Jim Cramer Blog

Buy Deere (DE), Jim Cramer said on CNBC's "Stop Trading!" segment Tuesday.
Cramer pointed to the stock's continued rise as evidence that he's right. "You know why?" he said, "Because the fundamentals trump the analysts." He praised CEO Robert Lane for "making great inroads" with the company. Of sector rival Agco (AG), Cramer said, "I gotta tell you. I think Deere is coming for them. ... I like Deere and I like DuPont (DD)."
Cramer said he liked the stock market's performance today, "given the fact that consumer confidence's been bad." He said he's worried about big gains in Research In Motion (RIMM), a company he recommended on Monday's "Stop Trading!" segment.
"I still like Apple (AAPL), but I don't have a strong thesis on Apple other than I believe in the iPhone," Cramer said.
In the investment management space, Cramer was bearish on Fortress Investment Group (FIG) "I have Wes Edens in my hall of shame," Cramer said. "Everything they've touched has turned to stone. This is a castle in the sand."
Cramer also said he disapproved of Citigroup (C) CEO Vikram Pandit. "What's Pandit doing?" he asked. "Sometimes you've got to take bold action. ... The last four acquisitions that Chuckie Prince did, I would just unwind them."
Published By TheStreet.com

Labels: AAPL, AG, C, DD, DE, FIG, Jim Cramer, RIMM, Stop Trading

Stocks traded flat to mixed for much of the day after a closely watched gauge of U.S. manufacturing activity came in weaker than expected. Late buying helped to give a modest lift to the market as stocks closed fractionally higher. The 10-year Treasury note closed unchanged, while crude oil prices also nudged higher by a few pennies.

The Institute of Supply Management's manufacturing index declined in March to 50.9 from 52.3 in February. While a reading over 50 still indicates expansion in the factory sector, analysts were looking for a reading of 52. Investors were also concerned by a rise in the ISM's price index, since it indicates inflationary pressures.
Dealmaking again caught the attention of investors. Grabbing the headlines was the $29 billion deal for First Data (NYSE: FDC - News) by Kohlberg Kravis Roberts. KKR offered $34 a share for the payments processing company, which amounted to a 26% premium over Friday's closing prices. First Data added 20.6% on the news. Subscribers can read our analysis of the First Data buyout offer in today's issue.
In other M&A news, Global Imaging Systems (Nasdaq: GISX - News) shares surged 46.9% after Xerox (NYSE: XRX - News) signed a deal to buy the seller of office-imaging products and services for $1.46 billion. Tribune Co. (NYSE: TRB - News), meanwhile, agreed to be acquired by Chicago real estate mogul Sam Zell in a deal valued at $8.2 billion. The acquisition plan contains an employee ownership structure. Tribune said it will sell the Chicago Cubs baseball team at the end of the Major League baseball season to cut its debt. In February, Zell sold his firm, Equity Office Properties, to private equity firm Blackstone Group for $23 billion.
European-based recording giant EMI Group split with other music companies and agreed to offer its songs through the Apple (Nasdaq: AAPL - News) iTunes music store without copy protections. EMI's new offerings will cost $1.29 per song, or 30 cents more than copy-protected songs on iTunes, but users will be able to more easily share their purchases with friends. EMI's artists include the Rolling Stones, Coldplay, and Norah Jones. Excluded from the deal is music from The Beatles, which though distributed by EMI, remains under the control of the band's music holding company, Apple Corps Ltd.
In other news, shares of farm and construction equipment maker Deere (NYSE: DE - News) shed -3.8% on an analyst's downgrade. Stifel Nicolaus cut its rating for Deere to "hold" from "buy." Shares of competing equipment makers CNH Global (NYSE: CNH - News) and AGCO (NYSE: AG - News) were also lower in today's trading.
Shares of MT Bank (NYSE: MTB - News) slid -8.5% after the company said that trouble in its subprime residential mortgage segment will cut its expected Q1 income. As expected, the nation's most-troubled subprime lender, New Century Financial, today filed for bankruptcy protection and fired about half of its work force.

