Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener. NEW YORK (TheStreet) -- If you're in a dogfight to attract customers, your customers might win, but your shareholders certainly won't. That was what Jim Cramer's told his Mad Money viewers Wednesday after the transportation stocks, led by the airlines, pulled the averages lower. When the CEO of American Airlines appeared on Mad Money last night, he told investors that competition is starting to heat up and American is ready to respond with lower fares if needed. That spells trouble for the entire airline industry, Cramer warned, because the earnings estimates for the airlines will need to be cut. Must Read: 10 New Stocks Billionaire David Einhorn Loves That's why Cramer suggested sticking with companies that have no competition, companies like the biotechs, which often have proprietary drugs protected by patents or orphan drug status. His favorites among the group were Regeneron and United Therapeutics , whose CEO also appeared on last night's show. Cramer was also bullish on Target , a stock he owns for his charitable trust, Action Alerts PLUS, as that company has competition but is crushing it. Also on the "no competition" list was natural and organic food makers Hain Celestial and WhiteWave Foods plus Apple , the latter two also Action Alerts PLUS names. Executive Decision: Strauss Zelnick For his "Executive Decision" segment, Cramer sat down with Strauss Zelnick, chairman and CEO of Take-Two Interactive , the video game maker that just delivered a 22-cents-a-share earnings beat and boosted its stock buyback program after another strong quarter. Zelnick said Take-Two is not just a hit-driven company, it's a solidly profitable company with a diverse lineup of titles that they're working hard to build into permanent franchises. That's why Take-Two doesn't release new versions of their games annually, outside of sports titles, and instead takes some time to build the next installments with compelling stories and interactivity. When asked about Asian markets, Zelnick said that after entering Asia just a few years ago, the Asian market is now a big contributor to Take-Two's growth targets. With Take-Two continuing to ride the current edge of interactive entertainment, Cramer said this is one company investors should consider. Must Read: Dan Loeb Sold Out of Alibaba -- Here’s Where He’s Investing Instead Brake for Fiat Chrysler There's a shining star in the auto industry, Cramer told viewers, but chances are investors aren't even paying attention. That star is Fiat Chrysler , a stock that's only been trading in the U.S. since October but is already up 36% so far in 2015. Most investors stopped following Chrysler after the company filed for bankruptcy in 2009. But in 2014 the European-based Fiat bought the rest of Chrysler that it didn't already own and launched a successful IPO late last year at $9 share. The new Fiat Chrysler consists of a stable of U.S. brands, like Chrysler, Jeep, Dodge and Ram, but also a host of higher-end European stalwarts including Alfa Romeo, Ferrari and Maserati. While most U.S. automakers bemoaned the currency pressures of the strong U.S. dollar, Fiat Chrysler, which is based in Europe but still has two-thirds of its sales in the U.S., had the opposite problem -- revenue that were skyrocketing. Those windfall profits may wane a bit as the dollar weakens, but the fact remains that Fiat Chrysler is seeing great sales, with Jeep sales up 22%, Europe turning profitable and the company regaining the number one automaker spot in Brazil. Executive Decision: Marc Benioff In his second "Executive Decision" segment, Cramer spoke with Marc Benioff, chairman and CEO of Salesforce.com , which today delivered a 2-cents-a-share earnings beat that sent shares up 6%. Benioff reiterated he's building a company not just focused on shareholders but on all stakeholders, including employees and the communities it's based in. He noted that 1% of Salesforce's profits flow into its charitable foundation, which to date has provided over one million hours of community service. When asked about the myriad of takeover rumors, Benioff said he's focused on becoming the fastest company to reach $10 billion in sales and spends his time talking to customers and helping to make them successful. Companies want to do business with a company they trust, Benioff concluded, and that's why he hasn't been distracted by rumors and is doing right by all their stakeholders instead. Must Read: Why Google’s Buy Button Is No Threat to Amazon Lightning Round In the Lightning Round, Cramer was bullish on Flextronics and LyondellBasell Industries . Cramer was bearish on Halyard Health . No Huddle Offense In his "No Huddle Offense" segment, Cramer said that population growth is the only real way to spur economic growth, and nowhere was that more evident than in Home Depot's conference call this quarter. One of the key components to Home Depot's business is new household formation, a number that was cut in half during the great recession as more and more children opted to live at home with their parents than try to get a mortgage of their own. But now household formation appears to be on the mend, and that's great news for everything related to housing. Other factors include employment, which is getting better, salaries, which are not, student loan debt, which is getting worse, and the availability of credit, which is slowly on the mend. The only way to really get a non-Federal Reserve inspired economic recovery, however, is by having more families that need more homes, Cramer concluded, and with that finally starting to happen, Home Depot could be on the verge of a big uptrend. Must Read: Smart Money May Be Warming to Big Bank Stocks 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.Click to view a price quote on TRWO.
