Fear of Big Sellers: Cramer & # 39; Mad Money & # 39; Recap (Wednesday 6/6/19)

Nothing lasts forever, Jim Cramer remembers his Mad Money viewers Wednesday. After a large market context, things have become too good, Cramer said, and large institutional investors are starting to lead the outputs. Cramer said the markets have begun to shift from FOMO, or "fear of missing out" to FOBS, or "fear of big sellers", as hedge funds are starting to sell to lock in their winnings.

Cramer remembered how he was in this difficult position at the beginning of the Gulf War in August 1990. His hedge fund had been long-standing oil, and after the conflict began, the oil prices slipped and he was able to lock in big gains. But as fear of a prolonged, prolonged war with Iraq, the market began to drift lower.

Cramer said he wanted to hold onto his favorite holdings, such as Home Depot (HD), but his partner, Karen Cramer, sold all of his posts while leaving the office to get a chat. Why? Because now that the simple money had been made, Karen wanted to get ahead of the rest of the sellers, who actually flooded the market shortly afterwards.

Cramer saw similar patterns today in semiconductors, skyscrapers and General Electric (GE), where big money executives have begun to clear their positions to lock in winnings before everyone else decides to do the same. Your only escape, he said, is with the FAANG stocks, which are immune to the war.

(FAANG is Cramer's Acronym for Facebook (FB), Amazon (AMZN), Apple (AAPL), Netflix (NFLX) and the Alphabet (GOOGL).)

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Executive Decision: Dollar Tree

For an Executive Decision segment, Cramer dealt with Gary Philbin, President and CEO of Dollar Tree (DLTR), who just reported revenue and revenue revenue. Shares of Dollar Tree are up 1[ads1]1% for the year.

Philbin explained that the renovations at their Family Dollar sites continue and they plan to renovate 1,000 locations this year. He said the keys to their success have focused on the basics, while injecting some Family Dollar "wow" and some Dollar Tree surprises to keep customers back. It's about the excitement of the hunt, he added, something that had been lacking in Family Dollar places.

When asked about China and tariffs, Philbin said they were continuing to deal with what the situation was at that time. He said some of the costs many affect the bottom line, but generally they remain committed to growing. They invest in their existing stores, build new ones and strengthen the balance by paying off debt.

Cramer remains a fan of Dollar Tree.

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Resolution: Bristol-Myers Squibb

In his second "Executive Decision" segment, Cramer sat down with Giovanni Caforio, chairman and CEO of Bristol-Myers Squibb (BMY), for to discuss the company's planned acquisition of Celgene (CELG) and the latest shareholder challenges against the deal.

Caforio said the deal, announced on January 3, would create No. 1 company in both oncology and cardiovascular medicine and would create value for Bristol shareholders from The combined company will introduce six new substances within the first 24 months.

Caforio added that 60% of Bristol's current sales are derived from products that have been introduced over the past five years and that older drugs are losing patent protection. It is crucial to have a strong product pipeline, and as a combined unit, they will have 20 drugs in phase one and two clinical studies, and they will be able to develop even more when they start working together .

Caforio concluded that this was not a defensive deal. They just look forward to the future.

Rebounding from Amazon Reports

Whenever it is rumored that Amazon wants to take a market share in an industry, the shares in that industry said Cramer told viewers. But every time that happens, it has been an opportunity to buy.

Last week, reports reported that Amazon again seems to expand into the grocery and beauty industry. Stocks like Kroger (KR) and Ulta Beauty (ULTA) immediately sank on the news, just to rebound shortly afterwards. Cramer reminded viewers that we've seen this before when Amazon bought Whole Foods and again when it was rumored to be taking on the auto parts business.

Shares in AutoZone (AZO) had fallen over 35% on these reports, Cramer remembered, so he recommended the shares back in October. But since these declines, the shares have risen 24%. Cramer said he still recommends the stock, which trades at only 15 times earnings.

Likewise, with Cisco Systems (CSCO), which was also exposed to Amazon rumors that proclaimed web services, developed its own networking equipment. Finally, these reports were fake, and Cisco was also a buy at the depressed levels.

Purchase of shares

In its "No-Huddle Offense" segment, Cramer said that this market still has a major positive advantage: share purchase.

Throughout the big fourth quarter, companies such as Home Depot, an Action Alerts PLUS company, bought big stocks. Home Depot bought NOK 4.5 billion in the fourth quarter alone. Overall, the company has reduced its shares from NOK 1.38 billion to NOK 1.12 billion, a reduction of 18%.

Other dealers have done the same, Cramer noted, including Target (TGT), which reduced its shares by 17% over the past five years, Kohls (KSS), Ross Stores (ROST) and Best Buy (BBY).

Buying items, Cramer concluded, and you will never bet on a company that buys what you sell. [19659007] Lightning Round

In Lightning Round, Cramer was bullish on Funko (FNKO), Amicus Therapeutics (FOLD) and FedEx (FDX).

Cramer was bearish on Turning Point Brands (TPB) and Sirius XM Radio (SIRI