken some pretty bold steps in uh as I said focusing the company and part of that is portfolio work and uh we recently uh completed a transaction where we sold an aerospace asset, use the proceeds of that asset about 1 8 billion to pay down debt. Now our balance sheet is in tremendous shape and it gives us great optionality for us to invest in the innovation in the operations of the company and in the brands themselves and that's what's going to be driving the growth in the future. >> And it is important to point out that the leverage ratio improvement is really rather dramatic. It's not like we're sitting here thinking well wait a second they're giving you this great growth but that dividend's in danger. I I know dividends are up to boards, but when you look at your balance sheet, I don't think it's that much of a stretch for you to have that dividend. >> No, not at all. I mean, we've been very clear through the entire thing that we wanted to make sure that we absolutely uh protected the dividend got we we had committed to get to a 2 and a half debt to evid ratio by the end of the year. We're going to be there. That's a great ratio. Very comfortable being there in this cycle of the business. And that allows us to not only pay the dividend, but also importantly invest in that growth, invest in the organic growth that we see coming now and in the future. >> A lot of people felt that the tariffs would hurt you almost more than any other company. You were only able to reshore one company. That's no longer the case. If anything, the tariffs, it's a nice rebound. You got the cash back again. Worked in your shareholders favor. >> Yeah. So with the with tariffs, I mean, I think that uh it's been a great thing for us to work through as a company. We we were very proactive and said we wanted to make sure first and foremost we take care of the customer. Go to where the customer is, make sure that you have the products for them, and then we move the production. We we've been working for years to reshore much of our production. And by the end of this year, we'll be at uh roughly 5% of imports coming from China for the US. That's it. So it was accelerating that, getting that in case. Now, with the rebate that came through, that gave us a little bit more cash to once again, same theme, invest in growth, invest in our brands, invest in the future. >> And then if housing does come back, it's not like you've lost share at low at Lowe's or Home Depot. That's not happening. >> No, not at all. No, we we uh we're very happy with our partnerships with our key channel partners and we see a lot of opportunity for growth and as we continue to bring uh innovation is our lifeblood and for example you know our craftsman brand this year we will be launching uh more new products than we did since we acquired the brand any single year. So we're really ramping up the innovation machine as well. One of the things I had come from the old days of Black & Decker, you always had right about now you were starting to think about the tools that people would get for Christmas and every year they were different and every year I would get them for my kids because it was just cool to have. Of course, my wife used them because I don't know what I'm doing anything. Anything in mind in the hopper? >> Well, this year we're, you know, we just launched uh boy the our 12-in cutff saw with DeWalt. We have a new line of atomic um handheld uh uh very slim body grip uh grinders and cutters. We have new advanced batteries and and craftsman. We have a lot of neat stuff coming out and it's all really focused on making sure that we make the lives of our professional customers and our DIY more productive and safer. And if you do that, we will continue to grow. >> Now, and a billion dollar investment in what we're doing. >> Yeah. So uh we announced yesterday that we're going to be by 2028 investing a billion dollars in the US um not only in manufacturing but in the research and development uh in order to drive the innovation but also importantly uh we have a grow the trades program where as I've heard you talk about the skill >> that's why I talk about it even with people at m trying to do it Gina Pal McCormick and she's a hitter. Yeah. And actually with the data centers, if you go on the data center job sites, as I go there with the people on the job site, the thing that they say is in scarcest supply is electricians. >> Yes. >> So we need to make sure that we're investing in the trades people of the future. So we we're going to be investing $60 million uh by 2030 in education, tools, and training to bring more trades people to the environment because we're going to have about a million uh uh trades person gap if we don't change it. and we need all the trades people possible to unlock the trillions and trillions of dollars that you've talked about in and that are tied up when they come. >> Now, are those projects big enough to be able to impact the whole country? I mean, how do you feel about the country's economy here? >> Uh, I feel I feel like we're in good shape. I mean, we definitely see a high level of demand in in the professional and commercial uh structure. You know, I think that it's going to take a little while. As you said at the beginning, housing is tepid to say the least, but I would see that recovering at some point as well. But right now, I feel pretty good about the