Jim Cramer's Mad Money Review

Cramer talked about scary stocks and that stock is Hansen Natural Corp. (HANS). It has moved so high it is time to get out of the stock. All they sell is a typical drink at a premium price. Cramer says, "Get out before they report earnings." Even the bulls are worried about this stock and that is a good sign that you should get out. Also bad press is beginning to come out about energy drinks and it has caused people to begin thinking. HANS is a momentum stock that has lost its momentum. Bottom Line: HANS is scary, Cramer doesn't think you should own it. However, Cramer likes Brazil. The stock he likes is CVRD (RIO). They have just reached their 52 week low on Sept. 25 and Cramer thinks RIO will see a turnaround next month. Cramer thinks this is the stock to buy when looking for an undervalued mineral play. Bottom Line: Cramer thinks RIO is a buy and will see a turnaround within the next two months before the suits annoint it.
Lightning Round
Bulls: SU, CSCO, SHLD, CTV, TWX, EP, EEP, PCU, MET, BBY, AZO
Bears: TLAB, PEIX, GT, LU
Cramer thinks the housing market is due for a turnaround. Housing stocks bottom when things are looking worse. Bottom Line: Cramer thinks there is a bottom in homebuilders, it is time to get back in them. Cramer also likes Texas Roadhouse (TXRH) because it has a good growth strategy. They have more restaurants in the pipeline for the first quarter than they ever had. Bottom Line: Cramer is sticking by TXRH.

Shares of Hanesbrands Inc. (HBI) tumbled more than 2 percent Tuesday after underwear maker reported a 39 percent decline in third-quarter earnings, due mainly to expenses related to plant closures and its separation from Sara Lee Corp.
Shares of Hanesbrands fell 65 cents, or 2.68 percent, to close at $23.60 on the New York Stock Exchange.
The Winston-Salem, N.C.-based hosiery and intimates maker was spun off from its parent in early September, leaving industry experts uncertain -- yet optimistic -- of the company's future.

Bullish calls:
ASV Inc. (ASVI): '52-week low... Should I chance it ahead of the earnings? I don't know, man. The thing's so beaten up, I just doubt there's much downside. That could put me right in the chopping block, but I calls them as I see them.'McAfee (MFE): 'We have been behind MFE for a long time now, and MFE has finally come to fruition, hitting a 52-week high. I bless MFE.'Alberto-Culver (ACV): 'I recommended ACV on the spinoff, and a lot of people are saying, 'Jim, the market's taking off, and I've made 2 points on it,' and all I can tell you is, I reiterate my buy on ACV - there's value there!'MEMC Electronic Materials (WFR): 'There is a shortage of wafers to make semiconductors; it's been going on for a long time. Our way of playing it, literally - and we have caught more than a double - has been WFR. I still like the stock.'Level 3 Communications (LVLT):' ... the backbone of the internet, and made a lot of great acquisitions, including Broadwing - this is my favorite single speculation among the technology sector ... I think you're going to get a double in two years time.'Marvell Technology (MRVL): 'It held up really well; it had a bad quarter. I think its 2007 is going to be fabulous, which is why I commend you to buy it right here. I think that stock is a serious buy off of 2007.'California Pizza Kitchen (CPKI): 'Casual dining is for me. CPKI is for me. I would stick with that one.'SAIC (SAI): 'Oh man, have we hit it out of the park in that one! Don't sell it yet. That one's just going higher.'J.C. Penney (JCP)Kohls (KSS)
Bearish calls:
Check Point (CHKP): 'I'm not a fan of CHKP. I would ring the register.'Cogent (COGT): 'This COGT I have been suspicious of - I mean, this stock is down 50% my friend. Sometimes the Fed cats do not bounce.'Intuitive Surgical (ISRG): 'No, I saw the Jeffries downgrade. It was really interesting, because it did make me feel like that you've seen the last of the good quarters ... I want to ring the register; we've had a real win there. I don't want to overstay my welcome, because bulls make money, bears make money, and hogs get gonged.'Red Hat (RHAT): 'That is one awful stock. I have to tell the truth. RHAT is awful, and I do not believe that Oracle has any intention of buying them. I want you to stay away...'Wet Seal (WTSLA): 'No, c'mon man. We've got JCP and KSS. We don't need that.'
Published By SeekingAlpha

