'Fast Money' Recap: Apple Loses Its Luster

David Konrad, managing director of Keefe, Bruyette & Woods, said it would be smarter to "ring fence the bad assets and attract new capital into the industry."

Barry Ritholtz, equity research director for Fusion IQ, said the latest BofA bailout effort raises questions about the government's approach to the financial sector, especially the assumption that institutions like Citigroup (C Quote) are too big to fail.

Ritholtz said these financial institutions indeed may be too big to succeed because they are too unwieldy to manage and their risk-management is impossible. Instead, he said the government would be better off taking a more selective approach on whom it should rescue and whom it should not.

"They should spin off the viable assets to good hands and take what's bad and get rid of it," he said.

He said public anger is mounting over the lack of transparency and action of the federal government, as it has gone about doing things "on the fly" with "no strategy." He said the government needs to set up some objectives and metrics to evaluate performance of those on the receiving end of the bailout.

With the weak retail sales numbers in December, the panelists said they were shorting some stocks. Macke said he was trying to short Sears(SHLD Quote), while Seymour said he was shorting Sony(SNI Quote).

Meanwhile, Najarian said Whole Foods(WFMI Quote), "still trades at a premium to a lot of the competition."

In the final trades, Macke said he was buying Apple. Adami likes Testoro(TSO Quote). Seymour said to sell SPDR Gold Trust(GLD Quote) down to $72. Najarian said he liked ABB Limited(ABB Quote) as an infrastructure play.