Jim Cramer Blog

Citigroup (C) fell 5% Monday after news of more write-downs and CEO Chuck Prince’s departure. Charlie Gasparino joined the show to give his opinion on Citigroup. He thinks that Citigroup didn’t pop on the news of Prince leaving because Chairman Robert Rubin failed to communicate the new Citigroup vision that everyone on Wall Street was looking for. Macke thinks that Citigroup has to clear the deck and bring in somebody new to run the company.
Chartology: Technical analyst John Roque of Natexis Bleichroeder was on the show to give his analysis on the technical signs in the market. Roque still likes the longer term trend line on the S&P moving average. He predicts that the financials will be under performers for a long time. Roque also points out that the trend for oil, silver and gold remains up and if history is a guide that up trend will continue. He is positive about Newmont Mining (NEM) and thinks the stock can trade into the high $80’s.
Ethanol: Archer Daniels Midland (ADM) is set to report earnings on Tuesday. Najarian tells investors to look to at Deere (DE) and Bunge (BG) instead. Adami would rather be in Potash (POT) for an ethanol play.
IAC/InterActive Corp (IACI) announced plans Monday to split up into 5 separate companies. Also, Kraft (KFT) is looking to sell its Post cereal business for $2.8 billion. Finerman is happy with the news. Macke also likes Kraft's plans, but he wasn’t a big fan of IAC/InterActive’s plans to spin off divisions. Najarian thinks that Johnson & Johnson (JNJ) could benefit from a break up.
Technology: Google (GOOG) announces plans to create an open platform, Android, for the mobile phone market. Sun Microsystems (JAVA) falls after hours on lighter then expected revenue numbers. Macke thinks companies like VMware (VMW) and its technology could put JAVA out of business in the future. Dell (DELL) announced plans on Monday to buy virtualization software maker EqualLogic for $1.4 billion. Activision (ATVI) reports a second quarter profit as revenue soars.
Word on the Street: Time Warner (TWX) CEO Richard Parsons will step down on January 1st and be replaced by Chief Operating Officer Jeffrey Bewkes. Finerman likes the retail stocks better than financials. She bought call options on Friday and Monday on Crocs (CROX) and also thinks Under Armour (UA) and Dick’s Sporting Goods (DKS) are interesting here. PetroChina (PTR) topped $1 trillion in market cap surpassing Exxon Mobil (XOM). Adami likes that Chevron (CVX) preformed okay in a lousy tape today.
Pops & Drops
Pops -First Solar (FSLR) traded up 10% after hours on news of a $1 billion module supply contract.
Marvel Entertainment (MVL) traded up 16% on a strong profits report.
Mattel (MAT) traded up 4%
Ballard Power Systems (BLDP) traded up 12%
WellCare Health Plans (WCG) popped 22% on a 67% increase in profits.
Sysco (SYY) traded up 2% after reporting a 16% rise in profits.

Labels: ADM, ATVI, BG, BLDP, CROX, DE, DELL, DKS, Fast Money Recap, GOOG, IACI, JAVA, JNJ, MAT, MVL, NEM, POT, TWX, UA, VMW