Those who own Amazon (AMZN) got lucky, but Cramer stands by his position, Sell, Sell, Sell. What you saw yesterday was a one time thing for AMZN. Their management is focused elsewhere besides the company. There's no more room for growth. Bottom Line: Cramer is not wrong on AMZN, the bounce is only temporary. Cramer also blesses Priceline (PCLN). Brinker International (EAT) is a buy in Cramer's book even though same store sales were down this quarter. Same store sales are key to a stocks success, so why did this stock spike? EAT beat estimates and people are spending the money they saved from lower gas prices on inexpensive dining. They reported an increase of 29% in earnings. Cramer thinks they will repeat in next quarters earnings. Bottom Line: between the two, my play is EAT over AMZN.
Lightning Round
Bulls: AYR, PMTI, BRCD, GILD, RRD, F, GM, HAL, EZM, NUVA
Bears: CELL, ILSE, AMTD, OSUR, BRNC, JOYG
Am I Diversified?
Diversified: MO, FDX, USG, DIVX, PTEN
Diversified: CSCO, C, F, IP, TXU
Not Diversified: C, ALL, XOM, WB, NVS- too many financial stocks, sell out of one and look at a Defense play
Finally, Cramer thinks Trump Entertainment (TRMP) is a buy and it goes to $25 a share.

Shares of specialty glass maker Corning Inc. (GLW.N: Quote, Profile, Research) fell over 6 percent on Wednesday, a day after the company said it saw weakness in its fiber optic business in the fourth quarter. Corning said on Tuesday it expects sales in its telecommunications segment to fall 20 percent to 25 percent sequentially because of lower prices, lower volumes of fiber it provides to phone carriers and seasonal factors. Corning, the largest maker of glass for liquid crystal display televisions and computers, on Tuesday forecast fourth-quarter sales at $1.28 billion to $1.33 billion and earnings excluding special items of 26 to 29 cents per share. Corning said it expects its display glass division to be strong in the fourth quarter, estimating sequential volume growth in the 20 percent to 30 percent range. Its third-quarter profit excluding an asbestos-related charge came in at 28 cents a share, beating analysts' average forecast of 25 cents, according to Reuters Estimates. Revenue grew nearly 8 percent to $1.28 billion, just short of the consensus forecast of $1.3 billion. Corning shares fell $1.44 to $21.70 on the New York Stock Exchange.
Source: Reuters

Yankee Candle Co. Inc. (YCC.N: Quote, Profile, Research) on Wednesday reported better-than-expected profit and said it agreed to be acquired by an affiliate of private equity firm Madison Dearborn Partners LLC for $1.4 billion, sending its shares up 17 percent to a yearly high. Yankee said it expects the deal, which includes roughly $300 million in debt, to close in the first quarter of 2007. The scented candle company said net income for the third quarter, ended Sept. 30, fell 3 percent to $14.9 million from $15.4 million a year ago. But earnings per share rose from 35 cents to 37 cents on fewer outstanding shares, and handily beat analysts' average estimate of 27 cents a share, according to Reuters Estimates. The South Deerfield, Massachusetts-based company also said quarterly sales rose to $159.6 million from $136.5 million a year ago. Analysts polled by Reuters were expecting sales of $148.85 million.Yankee Candle raised its full-year earnings outlook to a range of $1.96 to $2 a share excluding items, up from its prior forecast of $1.88 to $1.98 a share. Madison Dearborn's purchase price of $34.75 a share represents a 21 percent premium to Yankee's closing price on Tuesday and a 57 percent premium to the closing price on July 25, the day Yankee put itself up for sale. Yankee shares jumped $4.91 on Wednesday to $33.63 on the New York Stock Exchange.
Source: Reuters

There is only one opinion that counts on Wall Street and it's the portfolio manager's opinion that has an impact on a stock. Portfolio managers are looking at Google's (GOOG) earnings and growth which are extremely impressive. The best way to value GOOG is to compare it to its peers. The competition includes: SBUX, WFMI, FFIV, AKAM, and HOLX. These competitors all have higher multiples than Google and if you use their multiples for Google, their price would be considered cheap at $473. Cramer would be comfortable paying 40x earnings for Google. Bottom Line: Cramer doesn't think Google can stay this low and thinks it could reach $928 a share. Google needs to be bought while it is still cheap. Cramer changed his mind about Netflix (NFLX) and thinks it's a buy even at $27.37 a share. He made a mistake by comparing it to Blockbuster (BBI). Bottom Line: Cramer was wrong on NFLX and he thinks it's a buy.
Lightning Round
Bulls: RVSN, AAPL, ARNA, CAL, FLWS
Bears: XMSR, DOW, WCRX, THE, SWN, DIVX, ESV
Short-term investments are not the only way to make money. Cramer thinks one of the best long-term sectors is the cell phone industry. If you want growth, look at companies that make cheap cell phones. The stock to buy is Nokia (NOK) because they are concentrating on bringing the cheapest phones to the developing world. Since these developing countries primarily consist of the middle class, they are most likely going to buy the cheapest phones. Cramer does not like Sandisk Corp. (SNDK) and needs to see another quarter before he thinks about buying the stock.
There is only one opinion that counts on Wall Street and it's the portfolio manager's opinion that has an impact on a stock. Portfolio managers are looking at Google's (GOOG) earnings and growth which are extremely impressive. The best way to value GOOG is to compare it to its peers. The competition includes: SBUX, WFMI, FFIV, AKAM, and HOLX. These competitors all have higher multiples than Google and if you use their multiples for Google, their price would be considered cheap at $473. Cramer would be comfortable paying 40x earnings for Google. Bottom Line: Cramer doesn't think Google can stay this low and thinks it could reach $928 a share. Google needs to be bought while it is still cheap. Cramer changed his mind about Netflix (NFLX) and thinks it's a buy even at $27.37 a share. He made a mistake by comparing it to Blockbuster (BBI). Bottom Line: Cramer was wrong on NFLX and he thinks it's a buy.
Lightning Round
Bulls: RVSN, AAPL, ARNA, CAL, FLWS
Bears: XMSR, DOW, WCRX, THE, SWN, DIVX, ESV
Short-term investments are not the only way to make money. Cramer thinks one of the best long-term sectors is the cell phone industry. If you want growth, look at companies that make cheap cell phones. The stock to buy is Nokia (NOK) because they are concentrating on bringing the cheapest phones to the developing world. Since these developing countries primarily consist of the middle class, they are most likely going to buy the cheapest phones. Cramer does not like Sandisk Corp. (SNDK) and needs to see another quarter before he thinks about buying the stock.

Jim Cramer
Mad Money

Tonight, Cramer talked about which vanity stocks to own and which not to own. Bare Escentuals (BARE) will not make you a dime and needs to be sold. The vanity stocks you should own include: AGN, MRX, and the best play, IFF. You need to focus on the business cycle. Cramer thinks that CAT's negative outlook is not as bad as they say it will be. He thinks it is close to a bottom and you should buy it and hold it for 6 months and it will make you "Mad Money." Now regarding the oil patch, Cramer also thinks you should sell SLB and buy HAL. HAL has been buying back stock hand over fist and trades at 22 times earnings.
Lightning Round
Bulls: AMD, SYMC, RAD, SAI, OMG, ROK, WHR, BSX, RARE, ERTS
Bears: SCUR, CCJ, VLO
In order to be successful, you need to be flexible. You need to adapt to the moods of the market. Cramer has always liked FDX over UPS. He still prefers FDX and thinks you should buy it because they have better fundamentals.
Jim Cramer
Mad Money

Wal-Mart's (WMT) shares bounced higher Monday after the world's largest retailer addressed cannibalization concerns by announcing it was slowing growth in its home market.Wal-Mart's stock rose more than 3 percent on the New York Stock Exchange in afternoon trading. The retailer's shares are up more than 5 percent so far this year. On day one of its two-day analysts' meeting in New Jersey, the world's largest retailer said it expects capital expenditures to be up between 2 to 4 percent overall next year. That's a significantly lower rate than the 15 to 20 percent capital expenditures in the current fiscal year. At the same time, Wal-Mart (Charts) expects capital expenditure to be flat year-over-year in its key domestic market and will slow down expansion in the U.S. Investors have fretted that Wal-Mart was being too aggressive with its expansion strategy in its already saturated home market. Another concern was that new stores were starting to eat into sales at older stores.To that effect, Wal-Mart's sales at stores open at least a year - a key retail measure known as same-store sales - have slowed considerably to an average increase of between 1 to 3 percent from earlier levels of more than 5 percent increase per year. It seems that Wal-Mart's biggest enemy is themselves. It may be wise to sell out of this stock until they get back on track.
Source: cnnmoney.com

