Jim Cramer Blog

Bullish
Proctor and Gamble (PG), better play than Unilever in this sector.
ValueClick (VCLK), Cramer thinks that this stock is still a buy.
UPS (UPS), bullish on the stock over the long term despite the current slowdown in the economy.
Omniture (OMTR), Cramer is bullish on the stock, and thinks that it will get bought out in the next year.
Aecom (ACM), still a great infrastructure play and that it is still cheap.
KBR (KBR),
Foster Wheeler (FWLT),
Salesforce.com (CRM) - likes their product and their sales model
Oracle (ORCL).

Bearish
Taser (TASR) - it is time to cash out
Smith & Wesson (SWHC).

Labels: ACM, CRM, FWLT, Jim Cramer, KBR, Lightning Round, Mad Money Lightning Round, OMTR, ORCL, PG, VCLK

KBR Inc., the former Halliburton Co. subsidiary, said Thursday its net income rose 52 percent in the second quarter, lifted by the sale of its share of a British dockyard.
Earnings for the April-June period amounted to $140 million, or 83 cents a share, compared with net income of $92 million, or 68 cents a share, in the year-ago period.
Revenue was relatively flat at $2.15 billion in the most-recent period, versus $2.23 billion a year ago.
The military contractor and engineering/construction outfit, which split from Halliburton in April, said earnings from continuing operations in the second quarter were $50 million, or 30 cents a share, up from $4 million, or 3 cents a share, in the second quarter of 2006.
Analysts polled by Thomson Financial had forecast earnings of 28 cents a share on revenue of $2.33 billion. The Thomson Financial forecast typically excludes special items.

Labels: KBR, KBR Inc.

Here are 7 stocks for traders for Friday from TradingMarkets.com:
Crocs (NasdaqGS:CROX - News) beat earnings on Thursday afternoon, with $0.61 EPS compared to a consensus of $0.49 EPS. CROX's PowerRating is 4.
Chesapeake Energy (NYSE:CHK - News) beat earnings on Thursday afternoon, announcing $0.87 EPS over expectations of $0.78 EPS. CHK's PowerRating is 3.
Alliant Techsystems (NYSE:ATK - News) reports earnings on Friday before the bell; watch for $1.43 EPS. ATK's PowerRating is 5.
Eastman Kodak (NYSE:EK - News) should report -$0.02 EPS before the market opens on Friday. EK's PowerRating is 5.
When KBR Incorporated (NYSE:KBR - News) announces earnings before the bell tomorrow morning, watch for $0.23 EPS. KBR does not have a PowerRating due to its short trading history.
Analysts are watching for Public Service (NYSE:PEG - News) to report $1.15 EPS on Friday morning. PEG's PowerRating is 6.
Weyerhaeuser (NYSE:WY - News) should report $0.37 EPS when the company reports earnings tomorrow morning. WY's PowerRating is 6.
PowerRatings are courtesy of PowerRatings.net

Labels: ATK, CHK, EK, Hot Stocks, KBR, PEG, WY

At Your Laser: Ionatron (NasdaqGM: IOTN)
One stock Cramer likes for the CNBC Million Dollar Portfolio Challenge and even more for an actual speculative play is IOTN which produces lasers. The company makes both lethal and non-lethal lasers which are effective in locating and detonating explosive devices. The stock fell from $14 to $5 last May when it was passed up for a military contract, but IOTN has improved its technology to fit devices on existing vehicles, and Cramer predicts it will get the contract this time around and squeeze the shorts. He would do homework before buying the stock.

A Roll of the Dice: Penn National Gaming Inc. (NasdaqGS: PENN)
Next on Cramer's list of attractive takeover targets for private equity firms is PENN, a gaming company which is not among the most famous names, but gives "regular people all over the country the opportunity to foolishly flush their hard-earned money down the slots." The purchase of Harrah's is proof that private equity firms would consider a gaming play, and since PENN is smaller and cheaper, it would be easier to purchase. He predicts PEN will be taken over at a premium; "I think this one could make you over 30%, if you play your cards right," Cramer said.

