Jim Cramer Blog

Altria (MO), Bank of America (BAC), Chevron (CVX), Honeywell (HON), Conco-Phillips (COP), Freeport-McMoran (FCX), Schlumberger (SLB), American International Group (AIG), Pfizer (PFE), Cisco (CSCO)
Cramer was disappointed with Dow Jones' facelift which involved getting rid of Altria, and Honeywell, and adding Bank of America and Chevron. Three economic themes Cramer thinks should have been expressed in the Index changes are the growing importance of natural resources, the dwindling power of the financial sector and international growth. None of these themes were reflected in today's choices, Cramer commented. He said a financial should have been removed rather than added to the Dow, COP would have been a better choice than CVX, and would have considered including FCX or SLB in addition to keeping HON. He would have dropped AIG which is a travesty masquerading as an insurance company whose CEO, Martin Sullivan, was recently added to Cramer's Wall of Shame. He would also give Pfizer the pink slip, and would consider adding CSCO, since it is diversified.
Raytheon (RTN)
In spite of Goldman's Sachs note of Early indications of slowing growth in defense spending..., the military budget keeps growing; President Bush is asking for a $515 million for 2009 which is a 7.5% increase. Cramer likes RTN in this space because it has strong international sales, and is up 25% since Goldman's downgrade last March, but he would wait for a pullback before buying.
McDonald's (MCD), Darden (DRI)
One month of data does not justify a bearish position on a restaurant stock, said Cramer, noting McDonald's $6 rise since Bear Stearns hastily downgraded the stock for weak December same store sales (January same store sales increases 5.7%) An even faster kneejerk (or, rather, prejerk) occurred when Darden was downgraded only a few minutes before its better-than-expected guidance was released. The moral of the story, according to Cramer, is that when analysts unfairly downgrade stock on scant data, it is time to buy. Cramer would buy MCD now even though it has risen a bit.
Published By SeekingAlpha

Labels: AIG, BAC, COP, CSCO, CVX, DRI, FCX, HON, Jim Cramer, Mad Money, MCD, MO, pfe, RTN, SLB

Here are 7 stocks for traders for Monday from TradingMarkets.com:
Alberto-Culver (NYSE:ACV - News) reports earnings on Monday before the market opens, with traders looking for $0.26 EPS. ACV's PowerRating (for Traders) is 5.
Black & Decker (NYSE:BDK - News) announces quarterly results on Monday morning; watch for $1.03 EPS. BDK's PowerRating (for Traders) is 4.
Halliburton (NYSE:HAL - News) is poised to report $0.69 EPS on Monday morning before the bell. HAL's PowerRating (for Traders) is 4.
When McDonald's (NYSE:MCD - News) announces results on Monday morning, traders will be watching for $0.71 EPS. MCD's PowerRating (for Traders) is 4.
Tyson Foods (NYSE:TSN - News) expects to report $0.04 EPS on Monday morning. TSN's PowerRating (for Traders) is 5.
Analysts will be watching for Verizon (NYSE:VZ - News) to report for $0.62 EPS on Monday morning. VZ's PowerRating (for Traders) is 5.
On Monday afternoon, watch for SanDisk (NasdaqGS:SNDK - News) to report $0.64 EPS. SNDK's PowerRating (for Traders) is 5.

Labels: ACV, BDK, HAL, Hot Stocks, MCD, SNDK, TSN, VZ

Here are 7 stocks for traders for Monday from TradingMarkets.com:
Tiffany's (NYSE:TIF - News) sank 9.8% after reporting a decline in same-store U.S. holiday sales. TIF's PowerRating (for Traders) is 6.
McDonald's (NYSE:MCD - News) fell over 6% today, on an overwhelmingly negative Dow Composite atmosphere. MCD's PowerRating (for Traders) is 6.
AllianceBernstein (NYSE:AB - News) fell 7.7% on Friday after cutting its 2007 EPS forecast by 30 cents. AB's PowerRating (for Traders) is 5.
American Express (NYSE:AXP - News) slumped 10.1% today, after the company announced it would take a $440 million charge in Q4. AXP's PowerRating (for Traders) is 6.
FCStone (NasdaqGS:FCSX - News) reports earnings on Monday before the market opens; look for $0.33 EPS. FCSX's PowerRating (for Traders) is 6.
M&T Bank (NYSE:MTB - News) announces quarterly results Monday morning, with traders expecting $1.63 EPS. MTB's PowerRating (for Traders) is 5.
Genentech (NYSE:DNA - News) is expected to report $0.67 EPS after the market closes on Monday. DNA's PowerRating (for Traders) is 3.

