Jim Cramer Blog

Bullish Calls:
Mueller Water Products (NYSE: MWA - News): 'A very inexpensive stock. I remember when this thing was first spun off from Becker, the fertilizer company... It shouldn't be at $14. I have to buy that. That is a very consistent grower.'Schlumberger (NYSE: SLB - News): 'We've had a nice pullback here... I know that, if you own it, it doesn't feel nice... It's, at one point, a 10-point pullback ... I would pull the trigger on SLB ... Best quarter I have seen of the whole oil complex...'Costco (NasdaqGS: COST - News): 'Oh man, look at that... That was a 52-week high today ... I know why that hit a 52-week high... Because some of us are Gold Star members!'Goldcorp (NYSE: GG - News): 'why am I not backing away from gold? I think gold belongs in everyone's portfolio, so I am not saying anything bad about GG.'Yamana (NYSE: AUY - News): 'I know Yamana's been bad ... I'm sticking with AUY. It's a growth stock.'Apple (NasdaqGS: AAPL - News): 'I think that phone - despite the fact that everyone is blasting it - is a fantastic phone! I still like AAPL. I like the new Apple computers. I think AAPL's had its pullback, and is ready to rock again.'Dell (NasdaqGS: DELL - News)Hewlett-Packard (NYSE: HPQ - News)Green Mountain Coffee Roasters (NasdaqGS: GMCR - News): 'Now, up $4 bucks, I'm like reluctant to hit this (bull button), because then people t say he's just chasing momentum... But I've got to tell you, I think this is a pretty good stock...'Bankrate (NasdaqGS: RATE - News): 'That was unfairly knocked down this week. That was a clean quarter.'Cisco (NasdaqGS: CSCO - News): 'I think Cisco Systems is going to be a good quarter. At one point, that stock was down 50 cents today. I was surprised.'Microsoft (NasdaqGS: MSFT - News): ' I want to own MSFT, and I want to own tech... 'CV Therapeutics (NasdaqGM: CVTX - News): 'You found the gem. It's a little $8 buck stock. It's really down on its luck... I'd pull the trigger. I think you're right. I think there's value there.'
Bearish calls:
Movado Group (NYSE: MOV - News):'You know, there's been insider buying of MOV... I know that the last quarter was good. I felt personally burned by MOV... I cannot get behind MOV.'Taiwan Semiconductor Manufacturing (NYSE: TSM - News): 'TSM is a supplier. I want to buy the finished guys.'Infineon Technologies (NYSE: IFX - News) The Knot (NasdaqGM: KNOT - News): 'I've got some internet companies that are en feugo and KNOT is not one of them... '
Published By SeekingAlpha

Labels: AAPL, AUY, COST, CSCO, CVTX, DELL, GG, GMCR, HPQ, IFX, Jim Cramer, KNOT, Lightning Round, Mad Money, MOV, MSFT, MWA, RATE, SLB, TSM

AGL Resources (NYSE:ATG - News) reported fourth-quarter earnings of $47 million, or 60 cents a share, and said it expects a profit of $2.75 to $2.85 a share for fiscal 2007. The Atlanta-based energy services provider also said its board has approved an 11% hike in its annual dividend rate to $1.64 a share.
Alliant Techsystems (NYSE:ATK - News) reported third-quarter earnings rose 8.8% on 17% higher revenue. Earnings reached $51.2 million, or $1.53 a share, from $47.1 million, or $1.26, in the year-earlier period. Revenue rose to $900.3 million from $770 million. A survey of analysts by Thomson Financial produced consensus estimates of $1.32 a share on revenue of $844 million. ATK lifted its estimate of earnings for fiscal 2007 to $5.10 to $5.15 a share, from its previous estimate of $4.95 to $5.05. And it now estimates sales at $3.5 billion, up from an earlier estimate of more than $3.45 billion.
