Jim Cramer's Mad Money Review

In response to recent news that Yahoo! is no longer in talks with News Corp.(NWS) and is open to a deal with Microsoft(MSFT), Cramer felt that Yahoo! "management has its hands full and that Carl Icahn would win here" but then had to wonder "what is he really winning?" Additionally, Cramer doesn't think Yahoo! "will get a huge price anymore."
Turning to financials, specifically the Lehman(LEH) article today on Fannie Mae(FNM) and Freddie Mac(FRE), Cramer said "these financials are all in the same shape" and that they "need the government to stop looking and for everyone to stop saying we'll get through it."
Cramer said he felt that if that didn't happen, "we'll have a big bailout," which wouldn't help anything. He ended the segment by stressing to "absolutely sell Fanny and Freddie."
Published By TheStreet.com

Labels: CNBC's Stop Trading, FNM, FRE, Jim Cramer, LEH, MSFT, NWS, Stop Trading

He said that lender CIT (CIT) is "definitely negative" on GE's earnings report.
Cramer disclosed that he owns GE stock but still wants to try to make money off the company's quarter.
On Intel (INTC) and the rest of the tech sector, Cramer said that "People are saying, 'Oh [tech stocks are] not going down a lot, so maybe I'll recommend them.' You cannot buy tech in the month of April expecting that you can handle the next two quarters," he said. "Tech is just wrong here."
Cramer called Intel "dead money." However, he did note that "AMD (AMD) is so bad that if I were a customer of AMD I would be calling Intel and saying I need a backup supplier."
Tech is largely a play on GDP growth, which is wrong for this environment, Cramer said. "You can't hide in tech. You can hide in Procter (PG), you can hide in Coke (KO), you can hide in Pepsi (PEP), but you cannot hide in tech."
Cramer was also bearish on Google (GOOG). "I don't know, when you have Microsoft (MSFT) and Yahoo! (YHOO) and News Corp. (NWS) and they've all decided they want to end the dominance of Google." He also decried Google's "hiring binge," saying, "That's just not a business model. ... AMR (AMR) not being able to fly is probably hurting their hiring binge," he said. "That's Google's strategy right now. That's not how you make money."
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Labels: AMD, AMR, CIT, GOOG, INTC, Jim Cramer, KO, MSFT, NWS, PEP, PG, Stop Trading, YHOO

Wall Street pulled back sharply in early trading Tuesday following several disappointing earnings reports and amid renewed concerns about the mortgage lending market. The Dow Jones industrials lost more than 100 points.
Among the many earnings reported before the opening bell, chemical maker DuPont Co. reported flat second-quarter profit as higher sales offset the cost of energy and research. American Express Co. reported late Monday that quarterly profit climbed 12 percent on record card member spending. However, the nation's third-largest credit card brand said cardholders are also shirking more payments.
Both companies are Dow components. In early trading, the Dow fell 101.20, or 0.73 percent, to 13,842.22.
Broader stock indicators declined. The Standard & Poor's 500 index shed 12.26, or 0.80 percent, to 1,529.31. The Nasdaq composite index lost 21.06, or 0.78 percent, trading at 2,669.52.
Bonds rose, with the yield on the benchmark 10-year Treasury note down to 4.94 Tuesday from 4.96 percent late Monday. The dollar traded mixed against other major currencies, while gold prices climbed.

Labels: AXP, CFC, DD, DJ, MCD, NFLX, NWS, TXN

Bullish:

Trinity Industries (NYSE: TRN - News): ' TRN's the one I've been featuring. That's the best railcar play... They also have a wind power focus.'Exxon Mobil (NYSE: XOM - News)Chevron (NYSE: CVX - News)Cameco (NYSE: CCJ - News)Hewlett-Packard (NYSE: HPQ - News): ' ... was stuck at $45 on Friday, started to inch higher. That one is the next one to breakout.'News Corp. (NYSE: NWS - News): 'The Dow Jones bid? I think that they ought to hit it ... Rupert Murdoch. He's a winner. I want to own his stock. The guy is a great businessman. People want to dump on him all the time. They don't have a clue.Qualcomm (NasdaqGS: QCOM)Texas Instruments (NYSE: TXN - News)Nokia (NYSE: NOK - News)Atwood Oceanics (NYSE: ATW - News): 'You're talking about a driller! A driller to the power of nine - buy, buy, buy!'Halliburton (NYSE: HAL - News)Vail Resorts (NYSE: MTN - News): ' Good trade into June 11th. I suspect great numbers, but then get out of it, because the summer is a bad time for that one.'
Neutral calls:
Darling International (AMEX: DAR - News): '... this is a respectable play... This is an $8 stock, so I've been reluctant to talk about it... But I'm doing a memo to staff right now... maybe we sneak this in one day.'
Bearish calls:
Blockbuster (NYSE: BBI - News): 'Remember, we felt that when Joe Antioco got the boot there, we went with his boot. I cannot get behind BBI. Sell, sell, sell!'FreightCar America (NasdaqGS: RAIL): 'I can't get behind RAIL .... RAIL is not best in show.'Vaalco Energy (NYSE: EGY - News): 'Too dangerous my friend! I tried to get behind this company once before. It has got these incredible properties off the coast of Africa, but I want to be very honest... I have not seen this company deliver... I see nothing but the house of pain.'Evergreen Solar (NasdaqGM: ESLR): 'You should be selling your solar stocks, including that stock - sell, sell, sell! - and buying them after the big wave of underwriting knocks the whole group down.'Brightpoint (NasdaqGS: CELL): 'I need you out of that stock! I don't think there's anything really cooking there... Sell a little bit now, and let it go up... you should be out of it by $16.'CDW Corp (NasdaqGS: CDWC): ' I was asked about CDWC last week... Take profits! The stock was up 25% in six weeks. We like the market. A better play is Hewlett-Packard.'

Published By SeekingAlpha

Labels: ATW, BBI, CCJ, CVX, DAR, EGY, HAL, HPQ, Jim Cramer, Lightning Round, Mad Money, MTN, NOK, NWS, TRN, TXN, XOM

Bullish calls:
Denny's (NasdaqCM: DENN): 'I want to be candid. They did not have a good month. I am sticking by them because, what I liked them for is the restructuring that's fixing their balance sheet ... it's part of my little under-$10 package that I think is ramping, and that I think goes still higher. DENN is fine with me. I want to hold it.'Blockbuster (NYSE: BBI - News)Dynegy (NYSE: DYN - News)Companhia Vale do Rio Doce (NYSE: RIO - News): 'This company accomplished something that no other company could do in the western hemisphere... It literally merged with its #2 competitor ... and it has created a mineral powerhouse ... I think it's got $45 written on it. I have liked this company for 10 points. I bet you I like it for another 15! But, I've got to tell you - let's understand - it's had a big run. It is up 68% year over year. It goes to $40, and goes to $45. It probably pulls back a little, and ultimately goes to $50.'NYSE Group (NYSE: NYX - News): 'I think this is the most undervalued stock on the New York Stock Exchange - how ironic... I just bought some again for my charitable trust last week, and I am anxious to pull the trigger again, because I just think it is so darn undervalued versus when that Euronext deal closes. This one is a keeper.'Yahoo! (NasdaqGS: YHOO): ' ... there was an article in the Wall Street Journal that really said that the Yahoo AT&T relationship is ka-put, that it's just a trainwreck ... Now, over the weekend, YHOO and AT&T put out a series of releases that basically said that the Journal was dead wrong. Maybe it's something in between, but the people who tossed this stock out on Friday overreacted to what I think may have been a lot wrong in that article. I'm staying with YHOO.'eBay (NasdaqGS: EBAY)Big Lots (NYSE: BIG - News): ' ... As soon as I saw the Dollar General buyout, I said that someone is going to bid for this BIG, so I hit it up. Sure enough, 52-week high but, you know what? It probably has a little bit more to go. Now, let me caution... If I owned it, it's up 120% year-over-year, and that means bulls make money, bears make money, but hogs get slaughtered. So, if you owned it for the last year....'BEA Systems (NasdaqGS: BEAS): 'I recommended it at $12. Right now, I'm giving myself 30 lashes... I am disappointed in how this company reported. I still believe that Oracle could take them out ... I want to stick with it for now.'
Neutral calls:
Ford (NYSE: F - News): 'I don't mind the company, but the stock is wrong ... I think that Ford will be successful in its turnaround, but I like to play it with the right piece of paper - the convertible bond.'
Bearish calls:
USG (NYSE: USG - News): 'USG is a really interesting situation, because it never seems to ever go right where Warren Buffet says that he would buy the rest of it, which is mid-40s... Now, USG in the end, is deeply levered to the housing market, and you know that I am a bear on housing.'Heelys (HYLS): 'I think that HLYS is over-valued ... I went recently to a couple of sporting goods stores. They're stocked to the gills with Heely's. I don't like to see that. Sell, sell, sell!'News Corp. (NYSE: NWS - News): 'We're a dollar away from register ringing on NWS. It doesn't mean I dislike it. It does mean it's had a really big run.'Quiksilver (NYSE: ZQK - News): 'Awful. Awful. I've got to tell you. This is one of the worst quarters I have seen from any apparel company, and they're blaming the warm weather ... I hate those kind of excuses. In other words, what I'm saying is, it's probably too late to sell right now but, if that stock rallies, sell, sell, sell!'
Published By SeekingAlpha