Game Plan for the Coming Week: Vulcan Materials (NYSE: VMC - News), Avon (NYSE: AVP - News), Quest (NYSE: Q - News), Procter & Gamble (NYSE: PG - News), Medco Health (NYSE: MHS - News), Wyndham Hotels (NYSE: WYN - News), General Cable (NYSE: BGC - News), Chipotle Mexican Grill (NYSE: CMG - News), Buffalo Wild Wings (NasdaqGS: BWLD), Allergan (NYSE: AGN - News), Transocean (NYSE: RIG - News), Trinity Industries (NYSE: TRN - News), American Railcar (NasdaqGS: ARII), Celgene (NasdaqGS: CELG), Charter Communications (NasdaqGM: CHTR), Level 3 (NasdaqGS: LVLT), Anderson's (NasdaqGS: ANDE), Estee Lauder (NYSE: EL - News), KBR Inc. (NYSE: KBR - News)
Monday: Cramer said the best strategy for the coming week is to grab winners ahead of their reports, and added there are so many great names, it may be hard to choose. On Monday, he likes VMC, up 82% with room to run.
Tuesday: Cramer has freed AVP from permanent residence on his Sell Block segment and predicts AVP will hit a "homerun." The stock is up a little over a dollar and has great BRIC exposure. Although Quest has had a 43% gain, Cramer is still backing it, and anticipates the announcement of a buyback or a dividend increase. He thinks PG will join the ranks of Pepsi and Coke thanks to its international success. MHS is "a member of the pantheon of consistency if there ever was one," since it is leveraged to drugs going generic and off patent. Cramer likes WYN as a baby boomer play and expects rosy numbers. After the bell, GC is a pick Cramer believes will go higher, although it has had a recent run-up. Concerning CMG and BWLD, he said, "I praise these stocks endlessly and correctly. I'm not stopping now."
Wednesday: Although Allergan is up 23% and "everyone is freaking out about competition," Cramer is not worried. He still likes RIG, but since it has risen 11%, Cramer would wait for it to come in a bit. He is also bullish on rail stocks TRN and ARII.
Thursday: Cramer says CELG has been "perking along" up from under $55 in February to over $61 now and predicts it will rally. He would sell CHTR before the quarter and buy it back. He reiterated his bullishness on LVLT and noted its strong organic growth and improved balance sheet. Cramer is looking forward to witnessing a short squeeze when ANDE reports; "We're going into ethanol harvest season. What are these people thinking? Go long, not short." He also likes EL as "the quintessential weak-dollar play."
Friday: Cramer suggests viewers invest in KBR "the only overlooked infrastructure play left on Earth," and says KBR will follow other giants in the sector, which have rallied.
Mad Mail, Cummins Engine (NYSE: CMI - News): Cramer congratulates those viewers who heeded his call to buy CMI and made some money; "We really nailed that one," he said.
Published By SeekingAlpha

Labels: AGN, AVP, BGC, CMI, EL, IOTN, Jim Cramer, KBR, Mad Money, MHS, PENN, PG, Q, RIG, TRN, VMC, WYN

Halliburton said Tuesday that the response to its offer to exchange its shares for those of KBR was so overwhelming, it would be able to accept only about 40 percent of the tendered Halliburton stock.
The offer, which expired at midnight Monday, is part of Halliburton Co.'s ongoing bid to separate itself from KBR Inc., the U.S. military contractor and engineering/construction outfit.
Halliburton said nearly 211 million shares have been tendered since March 2 as part of its offer to exchange one share of Halliburton stock for 1.5905 shares of KBR stock. Halliburton had offered to accept about 85.3 million shares.
The oilfield services company said it will accept only a portion of the tendered shares on a prorated basis.
Halliburton stockholders who tendered their shares by delivering a notice of guarantee to exchange agent Mellon Investors Services LLC must deliver the shares and required documents to Mellon by 5 p.m. EDT Thursday.
Shares of Halliburton rose 46 cents to $32.73 in early afternoon trading on the New York Stock Exchange. They've traded in a range of $26.33 to $41.99 in the past year. KBR shares were up 22 cents to $20.91, also on the NYSE. They've traded in a range of $19.66 to $27.63 since their debut in November.