American Standard Cos. Inc. (NYSE:ASD - News) reported fourth-quarter earnings of $114.3 million, or 56 cents a share, up from a year-ago profit of $64.4 million, or 30 cents a share. On an adjusted basis, excluding certain items, the company earned $104.5 million, or 51 cents a share, in the latest quarter. Sales at the Piscataway, N.J., maker of air conditioning systems as well as bath and kitchen products rose to $2.7 billion in the three months ended Dec. 31 from $2.55 billion in the same period a year earlier. The average estimate of analysts polled by Thomson Financial was for a profit of 51 cents a share in the December period. Looking ahead, the company forecast adjusted earnings of $3.15 to $3.25 a share for fiscal 2007 on sales growth of about 8%. For the first quarter, it sees adjusted earnings of 48 to 52 cents a share with sales rising about 6%. Wall Street's current consensus estimate is for a profit of $3.08 a share for the year and 48 cents a share in the March period. The company also announced a restructuring plan calling for the separation of its three businesses.
Archer Daniels Midland (NYSE:ADM - News) said higher prices for the biofuel offset rising corn costs in its fiscal second quarter. Overall corn processing operating profits rose $99 million for the quarter to $335 million. "Increased starch, sweetener and ethanol selling prices contributed to the earnings improvement and were partially offset by increasing net corn costs," the company said. The Decatur, Ill.-based company also said fiscal second-quarter earnings rose to $441.3 million, or 67 cents a share, from $367.7 million, or 56 cents a share, a year earlier. Revenue for the quarter ending December increased 18% to $10.98 billion from last year's $9.3 billion. Analysts surveyed by Thomson Financial had been expecting earnings of 60 cents a share and revenue of $9.52 billion, on average.
Armor Holdings Inc. (NYSE:AH - News) said fourth-quarter net income rose to $37.8 million, or $1.02 a share, from $37.6 million, of $1.04 a share, during the same period in the prior year.
AstraZeneca (NYSE:AZN - News) announced plans to cut 3,000 jobs over the next three years. It will take $500 million in charges, of which $300 million will be in cash, the drugmaker said. The company also reported that its fourth-quarter profit before tax jumped 25% to $2.1 billion, after sales climbed 14% to $7.15 billion. The Anglo-Swedish pharmaceutical said sales of its top five growth products -- Nexium, Seroquel, Crestor, Arimidex and Symbicort -- rose 23% to $3.7 billion. It hikes its dividend 32% for the year to $1.72 a share and plans to buy back $4 billion in shares during 2007. AstraZeneca said 2007 earnings are seen in the range of $3.80 to $4.05 a share, excluding the impact of U.S. sales of Toprol XL and any productivity initiatives.
Brink's Co. (NYSE:BCO - News) reported fourth-quarter net income more than doubled due to earnings from discontinued operations. Fourth-quarter net reached $126.6 million, or $2.71 a share, from $47.7 million, or 83 cents, in the year-earlier period. Shares outstanding fell 19% to 46.7 million. Earnings from continuing operations were 71 cents a share against 11 cents as profit and revenue rose in both of Brink's operating units. Revenue rose 14% to $755.9 million from $663.1 million. A survey of analysts by Thomson Financial produced consensus estimates of 62 cents of profit on $723 million of revenue.
Carbo Ceramics (NYSE:CRR - News) reported fourth-quarter earnings of $15 million, or 61 cents a share, up from a year-ago profit of $10.4 million, or 43 cents a share. Revenue rose in the latest three months to $87 million from $63.6 million a year earlier.
Celgene (NasdaqGS:CELG - News) fourth-quarter earnings rose to $22.9 million, or 6 cents a share, from $3.93 million, or a cent a share, a year earlier. The company said adjusted earnings rose to $74.5 million, or 18 cents a share, from $10.2 million, or 3 cents a share. Analysts polled by Thomson Financial expected, on average, fourth-quarter earnings of 18 cents a share on revenue of $268.4 million. The Summit, N.J., pharmaceutical company said total revenue rose 84% to $275 million from $149.3 million in the year-ago period, helped by sales of Revlimid and Thalomid. Product sales rose to $251.9 million from $128.7 million.
