The stock market continued to see wild
Victors of VolatilityApple ( AAPL) crushed Wall Street estimates by reporting a 67% jump in profits. If you ask Najarian, it's an amazing number and everything is working. He also mentioned that Morgan Stanley is now projecting a $225 price target for Apple. Najarian recommends looking for any pullback in Apple to get
Volatility VictimsTexas Instruments ( TXN) shares dip on the chipmaker's outlook that was below Wall Street estimates. Najarian hints that Texas Instruments isn't managed as well as Apple ( AAPL) and he would rather own Apple. Adami counsels investors to buy Intel ( INTC) off the TXN numbers. Crude oil and gold both fell 1% Monday as the dollar gained strength. Adami maintains that crude is overextended up here and the next move will be $8 to $10 down. He also predicts gold will fall, if the dollar continues to reverse higher. Najarian continues to like the oil service sector. (To beat volatility, try looking at this portfolio on Stockpickr.com: SEI U.S. Managed Volatility Fund.)
Merrill MurmursMerrill Lynch ( MER) is set to report earnings on Wednesday. CNBC's Charlie Gasparino joined the "Fast Money" crew to discuss his take on Merrill. Gasparino says people are expecting a $5 billion writedown for the third quarter. His sources are also telling him that this same sized writedown could happen for the fourth quarter. Insiders at Merrill tell him that some are calling for CEO Stan O'Neal's head. Even outside shareholders want him out. Macke tells investors not to bother buying this stock; no one knows where the bottom is. Gasparino is now giving O'Neal 8-to-1 odds of being removed as CEO.
Future for SanDiskSanDisk ( SNDK) co-founder, president and COO Sanjay Mehrotra joined the "Fast Money" crew to discuss his firm's prospects. Mehrotra says demand remains strong especially for the mobile-phone segment of the business. He sees continued growth for SanDisk in 2008 and higher profitability. Mehrotra refused to comment on speculation that the company could be bought out. Najarian doesn't like SanDisk shares on valuation, but he sees a takeover candidate at play here. Instead, Adami prefers it for a short-term trade.
Oil TradeHigher oil prices may actually cause BP ( BP) and Exxon ( XOM) to report a decline in profit for the first time in five years. Finerman wants to short tanker stocks like Teekay ( TK) because of declining tanker rates. Najarian agrees that shorting tanker stocks could be a good idea. Adami believes Exxon is going to miss on Nov. 1 and will trade to $86 by the end of the week.
Retail Earnings OutlookAmazon.com ( AMZN) is set to report earnings Tuesday after the bell. Macke loves the stock and thinks the company will blow out the earnings. Finerman prefers Target ( TGT) and Wal-Mart ( WMT), and she hopes they trade lower so that she can buy more for her hedge fund. Finerman thinks there is value in the right retail stocks at these levels. Adami is partial to United Parcel Services ( UPS) ahead of earnings for an online retail play. He explained that if Amazon is doing well, then UPS will benefit. (Another way to watch retailers is through this portfolio on Stockpickr.com, Retailers Tracking Comparison.)