Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener. NEW YORK ( TheStreet) -- If things are really so bad, then why are so many good things still happening? That was the question Jim Cramer posited to his Mad Money TV show viewers Monday as he cited just a few examples of stocks that aren't tied to the Russia and are still making investors money. Petsmart was first positive on Cramer's list. The company announced an $8.3 billion tender offer, making it the largest leveraged buyout of the year. Then there's Riverbed Technology , which announced its taking itself private at $21 a share. Cramer said neither of these companies is anything spectacular, yet their shareholders were rewarded handsomely. Must Read: Jim Cramer’s 4 Best Stock Picks for the Health Care Sector Cramer also noted positive news on iPhone sales, which led to gains in Cirrus Logic , Skyworks Solutions and, of course, Apple , a stock Cramer owns for his charitable trust, Action Alerts PLUS. Also in the positive column today was Bob Evans Farms , which announced the resignation of its CEO thanks to activist investor pressure; Honeywell , which reaffirmed its guidance; and Alcoa , which announced the purchase of a German company. Maybe things really aren't as bad as the headlines tell us, Cramer concluded. Yes, some stocks are tied to Russia and the global economy, but clearly these names aren't. Executive Decision: Klaus Kleinfeld For his "Executive Decision" segment, Cramer spoke with Klaus Kleinfeld, chairman and CEO at Alcoa , on the heels of the company's acquisition of Tital in Germany. Kleinfeld said that while the Tital acquisition was a fairly small one for Alcoa, it does play into two important themes for the company: aerospace and Europe. He noted this is the second acquisition Alcoa has made this year. Kleinfeld also noted that Alcoa is not giving up on organic growth and is actively expanding its capabilities in many areas to become more competitive. Alcoa continues to bring new, lower-cost facilities online and continues to close older, higher-cost ones. When asked about new technologies, Kleinfeld said that in addition to constantly striving to make stronger, lighter materials more affordable for a variety of applications, Alcoa also uses technology such as 3-D printing to help speed up the process of prototyping. He noted that 3-D printing is only beginning to realize its full potential. Cramer said he continues to be a fan of Alcoa. Must Read: Buffett and Billionaire Investors Look to Oil, Health Care and Spinoffs in 2015 Illogical Linkage How can cheaper oil prices be so bullish for the U.S. economy yet so bearish for U.S. stocks? Cramer said investors would have to be out of their minds to not see that paying less at the pump and less for heating oil is a good thing. They'd also have to be blind to not see that lower oil prices are great for industrial companies, chemical companies and anyone that has to ship things over great distances. Yet, as oil prices continue their slide lower, so, too, does the stock market, despite the fact that this newfound oil stimulus is far more broad and effective than the one President Obama signed into law back in 2009 at the onset of the recession. Cramer said this illogical linkage between oil and stocks won't be broken anytime soon, which means investors can only wait for prices to fall far enough where oil simply won't matter anymore. Only then will the madness end and sanity return, he concluded. Executive Decision: David Cote In his second "Executive Decision" segment, Cramer sat down with David Cote, chairman and CEO of Honeywell, another company with a great read on the state of the global economy going into 2015. Cote said that Honeywell is doing "pretty good" relative to everyone else with its 4% rise in organic sales growth. He said that while places like Russia and Brazil make him nervous, Honeywell was able to forecast and prepare for the weakness currently seen in the Europe. Turning to the U.S., Cote agreed with Cramer that lower oil prices are a good thing. He said GDP growth matters and oil over $100 a barrel was a drag on GDP growth in our country. With oil at $50 a barrel, there may be a crimp in some of Honeywell's energy businesses, Cote continued, but for other areas, like aerospace, it will only accelerate growth. When asked about the company's use of its cash, Cote said he's always been a fan of mergers and acquisitions when applied in a systematic fashion. That's why Honeywell has done 80 deals over the past 10 years, deals that have added over $12 billion in sales. For all these reasons, Cramer said Honeywell remains one of his "absolute favorite" companies. Must Read: How Mexico, Not Saudi Arabia, Could Drive Oil Prices Higher Lightning Round In the Lightning Round, Cramer was bullish on American International Group , WhiteWave Foods , Taser International and Magellan Midstream Partners . Cramer was bearish on Ambarella , Marathon Petroleum , Sturm Ruger and Weatherford International . Executive Decision: Burton Goldfield In a third "Executive Decision" segment, Cramer sat down with Burton Goldfield, president and CEO of TriNet , the employee benefit manager that's seen its shares pop 37% since Cramer last checked in on May 13. Shares of TriNet currently trade at 21.6 times earnings. Goldfield said investors should ignore the headlines because small business is alive and well here in the U.S. He said TriNet is seeing growth across all its industries, from hospitality to hedge funds and law firms. Goldfield said TriNet is now the HR department for over 10,000 companies across the U.S. and is helping all of them deal with the increasing complexities of managing payroll and benefits. HR is finally becoming cool, Goldfield quipped, noting that as companies get more overwhelmed, they increasingly want to talk to TriNet. Cramer said that while TriNet didn't have the hottest IPO of the year, the stock has been a real winner ever since. Must Read: Why the Federal Reserve Needs to Start Raising Interest Rates Now To watch replays of Cramer's video segments, visit the Mad Money page on CNBC. To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here. -- Written by Scott Rutt in Washington, D.C. To email Scott about this article, click here: Scott Rutt Follow Scott on Twitter @ScottRutt or get updates on Facebook, ScottRuttDCClick to view a price quote on PETM. Click to research the Specialty Retail industry.
