Archive for the ‘AAPL’ Category

Big Swing Trade Ideas for July 28: Apple, Goldcorp, Tower Group

Monday, July 28th, 2014

NEW YORK (TheStreet) -- Today's top swing picks are Apple , Goldcorp and Tower Group . 1. First, let look Apple, the mega-computer company. Apple traded up 0.66% on Friday, closing at $97.67. Friday's range: $96.64 - $97.84 52-week range: $62.89 - $97.88 Friday's volume: 43,533,519 Three-month average volume: 61,167,300 Apple is a great stock to swing trade. It has great volume and moves a lot. FDA Rejects AcelRx Painkiller Dispensing Device Last week, Apple reported positive earnings, and as a result, the stock continues to rise. The day after the earnings report, the chart formed a doji gap up, which is known as a trader's best friend. The sentiment is clear that when a doji gap up appears -- a doji shows a struggle between the bulls and bears -- the gap up shows the winner, and in this case, the bulls won. Following the doji gap up, Friday's candlestick was a bullish engulfing signal, which also implies that the stock will continue to rise today. The stock will likely reach the $100 level in the near future. Look for an entry anywhere above the t-line, which is at $95.99. I'd set my stop at Friday's low of $96.64, maybe a few pennies below that. Target the $100 level to start, and then add to the position on the dips. The next targets are $104, $108 and $110. Trading Apple is as safe as the computer the company has created. Stay long until you see a confirmed sell signal or a close below the t-line. GM Isn’t Alone in the Race to the 200-Mile Electric Car 2. Now, let's look at miner Goldcorp. Goldcorp traded up 3.52% on Friday, closing at $28.20. Friday's range: $27.15 - $28.24 52-week range: $20.54 - $32.15 Friday's volume: 4,951,942 Three-month average volume: 4,523,520 The mining sector has been working well. Take a look at SPDR S&P Metals and Mining , an exchange-traded fund. The chart implies continued bullish sentiment, which adds to the appeal of Goldcorp's chart. On Friday, Goldcorp formed a large bullish engulfing signal. The candlestick engulfed the previous seven trading days and closed above the 20-day simple moving average and the t-line. The price is up 23% in the last 52 days, and has been consolidating for the last month, and so now let's watch for another breakout. The breakout level is at about $28.88. The current trading level is a strong resistance level, and so I'd keep my stop tight. I'd like an entry above the 20-day simple moving average, at $27.75, and I'd set my stop just below that, at about $27.70, which is the t-line. I would target the most recent highs, starting with around the $30 level, and then $31.90-ish, which is 6% and 13% higher respectively. Stay long until you see a confirmed sell signal or a close below the t-line. 3. Lastly, let look at Tower Group International, an insurance and reinsurance company. Tower Group had a big bullish day on Friday and traded up 8.21%, closing at $2.11 Friday's range: $1.95 - $2.20 52-week range: $1.62 - $22.30 Friday's volume: 1,640,504 Three-month average volume: 1,239,570 Tower Group looks good technically, as it is a rounded-bottom breakout and has 42% potential to the upside. The chart appeared on my scanner on Friday when it closed above the 50-day SMA. We need to see some follow-through today, and continued trading above the 50-day SMA to remain interested in this chart. The rounded-bottom breakout is an attempt at catching a bottom that has turned around. This stock hasn't been above the 50-day SMA with any conviction since August 2013. With that, I would set my stop just below the 50-day SMA at $2, and move my stop up as the price action moves up. This is the way to secure profits and mitigate losses. There is overhead resistance at $2.41, $2.70, $2.85 and again at the 200-day SMA. So, I would use these levels as my targets. Ideally, I would stay long and shoot for the 200-day simple moving average, which is roughly 42% gain to the upside. Stay long until you see a confirmed sell signal or a close below the t-line. How Walmart Can Get the Well-Off Customers It Needs to Grow Come see me at my second home and sign up for the two-week trial. At the time of publication, the author held no positions in any of the stocks mentioned. Follow @aarongallaher // 0;if(!d.getElementById(id)){js=d.createElement(s);js.id=id;js.src="//platform.twitter.com/widgets.js";fjs.parentNode.insertBefore(js,fjs);}}(document,"script","twitter-wjs"); // ]]> This article represents the opinion of a contributor and not necessarily that of TheStreet or its editorial staff. TheStreet Ratings team rates APPLE INC as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation: "We rate APPLE INC (AAPL) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, expanding profit margins and solid stock price performance. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results."Highlights from the analysis by TheStreet Ratings Team goes as follows: Despite its growing revenue, the company underperformed as compared with the industry average of 8.6%. Since the same quarter one year prior, revenues slightly increased by 6.0%. Growth in the company's revenue appears to have helped boost the earnings per share. Although AAPL's debt-to-equity ratio of 0.26 is very low, it is currently higher than that of the industry average. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.18, which illustrates the ability to avoid short-term cash problems. The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. When compared to other companies in the Computers & Peripherals industry and the overall market, APPLE INC's return on equity exceeds that of the industry average and significantly exceeds that of the S&P 500. 44.56% is the gross profit margin for APPLE INC which we consider to be strong. It has increased from the same quarter the previous year. Along with this, the net profit margin of 20.69% is above that of the industry average. Investors have apparently begun to recognize positive factors similar to those we have mentioned in this report, including earnings growth. This has helped drive up the company's shares by a sharp 54.18% over the past year, a rise that has exceeded that of the S&P 500 Index. Regarding the stock's future course, although almost any stock can fall in a broad market decline, AAPL should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year. You can view the full analysis from the report here: AAPL Ratings Report