Labels: AB, AXP, DNA, FCSX, Hot Stocks, MCD, MTB, TIF

Triple-S Management (GTS)
True success stories on The Street may be harder to find these days, but Cramer has observed the progress of non-profit Blue Cross Blue Shield companies that turn into public for-profit companies and found in their first four years the stocks had increased an average of 28%. He would consider Triple-S Management (GTS) which went public last week and has yet to set the sector on fire, since it opened only 16 cents above its $14.50 and undershot its projected range of $16-$18. Cramer said the companies contracts will become profitable and warned investors to do homework before buying and to use limit orders.
CEO Interview: Jack Cumming Hologic (HOLX)
Cramer likes HOLX for its visibility, growth and clean balance sheet and asked Jack Cumming about the merger with Cytic which was closed on Oct 22 and is running ahead of schedule. Cumming discussed the company's $1.3 billion convertible bond offering as a strategy to eliminate debt. Concerning competitors, He noted HOLX entered the scene two years behind its main rivals and is nine months ahead on the race for digital mammography. "We believe that when you have nine No 1. products, you're expected to grow at a fantastic rate," Cumming said.
Live with Regis' Portfolio: JDS Uniphase (JDSU), Time Warner (TWX), Advanced Micro Devices (AMD), LSI Logic (LSI), Unisys (UIS), Freeport-McMoRan (FCX), McDonald's (MCD), CVS Caremark (CVS), Oceaneering (OII), Transocean (RIG), Chevron (CVX)
Regis told viewers not to worry about holiday retail sales, since people are lining up outside stores, and Cramer reviewed Regis' portfolio. First, he told Regis he missed the ideal opportunity to sell Time Warner, which rose recently, and would sell it now. He also told Regis to sell AMD, since the company is having trouble with its next chip and has Hector Ruiz at the helm. The ticker JDSU stands for "just don't sue us," said Cramer and he told Regis to sell. He gave LSI a "tepid buy" and added "it has a shot at coming back," but Cramer told Regis Unisys was one big "house of pain." Cramer suggested Regis replace these names with FCS, MCD, CVS, OII, RIG and CVX.
Teledyne Technologies (TDY), Ansys (ANSS)
Cramer says TDY and ANSS are two "Upod artists" that overpromise and underdeliver; "Upod works because the bedrock predictor is the trumping of earnings estimates," he said. TDY is tapped into aerospace and oil, has exceeded estimates an average of 15% per quarter, has made smart acquisitions and is cheap, but Cramer would wait for it to dip before buying. Ansys is the "market leader" in simulation and software, has strong overseas exposure, 68% return business and has exceeded estimates 40 consecutive times. The stock may seem expensive, but it is growing at an impressive 19% and should be trading at a higher multiple.
Published By SeekingAlpha

Labels: AMD, ANSS, CVS, CVX, FCX, GTS, HOLX, JDSU, Jim Cramer, LSI, Mad Money, MCD, OII, RIG, TDY, TWX, UIS

Cramer began Wednesday's show talking about Wal-Mart's (WMT) good quarter and investment ideas from its conference call. Cramer remarked how well GameStop will do during the holidays and how other consumer electronics will continue to be strong. Cramer disagrees on digital cameras because they're made in China making them hard to buy right now. He does not like Garmin (GRMN) either. In computers, Cramer supports Hewlett-Packard (HPQ), which Wal-Mart is not a big carrier of. They do sell Dell but Cramer prefers HP. He mentioned Activision as a possible investment for video games, but prefers GameStop.
TV's: Cramer considered Corning (GLW), who are involved in liquid crystal display televisions. It is not trading as high as it should be, but has a raised outlook in pricing. It has bendable fiber not priced in the stock and is heading much higher.
Am I Diversified?
The first caller had Sirius Satellite Radio (SIRI), Ford (F), AT&T (T), McDonald's (MCD) and Human Genome Sciences (HGSI). Cramer called HGSI too speculative and said he'd rather see the caller in a stock like Celgene (CELG) instead.
Another caller held Daimler (DAI), Coca-Cola (KO), Google (GOOG), Celgene and CVRD (RIO). Cramer blessed the portfolio.
The final caller asked if he was diversified with Apple (AAPL), Occidental Petroleum (OXY), MetLife (MET), Cisco (CSCO) and Yum! Brands (YUM). Cramer suggested the caller swap out of MetLife and into Prudential (PRU).
Tetra Tech (TTEK) CEO Dan Batrack joined Cramer on the show, where he said his company beat fourth-quarter expectations due to increased margins. He said they had a great performance on earnings.

Labels: CELG, GLW, GRMN, HGSI, HPQ, Jim Cramer, Mad Money, Mad MOney Recap, MCD, SIRI, WMT

Here are 7 options to watch for today.
Most Under-Priced Calls: These are the most under priced calls of all stocks in our database. This stock comes from today's list and is among the most under-priced individual calls.
Lehman Brothers Jan 72.5 Calls (NYSE:LEH - News). LEH's PowerRating (for Traders) is 4.
Most Under-Priced Puts: These are the most under priced puts of all stocks in our database. This stock comes from today's list and is among the most under-priced individual puts.
Cognos Dec 76 Puts (NasdaqGS:COGN - News). COGN's PowerRating (for Traders) is 3.
Most Overpriced Calls: These are the most overpriced calls of all stocks in our database. This stock comes from today's list and is among the most overpriced individual calls.
Potash Corp. of Saskatchewan Jan 140 Calls (NYSE:POT - News). POT's PowerRating (for Traders) is 8.
Most Overpriced Puts: These are the most overpriced puts of all stocks in our database. This stock comes from today's list and is among the most overpriced individual puts.
Bunge Dec 90 Puts (NYSE:BG - News). BG's PowerRating (for Traders) 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.
McDonald's (NYSE:MCD - News). MCD's PowerRating (for Traders) is 6.
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.
Knight Capital (NYSE:NITE - News). NITE's PowerRating (for Traders) is 5.
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.
Bare Escentuals (NasdaqGS:BARE - News). BARE's PowerRating (for Traders) is 6.
Published By TradingMarkets.com

Labels: BARE, BG, COGN, LEH, MCD, NITE, POT, stock options

On Friday the stock market continued to fall with the Dow plunging 223 points and the Nasdaq falling 68 points. The show guided investors through the difficulties of profiting in a down market. Najarian suggests Cisco Systems (CSCO) as a buying opportunity here. He also likes Apple (AAPL) which he mentioned is now selling the iPhone in Germany and soon China. Adami likes EMC (EMC) calling it a real story. Seymour recommends Microsoft (MSFT) and Finerman agreed. Finerman also thinks Altria (MO) is smoking and Adami recommends Unilever (UL). Najarian thinks international and weak dollar plays like McDonald’s (MCD) and Coke (KO) will continue to work.Bank stocks like Wachovia (WB), JPMorgan (JPM), and Bank of America (BAC) finished up on Friday. Najarian was with Citigroup (C). He mentioned that the Financial Select Sector SPDR Fund (XLF) saw 2-to-1 call options buying on Friday.
Word on the Street Merck (MRK) announces plans to pay $4.85 billion to settle most of the remaining Vioxx lawsuits. Adami recommends buying GlaxoSmithKline (GSK) here.E*Trade (ETFC) fell 13% after hours.
Retailers Wal-Mart (WMT) and Macy's (M) are set to report earrings next week. One interesting name to look at is low cost retailer TJ Maxx (TJX) which could be benefiting from consumers looking to save money. Finerman is sticking with Wal-Mart for a long term investment. Macke advises buying The Gap (GPS) and GameStop (GME).
Steel Trade Bearish news from both the housing and auto sectors has helped push U.S. Steel (X) down 7% this week. Seymour mentioned that possible suitors include POSCO (PKX) and some Russian steel makers. Seymour would watch is Mechel (MTL) as well.
Pops & Drops Pops- Monsanto (MON) traded up 3.5% after the company said it will double profits to the tune of $8 billion over the next five years.Allstate (ALL) traded up 4% after Citigroup upgraded the stock.Drops- Clearwire (CLWR) plunged 38% after Sprint Nextel (S) canceled a deal.Washington Mutual (WM) fell 11% off a investigation started by New York Attorney General Andrew Cuomo into the bank's dealings with mortgage appraisers.Fannie Mae (FNM) fell 6% after reporting a loss for the third-quarter.Whirlpool (WHR) fell 4% off a negative Barron's article.NASDAQ (NDAQ) dropped 10% after private equity firm Hellman & Friedman sold 23 million shares.
MisfiresOn October 25th Adami was a buyer of Sotheby's (BID) and since his call the stock fell 8%.October 2nd Finerman recommended buying Kohl's (KSS) and since her call, the stock has been crushed falling 20%.Najarian advocated buying Cisco Systems (CSCO) ahead of the earnings report and was dead wrong and Cisco fell 10% since his call on Tuesday.
Quicker Than the TickerOn October 15th Najarian said buy SunPower (SPWR) and Suntech (STP). He nailed the call and the stocks screamed up by as much as 50%.November 2nd Seymour picked Russian cellphone providers VimpleCom (VIP) and Mobile Telesystems (MBT). Seymour was right and both stocks climbed 6% in 5 days.October 15th Finerman recommended Flowserve (FLS). She was deadly accurate and the stock climbed 20% since her call.October 25th Adami suggested shorting Exxon Mobil (XOM) ahead of earnings. Adami was correct and XOM fell 4% after missing earnings.
Final Trade (Green)Adami favors BorgWarner (BWA) for a play on fuel efficiency and emissions control.Najarian feels positive about Energy Conversion Devices (ENR).Seymour recommends Powershares Water Resources ETF (PHO).Finerman likes Kaiser Aluminum (KALU).

Labels: AAPL, CNBC, CSCO, Fast Money, Fast Money Recap, KO, MCD, MO, UL

On Friday, Cramer started the show by saying that this is the week that people gave up on technology, retail, and banking. Cramer said that despite this, he thinks that there are still chances to make you money. Cramer then went into his Game Plan for next week. Cramer discussed McDonald's (MCD) because they have an analysts meeting on Tuesday, and Cramer thinks you should get in before then. The company delivers consistent international growth and can maintain in the U.S. even if a recession hits.
Then Cramer went to the phonelines. The first caller asked about Halliburton (HAL), and Cramer said that they will have a great year next year, and he wants you to buy it between $36 and $38. The next caller asked about Skechers (SKX), and Cramer said he doesn't understand why this stock is going down, and he thinks good stocks are being beaten up with the bad.
Cramer then had an interview with presidential candidate Chris Dodd, where they talked about Dodd's plans for his campaign and how some of his policies would affect investors.
After the lightning round, Cramer had the CEO of Foster Wheeler (FWLT) on the show to talk about why the stock will continue to rise. Their customers are building larger and larger projects, and he thinks the market is very, very strong for their services.
Mad Mail: Cramer told the first writer to take profits when they are up big so weeks like this one don't hurt as much. The next email asked if Cramer is sure that Under Armour (UA) is finished, and Cramer said he thinks they are. After that they then showed the highlights of the week, and wrapped up the show.

Labels: HAL, Jim Cramer, Mad Money, Mad MOney Recap, MCD, SKX

Here are 7 stocks for traders for Friday from TradingMarkets.com:
Advanced Micro (NYSE:AMD - News) beat earnings expectations, announcing -$0.49 EPS over an expected -$0.61 EPS. AMD's PowerRating (for Traders) is 4.
Intuitive Surgical (NasdaqGS:ISRG - News) also beat earnings, with $0.95 EPS over an expected $0.79 EPS. ISRG's PowerRating (for Traders) is 5.
3M (NYSE:MMM - News) should report $1.27 EPS on Friday before the market opens. MMM's PowerRating (for Traders) is 9.
Arch Coal (NYSE:ACI - News) is expected to announce $0.27 EPS before the bell on Friday morning. ACI's PowerRating (for Traders) is 4.
Analysts are watching for Caterpillar (NYSE:CAT - News) to report $1.43 EPS on Friday morning. CAT's PowerRating (for Traders) is 6.
When McDonald's (NYSE:MCD - News) announces quarterly results on Friday morning, watch for $0.83 EPS. MCD's PowerRating (for Traders) is 5.
Schlumerger (NYSE:SLB - News) is looking to announce $1.06 EPS tomorrow morning. SLB's PowerRating (for Traders) is 5.

