Jim Cramer Blog

Stocks sold off in afternoon trading to finish lower on the day, as Wall Street struggled with weakness in the financial, tech, and commodities sectors. At the bell, the Dow was off -121 points to end the day at 13,110. Meanwhile, the Nasdaq and S&P closed at 2,619 and 1,451, respectively. Oil prices fell on a strong inventory report with light, sweet crude ending at $93.43 per barrel. Treasury prices rose, while gold fell to $787.30 an ounce. The dollar climbed against the euro, but declined versus the yen.
On the economic front, the Labor Department reported that the Consumer Price Index (CPI) jumped by 0.3% in October, in line with estimates. Analysts claim surging oil prices played a key role in the rise. The Core CPI, which strips out food and energy costs, increased 0.2%, also in line with forecasts. The Labor Department also reported that the number of unemployment applications popped by 20,000 to 339,000. It was the highest total of jobless claims in a month and double what economists were predicting.
In earnings news, Tyco International (NYSE: TYC - News) posted a decline in net income to $181 million, or 36 cents per share, down from $1.25 billion, or $2.45 per share, last year. Results were impacted, in part, by restructuring and separation costs. Excluding one-time items, earnings totaled $285 million, or 57 cents per share, up 20% from $238 million, or 47 cents per share, a year ago. Quarterly revenue rose to $5.03 billion, up 9% from $4.62 billion. On average, analysts were looking for EPS of 55 cents per share on revenue of $4.97 billion. Shares of Tyco closed down -3.6% on the day. Subscribers can read our take on Tyco International in today's edition.
Shares of JC Penney's (NYSE: JCP - News) were down -5.1% at the bell after the company said third-quarter net income fell to $261 million, or $1.17 per share, down from $287 million, or $1.26 per share, last year. Excluding a one-time gain of 14 cents a share, the company would have earned $1.03 per share. Revenue fell -1.1% in the quarter to $4.73 billion. Analysts had forecasted earnings of $1.01 per share on revenue of $4.76 billion. The company also lowered its fourth-quarter guidance to be between $1.65-$1.80 per share, down from previous estimates of $2.41 per share.
In other corporate news, The Wall Street Journal reported today that Swiss financial giant UBS AG (NYSE: UBS - News) may write down -$7.1 billion in mortgage-related losses in the coming quarter. Shares of UBS were off -3.1% at the bell.
On the M&A front, Kraft Foods (NYSE: KFT - News) announced that it has agreed to sell its Post Cereals unit to private-label food maker Ralcorp Holdings in a stock deal worth nearly $1.7 billion. According to the terms released, Kraft will spin off its Post unit and assets to shareholders, which would then combine with Ralcorp. Following the integration, Kraft shareholders would own about 54% of the new entity, with current Ralcorp shareholdings owning approximately 46%.
By the BullMarket.com Staff

Labels: CPI, JCP, KFT, TYC, UBS

CEO Wall of Shame. Cramer still has Citibank (C) CEO Chuck Prince at the top of his Wall of Shame, and thinks that he will be forced out this week after listening to a conference call. The next CEO is Motorola's (MOT) Ed Zander. Lastly, Patrica Russo of Alcatel-Lucent (ALU) rounds out the top three. Although he has their CEO on the Wall of Shame, Cramer thinks that Motorola is a stock to buy because Carl Ichan owns a large position in the stock, plus they announce their quarterly earnings on Friday, and Cramer thinks they might finally bottom out this quarter. Cramer also thinks that the company is worth $24.60 per share if it is broken up, which is 27% higher than the current price.
Cramer then went to the phones. The first caller asked about Kraft (KFT), and Cramer thinks the stock is low risk, high reward. The next caller asked about Research in Motion (RIMM), and Cramer thinks that it is taking a breather for the next couple of days.
CoPart (CPRT) Cramer analyzed a stock he has been waiting to bring up on the show for a while. CPRT has finally moved down enough from its highs that Cramer feels good about recommending it. The company is in the middle of a large stock buyback, and is going to continue to grow.
After the lightning round, Cramer talked about the buyout rumors surrounding Saks (SKS). Cramer doesn't think the stock jumped enough on the news, and he likes the stock anyway. Cramer believes SKS will be bought out around $23 - $24 per share, and it is worth up to $26.30 per share when compared to the buyout price Neiman Marcus got last year.
Mad Mail. The first email asked about Biogen (BIIB), and Cramer thinks that it could be bought out at $100. The next email asked about Hologic (HOLX), and Cramer is still bullish. The next email was about Petro China (PTR), which Cramer thinks is up too much.
Sudden Death. Cramer doesn't like Lloyd's (LYG), and recommended Allstate (ALL), Metlife (MET), or Prudential (PRU) instead. He does like Textainer Group (TGH).

