Jim Cramer Blog

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.
Amazon.com Dec 105 Calls (NasdaqGS:AMZN - News). AMZN's PowerRating (for Traders) is 5.
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.
Savient Pharmaceuticals Nov 15 Puts (NasdaqGM:SVNT - News). SVNT's PowerRating (for Traders) is 5.
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.
MasterCard Nov 175 Calls (NYSE:MA - News). MA's PowerRating (for Traders) is 7.
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.
Goldman Sachs Nov 200 Puts (NYSE:GS - News). GS's PowerRating (for Traders) is 5.
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.
Kennametal (NYSE:KMT - News). KMT's PowerRating (for Traders) is 4.
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.
UBS AG (NYSE:UBS - News). UBS'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.
Moody's Corp. (NYSE:MCO - News). MCO's PowerRating (for Traders) is 5.
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Labels: AMZN, GS, KMT, MA, stock options, SVNT, UBS

That 80s Show: ConocoPhillips (NYSE: COP - News), Energizer Holdings (NYSE: ENR - News)
Continuing the series his theory that stocks which reach $80 rise to $100 and then to $120 in a bull market, ConcoPhillips, Cramer's favorite integrated oil, was up to $84 on Tuesday, close to its 52-week high on the company's $15 billion buyback authorization. Although COP has jumped, Cramer says it is the kind of stock to buy high and sell higher. COP is an "anointed stock" which is down 3 points since the selloff, and will experience "smooth sailing" to $120. Energizer, just shy of $100 is headed to $120 because its iPod batteries will provide 46 more hours of playtime between charges, opined Cramer. In October, the company will introduce a charger that will revitalize "dead" iPod batteries. In addition, ENR is among the top 4 or 5 in share buybacks, and Cramer sees an ENR upgrade on the horizon.

Four Horsemen of Mining: CVRD (NYSE: RIO - News), BHP Billiton (NYSE: BHP - News), Rio Tinto (NYSE: RTP - News), Teck Cominco Ltd. (NYSE: TCK - News)
Cramer added TCK to his three wise men of metals: RIO, BHP and RTP to form the four horsemen of mining. In spite of TCK's smaller size, Cramer thinks it will perform as well as the others. Although its specialty is zinc which is not so hot, Cramer notes inventories of this essential metal which is used to make steel and batteries are dwindling. TCK is diversifying away from zinc and has made a bid for Auy Resources, an acquisition which will dramatically increase TCK's exposure to copper and to China, which consumes 30% of the tawny metal. Cramer adds, with the addition of Auy, TCK will be a great way to play China without the risk of owning a Chinese stock.

CEO Interview: Christopher Clement of Savient Pharmaceuticals (NasdaqGM: SVNT - News)
Christopher Clement discussed gout drug Puricase which in in Phase III of its trials before going to the FDA for approval. The drug is expected to launch in 2009, and Cramer calls Puricase "gigantic ... I think you stick with SVNT, and buy it down on any weakness."

Tears for Sears (NasdaqGS: SHLD - News)
Cramer remarked he was disappointed about SHLD's 17 point decline and added the company has to start selling real estate. However, he would hold it for at least another 18 months.

Published By SeekingAlpha

Labels: BHP, COP, ENR, Jim Cramer, Mad Money, RIO, RTP, SHLD, SVNT, TCK

Bullish:
Apple (NasdaqGS: AAPL): 'I said, at $85 and change it was anointed. It's up $8....because they indeed blew away the numbers.'Savient Pharmaceuticals (NasdaqGM: SVNT): ' ... still like it as much as I did at the beginning of the year. I like their uric acid product. I'm not backing away.'BioMarin Phramaceutical (NasdaqGM: BMRN):' I know people were disappointed in that last quarter. I think it's a mistake. BMRN is a good biotech stock, and a takeover target.'AT&T (NYSE: T)State Street (NYSE: STT): 'I think that the mutual fund clearing business is a great business, a great way to participate in this rally. STT is a thumb and a half up.'Pozen (NasdaqGM: POZN): 'They get that migraine stuff... I mean, this company... There are so many ways to win.'Nastech Pharmaceutical (NasdaqGM: NSTK): ' ... we identified at $10 and it went to $13.50. I'm going to join you on the buy side there. I think you're in good shape. Buy, buy, buy!'Burger King (NYSE: BKC): ... it's been on fire. BKC is a reformed, better outfit. It's really good ... easily, easily going up to $26-$27.'McDonald's (NYSE: MCD)Parker-Hannifin (NYSE: PH): 'Do not lose heart! That was a beautiful quarter. They will find it ... Even though it's been up a lot in the last year... you say I want some PH, and then you get the stampede. That stock is going to $100.'Tellabs (NasdaqGS: TLAB): 'Quite frankly, I thought the stock should have been single digits after that call ... I smell merger. I smell buyout. I smell takeout. Sit with your TLAB. I think something good is going to happen.'Thermo Fisher Scientific (NYSE: TMO): Have much have we liked TMO?... 52-week-high? No, no. More ahead. $50 goes to $60, TMO!'Trinity Industries (NYSE: TRN):Charter Communications (NasdaqGM: CHTR): 'CHTR's minding its own business, going higher ... CHTR, it reports May 2nd. I like the stock very much.'
Bearish calls:
MetroPCS Communications (NYSE: PCS): 'Let's not be too greedy. That stock has had a run. The other ones haven't. I'd actually be more conservative.'Simon Property Group (NYSE: SPG): 'Let that one come in. The commercial real estate market has had a great run. It's not where I want to be right now.'XM Satellite Radio (NasdaqGS: XMSR): 'No. That's a bleeding contest. That's one of those where you're darned if you do and darned if you don't. The congress won't let these two companies merge.'
Published By SeekingAlpha

