Jim Cramer Blog

Here are 7 stocks to watch...
Ambac Financial (NYSE:ABK) lost nearly 20% after the company announced plans to raise $1.5 billion and stop insuring mortgage-backed securities. ABK's Short Term PowerRating is 5.
Big Lots (NYSE:BIG) was the biggest gainer in the S&P500 after the company beat estimates and raised guidance. BIG's Short Term PowerRating is 3.
Chico's FAS (NYSE:CHS) lost nearly 14% after revenues fell short. CHS' Short Term PowerRating is 5.
BJ's Wholesale Club (NYSE:BJ) rose nearly 7% after the company beat estimates and reported an increase in same store sales. BJ's Short Term PowerRating is 5.
After the close, PETsMART (NasdaqGS:PETM) missed earnings estimates by $0.07. PETM's Short Term PowerRating is 4.
Urban Outfitters (NYSE:URBN) is scheduled to report before the market open, with analysts expecting $0.29. URBN's Short Term PowerRating is 5.
Do you think Exxon Mobil (NYSE:XOM) will close up or down on Friday? XOM's Short Term PowerRating is 4. Play TradingMarkets Up or Down Daily Stock Contest for the chance to win $1000 every month by predicting the direction of a stock.
Published By TradingMarkets.com

Labels: ABK, BIG, BJ, CHS, Hot Stocks, PETM, URBN, XOM

Pepsi (PEP): stock went down almost 2 points. The quarterly report showed that the raw costs hurt the numbers in many of their domestic products, and thinks that many people are concerned that price increases will hurt sales. Pepsi CEO Indra Nooyi was on the show to discuss the numbers, which she was very happy with. Nooyi thinks they can handle increased commodity costs and that earning will continue to increase.
Next, Cramer dressed up like a matador and talked about a Spanish stock. Cramer thinks that Spain has a good bull market, and that Banco Santander (STD) will prosper from its home market and the strength of the Euro compared to the US. Cramer said STD will make some acquisitions in the US and Latin America, growing and diversifying the bank's asset base. Cramer could see the stock making a 20% increase in the stock and a dividend increase as well.
Cramer took a couple of phone calls. First caller asked about Wells Fargo (WFC), and Cramer said that he likes the stock, but not as much as STD. The next caller asked about the Commerce Bank (CBH) merger, and Cramer said that the market had already priced an acquisition into the stock price in that case. The next caller asked about Banco Popular (BPOP), and Cramer said that he is not willing to buy that stock.
Sell Block
Cramer focused on the reasons you should sell Chipotle (CMG). Cramer is sad to see the stock go, but it is up 200% since he originally recommended it, and doesn't like the stock at this price.
PetSmart (PETM) CEO of the company was on the show. He discussed the fact that some of the company's sales are affected by weather patterns, and warmer weather hurts profits. Cramer still recommends the stock.
Finally, Cramer said that you should sell any Allegheny Technologies (ATI) stock you might have left from his recommendation of it last year.

Labels: ATI, CBH, CMG, Jim Cramer, Mad Money, Mad MOney Recap, PEP, PETM, STD, WFC

Playing it Safe with Procter & Gamble (NYSE: PG - News)
As interest rates go lower, dividends will rise in value, and Cramer recommends PG as a "money in the bank" dividend stock. While at first glance, few would be impressed by a $64 stock with a 2.2% yield, Cramer reminded viewers that PG was at $30 in 2000. Reinvesting PG's dividend is like having "compound interest" said Cramer and he lauds PG for its "mega buyback." He predicts PG will reach $90 and is a good way to "Fed-proof your portfolio."
How Much is that PetSmart in the Window? VCA Antech (NasdaqGS: WOOF - News), PetMed Express (NasdaqGS: PETS - News) and PetSmart (NasdaqGS: PETM - News)
The heated discussion over NFL star quarterback Michael Vick's upcoming trial shows "people won't stand for cruelty to animals," said Cramer who unveiled some of his pet picks and peeves. One pet peeve was WOOF's "piled-up debt," but he liked discount pet pharmacist PETS for its personalized care. However, his best pet pick was PETM, which is up $3 from where he recommended it in January. PETM is known for selling "high-class premium" items and has $245 million cash on hand. PETM will remain the victor as its main rival, Petco, will probably close stores after being taken over by a "debt-ridden" company.
Everybody out of the Poole: Bear Stearns (NYSE: BSC - News), Countrywide Financial (NYSE: CFC - News), Goldman Sachs (NYSE: GS - News)
Cramer defended his vigorous criticism of St. Louis Federal Reserve President William Poole, who said interest rates should be raised, not lowered. Cramer accused Poole of "single-handedly attempting to destroy" the market and said he should put in his resignation. Senator Kent Conrad (D, N.D), chairman of the Budget Committee, was Cramer's guest caller and said Poole's proposal was "reckless and irresponsible" and would cause a calamity. He added difficulties at BSC, CFC and GS speak for themselves. Conrad added Poole' s statements showed a "lack of confidence" in the market, and Cramer concluded the segment with his hope that " people on Wall Street are as considerate as those in the Senate."
Mad Mail: Altria (NYSE: MO - News), Melco PBL Entertainment (NasdaqGM: MPEL - News), Las Vegas Sands (NYSE: LVS - News) and Wynn Resorts (NasdaqGS: WYNN - News)
Cramer says there is "good news coming" at Altria with a rise of 5 points to the 70s but not the 80s, since it is a stock "everybody already owns" and has limited upside. Atlhough he liked the IPO, Cramer says MPEL is now worst of breed and prefers LVS or WYNN.
Published By SeekingAlpha

