Jim Cramer Blog

Here are 7 stocks for traders for Wednesday from TradingMarkets.com:
Palm (NasdaqGS:PALM - News) beat earnings expectations on Tuesday afternoon, with -$0.07 EPS versus expectations of -$0.08 EPS. PALM's PowerRating (for Traders) is 4.
Take-Two Interactive (NasdaqGS:TTWO - News) also beat earnings, reporting -$0.10 EPS versus -$0.23 EPS. TTWO's PowerRating (for Traders) is 4.
Actuant (NYSE:ATU - News) reports earnings on Wednesday before the bell, with traders looking for $0.48 EPS. ATU's PowerRating (for Traders) is 7.
CarMax (NYSE:KMX - News) announces quarterly results on Wednesday morning; look for $0.17 EPS. KMX's PowerRating (for Traders) is 5.
When General Mills (NYSE:GIS - News) reports results on Wednesday before the market opens, traders will be watching for $1.13 EPS. GIS's PowerRating (for Traders) is 6.
Joy Global (NasdaqGS:JOYG - News) is set to announce $0.75 EPS on Wednesday morning before the bell. JOYG's PowerRating (for Traders) is 7.
When Morgan Stanley (NYSE:MS - News) announces quarterly results tomorrow morning, watch for -$0.39 EPS. MS's PowerRating (for Traders) is 5.

Labels: ATU, GIS, Hot Stocks, JOYG, KMX, MS, PALM, TTWO

Ford (F): Cramer began Monday's show by recommending investors buy Ford. Thinks that it will profit off the fact that GM broke the unions with its latest negotiations and that it is selling some of its units. Jim then took a couple of phone calls. The first call was about Tata Motors (TTM), which Cramer likes, but he thinks is too expensive. The second caller asked about Toyota (TM). Cramer won't back Toyota because the weak dollar hurts their sales and the Japanese market is the worst in the world.
In the next segment, Cramer continued to talk about investing opportunities related to GM's success against the UAW. He looked off the beaten path and found American Axle and Manufacturing (AXL) since the company makes auto parts, and has a labor contract that ends in the near future.
Cramer then took some more phone calls. He was asked about Garmin (GRMN), which Cramer thinks fell too much, but he will be concerned about it once the Navteq (NVT) and Nokia (NOK) merger is completed next year. Another caller asked about Eaton (ETN), and Cramer said that it’s one of his favorite manufacturing stocks. The next caller asked about CarMax (KMX), and Cramer said that you should think about pulling the trigger in late November to avoid tax-loss selling.
After the lightning round, Cramer talked about a stock that went public this summer without much attention and considers it an overlooked IPO. His pick is Dolan Media (DM), which helps process mortgage defaults.
Mad Mail:
Cramer read emails about NYSE-EuroNext (NYX), which Cramer thinks he "blew it" when he recommended the stock. Boeing (BA): Despite past devastating news, Cramer believes in it. Siemens (SI): Cramer thinks is in great shape and that you should hold onto it.

Labels: AXL, BA, DM, ETN, F, GRMN, Jim Cramer, KMX, Mad Money, Mad MOney Recap, NOK, NVT, NYX, SI, TM, TTM