Labels: AAPL, BKC, Jim Cramer, Lightning Round, Mad Money, PCS, PH, SPG, STT, SVNT, TMO, TRN, XMSR

Bullish calls:
RPM (NYSE: RPM - News): 'Most people do not know this coating stock that has traditionally paid a 3% dividend, met the quarter - quarter after quarter ... I've always wondered why this company hasn't been taken over yet. It is a terrific, terrific little sleeper company.'Wachovia (NYSE: WB - News): 'I think that WB, with a 4% yield, is not going to go down when they report the quarter. It's a very well run bank. I condone owning it through earnings period.'BioMarin (NASDAQ: BMRN - News): 'I have been behind BMRN for a long time, and I am not backing away. Therapeutic enzyme products. It's just - for burns - I think they've got a bunch of stuff in the pipeline ... BMRN is a really terrific story.'Diageo (NYSE: DEO - News): 'I won't let it go, because this is a 4% yielder that's moving into China aggressively. And I think the business is too good to sell.'Apple (NASDAQ: AAPL - News): 'I am in still AAPL, and I'm staying that way.'Nice (NASDAQ: NICE - News): 'FLIR, No. 2 - and NICE, No. 1 - have been our ways to play counterterroism, because they have great homeland security products.'Savient (NASDAQ: SVNT - News)Flir Systems (FLIRP): ' ... you look very closely at Monday nights '24' [TV show], you will see FLIR in action.'Johnson & Johnson (NYSE: JNJ - News): 'I want the real deal. Why don't you give me a little JNJ? Although some people don't like the quarter, not me.'Fuel Tech (NASDAQ: FTEK - News): 'One of the few pollution control stocks that actually makes a lot of money, and can do well.'Nordstrom (NYSE: JWN - News): ' ... will indeed blow away it [the quarter]...'
Bearish calls:
Teva Pharmaceutical (NASDAQ: TEVA - News): 'TEVA - No! I do not like that stock. I don't want you near it. Sell, sell, sell!'Cnooc (NYSE: CEO - News): 'No. There was a time when I liked this stock ... I have backed away from this group. This is a Chinese crude oil stock. On any bounce, ka-ching, ka-ching. [sell].'Research in Motion (NASDAQ: RIMM - News): 'A played out story. It reported that great quarter and it didn't move... I want you to sell, sell, sell!'

Labels: AAPL, BMRN, CEO, DEO, FTEK, Jim Cramer, JNJ, JWN, Lightning Round, NICE, RIMM, RPM, SVNT, TEVA, WB