By the BullMarket.com Staff

Labels: AAPL, AG, CNH, DE, FDC, GISX, MTB, TRB, XRX

Agrium (NYSE: AGU - News), Agco (NYSE: AG - News), Deere (NYSE: DE - News) and Archer Daniels Midland (NYSE: ADM - News), Bunge (NYSE: BG - News), Monsanto (NYSE: MON - News), Landec (NasdaqGS: LNDC), DuPont (NYSE: DD - News), VeraSun (NYSE: VSE - News), Baker Hughes (NYSE: BHI - News), Transocean (NYSE: RIG - News)
The "new OPEC" is comprised of companies which are involved in corn production for ethanol, and Cramer says that names such as AGU, AG, DE, ADM, and have "tremendous visibility" which means "you can pile in and not have to sell." He predicts the visibility continuing until 2009 and 2010, since both Democrats and Republicans are interested in raising tariffs to keep ethanol out of other countries, but he feels that the agricultural sector may have problems with capacity. Cramer also likes BG, MON, LNDC, and DD which are "long-term winners," and, unlike VeraSun, do not actually produce ethanol. He says that BHI is a "poorly executed company that is taking down the whole group." Cramer says that RIG is making too much cash to be public, and is surprised that it has not received an offer from a private equity firm. He does not think RIG will suffer the same fate as BHI because "Transocean is not levered to the Gulf; it is levered to the rest of the world, and that's what's important."

Labels: ADM, AG, AGU, BG, BHI, DD, DE, Jim Cramer, LNDC, MON, RIG, VSE, Wall Street Confidential

Micron (NYSE: MU - News), Broadcom (NasdaqGS: BRCM), Marvell (NasdaqGS: MRVL): In spite of upgrades from JP Morgan and Deutsche Bank, Cramer would stay away from semiconductors and would not buy tech stocks until the second half of the year. He points to the fact that MU is down 3% and a 1.2% decline in the SOX index of chip stocks as evidence that investors should avoid the sector now. Although he might see the logic of buying Broadcom, given its fall, and Marvell, Cramer cautions that these are strictly long-term investments.
Chesapeake (NYSE: CHK - News), Marathon Oil (NYSE: MRO - News), Agco (NYSE: AG - News): Cramer says that CHK is "not my cup of tea" because management has "financed the heck out of it." He doesn't see CHK moving, but predicts that MRO is going up. Finally, on AG's rally, Cramer says that bullishness on ethanol can obscure AG's terrible fundamentals.
Published By SeekingAlpha

Labels: AG, CHK, Jim Cramer, Jim Cramer's Stop Trading, MRO, MRVL, MU

Cramer said glut talk from big memory chipmaker Micron (MU) points up the futility of trying to buy tech out of season. Cramer said it's unwise to buy tech stocks till the latter end of the year, because of the way Wall Street works. Thus he said he's not surprised to see Micron down 3% and the SOX index of chip stocks down 1.2% even in the wake of upgrades from JPMorgan and Deutsche Bank.
Cramer said he could "make a case" for buying Broadcom (BRCM), given how far the stock has fallen, and he owns Marvell (MRVL) for his charitable trust. But he said those plays are strictly long-term holdings, based on how poor results have been and the seemingly low risk that they can get any worse.
Cramer doesn't like gas driller Chesapeake (CHK), saying it's "not my cup of tea" because management has "financed the heck out of it." Cramer said while Chesapeake goes from $29 to $29 to $29, Marathon Oil (MRO) is moving ahead.
Cramer also said the rally in Agco (AG ) shows that the bull case on ethanol and agriculture can overcome even the most pathetic, quarter-missing fundamentals.
Published By TheStreet.com

