Jim Cramer Blog

Today's show started with Cramer putting on a straitjacket because the market is driving him crazy with all the wild swings going on in the major indexes. Psychiatric Solutions (PSYS) was his first recommendation of the day. It is the largest mental health service provider in the US. Cramer thinks that this stock is safe from all the problems in the market, and that it has a solid base and potential for growth. He is bullish on the stock and thinks that it could be worth up to $60.
Cramer then took some phone calls. The first caller asked for some good diabetes plays, and Cramer gave her Nastech Pharmaceutical (NSTK) and Novo Nordisk (NVO). The next caller asked about Synta Pharmaceuticals (SNTA), and Cramer said he needs to do his homework on it.
Cramer's most recent pick from "Microtrends" was Gamestop (GME) because the book says that the average video game player is now 33 years old, meaning that gamers have more money to spend on games and consoles since they are adults. Cramer also likes that the company has expanded outside the US. The stock has pulled back recently, so Cramer thinks the stock is a buy now, and that it could go up to $57.
"Sell Block." Cramer started by stating that Align Technology (ALGN) was one of his worst calls of the year since they guided earnings lower after this quarter. The next stock is Hansen Medical (HNSN), and recommends you sell so you can lock in a quick $11 gain since he recommended it, plus Intuitive Surgical (ISRG) is selling its share of the company. He also asked people to sell Lululemon (LULU) and Research in Motion (RIMM).
Cramer's final trade was Celgene (CELG), and he had the COO of the company on the show to talk about the upcoming prospects for the company's products. It is down, but Cramer still likes it.
he then talked about Intuitive Surgical (ISRG) and had CEO Lonnie Smith on the phone. They talked about the company's main product, the da Vinci surgical machine. Cramer thinks the stock is going much higher.
Sudden Death. Denbury Resources (DNR), which Cramer is bullish on. The next stock was Charming Shoppes (CHRS), which Cramer is bearish on. The next stock was LifeCell (LIFC), which Cramer likes. The next stock was Quintana Maritime (QMAR), which Cramer likes, along with Diana Shipping (DSX). The last stock was Delta Air (DAL), and Cramer said that he likes United (UAUA) better.

Labels: BBY. RIMM, CELG, CHRS, DNR, GME, ISRG, Jim Cramer, LIFC, LULU, Mad Money, Mad MOney Recap, NSTK, NVO, PSYS, SNTA

Here are 7 stocks for traders for Friday from TradingMarkets.com:
Allied Waste (NYSE:AW - News) beat earnings on Thursday after the close, announcing $0.17 EPS over an expected $0.14 EPS. AW's PowerRating is 5.

Psychiatric Solutions (NasdaqGS:PSYS - News) beat earnings Thursday after the close, with $0.33 EPS over a consensus of $0.30 EPS. PSYS's PowerRating is 5.
Campbell Soup (NYSE:CPB - News) reports quarterly earnings on Friday before the market opens, with analysts looking for $0.63 EPS. CPB's PowerRating is 5.
Goodyear Tire (NYSE:GT - News) is looking to announce $0.36 EPS Friday morning. GT's PowerRating is 5.
Analysts are watching for Hormel Foods (NYSE:HRL - News) to report $0.55 EPS tomorrow when the company announces quarterly earnings. HRL's PowerRating is 5.
J.M. Smucker (NYSE:SJM - News) announces earnings on Friday morning before the bell; watch for $0.69 EPS. SJM's PowerRating is 5.
When Visteon (NYSE:VC - News) announces earnings tomorrow morning, watch for -$0.81 EPS. VC's PowerRating is 7.
PowerRatings are courtesy of PowerRatings.net

Labels: AW, CPB, GT, Hot Stocks, HRL, PSYS, SJM, VC

On Speculation: Landec Corp (NasdaqGS: LNDC)
Cramer announced that he was going to discuss speculative stocks on Fridays to give investors a weekend to cool off before pulling the trigger on potentially risky companies. Friday's speculative play was LNDC, a $12 stock that, according to Cramer, is in the hottest part of one of the hottest sectors, which is seed technology. LNDC's technology, "intellicoat," prevents seeds from germinating and absorbing water too early, and allows farmers to plant up to four weeks ahead of time. Cramer says, "if corn is the next oil, LNDC is the equivalent of a pressure pumper that gets more oil out of the well." He advised investors to use limit orders and not to buy an entire position at one time.
The Week Ahead: Prudential (NYSE: PRU - News), Metlife (NYSE: MET - News), Aon Corp (NYSE: AOC - News)
Cramer commented that he doesn't like the market here, that the financials are "acting terrible," the real estate market is a "total collapsed bubble," and that gold, "ever the enemy of paper" is going up and that gold investors should take profits. In this "glass is half-empty" environment, Cramer warns of selloffs in even the best companies, and suggests buying only half of the intended amount and making a move at the end of the week after the "selling squall." He likes Prudential, which reported a "beautiful quarter," AOC, and MET, which is best-of-breed and is the "big sleeper" of next week with 10% accelerated growth. Cramer would buy it before and after its earnings report and recommends patience if it doesn't rise immediately.
Chipotle Mexican Grill (NYSE: CMG - News) and Denny's (NasdaqCM: DENN)
Concerning CMG and DENN, Cramer says he doesn't mind fact that these companies have debt because their financials are still good, they can refinance at low rates thanks to the strong bond market, and can raise earnings per share by decreasing interest payments. He calls Denny's a "bad going to good" story, but would wait, and calls CMG a "good going to better" story which will have a "fantastic quarter." However, Cramer would hold off until CMG gets hit and would buy it low.

