The Word on Dell, CVS & More
DELL’s COSTLY DELAY:
The news: Dell (DELL) To Delay Year-End Result After Finding Accounting Errors
The word: Jeff Macke says this is a bad miss. Dell stock is already down 7% quarter-to-date. "I don’t want to buy this," Jeff says.
The news: Private Equity Firm Cerberus Agrees To Buy Bankrupt Auto Parts Maker Tower Automotive (TWRAQ) For $1B
The word: Guy Adami says that as a business it's horrible - but that doesn't necessarily mean the stock can't go higher.
WWE ON FAST MONEY:
The news: World Wrestling Entertainment (WWE) Rises 4% After CEO Vince McMahon Says On Fast Money That 1.5M Will Watch WrestleMania
The word: Jeff Macke points out that WrestleMania has been losing viewers for the last couple years. It averaged around 1 million in 2005 and a little less last year. Wrestling viewers generate "high gravity revenues," and much of that revenue goes straight to the company's bottom line. A million and a half viewers would be huge for WrestleMania and WWE stock.
CVS vs. WAG:
The news: Will CVS Pummel Walgreen With Pharmacy Manager Caremark Under Its Belt?
The word: Tim Strazzini liked Walgreen (WAG) last summer and he still likes it here, but he admits they are in a tight spot. Caremark said a while ago they were looking to be acquired then CVS (CVS) said it needed Caremark for growth and increased operating margins. If Walgreen wants to compete, Tim says, it needs to acquire either Medco (MHS) or Express Scripts (ESRX). Its stores are doing great - but the stock needs to catch up.
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On MAR 29, 2007, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders:
Macke Owns (SWY), Strazzini Owns (MO), (NBG), (SNDK), (STM) Bolling Owns (NYX), (ICE), Gold, Silver, Is Short Natural Gas
WWE Programs Air On SciFi And USA, Networks Of NBC Universal
NBC Universal Is The Parent Company Of CNBC