Jim Cramer Blog

Symantec (SYMC): "Can't recommend it, frankly." Cramer said to swap out of Symantec and into Oracle (ORCL).
Reliance Steel (RS): "Everybody's decided that all the steel stocks have to be SoldSoldSold. ... What Cramer's telling you is to pull the trigger on this weakness after that great quarter. Pretty simple."
Hercules Offshore (HERO): "The reason that it's not kept pace with the group is that it's shallow drilling. ... I cannot get behind that one." Cramer recommended instead deepwater drillers Transocean (RIG) and GlobalSantaFe (GSF).
"Goldman Sachs (GS) is challenged not as a company. ... I'm staying pat with Goldman Sachs for Action Alerts PLUS, my charitable trust." For dividend-paying stocks, Cramer recommended the following: the dry-bulk carriers; Consolidated Edison (ED), for a conservative dividend play; Altria (MO), for more risk; and AT&T (T), on a pullback. He also owns Altria for Action Alerts PLUS.
Flotek Industries (FTK): "I think Flotek is one of the kind of stocks ... that fits into my RIG and GlobalSantaFe thesis. ... This group is so in bull market mode, it is taking up everything!"
Brookfield Asset Management (BAM): "People have been dissin' it," Cramer said, but it depends on your time frame. CEO J. Bruce Flatt "is a great, great investor, and BAM ... should be bought here. I think people dissin' BAM are gonna have to face the music."
AT&T (T): "Reports this week, and I'm not concerned about the quarter." Cramer said that with a buyback or a dividend boost, "this stock goes to $42." But otherwise, he said, it stays where it is. "It's just not that exciting."
Valmont Industries (VMI): "I have been talking about this bull market in lighting, and it's really working here." Cramer said Valmont is at the crux of the agriculture, industrial and infrastructure bull markets. "It's a winner. I would stick with Valmont."
Published By TheStreet.com

Labels: BAM, ED, FTK, GS, GSF, HERO, Jim Cramer, Lightning Round, Mad Money, MO, ORCL, RIG, RS, SYMC, T, VMI

Bullish calls:
EMC (NYSE: EMC - News)Wal-Mart (NYSE: WMT - News): 'How about taking a little bit of money out of Target and putting it into Wal-Mart?'Cisco Systems (NasdaqGS: CSCO - News): 'Move into the Cisco.'Acadia Pharmaceuticals (NasdaqGM: ACAD - News): 'Lots of ways to win. ... However, this group is under a cloud. ... You need to be patient, but I reiterate buy Acadia Pharma.'Omniture (NasdaqGM: OMTR - News): 'There is nothing like Omniture. It is the super-Nielsen of the Web. ... Stick with Omniture.'TOP Tankers (NasdaqGS: TOPT - News): 'All tanker stocks are hitting their 52-week highs. ... Yours doesn't pay the big dividend, but I'm not going to move away from that dry bulk group. It's really terrific.'Frontline (NYSE: FRO - News)Advanced Micro Devices (NYSE: AMD - News): 'I like semiconductors. ... Far be it from me to recommend selling any semiconductor stock.'Cal Dive International (NYSE: DVR - News): 'The perfect stock to own going into hurricane season. ... I like that stock, but people know I like the group.'Hercules Offshore (NasdaqGS: HERO - News): 'That symbol is HERO. It is my hero. ... As good as HERO is, I am still going to tell you that RIG, and Schlumberger are better.'Transocean (NYSE: RIG - News)Global Santa Fe (NYSE: GSF - News)Schlumberger (NYSE: SLB - News)Southern Copper (NYSE: PCU - News): 'It's a monster! It's on the move!'Freeport McMoRan Copper & Gold (NYSE: FCX - News)
Bearish calls:
Target (NYSE: TGT - News): ' ... 52-week high, took everybody by surprise, up $4. ... I think it's time to do a little schnitzel. ... How about taking a little bit of money out of Target and putting it into Wal-Mart?'Juniper Networks (NasdaqGS: JNPR - News): ' ... 52-week high. ... Swap out of the Juniper. Move into the Cisco.'XM Satellite Radio (NasdaqGS: XMSR - News): 'There's no way we can be in that. ... I'm going to give you a Don'tBuy.'Sirius Satellite Radio (NasdaqGS: SIRI - News)Diageo (NYSE: DEO - News): 'I think Diageo is just okay here.'
Published by SeekingAlpha