Children's Place Retail Stores (NasdaqGS:PLCE - News) said it earned $38 million in the third quarter as sales rose 25% to $550.4 million, according to preliminary data. The figures may be revised as the company continues to work on a restatement of past results to correct the accounting for stock option grants. Same-store sales rose 14% in the quarter, the Secaucus, N.J. retailer said in a statement. Thomson Financial was looking for sales of $548.5 million. The company said it now expects net income of $45 to $48 million in the fourth quarter. For January, same-store sales are expected to decline at a mid-single digit rate at its Children's Place stores and rise at a pace in the mid-twenties at Disney stores. For fiscal 2007, the company is expecting earnings of $3.55 to $3.65 a share.
Christopher & Banks Corp. (NYSE:CBK - News) said it expects earnings of 7 to 8 cents a share for the fourth quarter, below Wall Street's consensus estimate for a profit of 14 cents a share. The Minneapolis-based women's clothing retailer said aggressive markdowns in the quarter led to lower average unit retails.
Clorox (NYSE:CLX - News) said its second-quarter earnings rose 16%, boosted by record sales of its Fresh Step cat litter, higher sales of Kingsford grilling products and increased shipments of home-care products in Mexico and Argentina.
Concur Technologies Inc. (NasdaqGM:CNQR - News) reported first-quarter net earnings of $993,000, or 2 cents a share, up 53% from $648,000, or 2 cents a share, during the year-ago period. There were 40.2 million shares outstanding during the quarter compared with 36.5 million a year ago.
Cutera (NasdaqGS:CUTR - News) shares rose after the Brisbane, Calif.-based company reported fourth-quarter net earnings of $7.12 million, or 50 cents a share, up from $5.81 million, or 41 cents a share, in the year-ago period. Excluding items, earnings came in at 55 cents a share. Revenue rose to $30.5 million from $24 million. Analysts polled by Thomson Financial were expecting earnings of 41 cents a share on revenue of $30.2 million. The company expects first-quarter earning of 21 cents a share, or 28 cents a share excluding items, on revenue of $26 million, and 2007 earnings of $1.30 a share, or $1.57 a share excluding items, on revenue of $126 million.
Dell (NasdaqGS:DELL - News) named company founder Michael Dell chief executive effective immediately, to replace Kevin Rollins. The Round Rock, Texas, computer company said Dell will retain his duties as chairman.
Eli Lilly (NYSE:LLY - News) was upgraded to overweight from neutral at Prudential Equity, which cited expectations for earnings growth of around 10% over the next four years as well as an attractive current valuation. "Due to low generic exposure and what we believe is an increasingly stable base business, we see Eli Lilly growing earnings at above average rates for the next several years," Prudential said.
Elizabeth Arden (NasdaqGS:RDEN - News) posted a fiscal second-quarter profit of $26.2 million, or 92 cents a share, as sales rose 18.8% to $410.8 million. Looking ahead, the New York-based beauty products provider lifted the lower end of its outlook for fiscal 2007 earnings to $1.15 to $1.20 a share from the prior projection of $1.10 to $1.20 a share.
Gilead Sciences Inc. (NasdaqGS:GILD - News) swung to a fourth-quarter loss of $1.67 billion, or $3.62 a share. In the same period the year before, the company posted net earnings of $281.6 million, or 59 cents a share.
Green Mountain Coffee (NasdaqGS:GMCR - News) shares jumped after the company reported first-quarter earnings of $2.4 million, or 30 cents a share, down from a year-ago profit of $3 million, or 38 cents a share. On a non-GAAP basis, the Waterbury, Vt.-based coffee provider earned $3.7 million, or 46 cents a share, in the latest quarter. Looking ahead, Green Mountain sees non-GAAP earnings of $2.11 to $2.17 a share in fiscal 2007.
Helmerich & Payne (NYSE:HP - News) reported first-quarter earnings of $110.8 million, or $1.06 a share, on operating revenue of $386.4 million. In the same period a year earlier, the company earned $50.8 million, or 48 cents a share, on revenue of $255.4 million. The latest results include a gain of 15 cents a share from the sale of portfolio securities, while last year's report reflects 2 cents a share in similar gains.