AK Steel (AKS charts news PowerRating) on Monday disclosed the approval by its board of directors of a capital investment to increase production capacity for high quality, grain-oriented electrical sheet steels by about 12 percent. The company noted that the $55 million expansion project is aimed at helping AK Steel to meet continued strong market demand for electrical steel products used in electrical generation and transmission markets. The funds would be used to upgrade and modify existing production equipment at the company's Butler and Zanesville facilities. Earlier in April, the company revealed a $14 million investment to increase electrical steel production capacity at its Butler Works. Combined with the current investment, AK Steel's production capacity for electrical steel products would increase to about 335,000 tons per year by mid-2008.
Source: Tradingmarkets.com

Cramer Loves Google. It's not done going up. And you know I think this stock isnow headed to $560, my new price target. Every analyst is going to raise numbers tomorrow, and you know what's going to happen? Maybe they'll get on board where I am with GOOG.

SNMX- The stock has moved from $15 and change from where I recommended it, all the way up to $19; it's back to $18. We're up three smackers. Do I say pull the trigger? No. I say take a little schnitzel - a quarter position off - then let it run for this company that seems to have developed some taste things that don't add salt or sugar but are just as good.

AMTD - BAC is going to give a lower return on your cash that has this, plus there's a limited number of trades. That is not going to bring as much pull as I thought it would. It's better to keep it in a larger account, where they give you a better rate of return. In other words, what I'm saying is AMTD has probably been hurt enough by this, as has ET. At this point, after being negative, I am now going positive. AMTD and ET - they're down too much.
FLIR - FLIR remains the favored area, no matter whether democrats or republicans win congress, because it's domestic security. I identified NICE and FLIR as exactly the stuff that Chloe and Jack use to get the bad guys (in the TV show '24'). I'm staying bullish. They go higher into the election.
Jim Cramer
Mad Money
Google

Yahoo has now stabilized and will cease to grow unless they start making some serious moves. The only way to gain some of this growth back is to start acquiring new exciting internet companies such as BankRate.com (RATE). Cramer advised to buy RATE in three days.
Avoid Amazon.
Avoid eBay.
Cramer is very bullish on IACI Interactive because the company has been pouring massive amounts of money into Ask.com and Cramer's sources say that this investment is beginning to pay off.
Cramer was also hyping Southern Copper (PCU) for two reasons: He loves Peru because of its capitalist mentality and the stock has a yield of 8%, which is better than any money market. The company also opened a new mine and recently ended a labor dispute.
Buy Yumana is you like gold.
Buy Pan American Silver (PAAS) is you like silver.

Bullish: DNA, SBGI, CBS, WEN, MON, VAR, CTSH, RS, KDN, ET, NUE, ERIC, HSY
Bearish: ESLR, CSX, JDSU,FDO, COP
Jim Cramer
Mad Money

Momentum funds are back they don't waste time and take advantage of the situation of the markets. There are no sellers in this current market. There are the most buyers since the 2000 tech boom and this will push the Dow past 12,000. If you own a stock which has been a winner they are going to continue to rise because the big mutual funds want to show their investors that they own all the hot stocks.
Cramer want to take Lowe's to $32.

