Jim Cramer's Mad Money Review

U.S. stocks headed for a lower opening Monday after putting up big gains last week and as investors readied for quarterly corporate earnings reports.
With the Treasury bond market closed for the Columbus Day holiday and no major economic news expected, stock market investors will be looking for any corporate news to guide them.
The third-quarter results being reported will reflect the difficult times some companies have faced -- particularly in the financial sector -- following upheaval in the credit markets and amid a souring of some home mortgages. Ahead of the bell on Monday, Dow futures fell 26.00, or 0.18 percent, to 14,130. S&P 500 index futures fell 5.60, or 0.36 percent, to 1,565.10, while Nasdaq composite index futures fell 6.25, or 0.29 percent, to 2,164.50.
Light, sweet crude fell 65 cents to $80.57 per barrel in premarket electronic trading on the New York Mercantile Exchange.
News from companies over the health of their profits and comments about their expectations for the fourth quarter are likely to draw attention on Wall Street this week. S&P expects tepid results, predicting a modest decline in total earnings per share for S&P 500 companies. However, it expects growth in the fourth quarter.
Among companies Wall Street will be looking to Monday is Yum Brands Inc. The parent of fast-food chains KFC, Taco Bell and Pizza Hut, is slated to report results Monday.
Overseas, markets in Japan were closed for a holiday. In afternoon trading, Britain's FTSE 100 fell 0.43 percent, Germany's DAX index fell 0.24 percent, and France's CAC-40 declined 0.23 percent.
Source: Tim Paradis, AP Business Writer

Labels: Dow Futures, Home Morgages, NMX, Stocks, Sweet Crude, YUM

Oil prices hit a new high while other energy futures were mixed Tuesday after the government reported surprisingly large declines in oil inventories and an unexpected increase in gasoline supplies.
Light, sweet crude for October delivery rose 64 cents to $82.15 a barrel on the New York Mercantile Exchange after hitting a new trading high of $82.51 earlier. October gasoline rose 2.53 cents to $2.0856 a gallon.
Heating oil futures fell 0.14 cent to $2.2409 a gallon and Nymex natural gas futures fell 20 cents to $6.368 per 1,000 cubic feet.
In London, November Brent crude rose 63 cents to $78.22 a barrel on the ICE Futures exchange.
The Energy Department's Energy Information Administration reported that crude inventories fell by 3.8 million barrels during the week ended Sept. 14, more than double the 1.5 million-barrel decline analysts surveyed by Dow Jones Newswires, on average, had expected. However, crude inventories remain at the upper end of their average range for this time of year, the EIA said.
Gasoline supplies rose by 400,000 barrels, the EIA said, countering analyst predictions of a 1.3 million-barrel decline.
Refinery utilization fell by 0.9 percentage point to 89.6 percent of capacity. Analysts expected a decline of 0.5 percentage point.
Distillate inventories, which include heating oil and diesel fuel, rose by 1.5 million barrels, above the 1.1 million analysts expected.
Crude oil imports averaged 9.8 million barrels last week, an increase of 242,000 barrels per day. Gasoline imports averaged 1 million barrels a day, down slightly from a week earlier.
Demand for gasoline averaged nearly 9.5 million barrels a day over the last four weeks, the EIA said, 0.5 percent above the same period last year.
Published by John Wilen, AP Business Writer

Labels: Crude Inventories, Gasoline, ICE, NMX, Oil Prices

Oil futures rose to new records Tuesday after the Federal Reserve cut interest rates by a larger than expected half percentage point, raising market hopes that economic growth will accelerate and lift demand even as crude oil and gasoline inventories are tight.
A barrel of crude surged to a new trading high of $81.90 on the New York Mercantile Exchange in the moments immediately after the Fed's decision. While light, sweet crude for October delivery settled at $81.51 a barrel, up 94 cents, prices continued to rise after the Nymex closed, hitting $82.38 in afternoon electronic trading.