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Walmart, Family Dollar, Coach Top Cramer’s Twitter Q&A

Monday, July 28th, 2014
Jim Cramer tackles viewers' Twitter questions from the floor of the New York Stock Exchange.








Jim Cramer’s ‘Mad Money’ Recap: A Week of Market Madness

Wednesday, July 23rd, 2014

Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener. NEW YORK (TheStreet) -- There are four weeks a year when the markets become a mad house, Jim Cramer said Tuesday on Mad Money. This week, the height of earnings season, is one of those weeks. Cramer once again urged investors to steer clear of stocks during earnings week because they're up against terrible odds and the market's reactions to news can be totally out of sync with reality. Case in point: the battleground that is Herbalife . Cramer said the tennis match between activist investor Bill Ackman and company management has become totally unpredictable, with shares soaring 25% on "news" Ackman had thought would sink the company. Cramer said investors need to avoid battlegrounds like Herbalife at all costs. Then there's Apple , a stock Cramer owns for his charitable trust, Action Alerts PLUS. Many investors are already "disappointed" with iPhone sales, but does that truly reflect the company's prospects with new, possible bigger, phones on the horizon, plus a new deal with IBM and potential wearable devices? And what do we make of General Electric , another Action Alerts PLUS stock? Company management proclaimed everything was great but digging into the details saw revenue misses in several key areas. So while the markets are running around guessing, second-guessing and reformulating their thoughts on earnings news, Cramer said home gamers are better off sitting on the sidelines and waiting for calmer seas next week. Good Taste vs. Good for You A battle is raging between what tastes good versus what's good for you. Nowhere can the rebellion be more clearly seen than between Chipotle Mexican Grill and its former parent, McDonald's . Cramer said the stark contrast in these two companies' earnings couldn't be more clear, with McDonald's suffering from not enough customers while Chipotle struggles to get its too many customers through its lines faster. McDonald's earnings were abysmal, Cramer said. Consumers are rebelling against cheap, non-organic food, even though that food has been engineered to be loved by all. This is not only a trend in the U.S. but is now spreading worldwide, he continued. Meanwhile, Chipotle, whose shares popped 11% on its huge 17% increase in same-store sales, appears to be resonating even more with its core audience of younger people. Even with food that's more expensive than McDonald's, Chipotle can barely keep up with demand. Cramer said this rebellion can also be seen in the earnings of Coca-Cola as consumers are increasingly eschewing sugary drinks for water and healthier alternatives. This move is still in its infancy, Cramer concluded, which is why he expects Chipotle to outperform McDonald's for many years to come. Executive Decision: Patrick Doyle For his "Executive Decision" segment, Cramer spoke with Patrick Doyle, president and CEO of Domino's Pizza , which saw its shares soar 3.7% in today's session as the company posted a 2-cents-a-share earnings beat on a 5.4% increase in U.S. same-store sales and a 7.7% increase in its international same-store sales. Shares of Domino's are up 715% since Cramer first recommended the company four and a half years ago. Doyle said Domino's is seeing a nice uptick in global momentum and has many things now pulling in its favor. He said the company's new iPad app has been very well received and Domino's is seeing a slow decline in the prices for corn, wheat and other commodities. When asked whether Pizza Hut, owned by Yum! Brands , is falling apart, Doyle said that the trend has been that the big guys are taking market share from the little guys, but he thinks the Yum! has the ability to still turn around Pizza Hut and make it more competitive. Turning to the company's social media initiatives, Doyle said that Domino's advertises where the eyeballs are, and that includes Facebook and Twitter.  