Archive for the ‘AAPL’ Category
Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener. NEW YORK (TheStreet) -- If Apple shares are able to find a bottom point tomorrow, everyone else will, too, Jim Cramer told his Mad Money viewers Thursday as he tried to find that one stock that could hold the key to the markets. When investors buy a stock, they expect that company to post great revenue and great earnings every quarter. That, in turn, will fuel the analysts to raise estimates and shares will head higher. The company can then further reward shareholders with big dividends and stock buybacks. Must Read: 5 Stocks Warren Buffett Is Selling At least, that's the way its supposed to work. But in the case of Apple, a stock Cramer owns for his charitable trust, Action Alerts PLUS, the company did all of those things and shares have fallen in a straight line ever since. "I see things out there I just don't like," Cramer told viewers. If the markets won't reward Apple for posting one of the best quarters in corporate history, then the rest of the markets are in trouble. The exact scenario was seen through today's session, with Yelp shares slammed 23% on its earnings release, LinkedIn posting a massive 24% decline on its earnings and AmerisourceBergen giving back nearly all of its gains after it reported. What could help stem these declines? Oil could stop going higher, or the sellers could just fizzle out eventually, or perhaps new leadership could emerge. The banks maybe? REITs? Cramer told viewers they should keep an eye on Apple, because when Apple bottoms, the overall markets will likely bottom as well. Executive Decision: Sandy Cutler For his "Executive Decision" segment, Cramer checked in with Sandy Cutler, chairman and CEO of Eaton , another Action Alerts PLUS holding and a stock with a 3.2% yield. Cutler highlighted a number of bright spot in Eaton's most recent quarter, including the recent acquisition of Cooper Industries. Not only is Eaton seeing some $150 million in cost synergies but Cooper has now made Eaton a leader in the fast-growing LED lighting segment. Cutler said LED lighting is now 50% of the company's lighting category. Eaton also saw strength in trucking, with both heavy-duty and light trucks strong both inside the U.S. and abroad. Trucks are still pining for more fuel economy and better emissions, Cutler explained. That's what Eaton offers. With so many things going right, Cramer said this is one stock investors shouldn't be selling. Must Read: 3 Mid-Cap Oil Companies You Should Sell Right Now Oil Stocks? Too Late Is it finally time to start buying the oil stocks? Cramer gave a resounding "No," but not because it's too early for investors to bet on a recovery in oil but because they're already too late. Yes, Exxon Mobil was able to post slight production gains, while over at ConocoPhillips , it looks like the worst is definitely behind them. But you don't buy oil stocks based on either of these two stocks, you buy based on Richard Kinder over at Kinder Morgan . Back in February and March, when oil was at $43 a barrel, Kinder made the bold move of both calling a bottom and putting his money where his mouth is, buying Hiland Partners from Harold Hamm for $3 billion. That proved to be the true bottom for oil, which has since risen to $60 a barrel. Other smart companies like Carrizo Oil & Gas , Concho Resources and Whiting Petroleum also called the bottom when they all issued up secondary offerings of stock to bolster their balance sheets. "That's what a bottom looks like," Cramer concluded. Executive Decision: Dinesh Paliwal In his second "Executive Decision" segment, Cramer sat down with Dinesh Paliwal, chairman, president and CEO of Harman Int'l , the connected-car infotainment company that disappointed Wall Street by cutting forecasts, sending shares plunging 7% on the day. Paliwal said the Harman thesis remains intact and auto sales remain strong with 19% growth with quarter and $3.2 billion worth of new orders coming in for the next generation of connected cars. Where Harman fell short this quarter was in the professional audio business, which is largely dollar denominated and had a tough time in Russia, China and elsewhere given strong currency headwinds. Harman is making adjustments however, Paliwal said. Paliwal also explained Harman's two recent acquisitions, which will give his company a dominant position in cloud-based applications for autos and the over-the-air updates that will be required to make them a reality. Harman has no plans to sell any assets from either of these acquisitions but will keep them and grow them to diversify the company's portfolio of products and services. Must Read: Why Warren Buffett Hates Paying Dividends but Loves Dividend-Paying Stocks Lightning Round In the Lightning Round, Cramer was bullish on Opko Health and Sonic . Cramer was bearish on Ensco International , Groupon and Splunk . Off the Tape In his "Off the Tape" segment, Cramer sat down with Sam Shank, co-founder and CEO of the privately held HotelTonight, the mobile app that plays matchmaker for consumers looking to book a last-minute hotel room. Shank explained HotelTonight allows its customers to book a room up to seven days in advance, allowing them to get a great last-minute deal while hotels receive incremental revenue for rooms that would otherwise be vacant. HotelTonight even has an app for the Apple Watch which will show a user the five closest hotels to them and allow them to book with just a tap. Shank said the model allows customers to shop across multiple options while hotels can update their inventory in real time. Some hotels can update their pricing as often as 15 times a day, he noted. Must Read: 3 Mid-Cap Oil Companies You Should Sell Right 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.Click to view a price quote on AAPL. Click to research the Consumer Durables industry.