Labels: HAL, KBR

Here are 7 options to watch for today. This list comes directly from the TradingMarkets Options Indicators page. The list is created using OptionVue options analysis software.
Most Under Priced Calls: These are the most under priced calls of all stocks in our database. While the Equities Explosion List finds groups of calls for individual equities that are under priced, this list finds the most under priced individual calls. Thus, the options listed here will tend to be more severely under priced.
iShares MSCI Emerging Markets Index Apr 120 Calls (AMEX:EEM - News). EEM's PowerRating is 5.
Most Under Priced Puts: These are the most under priced puts of all stocks in our database. While the Equities Explosion List finds groups of puts for individual equities that are under priced, this list finds the most under priced individual puts. Thus, the options listed here will tend to be more severely under priced.
Baidu.com Apr 95 Calls (NasdaqGM:BIDU - News). BIDU's PowerRating is 2.
Most Overpriced Calls: These are the most overpriced calls of all stocks in our database. While the Equities Implosion List finds groups of calls for individual equities that are overpriced, this list finds the most overpriced individual calls. Thus, the options listed here will tend to be more severely overpriced.
Sandisk May 47.5 Calls (NasdaqGS:SNDK - News). SNDK's PowerRating is 3.
Most Overpriced Puts: These are the most overpriced puts of all stocks in our database. While the Equities Implosion List finds groups of puts for individual equities that are overpriced, this list finds the most overpriced individual puts. Thus, the options listed here will tend to be more severely overpriced.
Google Apr 420 Puts (NasdaqGS:GOOG - News). GOOG's PowerRating is 5.
Stocks with Abnormal Call Volume: These are stocks which showed unusual call option volume not easily explained by arbitrage operations. The appearance of a stock on the Call Volume Alerts list suggests a possible takeover, extraordinarily good earnings report, or other news which may favorably affect the stock.
None today.
Stocks with Abnormal Put Volume: These are stocks which showed unusual put option volume not easily explained by arbitrage operations. The appearance of a stock on the Put Volume Alerts list suggests an extraordinarily negative earnings report, or other news which may negatively affect the stock.
None today.
Abnormal Put/Call $ Volume: These stocks have the highest dollar put volume in relation to their call volume. These high ratios are indicative of extreme bearish sentiment in the underlying stock. FedEx (NYSE:FDX - News). FDX's PowerRating is 5. Starbucks Corp. (NasdaqGS:SBUX - News). SBUX's PowerRating is 4. KBR Inc. (NYSE:KBR - News). KBR's PowerRating is not available due to less than 200 days of trading history.
PowerRatings are courtesy of TradingMarkets.com

Labels: BIDU, EEM, FDX, GOOG, KBR, SBUX, SNDK, stock options

Oil is Well: BP (NYSE: BP - News), Exxon Mobil (NYSE: XOM - News), ConocoPhillips (NYSE: COP - News), Chevron (NYSE: CVX - News), Schlumberger (NYSE: SLB - News), National Oilwell Varco (NYSE: NOV - News), GlobalSantaFe (NYSE: GSF - News), Halliburton (NYSE: HAL - News), KBR (NYSE: KBR - News) and Transocean (NYSE: RIG - News)
Cramer sees buying opportunity in the oil sector because market players are "not looking at the right things" but are instead paying attention to weather and inventory numbers. "Base your decisions on how its customers are doing," urged Cramer, saying earnings are not a good indicator right now, and the only major integrated oil he is recommending is BP, based on its yield rather than its earnings. "The only safe and profitable place to be" is drilling, commented Cramer, and he cited a XOM statement that it had been too conservative with oil production and said he expects to hear the same thing from COP and CVX. Cramer would buy deepwater drillers ahead of analyst meetings, picked only five worth owning in 2007 and ranked them in descending order.
5. Schlumberger: an undervalued stock4. National Oilwell Varco: The only company that develops rigs that dig deeply enough. NOV has "years of backlog" which should keep estimates up.3. Global Santa Fe: has an aggressive buyback2. Halliburton: Although many do not like the company's move to Dubai, Cramer feels it is a necessary strategy to gain back market share from SLB. He predicts HAL will "jump up fast" on a tender offer because of its KBR spinoff. He would hold HAL after the spinoff.1. Transocean: "How can you not own a rig stock that's called RIG?" Cramer said of his number one oil-drilling pick, and added that day rates are "skyrocketing," RIG is a good takeover or merger target, and since options expiration is coming up, "this stock is going to end at $75 at the end of the week," which Cramer feels is a good entry point. On Monday, RIG was sitting at $76.62. Hansen Medical (NasdaqGM: HNSN), Intuitive Surgical (NasdaqGS: ISRG) and Stereotaxis (NasdaqGM: STXS)
Hansen Medical could be "the next Intuitive Surgical," a stock which has risen 1, 124 %since its IPO in 2000, says Cramer, and he says subpharma is the place to be since it is immune from subprime problems. HNSN makes robotic catheters that are easy to maneuver, has a "big target market," and although its machine hasn't been approved yet, Cramer believes it will be approved first in Europe and then in America by the end of the year. Although the company is losing money "hand over fist" and does not yet have any revenues, Cramer would buy the stock, albeit with tight limit orders and only after doing homework. Although HNSN does not quite have a monopoly, its machine is cheaper than that of its sole rival STXS.
Mad Mail: Altria (NYSE: MO - News) and Celgene (NasdaqGS: CELG)
Cramer suggested owning the regular Altria stock instead of the new MO-issued shares, but told investors to wait until he did a segment on the stock. He urged an investor who sold CELG to buy it back.
Published by SeekingAlpha