He said unlike with other advertising, his company knows exactly what the return on investment is with these channels and it's working well. Cramer said that after lagging earlier this year, Domino's shares are "rested and ready" to resume their march higher. Off the Charts In the "Off The Charts" segment, Cramer went head to head with colleague Dan Fitzpatrick over the charts of the three biggest winners so far this quarter, according to Fitzpatrick, Kinder Morgan Energy Partners , Morgan Stanley and Honeywell . After peaking in April 2013, Kinder Morgan spent a long time trending lower, finally bottoming this past March before beginning to rebound. Since then, however, it has seen a higher low in May, crossed above its 200-day moving average and then most recently, saw its 50-day moving average cross over the 200-day. All these are bullish signs as Kinder has gone from hated to loved once again. Honeywell has been trading sideways for the past five months, Fitzpatrick noted, building a "high base" that is now the floor for its next uptrend. He noted that with the volume remaining low, it's clear the big holders of the stock are sticking with Honeywell. If shares can cross $100, the sky's the limit. Then there's Morgan Stanley, with a chart very similar to that of Honeywell. Shares have been consolidating, but now appear ready for another leg higher, with its 200-day moving average being the floor of support. Cramer said he agreed with Fitzpatrick and his analysis. All three of these stocks are looking very bullish. Lightning Round In the Lightning Round, Cramer was bullish on Huntington Bancshares , Entertainment Properties Trust , Activision Blizzard , Take-Two Interactive , Six Flags , Cedar Fair , Government Properties Income Trust and Petrobras . Cramer was bearish on W. P. Carey . Executive Decision: Michael Roth In his second "Executive Decision" segment, Cramer sat down with Michael Roth, chairman and CEO of Interpublic Group , the world's fourth-largest advertising agency, to discuss the state of the advertising industry. Roth confirmed that this quarter digital advertising surpassed network television spending for the first time. He said digital advertising makes it easier to measure a company's return on investment, but that doesn't mean that TV is not still a powerful force to be reckoned with. Diving deeper into digital advertising, Roth said digital is now embedded in everything the company does, with a large part of their advertising spend heading to Facebook . Where Interpublic shines, he noted, is in delivering fully integrated, global offerings to clients. When asked about the failed merger between the industry's largest players, Roth said that all eyes have been on Interpublic as a possible takeover candidate, but its focus remains clear -- build shareholder value. Interpublic doesn't need a merger, he said, but it will certainly consider any attractive offer that's presented. Cramer continues his recommendation of Interpublic Group. 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, ScottRuttDC

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Jim Cramer’s ‘Mad Money’ Recap: Next Week’s Game Plan