Labels: ALL, ALU, BIIB, CPRT, Jim Cramer, KFT, LYG, Mad Money, Mad MOney Recap, MET, MOT, PRU, PTR, RIMM

Bullish:
Coca-Cola (KO) or Pepsi (PEP)
Investools (SWIM): Cramer likes the stock.
Skyworks (SWKS): Cramer likes this stock and RF Micro (RFMD) until the end of the year, and then he thinks it will be time to get out.
Media (FMCN) or Baidu.com (BIDU).
Best Buy (BBY) instead of Circuit City.
Under Armour (UA): Cramer thinks this quarter is going to be good, and that UA is the place to be.
Aircastle (AYR): Cramer likes the good yield, but the stock is not exciting.
Kraft (KFT)
Oracle (ORCL) is the better software play.
Bearish:
Melco (MPEL): Cramer thinks that they know nothing about the casino business. "Sell, sell, sell!"
China Precision (CPSL): Cramer thinks this is a sell, and that you should go with Focus.
Circuit City (CC): Cramer thinks there is nothing there
Invesco (IVZ): Go with T. Rowe Price (TROW) instead.
Level 3 Communications (LVLT): Cramer thinks you should stay away and that he needs to have the CEO on the show.
Tellabs (TLAB): Don't Buy, Don't Buy, Don't Buy.
ADM (ADM): Cramer thinks that this is a lost company
Lance (LNCE): Don't buy
Red Hat (RHT): Cramer doesn't like Red Hat
Jones Soda (JSDA): Stay away from

Labels: AYR, BBY, BIDU, FMCN, Jim Cramer, KFT, KO, Lightning Round, Mad Money, ORCL, PEP, RFMD, SWIM, SWKS, UA

Stocks suffered large losses across the board, ending a two day rally in the stock market as credit fears and poor housing data contributed to a broad sell-off. At the close, the Dow Jones and S&P 500 lost a little more than 1% on the session, while the Nasdaq gave up -0.92%. Crude oil was up yet again, rising 65 cents to $75.73 a barrel.
The Fed released the much anticipated Beige Book today which stated that economic activity continued to expand in most of the nation's twelve districts at a modest pace in the month of August. However, the pace of growth slowed in some notable regions. The report also noted that much of the turmoil in the credit markets appears to be contained.
On the housing front, the National Association of Realtors announced today that pending home sales dropped -12.2% in July, much worse than economists' estimates of a decline of -2.2%. In related news, a private report showed that investors bought the fewest commercial properties in more than a year. Additionally, apartment building acquisitions fell by -50% from June levels.
The London Interbank offered rate or LIBOR, which is the rate banks charge each other in dollar terms for three months, rose for the 10th straight day on concerns that losses on securities linked to U.S. subprime mortgage problems will increase. LIBOR rates increased to 5.72%, the highest level since early 2001.
In corporate news, several big box retailers came out with August same-store sales. Among them, Costco (Nasdaq: COST - News) reported same-store sales growth of 2%, well below the 5.6% that analysts had expected. Total sales in the month were $4.84 million, up from $4.56 billion last year. The company said the poor results were the result of lower tobacco sales and a lower price for gasoline. Investors were not sympathetic, sending the shares down -4.2%. Chief rival BJ Wholesale Club (NYSE: BJ - News) reported a 1.4% rise in same-store sales for the month and total sales climbed 6.4% to $661.7 million.
Food giant Kraft Foods (NYSE: KFT - News) pleased investors today when it upped its earnings forecast for the full year to $1.60-1.62 a share, up from its previous range of $1.50-1.52 a share. Excluding items, it expects to report EPS for the year of $1.80-1.82 a share. Analysts were expecting $1.80. The company cited strength in its growth initiatives and a lower tax rate for the improved outlook. Shares rose 1.4%. Subscribers can read our analysis of Kraft in today's issue. Also in the food sector, meat producer Tyson Foods (NYSE: TSN - News) chopped its yearly profit forecast as it is facing a tougher-than-expected fourth quarter. The company sees EPS of 72-80 cents a share for the year ending September 30th. In July, the company had said earnings would be in a range of 82-92 cents a share. Rising cattle and hog costs coupled with disruption in the South Korean beef trade are to blame for the shortfall. Shares plunged by -13%.
Toymaker Mattel (NYSE: MAT - News) continues to have its problems in China, as the company announced for the third time that it will recall toys that contain a high level of toxic led paint. The company is recalling 844,000 toys, including popular Fischer Price and Barbie brands.
Finally, in the tech sector, Apple (Nasdaq: AAPL - News) once again grabbed investors' and consumers' attention with a big slate of product announcements, including a revamp of its popular iPod line. Most notably, the company unveiled the iPod Touch, a device with the same look and many of the same features as the iPhone, but lacking only phone capabilities. Apple also dropped the price on its 8GB iPhone to $399 and said it is phasing out the 4GB model completely. Investors "sold the news," sending the stock -5.1% lower.
By The BullMarket.com Staff