Labels: Crude Oil, Federal Reserve, Gasoline Inventories, NMX, Oil Futures

Crocs (NasdaqGS: CROX - News): ' ... is stalled right here. I saw it go down a little. Understand: The short position remains huge ... When we have four major analysts covering it, only then will I say Don'tBuy.'Yamana Gold (NYSE: AUY - News): ' ... it is the only growth gold stock out there. It is making an incredible amount of money. ... It also produces copper at the same time.'Precision Castparts (NYSE: PCP - News): 'The bull market in aerospace and defense is back. Precision Castparts had a better quarter than almost every other supplier to the major airline companies.'Goodyear Tire (NYSE: GT - News): '... has had a major pullback ... Goodyear Tire is one of those companies ... best of breed. I think I like the stock up to the $32, $33 level.'InterContinental Exchange (NYSE: ICE - News): 'I like derivatives. I like commodies trading. ICE is good.'CME Group (NYSE: CME - News)NYMEX Holdings (NYSE: NMX - News): 'I am hopeful that the Nymex merges with the New York Stock Exchange. It would be a terrific deal.'NYSE Euronext (NYSE: NYX - News):'The only one of those that's done really badly is New York Stock Exchange, but I'm stickin' with it.'Vector Group (NYSE: VGR - News):Amazon.com (NasdaqGS: AMZN - News)Apple (NasdaqGS: AAPL - News)Google (NasdaqGS: GOOG - News)Research In Motion (NasdaqGS: RIMM - News)Reynolds American (NYSE: RAI - News)Altria (NYSE: MO - News): ' ... those dividends are for me, and that's why I stick with tobacco.'
Bearish calls:
CyberSource (NasdaqGM: CYBS - News)True Religion Apparel (NasdaqGM: TRLG - News): ' ... gotta tell you. I don't know if that swimwear line can move the needle. ... This group is very hard.'Superior Offshore (NasdaqGM: DEEP - News): 'Worst oil-service stock I have ever seen. I mean, it's unbelievable. ... This stock feels almost cursed. ... I can't abandon it at $10... Wait until the end of the month ...'

Published by SeekingAlpha

Labels: AAPL, AMZN, AUY, CME, CROX, CYBS, DEEP, GOOG, GT, ICE, Jim Cramer, Lightning Round, MO, NMX, NYX, PCP, RAI, RIMM, TRLG, VGR

Nvidia (NasdaqGS: NVDA - News): 'They make the fastest gaming chips. They make the best ones. You buy some and then, if it comes in, you buy some more ... It's a growth stock in the right quarter, at the right time of the year ... NVDA is two thumbs up.'Dynegy (NYSE: DYN - News): 'I like DYN as an asset play, and if the earnings don't hit the number, because of some natural gas realization, come on ('mon-back sound)... step up to the plate...'China Telecom (NYSE: CHA - News)Baidu.com (NasdaqGS: BIDU - News)Nymex (NYSE: NMX - News): 'I believe someone will buy, but I would not recommend a stock just on its takeover ability alone... I would emphasize that, on its earnings - and the earnings here are unbelievable.'Teck Cominco (NYSE: TCK - News): 'People worry that China doesn't have enough demand... that maybe our economy is so slow that it's going to bring down the rest of the world. That's not true. TCK is still a buy. I like it very much.'Lockheed Martin (NYSE: LMT - News): 'I want to buy the defense stocks here. I think it's a terrific opportunity. Don't take your cue from the stocks. Take your cue from the companies, and LMT is doing incredibly well!'General Dynamics (NYSE: GD - News)Raytheon (NYSE: RTN - News)Northrop Grumman (NYSE: NOC - News)Ralcorp Holdings (NYSE: RAH - News): 'I've liked RAH before on the show. I like it now.'ENGlobal (AMEX: ENG - News): 'This is a company that does everything you need to do to produce refining petroleum. It's right. You're right. I'm staying with it. 'Thornburg Mortgage (NYSE: TMA - News): 'I just don't think they're as bad as the bears think.'Allergan (NYSE: AGN - News): ' ... for anything eye... I'm going to send you that way.'Bearish calls:Spectranetics (NasdaqGM: SPNC - News): ' ... don't know whether I want to buy it all the way up here... don't buy, don't buy... there are so many that are still down, but it's a good quality company.'Boston Scientific (NYSE: BSX - News)Perfect World (PWRD): 'I am just going to say forget about it... it's too darn hard.'RealNetworks (NasdaqGS: RNWK - News): 'Even thought the guys that run those companies throw really great cocktail parties, and probably wish that I was there, no thank you! (buzzer sounds)... 'Lowe's Companies (NYSE: LOW - News): 'You know, I can't recommend this sector right now - don't buy, don't buy - even though I know they have really easy comparisons. I can't go there. That sector's being too hurt. No to retail.'Advanced Medical Optics (NYSE: EYE - News)Best Buy (NYSE: BBY - News): 'I think there's $3 up, $3 down... which means to me - don't buy, don't buy - not worth playing... '
Published by SeekingAlpha