Chip stocks traded lower after Morgan Stanley downgraded Intel (INTC), Advanced Micro Devices (AMD) and NVIDIA (NVDA) to underweight. CSX Corporation (CSX) traded lower after it was also downgraded by Morgan Stanley. Mattel (MAT) and Hasbro (HAS) traded lower after BMO Capital Markets downgraded the toy sector. Macke: the downgrade is about taking gains and he is still long Hasbro and Disney (DIS).
Carl Icahn: raised his stake in Temple-Inland (TIN) to 8.9% and BEA Systems (BEAS) to 11%.
Word on the Street
Wheat traded lower for the second day in a row on bearish planting forecasts. Najarian: the pullbacks in commodity names like BHP Billiton (BHP) and Freeport-McMoRan (FCX) are buying opportunities. He also sees continued buying in October call options on EchoStar (DISH). Macke agrees.
iShares FTSE/Xinhua China 25 Index ETF: falls 5% after a huge 2-day run.
TXU (TXU): Dylan Ratigan reported that financing for a TXU (TXU) buyout could be set to go next week. If this deal closes it will be the largest private equity deal ever. Finerman says that Guitar Center (GTRC) is also close to getting a deal done. Finerman's play on this very recent trend is Lehman Brothers (LEH) and Goldman Sachs (GS).
Blackberry
The Blackberry has been a gigantic hit for Research In Motion (RIMM) and investors have seen the stock for RIMM go up 126% on the year. Global Crown Capital increased the RIMM target price to $180 a share.
Face2Face
First writer asked about China Finance Online (JRJC), China BAK Battery (CBAK) and even Baidu.com (BIDU). Macke says neither bubble nor exuberance come to mind. He tells writer that these are momentum plays and you should treat them as such.
Another writer asked for some insight into what Garmin's (GRMN) recent volume is telegraphing? It was 7 times the average volume to the downside when the NAVTEQ (NVT) deal was announced Monday. Finerman: this is disruptive for two reasons. First, it makes the valuation of Garmin rich, and second it's a problem for Garmin to have someone buy the software it needs to make its product. Finerman owns NAVTEQ for a play on Garmin taking it over.
Pops & Drops
Pops- Panera Bread (PNRA) traded up 8%. Adami thinks Panera will rally into earnings and then it will be time to sell it.
Harley Davidson (HOG) traded up 6% off. Najarian says its still way off the highs.
Kaiser Aluminum (KALU) popped 7%. Finerman agrees that the stock is still undervalued.
Circuit City (CC) traded up 5%. Macke: Get out of Circuit City while you can.
KB Home (KBH) traded up 5%. Adami says take the profits and run.
NYSE Euronext (NYX) traded up 2%. Adami says $85 will be big resistance for NYX.
Drops- Wynn (WYNN) fell 10% and Las Vegas Sands (LVS) fell 12% off of disappointing growth numbers for Macau. Najarian says the numbers out of Macau were not as big as people thought they would be, hence the disappointment.
Midway Games (MWY) fell 5%. Macke: MWY is married to Sony whose Playstation has tough competition against the Nintendo Wii.
Final Trade
Macke: sell homebuilders and book the short-term gains.
Finerman: going with Icahn and BEA Systems (BEAS).
Najarian likes Apple (AAPL).

Labels: AMD, BEAS, BHP, CNBC, CSX, DIS, DISH, Fast Money, Fast Money Recap, FCX, HAS, INTC, MAT, TIN

