Jim Cramer Blog

AdvancersAircastle Ltd. (NYSE:AYR - News) agreed to acquire 38 aircraft from certain units of Guggenheim Aviation Investment Fund LP for about $1.595 billion. The company said it plans to finance the purchase with common equity and debt financing. It expects the aircraft to be bought in a series of closings between this month and February of 2009. It anticipates closing on the purchase of 28 of the 38 aircraft in 2007. Aircastle also said it's boosted the capacity of its senior secured warehouse facility to $1.25 billion and its senior secured revolving credit facility to $450 million.
A.O. Smith Corp. (NYSE:AOS - News), a manufacturer or water-heating equipment, said fourth-quarter net income rose 18% to $18.9 million, or 61 cents a share, from $16 million, or 52 cents a share, a year earlier, partly helped by lower tax costs. Earnings from continuing operations came in at 62 cents a share compared to 52 cents a share. Sales climbed 25% to $543.6 million. The company sees 2007 earnings in the range of $2.75 to $2.85 a share.
Arotech (NASDAQ:ARTX - News) shares rose after the company said its Simulation and Training unit recently received more than $2.8 million in contract awards for weapon simulation products.
Shares of AT&T (NYSE:T - News) edged higher after Merrill Lynch upgraded the telecommunications services company to buy from neutral, citing the belief that the revenue environment for the company, and the telecommunications industry in general, is improving, which should also boost valuations. Analyst David Janazzo raised his earnings estimate for 2007 to $2.65 a share from $2.60 and for 2008 to $3 a share from $2.89, and his average revenue per unit growth forecast for its Cingular wireless unit to 1% from zero.
Avalon Pharmaceuticals (NASDAQ:AVRX - News) said it's reached terms to raise about $10 million through a private placement. The company has agreed to sell three million common shares for $3.34 each to institutional investors.
Bebe Stores (NASDAQ:BEBE - News) was upgraded to outperform from neutral at Cowen & Co. The firm cited valuation for the move.
Career Education Corp. (NASDAQ:CECO - News) shares rose after the Hoffman Estates, Ill.-based company said it has been notified by the Department of Education that it has lifted restrictions imposed in June of 2005 that had "prevented the company from domestic acquisitions of schools and had restricted its ability to open additional domestic campuses." "We will be carefully and selectively evaluating other expansion opportunities and look forward to pursuing those opportunities in cooperation with the department," said Robert Dowdell, interim chairman and chief executive, in a statement.
Chelsea Therapeutics (NASDAQ:CHTP - News) said it's received orphan drug designation for Droxidopa, its candidate for the treatment of symptomatic neurogenic orthostatic hypotension in patients with primary autonomic failure, from the Food and Drug Administration. The company plans to conduct a phase III trial of Droxidopa in the U.S. and Europe in the second half of 2007.
E-Future Information Technology (NASDAQ:EFUT - News) shares jumped after the Beijing-based software company announced a new contract with Johnson & Johnson (NYSE:JNJ - News) to provide supply chain management software in China. Financial terms weren't disclosed.
ElkCorp (NYSE:ELK - News) said the Carlyle Group has lifted its tender offer to acquire the company to $42 per share in cash from a prior proposal of $40.50 per share. The parties have amended their merger agreement to reflect the higher tender offer, which began on Jan. 18 and will expire on Feb. 14. ElkCorp said the $42 per share offer is worth a total of roughly $1.1 billion, including the assumption of about $173 million in debt.
Futuremedia plc (NASDAQ:FMDAD - News) shares jumped after the company regained compliance with the listing requirements for the Nasdaq exchange.
Halliburton (NYSE:HAL - News) agreed to acquire Ultraline Services Corp. from Energy Services Corp. for $177 million. Halliburton, based in Houston, said Ultraline provides wireline services in Canada. The transaction is expected to close in the first quarter, subject to regulatory approvals.
Hanger Orthopedic (NYSE:HGR - News) shares leapt after the company was upgraded to overweight at Lehman Bros.
Hoku Scientific (NASDAQ:HOKU - News) shares soared after the company said its materials unit has signed a deal to pay up to 21 million euros to Graeber Engineering Consultants and MSA Appartus Construction for polysilicon reactors. Hoku said the deal is for the purchase and sale of hydrogen reduction reactors and hydrogenation reactors used in the production of polysilicon, and related engineering and installation services.
Hospira (NYSE:HSP - News) was upgraded to buy from neutral at Merrill Lynch.
