Jim Cramer Blog

On Wednesday the Dow closed up 76 points as the strength from the Fed rate cut continued to spill. Najarian: investors should look at the volatility in the S&P 500, which is moving back to normal. Reported unusual options activity on Cree (CREE). Could be being bought by General Electric (GE).
Macke: market bears are instant messaging him with more short ideas than any other time in his most recent memory.
Adami: Friday could be a funky day with options expiration on tap. He took a trip to the UPS Center in New York City to find out what is going on at the packaging giant. Adami likes United Parcel (UPS) for three reasons: international growth, energy hedging and union contracts. He also predicted that Fedex (FDX) will rally on Thursday and investors should sell into the strength.
Emerging Markets Trade: The iShares MSCI Emerging Markets (EEM) hit a record high on Wednesday. Their stocks around the globe shot up after the Fed cut. Tim Seymour, of Red Star Asset Management suggests investors buy Tenaris (TS). Seymour recommended Vimpel-Communications (VIP), Mobile Telesystems (MBT) and Mechel OAO (MTL) as liquidity plays.
Shoe Companies: Collective Brands (PSS) and Brown Shoe Company (BWS) have taken double digit hits. CEO of Payless and the company blamed the decline on weather and the increased demand for products out of competitor Crocs (CROX). Finerman hates when companies use weather as an excuse, but she thinks investors can buy PSS, BWS and Limited Brands (LTD).
Goldman Sachs (GS): Dick Bove, an analyst for Punk Ziegel, is the only analyst on Wall Street who is telling investors to sell GS. GS holds are overvalued with $700 billion in securities. He thinks hedge fund trading business is declining.
Word on the Street: TD Ameritrade (AMTD) and Najirian's pick: NASDAQ (NDAQ). Najarian sees no options activity in Oracle (ORCL) ahead of the quarter.
Gartman: time to get out of Suncor (SU) and all his Canadian Tar Sands plays. Instead he would get into U.S. multi-nationals like ConocoPhillips (COP).
Macke says you can buy Kellogg's (K), Kraft (KFT) and Safeway (SWY) off the strong General Mills (GIS) quarter.
Pops & Drops:
Pops: Countrywide Financial (CFC), Blackstone (BX), Fortress Investment Group, The Warnaco Group (WRNC)
Drops- Carmax (KMX), Comcast (CMSCA), Sirius Satellite Radio (SIRI) and XM Radio (XMSR)
Final Trade
Macke-Oracle (ORCL)
Adami- Goldman Sachs (GS)
Najarian- Titanium Metals (TIE)
Finerman- Play Victoria Secret with Limited Brands (LTD)

Labels: CNBC, CREE, EEM, Fast Money, FDX, GE, GS, LTD, MBT, MTL, TS, UPS, VIP

1. General Maritime (GMR)
Yield: 12%. The provider of seaborne oil transportation services was just 6% off a 52-week high. Earnings grew 321% and 97% in the past two quarters. It recently entered into time agreements for three of its tankers. Composite Rating: 95*

2. Southern Copper (PCU)
Yield: 9.6%. The Arizona-based copper producer continued to head higher after a rebound from its 10-week moving average. Earnings and sales growth has accelerated for four straight quarters. The stock owns the best Fundamental Rating in the 60-member Metal Ores group. Composite Rating: 99

3. Seaspan (SSW)
Yield: 6.6%. The China-based firm owns containerships and deploys a fleet of vessels for time charters. Analysts expect full-year 2007 profit to grow 22% this year, the estimate was recently revised higher. Composite Rating: 93

4. Aluminum Corp. of China (ACH)
Yield: 5%. China’s biggest aluminum producer is pulling back to its 50-day moving average on light volume. Earnings and sales growth has turned higher in recent quarters. Composite Rating: 98

5. Valero GP Holdings (VEH)
Yield: 4.7%. The Texas based provider of oil transportation and storage services delivered a 200% surge in profit in its latest reported quarter. Last month, Citigroup upgraded the stock to buy from hold. Composite Rating: 95

6. Sinclair Broadcast Group (SBGI)
Yield: 3.9%. Earlier this month, the television broadcaster revised its 2007 retransmission revenue estimate after it reached an agreement with Comcast allowing the cable company to carry Sinclair’s stations. Financial terms of the deal were not disclosed. Composite Rating: 96