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

Stocks slid yet again today on increased credit fears and sluggish retail earnings. At the close, the Dow Jones finished down -208 points, marking the fourth-consecutive down day for the index. The tech-laden Nasdaq fell -43 points, while the broader S&P 500 dropped -26 points. Oil rose 76 cents to $72.38 a barrel.
In economic news today, the Labor Department said the Producer Price Index jumped a larger-than-expected 0.6% in July as energy prices led the way with a 2.5% gain. Excluding food and energy prices, core prices rose 0.1%, which was in line with expectations.
Over in the credit markets arena, Sentinel Management Group, a firm that manages $1.6 billion in assets, asked regulators for permission to freeze withdrawals because credit market turmoil has made it impossible to meet investors' needs without liquidating assets at a steep discount.
Earnings report cards came out for two major retailers. The first was the nation's largest home-improvement company, Home Depot (NYSE: HD - News), which reported a -15% drop in second-quarter profit. For the quarter, the company said net income came in at $1.59 billion, or 81 cents a share, down from $1.86 billion, or 90 cents a share, in the year-ago period. Excluding one-time items, EPS was 77 cents, which was down from 82 cents last year but higher than analyst estimates of 72 cents. Sales fell -1.8% to $22.18 billion. Sales at stores open at least a year dropped -5.2%. The stock fell -4.9%.
Wal-Mart (NYSE: WMT - News), the world's largest retailer, posted a lower-than-expected quarterly profit today and lowered Q3 and full-year guidance. The company said second-quarter net income totaled $3.1 billion, or 76 cents a share, up from $2.08 billion, or 50 cents a share, last year. Excluding items, EPS was 72 cents, a full 4 cents lower than what analysts expected. Revenues came in at $93.0 billion, up from $85.4 billion last year. The lower quarterly profit was blamed on "economic pressures around the world." Shares slid -5.1%.
In other news, toymaker Mattel (NYSE: MAT - News) announced this morning that it will be recalling 18.6 million toys made in China after the company warned that children could swallow the magnets in some toys. The toys affected include Polly Pocket and Batman among others. This is the second time in as many months the toy company had to recall toys that were made in China. Shares fell -2.4% on an overall gloomy day for equities.
In more upbeat news, shares of software company VMware (NYSE: VMW - News) debuted today in a hotly awaited IPO, and investors were not disappointed. Shares rocketed out of the gate on their first day of trading, and closed the session up 75.9%. VMware's parent EMC (NYSE: EMC - News) owns an 89% stake in the software company.
By the BullMarket.com Staff

Labels: EMC, HD, MAT, VMW, VMware Inc., WMT

Stocks seesawed throughout most of the session before rallying into the close. At the end of the trading day, all the major market averages closed with solid gains, the second day in a row we've seen heavy buying late. Corporate earnings helped drive bears indoors as credit market jitters appeared to take a backseat.
Earning report cards from many of America's largest companies came out today, among them CVS Caremark (NYSE: CVS - News) which saw profits rise 114% due to its recently completed merger with Caremark. Profits hit $724 million, or 47 cents a share, compared to $337.9 million, or 40 cents, in the year-ago period. Excluding merger-related charges, EPS would have been 48 cents a share. Revenues nearly doubled to $20.7 billion. The new company cited strength in its core retail pharmacy business as helping fuel increased profits. Shares rose 3.5%.
Hotel operator Starwood Hotels & Resorts (NYSE: HOT - News) said net income came in at $145 million, or 67 cents a share, down from $680 million, or $3.01 a share, last year when the company booked a one-time gain. Excluding special items, its EPS was 82 cents, up from 74 cents in the same period last year. The figures easily beat analyst estimates of 63 cents a share. Revenues rose 4.5% to $1.57 billion as revenue per available room (revpar) rose 8.4%. The company also raised its full-year EPS guidance to $2.78, up from $2.57 previously. Its shares rose 2.1%.
Shares of Walt Disney (NYSE: DIS - News) rose 1.6% after the media and theme park operator reported a third-quarter profit of $1.18 billion, or 57 cents a share, up from $1.13 billion, or 53 cents a share, last year. The 4.7% profit increase was attributed to higher advertising rates at its ABC television unit as well as merchandising from films. Revenues rose 6.7% to $9.05 billion. The company also said it acquired Club Penguin for $350 million in cash, as well as saying it could pay out an additional $350 million if certain profit goals are met.
Nokia (NYSE: NOK - News), the world's largest maker of mobile phones, said net income more than doubled to 2.82 billion euros, or 0.72 euros a share, up from 0.28 euros a share, last year. Excluding extraordinary items, it would have reported earnings of 0.32 euros a share, easily beating estimates of 0.28 euros. Sales rose 28% to 12.6 billion euros. The Finland-based company said it grabbed more market share in the second quarter. Shares surged 8.8%.
In other company news, Mattel (NYSE: MAT - News) shares fell -1.7% after the toymaker said it has recalled 1.5 million toys that are tainted with lead. It blamed the recall on a supply manufacturer in China.
By the BullMarket.com Staff