Labels: AAPL, BJ, COST, KFT, MAT, TSN

The Skinny on Kraft (NYSE: KFT - News) and Proctor and Gamble (NYSE: PG - News)
After Tuesday's dismal trading day, Cramer believes the Fed will be willing to accept a recession, anything that will beat inflation, "even if even if it means the electric bleachers for my hedge fund and trading fund friends." As expected, Cramer recommended defensive stocks, and especially KFT, which may sell "loser brands" such as Maxwell House, especially since Carl Icahn and Nelson Peltz have a stake in the company. He also thinks PG will jettison brands that aren't working to preserve its capital.

CEO Interview: Timothy Wallace, Trinity Industries (NYSE: TRN - News)
Timothy Wallce doesn't think TRN's steep 20% slide last month is an indication of a longer-term decline for the company, and comments Trinity purchased 20% equity in TRIP Rail Holdings. While Cramer thinks TRN may have a good long-term story, he would be careful since, "the numbers may be too high here."
Treehouse Foods Inc. (NYSE: THS - News) and B & G Foods Inc. (NYSE: BGS - News)
While Kraft and Proctor and Gamble are getting rid of "crummy" brands, THS and BGS are masters of acquiring tired names and giving them new life. Cramer described THS as a risky stock which has been on an acquisition spree, and owns household brands Santa Fe, Del Monte and Oxford. THS' profits have increased 42% year-over-year in the second quarter. B & G's buys neglected brands such as Ortega, Cream Of Wheat and Underwood, is a conservative investment which reported a 12.3% increase in net sales last quarter and is worth owning for the dividend, according to Cramer. He says both companies are "thrice-blessed" because they are recession-proof and consolidate their expenses to reduce raw costs; "We like the dividends, and we like the brands."
The Last Man Standing; The Travelers (NYSE: TRV - News)
In spite of the current environment, Cramer says money can be made from insurance companies which continually invest and are "gigantic cash machines." He would stick with TRV which is the "last man standing" and is ranked 89 in the Fortune 500. He predicts TRV will go higher on the current housing situation.
Published By SeekingAlpha

Labels: BGS, Jim Cramer, KFT, Mad Money, PG, THS, TRN, TRV

Not so Cheesy: Kraft (NYSE: KFT - News), Altria (NYSE: MO - News)
Cramer admits he was wrong in thinking Kraft was just a "crummy" spinoff from MO, but says he's done well to own the latter company. He suggests piggybacking on activist investor Carl Icahn and master money manager Nelson Peltz, who keep buying Kraft; Cramer predicts Pelz may increase his position in the stock by another 3%. Since "activists, in general, tend to outperform the indices," Cramer would follow the leaders, and would wait to buy more when the stock dips a few points.
Up, Up and Away: Spirit AeroSystems Holdings (NYSE: SPR - News)
Cramer admits he was stumped when a caller asked about this stock, but since he has done some research on SPR, Cramer says the stock is a triple buy. SPR is the chief supplier of parts to Boeing's Dreamliner plane, which Cramer says is "the best thing since sliced bread." He added SPR has very clear growth potential if the plane is a success, and the stock sells at only 16 x next year's earnings. In addition, SPR could get some business from Boeing rival Airbus, and will go higher, since aerospace is in bull mode, according to Cramer. He suggests buying half a position before and half after SPR reports earnings.

