Steve Grasso said he’s staying out of H-P, even though it’s overdone to the sell side.
“I think most people in the name wish they were in Apple ,” he said. “I continue to buy Apple on dips.”
Pete Najarian said he thinks H-P could become even cheaper. “As an owner, I’m not very happy about this.”
Instead, he thinks Seagate Technology , with its 7 percent yield is interesting. But again, like the H-P story, he wonders if there could be any growth.
Zach Karabell thinks putting money in H-P is risky thanks to the company’s bad moral and collapsing businesses.
LOWE'S V. HOME DEPOT
Home improvement retailer Lowe’s announced plans to buy back $5 billion dollars of its own stock over the next few years. But the Fast traders didn’t think it was enough to give Lowe’s the boost it needed over Home Depot .
JJ Kinahan said while Lowe’s will get a temporary pop on the news, in the end it call comes down to product.
“I think that Home Depot has the better product and people prefer the store,” he said. “In the end, I would still rather have my money in Home Depot than Lowe’s.”
Pete Najarian pointed out that the two home improvement retailers are not identical companies. He likes the $5 billion share buyback at these levels, which gives him hope for Lowe’s.
“But I do think Home Depot outperforms,” he added.
TIME TO BUY FEDEX?
FedEx shares are down more than 24 percent over the past six weeks as investors worry about economic growth. But Tom Wadewitz, Transportation Analyst at JP Morgan, told the Fast traders Monday he thinks the selling may be overdone.
Wadewitz pointed out that FedEx is an economically sensitive name, so if you think we are heading into a sharp recession than it may a bit early to buy. But if you think the most likely scenario is that there will be slow or no growth outcome, than he thinks it is “attractive” and probably time to “nibble on this name.”
As for it competitor UPS , Wadewitz said it tends to be a bit more defensive than Fedex.
Pete Najarian said while FedEx’s numbers may get you a bit more excited about the company, he doesn’t think there is a hurry to get into any of these names.