Labels: CVS, DIS, HOT, MAT, NOK

Mattel Inc. reported a 15 percent increase in its second-quarter profit Monday with strong sales of toy cars, although Barbie revenue in the U.S. fell for the second consecutive quarter.
The toy maker posted net income of $43.1 million, or 11 cents per share, compared with $37.4 million, or 10 cents per share, a year ago.
Revenue totaled $1.02 billion, up from $958 million in the year-ago period.
The company's profit matched expectations of analysts surveyed by Thomson Financial, although revenue fell below the $1.03 billion analysts were looking for.
The company said global gross sales for Barbie rose 6 percent, although 4 of those percentage points came from fluctuations in currency exchange.

Labels: MAT, Mattel Inc.

The major market averages were mixed today, with the Dow Jones once again setting a new all-time closing high. The S&P and Nasdaq, meanwhile, traded lower. Oil remained high on investor minds as the price of crude traded above $74 a barrel. Investors are awaiting a bevy of earnings reports from some big names later this week.
On the economic front, the Federal Reserve Bank of NY said its general economic index rose to 26.5 from 25.8 the prior month. Any reading above zero marks expansion.
On the M&A front, IHOP (NYSE: IHP - News) agreed to buy casual-dining chain Applebee's International (Nasdaq: APPB - News) for $25.50 a share, or $2.1 billion. The deal is unique given IHOP's smaller market cap. It plans to finance the deal by franchising the vast majority of Applebee's 508 company restaurants. The deal includes a modest 4.6% premium to Applebee's closing price on Friday.
On the earnings front, shares of toy maker Mattel (NYSE: MAT - News) rose 2.5% on the session after the company reported net income of $43.1 million, or 11 cents a share. Revenue rose 7% to $1.02 billion on increased international sales. Burger giant McDonald's (NYSE: MCD - News) reported this morning that same-store sales in restaurants opened at least 13 months rose 7.4% in the second quarter and 8.4% in June. The quarterly rise was the biggest in three years. The world's largest restaurant chain now expects to post earnings of 71 cents a share excluding items, compared to analyst estimates of 68 cents a share. Shares of McDonald's rose 0.4%. Subscribers can read our analysis of McDonald's in today's issue.
In other news, shareholders of Lear (NYSE: LEA - News) rejected plans for a $2.9 billion buyout led by billionaire Carl Icahn. Earlier this month, Icahn's American Real Estate Partners (NYSE: ACP - News) raised its bid to $37.25 a share, but shareholders felt the offer was inadequate. Icahn who already owns 24% of Lear will be granted a termination fee totaling $25 million in cash and stock.
By the BullMarket.com Staff

Labels: ACP, APPB, Carl Icahn, IHP, LEA, MAT, MCD

Here are 7 stocks for traders for Monday from TradingMarkets.com:
Eaton (NYSE:ETN - News) reports earnings on Monday before the open, with analysts looking for $1.47 EPS. ETN's PowerRating is 5.
Mattel (NYSE:MAT - News) should announce $0.11 EPS on Monday before the bell. MAT's PowerRating is 5.
When Merix (NasdaqGM:MERX - News) reports earnings on Monday morning, be looking for $0.01 EPS. MERX does not have a PowerRating due to volume constraints.
WW Grainger (NYSE:GWW - News) should announce $1.19 EPS before the bell on Monday. GWW's PowerRating is 5.
ADTRAN (NasdaqGS:ADTN - News), Equity Lifestyle Properties (NYSE:ELS - News) and Novellus (NasdaqGS:NVLS - News) all report earnings on Monday after the market closes, so look for heightened price action and volatility ahead of the bell. ADTN's PowerRating is 5, and ELS's PowerRating is 4 and NVLS's PowerRating is 4.
PowerRatings (for Traders) is courtesy of TradingMarkets.com