Labels: BBI, BEAS, BIG, DENN, DYN, EBAY, F, Jim Cramer, Lightning Round, Mad Money, NWS, NYX, RIO, USG, YHOO, ZQK

Shares of Google Inc. headed north toward the $500 mark Thursday morning, after an analyst raised estimates on expectations for a strong fourth quarter.
The Mountain View, Calif.-based company's stock added $9.38, just under 2 percent, to $498.79 in morning trading on the Nasdaq Stock Market. Shares have retreated from a 52-week high of $513 in November.
In a research note, Goldman Sachs analyst Anthony Noto encouraged investors to buy shares of Google.
"Several factors could unfold over the coming months to unlock the value we see in Google shares," he wrote. Noto forecast "strong fourth-quarter 2006 results due to a solid holiday season that likely benefited from continued advertiser demand, seasonal strength in traffic, and recent product launches (including Checkout)," the company's online payment system.
The analyst also looked ahead to benefits from soon-to-launch partnerships with eBay Inc. and News Corp.'s MySpace, and ad-revenue growth from video and display formats, pay per call, radio, print and television.
Noto further wrote that he expects a boost from the launch of a premium, add-free version of Google's Apps for Your Domain, which will sell the e-mail, Web building and office software package to businesses.
Noto reiterated his "Buy" rating on the stock and said upcoming catalysts "could render our $595 price target conservative."
He raised estimates for the fourth quarter to a profit of $2.90 per share on $2.19 billion in revenue, from his earlier forecast of a profit of $2.81 per share on $2.15 billion in revenue.
Published by AP

Labels: EBAY, GOOG, NWS

News Corp. (NYSE: NWS - News), DirecTV (NYSE: DTV - News), Liberty (NASDAQ: LBTYA - News):Cramer is bullish on News Corp., and applauds Rupert Murdoch's trading NWS's DTV stake for separation with investor John Malone, since DTV is not moving fast. Cramer discussed Malone's astute wheeling and dealing and mentioned that Liberty's CEO Greg Maffei is in charge rather than Malone. Cramer noted that Maffei worked briefly at Oracle and had a stint at the formerly bankrupt 360 Networks.
Heelys: Cramer says that IPO Heelys will be even hotter than expected, with a price beginning in the 28-30 range rather than the initial 16-18 range. However, he says he wouldn't want to buy the wheeled shoe stock at 30.
Capital Southwest (NASDAQ: CSWC - News): Cramer likes this small-cap stock venture investor which was up $9 to $141 on Thursday, and he predicts it may reach $200.
By Miriam Metzinger

Labels: CSWC, DTV, Jim Cramer, Jim Cramer's Stop Trading, LBTYA, NWS