Labels: ACAD, AMD, CSCO, DVR, EMC, FCX, FRO, GSF, HERO, Jim Cramer, Lightning Round, OMTR, PCU, RIG, SLB, TOPT, WMT

Bullish Calls:
EMC (NYSE: EMC - News)Wal-Mart (NYSE: WMT - News): 'How about taking a little bit of money out of Target and putting it into Wal-Mart?'Cisco Systems (NasdaqGS: CSCO - News): 'Move into the Cisco.'Acadia Pharmaceuticals (NasdaqGM: ACAD - News): 'Lots of ways to win. ... However, this group is under a cloud. ... You need to be patient, but I reiterate buy Acadia Pharma.'Omniture (NasdaqGM: OMTR - News): 'There is nothing like Omniture. It is the super-Nielsen of the Web. ... Stick with Omniture.'TOP Tankers (NasdaqGS: TOPT - News): 'All tanker stocks are hitting their 52-week highs. ... Yours doesn't pay the big dividend, but I'm not going to move away from that dry bulk group. It's really terrific.'Frontline (NYSE: FRO - News)Advanced Micro Devices (NYSE: AMD - News): 'I like semiconductors. ... Far be it from me to recommend selling any semiconductor stock.'Cal Dive International (NYSE: DVR - News): 'The perfect stock to own going into hurricane season. ... I like that stock, but people know I like the group.'Hercules Offshore (NasdaqGS: HERO - News): 'That symbol is HERO. It is my hero. ... As good as HERO is, I am still going to tell you that RIG, and Schlumberger are better.'Transocean (NYSE: RIG - News)Global Santa Fe (NYSE: GSF - News)Schlumberger (NYSE: SLB - News)Southern Copper (NYSE: PCU - News): 'It's a monster! It's on the move!'Freeport McMoRan Copper & Gold (NYSE: FCX - News)
Bearish calls:
Target (NYSE: TGT - News): ' ... 52-week high, took everybody by surprise, up $4. ... I think it's time to do a little schnitzel. ... How about taking a little bit of money out of Target and putting it into Wal-Mart?'Juniper Networks (NasdaqGS: JNPR - News): ' ... 52-week high. ... Swap out of the Juniper. Move into the Cisco.'XM Satellite Radio (NasdaqGS: XMSR - News): 'There's no way we can be in that. ... I'm going to give you a Don'tBuy.'Sirius Satellite Radio (NasdaqGS: SIRI - News)Diageo (NYSE: DEO - News): 'I think Diageo is just okay here.'
Published By SeekingAlpha

Labels: ACAD, AMD, CSCO, DVR, EMC, FCX, FRO, GSF, HERO, Jim Cramer, JNPR, Lightning Round, Mad Money, OMTR, PCU, RIG, SLB, TOPT, WMT, XMSR