Labels: ADTN, ELS, ETN, GWW, Hot Stocks, MAT, MERX, NVLS

Here are 7 stocks for traders for Monday from TradingMarkets.com:
Eaton (NYSE:ETN - News) reports earnings on Monday before the open, with analysts looking for $1.47 EPS. ETN's PowerRating is 5.
Mattel (NYSE:MAT - News) should announce $0.11 EPS on Monday before the bell. MAT's PowerRating is 5.
When Merix (NasdaqGM:MERX - News) reports earnings on Monday morning, be looking for $0.01 EPS. MERX does not have a PowerRating due to volume constraints.
WW Grainger (NYSE:GWW - News) should announce $1.19 EPS before the bell on Monday. GWW's PowerRating is 5.
ADTRAN (NasdaqGS:ADTN - News), Equity Lifestyle Properties (NYSE:ELS - News) and Novellus (NasdaqGS:NVLS - News) all report earnings on Monday after the market closes, so look for heightened price action and volatility ahead of the bell. ADTN's PowerRating is 5, and ELS's PowerRating is 4 and NVLS's PowerRating is 4.
PowerRatings (for Traders) is courtesy of TradingMarkets.com

Labels: ADTN, ELS, ETN, GWW, Hot Stocks, MAT, MERX, NVLS

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.

Longs Drug Store (NYSE:LDG) & Mattel (NYSE:MAT). LDG's PowerRating is 7, and MAT'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.
Alcoa (NYSE:AA). AA'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.
Merck (NYSE:MRK) & Everest Re Group (NYSE:RE). MRK's PowerRating is 7, and RE's PowerRating is 7.
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.
Mannatech (NasdaqGS:MTEX). MTEX'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.
FreightCar America (NasdaqGS:RAIL). RAIL's PowerRating is 3.
PowerRatings (for Traders) are courtesy of TradingMarkets.com

Labels: AA, Hot Stocks, LDG, MAT, MRK, MTEX, RAIL, RE

Stocks advanced solidly today, aided by some upbeat news on consumer spending and some better-than-expected profit reports from U.S. corporations. Investors were encouraged by a government report that showed consumer spending resulted in a March retail sales gain of 0.7%. The start of the trading week also saw a slight drop in crude oil prices and firming by the 10-year Treasury note.
The Commerce Department's report on March retail sales was above expectations as well as an improvement over the revised 0.5% increase recorded in February. The government had originally reported a meager 0.1% increase in February retails sales. The Commerce Department also said business inventories rose 0.3% in March, which was more than the 0.2% Wall Street was expecting, but investors shrugged off the gain.
Today's earnings news began with a Q1 report from Citigroup (NYSE: C), the nation's largest bank. Investors were pleased by top-line results that exceeded expectations, pushing the shares up 2.6%. The banking giant's bottom-line results were hurt by charges associated with the cost-cutting measures the company recently announced. Citigroup reported net income of $5 billion, or $1.01 a share, which represented an -11% decline from the $5.64 billion, or $1.12 a share, it earned a year earlier. Excluding charges, the bank would have reported a profit of $1.18 a share. Revenue jumped 15%. Subscribers can read our analysis of Citi's Q1 performance in today's issue.
Citi's results helped boost the shares of several money center banks. Rising today were the shares of Wachovia (NYSE: WB), J.P. Morgan Chase (NYSE: JPM), and Bank of America (NYSE: BAC). J.P. Morgan and Bank of America, along with two private-equity funds, also agreed today to purchase SLM (NYSE: SLM), the student-loan provider widely known as "Sallie Mae." The company's shares jumped 18.4%. The group will pay $60 a share, or $25 billion, for the company.
Elsewhere in the financial sector, California-based mortgage lender Fremont General (NYSE: FMT) surged 26% after the company announced it had found a buyer for its subprime business. Fremont says it has a signed letter of intent for its subprime portfolio, but did not disclose the purchaser.
The report from drugmaker Eli Lilly (NYSE: LLY) reflected a similar scenario to that of Citigroup, with similar results for its shares. The stock closed up 2.7% despite the fact that Lilly reported a -39% decline in its Q1 profits. Revenue, however, was up 14%. Lilly's bottom line was hurt by charges associated with acquisition costs, plant closings, and a licensing deal with OSI Pharmaceuticals (Nasdaq: OSIP) for an experimental drug. Lilly raised its full-year forecast.
Toy maker Mattel (NYSE: MAT) said strong sales of its Fisher-Price, Hot Wheels, and Matchbox products helped boost revenue 19% to $940. Profits, however, dropped -60% against last year's Q1, which was aided by 15-cent a share tax benefit.
By the BullMarket.com Staff