IPG Photonics Corp. (NASDAQ:IPGP - News) rose as a number of analyst firms began coverage of the company. Lehman Bros. started with an equal-weight rating and a $25 price target, Needham & Co. began with a buy rating and a $30 price target, Merrill Lynch opened up with a buy rating and $32 price target, and Thomas Weisel Partners started its coverage at overweight.
Johnson Controls' (NYSE:JCI - News) shares got a lift after Banc of America Securities lifted its price target on the stock to $110 from $91.
Kohlberg Capital Corp. (NASDAQ:KCAP - News) was initiated with an overweight rating at Lehman Bros. The firm set a $20 price target on the stock. Stifel Nicolaus also started coverage of the company with a buy rating and a $19 price target.
Lodgian Inc. (AMEX:LGN - News) has hired Goldman Sachs and Genesis Capital LLC to explore "strategic alternatives" for the hotel company. Lodgian, Atlanta, manages a portfolio of 69 hotels in 28 states and Canada.
Novell (NASDAQ:NOVL - News) shares surged after the company was upgraded to buy from neutral at SunTrust Robinson Humphrey. Analyst Terry Tillman cited anticipated revenue growth for Novell stemming from the company's open-source software distribution agreement with Microsoft Corp. (NASDAQ:MSFT - News). Under that agreement, Microsoft is obligated to distribute coupons to corporate customers that can be used to acquire and run Novell's open-source software simultaneously with Microsoft products. Shares of Novell were up nearly 1% in early trading Monday.
Omni Energy Services Corp. (NASDAQ:OMNI - News) agreed to acquire BMJ Industrial Investments LLC and its Charles Holston Inc. subsidiary for $23 million, including $18 million in cash and $5 million in three-year, 5% convertible promissory notes, convertible at $9.24 per share. Carencro, La.-based Omni, a provider of drilling and environmental services to the oil and gas industry, expects the deal to have an "immediate positive impact" on its operations and profitability. For 2006, the businesses being acquired had revenue approaching $30 million, and pro forma earnings before interest, taxes, depreciation and amortization of more than $5 million, Omni said.
SigmaTel (NASDAQ:SGTL - News) shares rose after the Austin, Texas-based semiconductor company said its SGTV5800 TV audio chip has been adopted by Samsung Electronics . Samsung televisions with SigmaTel audio technology are expected to begin shipping during the first quarter of 2007. "We are thankful for our design win at Samsung; collaborating with the largest television manufacturer is a great opportunity for SigmaTel's TV audio product line," said Phil Pompa, SigmaTel's interim chief executive, in a statement.
SteelCloud (NASDAQ:SCLD - News) shares surged after the company received an order worth an estimated $500,000 from an undisclosed "major federal integrator." The company said the deal calls for it to provide servers for deployment in harsh industrial environments.
Swift Transportation (NASDAQ:SWFT - News) entered into a definitive merger agreement with an entity formed by Jerry Moyes, the company's largest shareholder, a current director, and former chairman of the board and CEO of Swift, to be acquired by Moyes and certain of his family members in an all-cash deal valued at approximately $2.74 billion, including the assumption of approximately $332 million of net debt.
Published by Michael Baron at MarketWatch

Labels: AOS, ARTX, AVRX, AYR, BEBE, CECO, CHTP, EFUT, ELK, FMDAD, HOKU, HSP, IPGP, JCI, JNJ, KCAP, MSFT, NOVL, T

Aircastle Ltd. (NYSE:AYR - News) agreed to acquire 38 aircraft from certain units of Guggenheim Aviation Investment Fund LP for about $1.595 billion. The company said it plans to finance the purchase with common equity and debt financing. It expects the aircraft to be bought in a series of closings between this month and February of 2009. It anticipates closing on the purchase of 28 of the 38 aircraft in 2007. Aircastle also said it's boosted the capacity of its senior secured warehouse facility to $1.25 billion and its senior secured revolving credit facility to $450 million.
A.O. Smith Corp. (NYSE:AOS - News), a manufacturer or water-heating equipment, said fourth-quarter net income rose 18% to $18.9 million, or 61 cents a share, from $16 million, or 52 cents a share, a year earlier, partly helped by lower tax costs. Earnings from continuing operations came in at 62 cents a share compared to 52 cents a share. Sales climbed 25% to $543.6 million. The company sees 2007 earnings in the range of $2.75 to $2.85 a share.
Arotech (NASDAQ:ARTX - News) shares rose after the company said its Simulation and Training unit recently received more than $2.8 million in contract awards for weapon simulation products.
