This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

'Fast Money' Recap: Vulnerable Companies

NEW YORK (TheStreet) -- The S&P 500 slid 0.65% on Tuesday while the Russell 2000 fell 1.53%. 

On CNBC's "Fast Money" TV show, Dan Nathan, co-founder and editor of, pointed out how disappointing retail companies' results have been. These companies have a "mulligan" on first-quarter results because of the weather but will have to prove themselves down the stretch. 

Steve Grasso, director of institutional sales at Stuart Frankel, argued retailers do not typically have catalysts going into the summer, the slow time of the year. He added that U.S. GDP is unlikely to grow 4% in 2014.

Brian Kelly, founder of Brian Kelly Capital, pointed out the 18% slide in shares of Dick's Sporting Goods (DKS). He suggested that Cabela's (CAB) and Callaway Golf (ELY) are both vulnerable, based on negative comments from DKS management about its hunting and golfing categories. 

Must Read: 'Fast Money' Recap: Blame David Tepper

Guy Adami, managing director of, said Home Depot (HD) traded well on Tuesday after missing on top- and bottom-line estimates. However, he suggested leaving the stock alone until it breaks out over $80, or fades below $75 and moves lower.

Colin Gillis, senior technology analyst at BGC Financial, called Microsoft's (MSFT) new Surface 3 tablet a "nice device." He said if the company can sell a reasonable five million units per year, it should boost revenue by roughly 6%. He warned that the June quarter, which is usually quite good, could have some negatives in it due to the closing of its deal with Nokia (NOK) and lower sales. 

Nathan said shares of Microsoft could fall to the mid-$30s on an earnings miss, but will likely get support from the company's share buyback program. 

Grasso said it makes sense for Microsoft to release hardware products, which usually have lower margins, because it has such good margins in its cloud and software business. (CRM) beat on revenue and earnings expectations. Adami pointed out the company's solid booking numbers and margins but did not like that the stock has failed to rally off of the results. He suggested the price action may be a warning sign. 

Nathan called CRM a well-run company but he was a seller on its rich valuation and lack of significant earnings. Kelly said he is currently not a buyer of CRM or any other cloud stock. 

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $112.12 0.00%
FB $93.24 0.00%
GOOG $643.61 0.00%
TSLA $220.69 0.00%
YHOO $32.52 0.00%


Chart of I:DJI
DOW 17,084.49 +33.74 0.20%
S&P 500 2,014.89 +15.91 0.80%
NASDAQ 4,830.47 +19.6820 0.41%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs