Jim Cramer Blog

Here are 7 trading ideas for today. These lists come directly from the TradingMarkets Stock Indicators page and are based upon our latest quantitative research.
Bullish
5+ Consecutive Down Days: These are stocks that have closed down for five or more consecutive days and are trading above their 200-day moving average. Our research shows that stocks trading above their 200-day moving average that close down for five or more days have shown positive returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.
Carnival (NYSE:CCL - News). CCL's PowerRating (for Traders) is 7.
5+ Consecutive Lower Lows: These are stocks that have made a lower low for five or more consecutive days and are trading above their 200-day moving average. Our research shows that stocks trading above their 200-day moving average that make lower lows for five or more days have shown positive returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.
Pharmaceutical HOLDRS (AMEX:PPH - News). PPH's PowerRating (for Traders) is 6.
2-Period RSI Below 2: These are stocks that have a 2-period RSI reading below 2 and are trading above their 200-day moving average. Our research shows that stocks trading above their 200-day moving with a 2-period RSI reading below 2 have shown positive returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.
L1 Identity Solutions (NYSE:ID - News). ID's PowerRating (for Traders) is 9.
Stocks Down 10% or More: These are stocks that have lost 10% or more over the past five days and are trading above their 200-day moving average. Our research shows that stocks trading above their 200-day moving average that have lost 10% or more over the past five days have shown positive returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.
Apogee Enterprises (NasdaqGS:APOG - News). APOG's PowerRating (for Traders) is 7.
Bearish
5+ Consecutive Up Days: These are stocks that have closed up for five or more consecutive days and are trading below their 200-day moving average. Our research shows that stocks trading below their 200-day moving average that close up for five or more days have shown negative returns, on average, 1-week later. Historically, these stocks have provided traders with a significant edge.
RCN Corporation (NasdaqGS:RCNI - News). RCNI's PowerRating (for Traders) is 1.
5+ Consecutive Higher Highs: These are stocks that have made a higher high for five or more consecutive days and are trading below their 200-day moving average. Our research shows that stocks trading below their 200-day moving average that make higher highs for five or more days have shown negative returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.
Campbell Soup (NYSE:CPB - News). CPB's PowerRating (for Traders) is 4.
Stocks Up 10% or More: These are stocks that have gained 10% or more over the past five days and are trading below their 200-day moving average. Our research shows that stocks trading below their 200-day moving average that have gained 10% or more over the past five days have shown negative returns, on average, 1-week later. Historically, these stocks have provided traders with a significant edge.
LJ International (NasdaqGM:JADE - News). JADE's PowerRating (for Traders) is 4.
Published By TradingMarkets.com