Labels: ACI, AMD, CAT, Hot Stocks, ISRG, MCD, MMM, SLB

Cramer started off by saying that it's important to buy stocks that will bounce back the hardest.
CBRL Group (CBRL): operator of the iconic Cracker Barrel restaurant chain. Cramer believes that the company is in a good position after revamping their menus and buying back a ton of stock. They had the biggest buyback in percentage of shares outstanding of any company at 54% over the past year. Cramer is crazy about the buyback.
He then took a couple of calls: One caller asked about Brinker International (EAT), which Cramer doesn't like at all. Another caller asked about Wendy's (WEN) and Cramer said don't even look at Wendy's. He suggested that he get in McDonald's (MCD) instead because it is best of breed.
Yesterday, Cramer discussed how Best Buy is leveraging their growth by expanding international. Tuesday he discussed Textron Inc. (TXT). He feels that its Cessna unit will have large worldwide demand in the upcoming years. Honeywell (HON), a company that has been very successful at forecasting the aircraft business, predicts record sales of business jets, Cessna's "bread and butter." Cramer said the rest of the world will soon surpass America in business jet sales, which makes Textron a solid business-jet play.
Before Cramer started the Lightning Round, he recommended that holders of Baidu.com (BIDU) and Focus Media (FMCN) take some profits off the table. The holders of these stocks should sell half their holdings.
In the next segment, Cramer talked about a defense stock that was booted from the NYSE, but will profit from the new defense budget. The stock is Navistar (NAVZ.PK). Cramer also likes Cummins (CMI) and PACCAR (PCAR) in this sector, but Navistar has a lower multiple.
Next, Cramer had John Dioniso, the CEO of AECOM (ACM) on the phone. Cramer has been recommending the stock, and the company has been delivering profits so far. In his opinion, Cramer thinks Aecom is "money in the bank."
Sudden Death:
Brookfield Asset Management (BAM): "Keep buying!"
Spartan Motors (SPAR): No, buy Navistar (NAVZ.PK) instead.

Labels: ACM, BIDU, CBRL, CMI, EAT, FMCN, HON, Jim Cramer, Mad Money, Mad MOney Recap, MCD, NAVZ.PK, PCAR, TXT, WEN

Labels: ACAD, CHL, CROX, GS, Jim Cramer, LULU, Mad Money, MCD, NSTK, NVDA, PCAR, SBUX, UA, WB, XING, YUM

Fit will weigh options regarding the sale of its credit card business. Management will also evaluate the pace of current and potential future share buybacks. Its credit card portfolio contributed $453 million in revenue for the most recently reported quarter. Shareholder activist Bill Ackman has recently been pressing senior management to sell some assets. Ackman's fund holds a 9.6% stake in the retailer. Subscribers can read our analysis of Target in today's issue.
Shares of General Motors (NYSE: GM - News) and Ford Motor (NYSE: F - News) rose on the session after prospects for concession from the United Auto Workers (UAW) were highlighted by Wall Street. UAW's President said that he was willing to agree in principle to a union-controlled health care trust fund. A deal would cut $95 billion in retire costs for the Big Three auto makers. GM shares rose by 10%, while Ford advanced 5.6%.
In earnings news, French telecom equipment giant Alcatel-Lucent (NYSE: ALU - News) saw its shares get hit after the company cut its financial targets yet again. The company expects to post a breakeven third quarter on an operating basis. It also trimmed its 2007 revenue growth forecast, as it expects revenues to be flat to up slightly at a constant Euro-Dollar exchange rate as wireless customers in North America slowed down purchases.
Drug concern Cephalon (Nasdaq: CEPH - News) dropped 5,2% after it warned doctors about deaths linked to its cancer pain drug Fentura, according to U.S. regulators. According to the FDA's website, three deaths occurred in patients treated with Fentura. Cephalon is one of several drug companies under investigation by Congress for allegedly promoting its drugs for uses not approved by the FDA.
By The BullMarket.com Staff

Labels: ALU, CEPH, CFC, F, GM, MCD, TGT

McDonald's Corp. stock surged to an all-time high Thursday after the fast-food chain announced the largest dividend increase in its history and pledged to return more money to shareholders than Wall Street expected.