Stocks started the week on a positive note with all three major indexes posting gains of close to 1%. The move follows a down week last week as economic data indicated that, despite signs pointing to a slowing economy, inflation was not being held in check. Tomorrow, the Federal Reserve Open Market Committee begins its next policy meeting. While a rate change isn't expected when the meeting wraps up on Wednesday, investors are hoping the FOMC's policy statement will shed some light on which way it is leaning when it comes to adjusting interest rates later this year.
While economic data and policy statements are on the radar, both were absent today, leaving investors to find direction from a wave of M&A activity. U.S. investors also took a cue from a strong move higher in overseas markets, where recent weakness had helped contribute to uneasiness in the U.S. market. Concerns about the subprime mortgage crisis, meanwhile, remained on the sidelines for today at least, even as the National Association of Home Builders said its index of sales activity for new single-family housing fell to 36 from a reading of 39 in February, which itself was revised down from 40.
Leading the merger headlines were Barclays (NYSE: BCS - News) and ABN AMRO (NYSE: ABN - News) on reports that the two European banks could combine in a deal worth as much as $80 billion. ABN AMRO later confirmed that it is in exclusive talks with Barclays. Community Health Systems (NYSE: CYH - News), meanwhile, topped a private equity bid with a $5.1 billion offer for Triad Hospitals (NYSE: TRI - News) in a deal that would create the country's largest publicly traded hospital operator.
The mergers extended to the oil patch as well, where shallow-water driller Hercules Offshore (Nasdaq: HERO - News) announced its plans to buy oil and natural gas driller TODCO (NYSE: THE - News) for about $2.4 billion. The deal would create the world's fourth-largest fleet of shallow-water rigs. Based on Friday's closing prices, Hercules' offer represents a 28% premium. Elsewhere, utility and telecom infrastructure contractor Quanta Services (NYSE: PWR - News) made a $1.3 billion offer for InfraSource Services (NYSE: IFS - News), a 17% premium. The deal expands Quanta's reach both in terms of geography and services offered.
Today's M&A activity also included a pair of firms announcing plans to be taken private. ServiceMaster (NYSE: SVM - News), parent of Terminix pest control and a provider of housecleaning and landscaping services, was the target of a $4.5 billion bid led by private equity firm Clayton, Dubilier & Rice. Finally, shipping firm EGL (Nasdaq: EAGL - News) announced it has agreed to a management-led buyout worth $1.7 billion. The $38 per share bid eclipsed a prior offer by $2 per share. The stock ended up 6%.
The day's big loser was biotech AtheroGenics (Nasdaq: AGIX - News), which plunged -61% on news that its experimental pill to treat atherosclerosis -- a buildup of fat, cholesterol, and other substances in the inner lining of arteries -- failed to meet its target in a late-stage trial. AtheroGenics had partnered with AstraZeneca (NYSE: AZN - News) on the trial, but Zeneca will now have the opportunity to break off the partnership.
By the BullMarket.com Staff

Labels: ABN, AGIX, AZN, BCS, CYH, EAGL, HERO, IFS, PWR, SVM, THE, TRI

Stocks rose Monday as Wall Street joined overseas stock markets in riding a wave of merger news to bounce back from a losing week.
The buyout news, particularly the possibility of an enormous deal that would unite Dutch bank ABN Amro Holding NV with British bank Barclays PLC, propelled stocks higher as investors theorized that companies, since they're willing to cut new deals, remain upbeat about the economy.
The advance came at the start of an important week for economic data; reports will include the Chicago Federal Reserve's take on manufacturing in the Midwest. The market was also waiting for Tuesday's start of the U.S. Federal Reserve's two-day meeting on interest rates. While few expect the Fed will adjust short-term interest rates, investors will be looking for any change in the central bank's posture that could hint at where rates are headed in the coming months.