Labels: AGN, BIDU, CHA, DYN, ENG, GD, Jim Cramer, Lightning Round, LMT, NMX, NOC, NVDA, RAH, RTN, TCK, TMA

Here are 7 options to watch for today. This list comes directly from the TradingMarkets Options Indicators page. The list is created using OptionVue options analysis software.
Most Underpriced Calls: These are the most under priced calls of all stocks in our database. While the Equities Explosion List finds groups of calls for individual equities that are under priced, this list finds the most under priced individual calls. Thus, the options listed here will tend to be more severely under priced.
Goldman Sachs August 250 Calls (NYSE:GS - News). GS' PowerRating is 6.
Most Underpriced Puts: These are the most under priced puts of all stocks in our database. While the Equities Explosion List finds groups of puts for individual equities that are under priced, this list finds the most under priced individual puts. Thus, the options listed here will tend to be more severely under priced.
Mastercard Inc. July 150 Puts (NYSE:MA - News). MA's PowerRating is 6.
Most Overpriced Calls: These are the most overpriced calls of all stocks in our database. While the Equities Implosion List finds groups of calls for individual equities that are overpriced, this list finds the most overpriced individual calls. Thus, the options listed here will tend to be more severely overpriced.
NYMEX Holdings Aug 145 Calls (NYSE:NMX - News). NMX's PowerRating is currently unavailable due to the stock not meeting certain parameters.
Most Overpriced Puts: These are the most overpriced puts of all stocks in our database. While the Equities Implosion List finds groups of puts for individual equities that are overpriced, this list finds the most overpriced individual puts. Thus, the options listed here will tend to be more severely overpriced.
iShares MSCI Emerging Markets Index Aug 120 Puts (AMEX:EEM - News). EEM's PowerRating is 6.
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.
Affymetrix (NasdaqGS:AFFX - News). AFFX's PowerRating is 5.
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.
None today
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.
KB Home (NYSE:KBH - News). KBH's PowerRating is 5.
Starbucks Corp. (NasdaqGS:SBUX - News). SBUX's PowerRating is 4.
PowerRatings are courtesy of TradingMarkets.com

Labels: AFFX, EEM, GS, KBH, MA, NMX, SBUX, Stock Options

Here are 7 options to watch for today. This list comes directly from the TradingMarkets Options Indicators page. The list is created using OptionVue options analysis software.
Most Underpriced Calls: These are the most under priced calls of all stocks in our database. While the Equities Explosion List finds groups of calls for individual equities that are under priced, this list finds the most under priced individual calls. Thus, the options listed here will tend to be more severely under priced.
None today
Most Underpriced Puts: These are the most under priced puts of all stocks in our database. While the Equities Explosion List finds groups of puts for individual equities that are under priced, this list finds the most under priced individual puts. Thus, the options listed here will tend to be more severely under priced.
Chicago Mercantile Exchange July 520 Puts (NYSE:CME - News). CME's PowerRating is 6.
Advanced Magnetics July 55 Puts (NasdaqGM:AMAG - News). AMAG's PowerRating is 7.
Most Overpriced Calls: These are the most overpriced calls of all stocks in our database. While the Equities Implosion List finds groups of calls for individual equities that are overpriced, this list finds the most overpriced individual calls. Thus, the options listed here will tend to be more severely overpriced.
Baidu.com Aug 185 Calls (NasdaqGM:BIDU - News). BIDU's PowerRating is 5.
Most Overpriced Puts: These are the most overpriced puts of all stocks in our database. While the Equities Implosion List finds groups of puts for individual equities that are overpriced, this list finds the most overpriced individual puts. Thus, the options listed here will tend to be more severely overpriced.
CBOT Holdings Aug 195 Puts (NYSE:BOT - News). BOT's PowerRating is 7.
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.
NYMEX Holdings (NYSE:NMX - News). NMX's PowerRating is currently unavailable due to the stock not meeting certain parameters.
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.
Countrywide Financial (NYSE:CFC - News). CFC's PowerRating 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.
Wachovia Bank (NYSE:WB - News). WB's PowerRating is 5.
PowerRatings are courtesy of TradingMarkets.com