Labels: BP, COP, CVX, GSF, HAL, Jim Cramer, KBR, Mad Money, MO, NOV, RIG, SLB, XOM

Frontier Oil Corp. (NYSE:FTO - News) said fourth-quarter earnings fell to $52.4 million, or 47 cents a share, from $63 million, or 55 cents a share, a year earlier. The Houston oil refiner said earnings fell primarily because the gasoline and diesel crack spreads following hurricanes Katrina and Rita in 2005 was not repeated in 2006. The results for the quarter ending Dec. 31 include an inventory loss of 22 cents a share. Analysts surveyed by Thomson Financial had been expecting earnings of 55 cents a share, on average. Revenue declined 5.5% to $1.09 billion from last year's $1.15 billion.
Guitar Center Inc. (NasdaqGS:GTRC - News) reported a fourth-quarter net loss of $1.36 a share, including a charge of $2.49 a share to write down goodwill associated with the music and arts division.
Halliburton Co. (NYSE:HAL - News) plans to dispose of its remaining interest in KBR Inc. (NYSE:KBR - News) through a split-off exchange offer to Halliburton shareholders..
Healthcare Realty Trust Inc. (NYSE:HR - News)intends to sell its senior-living-assets portfolio, expecting a total consideration of about $400 million and a net gain of about $57 million.
Health Care REIT Inc.'s (NYSE:HCN - News) fourth-quarter net income fell 34% as revenue increased 15% to $87.8 million.
Hewlett-Packard Co. (NYSE:HPQ - News) said it would acquire closely held PolyServe Inc. to expand the company's offerings of storage-software applications.
Hansen Natural Corp. (NasdaqCM:HANS - News) said that fourth-quarter gross sales rose 51% to $171.5 million, while net sales increased 54.2% to $151.1 million. Gross profit rose to $80.2 million, from $51.9 million a year ago. The sales increase reflected continued strong sales of energy drinks.
Harley-Davidson Inc. (NYSE:HOG - News) has taken down its targets for motorcycle shipments and earnings growth as the result of a recently ended three-week strike at its York, Pa., manufacturing plant, the company said Tuesday. While full production is expected to resume over the next week, the strike will eventually result in a loss of approximately one month's production. "A disruption of this magnitude has a significant impact on our business, as well as our suppliers, dealers, employees and our retail customers," said Tom Bergmann, Harley's chief financial officer, in a written release. The company expects to ship 64,000 to 66,000 units in the first quarter, down from a previous goal of 82,000 to 84,000 units, although it hopes to make up 4,000 to 5,000 during the remainder of the year. For the full year, Harley said it now expects "moderate" revenue growth, along with lower margins, and earnings per share growth in the range of 4% to 6%. But it forecast a return to 11% to 17% EPS growth in 2008 and 2009.
Hovnanian (NYSE:HOV - News) expects a first-quarter loss. It delivered 3,266 homes in the first quarter while net contracts declined 23% to 2,570.