Shares of AT&T (NYSE:T - News) edged higher after Merrill Lynch upgraded the telecommunications services company to buy from neutral, citing the belief that the revenue environment for the company, and the telecommunications industry in general, is improving, which should also boost valuations. Analyst David Janazzo raised his earnings estimate for 2007 to $2.65 a share from $2.60 and for 2008 to $3 a share from $2.89, and his average revenue per unit growth forecast for its Cingular wireless unit to 1% from zero.
Avalon Pharmaceuticals (NASDAQ:AVRX - News) said it's reached terms to raise about $10 million through a private placement. The company has agreed to sell three million common shares for $3.34 each to institutional investors.
Bebe Stores (NASDAQ:BEBE - News) was upgraded to outperform from neutral at Cowen & Co. The firm cited valuation for the move.
Career Education Corp. (NASDAQ:CECO - News) shares rose after the Hoffman Estates, Ill.-based company said it has been notified by the Department of Education that it has lifted restrictions imposed in June of 2005 that had "prevented the company from domestic acquisitions of schools and had restricted its ability to open additional domestic campuses." "We will be carefully and selectively evaluating other expansion opportunities and look forward to pursuing those opportunities in cooperation with the department," said Robert Dowdell, interim chairman and chief executive, in a statement.
Chelsea Therapeutics (NASDAQ:CHTP - News) said it's received orphan drug designation for Droxidopa, its candidate for the treatment of symptomatic neurogenic orthostatic hypotension in patients with primary autonomic failure, from the Food and Drug Administration. The company plans to conduct a phase III trial of Droxidopa in the U.S. and Europe in the second half of 2007.
E-Future Information Technology (NASDAQ:EFUT - News) shares jumped after the Beijing-based software company announced a new contract with Johnson & Johnson (NYSE:JNJ - News) to provide supply chain management software in China. Financial terms weren't disclosed.
ElkCorp (NYSE:ELK - News) said the Carlyle Group has lifted its tender offer to acquire the company to $42 per share in cash from a prior proposal of $40.50 per share. The parties have amended their merger agreement to reflect the higher tender offer, which began on Jan. 18 and will expire on Feb. 14. ElkCorp said the $42 per share offer is worth a total of roughly $1.1 billion, including the assumption of about $173 million in debt.
Futuremedia plc (NASDAQ:FMDAD - News) shares jumped after the company regained compliance with the listing requirements for the Nasdaq exchange.
Halliburton (NYSE:HAL - News) agreed to acquire Ultraline Services Corp. from Energy Services Corp. for $177 million. Halliburton, based in Houston, said Ultraline provides wireline services in Canada. The transaction is expected to close in the first quarter, subject to regulatory approvals.
Hanger Orthopedic (NYSE:HGR - News) shares leapt after the company was upgraded to overweight at Lehman Bros.
Hoku Scientific (NASDAQ:HOKU - News) shares soared after the company said its materials unit has signed a deal to pay up to 21 million euros to Graeber Engineering Consultants and MSA Appartus Construction for polysilicon reactors. Hoku said the deal is for the purchase and sale of hydrogen reduction reactors and hydrogenation reactors used in the production of polysilicon, and related engineering and installation services.
Hospira (NYSE:HSP - News) was upgraded to buy from neutral at Merrill Lynch.
IPG Photonics Corp. (NASDAQ:IPGP - News) rose as a number of analyst firms began coverage of the company. Lehman Bros. started with an equal-weight rating and a $25 price target, Needham & Co. began with a buy rating and a $30 price target, Merrill Lynch opened up with a buy rating and $32 price target, and Thomas Weisel Partners started its coverage at overweight.
Johnson Controls' (NYSE:JCI - News) shares got a lift after Banc of America Securities lifted its price target on the stock to $110 from $91.
Kohlberg Capital Corp. (NASDAQ:KCAP - News) was initiated with an overweight rating at Lehman Bros. The firm set a $20 price target on the stock. Stifel Nicolaus also started coverage of the company with a buy rating and a $19 price target.
Lodgian Inc. (AMEX:LGN - News) has hired Goldman Sachs and Genesis Capital LLC to explore "strategic alternatives" for the hotel company. Lodgian, Atlanta, manages a portfolio of 69 hotels in 28 states and Canada.
Novell (NASDAQ:NOVL - News) shares surged after the company was upgraded to buy from neutral at SunTrust Robinson Humphrey. Analyst Terry Tillman cited anticipated revenue growth for Novell stemming from the company's open-source software distribution agreement with Microsoft Corp. (NASDAQ:MSFT - News). Under that agreement, Microsoft is obligated to distribute coupons to corporate customers that can be used to acquire and run Novell's open-source software simultaneously with Microsoft products. Shares of Novell were up nearly 1% in early trading Monday.