Labels: AMAG, BIDU, BOT, CFC, CME, NMX, Stock Options, WB

Most Under Priced Calls
These are the most under priced calls of all stocks in our database. While the Equities Explosion List finds groups of calls for individual equities that are under priced, this list finds the most under priced individual calls. Thus, the options listed here will tend to be more severely under priced. Google June 530 Calls (GOOG)

Most Under Priced Puts
These are the most under priced puts of all stocks in our database. While the Equities Explosion List finds groups of puts for individual equities that are under priced, this list finds the most under priced individual puts. Thus, the options listed here will tend to be more severely under priced. Baidu.com Apr 90 Puts (BIDU)

Most Overpriced Calls
These are the most overpriced calls of all stocks in our database. While the Equities Implosion List finds groups of calls for individual equities that are overpriced, this list finds the most overpriced individual calls. Thus, the options listed here will tend to be more severely overpriced. Apple Inc. May 100 Calls (AAPL) Dendreon Corp. May 12.5 Calls (DNDN)

Most Operpriced Puts
These are the most overpriced puts of all stocks in our database. While the Equities Implosion List finds groups of puts for individual equities that are overpriced, this list finds the most overpriced individual puts. Thus, the options listed here will tend to be more severely overpriced. NYMEX Holdings Jun 120 Puts (NMX)

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. BJ Services (BJS)

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. None today

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. Harley-Davidson Inc. (HOG)
Darren Wong Associate Editor at TradingMarkets.com

Labels: AAPL, BIDU, BJS, DNDN, GOOG, HOG, Hot Options, NMX

Bullish calls:
Nymex Holdings (NYSE: NMX - News): 'This stock does nothing but go up. ... Stick with it.'Grainger (NYSE: GWW - News)Wesco (NYSE: WCC - News): 'Did you see the explosion in that stock this week off the quarter? ... Still very, very cheap. I am recommending it heartily.'Chevron (NYSE: CVX - News): 'Holy cow! ... I look for the dividend to go up. I look for another buyback. I think you should back up the truck. That's my favorite integrated oil.'Devon Energy (NYSE: DVN - News)Amgen (NasdaqGS: AMGN)Genentech (NYSE: DNA - News)Celgene (NasdaqGS: CELG)Hewlett-Packard (NYSE: HPQ - News): ' ... is not just a PC assembler ... this is a technology company, run by Mark Hurd, who I think is the best. ... I need you to load up the boat, Hewlett-Pacakrd, that's best in show.'Valero Energy (NYSE: VLO - News): 'Not bad. ... it's a cheap stock ... 'Archer Daniels Midland (NYSE: ADM - News): 'If I want to refine these days, I'm gonna refine soybean or corn. I'm buying Archer Daniels Midland.'Amor Holdings (NYSE: AH - News)General Dynamics (NYSE: GD - News)L-3 Communications (NYSE: LLL - News)
Bearish calls:
1-800-Flowers.com (NasdaqGS: FLWS): 'It doesn't deserve to be owned. We're ixnaying.'Sirius Satellite Radio (NasdaqGS: SIRI): 'You know that stock ain't going anywhere. ... I want you to sell it nine ways to Super Bowl Sunday. 'Medarex (NasdaqGM: MEDX): 'This is precisely what I'm railing against at this juncture.'Illumina (NasdaqGM: ILMN): 'Not a good quarter. Expenses are going to rise. ... I need you out of that stock, and I want you to sell it right now.'Force Protection (NasdaqCM: FRPT): 'I think you need to go with the majors here.'
Published by SeekingAlpha

Labels: ADM, AH, CELG, CVX, DNA, DVN, FLWS, FRPT, GD, GWW, HPQ, ILMN, Jim Cramer, LLL, Mad Money, MEDX, NMX, SIRI, VLO, WCC