Labels: BSC, CFC, GS, Jim Cramer, LVS, Mad Money, MO, MPEL, PETM, PETS, PG, WOOF, WYNN

Here are 7 stocks for traders for Wednesday from TradingMarkets.com:
Applied Materials (NasdaqGS:AMAT - News) beat earnings on Tuesday after the close, announcing $0.35 EPS over an expected $0.32 EPS. AMAT's PowerRating is 7.

Copa Holdings (NYSE:CPA - News) should report $0.71 EPS before the market opens on Wednesday. CPA's PowerRating is 5.
When Daktronics (NasdaqGS:DAKT - News) announces earnings on Wednesday morning, look for $0.14 EPS. DAKT's PowerRating is 5.
Analysts are watching for Deere (NYSE:DE - News) to report $1.99 EPS when the company reports earnings on Wednesday morning. DE's PowerRating is 6.
Sara Lee (NYSE:SLE - News) is expected to announce $0.14 EPS before the market opens on Wednesday. SLE's PowerRating is 4.
PETsMART (NasdaqGS:PETM - News) and salesforce.com (NYSE:CRM - News) report earnings Wednesday afternoon, so watch for heightened price action and volatility ahead of the close. PETM's PowerRating is 4, and CRM's PowerRating is 5.
PowerRatings (for Traders) are courtesy of TradingMarkets.com