Omni Energy Services Corp. (NASDAQ:OMNI - News) agreed to acquire BMJ Industrial Investments LLC and its Charles Holston Inc. subsidiary for $23 million, including $18 million in cash and $5 million in three-year, 5% convertible promissory notes, convertible at $9.24 per share. Carencro, La.-based Omni, a provider of drilling and environmental services to the oil and gas industry, expects the deal to have an "immediate positive impact" on its operations and profitability. For 2006, the businesses being acquired had revenue approaching $30 million, and pro forma earnings before interest, taxes, depreciation and amortization of more than $5 million, Omni said.
SigmaTel (NASDAQ:SGTL - News) shares rose after the Austin, Texas-based semiconductor company said its SGTV5800 TV audio chip has been adopted by Samsung Electronics . Samsung televisions with SigmaTel audio technology are expected to begin shipping during the first quarter of 2007. "We are thankful for our design win at Samsung; collaborating with the largest television manufacturer is a great opportunity for SigmaTel's TV audio product line," said Phil Pompa, SigmaTel's interim chief executive, in a statement.
SteelCloud (NASDAQ:SCLD - News) shares surged after the company received an order worth an estimated $500,000 from an undisclosed "major federal integrator." The company said the deal calls for it to provide servers for deployment in harsh industrial environments.
Swift Transportation (NASDAQ:SWFT - News) entered into a definitive merger agreement with an entity formed by Jerry Moyes, the company's largest shareholder, a current director, and former chairman of the board and CEO of Swift, to be acquired by Moyes and certain of his family members in an all-cash deal valued at approximately $2.74 billion, including the assumption of approximately $332 million of net debt.
Published By MarketWatch

Labels: AOS, ARTX, AVRX, AYR, BEBE, EFUT, ELK, FMDAD, HAL, HOKU, HSP, IPGP, JNJ, KCAP, LGN, MSFT, NOVL, OMNI, SCLD, SWFT

The stock of IPG Photonics Corp., which makes lasers based on optical fiber, Wednesday rose 55 percent from their offering price in first-day trading.
The shares were sold at $16.50 in the offering, and closed at $25.60 on the Nasdaq Stock Market.
The company sold 9 million shares above its expected $13.50 to $15.50 range, which was set by underwriters.
Based in Oxford, Mass., IPG's fiber lasers are used in everything from manufacturing to medical applications.
In some industries, fiber lasers are displacing traditional gas and crystal lasers, and they can be less expensive to operate.
In the first nine months of this year, the company's sales rose 63 percent to $101.1 million, and its net income nearly quadrupled to $12.6 million.
Like many high-tech products, fiber lasers face pricing pressure. Average selling prices have declined in the past and may decline more in the future as a result of competition and new product introductions, the company warned in its prospectus.

Labels: IPG Photonics Corp., IPGP

ABM Industries Inc. (NYSE:ABM - News) said fourth-quarter net income rose to $61.6 million, or $1.24 a share, from $8.43 million, or 17 cents a share, during the same period in the prior year. Quarterly revenue rose to $776.7 million from $658.7 million in the prior year. For fiscal 2007, the facility services contractor said it sees income from continuing operations of $1 to $1.05 per share, and earnings before items of $1.10 to $1.15 per share. Also, ABM's board raised the quarterly cash dividend 9% to 12 cents per share. The dividend is payable Feb. 5 to shareholders as of Jan. 12. The board has also authorized a buyback for up to two million ABM shares.
AmerisourceBergen Corp. (NYSE:ABC - News) backed its full-year 2007 profit forecast ahead of its annual investor meeting.
Amgen Inc. (NASDAQ:AMGN - News) said it has authorized the buyback of an additional $5 billion in shares. The Thousand Oaks, Calif.-based biotechnology company has $1.5 billion remaining under its previous stock repurchase authorization.
Apple Computer Inc. (NASDAQ:AAPL - News) shares rose after Morgan Stanley analyst Rebecca Runkle raised her price target on Apple's stock to $110 from $90. Runkle said new products in 2007 would add to Apple's revenue growth, and she also raised her 2007 earnings estimate for the company to $3.13 a share from $2.58.
Atlas Energy Resources (NYSE:ATN - News) shares rose in the company's initial public offering.