7. Mechel OAO (MTL)
Yield: 3.8%. The Russian maker of steel products said it would acquire a majority stake in Southern Kuzbass Power Plant for $265.5 million. Full-year 2007 profit is expected to grow 24%, the estimate was recently revised higher. Composite Rating: 99

8. Partner Communications (PTNR)
Yield: 3.7%. The provider of wireless communications products continued to recover from a pullback to its 50-day line. Earnings growth has been in triple-digit territory for two quarters. Sales growth has been rising. Composite Rating: 99

9. Tupperware Brands (TUP)
Yield: 3.6%. Matrix Research upgraded the food container maker to buy from hold. Revenue growth has ranged from 30% to 46% in the past four quarters, up from the single-digit territory throughout 2004 and 2005. The stock was perched near a 52-week high. Composite Rating: 87

10. Philippine Long Distance Telephone (PHI)
Yield: 3.2%. Mutual fund ownership of the Filipino telecommunications services company has increased to 60 funds from 39 three quarters ago. It owns three-year earnings growth rate of 138%. Composite Rating: 98

*The IBD SmartSelect Composite Rating combines all five SmartSelect Ratings. Of the five, the Earnings Per Share Rating and Relative Price Strength Rating get the most weight; stocks’ percentage off their high price is also considered. Ratings are from 1-99, with 99 being the best.

Labels: ACH, Dividends, GMR, Hot Stocks, MTL, PCU, PHI, PTNR, SBGI, SSW, TUP, VEH

Partner Communications (PTNR)

Composite Rating: 99*. The Israeli wireless communications services provider is trading near seven-year highs. In late January, it reported its second straight quarter of triple-digit profit growth. Sales growth has accelerated for two quarters. Volume % Change**: +186%

Garmin Ltd. (GRMN)

Composite Rating: 97. The GPS device maker is hovering near record highs after the company turned in a 105% jolt in Q4 earnings, 25 cents ahead of analysts’ views. Sales jumped 91% to $611.2 million. It also guided full-year 2007 profit ahead of consensus estimates. Volume % Change: +732%

Mechel Oao (MTL)

Composite Rating: 97. The Russia-based company has operations in coal, iron and nickel mining. It also makes steel and carbon products. The stock’s Accumulation/Distribution Rating jumped to A from C in one month. Volume % Change: +346%

Millicom International Cellular (MICC)

Composite Rating: 97. Millicom provides prepaid voice services to emerging markets such as Latin America, Africa, and Asia. Its fourth-quarter earnings vaulted 257%. Sales climbed 85% to $544 million. Last month, it agreed to sell its majority stake in Paktel Limited to China Mobile for about $284 million in cash. Volume % Change: +230%

Affiliated Managers Group (AMG)

Composite Rating: 97. The asset manager has gained about 12% since the beginning of the year, nearly doubling that of its Finance-Investment Management Group. The company’s after-tax profit margin jumped to 20.9% in its latest reported quarter, the highest in 13 quarters. Volume % Change: +162%

Jones Lang Lasalle (JLL)

Composite Rating: 97. Mutual fund ownership of the real estate and money management firm jumped to 171 funds from 127 three quarters ago. Last year, the company grew profit by 66%, the biggest annual profit growth in two years. Volume % Change: +141%

Cummins Inc. (CMI)

Composite Rating: 97. In late January, the engine maker reported Q4 profit slightly below views, but guided full-year 2007 earnings ahead of consensus estimates. Earlier this month, it formed a joint venture with a Nigerian company to make power generation systems. The stock hovers near an all-time high. Volume % Change: +112%

Deere & Co. (DE)

Composite Rating: 96. The farming machinery maker powered to a new peak after strong fiscal first-quarter results. Longbow upgraded the stock to neutral from sell. Due to rising global consumption of renewable fuels, Deere anticipates worldwide farming activities to be favorable. Volume % Change: +395%

WellCare Health Plans (WCG)

Composite Rating: 96. The managed healthcare provider’s Q4 profit vaulted 156% as membership more than doubled and surpassed analysts’ views. Its full-year earnings guidance was mostly line, but sales are expected to exceed analysts’ estimates. Volume % Change: +195%

Lamson & Sessions (LMS)

Composite Rating: 95. The maker of building products such as pipes and fittings is exploring strategic alternatives, which may include a sale of the company. It has turned in triple-digit profit growth for seven of the past eight quarters. Volume % Change: +278%

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Labels: AMG, CMI, DE, GRMN, JLL, LMS, MICC, MTL, PTNR, WCG