Friday, July 18th, 2014

Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener. A version of this program last aired Dec. 23, 2013. NEW YORK (TheStreet) -- With all of the global uncertainty, earnings alone will not be enough to guide you through next week's trading, Jim Cramer told his Mad Money TV show viewers Friday as he laid out his game plan. Cramer said that all eyes need to be on the U.S. and Russia and whether global uncertainties will send investors fleeing to safety or let them continue the rally that's already in progress. That said, Cramer will be watching Halliburton on Monday, saying that he'd be a buyer on any weekend weakness. He was less optimistic about Chipotle Mexican Grill and Netflix , both of which have run up ahead of their quarterly results. Tuesday brings Apple , a stock Cramer owns for his charitable trust, Action Alerts PLUS. When it comes to Apple, Cramer said to just "own it" for the long term. Next, on Wednesday, it's Boeing reporting. Cramer said he'd be a buyer on weakness in Boeing as this stock will certainly be higher two months from now. Also on Wednesday is Facebook , another stock Cramer said he'd just own for the long term. Then, on Thursday, it's American Airlines , a stock Cramer said is cheap, along with both Ford and General Motors reporting. Cramer said he prefers GM, another Action Alerts PLUS position, over Ford, but noted that both should report good numbers. Also Thursday, Caterpillar reports. Cramer said he's bullish on Caterpillar as well. Rounding out the week will be durable goods orders on Friday. Cramer said he's using this number to begin "Fed watch" to try and determine when the Federal Reserve is likely to begin raising interest rates. Investing Like a Pro Individual investors can not only invest like the pros, they can beat them, too, Cramer said, detailing the methods to his madness. Cramer said it doesn't take a lot of effort to invest one's own money, just a few hours a week for research, the "homework," as he so often calls it. But the results from that research will bear far more fruit than blindly dumping money into an index fund or, worse, a bond fund in a time of historically low interest rates. Where can investors find their research? Fortunately, it's practically everywhere, said Cramer, on sites like CNBC.com, TheStreet.com, Yahoo! Finance and others, as well as on the Web sites of every publicly traded company. When starting out, Cramer recommended using the 52-week high list. The new highs list shows stocks with true momentum, said Cramer, especially in a bad market. But that does not mean that investors should just blindly chase every stock on that list. Instead, research will still need to be done to separate the truly great stocks from the ones that are just lucky. After researching the new high list and picking out the true winners, Cramer said the next step is determining when to buy them. He said a pullback of at least 5% is usually a good entry point, especially when that pullback is caused by general market weakness. You should only buy stocks that have pulled back from the new high list if you're confident they'll make a comeback, he continued. Cramer said he always advises adding to a position on weakness, then trimming those positions into strength. A broad, market-wide sell off provides an excellent entry point for the former, he concluded. Look for the Insiders Cramer's next trick for investors, look for stocks with strong insider buying. Company executives are no dummies, explained Cramer. If they're buying their company's stock, then maybe you should, too.  Cramer said executives can sell company stock for all sorts of reasons. But buying, especially in large quantities, should be a clear signal that execs are highly confident in their outlook and are putting their own money on the line to prove it. This is especially true of stocks at or near the 52-week high list, said Cramer. If a stock is already at sky-high valuations, and insiders are still buying, that is a powerful endorsement. There is nothing more telling than when an insider backs up the truck for his own stock when its sitting at a high. Avoid paying too much attention to small, token purchases, Cramer cautioned. Look for only large, meaningful insider purchases. Sometimes execs want to make it look like they have confidence in their stocks. But when they actually do have conviction, that's the time to follow their lead. Short Interest