Atmel Corp. (NASDAQ:ATML - News) shares surged after the chipmaker said it plans to restructure its operations, which includes the sale of two factories in Europe and job cuts. "This is the restructuring announcement that investors have been patiently awaiting," wrote Wedbush Morgan analyst Craig Berger, who lifted his price target on Atmel shares to $8 and reiterated his buy rating. Atmel, in an announcement Tuesday evening, said the restructuring will slash costs by $70 million to $80 million in 2007. Approximately 1,300 employees will cut from its 8,000-person workforce worldwide. Atmel, of San Jose, Calif., makes microcontroller and radio-frequency chips used in cell phones, disk drives, car alarms, camcorders and other applications.
Buckle Inc. (NYSE:BKE - News) said its board has authorized a one-time cash dividend of $3 per share. The dividend is payable Jan. 2 to shareholders as of Dec. 22, according to the Kearney, Neb.-based retailer.
Celanese Corp. (NYSE:CE - News) said it is relocating strategic management of the company's Acetyls business to Shanghai, China, as early as spring 2007. The chemical company added that it expects to derive 45% to 55% of its earnings from Asia by 2010, compared with the current level of 30%. The company also said it expects 2007 adjusted earnings of $2.60 to $2.90 a share. That view surrounds the average analyst estimate compiled by Thomson First Call of $2.85 a share. The company also said it was reorganizing into three business groups -- advanced engineered materials, consumer and industrial specialties and acetyl intermediates -- as it moves to improve earnings and reach its target of adding $300 million to $350 million to EBITDA (earnings before interest, taxes, depreciation and amortization) growth by 2010. The company is also selling its oxo products and derivatives businesses to private equity firm Advent International for 480 million euro, or about $630 million.
CPI International (NASDAQ:CPII - News) shares rose after the Palo Alto, Calif.-based provider of microwave and radio frequency products late Tuesday reported fiscal fourth-quarter net earnings of $6.19 million, or 35 cents a share. In the same quarter last year, the company posted a net loss of $2.4 million, or 19 cents a share. Revenue rose to $82.6 million from $74.9 million. Analysts polled by Thomson First Call had forecast a per-share profit of 25 cents on revenue of $83.3 million. In fiscal 2007, CPI expects earnings of $1.24 to $1.30 a share on revenue of $350 million to $355 million.
Depomed (NASDAQ:DEPO - News) shares rose after the company said it's received a commitment for up to $30 million in common stock equity financing from Azimuth Opportunity Ltd.
Exact Sciences Corp. (NASDAQ:EXAS - News) shares leapt after the Marlborough, Mass.-based biotech company said a study of stool DNA testing found that the test demonstrated an 88% sensitivity for colorectal cancer, with equal detection across all stages, regardless of the cancer's location in the colon. The study was published online in the American Gastroenterological Association's journal, Clinical Gastroenterology and Hepatology. Exact Sciences has licensed certain of its technologies to Laboratory Corp. of America Holdings (NYSE:LH - News) for a stool-based DNA screening test.
Gander Mountain Co. (NASDAQ:GMTN - News) shares rose after the St. Paul, Minn.-based outdoor products retailer late Tuesday said David Pratt, its new chairman, has agreed to buy 5.7 million newly issued shares, for $8.77 each, for a total purchase price of $50 million. The company also said it plans to open more than a dozen new stores in fiscal 2007 and upgrade a number of existing stores.
Guidance Software Inc. (NASDAQ:GUID - News) shares surged in the company's initial public offering.
Health Net Inc. (NYSE:HNT - News) lifted its full-year 2007 earnings forecast above Wall Street's average expectation due to its share buyback program.
Home Depot (NYSE:HD - News) is taking its first steps into the China market with its acquisition of 12 home-improvement stores, the retailer said. Home Depot will buy the stores in six cities from Home Way, China's first home-improvement retailer.
IPG Photronics Corp. (NASDAQ:IPGP - News) shares leapt in the company's stock market debut.
Lumera Corp. (NASDAQ:LMRA - News) shares jumped after the Bothell, Wash.-based company reported "encouraging" results for its multi-band millimeter wave wireless bridge. Lumera said data rates from 2.5 Gbps to 10 Gbps were successfully tested and that the company expects the system will have the capacity to operate at a range of up to three miles per data link. "In the next 12 to 18 months, we will continue to improve the functionality of the system, optimize the design, and continue testing as we work to create a commercial ready product," said Dr. Raluca Dinu, director of Lumera's Electro-Optics business unit, in a statement.