Nasdaq Stock Market Inc.'s (NDAQ.O: Quote, Profile, Research) $5.1 billion bid for the London Stock Exchange (LSE.L: Quote, Profile, Research) could lead to the creation of two transatlantic equities exchanges next year, if arch-rival the New York Stock Exchange (NYX.N: Quote, Profile, Research) completes a deal of its own. The race has been on among the U.S. rivals to expand their product offerings and geographic reach in an increasingly competitive and commoditized industry. While Nasdaq has been building up its stake in the LSE, NYSE has been pursuing Paris-based exchange Euronext (ENXT.PA: Quote, Profile, Research), a $10 billion deal it struck earlier this year with Euronext management which is awaiting shareholder approval. Nasdaq said its offer for the LSE, made earlier Monday, could complete in the first quarter of 2007. NYSE and Euronext have also said they expect their deal to complete in the first quarter of 2007. The NYSE's bid got a boost recently after rival bidder Deutsche Boerse AG (DB1Gn.DE: Quote, Profile, Research) dropped its pursuit of Euronext. The moves are the latest in a series of sweeping changes in the exchanges industry, which has undergone major change over the past year as former member clubs like the NYSE and oil exchange the Nymex Holdings (NMX.N: Quote, Profile, Research) have become public companies amid aggressive competition from electronic rivals. As well as looking to grab or hold onto more market share in their traditional markets, exchanges have been pushing to expand into new areas -- as seen in the NYSE's desire to take a stake in the derivatives market through its deal to buy Euronext.
Source: Reuters.com

Labels: Deutsche Telekom, Euronext, London Stock Exchange, LSE.L, Nasdaq, NDAQ, NMX, Nymex Holdings, NYSE Group, Stocks

Disney (NYSE: DIS - News) and Six Flags (NYSE: SIX - News)Commenting on Disney's drop since its impressive earnings report last week, Cramer insists that DIS did not "drop the ball" but that analysts raised expectations before the report which made Disney look worse than it is. He notes that Pirates of the Caribbean brought in $1 billion and sales of its shows on iTunes is not hurting its TV business, and would use Disney's decline as an opportunity to buy. He also likes Six Flags.NYMEX (NYSE: NMX - News) and New York Stock Exchange (NYSE: NYX - News)Cramer says that even though NMX has gone up, he would still buy 25% of a position in the stock now, however, he would prefer NYX up in the 130s and 140s.DJO (NYSE: DJO - News)The knee brace is becoming a fashion sports accessory as well as a treatment as companies encourage coaches to order knee braces in their teams' colors. Cramer discussed DJO in the past as a "simple but great" company, and now comments that "DJO is about braces and avoiding surgery -- a long-term trend."Network Appliance (NASDAQ: NTAP - News), Rackable Systems (NASDAQ: RACK - News), Marvell Technology (NASDAQ: MRVL - News) and Sony (NYSE: SNE - News)Cramer confessed that it was "hearbreaking" that those who sold NTAP on his suggestion missed a 12 point run. However, he also recommended sticking with RACK, and those who dumped the stock missed "an awesome 15 point run." Cramer feels certain that he is not wrong about MRVL which is acting like the other two companies since it has been a "real stinker" but reported "decent revenue and gave great guidance." He also thinks that estimates are too low for MRVL: "When you set the bar low, it becomes easy for the stock to jump." He recommends buying MRVL when it is at bottom, but would avoid SNE.Mad Mail: Blockbuster (NYSE: BBI - News), Jim Cramer Tattoos and Caremark (NYSE: CMX - News)When asked if Cramer expected BBI to exceed Cramer's $6 estimate, he answered that, given the rise of digital recorders, he doesn't think it will go from $4.75 to an amount exceeding $6. He told another mailer that getting a Jim Cramer tattoo would be a tad "aggressive." Finally, he suggested selling Caremark.Published By SeekingAlpha

Labels: BBI, CMX, DIS, DJO, Jim Cramer, Mad Money, MRVL, NMX, NTAP, NYX, RACK, SIX, SNE

Labels: AMGN, APKT, ASEI, BGC, democrats, HAL, halliburton, HOG, HTZ, JBLU, Jim Cramer, KBR, Kellogg Brown and Root, Mad Money, NDE, NICE, NMX, NYMEX, NYX, PDLI