Labels: APOG, CCL, CPB, Hot Stocks, ID, JADE, PPH, RCNI

Good As Golden Star Resources (AMEX: GSS - News)
Cramer likes GSS as a way to play the CNBC Million Dollar Portfolio Challenge. The company operates in South America and Africa, and is therefore highly speculative, but has a large mine in Ghana, "an island of stability." The bears are worried about a sulfide-processing plant GSS is building in Ghana, but Cramer thinks investors should use this anxiety as an opportunity to buy. He predicts the announcement of a new plant, which will double production and lower costs, will be sooner than expected. With this news, analysts will raise their numbers and the stock will go higher. Cramer also believes GSS may be taken over, and he likes the sector, since gold is moving up. Cramer would not swap out of best-of-breed Yamana to buy GSS, but likes the price at $4.46, and urges investors to use limit orders when buying.
Laser King: Ionatron (NasdaqGM: IOTN), Palomar Medical Technologies (NasdaqGS: PMTI), Syneron Medical (NasdaqGS: ELOS), Cynosure (NasdaqGM: CYNO)
Cramer noted that last Friday's laser pick, IOTN has risen 17% since his recommendation, and he decided to choose a new "laser king." Cramer has liked PMTI in the past and declared ELOS the "czar of lasers" when he was discussing cosmetic laser procedures. Now CYNO wears the laser king crown, since it has doubled while ELOS hasn't moved. In addition, CYNO has 30% growth and is levered to the rest of the world. Cramer added he prefers "a performer that's pricey" to "an underperformer that's cheap." PMTI is Cramer's second-best pick, but is more costly than CYNO, and he likes ELOS, but doesn't see it going up in the near future.
Game Plan for the Coming Week: Fluor (NYSE: FLR - News), McDermott International (NYSE: MDR - News), Foster Wheeler (NasdaqGS: FWLT), CVS/Caremark (NYSE: CVS - News), Dynegy (NYSE: DYN - News), Nabors (NYSE: NBR - News), Halliburton (NYSE: HAL - News), Parker Drilling (NYSE: PKD - News), Forest Oil (NYSE: FST - News), L-1 Identity Solutions (NYSE: ID - News), Precision Castparts (NYSE: PCP - News), Six Flags (NYSE: SIX - News), Syntax-Brillan (NasdaqGM: BRLC)
Cramer suggesting looking at infrastructure, especially MDR, FLR, and FWLT which are "terrific" companies and which should benefit from high oil prices. He would establish half a position before their reports and half after, and would buy the stocks on any weakness. On Monday, he would also buy FST. Cramer praises CVS as having "valued itself even further into the health care heaven" with its cheap Caremark purchase, and would buy ahead of its Tuesday report, adding he also likes DYN. PKD, which also reports on Tuesday, may be bought by NBR or HAL which discussed expansion during their conference calls, Cramer commented. His Wednesday picks include ID, PCP and SIX. Since the LCD TV sector is improving, Cramer likes BRLC which reports on Thursday after the markets close.
CEO Interview: Nolan Archibald, Black and Decker (NYSE: BDK - News)
Nolan Archibald says BDK's report was strong because of the company's "great brands and innovative products" which thrive in down times. BDK is featuring new Dewalt brand products including concrete breakers, hammers and generators. Archibald added the company is going to continue buying back shares. Cramer commented BDK is "the real deal" and sees it rising from $92.36 to $100.
Published By SeekingAlpha

Labels: BDK, CVS, DYN, ELOS, FLR, FST, GSS, HAL, ID, Jim Cramer, Mad Money, MDR, NBR, PCP, PKD, PMTI, SIX

Bullish calls:
Palomar Medical Technologies (NasdaqGS: PMTI): 'I think PMTI should be bought. I want to wait to see what happens.'Joy Global (NasdaqGS: JOYG): 'Mining equipment is - I think - a growth area again, after many years ... I think JOYG is in a nice spot ... I think it's ridiculous that that stock's so low... buy buy buy!'Marvell Technology (NasdaqGS: MRVL): ' ... if you want a turnaround semi - and if you pay more than $18, I'm going to regret it - MRVL is the one that has the least down, and the most up. Swap out of LSI and into MRVLFord (NYSE: F - News): 'I like the management of F. I think they're really good. I don't like the common stock. The common stock's not as good as the convertible. I say swap out of the common, and get into the F convertible. And Mulally's doing a great job there.'Lundin Mining (AMEX: LMC - News): 'I think that LMC is the heir - it is the one that will be bought before any ... I want to back up the truck up at $10 on LMC.'L-1 Identity Solutions (NYSE: ID - News): I think that Bob LaPenta ... I genuinely believe that he is building a powerhouse. I do believe that - if he doesn't get the stock up through acquisitions - he will sell the company. Bob LaPenta is a bankable man, and I am sticking with him.'CarMax (NYSE: KMX - News): 'Let me tell you something. AN and KMX are both fabulous, fabulous stocks, and I want to own both of them ... I do believe that KMX has too far behind AN, and you should pull the trigger right now!'AutoNation (NYSE: AN - News)United Auto Group (NYSE: UAG - News)Asbury Automotive Group (NYSE: ABG - News)Service Corp (NYSE: SCI - News): ' I think that this company - which was in the early 2000s just a mess - has gotten its act back together. It's become, once again, a great growth company.'Level 3 Communications (NasdaqGS: LVLT): 'LVLT is just terrific here. It is going to be the bandwidth company of the future. I think that LVLT will either be acquired .... or go cash flow positive by the end of the year, and blow the numbers away in 2008. LVLT remains my favorite under-$7 stock on Mad Money.'Celgene (NasdaqGS: CELG)Lamson & Sessions (NYSE: LMS - News): 'I send you to LMS. Cheaper and better.'
Bearish calls:
LSI Logic (NYSE: LSI - News): 'No! Questionable. Not one of my favorite semis at all.' But if you want a turnaround semi - and if you pay more than $18, I'm going to regret it - MRVL* is the one that has the least down, and the most up. Swap out of LSI and into MRVLAdvanced Micro Devices (NYSE: AMD - News)Urban Outfitters (NasdaqGS: URBN): 'We've had a major turn in URBN. It has just moved all the way up from $18 to $26, and do you mind if I (ring the register) on that name. I think the run is overdone. I want to sell, sell, sell URBN.'Allos Therapeutics (NasdaqGM: ALTH): 'No. Too hard. Man, we've got CELG down so much. Why you fooling around with that lesser stuff.'Symmetricom (NasdaqGM: SYMM): 'No. Copper wiring. You want copper wiring, I send you to LMS. Cheaper and better.'

Published By SeekingApha

Labels: ABG, AMD, AN, F, ID, Jim Cramer, JOYG, KMX, Lightning Round, LMC, LSI, Mad Money, MRVL, PMTI, SCI, SYMM, UAG, URBN

Hercules Inc. (NYSE:HPC - News) said net income for the fourth quarter swung to a profit of $242.1 million, or $2.14 a share. In the same period last year, the company posted a net loss of $79.2 million, or 73 cents a share.
Shares of Hovnanian Enterprises (NYSE:HOV - News) gained after Banc of America Securities upgraded the stock to buy from neutral. Analyst Daniel Oppenheim cited improving buyer traffic in the company's core markets, solid cash flow which could be used for future acquisitions, its strategy of using options to control land, and attractive valuation. "We think Hovnanian was among the most conservative builders in the way that it assessed write-downs," the analyst wrote in a Thursday research note.
I2 Technologies (NasdaqGM:ITWO - News) shares rose after the Dallas-based provide of supply chain management software reported fourth-quarter net earnings applicable to common stockholders of $14.3 million, or 54 cents a share, down from $69.4 million, or $2.69 a share, in the year-ago period. Revenue fell to $79.6 million from $96.6 million. Analysts polled by Thomson Financial were expecting a per-share profit of 27 cents on revenue of $72.2 million. For 2007, the company expects earnings of 90 cents to $1.10 a share. Excluding stock option expense and contract revenue, I2 forecast earnings of $1.25 to $1.45 a share.
L-1 Identity Solutions (NYSE:ID - News) confirmed an outlook for earnings of 2 to 4 cents a share in the fourth quarter on revenue of between $75 million and $80 million. For the year, the Stamford, Conn., personal identity protection and security products provider said it expects earnings of 8 to 12 cents a share on revenue ranging from $330 million to $340 million.
Landstar System (NasdaqGS:LSTR - News) said its fourth-quarter net income fell 31% to $28.7 million, or 50 cents a share, from $41.8 million, or 70 cents a share, in the year-earlier period. The Jacksonville, Fla.-based transportation and logistics provider said accounting for stock-based compensation reduced its net income by 2 cents a share. Analysts polled by Thomson Financial forecast earnings, on average, of 47 cents a share and sales of $649 million. Landstar said its revenue fell 24% to $611.3 million.
Lehman Brothers (NYSE:LEH - News) increased its annual dividend by 25% to 60 cents a share from 48 cents a share. The dividend for the first quarter of 2007 is 15 cents a share, payable Feb. 21 to holders of record as of Feb. 12. Lehman Brothers also announced the continuation of its common stock repurchase program with up to 100 million shares of stock.
Magma Design Automation (NasdaqGM:LAVA - News) shares gained after the company received a favorable ruling in a patent dispute with Synopsys (NasdaqGS:SNPS - News) and IBM (NYSE:IBM - News). "We are extremely pleased with this ruling," said David Stanley, Magma corporate vice president, Corporate Affairs, in a statement. "It is a major step toward dismissal of infringement claims with regard to these two patents."
Monster Worldwide Inc. (NasdaqGS:MNST - News) disclosed selected financial targets for 2007, saying its ability to make a full forecast is hindered by legal fees and other potential costs associated with the inquiry into the company's stock-option practices. Among other things, revenue was pegged by management in a range of $330 million to $338 million for the first quarter and in a range of $1.36 billion to $1.41 billion for all of 2007. According to estimates compiled by Thomson Financial, analysts' average forecasts stand at $321 million and slightly more than $1.36 billion, respectively. The company also reported fourth-quarter net income of $39.1 million, or 30 cents a share, up from $36.1 million, or 28 cents, earned in the final three months of 2005. Quarterly revenue for the New York-based online employment clearinghouse reached $298.6 million from the prior year's $223.8 million. Earnings from continuing operations were 31 cents a share for the latest quarter, Monster Worldwide said. Analysts were looking for earnings of 33 cents a share on revenue of $296 million, according to estimates compiled by Thomson First Call.
Old Dominion Freight Line (NasdaqGS:ODFL - News) shares leapt after the Thomasville, N.C., motor carrier reported fourth-quarter earnings of $17.8 million, or 48 cents a share, up from a year-ago profit of $14.7 million, or 39 cents a share. Revenue rose 12% in the latest three months to $319.4 million from $285.2 million in the same period a year earlier. The performance was ahead of its outlook for a profit of 40 to 43 cents a share for the quarter.