Life Time Fitness (NYSE: LTM - News), Baidu.com (NasdaqGM: BIDU), Psychiatric Solutions (NasdaqGS: PSYS)LTM has "come in a tad" from where Cramer recommended it as a generational play, but he would still buy it as a long-term stock. He comments that BIDU has just a fraction of Google's value and better growth potential, but is in a precarious position because of China's Communist government. Since BIDU tends to trade wildly after it reports, he would use a downturn as an opportunity to buy it cheaply. Cramer notes that PSYS' management has been bullish ahead of the quarter, and would buy some stocks ahead of time, since PSYS has been acquiring companies, and Cramer expects a "big number bump" next week.

Masco Corp. (NYSE: MAS - News), KBH Home (NYSE: KBH - News), Daktronics (NasdaqGS: DAKT), Reliance Steel (NYSE: RS - News)
Cramer would ring the register on MAS before it reports, since it has had a big run. He predicts that KBH will see a huge selloff, and would sell it before it reports and buy the stock back lower. Cramer likes DAKT which is "remaking the billboard industry in its own digital image" and is building huge billboards at sports stadiums. He would use the 8% dip as an opportunity to get in before it reports. Cramer would take profits in RS because it has risen 8 points since he recommended it.
Published By SeekingAlpha

Labels: AOC, BIDU, CMG, DAKT, DENN, KBH, LNDC, LTM, MAS, MET, PRU, PSYS, RS

Abiomed Inc. (NASDAQ:ABMD - News) said it has received 510(k) clearance from the Food and Drug Administration for its new intra-aortic balloon, a technology designed to enhance blood flow to the heart and other organs. The Danvers, Mass.-based medical product company said a combination console platform to support the balloon, the iPulse, is currently under regulatory review and pending approval. Abiomed expects to begin shipping its new integrated iPulse console outside the U.S. during fourth quarter. Following FDA approval of the pre-market application supplement to the existing console, Abiomed's initial introduction of the iPulse is expected in the summer of 2007.
Accenture (NYSE:ACN - News) reported first-quarter earnings of 46 cents a share, compared with 36 cents in the year-earlier period.
American Greetings Corp. (NYSE:AM - News) third-quarter net income rose to 83 cents a share from 19 cents in the year-earlier period. Net sales fell to $512.2 million from $552 million. Analysts, on average, expected it to earn 35 cents on revenue of $516 million. For fiscal 2007, the company still expected to earn 80 cents to $1 a share. Analysts polled by Thomson First Call expect it to earn 81 cents a share for the year.
Anika Therapeutics Inc. (NASDAQ:ANIK - News) said it obtained FDA approval for its cosmetic tissue augmentation. Anika said the product is an injectable soft-tissue filler for facial wrinkles, scar remediation and lip augmentation.
Best Buy Co. (NYSE:BBY - News) was upgraded to outperform from neutral by Credit Suisse analyst Gary Balter, on the belief that investors overreacted to third-quarter results, which fell shy of expectations.
Bristol-Myers Squibb Co. (NYSE:BMY - News) said it's reached an initial agreement with the U.S. Department of Justice and the Office of the U.S. Attorney for the District of Mass. to settle several probes of its drug pricing, sales and marketing practices. In a statement, the drug company said it will pay $499 million and enter a corporate integrity agreement with the Department of Health and Human Services. The deal is not yet final and must be approved by the U.S. Department of Justice. Bristol-Myers said it's raising the reserves set aside to cover the cost of the probes by $353 million, to be recorded in the fourth quarter. The company said it expects to take a $220 million pre-tax charge in the fourth quarter. The company now expects 2006 earnings to range from 72 to 77 cents, down from a prior outlook of 97 cents to $1.02. Excluding special items, it's still expecting earnings of $1.02 to $1.07, however.
Carnival Corp. (NYSE:CCL - News) said fourth-quarter earnings rose to $416 million, or 51 cents a share, from $336 million, or 41 cents a share, a year earlier. Revenue increased 9.2% to $2.81 billion from last year's $2.57 billion, helped by 5.5% growth in cruise capacity and a 2.3% rise in net revenue yields. Analysts surveyed by Thomson First Call had been expecting earnings of 47 cents a share and revenue of $2.79 billion, on average. Looking ahead, the Miami cruise operator said it expects first-quarter earnings of 33 to 35 cents a share, below analyst forecasts of 36 cents a share. Revenue yields are projected to be flat to up slightly, while net cruise costs are expected to rise between 2% and 3%.