Labels: AMAT, CPA, CRM, DAKT, DE, Hot Stocks, PETM, SLE

NATCO Group (NYSE:NTG - News) shares fell after the company said it now sees earnings of $2.30 to $2.50 a share in fiscal 2007 on revenue of between $560 million and $580 million. Wall Street's consensus view is for a profit of $2.55 a share for the year.
NCI Building Systems (NYSE:NCI - News) shares fell after the Houston-based maker of metal products for the nonresidential building industry reported fiscal first-quarter net earnings of $10.5 million, or 49 cents a share, down from $12.9 million, 62 cents a share, in the year-ago period. Revenue rose to $359.3 million from $293.3 million. Analysts polled by Thomson Financial were expecting a per-share profit of 53 cents on revenue of $347.6 million. The company forecast fiscal second-quarter net earnings of 50 cents to 55 cents a share, and 2007 earnings of $4.55 to $4.80 a share. Analysts are looking for a second-quarter per-share profit of 89 cents and a 2007 per-share profit of $4.56.
Northwest Airlines Corp.'s (Other OTC:NWACQ.PK - News)loss for December 2006 was $30 million, on revenue of $967 million in the month, the airline operator said in a monthly statement with the bankruptcy court. For January, Northwest's loss grew to $349 million, mostly from a $307 payment for a claim to Pinnacle Airlines (NasdaqGM:PNCL - News). In January, the Eagan, Minn.-based Northwest said revenue fell to $892 million. Northwest, which filed for Chapter 11 reorganization in September 2005, is awaiting a March 26 hearing for court approval of its bankruptcy-exit plan.
Nortel Networks (NYSE:NT - News) said it would delay the filing of its 2006 annual report, and that it will need to restate results for 2004, 2005 and the first nine months of 2006. The Toronto telecommunications equipment company said it had found errors through discussions with its pension actuaries, and through its efforts to correct internal control deficiencies. The company expects the restatement to increase earnings for the first nine months of 2006 by $15 million and revenue by $24 million. Net losses should increase by $87 million for 2005 and by $42 million for 2004.
Pacific Ethanol Inc. (NasdaqGM:PEIX - News) reported a fourth-quarter loss of $3.1 million, or 11 cents a share, narrower than the prior year's loss of $5.1 million, or 18 cents a share. The Sacramento, Calif.-based marketer and producer of ethanol generated quarterly revenue of nearly $80.6 million, up from $36.1 million in the final three months of 2005. The company paid preferred stock dividends of nearly $1.1 million in the latest quarter; no such dividends were paid in the year-ago period. There were some 37% more weighted average shares outstanding in the 2006 fourth quarter than a year earlier. Pacific Ethanol said gross profit jumped to about $11.7 million in the latest quarter, up from $1.3 million a year earlier, as gross margin widened to 14.6% from 3.7%. The company also said its Boardman, Ore., plant is on schedule for completion by the end of the second quarter.
PetSmart Inc. (NasdaqGS:PETM - News) said that fourth-quarter net earnings climbed to $76.9 million, or 56 cents a share, compared with $70.9 million, or 50 cents a share, for the same period a year ago. Sales were $1.17 billion vs. last year's $1.05 billion, the company said in a press release after the close.
PICO Holdings (NasdaqGM:PICO - News) said it's agreed to sell about 2.823 million new common shares for $37 each. The La Jolla, Calif., company anticipates net proceeds of about $100.2 million from the offering.
Plug Power (NasdaqGM:PLUG - News) posted a fourth-quarter loss of $13.3 million, or 15 cents a share, narrower than a year-ago loss of $16.5 million, or 19 cents a share.
Pride International (NYSE:PDE - News) reported fourth-quarter earnings of $68.9 million, or 40 cents a share, up from a year-ago profit of $40.6 million, or 24 cents a share. The latest results include expenses of 8 cents a share related to the early termination of certain relationships with rigs in Brazil, a charge of 2 cents a share from an ongoing investigation by the company's audit committee, and a charge of a penny per share related to the impairment of certain rigs. Revenue rose 21% in the three months ended Dec. 31 to $669.2 million from $551 million in the same period a year earlier. The average estimate of analysts polled by Thomson Financial was for a profit of 48 cents a share in the December period. Looking ahead, the Houston-based drilling contractor said it expects earnings of 57 to 60 cents a share in the first quarter. Wall Street's current consensus estimate is for a profit of 64 cents a share in the March period. Pride said the outlook reflects current softness in the U.S. Gulf of Mexico market.
Restore Medical (NasdaqGM:REST - News) shares dropped after the company posted sales of $1.1 million for the fourth quarter, down from $1.6 million in the same period a year earlier. RBC Capital Markets lowered its rating on the stock to sector perform from outperform, citing the sales decline. The firm also cut its price target on shares of the St. Paul, Minn., maker of a sleep apnea treatment to $5 from $7.