The dollar's record low against the euro also boosted McDonald's, which has more than 6,000 restaurants in Europe.
Shares in the company rose $2.97, or 5.8 percent, to $54.17 in midday trading after reaching a new high-water mark of $54.68.
The increase came a day after McDonald's raised its annual dividend by 50 cents per share to $1.50 on Wednesday afternoon and said it expects to return between $15 billion and $17 billion in cash to shareholders through dividends and share buybacks between 2007 and 2009.

Labels: MCD, McDonald's Corp.

Stocks staged a broad-based rally as investors speculated that consumer demand will help aid the economy. At the close, all major market averages ended the day with strong gains. The price of Gold continued to rise, ending up $8.90 to $721.10 an ounce.
OPEC said it would increase oil production by 500,000 barrels of oil a day as they believe near record oil prices would damage the world economy. The increase in output will mostly be led by Saudi Arabia. This is the first production increase by OPEC in more than a year. Oil prices were nevertheless up 74 cents to $78.23 a barrel.
Shares of McDonald's (NYSE: MCD - News) rose 3.2% after the burger giant reported an 8.1% same-store sales increase for the month of August. In the U.S., the world's largest restaurant chain said same-store sales grew 7.4% fueled by breakfast and new food and beverage offerings. Its European business also experienced a 6.1% rise in store sales growth buoyed by summertime offerings. In its Asia/Pacific, Middle East and Africa region, the company said sales surged 12.4% helped by extended hours and new menu promotions. The company noted that sales were particularly robust in China, Japan and Australia. Subscribers can read our analysis of McDonald's in today's issue.
Biotech firm Imclone Systems (Nasdaq: IMCL - News) pleased investors today after a study released by Germany's Merck KGaA said that Imclone's Erbitux prolonged the survival of lung cancer patients. The drug is used to treat colon cancer, in addition to head-and-neck cancer. Shares surged 18%. Sepracor (Nasdaq: SEPR - News) and GlaxoSmithKiline (NYSE: GSK - News) agreed to team up on Sepracor's insomnia drug Lunesta. Under the terms of the agreement, Glaxo will commercialize the drug in markets outside the U.S., while Sepracor stands to receive an initial payment of $20 million, plus subsequent milestone payments that could total up to $155 million. Additionally, Sepracor will receive double-digit royalties that will increase in line with sales and compensation. The drug is currently under review by the European Union, where a decision is expected in the second half of 2008.
In tech news, VMware (NYSE: VMW - News) struck a deal to acquire Swiss based Dunes Technologies, a maker of virtualization management software. Financial terms of the deal were not disclosed. Storage maker Western Digital (NYSE: WDC - News) upped its first quarter sales and profit forecast based on strong demand for hard disk drives. For the current quarter, the company now sees EPS reaching 61-65 cents, excluding charges related to its recent acquisition of Komag. Its previous forecast was for EPS of 43-47 cents a share. The company also noted that gross margins are expected to improve to 17.5%. Shares advanced 4.4% on the news.
In earnings news, video game maker Take-Two Interactive (Nasdaq: TTWO - News) reported a narrower-than-expected loss for its third quarter. The company lost -$58.5 million, or -81 cents a share, compared to a loss of -$91.4 million, or -$1.29 a share in the same period a year ago. Excluding items, loss was -$46.1 million, or -64 cents a share versus the loss of -67 cents per share expected by analysts. Sales fell to $241.2 million, but beat estimates for revenue of $200.6 million. For the fourth quarter Take-Two expects a loss of -20 to -25 cents a share on revenue of $275-300 million.
By The BullMarket.com Staff