Equities continued their march higher after yesterday's Fed-fueled rally as investors continued to find comfort in buying attractive names. At the end of Wednesday's session, all three major market averages finished the session with gains of just over half a percent. Oil, meanwhile, continued to trade higher, ending the session up 42 cents to $81.93 a barrel. Gold also kept on climbing, trading up $5.80 to settle out at $729.50 a troy ounce.
The Labor Department reported today that U.S. consumer prices fell -0.1% in August. Excluding food and fuel prices, which tend to be volatile, prices rose 0.2%, in line with what economists were forecasting. Energy prices fell -3.2%, while prices for medical care rose. In other economic news, the Commerce Department said that housing starts fell to a 12-year low in August. Home starts declined by -2.6% to a seasonally adjusted rate of 1.33 million. Meanwhile, authorized building permits fell by -5.9%. In the past year, overall housing starts are down by -19.1%, while permits have plummeted -24.5%.
On the earnings front, Morgan Stanley (NYSE: MS - News) shares declined -2.2% after the company reported earnings from continuing operations of $1.47 billion, or $1.38 a share, down from $1.59 billion, or $1.50 a share, last year. Revenue rose 13% to $8 billion, despite fixed income and trading revenue falling -3% from year-ago levels. During the quarter, the company said it took a -$940 million loss from the decreased market value of loans on its books, mostly due to the recent turmoil in credit markets. Analysts expected the investment bank to post earnings of $1.54 a share on revenue of $8.35 billion.
Restaurant operator Darden Restaurants (NYSE: DRI - News) posted a 20% rise in second-quarter earnings as sales growth at its Olive Garden and Red Lobster establishments grew. For the quarter, the company earned $105.9 million, or 72 cents a share, up from $88.5 million, or 59 cents a share, in the year-ago period. Earnings from continuing operations, meanwhile, rose to 73 cents a share from 62 cents a share last year. Sales totaled $1.47 billion. Same-store sales increased 7% at its Red Lobster locations and 4.8% at its Olive Garden restaurants. The results sent the share up 1.6% on the day.
Used car seller CarMax (NYSE: KMX - News) saw its shares hit a brick wall after the company slashed its 2008 fiscal-year outlook. The company now sees earnings coming in at a range of 92-98 cents a share, down from its previous range of $1.03-$1.14 a share. The company cited a slower-than-anticipated pace in same-store sales growth. The guidance overshadowed its second-quarter earnings, which came in at $65 million, or 29 cents a share, up from $54.3 million, or 25 cents a share, a year earlier. Revenues rose to $2.12 billion.
General Mills (NYSE: GIS - News), the world's second-largest maker of cereal, posted first-quarter net income of $289 million, or 81 cents a share, compared to $267 million, or 74 cents a share, last year. The 8.2% profit jump was due to price hikes for its products. Sales rose a robust 7% to $3.07 billion. Analysts were looking for revenue of $3.0 billion. The company also affirmed its full-year profit outlook of $3.39-$3.43 a share. Shares gained 0.3%.
By the BullMarket.com Staff

Labels: DRI, GIS, KMX, MS

Here are 7 stocks for traders for Wednesday from TradingMarkets.com:
Lehman Brothers (NYSE:LEH - News) outperformed the other brokers after announcing better than expected earnings, and receiving an additional boost from the rate cut. LEH's PowerRating (for Traders) is 3.
CarMax (NYSE:KMX - News) reports earnings on Wednesday morning, with traders looking for $0.29 EPS. KMX's PowerRating (for Traders) is 4.
Dress Barn (NasdaqGS:DBRN - News) should report $0.42 EPS before the market opens on Wednesday. DBRN's PowerRating (for Traders) is 4.
When General Mills (NYSE:GIS - News) reports quarterly earnings on Wednesday morning, be looking for $0.79 EPS. GIS's PowerRating (for Traders) is 5.
Analysts will be watching for Morgan Stanley (NYSE:MS - News) to announce $1.53 EPS tomorrow morning. MS's PowerRating (for Traders) is 5.
Apogee Enterprises (NasdaqGS:APOG - News) and CKE Restaurants (NYSE:CKR - News) both report earnings tomorrow afternoon, so watch for heightened price action and volatility ahead of the bell. APOG's PowerRating (for Traders) is 3, and CKR's PowerRating (for Traders) is 3.
PowerRatings (for Traders) are courtesy of TradingMarkets.com

Labels: APOG, CKR, DBRN, GIS, Hot Stocks, KMX, LEH, MS

Symbol
Name
Last Trade
Change
Volume
Related Info
PLX
PROTALIX BIOTHERAPEU
26.90 1:31PM ET
6.30 (30.58%)
22,400

EDEN
EDEN BIOSCIENCE
1.30 1:36PM ET
0.22 (20.37%)
80,077

IDMI
IDM PHARMA INC
4.02 1:36PM ET
0.68 (20.36%)
835,504

FTEK
FUEL TECH INC
33.60 1:37PM ET
4.91 (17.11%)
2,707,726

JNC
NUVEEN INVESTMENTS
63.22 1:32PM ET
9.06 (16.73%)
7,765,700

LYTS
LSI INDUSTRIES I
17.65 1:37PM ET
2.38 (15.59%)
995,715
CLC
CLARCOR INC
38.88 1:32PM ET
4.58 (13.35%)
1,344,600
AMGI
AMERICAN MOLD COMMON
2.09 12:47PM ET
0.24 (12.97%)
14,297