Bullish calls:
Level 3 Communications(NASDAQ: LVLT - News): ' ... it looks really scary... LVLT issuing 160 million shares after the close? My favorite speculation for 2007... This, my friends, is not scary ... We've been talking about the virtuous circle up ... LVLT remains two thumbs up, way up ... This stock is headed higher.'Eagle Materials (NYSE: EXP - News): 'That is a great company with a gigantic insider buyer, with a phenomenal balance sheet, with a tremendous opportunity for a CX to take it over ... two thumbs up, way up.'Baidu.com (NASDAQ: BIDU - News): 'I have been itching to buy this BIDU, to recommend it on the show... I keep waiting for a down day... It is killing me. I am right now sanctioning a small buy in BIDU right here, praying that it will come down.'Texas Roadhouse (NASDAQ: TXRH - News): 'TXRH has stalled out... I cannot give up on TXRH, but I just can't understand the bear case for TXRH. I say $13 ('mon-back). Let's buy them.'Darden Restaurants (NYSE: DRI - News)McDonald's (NYSE: MCD - News)Res-Care (NASDAQ: RSCR - News): 'it's a disability play ... This is my favorite. And I think you should swap out of the HLS, if you're in that, and get into RSCR which, to me, is best of breed in the field.'CarMax (NYSE: KMX - News): 'There is nothing like the retailing of cars. It is a phenomenal business ... 52-week high again. And I am saying don't ring the register. That is how good KMX is ... Two thumbs up, way up.'Savient Pharmaceuticals (NASDAQ: SVNT - News): 'I prefer Savient over SGEN.'Toyota Motor (NYSE: TM - News): 'Holy cow, it just dropped 15 points. ('mon-back sound). Let's do some buying.'Capital One Financial (NYSE: COF - News): 'The bears keep swarming. I think they'll be wrong. Buy, buy, buy! I want to buy COF.'Best Buy (NYSE: BBY - News): 'They're best in show ... I don't even know why Circuit City (NYSE: CC - News) exists. Julian Day is cutting back the Radio Shacks ... That means wide open field for BBY. The stock has been heading down ... It may be flatlining here and then, when it reports the quarter, it goes up 3 or 4. That's a tough call for me.'Riverbed Technology (NASDAQ: RVBD - News): 'The stock is bouncing back now ... best in show. I want you to stick with it. As a matter of fact, I want you to buy it. Buy, buy, buy!'
Bearish calls:
Corn Products International (NYSE: CPO - News): 'Most of their costs are corn, and corn is going up, up, up ... but they're able to put through a price increase. They just gave you a dividend increase. I've got to tell you, this one is not for me. Don't buy, don't buy. But far be it for me to say sell, sell, sell. They seem to have the costs - even though they're skyrocketing - under control.'HealthSouth (NYSE: HLS - News)Energy Conversion Devices (NASDAQ: ENER - News): 'I cannot - in good conscience - recommend that stock with oil at $51, going to $49. So, I am going to say no, no, no. Sell, sell, sell.'Seattle Genetics (NASDAQ: SGEN - News): 'It's a $300 million company. I cannot get behind it. It's at a 52-week high. I've got a lot of really great biotechs that are well off their high. Don't buy, don't buy.'

Labels: BBY, BIDU, CC, COF, CPO, DRI, ENER, EXP, HLS, Jim Cramer, KMX, LVLT, Mad Money, MCD, RSCR, RVBD, SGEN, SVNT, TM, TXRH

No. 3# Savient Pharmaceuticals (NASDAQ: SVNT - News)
Cramer says that everyone has room for speculative stocks, but that they should not be purchased with retirement funds or occupy more than 20% of a portfolio. Cramer suggests buying about five different speculative plays rather than relying on one or two. His 3rd favorite speculative stock is Savient which takes the "risk factor up a dozen notches." Cramer says the company has been a "tear" but it has room to rise because it has great management, Oxandrin, which promotes weight gain after surgery and Puricase, a Phase III treatment for gout. Puricase will be the first medicine for gout developed in 40 years, and 3 to 5 million Americans have this condition which is often resistent to treatment. Cramer predicts SVNT could double if Phase III results will be positive.
Related: On December 5's Lightning Round, Cramer said Savient was too expensive.
No. 2. Rite Aid (NYSE: RAD - News)
Cramer says this "unloved" stock which only has 10 analysts covering it should be picked up on Monday, since it is a "sizzling" speculative play. He notes that its deal with Brooks-Eckerd will save RAD $150 million, RAD is the one drugstore which is immune from the "Wal-Martdisease," it is a great inner-city play, and it can't go much lower without "catching a takeover bid." Cramer invited CEO Mary Sammons, the "architect" of RAD's turnaround, onto the program, and she commented that the $150 million savings from the merger was a conservative estimate, which doesn't take into account increased revenue and productivity. She added that every new store acquired entails "strong double-digit gains for five years." In addition, Sammons commented that the company is "well covered" on integration risk.
Related: On Mad Money, Dec. 5, Cramer discussed Rite Aid's advantages over Wal-Mart.
And the Winner is ... Level 3 Communications (NASDAQ: LVLT - News)
Level 3 Communications is Cramer's top speculative pick for 2007 because he believes it will benefit from the bandwidth shortage. Although the stock is up 35% since Cramer's initial recommendation in September, he sees potential for a more dramatic jump because of its deal with YouTube and NBC. In addition, LVLT's deal with Broadwing was completed on Thursday, and the stock has a "big risk, big reward." Although the company also has $6.8 million debt and investors may lose money on the stock, Cramer comments "if you're gonna stay interested in stocks, you gotta take a few risks, and one of those risks is taking LVLT, even at its $6 level."
Related: Ant & Sons commented that LVLT jumped in November on Cramer's recommendation.
Published by SeekingAlpha