Labels: GSK, IMCL, MCD, SEPR, TTWO, VMW, WDC

Here are 7 stocks for traders for Wednesday:
Brady (NYSE:BRC - News) should report $0.57 EPS before the bell on Wednesday morning. BRC's PowerRating (for Traders) is 6.
When Gerber Scientific (NYSE:GRB - News) announces earnings on Wednesday before the bell, watch for $0.08 EPS. GRB does not have a PowerRating (for Traders) due to volume restraints.
Jos. A. Bank (NasdaqGS:JOSB - News) reports earnings on Wednesday morning; look for $0.42 EPS. JOSB's PowerRating (for Traders) is 5.
General Motors (NYSE:GM - News) rose over 3% on Tuesday after the company said it needed fewer incentives to attract buying customers. GM's PowerRating (for Traders) is 5.
McDonald's (NYSE:MCD - News) rose as much as 4% on Tuesday after reporting that same-store sales increased over 8% worldwide from last August. MCD's PowerRating (for Traders) is 5.
ImClone (NasdaqGS:IMCL - News) rose over 20% on Tuesday after announcing positive trial results for the company's new lung cancer drug. IMCL's PowerRating (for Traders) is 2.
Countrywide Financial (NYSE:CFC - News) announced on Tuesday it was brokering its second multi-billion bailout in the last month. CFC's PowerRating (for Traders) is 7.
PowerRatings (for Traders) are courtesy of TradingMarkets.com

Labels: BRC, CFC, GM, GRB, Hot Stocks, IMCL, JOSB, MCD

Stocks surged today, recouping most of their losses following Friday's big sell-off. Financials rose sharply following severe losses in the past couple weeks due to worrisome credit markets. At the close, the Dow Jones finished the day up 287 points, while the tech-laden Nasdaq rose 36 points and the S&P 500 climbed 35 points. Also aiding the bulls today was a plunge in the price of crude after energy investors were cautious on what a slowing U.S. economy would do to prices. Crude fell -$3.42 a barrel to end at $72.06.

After just completing the purchase of Chrysler, Cerberus nabbed Bob Nardelli to serve as chief executive officer, replacing Tom LaSorda who will become vice chairman. Nardelli was previously the CEO of home improvement retailer Home Depot (NYSE: HD - News). In other management changes, Co-Chief Operating Officer Warren Spector was ousted from Bear Sterns (NYSE: BSC - News) after meltdowns at two of its hedge funds. After falling as much as -7% in early trading, the Wall Street bank's shares rose 5.0%.
American Home Mortgage (NYSE: AHM - News) shares plunged -36.7%% after the company announced that it has filed for Chapter 11 bankruptcy protection. Its operations were shutdown on August 2nd, and its staff was reduced to 1,000 individuals. The company is now the second-biggest residential lender in the U.S. to close this year.
In M&A news, burger giant McDonalds (NYSE: MCD - News) said it would sell its Boston Market properties to private equity group Sun Capital Partners in an effort to focus on its main businesses. Financial terms of the deal were not publicly disclosed. The world's largest restaurant company plans on closing the deal in its current quarter. Shares rose 1.9% on an upbeat day in the markets.
In retailing news, the world's largest retailer, Wal-Mart Stores (NYSE: WMT - News), said it entered into a joint venture with the Bharti Group in which it will set up retail stores and a supply chain in India, the second-largest country by population. Shares of Wal-Mart rose 3.3%.
In earnings news, Berkshire Hathaway (NYSE: BRK-B - News, BRK-A - News) reported a 33% increase in its Q2 net income late Friday, fueled by solid growth from its insurance and utility businesses. Revenue rose 13% to $27.35 billion.

By the BullMarket.com Staff

Labels: AHM, BRK-A, BRK-B, BSC, HD, MCD, WMT

McDonald's Corp. said Tuesday that it posted its second-ever loss - its first in nearly five years - losing $711.7 million in the second quarter because of a hefty one-time charge.
For the quarter ending June 30, the world's largest restaurant chain said its net income swung to a loss of 60 cents per share. That's compared to a second-quarter profit of $834.1 million or 67 cents per share, a year earlier.
Tuesday's report mirrored McDonald's pre-announced earnings results.
McDonald's only other quarterly loss, caused by a drawn-out sales slump, was during the fourth quarter of 2002.
Excluding the non-cash impairment charge of $1.6 billion relating to the sale of some Latin American operations, the Oak Brook-based company said its net income grew about 4 percent to $869.9 million, or 71 cents per share.

Labels: MCD, McDonald's Corp.

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