Archive for the ‘HON’ Category
Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener. NEW YORK ( TheStreet) -- Dropping oil prices continue to take a toll on equities, Jim Cramer told his Mad Money viewers. Investors need to keep an eye on oil futures to get a sense of where the market will move. With that in mind, here's what Cramer will be watching next week. On Monday Honeywell provides its 2015 outlook. If the outlook is good, but the stock goes lower due to gas prices, it’s a buying opportunity, Cramer said. VeriFone also reports after the close. Must Read: Jim Cramer’s Eight Best Stock Picks in the Housing Sector If shares of Darden Restaurants get pushed lower on Monday, investors should use it as a buying opportunity ahead of its earnings report on Tuesday morning. 3M also provides is 2015 outlook, but since the stock is up so much investors should do “more listening than buying,” Cramer advised. FedEx reports earnings on Wednesday and the conference call is a “must listen to” for investors who want a pulse on the global market, he explained. Joy Global’s conference all is also a good tell on how the Chinese economy is doing. Oracle also reports earnings. On Thursday Nike and Red Hat report earnings, although Cramer is not a buyer until the stocks pull back. He likes Nike near $90. On Friday, Finish Line and CarMax report earnings, both of which should be bought on a pullback. He likes KMX near $54. Paychex reports, too, and and its conference call will shed some light on the hiring situation in the U.S. BlackBerry also reports earnings, but he is not a buyer. The bottom line: Most of these companies are a buy ahead of earnings or analyst meetings. However, they need to have deeper pullbacks first, which can occur due broad-based selling related to declining oil prices, Cramer said. Off the Charts In his "Off the Charts" segment, Cramer drilled down on crude oil using Carolyn Boroden’s technical analysis. Cramer said Boroden thinks there isn’t significant support until $50 to $52 per barrel. Since the rallies have been so short-lived, it means there are likely more declines in store. However, with oil prices near $57 per barrel, investors may be relieved to hear that another potential support level is at $55.67, Cramer said. Based on Boroden’s work with timing, this bounce could come between next Tuesday and next Thursday. Unfortunately, however, any bounce is likely to be short-lived, as were the others. If oil prices can rally more than $6.13 per barrel, a sustainable bounce could be in store for the commodity, as it may signal that an intermediate bottom has been put in, Cramer said. The bottom line: Oil prices are locked in a steady downtrend, but support may just be around the corner. Investors should view any bounce as temporary unless it can make a series of higher highs and higher lows. Anything short of a $6.13 rally in crude prices and the commodity is likely headed even lower. Must Read: What Really Caused Oil Prices to Plunge So Far -- So Quickly Which Oil Companies Will Fail? Jim Cramer remained focused on crude, pointing to the unfortunate correlation between the S&P 500 and oil prices. Even worse, oil prices likely will keep falling because weak economies in Europe and China are buying less crude while U.S. producers flood the market with supply. It seem every country but the U.S. and Saudi Arabia needs to continue producing high amounts of oil to pay their bills, Cramer said. That means highly levered oil producers will ultimately go “belly up” because prices are simply too low for these companies and their highly stressed balance sheets. So where’s the bottom? Cramer doesn't know but he thinks that next year Venezuela, Russia, Iran, Nigeria and Libya, among other nations, will likely be forced to cut production to lower the supply. As global demand grows, oil prices should rebound. While that process will seem painstakingly slow to most investors, they need to be careful when trying buy energy stocks, which will go lower with oil. Off the Tape In the show’s “Off the Tape” segment, Cramer met with Matt Ehrlichman, co-founder and CEO of Porch.com, who was named USA Today’s Entrepreneur of the Year. Porch is a free platform for users, who can use the service to match up homeowners with the ideal contractor for their desired job, based on the latter’s cost and project history. The company verifies homeowners’ reviews, shows the contractor's work and also displays what work has been done in nearby areas. It even goes through the trouble to verify that each contractor is licensed, he explained. Porch is partnered with Lowe’s , too, Ehrlichman said. Lowe’s is an “amazing company” that cares deeply about its customers. Business is “humming along,” but Ehrlichman didn’t reveal whether an IPO would be in the company's future. Cramer urged his viewers to check out the Porch platform and see how this “exciting company” operates. Must Read: 3 Oil Companies That Are Likely Takeover Targets as Prices Plunge Lightning Round In the Lightning Round, Cramer was bullish on TrueCar , Acadia Pharmaceuticals , Southwest Gas , Twitter and Procter & Gamble . Cramer was bearish on Agrium and Memorial Production Partners . 'Mad Tweets' In the show’s “Mad Tweets” segment, Jim Cramer answered questions sent to him via Twitter at @JimCramer. Cramer started by looking at a few stocks that required him to do some homework. He called Interexon a leader in synthetic biology and is expected to have a compound annual growth rate of 78% through 2018. The company has a proven management team and the stock is a buy on weakness. Then there was Rockwell Medical , which is a now a “battleground” stock between longs and shorts, he said. The company recently received an investment from the reputable Baxter International . If forced to choose, Cramer would be a buyer rather than a seller, but acknowledged that this a speculative holding only. Instead of buying Liberty Broadband , Cramer said investors should just buy Charter Communications . The typical Cramer advice would be to avoid stocks when they’re trading above the investors’ cost basis. Cramer said Agios Pharmaceuticals , Regeneron and Isis Pharmaceuticals would typically be exceptions, the stocks have traded lower with oil. For that reason, wait for a larger pullback, he advised. The last tweeter wanted to know why Polaris Industries is selling off since its customers benefit from lower oil prices. Cramer reasoned that almost all stocks are selling off as a result of falling oil and investors can buy this stock despite the oil-induced pullback. Must Read: Why Markets Shouldn't Worry So Much About Higher Interest Rates To watch replays of Cramer's video segments, visit the Mad Money page on CNBC. To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here. -- Written by Bret KenwellClick to view a price quote on HON. Click to research the Industrial industry.
Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener. NEW YORK (TheStreet) -- The bulls are back in charge for another day on Wall Street and may be here to stay, Jim Cramer told his Mad Moneyaviewers Tuesday. Cramer exulted that his bull market, Top 10 checklist from last week has been completed. It's hard to believe that it's only been eight days since Cramer introduced his "No Bottom Until" list of 10 itemsathat had to happen before the markets could have a sustainable rally. But all 10 items have largely come true, he said. Must Read: 10 Stocks Billionaire John Paulson Loves in 2014 First, Ebola fears have subsided now that the U.S. government is taking decisive action to contain the disease. Second, every sector of the market has suffered at the handsaof the bears, making their stocks more attractive. Third, the speculative stocks -- think Netflix a-- have also retreated from their lofty heights. Fourth, Cramer said oil prices have found their footing over the past eight days, welcome news for the oil stocks. Fifth, the tech stocks have stabilized, thanks to strong earnings from Apple and others. Sixth, Germany has admitted that maybe, just maybe, it needs to do more to bolster its ailing economy, along with the rest of Europe. Seventh, the markets have seen numerous companies report strong earnings beats with forecast raises. Eighth, the market's technical indicators have largely stabilized. Finally, the Baltic Freight index has found its footing, meaning that China may be stabilizing. Over in the Middle East, ISIS has suffered its first major defeat. With all of these items largely in the past, Cramer said he'd be a buyer, not a seller, on any future pullbacks in the market. The Industrials Are Back After being beaten down for months, are the industrial stocks finally showing signs of a bottom? Cramer said he thinks they are because there has been a string of positive news influencing the group. First, Cramer said that there has been a lot of good corporate news in the industrial sector of late, with stocksaIllinois Tool Works , United Technologies , Honeywell and PPG all having good things to say recently. Then there's Germany, which could be reversing direction on its economic policies to make Europe, and its currencies, stronger. This would make a weaker U.S. dollar, which would be terrific for industrial stock earnings going forward. China is weak, yes, Cramer admitted, but that's precisely the time to bet on China. Things can only improve from here. Other positives for the industrials include pent-up infrastructure demand and an aerospace sector that's on the mend now that Ebola fears are largely behind us. Put all of these positives together and Cramer said you get an industrial sector that's poised to head a lot higher. Must Read: 3 Biggest Takeaways From Apple's Strong Earnings Report Off the Charts In the "Off The Charts" segment, Cramer went head to head with colleague Bob Lang over the charts of media content providers Walt Disney , Viacom , CBS , Twenty-First Century Fox , Time Warner and Netflix . Starting with Disney, Lang noted that after hitting bottom last Wednesday, shares of Disney have been snapping back on rising volume, with a bullish crossover in the MACD momentum indicator imminent. Shares of Viacom have been crushed since July, Lang noted, but are also starting to rebound, with the MACD showing positive signs. CBS displays a similar pattern, with a strong sell off since July, but strong institutional buying over the past few days. Shares of Twenty-First Century Fox were obliterated after making a double top earlier in 2014, Lang said, and appear to now be rangebound between $30 and $35 a share. He suggested buying around $30 and selling near $35. Lang said Time Warner had the best chart of the bunch, rallying recently on heavy volume and having a MACD that has already seen a bullish crossover. Time Warner's weekly trend also confirmed these bullish moves. Finally, Lang has good things to say about Netflix, but only for investors willing to be patient because the stock needs to consolidate at its new lower levels before being able to rally again. Cramer said he agreed with Lang's research and would be a buyer of Disney, Viacom, CBS and Time Warner. Executive Decision:aJim Reid-Anderson For his "Executive Decision" segment, Cramer spoke with Jim Reid-Anderson, chairman, president and CEO of Six Flags , which today delivered a 6-cents-a-share earnings beat and a 10% boost in its dividend. Shares of Six Flag responded by rallying 9%. Reid-Anderson said Six Flags' success stems from innovation at every one of its theme parks. He said there is something new in every park and the new attractions have been record-breakers, helping his company deliver 16 record quarters over the past four years. Reid-Anderson said while there are always doubters of Six Flags, he has kept his promises, returning over $1.4 billion to shareholders over the past four years. He said the theme park business offers stable recurring revenues which has led to their strong earnings per share growth. Cramer said that he's still a big fan of Six Flags. Must Read: The Federal Reserve Is Causing Global Markets to Drop Again Lightning Round In the Lightning Round, Cramer was bullish on Vectren , Dominion Resources , Texas Instruments , Chubb , Travelers Companies , Home Depot and Berkshire Hathaway . Cramer was bearish on Blackberry . Executive Decision: Jeffrey Spaeder In his second "Executive Decision" segment, Cramer spoke with with Dr. Jeffrey Spaeder, chief medical and scientific officer of Quintiles , about the recent Ebola outbreak and how drug makers are responding. Spaeder said that there are a couple of Ebola vaccines under development and it's expected that Phase I studies will be completed by the end of 2014. Phase II studies could begin as early as 2015. Spaeder also noted that given the severity of Ebola, the regulating bodies around the globe are working closely with drug makers and won't require drugs go through all three phases of testing if they can gather enough data to show they are effective and safe. He said companies are working as fast as they can to gather the right information on the dosing requirements that will offer protection but also safety. Must Read: Ebola Stocks May Be Overpriced as Fundamentals Outweigh Fear To watch replays of Cramer's video segments, visit the Mad Money page on CNBC. To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here. -- Written by Scott Rutt in Washington, D.C. To email Scott about this article, click here: Scott Rutt Follow Scott on Twitter @ScottRutt or get updates on Facebook, ScottRuttDCClick to view a price quote on NFLX. Click to research the Specialty Retail industry.
Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener. NEW YORK (TheStreet) --aThis has truly become a treacherous market, Jim Cramer toldahis Mad Moneyaviewers Friday. Fortunately, the week is over and Monday is a holiday for many. That's why Cramer's game plan for next week's trading starts on Tuesday with earnings from JPMorgan Chase , Wells Fargo and Citigroup . Cramer said that each of these banks is different and investors will be looking for different things. Citigroup will provide a look into global growth, while Wells Fargo is measure of domestic growth. JPMorgan tends to thrive on volatility, so these past few weeks may be a good thing. Must Read: 10 Stocks George Soros Is Buying Also on Tuesday areaIntel and CSX . Cramer said CSX will offer a another read on the U.S. economy, while Intel needs to post good numbers for the tech sector to avoid more selling. Wednesday brings earnings from Netflix , a cult stock that must blow away the numbers in order to take the high-multiple stocks higher. Then, on Thursday, it's PPG offering up a read on the industrials including how things are faring in Europe. Finally, on Friday, it's Honeywell and General Electric in the spotlight. Cramer said both companies may have a tough road ahead with Europe and energy slowing. How Bad Are Europe and China? Maybe, just maybe, politicians around the world are beginning to see the damage they've been causing. Those were Cramer's thoughts after hearing the news that leaders in China and Germany may be open to stimulating their economies to help get the world moving again. This, after semiconductor maker Microchip Technologies surprised investors by reporting that demand in China was weakening. Cramer said China is a huge buyer of semiconductors, so if things are bad for Microchip then things are pretty bad. Things should have never gotten this bad, Cramer concluded. He said the world's leaders should have known that fears over Russia, ISIS, North Korea and Ebola were more than enough to warrant lower interest rates and more stimulus long ago. Must Read: Here's a Strategy to Survive This Week's Volatile Market Too Much Oil Are the oil stocks sowing the seeds of their own demise? Cramer said the markets think so, and if things don't change the markets might be right. Cramer said the production growth in the Permian Basin in Texas has been staggering, and the region now produces 1.7 million barrels of oil a day. But that number is expected to double in just two to three years' time and only adds to the production growth in the Bakken, Eagle Ford, Marcellus and other shale fields around our nation. But the problem remains there simply isn't enough storage or refining capacity to use all our new-found oil and the U.S. still has no energy policy, no leadership and exporting oil remains illegal. That's why oil prices are plummeting, said Cramer, and why the oil stocks are following suit. America could indeed be energy self-sufficient in just three years, but that just won't happen if oil prices fall into the $70s. More important, if oil prices continue to decline, America will begin to lose jobs in the only states that have thus far been unaffected by the global slowdown. Increasing unemployment in these oil-rich states could be a major factor for the U.S. economy. Executive Decision: Stanley Crooke For his "Executive Decision" segment, Cramer spoke with Dr. Stanley Crooke, chairman and CEO of Isis Pharmaceuticals , a stock that's nearly quadrupled since Cramer first recommended it two years ago, but also one that's 22 points off its highs for the year. Crooke commented on today's news that its orphan drug to treat infant spinal muscular atrophy, currently in Phase II testing, has seen remarkable results. He said theadrug, IsisSMN, has proven to not only prolong life for infants that typically die in their first two years, but has also improved muscular development. Crooke continued there are currently no other treatment options available for the 30,000 to 40,000 infants a year afflicted with this rare condition, and both Isis and the FDA are working to complete Phase III testing as quickly as possible. Cramer said Isis remains a terrific story. Once the global morass subsides, this will be among the stocks heading significantly higher. Must Read: Here Are the 15 Worst S&P 500 Performers in the Third Quarter Lightning Round In the Lightning Round, Cramer was bullish on Procter & Gamble , Kimberly-Clark and Mallinckrodt . Cramer was bearish on Organovo Holdings , FMC Corp and Expedia . Off The Tape In his "Off The Tape" segment, Cramer sat down with John Ballay, co-founder and president of the privately held Knot Standard, a startup hoping to take the process of buying tailored men's clothing out of the store and into the online era. Ballay explained that Knot Standard sells its men's wear online and through corporations but also through seven showrooms around the globe. The showrooms, he noted, were created out of necessity because buyers aren't quite comfortable with an online-only platform just yet. Knot Standard features over 1,000 fabric options as well as a "match your suit" program where customers can simply provide the company with an existing suit and they'll replicate it perfectly. Suits from Knot Standard sell for up to a third off retail thanks to itsadirect-to-consumer model. Must Read: Sell These 5 Toxic Stocks Before the Next Drop To watch replays of Cramer's video segments, visit the Mad Money page on CNBC. To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here. -- Written by Scott Rutt in Washington, D.C. To email Scott about this article, click here: Scott Rutt Follow Scott on Twitter @ScottRutt or get updates on Facebook, ScottRuttDCClick to view a price quote on JPM. Click to research the Banking industry.
Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener. NEW YORK (TheStreet) -- Today's stock market is all about brands, Jim Cramer said on Mad Money Tuesday. Great brands stand the test of time and are almost immune to competition, making them worthy of their higher multiples, Cramer said. Tesla Motors is one such iconic brand, having risen almost overnight from a cult favorite to one of America's most admired brands. That explains the 75% rise in Tesla's stock over the past year, Cramer said. Read More: How to Trade the Bounce With Limited Downside Risk Other brands like Netflix , Costco , Starbucks and Walt Disney also fall into "icon" status because these brands can raise prices and no one seems to notice, Cramer continued. Then there are other brands that seem to hold a monopoly in their category. OpenTable comes to mind, as does Priceline.com and even Zillow . Cramer said the markets are willing to pay up for these high-quality brands, but they're also quick to sell brands that have lost their luster. When it comes to luxury handbags, Coach used to be the iconic name to beat. But that torch was passed to Michael Kors , and more recently to Kate Spade . But today, even Kate Spade faltered on margins, sends shares plummeting 25% on the day. What's the Deal With Banks? A deal-less sector in a deal-filled world isn't going to get much love, Cramer told viewers as he explained why the banks and the industrial stocks are losing value by the day. Cramer explained that consolidation is an integral part of any healthy industry because consolidation takes out competition, lowers costs and allows the remaining companies to boost estimates. But there just aren't any takeovers happening in the regulation-filled world of the banks that are simply reeling from continuing low interest rates. SunTrust Banks , Wells Fargo and KeyCorp all posted great earnings, Cramer noted, but their stocks continue to slowly lose value almost daily. Read More: Why Shorting Tesla Is Not a Smart Plan for Now The industrials have also stagnated, as stocks like Eaton , B/E Aerospace and Honeywell have proven recently. With their exposure to Europe, Cramer said the industrials have also become a terrible place to be. Down the Grocery Aisles Continuing on his consolidation theme, Cramer took a stroll down the supermarket aisles to discuss the consumer packaged-food stocks. He said the packaged food companies used to be the poster children for consistent and stable growth with terrific dividend yields, but no more. Now there are simply too many companies fighting for too little aisle space and none of them seem to be keeping pace with America's changing diets. Cramer noted that in conference call after conference call, the food companies blamed "promotional ineffectiveness" and "increased competition" for missing their estimates. Even B&G Foods , posted a 6-cents-a-share miss due to the increased promotions needed to meet its revenue targets. ConAgra is another food stock seemingly in a perpetual turnaround. The company continues to struggle to gain any momentum, Cramer said, and Americans just aren't finding ConAgra's processed and frozen foods all that tasty anymore. Kellogg sees weakness in its cereal and snack business, while Kraft Foods is seeing its shares only kept afloat by its 3.5% dividend yield. Cramer said this industry desperately needs more consolidation before it becomes investable again. Executive Decision: Burton Goldfield For his "Executive Decision" segment, Cramer sat down with Burton Goldfield, president and CEO of TriNet Group , the employee benefit manager that's seen its shares surge 30% since Cramer last checked in on May 13. Goldfield explained that TriNet helps companies navigate the increasing complexity of hiring and having employees. He said each state has its own requirements for taxes, payroll and health care and there are plenty of places a company could go wrong trying to go it alone. When asked about the key metric to watch for TriNet, Goldfield said it's worksite employees, which is the total number of employees on the payroll at TriNet's 9,000 member companies. He said that number is currently over 250,000. Read More: Warren Buffett's Portfolio Proves He's a Dividend Growth Investor Cramer said that in today's increasingly complex world, companies need services like TriNet, which is why he continues to recommend the stock. Lightning Round In the Lightning Round, Cramer was bullish on Toll Brothers , Ensco International , Vale and Walt Disney . Cramer was bearish on SandRidge Energy , SeaDrill Limited , Turquoise Hill Resources , Walter Industries and Clean Energy Fuels . Executive Decision: James Foster In his second "Executive Decision" segment, Cramer sat down with James Foster, chairman, president and CEO of Charles River Labs , a stock that's returned 50% since Cramer first recommended it 20 months ago. Foster said that Charles River is still seeing great demand for its services and the over-capacity issues it has been experiencing over the past few years are slowly fading as its lab space once again begins to fill up. When asked how a company like Charles River could help in a situation like the recent Ebola outbreak, Foster explained that his company helps determine the correct formulations and dosages of a certain drug that will be needed to both fight the disease but also not harm the patient in the process. He said in the case of Ebola, there are a lot of options for killing the infection, but finding that perfect one that doesn't also kill the patient has remained illusive. Charles River also has a thriving lab animal business, and Foster noted that one out of every two lab animals in the world comes from his company. Read More: Stock Market Has a Very Constructive Down Day for the Bulls Cramer said with demand once again picking up and capacity issues behind it, the stock of Charles River should be ready to resume higher. To watch replays of Cramer's video segments, visit the Mad Money page on CNBC. To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here. -- Written by Scott Rutt in Washington, D.C. To email Scott about this article, click here: Scott Rutt Follow Scott on Twitter @ScottRutt or get updates on Facebook, ScottRuttDCClick to view a price quote on TSLA. Click to research the Automotive industry.
Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener. NEW YORK (TheStreet) -- There's no reason to panic and sell, Jim Cramer said on Mad Money Monday as the markets continued to process global worries. But there's also no reason to run out and buy either, Cramer continued, as he urged investors to wait for a better time to buy. So why haven't the markets been crushed by the threat of tougher sanctions on Russia? Cramer rattled off a laundry list of reasons including the fact that Europe, which is far more dependent on energy from Russia, isn't likely to let sanctions get out of hand. That means that some U.S. companies may get hit by a few cents a share in earnings, but nothing that'll really hurt their bottom lines. But the markets are also holding strong on the continued flight to quality in bonds, Cramer added, which is keeping interest rates low. Then there's what Cramer called "company self help," where companies like Allergan are cutting costs to fight off a hostile takeover. Other companies are turning themselves around thanks to activist investors, while still others, like Chipotle Mexican Grill are just delivering stellar earnings that sent their shares up a quick 9%. Don't forget the initial public offering market has been quiet, Cramer added, which also helps the supply and demand equation and helps keep things in balance. Add all these reasons together and its easy to see why the markets just aren't that concerned over Russia, at least not yet. Executive Decision: David Cote For his "Executive Decision" segment, Cramer sat down with David Cote, chairman and CEO of Honeywell , a stock that hit new all-time highs today and is up more than 8% since Cramer last checked in back in January. Cote once again talked about Honeywell's