ON Semiconductor (NasdaqGS:ONNN - News) shares jumped after the electronics chipmaker reported fourth-quarter profit quadrupled and surpassed Wall Street's targets. On Semi said fourth-quarter net income rose to $87.4 million, or 27 cents a share, compared with net income of $21.2 million, or 7 cents a share, a year ago. The latest quarter included an insurance settlement and real-estate sales, which added 3 cents a share. For the three months ended Dec. 31, sales rose 17% to $401.6 million from $341.8 million. Analysts polled by Thomson Financial had estimated On Semi would report sales of $395 million and earnings of 17 cents a share. The Phoenix-based company makes audio and power management chips used in mobile phones, cars and computers. Its biggest customer in the quarter was Motorola Inc., which represented 7% of total sales.
Oshkosh Truck Corp. (NYSE:OSK - News) said its JLG Industries unit was awarded a $102.2 million contract by the Army for the purchase of military telescopic material handlers.
Polo Ralph Lauren (NYSE:RL - News) was initiated with a market weight rating at Thomas Weisel Partners.
Pulte Homes Inc. (NYSE:PHM - News) reported a fourth-quarter net loss of $8.41 million, or 3 cents a share. During the same period a year ago, the company posted net earnings of $574.5 million, or $2.19 a share. The loss from continuing operations was $8.3 million, or 3 cents a share.
Sierra Wireless was upgraded to outperform from market perform at Piper Jaffray. The firm lifted its price target on the stock to $20 from $14.
Silgan Holdings Inc. (NasdaqGS:SLGN - News) said fourth-quarter net income rose, as revenue gained, to $20.8 million, or 55 cents a share, from $14 million, or 37 cents a share, during the same period in the prior year.
Snap-On Inc. (NYSE:SNA - News) reported better-than-expected earnings late Wednesday. It said fourth-quarter net income rose to $38 million, or 64 cents a share, up from $27.4 million, or 47 cents a share, in the year-ago period. Profit in the most recent quarter included 5 cents a share from lower income tax expense. The provider of tools and equipment for professionals said sales in the last three months of 2006 rose 16% to $656 million, helped by its November acquisition of ProQuest Business Solutions. Analysts polled by Thomson Financial had expected earnings of 51 cents on revenues of $610.7 million.
Starwood Hotels & Resorts Worldwide Inc. (NYSE:HOT - News) said its fourth-quarter net income rose 27.7% to $203 million, or 93 cents a share, from $159 million, or 70 cents a share a year earlier. Revenue for the period ending Dec. 31 rose 3.7% to $1.57 billion. Excluding special items, the firm said earnings from continuing operations rose to 92 cents a share from 71 cents a share. Analysts polled by Thomson Financial were expecting earnings of 73 cents a share on revenue of $1.58 billion. Starwood said growth was driven by an 11.4% rise in worldwide revenue per available room as well as growth in margins. Starwood also said it expects earnings per share for 2007 to be around $2.50.
Tollgrade Communications (NasdaqGS:TLGD - News) reported fourth-quarter non-GAAP earnings of 14 cents a share on revenue of $16.6 million, coming in at the high end of its previously disclosed outlook.
Valero Energy Corp. (NYSE:VLO - News) reported fourth-quarter earnings of $1.11 billion, or $1.80 a share, down from a year-ago profit of $1.35 billion, or $2.06 a share. The latest results include a pre-tax gain of $196 million, or 21 cent a share, related to an asset sale. Excluding items, the company earned $987 million, or $1.59 a share, in the latest quarter. Operating revenue fell in the latest three months to $19.79 billion from $25.89 billion in the same period a year earlier. The average estimate of analysts polled by Thomson First Call was for a profit of $1.37 a share in the December period.
VeriSign Inc. (NasdaqGS:VRSN - News) posted fourth-quarter total revenue of $412.6 million, compared with $389.1 million during the year-ago period. The company did not report full results due to the previously announced review of its historical stock option grants, which it said is now substantially completed.
Webex Communications (NasdaqGS:WEBX - News) said that fourth-quarter earnings rose 23% to $16.7 million, or 33 cents a share, from $13.6 million, or 28 cents a share, a year earlier. Excluding items, the Santa Clara, Calif., provider of Internet services said earnings rose to 42 cents a share from 30 cents a share. Analysts polled by Thomson Financial expected, on average, fourth-quarter earnings of 38 cents a share, excluding items, on revenue of $101.4 million. Revenue rose 22% to $101.9 million from $83.7 million in the year-ago period. The company expects first-quarter earnings of 29 cents to 31 cents a share on revenue of $105 million to $108 million.
Published By MarketWatch