IAX
INTL ABSORBENTS INC
6.60 1:32PM ET
0.60 (10.00%)
224,100

CHP
C&D TECHNOLOGIES INC
5.85 1:32PM ET
0.64 (12.28%)
248,500
CNTF
CHINA TECHFAITH WIRE
5.88 1:33PM ET
0.56 (10.53%)
929,248
ATPL
ATLANTIS PLASTICS IN
4.22 1:17PM ET
0.42 (11.05%)
16,647

FFHL
FUWEI FILMS (HOLDING
8.10 1:36PM ET
0.80 (10.96%)
2,117,787
DYII
DYNACQ HLTHCR
2.25 1:04PM ET
0.22 (10.84%)
2,796

GTLS
CHART INDUSTRIES, IN
27.37 1:37PM ET
2.64 (10.68%)
1,472,915
KMX
CARMAX INC
25.68 1:31PM ET
2.49 (10.74%)
4,973,400

ARTLP
ARISTOTLE CP PFD I
9.25 9:30AM ET
0.88 (10.51%)
2,000

NICH
NITCHES INC
3.95 1:22PM ET
0.37 (10.34%)
80,611

Labels: AMGI, ARTLP, ATPL, CHP, CLC, CNTF, DYII, EDEN, FFHL, FTEK, GTLS, IAX, IDMI, JNC, KMX, LYTS, NICH, PLX

Here are 7 stocks for traders for Wednesday from TradingMarkets.com:
CarMax (NYSE:KMX) should announce $0.30 EPS when the company reports on Wednesday morning. KMX's PowerRating is 5.
When Circuit City (NYSE:CC) reports quarterly earnings on Wednesday morning, be watching for -$0.32 EPS. CC's PowerRating is 5.
Analysts are watching for Commercial Metals (NYSE:CMC) to report $0.79 EPS on Wednesday morning. CMC's PowerRating is 5.
FedEx (NYSE:FDX) should report $1.98 EPS before the market opens on Wednesday. FDX's PowerRating is 4.
Watch for Morgan Stanley (NYSE:MS) to report $2.01 EPS before the bell tomorrow morning. MS's PowerRating is 6.
Access Integrated (NasdaqGM:AIXD) reports earnings on Wednesday before the bell; watch for -$0.24 EPS. AIXD does not have a PowerRating due to volume constraints.
Sonic Corporation (NasdaqGS:SONC) reports after the close on Wednesday, so watch for heightened price action and volatility ahead of the bell. SONC's PowerRating is 6.
PowerRatings (for Traders) are courtesy of TradingMarkets.com

Labels: AIXD, CC, CMC, FDX, Hot Stocks, KMX, MS, SONC

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.

Mattel (NYSE:MAT - News). MAT'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.
Pediatrix Medical (NYSE:PDX - News). PDX'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.
Windstream Corporation (NYSE:WIN - News) & Carmax (NYSE:KMX - News). WIN's PowerRating is 6, KMX's PowerRating is 8.
Bearish
Gaps Up 5% or More: These are stocks that gap up by 5% or more and are trading below their 200-day moving average. Our research shows that stocks trading below their 200-day moving average that gap up by more than 5% have shown negative returns, on average, 1-day, 2-days and 1-week later. Historically, these stocks have provided traders with a significant edge.
SLM Corporation (NYSE:SLM - News). SLM's PowerRating is 4.
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.
Intuit (NasdaqGS:INTU - News). INTU's PowerRating is 3.
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.
Johnson & Johnson (NYSE:JNJ - News). JNJ's PowerRating is 4.
PowerRatings are courtesy of PowerRatings.net

Labels: Hot Stocks, INTU, JNJ, KMX, MAT, PDX, SLM, WIN

Stocks with Fizz: Hansen Natural (NasdaqCM: HANS) and Jones Soda (NasdaqCM: JSDA)
Cramer made a comparison between HANS, a stock that moved all the way from 13 cents to $50, and JSDA, which has moved from 81 cents to $20. He would use a recent pull back to buy JSDA as a speculative play because it has room to run, even though it has doubled. Cramer notes both HANS and JSDA have western-centered markets, appeal to a younger demographic, and adds when HANS was starting out, the company, like JSDA, had only a few analysts covering it. Although Jones is focusing on the lackluster soda business rather than getting into energy drinks, it could take business from Coke or Pepsi, and its lack of expansion is indicates there is room to grow.