three-legged stool of success. He said it starts with the company's great portfolio of businesses, then is helped along by solid business processes to get the job done and a corporate culture that sustains and innovates. That's how the company can continue firing on all cylinders, Cote said. When asked about the Honeywell's portfolio of energy products, Cote explained his company offers a multitude of products that helps get more from every barrel of oil produced and does so in as eco-friendly a way as possible. But oil isn't even the most exciting part of Honeywell's energy offerings. Cote said his company can extract a drop-in replacement for diesel fuel from oil made with algae and seaweed. He said the cost is equivalent to processing a barrel of transitional oil, but the challenge is investing in the infrastructure to make it happen on a larger scale. Cramer continued his support for Cote and for Honeywell's shares, which he said still have a lot more room to run. That Other MMM It's time to rock and roll with Martin Marietta Materials , makers of the rocks, sand, gravel and aggregates that power our construction industry, Cramer told viewers. Cramer said Martin Marietta's $2 billion acquisition of Texas Industries closed just three weeks ago but it was a transformational deal for the company. Why? Because it gives the company exposure to the red-hot Texas market. In fact, Martin Marietta will now derive 34% of sales from Texas, which is booming thanks to the oil and gas revolution. Don't forget that consolidation is always good for gross margins, Cramer continued. Martin Marietta is no exception. The company expects to see healthier margins with the decrease in competition. Then there's the 2012 highway bill, where the funding is only now flowing into projects. Roads and bridges use a lot of aggregate, Cramer said, and he expects Congress to fully fund the highway bill before the August recess. Shares of Martin Marietta trade at a 30% discount to its rival Vulcan Materials , Cramer noted, but with the Texas Industries deal complete that should no longer be the case. No Huddle Offense In his "No Huddle Offense" segment, Cramer said while he's a big fan of GoPro's cameras and accessories, he's not exactly sure what the company's stock is ultimately worth. Cramer said GoPro remains on the cutting edge of content-enabling devices and has proven its market is a lot bigger than just surfers and other action sports enthusiasts. The company is also profitable. But how big can GoPro ultimately get? It's hard to say. That said, Cramer said he'd be a buyer of GoPro going into its earnings release, which should be stellar. Longer term, however, buyer beware. Lightning Round In the Lightning Round, Cramer was bullish on Sunoco Logistics Partners , Ambarella , Sanchez Energy , Reynolds American , GW Pharmaceuticals , American Airlines and America Movil . Cramer was bearish on Tumi Holdings . Executive Decision: Daniel Starks In his second "Executive Decision" segment, Cramer with Daniel Starks, chairman, president and CEO of St. Jude Medical , a stock that's up just 8% in 2014 after a stellar run in 2013. St. Jude reported a 2-cents-a-share earnings beat on a 3% rise in revenue while raising full-year guidance. Starks said that starting in 2015 St. Jude will begin benefiting from a stream of new products stemming from its recent acquisitions. He said some of those products aim to reduce hospital re-admissions for cardiac patients, something Medicare is rewarding providers for doing. When asked about rival Medtronic's decision to re-incorporate outside of the U.S., Starks said that he's both sympathetic and concerned by Medtronic's decision. He said there's no doubt the U.S. tax code is burdensome and puts U.S. companies at a disadvantage. That said, St. Jude have no plans to follow suit and is instead looking to reduce its taxes as much as possible while remaining in the U.S. Cramer said he thinks St. Jude looks terrific for 2015 and beyond. To watch replays of Cramer's video segments, visit the Mad Money page on CNBC. To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here. -- Written by Scott Rutt in Washington, D.C. To email Scott about this article, click here: Scott Rutt Follow Scott on Twitter @ScottRutt or get updates on Facebook, ScottRuttDCClick to view a price quote on AGN. Click to research the Drugs industry.
Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener. NEW YORK (TheStreet) -- It's time to wipe the slate clean, earnings season is upon us, Jim Cramer told his Mad Money TV show viewers Friday, as he laid out his game plan for next week's trading. Cramer said starting next week, stocks will only move higher if companies can beat on the top and bottom lines and raise guidance for the rest of the year. On Monday, Cramer said he'll be watching for news from the Farnborough Airshow, one of the few times a year when Boeing and Airbus give investors an update on their order book. Expect to hear good things from Boeing. Tuesday, it's earnings from JPMorgan Chase , a stock which Cramer owns for his charitable trust, Action Alerts PLUS, along with Intel and Yahoo! . Cramer said JPMorgan will likely have good things to say, as he expects from Intel. As for Yahoo!, investors will be looking to hear updates on the upcoming Alibaba IPO. Wednesday brings earnings from Bank of America , another Action Alerts PLUS name, and Kinder Morgan Energy Partners . Cramer said he wants Bank of America to just deliver a good, clean quarter with no mistakes, no restatements and no new lawsuits. If they can do that, this stock will have a chance to head higher. As for Kinder, Cramer said he wants to hear if oil is headed below $100 a barrel. If so, that's good news for the transports and retail. For Thursday, it's Snap-on Tools and PPG reporting, two stocks Cramer said are buys, along with Google , an Action Alerts PLUS holding that Cramer likes for the long haul, and IBM , a stock Cramer said could go either way. Finally, on Friday, it's General Electric , yet another Action Alerts PLUS position, and Honeywell in the spotlight. Cramer said he's hoping both these companies offer plans to reignite growth and boost dividends to spur their stocks.Sometimes unhealthy products can create healthy profits, Cramer told viewers, as he took a closer look at a tobacco industry in the middle of a consolidation wave. Cramer said the just today we learned that Reynolds America , the number-two cigarette maker, is looking to merge with Lorillard , the number-three maker. That would give the combined company 42% market share in the U.S., just behind Altria , with just over 50%. Love them or hate them, Cramer said cigarettes are good business, and as we've seen with the airlines, semiconductors, beer and countless other industries, when there are fewer players, profits soar. In this case, just two companies will control over 90% of the market, Cramer noted, and that can only lead to higher prices and higher margins. Cramer said profits in Lorillard may be capped for the moment, but he's recommending both Reynolds, Altria and Phillip Morris Int'l .Continuing with his "Vice Night" theme, Cramer also took a look at the gambling stocks, offering viewers a fresh ranking of his favorites. Cramer said when it comes to gambling, it's all about China's Macau region, which has been struggling as of late as the sluggish Chinese economy and a crackdown on over-indulgent wealthy Chinese gamblers have weighed on the region. But Cramer said he thinks the downside has been overdone, which makes the casino stocks a buy. Cramer's new favorite was MGM Resorts , which has the least Macau exposure of the group, but a fabulous position in good ol' Las Vegas. Second on the list was Las Vegas Sands , which has more Macau exposure, but less exposure to the big VIP spenders that are getting squeezed. With a 2.7% dividend, Cramer said this stock is a buy at 17 times earnings with its 20% growth rate. Finally there's Wynn Resorts , Cramer's former favorite that he now says he'd avoid, as it has the most exposure to both