Labels: BAC, C, FMT, JPM, LLY, MAT, OSIP, SLM, WB

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

Bullish calls:
Sirius Satellite Radio (NasdaqGS: SIRI): 'Perhaps someone might want to ask me about SIRI, which I think could just get a bump of 10%, because of some activities in radio...'Mattel (NYSE: MAT - News): 'I feel that MAT goes higher ... How about this? If you have 200 shares, take off 50, but let that run on a fundamental basis, because it's real good.'Hasbro (NYSE: HAS - News)CVS (NYSE: CVS - News): ' ... they got this Caremark. It's a great move ... CVS - best in show. Really smart. Ended up getting it cheap. I'm not backing away from CVS. No. If anything - down a dollar - I'm pulling the trigger.'Express Scripts (NasdaqGS: ESRX): 'I've been buying ESRX ... Why? Because I think Walgreens has to do a me-too (buy ESRX because CVS bought Caremark).'Rochester Medical (NasdaqGM: ROCM): 'Unbelievably good baby-boomer play. I say stick with it. Do not can it until you get to $30 smackers!'Zimmer (NYSE: ZMH - News)Allergan (NYSE: AGN - News)Color Kinetics (NasdaqGM: CLRK): 'CLRK makes this really cool lighting system ... I think CLRK is the best-in-show of the lighting group. That's what you want to be in.'Bank of Nova Scotia (NYSE: BNS - News): 'BNS? ...They are going to own - I am not kidding - they are going to own the Caribbean. BNS is the best-run bank in Canada.'Medco Health (NYSE: MHS - News): 'MHS, down $4 bucks from a high is so fantastic...'Yamana Gold (NYSE: AUY - News): 'We're going to go to AUY! Still, after a double, I am still recommending AUY. That's the best in show ('mon-back sound).'International Securities Exchange (NYSE: ISE - News): 'All right, every one of these is a takeover target.'IntercontinentalExchange (NYSE: ICE - News): 'I am liking ICE - the Intercontinental Exhange - down $40 from its high.'Intuitive Surgical (NasdaqGS: ISRG): 'The only one in the medical space that's left is ISRG. The stock grows at 35%, It has the ability to go up another 30-40 points. I want to buy ISRG. I like that stock very much.'Las Vegas Sands (NYSE: LVS - News): 'Oh, you know I like that company. That is really well-run. I've liked it for 50 points.'Mueller Water (NYSE: MWA - News): 'I just got their annual report. I think it looks real good. I've got to tell you, I'm a believer down here in water infrastructure.'
Bearish calls:
US Gold (AMEX: UXG - News): 'No. No. You know, we're not going to go to Nevada and find a lot of gold anymore. We're going to go to Latin America. We're going to go to South America.'J2 Global Communications (NasdaqGS: JCOM): ' ... this has been a very hard stock for me to get a line on, frankly. I have not understood why it keeps going higher ... 'don't buy, don't buy'Mannatech (NasdaqGS: MTEX): 'Nutritional supplements. A good business, but I have burned people in MATK, so I want to be very careful, and, again, I'm going to have to resort to the 'don't buy' button.'Smith & Wesson (NasdaqGS: SWHC): 'I'm sticking with another 'don't buy.'BB&T (NYSE: BBT - News): 'No. No. I don't like the regional banks. Sell, sell, sell!'Valero Energy (NYSE: VLO - News): 'At $69... At this price, I'm a register ringer. I can't take the pain. I'd rather be in an integrated.'
Published By SeekingAlpha