Continuing on the insider buying theme, Cramer's next trick is to look for a special type of insider buying, one that involves a stock with a huge short interest. Cramer explained that short-sellers must have a lot of conviction in order to bet that a stock is heading lower. The downside of shorting a stock is infinite, while going long on a stock limits losses at zero. Short-sellers also risk a short squeeze, a bit of good news about a company that sends shares high enough that those short the stock are forced to cover their positions. The dynamics of short-selling makes insider buying all the more interesting, said Cramer. When lots of people are betting against a company and an executive starts buying, Cramer said that's like drawing a line in the sand and saying, "Our stock goes this low and no lower." Cramer said any time investors see a large short interest coupled with meaningful, not token, insider buying, they should perk up and start the research immediately. While short-sellers are smart people, they often know less than those in charge of running the company, noted Cramer. Cramer offered a caveat to betting against the short-sellers, however: Avoid hot-button stocks where the short interest is simply too large to overcome. At the height of the financial crisis in 2008, Cramer noted that short-sellers were able to overrun many bank stocks, thanks in part to the removal of protections like the uptick rule, which helped to slow these so-called "bear raids."  Homegamers can still find opportunities where the short-sellers have overreached, especially in stocks that pay a solid dividend. This often helps to deter short sellers which must pay the dividend on the shares they've borrowed, concluded Cramer. How to Trade Cramer's next tip for investors: Learn how to trade. He said learning how to trade stocks on a shorter-term basis will make homegamers better investors overall, as it will teach them many valuable lessons, especially in markets with large, volatile swings in every direction. Cramer said his normal investment strategy would dictate that if an investor wants to purchase 300 shares of a company, buy them in increments of 100 shares at a time over a period of weeks or months using broad-based selloffs as cues for the purchases. However, a trading strategy is a little different, said Cramer. Trading around a core position dictates that if an investor owns 300 shares, he or she sells 50 of them anytime the stock moves higher by 3%. Then as shares retreat by 3%, an investor can buy them back on the cheap. Cramer said that trading in smaller increments may not seem like much, but over time the profits can add up quickly. In today's markets, where stocks can soar one day and be thrown out with the bath water the next, it likely won't take long before homegamers begin to see their trading strategies pay off. When to Sell Cramer's last trick for investors involved the critical question of when to sell a hot stock. He said there's certainly a lot of money to be made by owning a hot momentum stock, but investors have to know when it's time to leave the table or risk losing it all. Such was the case with high-fliers including Chipotle and Intuitive Surgical , two long-time Cramer faves that fell from grace in spectacular fashion. So how can investors tell when a momentum stock has peaked? Cramer said one thing they can look for is the analyst coverage. For smaller, more speculative stocks, Cramer said the rule of thumb is that when a stock has a half dozen or so analysts covering it, the stock will begin to peter out because it's become too well known.  This was the case with Hansen Natural (HANS), one of the hottest stocks between 2004 and the first half of 2006, noted Cramer. The whole run higher, the skeptics were warning that the energy drink maker's momentum would fade. But with analysts still initiating coverage and touting the stock, it continued its run higher. That was until May 10, 2006, recalled Cramer, when Hansen stock split five-for-one, but was also picked up by Goldman Sachs, the fourth analyst to begin coverage. After Goldman brought Hansen into the spotlight, Cramer said the stock immediately started to cool off because it had hit that critical mass of analyst coverage. Small momentum stocks are worth owning, said Cramer,. But when investors see analysts jumping on the bandwagon, it's time to get out. 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, ScottRuttDC