European Play: ABB Ltd. (NYSE: ABB - News)
For Tuesday's pick, Cramer looked to Switzerland where "500 years of democracy and peace have produced nothing but the cuckoo clock, and ABB Ltd." He calls this stock "the single best pure play on infrastructure around the world." Since power plants are difficult to build, ABB's expertise is very much in demand, and the company just announced a strong quarter and has "tons" of cash to make an acquisition or raise its dividend.
Mad Mail: ConcoPhillips (NYSE: COP - News), Caliper Life Sciences (NasdaqGM: CALP - News) and Volcano (NasdaqGM: VOLC - News)
Cramer told one viewer not to be worried that COP pulled back after its 9% gain last week, and would use the decline as a buying opportunity. "I hope it goes to $80 so I can buy some for my charitable trust," he added. When asked about his recommendation of CALP last year, Cramer says while the company has solid technologies, the life sciences industry "just doesn't have it right now." Cramer said VOLC is in the same boat as CALP and added, "You can buy it here, but it probably won't move until the fall." For the remainder of the summer, he would buy tech and best-of-breed stocks in his five bull markets.

Published By SeekingAlpha

Labels: ABB, CALP, COP, Jim Cramer, KFT, Mad Money, MO, SPR, VOLC

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. Historically, these stocks have provided traders with a significant edge.

Dean Foods (NYSE:DF). DF's PowerRating is 6.
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.
Kraft Foods (NYSE:KFT) & CPI Corporation (NYSE:CPY). KFT's PowerRating is 6, and CPY's PowerRating is 5.
Bearish
5+ Consecutive Up Days: 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.
JDS Uniphase (NasdaqGS:JDSU) & Netflix (NasdaqGS:NFLX). JDSU's PowerRating is 3, and NFLX's PowerRating is 3.
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.
Harley-Davidson (NYSE:HOG) & Royal Gold (NasdaqGS:RGLD). HOG's PowerRating is 4, and RGLD's PowerRating is 3.
PowerRatings (for Traders) are courtesy of TradingMarkets.com

Labels: CPY, DF, HOG, Hot Stocks, JDSU, KFT, NFLX, RGLD

The major averages all rose for the second-straight day to open the third quarter on this holiday-shortened trading day on news of more buyouts as well as upbeat economic data. On the economic front today, U.S. factory orders fell -0.5% in May. The Commerce Department said that orders placed with American companies fell less than forecast as demand for computers, electronics, and fuel helped offset a decline in aircraft bookings.
Over in the housing market, a private report on pending home sales concluded that home buyers unexpectedly signed fewer contracts in May as buyers waited for home prices to drop. The index that measures signed purchase agreements fell -3.5% to 97.7%, down from 101.2% in April.
In merger-related news, Kraft Foods (NYSE: KFT) agreed to buy the biscuit unit of Groupe Danone SA for $7.2 billion. The deal will give Kraft the TUC and Petit Ecolier brands, and will also give the company a major foothold in European markets. Teck Cominco (NYSE: TCK), the worlds second-largest zinc producer, meanwhile, agreed to buy Aur Resources for $3.79 billion. The cash and stock deal will increase output by 43% for the combined company.
Shares of the third-largest U.S. hamburger chain rose 2.7% on the day after billionaire Nelson Peltz said he is interested in bidding for Wendy's International (NYSE: WEN). Peltz's Triarc Investment, which already owns and operates the Arby's fast-food chain, said the Wendy's brand would be a natural fit. The billionaire also noted that he increased his stake in the fast-food operator to 9.8% from a previous stake of 8.4%.
By the BullMarket.com Staff

Labels: KFT, TCK, WEN

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 Underpriced 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.
Medtronic July 55 Calls (NYSE:MDT - News). MDT's PowerRating is 6.
Most Underpriced 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.
JA Solar Holdings June 22.5 Puts (NasdaqGM:JASO - News). JASO's PowerRating is currently unavailable due to short trading history.
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.
Research in Motion July 190 Calls (NasdaqGS:RIMM - News). RIMM's PowerRating is 4.
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 Inc. July 430 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.
Jabil Circuit (NYSE:JBL - News). JBL's PowerRating is 3.
Biogen Idec (NasdaqGS:BIIB - News). BIIB's PowerRating is 5.
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.
Kraft Foods (NYSE:KFT - News). KFT's PowerRating is 4.
PowerRatings are courtesy of TradingMarkets.com