Labels: AGN, AUY, BBT, BNS, CVS, HAS, ICE, ISE, Jim Cramer, Lightning Round, LVS, Mad Money, MAT, MHS, SIRI, UXG, VLO, ZMH

A spate of merger news, a handful of positive earnings reports, and a drop in the price of oil helped keep stocks in the black for the first half of today's session, but stocks weakened over the course of the afternoon, and the S&P 500 closed below the unchanged line, while the Dow Jones and Nasdaq eked out small gains. Many investors, however, were looking ahead to Wednesday when the market will pour over the latest statement from the Federal Reserve. The Fed has kept interest rates unchanged at its last four meetings.
Reflecting the growing unlikelihood that the Fed will lower rates any time soon, bonds showed weakness and the 10-year Treasury note traded lower, pushing the yield higher on the day. Meanwhile, after a brief rally in oil spurred in part by the belated onset of cold weather across much of the U.S., traders took profits and drove the price of a barrel of crude down to below $54 a barrel.
In M&A news, Merrill Lynch (NYSE: MER - News) said it will pay about $1.8 billion in cash and stock to acquire First Republic Bank (NYSE: FRC - News), a 44% premium to First Republic's Friday closing price. Citigroup (NYSE: C - News) announced that it will spend $1.13 billion to buy Egg, the online banking arm of U.K. insurance firm Prudential PLC (NYSE: PUK - News).
Forest products companies Bowater (NYSE: BOW - News) and Abitibi-Consolidated (NYSE: ABY - News) agreed to combine in an all-stock deal. Security software firm Symantec (Nasdaq: SYMC - News) said it will pay about $830 million for Altiris (Nasdaq: ATRS - News), a maker of IT software. The offer is a 22% premium to Altiris' closing price on Friday. Bristol-Myers Squibb (NYSE: BMY - News) jumped 5% after a report from a French newspaper said that the company is in merger talks with French conglomerate Sanofi-Aventis (NYSE: SNY - News). And, finally, education services provider Laureate (Nasdaq: LAUR - News) agreed to a management-led buyout deal worth $3.8 billion.
Verizon (NYSE: VZ - News) reported fourth-quarter results, posting a year-over-year decline in net income due to charges related to the sale of several non-core businesses. Excluding those charges, Verizon's results beat estimates by a penny. On the conference call, Verizon execs also said that they were happy to have turned down Apple's (Nasdaq: AAPL - News) offer to be the exclusive partner for the new iPhone because of the onerous terms dictated by Apple. AT&T (NYSE: T - News; formerly Cingular) ultimately agreed to team with Apple.
Toymaker Mattel (NYSE: MAT - News) also reported fourth-quarter results, with net profit rising 3% year over year to 75 cents per share and revenue gaining 14% to $2.11 billion. The results easily beat analyst estimates. However, the company acknowledged that an impressive showing from toys related to the Disney (NYSE: DIS - News) and Pixar film "Cars" would make for tough comparisons in 2007.
In tech news, Intel (Nasdaq: INTC - News) jumped 2% after announcing a technological breakthrough. The world's biggest chipmaker said that it has built working prototypes of new transistors using new materials that improve performance. IBM (NYSE: IBM - News) also announced technology using the new material, the element hafnium. Separately, Hewlett-Packard (NYSE: HPQ - News) moved up 2% after positive comments from several analysts.
By the BullMarket.com Staff