Macau and the VIPs. "There are better casinos to own," he said bluntly.Off the Tape: Tom Maas, RumChata CEOIn his "Off The Tape" segment, Cramer sat down with Tom Maas, CEO, founder and master blender of RumChata, a blend of rum, cream, cinnamon and vanilla that has become the signature product of the privately held Agava Loco, LLC. Maas invented RumChata in his kitchen five years ago and his company has exploded to $75 million a year in revenues. Agava Loco currently has 20 contractors, but no full-time employees, working for it. When asked how he achieved his success, Maas explained that they only recently started advertising, instead focusing on YouTube and social media to reach out and talk directly to their customers. He said the feedback has been phenomenal, with fans of the brand creating all sorts of concoctions with RumChata. One such drink, which Cramer sampled, was an iced coffee RumChata consisting of three parts coffee, one part RumChata, served over ice. Cramer said that Maas proves that the American dream is still alive and well.Lightning RoundHere's what Jim Cramer had to say about some of the stocks that callers offered up during the "Mad Money Lightning Round" Friday evening: Southern Company : "If you want a utility, that's a good one. I like it." Core Labs : "This was a disappointing quarter, but its come down enough to own it. I think they'll do better next quarter." Starbucks : "I think you buy half now and if it comes in, you buy the rest." GenCorp : "Aerospace is terrific. I think all these stocks will be taken up next week." Cheniere Energy : "I'm no longer a big fan of the LNG stock, I prefer the partnership, Cheniere Energy Partners ." No Huddle Offense In his "No Huddle Offense" segment, Cramer offered viewers some tough love when it comes to investing in speculative stocks. He said that when you invest in a speculative stock there will be losses, sometimes hideous losses, but if you invest in these names, you need to take responsibility for those losses. Cramer noted that he got criticized for recommending Banco Santander from $6 a share to almost $10, after the stock got crushed earlier this week. He said obviously if you have almost a double in a speculative stock, you shouldn't need him to tell you to take profits and run. Likewise with GW Pharmaceuticals , the British-based medical marijuana drug maker that's been all the rage lately. Cramer said if you can't handle the volatility, you shouldn't invest in a stock like this. Speculate stocks can go to zero, Cramer reminded viewers, that's why they're not for the faint of heart and should never be more than 10% of your portfolio. If the story changes, you need to take the gains, or the losses, and run, he concluded, and you certainly shouldn't wait for him, or anyone else, to tell you to do so. To watch replays of Cramer's video segments, visit the Mad Money page on CNBC. To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here. -- Written by Scott Rutt in Washington, D.C. To email Scott about this article, click here: Scott Rutt Follow Scott on Twitter @ScottRutt or get updates on Facebook, ScottRuttDCClick to view a price quote on JPM. Click to research the Banking industry.
Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener. NEW YORK (TheStreet) -- The stock market has countless risks for investors right now, Jim Cramer told his Mad Money viewers Monday, and he can’t believe what he’s seeing. Yes, markets are still within in sniffing distance of all-time highs, Cramer said. But the pundits aren’t properly discussing how dramatic any upcoming correction might be. That's why it’s not time to go to cash. But investors need to keep that option available given the potential destructiveness of systemic risk in the markets, Cramer said. Just look at the 1930s and the recent financial crisis for example of what happens when investors lose faith in financial system. Cramer pointed to other systemic risk factors that underlie the markets. The impact of high-frequency trading is still unknown. Remember the flash crash? These kinds of risks and countless others are endemic in the market, something all investors must recognize and live with. The best protection against this risk, Cramer said, is investing in quality. Finding solid management and financials combined with a long-term vision for growth is the best thing stock pickers can do to protect against systemic risk. The ongoing situation in Iraq is troubling, Cramer said, and it’s possible that the impact on oil prices could jar the markets. But that's why caution is reasonable and panic about an oil-driven correction is excessive right now. More Tax-Haven Acquisitions Forget tax evasion. Cramer thinks it's time to learn about tax inversion after Medtronic announced a $42.9 billion buy of Covidien Sunday. Tax inversion is when companies based in the United States moves headquarters to an overseas tax haven to avoid high taxes. Covidien is a great example of this practice, headquartered in Massaschusetts but domiciled in Ireland to take advantage of a relatively low tax rate. So what other companies might provide a way to capitalize on tax inversion? Cramer thinks Eaton , an industrial manufacturing company, is an American company domiciled in Dublin. Cramer thinks Emerson Electric or Honeywell could save themselves a huge chunk of their tax bill by acquiring Eaton, which Cramer said is “a terrific company.” Other possibilities are TE Connectivity , Pentair , Chicago Bridge and Iron and Ensco , a holding in Cramer's charitable trust, Action Alerts PLUS. Yes, it’s ridiculous, Cramer admitted. But companies have figured out a way to make a bunch of extra money through virtual globetrotting without ever having to leave home except to check the mail. Unilever Is a Winner Feeling some World Cup fever, Cramer kicked off a week-long look at good companies located in countries favored in the quadrennial soccer championship. Cramer says there's a lot to like in the Netherlands, which beat Spain recently. There's even more to like about Unilever , which trails only Procter & Gamble and Nestle for market share control of the consumer goods industry. Cramer likes Unilever’s "iconic" brands, reliable dividend and emerging markets exposure. The company counts Lipton, Breyer’s, Knorr, Dove and Vaseline among its roster. Unilever is looking to pull back from its food business, selling low-growth assets and weaker performing brands. Not only does the Netherlands have a decent chance at winning this year’s World Cup, Cramer said, but it’s also home to some pretty fantastic companies. Unilever, with its "amazing emerging markets exposure," is a true standout. Lightning Round In the Lightning Round, Cramer was bullish on Moody’s and Magnum Hunter . Cramer was bearish on Molycorp , Pandora and Coupons.com . No Huddle Offense During his "No Huddle Offense" segment, Cramer discussed Starbucks’ announcement Monday that it would provide discounted online college education for its employees through an agreement with Arizona State University. Cramer called it “revolutionary.” Many of his Wall Street colleagues thought it was a public relations ploy, Cramer said. It’s good publicity, no doubt. It’s a great idea. People do better with college degrees. He thinks it’s one of those occasions where doing good is good for everybody involved: customers, employees and stockholders. A company with a conscience does better at creating value, Cramer said. Given the performance of Starbucks’ stock vs. its peers, that’s empirically true. Educational benefits for employees can help a company hang on to its best and brightest. That comes back to its shareholders in the long run. To watch replays of Cramer's video segments, visit the Mad Money page on CNBC. To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here. -- Written by Scott Rutt in Washington, D.C. To email Scott about this article, click here: Scott Rutt Follow Scott on Twitter @ScottRutt or get updates on Facebook, ScottRuttDCClick to view a price quote on MDT. Click to research the Health Services industry.