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Ukraine, Middle East and Earnings Set the Stage for the Week Ahead

Friday, July 18th, 2014
The Malaysia Airlines crisis is escalating tensions between Russia and Ukraine, and continued conflict in Israel and Gaza will dominate headlines in the Week Ahead.

U.S. Markets Open Higher On M&A Activity and Earnings Results

Wednesday, July 16th, 2014
U.S. stocks start Wednesday's trading day higher on talk about a bidder for Time Warner and quarterly results from Intel which topped forecasts.

Jim Cramer’s ‘Mad Money’ Recap: High Hopes and Low-Expectation Stocks

Wednesday, July 16th, 2014

Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener. NEW YORK (TheStreet) -- When expectations are low you may lose money no matter what a company has to say, Jim Cramer told his Mad Money viewers Tuesday. Better to stick with companies that have low expectations, or even no expectations, where any good news will be met with big gains. Cramer said Apple , a stock he owns for his charitable trust, Action Alerts PLUS, is one such low-expectation company. Apple's stock trades as a deep discount to the markets, yet today the company's partnership with IBM is sending shares higher in the after-hours. Two more Action Alerts PLUS names, JPMorgan Chase and Goldman Sachs , also fit this bill, Cramer continued. He said both companies trade at just 10 times earnings, far less than the S&P 500's 17 times multiple. Yet, with no one expecting anything from these two financials, both managed to surprise to the upside, sending shares higher. Compare that to another bank, Wells Fargo , a stock with high expectations that had run up ahead of its earnings, and Cramer said its easy to see why shares got hit on its release. Johnson & Johnson , another Action Alerts holding, also fell because of this high-expectation pattern. Yes, there are some over-inflated sectors of the markets, Cramer concluded, but there are also lots of companies that no one is expecting to do well, and those companies always seem to be the ones surprising us with good news. Speculating on Janet Yellen Was Federal Reserve Chair Janet Yellen out of line when she singled out social media and biotech stocks as having too much speculation? Cramer said he doesn't like it when the Fed publicly dissects the markets. Words don't matter, but actions do. Cramer said if Yellen really thinks there's too much speculation in the markets, she has a great tool in her arsenal -- raising the margin requirements. By increasing the cost of borrowing money from a broker, the Fed could easily tamp down speculation, Cramer continued. If Yellen is concerned now, where was she four to five months ago when speculative biotech and cloud computing stocks were a lot worse than they are today? Yellen's cautionary comments reminded Cramer of then-chair Alan Greenspan's infamous "irrational exuberance" comment in 1996. Sure, those comments did lower the markets for a few weeks, but then the markets rallied for another three years. Cramer said what the Fed says doesn't really matter, but what it does matters a great deal. Off the Charts In the "Off The Charts" segment, Cramer went head to head with colleague Tim Collins over the charts of Amazon.com and Netflix , two cult stocks that remain very highly valued. According to Collins, Amazon's daily chart shows the stock stuck in a channel after a big decline in April and May. However, over the past three days, Amazon is up over $30, above its resistance level, which may now act as a floor of support. The MACD momentum indicator is also signaling a bullish crossover, another positive sign. But turning to Amazon's weekly chart, Collins got a less-confident picture. He noted the stock's six-month pullback forms a flag when looking at its prior 23-month rally, which is bullish, but the MACD and relative strength indicators are not entirely convincing. He concluded the weekly chart was bullish until proven otherwise. Netflix was harder to decipher for Collins because its daily chart showed a bearish head-and-shoulders pattern but its weekly chart showed a bullish inverse-head-and-shoulders. He felt the stock could go either way, making a big swing in whichever direction it ends up choosing. Cramer told viewers that both stocks should be considered speculative given their high valuations. He felt Amazon was the better of the two but noted that neither offers the consistent, profitable growth that a blue-chip stock would offer. Executive Decision: Strauss Zelnick For his "Executive Decision" segment, Cramer sat down with Strauss Zelnick, chairman and CEO of Take-Two Interactive , the game-maker that's seen its stock rally nearly 30% since Cramer last checked in six months ago. Zelnick said Take-Two continues to execute on its strategy of meeting the consumer wherever he or she wants to play and remaining flexible with all of its game titles to make that happen. If the consumer is excited, "then we're excited," Zelnick continued. The fall season is shaping up to be a big one for Take-Two, said Zelnick. October is a big month for new releases as well as existing titles coming to new platforms. When asked about the company's cash position, Zelnick said it has enough cash to finance its organic growth as well as possibly grow through acquisition. The company is also exploring the possibility of returning extra cash to shareholders. Finally, when asked whether Take-Two would consider expanding its titles in non-traditional ways such as theme park attractions, Zelnick replied the company owns all its intellectual property and would certainly consider such a move, although it would likely not finance such an effort internally. Cramer called Take-Two a cheap stock with a strong upcoming release schedule. Lightning Round In the Lightning Round, Cramer was bullish on Bristol-Myers Squibb , Merck , LinnCo , Perrigo , Rite Aid , Enterprise Products Partners , Travelers Companies and Cisco Systems . Cramer was bearish on Akamai Technologies , Vivus , Lannett Company , Windstream , General Electric , Chubb and Alcatel-Lucent . Off the Tape In his "Off The Tape" segment, Cramer sat down with Miles Penn, co-founder of the startup, MTailor, which promises to deliver 10,000 variations of custom-fitted dress shirts with nothing more than your mobile phone. Penn said his goal was to provide well-fitting clothes without the hassle of shopping. Over a year later, with patented technology, MTailor launched and has proven to be 20% more accurate than visiting a tailor in person. When asked how the company is getting the word out, Penn said advertising on Facebook has been a big win so far. People are anxious to try out the company's innovative mobile application that one day could provide a lot more than just shirts from the comfort of your home. Cramer said while MTailor is only a startup, with just its two co-founders as employees, it's innovative ideas like these that become tomorrow's next hot IPO. 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, ScottRuttDC