Labels: AAPL, ABY, ATRS, BMY, BOW, C, DIS, FRC, HPQ, IBM, INTC, LAUR, MAT, MER, PUK, SNY, SYMC, T, VZ

It’s going to be a second week of heavy and influential corporate reporting for earnings hounds.
Reports from the likes of Boeing (BA), US Steel (X), Verizon (VZ), Exxon (XOM) and Comcast (CMCSA) will be in the spotlight and could impact the broader market. So far, the damage inflicted due to sub par results or just matching estimates has been minimal. However, sentiment did take a turn for the worse on both Thursday and Friday. Without corrective action, the thought is that similar results will beget further selling pressure as the idea of multiple contraction comes into play.Economic watchdogs are going to busy as well, beginning with a slug of reports on Wednesday. On that day, the FOMC meeting will take center stage, but other data could prove to be more important. Rates are widely expected to remain unchanged at 5.25%. However, price pressures and slightly better growth for the economy has sparked talk of potential increases. That said, the policy statement and any wording that might hint at the Fed’s intentions on the future path of rates will be important. For many investors, with earnings growth accepted as slowing down, without a rate cut provision sometime later this year, the view is that 2007 will be a bumpy one.Other economic data coming both before and after the FOMC statement could ultimately ease or inflate Fed policy and viewed as taking top billing for the week. The Q4 GDP out Wednesday morning is one that investors should be on the lookout for. The Street is looking for 3.0% annual growth, which has been quickly adjusted upwards since last month. Sinking gas prices, warmer temperatures in the northeast and a decent holiday shopping season are seen as being key catalysts for the bump up by analysts. Meanwhile, the core PCE price index is expected to show an increase of 2.2%. And on Friday, the jobs report will be dissected for any clues over a firm labor market which might lean the Fed towards a tighter monetary policy.
Monday
Economic: NAEarnings: Mattel (MAT), Phelps Dodge (PD), USG Corp (USG), Verizon (VZ), Schering (SGP), Atheros (ATHR), Gol Air (GOL), Zimmer (ZMH)
Tuesday
Economic: Consumer Confidence (109.5)Earnings: 3M (MMM), Black & Decker (BDK), Illinois Tool (ITW), JetBlue (JBLU), Merck (MRK), UPS (UPS), Cymer (CYMI), Flextronics (FLEX), SanDisk (SNDK), US Steel (X), Websense (WBSN)
Wednesday
Economic: GDP Advance (3.0%), Chain Deflator (1.7%), Employment Cost Index (1.0%), Chicago PMI (52), Construction Spending (0.0%), Weekly Crude, FOMC Policy (5.25%)Earnings: Altria (MO), Boeing (BA), Kodak (EK), CBOT (BOT), Hilton (HLT), OptionsXpress (OXPS), NYMEX (NMX), Eagle Matls (EXP), Gilead (GILD), Google (GOOG), Armor Hldg (AH), JDS Uniphase (JDSU), Starbucks (SBUX), Sunoco (SUN), Pulte (PHM)
Thursday
Economic: Inc & Spend (.5%, .7%), Weekly Claims (318K), ISM Index (51.5), Auto / Truck Sales (5.4M, 7.4M)Earnings: Archer Dan (ADM), Comcast (CMCSA), CVS (CVS), Exxon (XOM), Celgene (CELG), Monster (MNST), Under Armour (UA), Valero (VLO), Amazon (AMZN), Dolby (DLB), Electronic Arts (ERTS), Intuitive Surgical (ISRG), Rackable Systems (RACK), Silicon Motion (SIMO), Vertex (VRTX)Friday Economic: Nonfarm Pay (150K), Unemployment (4.5%), Hourly Earnings (.3%), Factory Orders (1.5%), Michigan (97.8) Earnings: Arch Coal (ACI), Chevron (CVX), NYSE Group (NYX), Oshkosh (OSK), Ventana Med (VMSI), Wendy’s (WEN)

Labels: AMZN, ATHR, BA, GILD, JBLU, JDSU, MAT, MRK, NYX, PHM, SGP, SIMO, USG, VLO, VZ, WBSN, X, XOM