Labels: HOT, HOV, HPC, IBM, ID, ITWO, LAVA, LEH, LSTR, MNST, ODFL, ONNN, OSK, PHM, RL, SLGN, SNA, SNPS, TLGD, VLO

Here's what Jim Cramer had to say about some of the stocks that callers offered up during the "Mad Money Lightning Round" Friday evening:
Build-A-Bear (BBW): "You, my friend ... you are right. Build-A-Bear has got the mojo going into Christmas."
"Manulife Financial (MFC) is best of breed."
Medarex (MEDX): "C'mon, you're preaching to the converted ... antibody-based therapeutics to fight cancer. Nothing wrong with that story."
JPMorgan Chase (JPM): "That stock is sleepwalking between 45 and 48. ... The yield's good ... I'd like to see you in Goldman Sachs." Cramer has Goldman in his Action Alerts PLUS charitable trust.
Federated Department Stores (FD): "I think the stock should have moved. ... I think Federated is going to deliver a good Christmas. It belongs up there with J.C. Penney (JCP) and Kohl's (KSS ). Pull the trigger. There should be great pin action with the department stores alone."
MasterCard (MA): "How long have I been telling people to back the truck* up on MasterCard? ... I'm sticking by MasterCard. I think it goes even higher."
Valero Energy (VLO): "You need to be concerned that that stock hasn't kept place with the other oils. Valero is a laggard. I want you in Chevron (CVX). ... Secondarily, if you're more of a risk-taker, go with Devon (DVN)."
Hain Celestial (HAIN) is the natural way to play Whole Foods (WFMI), which I no longer really like."
L-1 Identity (ID): "This is a very good homeland security company."
Cramer also was bearish on La-Z-Boy (LZB) and Bank of America (BAC),

Labels: BAC, BBW, CVX, DVN, FD, HAIN, ID, JCP, Jim Cramer, JPM, KSS, Lightning Round, LZB, MA, Mad Money, MEDX, MFC, VLO, WFMI