Sears Holding Corp. (NasdaqGS:SHLD - News) reported a jump in fourth quarter profit Thursday as higher margins helped offset sagging same-store sales and flat overall revenue. Sears earned $820 million, or $5.33 a share, on the period - up from $648 million, or $4.03 a share in the fourth quarter of the previous year. Revenue came in at $16.3 billion, up from $16.1 billion, with the help of an extra week in the most recent quarter. Domestic same-store sales -- those at stores open more than a year -- declined 3.1% with Sears down 4.9% and Kmart off 0.9%. The average estimate of analysts polled by Thomson Financial had been for the company to earn $5.18 a share on revenue of $15.95 billion.
Smithfield Foods (NYSE:SFD - News) said fiscal third-quarter net income slipped to $60.4 million, or 54 cents a share, from $71 million, or 63 cents a share. The pork and beef producer attributed 4 cents a share of this year's third quarter net income to a lower estimate of its annualized income tax rate. Last year's results include an after-tax loss from discontinued operations of 4 cents a share. Sales rose to $3.28 billion from $2.93 billion. Analysts, on average, expected it to earn 51 cents a share on revenue of $3.15 billion, according to Thomson Financial. The Smithfield, Va.-based company said the rise in corn and other grain prices will have a "significant" impact on the business.
Sonus Networks Inc. (NasdaqGS:SONS - News) said fourth-quarter revenue was $79 million. The Chelmsford, Mass., maker of voice and data communications hardware and software didn't report earnings because it hasn't completed its restatement of certain financial reports. Sonus said the audit committee completed its investigation of the company's stock option practices and accounting, and found no improper conduct or violation of company policies by any member of management.
Southwestern Energy Co. (NYSE:SWN - News) reported fourth-quarter net earnings of $33.8 million, or 20 cents a share, down from $48.9 million, or 29 cents a share, a year ago. Revenue for the three months ended Dec. 31 slipped to $214 million from $220 million a year ago.
Staples Inc. (NasdaqGS:SPLS - News) reported net income of $336.5 million, or 46 cents a share, for the fourth quarter ended Feb. 3, up from $276.7 million, or 37 cents, earned in the same period a year earlier. Quarterly sales reached $5.29 billion from $4.46 billion for the office-products retailer, which said it generated $370 million in sales during an extra week in the latest quarter. Analysts, on average, had been looking for Staples to earn 45 cents a share on revenue of $5.19 billion for the latest quarter, according to estimates compiled by Thomson Financial. As for the current year, Staples is forecasting profit growth of 15% to 20% on an adjusted basis, equating to a range of $1.43 to $1.49 a share; analysts' average view stands at $1.49 a share.
Steven Madden Ltd.'s (NasdaqGS:SHOO - News) fourth-quarter net income rose to $10 million, or 45 cents a share, from $7.44 million, or 34 cents a share, a year ago. A Thomson Financial survey of analysts, on average, predicted earnings of 44 cents a share for the quarter. Analysts' estimates usually exclude items. The Long Island City, N.Y., fashion footwear maker's net sales rose 25% to $114.1 million from $91.4 million a year ago. Steven Madden expects first-quarter earnings of 40 cents to 43 cents a share on sales that are flat with the same period last year, due in part to weaker-than-anticipated performance in boots in both wholesale and retail and sports fusion product in Steve Madden Men's, and Betsey Johnson handbags in Daniel M.
St. Mary Land & Exploration Co. (NYSE:SM - News) said President Tony Best was named to additional position of chief executive, effective Feb. 23.
Take-Two Interactive Software (NasdaqGS:TTWO - News) reported a net loss for the 2006 fiscal year on Wednesday afternoon. For the year ended Oct. 31, the video game publisher said net loss came in at $184.9 million, or $2.60 per share, compared with earnings of $35.3 million, or 50 cents a share, for the previous year. Revenue for the year was $1.04 billion compared to $1.2 billion the previous year.
Universal Health Services Inc.'s (NYSE:UHS - News) fourth-quarter net income more than doubled to $34.2 million, or 63 cents a share, from $12.3 million, or 23 cents a share, a year earlier. The King of Prussia, Pa., hospital operator's revenue grew to $1.07 billion from $967.2 million.
Viacom Inc.'s (NYSE:VIA - News) fourth-quarter earnings more than tripled to $480.8 million, or 69 cents a share, from $129.5 million, or 17 cents a share, a year earlier, as filmed entertainment revenue doubled to $1.57 billion. The company had adjusted earnings from continuing operations of 65 cents a share, compared with 37 cents a share a year earlier. The New York media company said Thursday that total revenue rose 32% to $3.59 billion from $2.72 billion a year earlier. Analysts polled by Thomson Financial, on average, expected earnings of 58 cents a share on revenue of $3.15 billion.
Published By MarketWatch