Labels: BIIB, GOOG, JASO, JBL, KFT, MDT, RIMM

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.
CBOT Holdings (NYSE:BOT) & Snap-On (NYSE:SNA). BOT's PowerRating is 6, and SNA's PowerRating 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.
Nicor (NYSE:GAS). GAS's PowerRating 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.
ImClone Systems (NasdaqGS:IMCL) & Macerich (NYSE:MAC). IMCL's PowerRating is 9, and MAC's PowerRating 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. Historically, these stocks have provided traders with a significant edge.
Scripps Company (NYSE:SSP). SSP's PowerRating is 4.
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.
Kraft Foods (NYSE:KFT). KFT's PowerRating is 4.
PowerRatings are courtesy of PowerRatings.net

Labels: BOT, GAS, Hot Stocks, IMCL, KFT, Mac, SNA, SSP

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.
F5 Networks (NasdaqGS:FFIV). FFIV's PowerRating is 6.
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.
Kenneth Cole Productions (NYSE:KCP) & UAL Corporation (NasdaqGS:UAUA). KCP's PowerRating is 7, and UAUA's PowerRating is 8.
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.
WellPoint (NYSE:WLP) . WLP's PowerRating is 6.
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. Historically, these stocks have provided traders with a significant edge.
Kraft Foods (NYSE:KFT). KFT's PowerRating is 4.
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.
TD Ameritrade (NasdaqGS:AMTD). AMTD's PowerRating is 4.
2-Period RSI Above 98: These are stocks that have a 2-period RSI reading above 98 and are trading below their 200-day moving average. Our research shows that stocks trading below their 200-day moving with a 2-period RSI reading above 98 have shown negative returns, on average, 1-day and 1-week later. Historically, these stocks have provided traders with a significant edge.
Crosstex Energy (NasdaqGS:XTXI). XTXI's PowerRating is 3.
PowerRatings are courtesy of PowerRatings.net

Labels: AMTD, FFIV, Hot Stocks, KCP, KFT, UAUA, WLP, XTXI

Follow Slim's Picks: Kraft (NYSE: KFT), Saks (NYSE: SKS), American Movil (NYSE: AMX)
Cramer would pay attention to the "overseas Warren Buffett," Carlos Slim Helu, who has surpassed Buffett on Forbes rich list, partly because of his exposure to emerging market stocks. Looking at Slim's portfolio, Cramer found KFT, which is not one of his favorites, SKS, which he didn't want to feature again, and finally AMX, which he thinks is a great play on the growth of cell phones in Latin America. Although AMX is at its 52-week high, Cramer feels it is "too good not to feature."

Green Day Part 4: Tetra Tech (NasdaqGS: TTEK)
Cramer is bullish on TTEK as a way to play the scarcity of clean drinking water, and noted it is in "the sweet spot" since 85% of its revenue is from water management and it has acquired Delaney Group, "a little wind company."

Sell Block: Charter Communications (NasdaqGM: CHTR), Sirius Satellite Radio (NasdaqGS: SIRI), XM Satellite Radio (NasdaqGS: XMSR), CMGI (NasdaqGM: CMGI), Oilsands Quest (AMEX: BQI) and Crystallex (AMEX: KRY), Vonage (NYSE: VG), Fremont General (NYSE: FMT), Downey Financial (NYSE: DSL)
For his Sell Block Segment, Cramer discussed hot stocks in CNBC's Million Dollar Portfolio Challenge game. Many of the stocks are speculative, and while he encourages speculation it should be undertaken if one's portfolio is balanced. The only one Cramer would buy is CHTR because cable is "on fire" and he predicts the stock will climb to $4 from $3.28. While he is "not totally negative" on SIRI, it is experiencing so many difficulties in its attempts to merge with XMSR that Cramer can not "in good conscience" recommend it. Headspinning changes to its business model make CMGI a sell, and Cramer would also unload BQI and KRY. He reiterated his bearish stance on VG, calling it "the single least investable stock" he's ever seen. While popular, Cramer says FMT has too much subprime exposure and would buy DSL instead.
CEO Interview: Nastech Pharmaceutical's (NasdaqGM: NSTK), Stephen Quay with stocks Celgene (NasdaqGS: CELG), Gilead Sciences (NasdaqGS: GILD), Genzyme (NasdaqGS: GENZ)
When asked what the company's star product is, Stephen Quay replied it was a "horserace" between its obesity and osteoperosis treatments, and its insulin nasal spray for diabetes. While Dr. Eric Hollander has shown that injections can help reverse some symptoms of autism, Stephen Quay comments the treatments are not long-lasting. However, NSTK has been working with Hollander to develop a nasal spray that will last much longer than the injections and expects to begin clinical trials this year. Cramer is bullish on NSTK as well as CELG, GILD and GENZ.