underlying demand. >> Well, I feel really good about Stanley Black & Decker. I was worried that you might just have to say, you know what, not until 2027 can we figure this out. But but but stick with us. That's not Stanley Black & Decker. >> Stanley Black & Decker is not a wait andsee story. We're we're uh we're very excited with what we've accomplished in Q2 and we're, you know, we were confident enough to raise and tighten our range on our EPS guidance. So, we're excited about the future and uh and the present. I wish I had never sold it for the charitable trust. I made a big mistake. I was waiting for housing to come back. That was wrong. That is Chris Nelson's president and chief executive officer of Stanley Black & Decker, which is what I always thought of one day when they put Craftsman together with Stanley and Black & Decker. Great job. >> Thank you very much. >> May's back yet. >> Coming up, he's the fastest mind on Wall Street. So, we're putting him to the test with your help. Bring on the lightning round next. It is time and then the lightning round is over. Are you ready? Go to Sharon in Florida. Sharon, >> hi Kramer. I want to say thank you. Thank you so much for making investing so much fun and lucrative. >> Oh, that's what I want. >> Yeah. And I have a question. Um, years ago I bought and and it in the red. I've held it in the red for years, but it they are in business and I was hoping they'd be bought or come back, but maybe I should either stick with it or just take off and move on. The stock is DXC Technologies. >> I regard DXC as a value trap. I just don't see that they have any real mo that they have anything proprietary. I'm sorry. Let's go to Jim in California. Jim, >> hello Kramer. This is Jim from Upland, California. >> In Ubiquiti. Um, I'm a shareholder in Ubiquiti. Stock ticker UI. This stock's been pretty rocky this year. What are your thoughts on this tech company? >> I don't know why Ubiquity is like that. And I'm going to have to huddle with Ben Sto and come back to you because I don't know what's driving that stock right now. Let's go to Sam in Massachusetts. Jam >> Jim, this is a company that I actually discovered on Mad Money when the CEO came on to talk about the drone technology. This is ADAV and I find it interesting given the secular increase in volatility geopolitically. So, what do you think about tell the truth? I didn't like the last acquisition. They did this acquisition with private equity, but more important, I think a lot of companies now in their drone business, it's gotten to be a very competitive business. Let's go to Brian in Pennsylvania. Brian, >> hey Jim, thanks for taking my call. >> Of course. What's up, >> Jim? My son has been following a stock that has over a 7% dividend yield and they've historically raised the dividend every quarter. >> Okay. >> The company has customer which is Chevron. Chevron happens to make up about 3.5% of my portfolio. So should I build a position in H midstream? I happen to like H Midstream. I happen to like the Midstreams, especially Hess. And by the way, Hess was bought by Chevron, which is why they had the relation with Chevron. I think you have a winner. Let's go to uh Eden in Florida. Eden, >> hey, good evening. Jim, it's Eden speaking. Uh I'm calling to see how what do you think about Zeta Global? >> Um okay, this is one of these cloud-driven platforms. There's so many of these. I don't know how to distinguish this from other stocks. So, I can't give you a considered opinion on it because there's just too many of them for me. I'm sorry. Let's go to Dakota in Michigan. Dakota. >> Hey, Booya. Jim. How you doing? >> I'm doing well. How about you? >> I'm doing well myself. >> I got the ticker S E N. >> Yeah, that's a biotech company. It It's I've got to tell you, here's the way I look at that. You absolutely I mean glucose monitoring. It's very competitive area with Dexcom with Abbott Labs. It's crowded, but it's a spec. If you want to speculate, then I bless it. Let's go to Pete in Delaware. Pete, >> hey Jim, thank you so much for taking my call. I appreciate it. Oh man, I think I thank you for calling. >> Thank you. Uh I wanted to get your opinion on a spot I've held since the IPO. Uh it's UL Solutions. Uh >> yeah, that's come down a lot. It's a very good company. This is un you know, everyone knows this company. It's the underwriter the underwriter labs. Well, part of it is part of that. It's got a very kind of difficult to understand uh structure, but it does very well. I don't know why the stock's going down because it's had a very good year. So, I think it's kind of interesting and might be a buy. Let's go to Mike in Connecticut, please. Mike. >> Hey, Jim. How you doing? >> Well, how are you, Mike? Good. >> I'm doing I'm doing great. My question for you, Jim, is will will Couping ever get back to a value above its IPO price. >> I I don't care for Couping one bit. Not Not here. Not now. I'd rather buy Marta Libre, but I first of course I'd like to buy Amazon, which I mentioned is one of the top five stocks this morning that I would buy at our club meeting. Don't forget to catch me at our annual club meeting and I think you'll have a great time. Tickets are whatever. Okay. What? Limited without Tickets are limited. I like that. Let's go to Jeff in Kentucky. Jeff, >> hi Jim. Longtime club member here. >> Oh, great. Thank you. Hope to