Magna International (NYSE:MGA - News) said fourth-quarter net income fell 65% to $29 million, or 26 cents a share, from $83 million, or 75 cents a share, a year earlier. Excluding one-time items, the company would have earned 99 cents a share. The average forecast of analysts polled by Thomson Financial was for earnings of $1.17. The company said the difficult automotive environment, particularly in North America, is taking its toll. Sales rose 9% to 6.34 billion, helped by an increase in the company's European and rest of the world production sales. The company declared a quarterly dividend of 19 cents a share. For 2007, Magna expects consolidated sales of $22.9 billion to $24.2 billion. It sees spending for fixed assets in the range of $800 million to $850 million.
NetEase.com's (NasdaqGS:NTES - News) fourth-quarter profit grew 19% as the Beijing Internet company's revenue grew nearly 15% to $69.2 million.
Nordstrom Inc. (NYSE:JWN - News) fourth-quarter earnings climbed to 89 cents a share from 69 cents as sales rose 15% to $2.63 billion. Same-store sales increased 8.3%.
NYSE Group Inc. (NYSE:NYX - News) named Duncan Niederauer president and co-chief operating officer, effective April 9. Niederauer is currently managing director of Goldman Sachs Group Inc. (NYSE:GS - News).
Oneok Inc. (NYSE:OKE - News) reported fourth-quarter earnings of 66 cents a share, down from $2.30 a share in the year ago-period. The year-ago quarter included a gain of $1.57 a share from the sale of Texas gathering and processing assets
Oneok Partners L.P. (NYSE:OKS - News) fourth-quarter earnings were 82 cents per unit, up from 72 cents in the year-ago period. There were 82.9 million units outstanding during the latest quarter vs. 46.4 million units a year earlier.
Pinnacle Airlines Corp. (NasdaqGM:PNCL - News) said its fourth-quarter net income more than tripled to $36.8 million, or $1.67 a share, from $10 million, or 45 cents a share, in the year-earlier period. The 2006 fourth quarter included a benefit of $26.1 million, or $1.18 per share, associated with a settlement with Northwest Airlines Corp. . The Memphis, Tenn., regional airline said revenue in the three months ended Dec. 31 fell 4% to $204.5 million from $213 million. Three analysts polled by Thomson Financial forecast earnings, on average, of 57 cents a share.
Sanderson Farms Inc. (NasdaqGS:SAFM - News) narrowed its fiscal first quarter loss, but the poultry producer said Tuesday it remained firmly in the red on high feed costs and soft, though slowly rising, pricing. Sanderson said it lost $2.8 million, or 14 cents a share for the quarter, compared to a loss of $8.6 million, or 43 cents a share in the year-ago period. Revenue came in at $292.7 million, up from $236.2 million. The average estimate of analysts polled by Thomson Financial had been for the company to lose 11 cents a share on sales of $277 million. Looking out to the rest of the fiscal year, Sanderson said trends in chicken prices are currently "favorable" but it expects feed costs will continue to rise.
Shuffle Master Inc. (NasdaqGS:SHFL - News) shares tumbled after the company said it expects fiscal first-quarter net income and earnings per share to be "significantly lower" than the year-ago quarter. The Las Vegas-based gambling supply company said it's still in the process of finalizing its financial results, and forecast revenue of $35 million to $38 million.
Published By Marketwatch

Labels: FTO, GS, GTRC, HAL, HANS, HCN, HOG, HOV, HPQ, HR, JWN, KBR, MGA, NTES, NYX, OKE, OKS, PNCL, SAFM, SHFL

Labels: CHRW, EXPD, FIG, GS, HAL, HCBK, Jim Cramer, KBR, Lightning Round, Mad Money, MPEL, NFI, NTRI, QCOM, RIG, SHLD, SUNW, TMO