Labels: NCI, NT, NTG, PDE, PEIX, PETM, PICO, PLUG, PNCL, REST, SFD, SHLD, SHOO, SM, SONS, SPLS, SWN

Classy Saks (SKS) versus Wal-Mart (WMT)
Cramer says that the retail surge is like finding a "diamond in the rough," and he especially likes Saks which is an "ultimate aspirational brand" with stores that have an aura that encourages people to spend. Cramer attributed Saks' turnaround to increased earnings and its "asset takeout story." Unlike Wal-Mart with its warehouse feel, Saks' strength is in its merchandising, which is "about perception -- not about statistics. The analysts don't get it," Cramer said. He likes Saks' margin expansion and growth, and although Saks has begun to turn around, Cramer says it isn't too late to jump on board.

How Much is that PetSmart (PETM) in the Window?
Cramer's second turnaround stock is the country's largest pet store. He is bullish on PETM, not only because Americans are crazy about their pets, but also because of PETM's fundamentals and its 17.5% long-term growth rate. Like Saks, PETM has growing margins and outstanding merchandizing, and Cramer feels that the company is undervalued. He adds that PETM is "primed to expand" without interference with rival Petco which was bought by a private-equity firm.

Mad Mail: AT & T (T), Halliburton (HAL)
When asked about AT & T, Cramer gave the stock two thumbs up. Moving on to HAL, Cramer called it the most "painful" stock he owns, and he doesn't see it moving this year, but by next year he expects HAL to rise or to be bought.
Published By SeekingAlpha

Labels: HAL, Jim Cramer, Mad Money, PETM, SKS, T, WMT

Among the companies whose shares are expected to see active trade in Monday's session are Harrah's Entertainment Inc., FuelCell Energy Inc., Dell Inc. and Andersons Inc.
Applied Signal Technology (APSG) is expected to report earnings per share for the fourth quarter of 22 cents, according to analysts polled by Thomson First Call.
FuelCell (FCEL) is expected to post a per-share loss of 35 cents for the fourth quarter.
Harrah's Entertainment (HET) is on the verge of being sold to two private- equity firms, Apollo Management and Texas Pacific Group, for at least $90 a share, the online edition of The Wall Street Journal reported Sunday.
Joy Global Inc. (JOYG) is expected to report per-share income for the fourth quarter of 66 cents.
Oracle Corp. (ORCL) is expected to post second-quarter per-share income of 22 cents.
Piedmont Natural Gas Co. (PNY) is expected to report first-quarter per-share income of 97 cents.
Steelcase Inc. (SCS) is expected to report earnings of 19 cents per share for the third quarter.
After Friday's closing bell, Dell (DELL) said it received a Nasdaq letter on Dec. 15 indicating that the company is not in compliance with continued listing requirements. The computer giant said the letter relates to the company's delayed third-quarter filing.
Also, three top executives at Time Warner Inc.'s (TWX) AOL unit plan to quit as part of a reorganization expected to be made public this week, according to several media reports. The execs include: Jim Bankoff, AOL's executive vice president of programming, Joe Redling, chief marketing officer, and John Buckley, a chief public-relations officer.
Watch list
Andersons (ANDE) said it has raised the quarterly cash dividend 5.6% to 4.75 cents per share. The dividend is payable Jan. 22 to shareholders as of Jan. 2.
Boston Scientific Corp. (BSX) said it is voluntarily recalling certain lots of the Mach 1 guide catheter in the United States. The medical devices maker said some units of the catheter may contain excess resin that could obstruct a blood vessel if detached during a procedure.
Comverse Technology Inc. (CMVT) Chairman Ron Hiram has resigned from the board. Hiram's resignation was tendered in view of the recent appointment of an additional five new independent directors. Also, the company has received an additional Nasdaq delisting notice over the company's delayed Form 10-Q filing for the quarter ended Oct. 31.
Guitar Center Inc. (GTRC) said its Nov. 22 agreement to buy the assets of Dennis Bamber Inc. has been terminated upon bankruptcy court approval of an alternative bidder for the business.
Imax Corp. (IMAX) said it has determined that a sale or merger of the company will not enhance shareholder value. The Toronto-based entertainment company said it will instead focus on the growth of its network and on strategic business initiatives.
King Pharmaceuticals Inc. (KG) said an arbitration panel has decided in favor of Elan Corp. (ELN) in a dispute related to King's Sonata insomnia drug. The panel ordered King to pay Elan about $49.8 million, plus interest, in milestone payments and other research and development expenses.
Nasdaq Stock Market Inc. (NDAQ) said it has approved a new employment contract for President and Chief Executive Robert Greifeld, extending his deal through Dec. 31, 2010.
PetSmart Inc. (PETM) said it has amended its bylaws to adopt a majority voting standard for the election of directors in uncontested elections. The Phoenix- based retailer of pet products and services said that under the new standard a director in an uncontested election must receive more than 50% of the votes cast.
Power Integrations Inc. (POWI) said it has informed the Nasdaq that it will not meet the Listing and Hearing Review Council's Dec. 18 deadline to become current in its filings. The company expects its shares to be delisted from the Nasdaq Global Market as of the start of trading on Dec. 19.
Refco Inc. (RFX) , the derivatives broker that collapsed in scandal last year, said its Chapter 11 plan was confirmed by a New York bankruptcy court, clearing the way for its businesses to be finally shut down and creditors repaid a portion of what they were owed.
Private-equity firms Clayton Dubilier & Rice Inc. and Kohlberg Kravis Roberts & Co. are in talks to acquire Royal Ahold NVU.S. foodservice unit in a leveraged buyout, according to a media report.
Standard & Poor's said it's changing the makeup of the S&P 500 and SmallCap 600 indexes after the close of trading Tuesday. Terex Corp. (TEX) will replace Navistar International Corp. (NAV) in the S&P 500. Mannatech Inc. (MTEX) will replace American Italian Pasta Co. (PLB) in the S&P SmallCap 600.
By Dow Jones

Labels: ANDE, APSG, BSX, CMVT, DELL, FCEL, GTRC, HET, IMAX, JOYG, KG, MTEX, NDAQ, ORCL, PETM, POWI, RFX, SCS, TEX, TWX