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Jim Cramer’s ‘Mad Money’ Recap: An ‘F’ for Not Paying Attention

Tuesday, July 15th, 2014

Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener. NEW YORK (TheStreet) -- If this market was in grade school it would get an "F" for not paying attention, Jim Cramer said on Mad Money Monday as he opined on the idiocy of a market that is incorrectly valuing stocks every day. Cramer noted once again that Boeing , a stock he owns for his charitable trust, Action Alerts PLUS, is among the worst in the Dow Jones Industrial Average for the year. Yet, right on cue, the company's CEO announced at the Farnborough International Airshow today that things are great at Boeing and the company's only problem is meeting demand. Then there's URS Corp , a stock that's apparently not worth anything to the analysts who cover it but today was worth a full 12% more after the company received a tender offer. The trend continues with Citigroup , said Cramer, a stock that's perpetually hated, and with Facebook , another Action Alerts PLUS holding that seems to be up and down big every week on no news at all. Cramer called out the analyst who upgraded Apple today. He said this guy downgraded the Action Alerts PLUS name in February at $75.88 a share but now seems to like it over $96. Cramer said every one of these examples could've been easily spotted by individual investors with a little homework, which is why he always advocates picking your own stocks and not simply investing in an index fund. An Exciting Development Not everything in the market has become unpredictable, Cramer told viewers. There's one tried and true way to make money and that's with corporate breakups. That's why the news that Relational Investors, an activist firm, has taken an 8.5% stake in Manitowoc is so exciting. Cramer explained that Manitowoc is a well-run, 100-year-old company that got its start in shipbuilding and ice-packing, and now has evolved into a powerhouse that makes cranes and food service equipment. Manitowoc makes everything from tower cranes to boom trucks, Cramer noted, and that side of the business accounts for 60% of sales. Its food service business, the other 40%, makes ice machines and other equipment for restaurants. The problem is that cranes are cyclical, relying on a strong economy, while food service is secular and remains pretty steady. That means if you're an analyst on Wall Street, Manitowoc is confusing. You're not going to recommend it as a pure construction play, nor as a restaurant play. Cramer said valuing Manitowoc's crane business at nine times earnings gives it a value of $3.5 billion. The food service business fetches 12 times earnings and would fetch $4.25 billion. That's a 42% premium over current valuations, Cramer concluded. With activist investors in the mix, management just might listen and unlock that value. Credibility Scale When a company misses earnings by a mile, how can you tell whether the CEO's excuse is legitimate or ridiculous? Cramer introduced his "Mad Money Credibility Scale" to analyze four recent retail implosions. First up, The Container Store , which explained its poor results on a "retail funk" that's affecting all retailers. Cramer said on a scale of 1 to 10, he gives this excuse a 3 for believability. Next up was Tractor Supply , which once again blamed the weather for its second miss in a row. Cramer said this excuse gets an 8 on the scale because management confirmed that as the weather improved in the second half of the quarter so did sales. Third was Lumber Liquidators , whose drastic pre-announcement sent shares plunging 25%. The company blamed a weak macro economy and poor remodeling trends for its staggering losses. Cramer said this excuse receives a 2 on his scale. Finally, there was Family Dollar , which reported its third miss in a row. The company said that its low-income shoppers were still getting squeezed by high unemployment and reduced government benefits. Cramer said this excuse scores a 1 on his scale as it's clear those shoppers are just spending elsewhere. Following Nelson Peltz Never, ever piggyback your investments off of what an activist or celebrity investor is doing, Cramer reminded viewers. Unless of course, that investor is Nelson Peltz. Cramer said he never advocates trying to follow what big-time investors are doing because by the time their holdings are made public it's old news. Those same investors are under no obligation to update you on their intentions. But Cramer said Nelson Peltz has a stellar track record, which makes his interest in Bank of New York Mellon so intriguing. Following Peltz netted big gains when he took positions in State Street and Legg Mason , Cramer noted, as well as when he got involved with Mondelez and Pepsico . Cramer said Peltz will be speaking this Wednesday at the Delivering Alpha conference and will likely give more details on his interest in Bank of New York. Cramer thinks investors should get in ahead of those details. Lightning Round In the Lightning Round, Cramer was bullish on BioMarin and Apache . Cramer was bearish on Whole Foods Markets and Puma Biotechnology . No Huddle Offense In his "No Huddle Offense" segment, Cramer opined on the 7% move higher in Whiting Petroleum after the company put in a bid for Kodiak Oil & Gas . Cramer said he's been a fan of Whiting for quite some time, especially since the Bakken shale has now surpassed Alaska in oil production. He said Whiting was a likely takeover target, making the Kodiak deal perhaps a poison pill to help it stay independent. But even as a combined company, Cramer said a takeover of Whiting could still be possible. Given the company's stellar growth and earnings, shares could surge still 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, ScottRuttDC