Benefit of the Doubt: RadioShack(NYSE: RSH - News) CEO Julian Day and Sears Holdings (NasdaqGS: SHLD) CEO Eddie Lampert
Continuing his series on CEOs who deserve the benefit of the doubt, Cramer discussed Radio Shack's CEO Julian Day and Sears Holdings' CEO Eddie Lampert, both of whom treat their retail companies as real business and work on making money rather than mindlessly putting up new stores and focusing on same-store sales to please analysts. Cramer praises Day for "restoring profitability" rather than expanding before RSH is ready, and says Lampert has a "Wall Street edge." He would buy both stocks.

Next Week's Game Plan: Veraz Networks, Comverge, Best Buy (NYSE: BBY - News), Circuit City (NYSE: CC - News), GameStop (NYSE: GME - News)
Cramer says Veraz Networks, a new IPO which will trade under the symbol VRAZ, is telco equipment and internet infrastructure company worth buying. While it works with voice over internet, it is not to be compared with Vonage which Cramer considers "the single worst IPO of my lifetime," since Vonage is just a retailer while Veraz works with infrastructure. It should be priced from $10 to $12, but Cramer would be willing to spend up to $14. However, he thinks new IPO, Comverge, which will trade under the symbol COMV, is too expensive at $15 to $17. He likes the fact that the Comverge's technology increases profits for utilities companies, but would not pay more than $12.50. Cramer would pay attention to BBY's earnings report on Wednesday, because CC is blinking, and would buy BBY if it declines. However, he doesn't like BBY as much as GME, "the hottest part of consumer tech."
Mad Mail: Dell (NasdaqGS: DELL), Hewlett-Packard (NYSE: HPQ - News), CarMax (NYSE: KMX - News), AutoNation (NYSE: AN - News), AAR Corp (NYSE: AIR - News), GOL Linhas Areas Inteligentes (NYSE: GOL - News)
Cramer says Dell is "dead money" and would buy HPQ because it is cheaper and better. Concerning KMX's "worrisome" conference call, Cramer says the company's permanent margins may be coming down and now prefers AN. Finally, Cramer said he is not backing away from AIR and told another viewer to get back into GOL which should move from $30 to $40.
Published By SeekingAlpha

Labels: AIR, AN, BBY, CC, COMV, DELL, GME, GOL, HANS, HPQ, Jim Cramer, KMX, Mad Money, RSH, SHLD, VRAZ

Here are 7 stocks for traders for Thursday from TradingMarktets.com:
Resources Connect (NasdaqGS:RECN - News) missed earnings on Wednesday; analysts were looking for $0.27 EPS, but RECN announced $0.26. RECN's PowerRating is 5.

Paychex (NasdaqGS:PAYX - News) matched earnings estimates Wednesday afternoon, announcing $0.35 EPS. PAYX's PowerRating is 6.
A.G. Edwards (NYSE:AGE - News) reports quarterly earnings on Thursday before the bell; analysts are watching for $1.06 EPS. AGE's PowerRating is 6.
CarMax (NYSE:KMX - News) is looking to announce $0.22 EPS before the bell on Thursday. KMX's PowerRating is 5.
When Family Dollar Stores (NYSE:FDO - News) reports earnings Thursday morning, watch for $0.58 EPS. FDO's PowerRating is 6.
Steelcase (NYSE:SCS - News) should announce $0.18 EPS on Thursday morning before the market opens. SCS's PowerRating is 6.
Analysts are expecting Worthington Industries (NYSE:WOR - News) to report $0.06 EPS tomorrow morning. WOR's PowerRating is 6.
PowerRatings are courtesy of PowerRatings.net