Labels: Jim Cramer, LVLT, Mad Money, RAD, SVNT

No. 3# Savient Pharmaceuticals (NASDAQ: SVNT - News)
Cramer says that everyone has room for speculative stocks, but that they should not be purchased with retirement funds or occupy more than 20% of a portfolio. Cramer suggests buying about five different speculative plays rather than relying on one or two. His 3rd favorite speculative stock is Savient which takes the "risk factor up a dozen notches." Cramer says the company has been a "tear" but it has room to rise because it has great management, Oxandrin, which promotes weight gain after surgery and Puricase, a Phase III treatment for gout. Puricase will be the first medicine for gout developed in 40 years, and 3 to 5 million Americans have this condition which is often resistent to treatment. Cramer predicts SVNT could double if Phase III results will be positive.

No. 2. Rite Aid (NYSE: RAD - News)
Cramer says this "unloved" stock which only has 10 analysts covering it should be picked up on Monday, since it is a "sizzling" speculative play. He notes that its deal with Brooks-Eckerd will save RAD $150 million, RAD is the one drugstore which is immune from the "Wal-Martdisease," it is a great inner-city play, and it can't go much lower without "catching a takeover bid." Cramer invited CEO Mary Sammons, the "architect" of RAD's turnaround, onto the program, and she commented that the $150 million savings from the merger was a conservative estimate, which doesn't take into account increased revenue and productivity. She added that every new store acquired entails "strong double-digit gains for five years." In addition, Sammons commented that the company is "well covered" on integration risk.

And the Winner is ... Level 3 Communications (NASDAQ: LVLT - News)
Level 3 Communications is Cramer's top speculative pick for 2007 because he believes it will benefit from the bandwidth shortage. Although the stock is up 35% since Cramer's initial recommendation in September, he sees potential for a more dramatic jump because of its deal with YouTube and NBC. In addition, LVLT's deal with Broadwing was completed on Thursday, and the stock has a "big risk, big reward." Although the company also has $6.8 million debt and investors may lose money on the stock, Cramer comments "if you're gonna stay interested in stocks, you gotta take a few risks, and one of those risks is taking LVLT, even at its $6 level."
Published By SeekingAlpha

Labels: Jim Cramer, LVLT, Mad Money, RAD, SVNT

No. 3# Savient Pharmaceuticals (NASDAQ: SVNT - News)
Cramer says that everyone has room for speculative stocks, but that they should not be purchased with retirement funds or occupy more than 20% of a portfolio. Cramer suggests buying about five different speculative plays rather than relying on one or two. His 3rd favorite speculative stock is Savient which takes the "risk factor up a dozen notches." Cramer says the company has been a "tear" but it has room to rise because it has great management, Oxandrin, which promotes weight gain after surgery and Puricase, a Phase III treatment for gout. Puricase will be the first medicine for gout developed in 40 years, and 3 to 5 million Americans have this condition which is often resistent to treatment. Cramer predicts SVNT could double if Phase III results will be positive.

No. 2. Rite Aid (NYSE: RAD - News)
Cramer says this "unloved" stock which only has 10 analysts covering it should be picked up on Monday, since it is a "sizzling" speculative play. He notes that its deal with Brooks-Eckerd will save RAD $150 million, RAD is the one drugstore which is immune from the "Wal-Martdisease," it is a great inner-city play, and it can't go much lower without "catching a takeover bid." Cramer invited CEO Mary Sammons, the "architect" of RAD's turnaround, onto the program, and she commented that the $150 million savings from the merger was a conservative estimate, which doesn't take into account increased revenue and productivity. She added that every new store acquired entails "strong double-digit gains for five years." In addition, Sammons commented that the company is "well covered" on integration risk.

And the Winner is ... Level 3 Communications (NASDAQ: LVLT - News)
Level 3 Communications is Cramer's top speculative pick for 2007 because he believes it will benefit from the bandwidth shortage. Although the stock is up 35% since Cramer's initial recommendation in September, he sees potential for a more dramatic jump because of its deal with YouTube and NBC. In addition, LVLT's deal with Broadwing was completed on Thursday, and the stock has a "big risk, big reward." Although the company also has $6.8 million debt and investors may lose money on the stock, Cramer comments "if you're gonna stay interested in stocks, you gotta take a few risks, and one of those risks is taking LVLT, even at its $6 level."
Published By SeekingAlpha

Labels: Jim Cramer, LVLT, Mad Money, RAD, SVNT