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Wednesday, July 11, 2007

Jim Cramer's Mad Money Stock Recap July 10th

That 80s Show: ConocoPhillips (NYSE: COP - News), Energizer Holdings (NYSE: ENR - News)
Continuing the series his theory that stocks which reach $80 rise to $100 and then to $120 in a bull market, ConcoPhillips, Cramer's favorite integrated oil, was up to $84 on Tuesday, close to its 52-week high on the company's $15 billion buyback authorization. Although COP has jumped, Cramer says it is the kind of stock to buy high and sell higher. COP is an "anointed stock" which is down 3 points since the selloff, and will experience "smooth sailing" to $120. Energizer, just shy of $100 is headed to $120 because its iPod batteries will provide 46 more hours of playtime between charges, opined Cramer. In October, the company will introduce a charger that will revitalize "dead" iPod batteries. In addition, ENR is among the top 4 or 5 in share buybacks, and Cramer sees an ENR upgrade on the horizon.

Four Horsemen of Mining: CVRD (NYSE: RIO - News), BHP Billiton (NYSE: BHP - News), Rio Tinto (NYSE: RTP - News), Teck Cominco Ltd. (NYSE: TCK - News)
Cramer added TCK to his three wise men of metals: RIO, BHP and RTP to form the four horsemen of mining. In spite of TCK's smaller size, Cramer thinks it will perform as well as the others. Although its specialty is zinc which is not so hot, Cramer notes inventories of this essential metal which is used to make steel and batteries are dwindling. TCK is diversifying away from zinc and has made a bid for Auy Resources, an acquisition which will dramatically increase TCK's exposure to copper and to China, which consumes 30% of the tawny metal. Cramer adds, with the addition of Auy, TCK will be a great way to play China without the risk of owning a Chinese stock.

CEO Interview: Christopher Clement of Savient Pharmaceuticals (NasdaqGM: SVNT - News)
Christopher Clement discussed gout drug Puricase which in in Phase III of its trials before going to the FDA for approval. The drug is expected to launch in 2009, and Cramer calls Puricase "gigantic ... I think you stick with SVNT, and buy it down on any weakness."

Tears for Sears (NasdaqGS: SHLD - News)
Cramer remarked he was disappointed about SHLD's 17 point decline and added the company has to start selling real estate. However, he would hold it for at least another 18 months.

Published By SeekingAlpha

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