Labels: AGE, FDO, Hot Stocks, KMX, PAYX, SCS, WOR

Game Plan for Next Week: Brocade (NasdaqGS: BRCD), Apple (NasdaqGS: AAPL), Hewlett-Packard (NYSE: HPQ - News), Phillips-Van Heusen (NYSE: PVH - News), CarMax (NYSE: KMX - News), Accenture (NYSE: ACN - News) and DSW (NYSE: DSW - News), Movado (NYSE: MOV - News)
Cramer suggested buying Brocade ahead of an analysts meeting on Thursday during which it is expected to raise its estimates. Although Cramer does not usually recommend Cisco's competitors, the stock should rise after the meeting and he predicts Cisco might buy BRCD. While he likes BRCD as a trade, the only tech stocks good for investments are AAPL and HPQ. Cramer expects strong earnings reports next week from PVH, KMX, ACN and DSW. Cramer's top stock next week is MOV which he thinks will deliver a "substantial upside surprise."
Good and Bad IPOs Photowatt, eTelecare with stock First Solar (NasdaqGM: FSLR)
Cramer discussed two companies which are going public next week, one to pay attention to and one to avoid. Concerning Photowatt, which will trade under PHWT, Cramer says "We have had way too many solar stocks come public and there's not enough demand, even with the hype that surrounds solar... Avoid it at any price." He suggested FSLR for those who want a solar stock. However, Cramer thinks eTelecare, an outsourcing company based in the Philippines "the next great, outsourcing center," might be a good stock. It is expected to trade under the symbol ETEL from between $12.50 and $14.50. Cramer would not pay more than $15 and urged, "please buy it carefully."
Freeport-McMoRan (NYSE: FCX - News)
FCX is now a "happy oligopoly" after having merged with Phelps Dodge and has cornered copper, comments Cramer, who says its a "screaming" buy. FCX is a "terrific hedge against inflation" and is in "tremendous demand." Its secondary offering was priced at 41 million shares and FCX rose $1. Cramer notes that FCX is a well-liked stock which will continue to go up. While analyst estimates are not high, Cramer predicts FCX will provide "blow away" numbers. He adds that while demand for copper has declined in the U.S., it is a sought-after mineral in China. Cramer sees this $62 stock going to $100.
Mad Mail: Altria (NYSE: MO - News), Kraft Foods (NYSE: KFT - News), Dean Foods (NYSE: DF - News)
When asked how MO holders can lessen the risk of a downside from KFT after it is spun off, Cramer suggests buying MO's "when-issued shares।" However, he added, "Kraft will be added to the S&P 500 so there's a very good chance it won't go down at all।" Cramer would stay with DF which should go up again.
Published by SeekingAlpha

Labels: AAPL, ACN, BRCD, DF, DSW, FCX, HPQ, Jim Cramer, KFT, KMX, Mad Money, MO, MOV, PVH

Here are 7 stocks for traders for Thursday from TradingMarkets.com:
Parallel Petroleum (NasdaqGM:PLLL - News) beat earnings Wednesday after the market closed with $0.29 EPS over a consensus of $0.12 EPS. PLLL's PowerRating is 4.
Tenaris (NYSE:TS - News) beat earnings on Wednesday afternoon, announcing $0.91 EPS over an expected $0.89 EPS. TS's PowerRating is 6.
Del Monte (NYSE:DLM - News) reports quarterly earnings on Thursday before the bell, with analysts looking for $0.22 EPS. DLM's PowerRating is 6.
Energy Partners (NYSE:EPL - News) is looking to report $0.05 EPS on Thursday before the market opens. EPL's PowerRating is 4.
LifeCell (NasdaqGS:LIFC - News) announces earnings on Thursday before the bell; look for $0.16 EPS. LIFC's PowerRating is 4.
Pride International (NYSE:PDE - News) should report $0.47 EPS Thursday morning. PDE's PowerRating is 5.
When Staples (NasdaqGS:SPLS - News) reports earnings Thursday before the action begins, look for $0.45 EPS. SPLS's PowerRating is 6.
**Correction: CarMax (NYSE:KMX - News) reports earnings March 29, not February 28 as reported yesterday.
PowerRatings are courtesy of PowerRatings.net

Labels: DLM, EPL, Hot Stocks, KMX, LIFC, PDE, PLLL, SPLS, TS

Here are 7 stocks for traders for Wednesday from TradingMarkets.com:
Novatel Wireless (NasdaqGM:NVTL - News) barely beat earnings on Tuesday after the bell, announcing $0.14 EPS over an estimated $0.13 EPS. NVTL's PowerRating is 5.
Wynn Resorts (NasdaqGS:WYNN - News) also beat on Tuesday afternoon, with $0.53 EPS over a consensus of $0.47. WYNN's PowerRating is 7.
CarMax (NYSE:KMX - News) announces earnings on Wednesday before the open, with analysts looking for $0.43 EPS. KMX's PowerRating is 6.
Joy Global (NasdaqGS:JOYG - News) is expected to report $0.60 EPS on Wednesday before the bell. JOYG's PowerRating is 5.
Liz Claiborne (NYSE:LIZ - News) reports quarterly earnings Wednesday before the market opens; look for $0.97 EPS. LIZ's PowerRating is 6.
When Interpublic Group (NYSE:IPG - News) announces quarterly earnings on Wednesday before the open, watch for $0.22 EPS. IPG's PowerRating is 5.
Sprint Nextel (NYSE:S - News) is looking to announce $0.29 EPS tomorrow morning. S's PowerRating is 4.
PowerRatings are courtesy of PowerRatings.net