see you at the club meeting. It's coming up November. Let's sign up and come in. >> All right. I watched all day today. >> Okay. Sure. >> Hey Jim, I'd just like to know what you think about of uh the company and the stock of Carpenter Technology. >> Cartekch, Philadelphia's best other than of course Amark, which is doing very well. I think Cartekch is a buy. I would buy the stock right here, right now. And that, ladies and gentlemen, is conclusion of the LIGHTNING ROUND. >> THE lightning round is sponsored by Charles Schwab. Coming up, did Kramer not get to your question at today's investing club meeting? Stick around because he's answering some more next. >> Booyah, Jim. Your integrity makes you the booyah saint of Wall Street. >> Booyah, Jimmy Chill. >> Booyah, Jimmy Chill. Booyah, Jim. Quadruple. That's a lot of booya. Earlier today, we held our investing club monthly meeting. That's where Jeff Marx and I get together to walk club members through our decision-making process for the entire portfolio. We discuss our current holdings and we take questions from our club members. Now look, that's my favorite part of the meetings and it's taking questions that really are pretty darn thoughtful. But since we never have time to get to all of them, I'm giving you an inside look right now at what happens at these monthly meetings while also dling out some muchneeded market advice. I think if you join the club, you're going to get some insights that you don't get from the show. All right. And there's no better time to become a member. Why? because tickets are officially on sale for our CMEC Investing Club annual meeting. That's going to be a Friday night, November 6 in New York City. This is your chance to see me and Jeff Marks in person. Uh we talk about the market. We talk about the f portfolio. You get a picture with me and Jeff. It's fun. And you know what? I I I have a good time. I think you will, too. Tickets are limited. We sure don't have as many as we did before the club meeting today. So, I wouldn't wait any longer. I just go sign up because I don't want to make it so like you didn't can't get in. Just scan this QR code behind me or go to the cbc.com/club meeting. Jeff and I intend to give you a terrific show. You can count on it. First up, we have a question from Mary Beth who asks, "Hey Jim, Caba Group started with so much potential. Currently, investor groups are are they're downgrading it to target price, but still they're keeping their buy. What's going on with management decisions?" Thank you. love you with David Faber in the morning and your mad money show. I do love Faber. Okay, here's the deal. Um this it's a little pricey. There's one $12 offering and most of them are more. And what's really selling right now that people won is the uh the places that kept the $11 pricing for the majority meal and that does not include the case of Cava. But the quarter itself was good and the stock did go up eight bucks. Next up, there's a question from Paul in Texas who asked, "Hey, Jim, can you tell me how we can learn to exit a position or take money off the table? I'm great at getting in and going up, but I tend to hold on to too much of the downside." Okay, then here for those who have that, I have a streak rule. If you have a problem like that, you take off when it's up 25%, you take off a little and then 50% you take off a little and 75% you take up a little. And by that point, you should be playing with the house's money. Do it like that and you'll never have a problem. Next up, a question from Robert, who asks, "I have 140 shares of Apple that makes up 25% of my portfolio." Is that uh much? It's too much to hold in one stock. What is the max number I should do? Look, I tend to not want more than 10 to 15% in one particular stock. But I have to tell you, I like Apple so much and I don't want you have to take a capital gain if you don't have to because capital gains are pretty heinous, even though we should pay. Next up, Brick in Florida asked, "Hi Jim, I am a longtime listener and club member." Thank you, buddy. You had the CEO of Recursion Pharmaceuticals, RXRX one, a while back. He told a good story. I bought it for the grandchildren as a spec. It's down tremendously. Stay or cut and run. I didn't like what he said. He told a good story and they they actually did an equity offering and the stuff has been a failure. So, you know what? I like I said, I wish he hadn't come on the show. I mean, how's that? I I'm an honest person. You know that. No, not supposed to say stuff like that, but I just said it. Next up, Richard is in Ohio and he asks, "I still cannot get a read on corweave. It has dropped considerably since I bought it. Any thoughts would be appreciated. It should be almost all the way back. It had a huge weak. I think the core weave is a great spec. I say spec because it's got a lot of see it blend all the way up over 100. It's got it's got a lot of debt on the balance sheet and people don't like that and it's not going to actually make money in traditional gap ways. So understand you're doing a spec, but the spec has had a big run. Now um Oh Dan, that's well I told you I like to have a lot of questions. I like to say there's always more mark somewhere and I promise I'd find it just for you right here on 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 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.