Labels: AG, BRCM, CHK, Jim Cramer, Jim Cramer's Stop Trading, MRO, MRVL, MU

Here are 7 stocks for traders for Friday from TradingMarkets.com:
McAfee (NYSE:MFE - News) beat earnings on Thursday after the market closed, announcing $0.36 EPS over an expected $0.34 EPS. MFE's PowerRating is 6.
Andersons (NasdaqGS:ANDE - News) beat earnings on Thursday after the close, with $0.76 EPS over a consensus of $0.64 EPS. ANDE's PowerRating is 4.
AGCO Corporation (NYSE:AG - News) announces earnings on Friday before the market opens, with analysts expecting $0.32 EPS. AG's PowerRating is 3.
Alcatel-Lucent (NYSE:ALU - News) reports quarterly earnings Friday morning; watch for $0.22 EPS. ALU's PowerRating is 4.
Coventry Health Care (NYSE:CVH - News) is looking to announce $0.97 EPS on Friday before the market opens. CVH's PowerRating is 4.
When MasterCard (NYSE:MA - News) announces earnings Friday morning, look for $0.12 EPS. MA does not have a PowerRating because the stock has not traded for 200 days yet.
Analysts are watching for Weyerhauser (NYSE:WY - News) to report $0.75 EPS on Friday before the market opens. WY's PowerRating is 4.
PowerRatings are courtesy of PowerRatings.net

Labels: AG, ALU, ANDE, CVH, Hot Stocks, MA, MFE, WY

Stocks Ready to Surge: These are the stocks that today made new 10-day lows that are still in an uptrend as they are trading above their 200-day moving average. They are sorted in rank according to how over-extended they are vs. their 10-day moving average. For example, the top ranked stock is trading the furthest distance from its 10-day moving average on a percentage basis. Historically, these stocks on average have had larger than normal short-term upside reversals.
Applera Corp-Applied Biosystems (NYSE:ABI - News). ABI's PowerRating is 7.
Pullbacks from Highs: Most successful momentum-based traders and money managers like to buy strong stocks after they pull back. TradingMarkets.com uses a proprietary mathematical model to identify up to 30 (in weak or choppy markets there will be fewer) of the strongest stocks that have pulled back from recent highs. These stocks should be considered potential candidates to resume their longer-term uptrends.
Cross Country Healthcare (NASDAQ:CCRN - News). CCRN's PowerRating is 7.
Trading Where the Action Is: This list contains the most volatile stocks over the past 50 trading days. These stocks are only for the most aggressive traders who are willing to assume a high degree of risk in order to capture larger gains.
International Asset Holding (NASDAQ:IAAC - News). IAAC's PowerRating is 5.
Explosion List: An inherent feature of all markets is that periods of lower-than-normal volatility are usually followed by periods of higher volatility. These stocks are trading at one-third or less of their normal volatility and therefore have a high likelihood of exploding within the next few trading days.
Agco (NYSE:AG - News). AG's PowerRating is 3.
Stocks Ready to Drop: These are the stocks that today made new 10-day highs that are still in an downtrend as they are trading below their 200-day moving average. They are sorted in rank according to how over-extended they are vs. their 10-day moving average. For example, the top ranked stock is trading the furthest distance from its 10-day moving average on a percentage basis. Historically, these stocks on average have had larger than normal short-term downside reversals.
KB Home (NYSE:KBH - News). KBH's PowerRating is 3.
Pullbacks from Lows: Most successful momentum-based traders and money managers like to sell weak stocks after they pull back. TradingMarkets.com uses a proprietary mathematical model to identify up to 20 (in strong or choppy markets there will be fewer) weak stocks that have pulled back from recent lows. These stocks should be considered potential candidates to resume their longer-term downtrends.
Healthextras (NASDAQ:HLEX - News). HLEX's PowerRating is 2.
Short Windows Candidates: These are stocks which are in a strong downtrend, as determined by a proprietary trend filter and whose current bar has its low above the 4-day moving average. Historically, these stock on average have had a larger than normal short-term downside reversals. In order for us to have a sell signal, the 10-period ADX must be 30 or higher and the -DI must be greater than the +DI. Or we must have a 14-period -DI reading of above 30 (with no ADX reading required). "Single Windows" are the most common type of Windows. They are simply a single bar which has its low of the day above the 4-period moving average. You will enter if the stock trades below today's low.
Cummins, Inc (NYSE:CMI - News). CMI's PowerRating is 4.
PowerRatings are courtesy of PowerRatings.net
-Tradingmarkets.com

Labels: ABI, AG, CCRN, CMI, HLEX, IAAC, KBH