Labels: Hot Stocks, IPG, JOYG, KMX, LIZ, NVTL, S, WYNN

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

Published By SeekingApha

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

Metrics System: Nike (NYSE: NKE - News), K-Swiss (NASDAQ: KSWS - News)
"If you don't know key metrics, you don't know stocks," Cramer said, demonstrating to viewers that stocks are not the sum total of their price-to-earnings ratios. Metrics, he explained, are made of up of inventories and futures, or advanced orders placed by retailers. Cramer compared K-Swiss, which saw a 32% decline in futures and an inventory increase of 21% to Nike, which had a 7% increase in futures and is tranferring its excess merchandise to outlets. However, the two companies may seem equal because they were priced the same for earnings. Cramer faults K-Swiss for refusing to cut prices in spite of its inventory problem and comments that the company, which has two classes of stock, is not so concerned about its shareholders. Cramer concluded that Nike was best of breed and K-Swiss was a triple sell.
Spin-Off Doctor: MRV Communications (NASDAQ: MRVC - News)
A good speculative play, according to Cramer, is MRVC which has three different businesses. The company's network integration business is responsible for 45% of MRVC's sales, has only 20% margins, is a slow grower, and is the business Cramer likes least. The network equipment division has the highest gross margins at 50%. Cramer's favorite business is Luminent which comprises 25% of MRVC's revenue and will turn the company into a moneymaker when it is spun off.
Intel (NASDAQ: INTC - News), AMD (NYSE: AMD - News), Captial One (NYSE: COF - News), United Health Group (NYSE: UNH - News), Continental (NYSE: CAL - News), Merrill Lynch (NYSE: MER - News)Cramer commmented that although Intel had a good quarter it is hurting itself and bitter rival AMD by cutting prices. Concerning UNH, he says that it has been performing well but hasn't straightened out its management woes, and since COP reported an increase in loan delinquencies, Cramer would stay away. Continental "has more momentum than any stock I know," he said, and also recommended Merrill Lynch.
CEO Interview: Tom Folliard CarMax (NYSE: KMX - News)
Cramer asked Tom Folliard why the used-car business is hot and the reason Wall Street doesn't seem to comprehend this fact. Folliard said that CarMax is dramatically different from other car dealers and added, "We have a huge selection of cars, no haggle price, guaranteed quality, a money-back guarantee and great employees." The company just opened in Hartford and will have a new showroom in New Haven. Folliard emphasized that the company does not sell cars on the Web, but uses the internet to attract customers to its showrooms.
Published By SeekingAlpha

Labels: AMD, CAL, COF, INTC, Jim Cramer, KMX, KSWS, Mad Money, MER, MRVC, NKE, UNH