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The Single Best ETF Strategy for Second Half of the Year

Monday, July 14th, 2014

NEW YORK (TheStreet) -- To me, it's all about income -- either current or future -- and the single best exchange-traded fund for this purpose is the State Street S&P Dividend ETF . It's a well-diversified portfolio of high-quality dividend paying stocks, many of whom raise their dividends consistently. Among the top holdings are PepsiCo , Coca Cola , AT&T , Chevron  and many other household names. If markets continue to rise without any meaningful correction (over 5% e.g.), the underlying stocks should do well. In the event of a pullback or even a prolonged period of underperformance, the dividends will soften the impact of the correction and will keep building for a future income stream. Now, of course, I'm not suggesting you put all your eggs in one basket, as it were. So before any new or increase allocations to SDY, you should have already prepared your portfolio by trimming bond funds to the minimum. As I've pointed out before, whether interest rates rise or not, bonds are not holding their value as a whole. >>Apple's Almost Back: A Chart You Should See >>Why JPMorgan Is Undervalued on Long-Term Earnings Growth Estimates Second, you may have positions in individual stocks that you feel are performers for the long haul, despite any dip which might occur tied to a pullback, correction or other. I'm not saying dump them, by any means, but check them again mid-year now that earnings seasons has pulled the curtain back. Make sure your assumptions about the fundamentals of those stocks still hold. Furthermore, you may have investments in ETFs that have served you well. Now is the time to make sure that the bulk of their holdings are held in stocks whose fundamentals you can identify. Characteristics to Seek OutYou want a combination of the following characteristics, but certainly all should be present in the single stocks you hold and the major holdings of ETFs in which you are invested: Strong balance sheets. I think Apple exhibits this characteristic very well. Visible and predictable earnings. One that I feel has proven itself in this particular regard is Verizon Communications . Above-category growth stocks. As Cognizant Tech Solutions , demonstrates, it's not always the best-known names that are in the lead of their sectors. Consistent and rising dividends. For me, Royal Dutch Shell is a classic example. As a side note, our company holds Royal Dutch Shell in our "Dividend Busters Program." Part of the secret to identifying these high-quality, low-volatility, solid dividend paying stocks is to enlarge your sphere to include international stocks that meet these criteria and are available in the U.S. as ADRs. Other internationally based companies that have exhibited respectable if not outstanding performance and are all held in our fund include Total , GlaxoSmithKline and Sanofi . When choosing ETFs, certainly any that holds a majority portion in these or similar stocks will provide you the balance of international exposure along with easy liquidity and solid performance. At the time of publication the author had no position in any of the stocks mentioned. Follow @Opursche // 0;if(!d.getElementById(id)){js=d.createElements);js.id=id;js.src="//platform.twitter.com/widgets.js";fjs.parentNode.insertBefore(js,fjs);}}(document,"script","twitter-wjs"); // ]]> This article represents the opinion of a contributor and not necessarily that of TheStreet or its editorial staff.

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Apple’s iWatch Rumored to Be Delayed as Stocks Head Into the Weekend

Friday, July 11th, 2014
It's been a rough week for stocks but all the major markets managed to eke out small gains as we head into the weekend.