Bullish: (BA), (IP), (INTC), (NOK), (HON), (PH), (GGG), (NWS), (AYR), (LOW), (CROX)
Bearish: (WU), (WTLSA), (NVDA), (FLEX), (BHP)

In addition watch Yahoo fall to $21 and than ride it back up to $24 really quickly.
Jim Cramer
Mad Money

Cramer likes Nice Systems (NICE) because it has great things going for it and have been executing well. They maintain relationships with distributors in over 100 countries. They have been blowing away their competition and they are working to establish themselves as a leader in the industry. Bottom Line: for a play on security, buy NICE. Cramer likes Riverbed Technology (RVBD) which is already up 20% from its IPO price. Cramer thinks this could be the next Divx. RVBD is beating Cisco Systems (CSCO) at their own game. Riverbed's gear is by far the best of the best and they are a best of breed stock. They are not profitable yet, but that's good since you can get in the stock at ground floor. Bottom Line: RVBD is alluring and Cramer thinks it's time to Buy, Buy, Buy.
Lightning Round:
Bulls: ISE, GRMN, WAG, RAD, PLCE, BLUD, JCI, TM
Bears: DAKT, CKP, AVNR, RMBS
The Game Plan for next week: Intel (INTC) is a good play because Cramer thinks they will raise guidance which should raise the stock price as well. So you should buy before they announce earnings. Also, Cramer thinks Broadcom (BRCM) is a buy as long as they don't miss earnings too bad. Foster Wheeler (FWLT), Beckman Coulter (BEC), Whirlpool (WHR), NYSE Group (NYX), Knight Capital Group (NITE), ML CO (MER), and Jefferies Group (JEF) should all be bought before they announce earnings. Finally, a good pharmaceutical play is Arena Pharmaceuticals (ARNA). They are involved in obesity and diabetes and Cramer thinks this company is the speculation of the year.
Jim Cramer
Mad Money

If rising prices have you crying over spilled milk, spare some of those tears for orange juice: Prices for the breakfast staple could spike by as much as 35% because of crop shortages. Florida will produce 135 million boxes of oranges this season, down from 148 million last year, the U.S. Department of Agriculture said yesterday. The projection sent futures trading soaring to a 16-year high, with prices closing at $1.92 per pound of juice. The surge means retail prices are likely to rise by 20-25% in the coming weeks, and ultimately could go up by as much as 35% if traders believe the government's report, said James Cordier, president of Liberty Trading Group in Tampa. Juice prices climbed to $2.20 a pound in 1977, and analysts said yesterday that trading was likely to pass the $2 mark for the first time since 1990 at news of the report. It could take years for Florida's trees to recover from two seasons of damaging hurricanes, warned Jack Scoville, vice president of Price Futures Group. "Short crops will continue. Don't expect it to be a one-time thing," he said. Originally published on October 13, 2006.

Cramer sees a bull market in: tech, casual dining, and retail. The money is flowing into tech and retail. To make money, you need to buy the obvious. The money is flowing into the big, well-known tech stocks. The tech stocks that you should be buying include: MOT, ORCL, MSFT, CSCO, QCOM, ADBE, GOOG and AAPL. Tech stocks usually have great 4th quarters, the pin action is there, it's time to pull the trigger. Cramer also likes Advanced Micro Devices (AMD). Bottom Line: Oils are out and tech is in, Cramer thinks you should be buying the big names. What the street calls crazy, Cramer likes it. An example is Sonic Corp. (SONC). They did a Dutch Auction which is where they bought back stock at a higher price. They significantly reduced the number of shares outstanding. SONC had 20+ years of rising same store sales. Two reasons why he likes it: they have taken operations from regional to national and the fundamentals are fabulous. Bottom Line: SONC's buyback shows that it is ready for growth and ready to roll.
Lightning Round
Bulls: HET, COF, PD, INFY, AMAT, RVSN, TGT
Bears: PRFT, MHGC, ACOR, EBAY, CHK
Cramer thinks Legg Mason (LM) is not just a sell, but a sell, sell, sell. Also, Gannet (GCI) is a sell. Finally, it is time to sell Abercrombie & Fitch (ANF) and switch into Lowes (LOW). Bulls make money, bears make money and hogs get slaughtered.
Jim Cramer
Mad Money

Valero Energy Corp. (VLO.N: Quote, Profile, Research) said on Thursday it had filed a permit application with the Louisiana Department of Environmental Quality to expand its 250,000 barrel per day refinery in St. Charles, Louisiana. Valero said the request for an operating permit was merely the first step in a lengthy process for modifications to increase capacity and that the company had not yet approved any of these projects for construction. The expansion plans being studied included the expansion of a crude unit and delayed coker, the construction of a gas oil hydrocracker, sulfur recovery unit, tankage and associated infrastructure.
© Reuters 2006. All Rights Reserved.