Chubb Corp. (NYSE:CB - News) said it'll pay $17 million as part of a settlement with the attorneys general of New York, Connecticut and Illinois, resolving all issues arising out of investigations of property-casualty insurance bid rigging. Chubb has agreed to contribute $15 million to a settlement fund set up for customers and make a $2 million payment for costs of the investigation. Chubb said it will discontinue paying contingent commissions on all U.S. insurance lines beginning in 2007, replacing them with a supplemental compensation program.
Coastal Financial (NASDAQ:CFCP - News) shares surged after BB&T Corp. (NYSE:BBT - News) said it has agreed to buy the company in a deal valued at $394.6 million. Winston-Salem, N.C.-based BB&T said it will pay 0.385 shares for each Coastal Financial share, equal to $17.04 a share based on BB&T's closing price Wednesday. The deal is expected to close in the second quarter.
ConAgra Foods Inc. (NYSE:CAG - News) second-quarter profit rose to 43 cents a share from 29 cents in the year-earlier period. Excluding profit from discontinued operations, earnings came to 40 cents a share. Analysts' average estimate stood at 33 cents, according to Thomson First Call. Sales rose 2.9% to $3.09 billion, ahead of analysts' view for $3.02 billion. The Omaha, Neb., packaged-food company raised its full-year outlook, excluding items, to a range of $1.28 to $1.33 a share, up from a prior target of $1.15 to $1.20. Analysts' estimate stands at $1.25 a share.
Delta Air Lines Inc.'s (Other OTC:DALRQ.PK - News) official creditors' committee said it supported the carrier's decision to file its proposed reorganization plan, but said the committee "will continue to consider potential alternatives in order to maximize the ultimate recoveries for the unsecured creditors in the Delta bankruptcy."
Finish Line Inc. (NASDAQ:FINL - News) said it swung to a third-quarter net loss of 6 cents a share from net income of 2 cents a share in the year-earlier period.
General Mills (NYSE:GIS - News) second-quarter earnings rose $1.08 a share from 97 cents in the year-earlier period. Revenue increased to $3.47 billion from $3.29 billion, with unit volume growing 3%. Analysts surveyed by Thomson First Call had been expecting earnings of $1.03 a share and revenue of $3.42 billion, on average. Looking ahead, the Minneapolis packaged foods company raised its fiscal 2007 earnings forecast to $3.09 to $3.13 a share from $3.03 to $3.08 a share.
Herman Miller Inc. (NASDAQ:MLHR - News) reported second-quarter earnings of 56 cents a share, compared with 40 cents in the year-earlier period, on the back of record-high orders.
Horizon Health (NASDAQ:HORC - News) shares rose after Psychiatric Solutions said it'll pay $20 a share in cash to buy the Lewisville, Texas owner of behavioral health facilities, a 24% premium over its $16.13 closing price on Wednesday. Psychiatric Solutions, (NASDAQ:PSYS - News)a Franklin, Tenn. operator of 74 owned or leased psychiatric facilities, expects the purchase to add 17 to 20 cents a share to its net income.
LifePoint Hospitals (NASDAQ:LPNT - News) was upgraded to buy from hold at Stifel Nicolaus, which cited valuation and comfort with the company's bad debt levels.
National HealthCare Corp. (AMEX:NHC - News) and National Health Realty Inc. (AMEX:NHR - News) have agreed on a merger, the companies said. Terms call for each outstanding National Health Realty common share to be converted into one share of National HealthCare Series A convertible preferred stock plus $9 in cash, and National Health Realty shareholders will receive a special dividend for the period from Jan. 1 until the deal closes, which is expected to happen in the second quarter of 2007. Each preferred share will entitle the holder to annual preferred dividends of 80 cents a share and will have a liquidation preference of $15.75. Murfreesboro, Tenn.-based National HealthCare spun off National Health Realty as a real-estate investment trust in 1997.
Nike Inc. (NYSE:NKE - News) fiscal second-quarter profit rose to $1.28 a share from $1.14 in the year-earlier period.
Paychex Inc. (NASDAQ:PAYX - News) reported second-quarter earnings of 35 cents a share, compared with 30 cents in the year-earlier period, on the back of strong revenue from its human-resource-services segment.