Bullish calls:
Foster Wheeler (NASDAQ: FWLT - News): ' ... I'm not selling the rest, because this company, and KBR ... both have the single best pin action off all the oil that's been found, and the money - particularly the new need to have petro plants and nuclear - that FWLT is going to be a core position for me. Two thumbs up, way up.'KBR (NYSE: KBR - News)Conceptus (CPTS): 'I like it, but I can't rave about it, because I like other companies in medical devices. And I haven't tried it personally, but I hear good things.'Cisco (NASDAQ: CSCO - News)J.C. Penney (NYSE: JCP - News)Devon Energy (NYSE: DVN - News)Best Buy (NYSE: BBY - News): 'The best of times at BBY ... should be bought here. Why? Because they are annihilating CC. 'Quest Diagnostics (NYSE: DGX - News): ' ... brutally knocked down by momentum sellers. And I have been calling a bottom here at $52 bucks. I like that better than Bio-Reference Laboratories."Indevus Pharmaceuticals (NASDAQ: IDEV - News): 'A lot of ways to win. I mentioned the stock as being a good speculative play. Everyone do a little homework, and see if you like the stock.'
Bearish calls:
O2 Micro International (NASDAQ: OIIM - News): ' My friend, we're trying to stay away from mixed signals. I'm talking about mixed-signal circuits, which I have lost money in for maybe 15 years. I want you to get off right now, and sell that stock.'SanDisk (NASDAQ: SNDK - News): ' ... for a trade, I think it can go to $47. But this stock has got tremendous tax-loss selling. And I don't want you to run into that, because that is a buzzsaw! Wait until January if you have to own SNDK.'Family Dollar (NYSE: FDO - News):Wal-Mart (NYSE: WMT - News): 'I can't get wild about WMT, which has that look and feel of a dollar store.'Dollar General (NYSE: DG - News): 'I see a trade at $14-17, $14-17. I can't get wild about that.'UAL (NASDAQ: UAUA - News): 'I want you to ring the register. You made a great trade... but no, you must take that money off the table. I cannot have it turn into a loss. Congratulations on a good one.'CPFL Energia (NYSE: CPL - News): 'Too dicey! I think that a Brazillian 4% yield is not enough to keep me with maybe so-so growth ... I would rather see you, honestly, in an American growth utility.'Brightpoint (NASDAQ: CELL - News): 'You know I don't like the wireless business ... It's too hard a business. I don't want to touch it. 'Arena Resources (NYSE: ARD - News): 'It is a sleeper oil stock, but it's up a lot, and as much as I like ARD, I feel like that's a good swap out of some of the crazier.'Motorola (NYSE: MOT - News): 'Can't get behind the MOT. It's been a real house of pain; I see no real momentum there.'Nokia (NYSE: NOK - News): 'I don't like the NOK. I don't like the cell phone business.'Bio-Reference Laboratories (NASDAQ: BRLI - News): ' Let's swap out of BRLI; let's go to DGX.'Circuit City (NYSE: CC - News): ' ... the worst of times at CC. When I was going over the CC quarter, I could not believe how much money they are losing on the exact same product that they are making money on at BBY... I question if there even needs to be a CC.'
Published By SeekingAlpha

Labels: ARD, BBY, BRLI, CC, CPL, CSCO, DGX, DVN, FDO, IDEV, JCP, Jim Cramer, KBR, Lightning Round, Mad Money, MOT, NOK, SNDK, UAUA, WMT

KBR Inc., the engineering, services and construction unit of Halliburton Corp., priced its initial public offering Wednesday evening at $17 a share, valuing the entire company at $2.8 billion.
The company, which offered 27.84 million shares, said it expects to receive roughly $441 million from the offering after underwriting fees and expenses. KBR shares are to start trading Thursday on the New York Stock Exchange under the symbol "KBR."
KBR, which is under Justice Department and Securities and Exchange Commission investigation for alleged bribery in the 1990s, said in earlier regulatory filings it expected to sell the IPO shares for $15 to $17 each. The company said it intends to use proceeds to repay debt to Halliburton subsidiaries that totaled about $450 million as of October.
Halliburton, the oil-field services giant once run by Vice President Dick Cheney, will retain control of the company with at least an 81 percent stake, or about 135.6 million shares, depending on demand for the overallotment allowance of 4.2 million shares. Credit Suisse, Goldman Sachs & UBS are underwriting the offering.
Source: AP

Labels: Dick Chaney, HAL, halliburton, KBR, Republicans

Labels: AMGN, APKT, ASEI, BGC, democrats, HAL, halliburton, HOG, HTZ, JBLU, Jim Cramer, KBR, Kellogg Brown and Root, Mad Money, NDE, NICE, NMX, NYMEX, NYX, PDLI