Bullish calls:
Level 3 Communications(NASDAQ: LVLT - News): ' ... it looks really scary... LVLT issuing 160 million shares after the close? My favorite speculation for 2007... This, my friends, is not scary ... We've been talking about the virtuous circle up ... LVLT remains two thumbs up, way up ... This stock is headed higher.'Eagle Materials (NYSE: EXP - News): 'That is a great company with a gigantic insider buyer, with a phenomenal balance sheet, with a tremendous opportunity for a CX to take it over ... two thumbs up, way up.'Baidu.com (NASDAQ: BIDU - News): 'I have been itching to buy this BIDU, to recommend it on the show... I keep waiting for a down day... It is killing me. I am right now sanctioning a small buy in BIDU right here, praying that it will come down.'Texas Roadhouse (NASDAQ: TXRH - News): 'TXRH has stalled out... I cannot give up on TXRH, but I just can't understand the bear case for TXRH. I say $13 ('mon-back). Let's buy them.'Darden Restaurants (NYSE: DRI - News)McDonald's (NYSE: MCD - News)Res-Care (NASDAQ: RSCR - News): 'it's a disability play ... This is my favorite. And I think you should swap out of the HLS, if you're in that, and get into RSCR which, to me, is best of breed in the field.'CarMax (NYSE: KMX - News): 'There is nothing like the retailing of cars. It is a phenomenal business ... 52-week high again. And I am saying don't ring the register. That is how good KMX is ... Two thumbs up, way up.'Savient Pharmaceuticals (NASDAQ: SVNT - News): 'I prefer Savient over SGEN.'Toyota Motor (NYSE: TM - News): 'Holy cow, it just dropped 15 points. ('mon-back sound). Let's do some buying.'Capital One Financial (NYSE: COF - News): 'The bears keep swarming. I think they'll be wrong. Buy, buy, buy! I want to buy COF.'Best Buy (NYSE: BBY - News): 'They're best in show ... I don't even know why Circuit City (NYSE: CC - News) exists. Julian Day is cutting back the Radio Shacks ... That means wide open field for BBY. The stock has been heading down ... It may be flatlining here and then, when it reports the quarter, it goes up 3 or 4. That's a tough call for me.'Riverbed Technology (NASDAQ: RVBD - News): 'The stock is bouncing back now ... best in show. I want you to stick with it. As a matter of fact, I want you to buy it. Buy, buy, buy!'
Bearish calls:
Corn Products International (NYSE: CPO - News): 'Most of their costs are corn, and corn is going up, up, up ... but they're able to put through a price increase. They just gave you a dividend increase. I've got to tell you, this one is not for me. Don't buy, don't buy. But far be it for me to say sell, sell, sell. They seem to have the costs - even though they're skyrocketing - under control.'HealthSouth (NYSE: HLS - News)Energy Conversion Devices (NASDAQ: ENER - News): 'I cannot - in good conscience - recommend that stock with oil at $51, going to $49. So, I am going to say no, no, no. Sell, sell, sell.'Seattle Genetics (NASDAQ: SGEN - News): 'It's a $300 million company. I cannot get behind it. It's at a 52-week high. I've got a lot of really great biotechs that are well off their high. Don't buy, don't buy.'

Labels: BBY, BIDU, CC, COF, CPO, DRI, ENER, EXP, HLS, Jim Cramer, KMX, LVLT, Mad Money, MCD, RSCR, RVBD, SGEN, SVNT, TM, TXRH

Wall Street advanced on Wednesday, with the Dow Jones industrials pushing past its record close as Asian markets recovered from a selloff and investors sifted through a barrage of corporate profit reports.
Investors breathed a bit easier after Asian markets staged a recovery overnight, soothing concerns the region was in jeopardy of slipping into an economic crisis. The Thai government on Tuesday backed off a plan to impose capital controls on foreign investors.
Investors viewed a strong report from automobile dealership chain CarMax Inc. as a boost to the automotive industry. However, transports were lower after FedEx Corp. forecast third-quarter earnings that trailed Wall Street projections.
The advance comes a day after investors overcame lackluster figures on inflation to send the Dow to its 21st record close since the start of October.

Labels: ERIC, FDX, KMX, KOSN, PANC, pfe, RBAK, SBH, TCO

Here are 7 stocks for traders for Wednesday from TradingMarkets.com:
Palm (NASDAQ:PALM - News) beat earnings on Tuesday after the close with $0.17 EPS over an expected $0.15 EPS. PALM's PowerRating is 5.
Chaparral Steel (NASDAQ:CHAP - News) beat earnings after the bell Tuesday, announcing $1.40 EPS over a consensus of $1.26 EPS. CHAP's PowerRating is 6.
AAR Corp (NYSE:AIR - News) announces earnings on Wednesday before the open; look for $0.33 EPS. AIR's PowerRating is 6.
Biomet (NASDAQ:BMET - News) reports quarterly earnings Wednesday morning, with analysts expecting $0.44 EPS. BMET's PowerRating is 5.
Family Dollar (NYSE:FDO - News) announces earnings on Wednesday morning before the bell; expect $0.36 EPS. FDO's PowerRating is 5.
When FedEx (NYSE:FDX - News) reports earnings tomorrow morning, look for $1.76 EPS. FDX's PowerRating is 5.
CarMax (NYSE:KMX - News) looks set to announce $0.25 EPS on Wednesday morning. KMX's PowerRating is 6.
PowerRatings are courtesy of PowerRatings.net

Labels: AIR, BMET, CHAP, FDO, FDX, Hot Stocks, KMX, PALM