Pointer Telocation Ltd. (NASDAQ:PNTR - News) lifted its estimate of 2006 operating profit to a range of $4.8 million to $5.2 million from a previous estimate of $3.5 million. Revenue should range $41.3 million to $42.1 million compared with a previous estimate of $40 million, Pointer said in a statement. The company also estimated 2007 operating profit at $4.5 million to $5.6 million on revenue of $46 million to $47.5 million. The company said it expects the increases as it acquires companies in areas it serves, expands to new territories, and broadens its service offerings in each territory. The estimates exclude the impact of potential acquisitions, "although we believe such transactions will materialize," Pointer Chief Executive Danny Stern said in the statement.
Praecis Pharmaceuticals (NASDAQ:PRCS - News) shares rocketed up after GlaxoSmithKline said it's agreed to buy the company $54.8 million, or $5 a share in cash.
Raytheon Co. (NYSE:RTN - News)confirmed it's agreed to sell its aircraft-making unit to Goldman Sachs Capital Partners (NYSE:GS - News) and Onex Partners for $3.3 billion. It plans to buy back $750 million in stock and retire $1 billion in debt. It expects earnings from continuing operations of $2.35 to $2.45 a share in 2006 on sales between $20 billion and $20.5 billion, and $2.75 to $2.90 a share on revenue between $21.3 billion and $21.8 billion in 2007. It previously forecast 2006 earnings from continuing operations between $2.70 and $2.80 on sales between $23.1 billion to $23.6 billion, and earnings of $2.95 to $3.05 a share from continuing operations on revenue of $24.6 billion to $25.1 billion in 2007.
Repros Therapeutics Inc. (NASDAQ:RPRX - News) said that interim results of a U.S. phase 2 study of Proellex, an oral drug being developed to relieve symptoms of uterine fibroids, suggest that treatment with Proellex results in a statistically highly significant improvement in multiple symptoms. The company has closed enrollment in the trial at 128 patients.
Rite Aid Corp. (NYSE:RAD - News) reported third-quarter net income of $1.1 million, but posted a loss of 1 cent on a per share basis, after paying out a preferred stock dividend. Revenue for the three months ended Dec. 2 rose to $4.32 billion from $4.15 billion. Analysts, on average, expected it to lose 2 cents a share on revenue of $4.28 billion, according to Thomson First Call. Same-store sales, or sales at stores open at least one year rose 3.4% during the third quarter, consisting of a 4.3% increase in pharmacy same-store sales and a 1.9% increase in front-end same-store sales. The number of prescriptions filled in comparable drugstores increased 2.3%. Prescription sales accounted for 64.3% of total sales, and third party prescription sales represented 95.5% of pharmacy sales. Rite Aid backed its fiscal 2007 forecast. Sales are expected to be between $17.4 billion and $17.65 billion, with same-store sales expected to improve 2% to 4%. It expects to post between a net loss of 7 cents a share to net income 2 cents.
Siemens AG's (NYSE:SI - News) Medical Solutions unit said it will begin clinical trials under an investigational new-drug application submitted to the Food and Drug Administration for an imaging biomarker that could potentially identify Alzheimer's disease prior to the onset of noticeable symptoms.
Sky Financial Group Inc. shares surged after the Bowling Green, Ohio-based company and Huntington Bancshares Inc. (NASDAQ:HBAN - News) late Wednesday agreed to a merger valued at $3.6 billion
SkyWest Inc. (NASDAQ:SKYW - News) said Midwest Airlines had chosen SkyWest Airlines to fly up to 25 regional jets. The first 15 aircraft are scheduled for delivery in April 2007 and will come from SkyWest's current CRJ200 fleet. SkyWest, based in St. George, Utah, flies connecting routes for United Airlines and Delta Air Lines .
Smith & Nephew (NYSE:SNN - News) shares rose in London after a report suggested that the private-equity group that has just acquired Biomet (NASDAQ:BMET - News) might have its sights set on Smith & Nephew as well.
Tower Semiconductor, (NASDAQ:TSEM - News) said the board nominated Dov Moran chairman. Moran is co-founder and was chairman and chief executive of M-systems Ltd., the flash-memory developer that was recently acquired by SanDisk. (NASDAQ:SNDK - News)Moran succeeds Udi Hillman, who continues as a director of Tower.
-MarketWatch

Labels: ABMD, ACN, ANIK, BBY, BMET, BMY, CAG, CCL, CFCP, FINL, GIS, GS, HORC, LPNT, MLHR, NKE, PAYX, PNTR, PSYS, RAD