NEW YORK (Real Money) -- That's it, I have had enough. With today's Medtronic -Covidien tie-up, it pays to just explore the lunacy of what's known as tax inversion and come up with a "who's next" list of takeover targets. Even though Covidien is ostensibly located in Mansfield, Mass., its principal executive office is listed as 20 Lower Hatch Street, in the fine city of Dublin, Ireland. While I have been recommending Covidien ever since the breakup of Tyco , in part because of a series of terrific patient-monitoring and blood-flow devices, it appears that Lower Hatch Street address in Dublin was the main reason it got a bid from Medtronics. Why not? As long as 20% of the new shares go to the acquired company, a huge amount of taxes are saved, and overseas cash can be deployed in a much more tax-efficient manner, given the high U.S. corporate tax rate. So let's figure out, using that pattern, what's going to happen next. Located not too far down the road from Covidien is Eaton , a terrific electronics company that's known for fantastic products in everything from lighting and the electric grid to aerospace and trucking. Yep, you may have thought that Eaton was the corporate pride of Cleveland, Ohio, not unlike the Cleveland Browns, Cavaliers or the tribe itself. Wrong! Eaton is located at Fitzwilliam Hall, Fitzwilliam Place, Dublin 2, Ireland. I stayed at the Four Seasons in Dublin once. Had I timed it better, I could have gone to Eaton's annual meeting, which gets held there. I think Emerson or Honeywell could save themselves a heap of taxes by buying Eaton. It has the added advantage, like Covidien, of being a terrific company, too. Covidien is a function of a spin-off from Tyco, not unlike TE Connectivity , the old AMP. You know AMP, don't you? It's the proud Pennsylvania connector company that was purchased by Tyco for $11 billion back in 2003, during the heyday of convicted felon Dennis Kozlowski. Did you know that TE Connectivity is actually located on Rheinstreasse 20, CH 8200 in Schafhausen, Switzerland? I can't think of a better place for Washington, D.C.-based Danaher to relocate to, can you? The fit is pretty darned perfect, too, given all of that instrumentation that Danaher has. Or would it be better if it bought Pentair ? That's another Schafhausen, Switzerland company that also has a U.S. presence in Minneapolis, Minn. That fluids-control business of Pentair's is a difference-maker, although it doesn't make as big a difference as the tax domicile does. The old joke about Chicago Bridge & Iron is that it doesn't make bridges or iron and isn't located in Chicago. You might have thought it was located in Houston, Texas, at One CB&I Plaza. Looks like the punchline of that old joke is wrong, too, because CBI is located in The Hague, Netherlands. How convenient is that for a company such as Fluor ? That firm is ostensibly located right down the road, in Irvine, Texas, and could certainly pick up this competitor. This game can and will go on and on. Tyco, now a fire-and-prevention company, would fit well into the stable of Honeywell or DuPont fire-and-safety divisions, and Tyco is headquartered in Neuhausen, Switzerland. How about Alkermes ? This is the terrific drug company that is working on a ton of amazing treatments for mental illnesses, and it happens to be located on Burlington Road in Dublin, unless you are counting the Waltham, Mass., facility. There are lots of U.S. companies that could save a boatload giving 20% of a combined entity to that $6 billion company. Furthermore, please don't forget those fabulous Geneva- and London-based oil-services companies, Weatherford and Ensco . Do you think it matters that Weatherford is named after Weatherford, Texas, where the company was founded, or that its operational office is currently located in Houston? Do you think it matters that Ensco is a Dallas company that has said it will put "a large number" of people in London? Yep, we could go on and on. All I can say is that every one of these "real" American companies is now a candidate to be bought because of the tax-code ridiculousness and the seriousness of avoiding taxes. If Pfizer had wanted AstraZeneca , and if Medtronics has gotten Covidien, you can bet that any one of these companies could be next. I know it is silly, but there is some truly nonsilly money to be made going virtual globe-trotting while never having to leave home, except to pick up the mail. At the time of publication, Action Alerts PLUS, which Cramer co-manages as a charitable trust, was long ESV. Editor's Note: This article was originally published at 7:32 a.m. EDT on Real Money on June 16 Fusion-io Soars Following SanDisk Buyout 3 Big Stocks on Traders' RadarClick to view a price quote on MDT,.