Published By SeekingAlpha

Labels: AMX, BQI, CHTR, DSL, FMT, Jim Cramer, KFT, KRY, Mad Money, SKS, TTEK, VG, XMSR

Kraft Foods Inc., the world's second-largest food and beverage maker, posted a 30 percent decline in first-quarter earnings Wednesday in reporting results for the first time as an independent company.
Kraft, which was spun off at the end of the quarter by majority shareholder Altria Group Inc., did manage to beat Wall Street's expectations despite continuing challenges in its turnaround effort.
Net income for the January-March quarter was $702 million, or 43 cents per share, down from $1 billion, or 61 cents per share, for the same period in 2006.
Revenue rose 5.7 percent to $8.6 billion from $8.1 billion a year earlier, topping the Wall Street forecast of $8.41 billion.

Labels: KFT, Kraft Foods Inc.

Most Underpriced 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.
MGIC Investment Corp. June 60 Calls (NYSE:MTG - News). MTG's PowerRating is 4.
Most Underpriced 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.
Kraft Foods June 32.5 Puts (NYSE:KFT - News). KFT's PowerRating is 4.
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.
Merrill Lynch Apr 85 Calls (NYSE:MER - News). MER's PowerRating is 5.
Neurochem Inc. May 30 Calls (NasdaqGM:NRMX - News). NRMX's PowerRating is 5.
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.
Sears Holdings June 175 Puts (NasdaqGS:SHLD - News). SHLD's PowerRating is 5.
Las Vegas Sands June 75 Puts (NYSE:LVS - News). LVS' PowerRating is 6.
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.
Lehman Brothers Holdings (NYSE:LEH - News). LEH's PowerRating is 4.
PowerRatings are courtesy of TradingMarkets.com

Labels: KFT, LEH, LVS, MER, MTG, NRMX, SHLD, stock options

Rethinking Spartan Motors Spartan Motors (NasdaqGS: SPAR)
Although he initially rejected a pitch for Spartan Motors made by an IU Kelley School of Business student, Cramer is now bullish after investigating the stock further. Initially, he thought SPAR was mainly involved with recreational vehicles which would be out of favor with rising oil prices. However, Spartan also manufactures emergency vehicles, and since 55% of the nation's firetrucks need replacing, Spartan vehicles will be in demand. In addition, the armed forces require vehicles that will protect soldiers from roadside bombs. Spartan's military motor division recently scored the second largest contract in its history. The company's RV business is doing well, because baby boomers love RVs. While Spartan has a great story, Cramer cautions that this small-cap speculative stock may not be for everyone and to wait for a pullback before buying.
Sell Block: WCI Communities (NYSE: WCI - News), Simon Property Group (NYSE: SPG - News), Hologic (NasdaqGS: HOLX), Norfolk Southern (NYSE: NSC - News), Union Pacific (NYSE: UNP - News), Greenbrier Companies (NYSE: GBX - News), Coldwater Creek (NasdaqGS: CWTR), Gilead Sciences (NasdaqGS: GILD), Celgene (NasdaqGS: CELG), Altria (NYSE: MO - News), Kraft (NYSE: KFT - News) Take-Two Interactive (NasdaqGS: TTWO)
Cramer is "adamant that homebuilders can't be owned" and would sell WCI even though it hasn't moved, along with SPG, which has had a big increase. He would also sell HOLX which is "priced for perfection" but which has been the target of articles suggesting its products are less than perfect. Cramer likes rails as a "happy oligopoly, but given NSC's disappointing guidance, he would swap it for UNP on any strength. Cramer confessed "I deserve to be roasted over hot coals" for recommending GBX as a short-busting play when the stock has had a huge drop. Cramer wants to avoid getting burned again over CWTR and would sell even though it seems to be making a comeback. He thinks upgrades of semiconductors are "insane" and would get rid of the entire sector. Gilead, Cramer's "bio stock of the year" is now too expensive, and he would sell it or swap into Celgene. Now that Altria has spun off Kraft, Cramer would hold onto MO and sell KFT; "American cheese just doesn't turn it's customers into hopeless addicts."Finally, the fact that it is difficult to zero in on what is really wrong with TTWO is the best reason to sell it.
Mad Mail: Deere (NYSE: DE - News), Coca-Cola (NYSE: KO - News)
Cramer would back up the truck and buy DE because, for the long-term "we are in a secular bull market inf farming" and sees a strong comeback for Deere. Cramer also likes KO because if it's brand turns around in Japan, KO could rise from $50 to $55.