Labels: ABN, AGIX, BCS, HERO, SIGA, SVM

Agilysis Inc. (NasdaqGS:AGYS - News) said third-quarter earnings rose 32%, boosted by higher sales of server and storage hardware and software. The Boca Raton, Fla., computer-technology company reported third-quarter earnings of $20 million, or 64 cents a share, up from $15.2 million, or 49 cents a share, a year earlier.
Amkor Technology (NasdaqGS:AMKR - News) was upgraded to buy from neutral at American Technology Research.
Argonaut Group Inc. (NasdaqGS:AGII - News) reported fourth-quarter earnings of $31.4 million, or 92 cents a share, up from a year-ago profit of $25.4 million, or 76 cents a share. Total revenue rose 14.5% at the San Antonio specialty insurer in the three-month period to $243.1 million from $212.4 million in the same period a year earlier.
Asyst Technologies Inc. (NasdaqGM:ASYT - News) was upgraded to buy from neutral at American Technology Research.
Barnes & Noble (NYSE:BKS - News) was upgraded to overweight from neutral at Prudential Equity Group. The firm said the launch of the final Harry Potter book could be a catalyst to improve lackluster sales. "In addition, for each of the last three Harry Potter books, Barnes & Noble shares have performed nicely in the six months leading up to the release date," Prudential said. The broker added that, like other retailers, Barnes & Noble is offering steep discounts on the book, which is due to be released on July 21. "It seems fair to say, with these massive discounts, that none of these retailers will make any money on the book itself. Historically, however, the release has driven significant traffic into the bookstores," it said.
B/E Aerospace (NasdaqGS:BEAV - News) said its fourth-quarter net income fell to $21.7 million, or 28 cents a share, from $62.1 million, or 96 cents a share, in the year-earlier period. Analysts polled by Thomson Financial forecast earnings, on average, of 26 cents a share and sales of $299.1 million. The Wellington, Fla., maker of airplane seats and interiors said its sales in the three months ended Dec. 31 rose 44% to $321.6 million from $222.9 million. B/E Aerospace forecast 2007 earnings of $1.40 to $1.42 a share and sales of $1.4 billion. Its 2008 forecast is for $2 a share in earnings and its 2009 profit is forecast to grow 25%.
Cognizant Technology Solutions Corp. (NasdaqGS:CTSH - News) said fourth-quarter net income rose 21% to $69.5 million, or 46 cents a share, from $57.7 million, or 39 cents a share, a year ago. Excluding stock-based compensation expenses, the provider of information-technology services said Monday it earned 50 cents a share in the latest fourth quarter. Fourth-quarter revenue rose 65% to $424.4 million from $256.9 million. Analysts surveyed by Thomson Financial, on average, expected the Teaneck, N.J., company to earn 43 cents a share on revenue of $405.5 million for the latest fourth quarter.
Crocs Inc. (NasdaqGS:CROX - News) was upgraded to outperform from neutral at Robert W. Baird.
Deckers Outdoor (NasdaqGS:DECK - News) was upgraded to outperform from market perform at Piper Jaffray. The firm lifted its price target on the stock to $65 from $54.
Shares of Dell Inc. (NasdaqGS:DELL - News) rose after Credit Suisse upgraded the PC maker to outperform from neutral. Analyst Robert Semple said the upgrade was based on the belief that Dell will augment its technology with acquisitions, reduce its cost structure and possibly revise its distribution philosophy for certain products. Semple also thinks the company's core U.S. corporate market has bottomed out, and that the reward vs. risk profile in the shares is positive. He raised his stock price target to $28 from $25.
Hanover Compressor Co. (NYSE:HC - News) and Universal Compression Holdings Inc. (NYSE:UCO - News) said their boards have approved a merger that will create a combined company with a market capitalization of $3.8 billion. Under the terms of the deal, Hanover shareholders will receive 0.325 shares of the new company for each share they own, while Universal stockholders will receive 1 share for each of their shares. The companies said they anticipate that Hanover stockholders will initially own 53% of the new company. The companies added that the deal is expected to boost earnings for stockholders of both companies in 2008 and will achieve annualized pre-tax cost savings of around $50 million.
Hercules Offshore (NasdaqGS:HERO - News) said it returned to a fourth-quarter profit after not having tax expenses related to its initial public offering and on international demand for jackup rigs and liftboats. Fourth-quarter net income totaled $35.5 million, or $1.09 a share, while revenue rose to $114.7 million from $48.0 million.
Hewitt Associates Inc. (NYSE:HEW - News) reported fiscal first-quarter earnings of $30.1 million, or 27 cents a share, down from a year-ago profit of $31.5 million, or 29 cents a share. The latest results included a pre-tax severance charge of $16 million and $6 million in higher compensation expense, according to the Lincolnshire, Ill., provider of human resources outsourcing and consulting services. Reported net revenue rose 4% in the latest three months to $726.6 million from $701 million a year earlier. The average estimate of analysts polled by Thomson First Call was for a profit of 24 cents a share in the December period on revenue of $701 million. The company's board has approved the buyback of up to $750 million worth of its outstanding common shares over the next 24 months.
Hewlett-Packard Co. (NYSE:HPQ - News) said it plans to withdraw the listing of its stock from the Nasdaq Global Select Market to reduce costs of exchange listing fees and administrative burdens related to being listed in two exchanges. The Dow component also agreed to acquire Bristol Technnology, a private company that provides technology to monitor business transactions.
Humana Inc. (NYSE:HUM - News) said its fourth-quarter net profit more than doubled to $155 million, or 92 cents a share, from $61.8 million, or 37 cents a share. Revenue for the period rose 53.6% to $5.46 billion, helped by strong growth in Medicare membership. Analysts at Thomson Financial had forecast earnings of 88 cents a share on revenue of $5.74 billion. The firm also raised its earnings guidance for 2007 to a range of $4.00 to $4.20 a share, from its previous forecast of $3.90 to $4.10 a share.
Kindred Healthcare (NYSE:KND - News) was upgraded to buy from hold at Stifel Nicolaus.
KLA-Tencor Corp. (NasdaqGS:KLAC - News) reported fiscal second-quarter earnings of $90 million, or 44 cents a share, up from a year-ago profit of $76.6 million, or 38 cents a share. The latest results include pre-tax charges totaling $117 million from asset write-downs, acquisitions, net stock-based compensation and restatement activities. Revenue rose in the latest three months to $649.3 million from $487.7 million in the same period a year earlier. The average estimate of analysts polled by Thomson First Call was for a profit of 71 cents a share in the December period on revenue of $663.1 million.
Kulicke & Soffa Industries (NasdaqGM:KLIC - News) was upgraded to buy from neutral at American Technology Research.
Lear Corp. (NYSE:LEA - News) shares rallied after the automotive parts supplier said billionaire financier and top shareholder Carl Icahn has made an offer to buy all of the company's outstanding stock. The $36-a-share offer from Icahn represents a 3.8% premium over the stock's Friday closing price.
Published By MarketWatch