Published By MarketWatch

Labels: ADM, AH, ASD, ATG. ATK, AZN, BCO, CBK, CELG, CLX, CNQR, CRR, CUTR, DELL, GILD, GMCR, HP, LLY, PLCE, RDEN

I stopped out of my Diamonds Trust Series 1 ETF (AMEX: DIA - News) $122 puts at .55 (up 57%), DIA $123 puts for $1 (up 67%) and NASDAQ 100 Trust Shares ETF (NASDAQ: QQQQ - News) $44 puts at .70 (up 133%) on the upturn (as I was enthusiastic). But then, as I was left unprotected, I let myself get shaken out of a some calls on the turn down.
We finished up the week with a bang, and we've had a streak of good calls, but I don't delude myself that I am either Lou Gehrig or Joe DiMaggio, and you never know when your luck will turn, so I took a lot off the table into the weekend (and I was very spooked by the mornings whiplash move!):
American Express Company (NYSE: AXP - News) Jan $60s hit our price and seemed safe on the way up at $1.30.
Bank of America Corp. (NYSE: BAC - News) was a no-trade, opening too high.
Best Buy Co. Inc. (NYSE: BBY - News) Jan $52.50 was very tempting back at $3 today but I wasn't feeling that adventurous (we just sold them for $4.30 on Tues!). I regret not rebuying now since I went to one last night (Fri) and it was a zoo!
Boston Scientific Corp. (NYSE: BSX - News) Jan '08 $17.50s still aren't moving (still $2.50) but I'm considering additional positions at this price and selling the Jan $17.50s for .50 as an income producer as 20% a month is a pretty good income! I should probably just do it with the ones I have but I really think this thing's going to bounce back at this point -- which is what I'm sure the 83,000 January callers are thinking too...
We added the Chesapeake Energy Corp. (NYSE: CHK - News) Jan $32.50s for $1.05 (yes calls) as additional cover to protect profits over the weekend on our remaining oil puts.
I shorted more ConocoPhillips (NYSE: COP - News) out of principal with the Jan $70 puts at $1.85, but a big spike scared me into selling the $70 puts for .65 as a small cover.
DALRQ (Delta Air Lines) Jan '08 $2.50s jumped up a dime to .20 (up 300%) so I took half off the table. As I said at the beginning, these could end up worthless so effectively the remainder is a free ride with a year to play out.
eBay Inc. (NASDAQ: EBAY - News) Dec $32.50s were taken off the table at .45 (down 25%) as it looked too weak to keep after the Cramer pump and yesterday's drop were just not worth holding with expiration looming. We still have the Jans and a hopeful attitude!
Corning Inc. (NYSE: GLW - News) Feb $22.50s came in at .80 but if they can't break $21 I'm out quick!
I don't know why Green Mountain Coffee Roasters Inc. (NASDAQ: GMCR - News) went down all day, and I didn't stick around to find out -- so I gave up at $52 (up 25%).
It looks like I will get called away by those Google Inc. (NASDAQ: GOOG - News) $370s I sold for $40 with a just a 21% profit (the other guy has a triple!) 8-(
Intel Corp. (NASDAQ: INTC - News) finally came off the watch list as I said at 10:01 (with the stock at $20.61) "Watch out for INTC -- they can save the SOX by themselves with a .25 gain." I grabbed the Jan $22.50s for .25 and the stock did go up to $20.85 but pulled back to finish at $20.68.