Martek Biosciences (NASDAQ:MATK - News) said fourth-quarter net earnings dropped to $641,000, or 2 cents a share, compared with $4.89 million, or 15 cents a share, in the same period last year.
MEDecision Inc. (NASDAQ:MEDE - News) shares rose in the company's opening day of trading.
Midwest Air Group (AMEX:MEH - News) shares surged after AirTran Holdings Inc. (NYSE:AAI - News) unveiled an offer to buy Midwest for $290 million.
Pixelworks (NASDAQ:PXLW - News) said Allen Alley plans to resign from the president and chief executive officer positions, effective Dec. 31. Hans Olsen, currently an executive vice president and chief operating officer, will serve in both roles on an interim basis until a successor is named. The Tualatin, Ore., semiconductor maker has formed a search committee to fill the positions of president and CEO. Also, the company said it now expects revenue of $28 million to $30 million for the fourth quarter, a forecast that's within its previously disclosed outlook.
Progen Industries Ltd.'s (NASDAQ:PGLA - News) shares soared after the Australia-based pharmaceutical company announced positive preliminary results from its Phase II clinical trial of PI-88 for the treatment of patients with primary liver cancer following surgical resection of the tumor. The trial demonstrated that PI-88 increased time to tumor recurrence by 76%, the company said. "These results offer excellent support as we proceed to Phase III development, with the guidance of the FDA, as rapidly as possible," said Justus Homburg, Progen's chief executive, in a statement. Progen said it's preparing for a much larger Phase III trial of PI-88 for the treatment of liver cancer.
Tibco Software (NASDAQ:TIBX - News) shares gained after the Palo Alto, Calif., maker of business process software said it expects revenue of about $158 million for the fourth quarter, ahead of a prior projection for revenue of between $140 million and $144 million. The company expects earnings for the quarter to exceed its prior view by more than 2 cents a share.
UAL Corp. (NASDAQ:UAUA - News) and Continental Airlines (NYSE:CAL - News) are reportedly in talks about a possible merger, according to The Wall Street Journal and The New York Times.

Labels: AAI, AAPL, ABC, AMGN, BKE, CAL, EXAS, GMTN, GUID, HD, Hot Stocks, IPGP, LMRA, MEDE, MEH, PGLA, TIBX, UAUA

New IPOs on The Street: IPG Photonics (NASDAQ: IPGP - News), Guidance Software (NASDAQ: GUID - News) and Artes Medical (ARTE)
Since this is a busy week for IPOs, Cramer outlined some strategies for deciding which IPOs to buy and which to avoid. Investors should pay attention to the IPO's price, its "hotness," and to ask whether the company is desperate and if the stock should be "tossed back." He also said that it is important to have an idea of what price to sell the stock and to use limit orders when buying. Fiber laser manufacturer, IPG Photonics is expected to trade between $13.50 and $15.50. Cramer said it should come public for $11.50, but if it reaches the middle range, it will be more pricey than its competitors. However, he thinks the stock deserves to sell for a premium, and he likes the laser company which garners 60% of the market. Cramer comments that it has good growth potential and could be developed into a core holding. He suggests letting the stock calm down a little and to put the first limit order for this "cream of the crop" company between 10:30 a.m. and 11:30 a.m. Guidance, which sells digital investigation software to one-fifth of the Fortune 500 companies, is Cramer's "price is right" stock. He likes its high gross margins and the fact that it is a "pure play on digital forensics." However, it is not so "hot" because it has competition, but it is not a "desperation offering." Cramer would buy the stock anywhere up to $18 and definitely not above $20. Cramer says that Artes is " a triple sell to the third power" even though it has yet to go on sale, because it has no revenue and only one product, ArteFill, which seems like a great wrinkle treatment, but Artes can't get approval from the FDA for ArteFill as a permanent wrinkle solution and it allegedly can cause skin inflammation. "There's no room for Artes," Cramer said.
Mad Mail: Boston Scientific (NYSE: BSX - News), Capital Southwest Corp. (NASDAQ: CSWC - News), NightHawk Radiology Holdings (NASDAQ: NHWK - News)
When asked about Boston Scientific, Cramer called the stock "dead money" and said that he expected a jump that didn't happen. When asked why CSWC fell 20 points after the Heelys' IPO, Cramer said that people went crazy with the stock, and frenetic activity caused temporary instability, but he reassured investors that it will eventually go back up. Cramer also recommended staying in NHWK.

Labels: BSX, CSWC, GUID, IPGP, Jim Cramer, Mad Money, NHWK