Labels: AGII, AGYS, AMKR, ASYT, BEAV, BKS, CROX, CTSH, DECK, DELL, HC, HERO, HEW, HPQ, HUM, KLAC, KLIC, KND, LEA, UCO

Bullish calls:
NYSE Group (NYSE: NYX - News): 'NYX is still my growth stock of the year.'Altria (NYSE: MO - News): ' ... that's my number 1 value stock of the year, and we've been making money in that name. 'Public Storage (NYSE: PSA - News): 'PSA is one of those incredible situations where I believe... this group's in bull market mode, and it is not about to stop, and I think PSA is two thumbs up, way up!'Tower Group (NASDAQ: TWGP - News): ' I like the insurance business. Obviously, a little expensive versus price to book, because it sells at like 4x book. But it's growth rate is equal to its P/E multiple.'Transocean (NYSE: RIG - News)GlobalSantaFe (NYSE: GSF - News)Wells Fargo (NYSE: WFC - News): 'WFC - best in show quarter.'JPMorgan (NYSE: JPM - News): 'I suggest you swap into JPM.' WFC - best in show quarterJ.C. Penney (NYSE: JCP - News): 'Let me just tell you to be in some JCP.'
Bearish calls:
General Motors (NYSE: GM - News): 'GM is in a holding pattern. It can't do anything until the numbers start getting better. Had they not lost Jerry York ... the stock would have gone to $40. Right now, it is strictly 'don't buy, don't buy...'Hertz Global (NYSE: HTZ - News): ' Take the money and run! I don't want to be there.'Intercontinental Exchange (NYSE: ICE - News): 'The ICE still does not melt... I do not understand why this stock is so strong, other than it trades oil... I still like NYX more. Don't buy, don't buy.'LoJack (NASDAQ: LOJN - News): 'They missed the quarter.'Del Monte Foods (NYSE: DLM - News): ' ... it has been historically a bad investment, and it's not going to change. That company is poorly run!'ON Semiconductor (NASDAQ: ONNN - News): 'No, no, no. Time to ring the register. That particular part of the tech bull market is on hold until August.'DivX (NASDAQ: DIVX - News): 'We recommended it at $18. It was a fabulous call. We pulled the trigger. When it got to $28, we said enough is enough. It's back to $21. I'm not going away from that.'King Pharmaceuticals (NYSE: KG - News): ' ... I have disliked KG for as long as this stock has been going down. I don't like the generics. I reiterate my sell on KG. 'Tata Motors (NYSE: TTM - News): 'I cannot in good conscience say that I am going to recommend that you buy it, but I am certainly, certainly going to tell you - if you own TTM - you can hold it, but you better do a little schnitzelling...'Hercules Offshore (NASDAQ: HERO - News): 'This is an example of the need to be selective. I want you to sell HERO. I don't like the U.S. offshore market.'The Bank of New York (NYSE: BK - News): ' I'm not a big fan of stocks that have already announced big deals.'Aeropostale (NYSE: ARO - News): 'No. I don't need that teen ghetto - it's too hard for me.'

Published By SeekingAlpha

Labels: BK, DIVX, DLM, GM, GSF, HERO, HTZ, ICE, JCP, JPM, KG, LOJN, MO, NYX, ONNN, PSA, RIG, TTM, TWGP, WFC