Jos. A Bank Clothiers Inc. (NASDAQ: JOSB - News) served it's purpose (getting a discount on the Jan $30s) and we took out our July $30 caller for $4.50 (up .10) and sold the stock for $30.50 for a $1.11 total gain, so I'm applying the $1 credit (allowing for commissions) to the Jan $30 puts (that were all I ever wanted in the first place) to lower the basis to a very nice $1! I was thrilled to be able to take out of the Julys after earnings got away from me. It is very important to remember why you took a position (one of the reasons I first started keeping a blog!), as I said on Monday, "the options are outrageous and I refuse to pay for them -- so I'm going to let someone else buy them for me: I take the stock for $29.69, sell the ridiculous July $30s for $4.40 and buy the Jan $30s for $1.75." Mission Accomplished!
Eli Lilly & Co. (NYSE: LLY - News) Apr $55s came in at $2, hopefully we didn't jump the gun on this but they were $2.50 on Tuesday...
Yes, I'm a MOToholic (Motorola Inc. (NYSE: MOT - News))! I picked up the Jan $22.50s for .40, which they held despite a poor finish.
Microsoft Corp. (NASDAQ: MSFT - News) took a huge jump at 2:30, I think because there was a court decision cracking down on software fraud that should net them a healthy profit boost right when Vista is coming out. A huge buy was made at the close for $20.40 so we may need to get on the Mo train on Monday!
got scared out of Netease.com Inc. (NASDAQ: NTES - News) Mar $17.50s at $2.15 (up 16%) on the morning drop.
We focused on the Oil Service HOLDRs ETF (AMEX: OIH - News) $145 puts right out of the gate and picked them up on the turn at $1.20, stopped half out quickly at $1.55, reducing the remaining basis to a comfortable .85, and took them off the table at $1.20 ( up 41%). We went back in about 90 minutes later for $1.20 again (what the heck, it worked once) and I kept half at close to reduce the remaining basis to $1.
optionsXpress Holdings Inc. (NASDAQ: OXPS - News) Jan $30s pushed me out in the morning for .90 (down .10) but rebounded very nicely once I was gone!
Research In Motion Ltd. (NASDAQ: RIMM - News) bounced back up and triggered the sale of the other half of the Jan $130 puts for $9.80 for a $9 average sale and a $1 spread on the full trade!
Suncor Energy Inc. (NYSE: SU - News) $80 puts were picked up for $1.40 but I got out even (too many puts for safety). They finished at $1.70 for those who stayed in.
I was stopped out of Toyota Motor Corp. (NYSE: TM - News) Jan $120s at $2.55 (up 34%).
We decided a double was too much to risk on the Valero Energy Corp. (NYSE: VLO - News) $55 puts, exited at .90 (up 100%).
At 9:53 I said, "If this is the best XOM can do on an .80 rise in crude it may be time to sell those calls already!" I was right, but I held on to them for the protection over the weekend, which allowed me to hold puts through the dips.
I cannot believe I'm saying this (after 2 months of rolling and doubling) but I took the rest of the XOM $75 puts off the table at .65, up 141% (because we applied the profit from the first half to the basis on the remainder)! Remind me never to do that again -- way too stressful... Interestingly, despite the drop, my protective Apr $80s went up .20 to $2.45, as I said when we bought them, "I think these will be slow to fall (look how many die hard oil bulls there are)."
In summary, we closed 30 positions this week (including 12/1 because of the month roll) for an average gain of 70% on a low average hold of 6 days as we've taken a lot of day trades in this choppy market.
The only losers were EBAY, Las Vegas Sands Corp. (NYSE: LVS - News) and OXPS, and none of them hurt too bad, and we had 9 doubles out of our 27 winners.
Our open portfolio is in spectacular shape with 51 open positions that are already also up 70% after 17 days(average). This of course includes ridiculous gains by DALRQ (400%), MGM Mirage (NYSE: MGM - News) (631%) and Station Casinos Inc. (NYSE: STN - News) (1,375%), and eliminating those gains brings us down to 40%, but then I should eliminate my 3 wipeouts as well which would bring us back to a more realistic 45% -- but that's still pretty darn good!
-Phil Davis

Labels: AXP, BAC, BBY, BSX, CHK, COP, DIA, Ebay, GLW, GMCR, GOOG, INTC, JOSB, LLY, MOT, MSFT, QQQ, RIMM, stock options