Published by SeekingAlpha

Labels: DE, GBX, HOLX, Jim Cramer, KFT, KO, Mad Money, MO, NSC, SPAR, SPG, TTWO, UNP, WCI

Symbol
Name
Last Trade
Change
Volume
Related Info
MU
MICRON TECHNOLOGY
11.67 10:48AM ET
0.40 (3.31%)
21,422,400
Chart, Profile, More
KFT
KRAFT FOODS INC
31.40 10:48AM ET
0.68 (2.21%)
12,196,134
Chart, Profile, More
WEBM
WEBMETHODS INC
9.20 10:53AM ET
1.92 (26.37%)
15,454,005
Chart, Profile, More
SUNW
SUN MICROSYS INC
5.92 10:53AM ET
0.06 (1.02%)
14,028,328
Chart, Profile, More
QQQQ
NASDAQ 100 TR SER I
44.35 10:53AM ET
0.01 (0.02%)
12,944,114
Chart, Profile, More
SPY
S&P DEP RECEIPTS
143.86 10:48AM ET
0.01 (0.01%)
12,146,325
Chart, Profile, More
INTC
INTEL CP
19.47 10:53AM ET
0.09 (0.46%)
10,973,209
Chart, Profile, More
TWX
TIME WARNER INC
20.90 10:48AM ET
0.29 (1.41%)
9,945,143
Chart, Profile, More
RACK
RACKABLE SYSTEMS INC
14.50 10:53AM ET
2.38 (14.10%)
8,881,409
Chart, Profile, More
CSCO
CISCO SYS INC
26.07 10:53AM ET
0.03 (0.11%)
8,101,357
Chart, Profile, More
F
FORD MOTOR CO
7.94 10:48AM ET
0.10 (1.24%)
8,087,393
Chart, Profile, More
AMGN
AMGEN
58.13 10:53AM ET
1.45 (2.56%)
7,682,781
Chart, Profile, More
MSFT
MICROSOFT CP
28.51 10:53AM ET
0.01 (0.04%)
7,705,976
Chart, Profile, More
BTU
PEABODY ENERGY CORP
44.29 10:48AM ET
1.50 (3.51%)
6,091,800
Chart, Profile, More
H
REALOGY CORP
29.78 10:48AM ET
0.10 (0.33%)
6,254,700
Chart, Profile, More
GLW
CORNING INC
23.71 10:48AM ET
0.59 (2.55%)
5,854,528
Chart, Profile, More
GE
GEN ELECTRIC CO
34.94 10:48AM ET
0.17 (0.48%)
5,778,200
Chart, Profile, More
PFE
PFIZER INC
25.76 10:48AM ET
0.05 (0.19%)
5,862,100
Chart, Profile, More
S
SPRINT NXTEL CP
19.34 10:48AM ET
0.30 (1.53%)
6,138,343
Chart, Profile, More
IWM
ISHARE RUS 2000 INDX
80.57 10:48AM ET
0.00 (0.00%)
5,777,600
Chart, Profile, More

Labels: AMGN, BTU, CSCO, F, GE, GLW, H, INTC, IWM, KFT, MSFT, MU, pfe, QQQQ, RACK, S, SPY, SUNW, TWX, WEBM

Symbol
Name
Last Trade
Change
Volume
Related Info
QQQQ
NASDAQ 100 TR SER I
44.21 3:11PM ET
0.62 (1.42%)
87,096,430
Chart, Profile, More
SPY
S&P DEP RECEIPTS
143.64 3:06PM ET
1.48 (1.04%)
66,497,711
Chart,