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Cramer's 'Mad Money' Recap: Double Game Plan

TheStreet.com Staff

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"There's so much on our plate next week ... we need a double game plan," Jim Cramer told viewers of his "Mad Money" TV show Friday.

There are several names that could move higher on strong news next week and some names that should be avoided.

First, Cramer said, take a look at Brocade (BRCD Quote). The software company is set to host an analyst meeting on March 29, during which Cramer expects Brocade will raise its estimates. After the analyst meeting the stock should propel higher, said Cramer; therefore, he advised buying some before Thursday's meeting.

Usually Cramer doesn't recommend Cisco's (CSCO Quote) competitors, but there is speculation here that Cisco could buy Brocade. He suggested people check out the portfolio on Stockpickr.com called Who Will Cisco Buy Next?.

The only tech stocks Cramer likes as investments are Apple (AAPL Quote) and Hewlett-Packard (HPQ Quote), the latter of which he owns for his Action Alerts PLUS charitable trust. But he feels Brocade is a good trade and a stock worth playing in this "hideous" tech sector.

In addition, Cramer said Phillips-Van Heusen (PVH Quote), CarMax (KMX Quote), Accenture (ACN Quote) and DSW (DSW Quote) are all reporting next week and he expects strong earnings from all of them.

His stock pick of the week on earnings, however, was Movado (MOV Quote). He told market players to get in on Wednesday before it reports on Thursday, as he expects a "substantial upside surprise" will deliver an uptick in the stock price.

A Tale of Two IPOs

In the second part of his game plan, Cramer named two companies that are going public next week. First, there is Photowatt, which will trade under the symbol PHWT and which Cramer recommended viewers stay away from.

"We have had way too many solar stocks come public and there's not enough demand, even with the hype that surrounds solar," Cramer said. "Avoid it at any price."

If people want a solar play he suggested they buy First Solar (FSLR Quote), the best of breed play in the industry.

The second company planning to come public next week is eTelecare, which will trade under the symbol ETEL, Cramer said. This is an outsourcing company, not based in India, but in the Philippines, "the next great outsourcing center," he said.

Market players expect the company to open at $12.50 to $14.50, but Cramer said he'd pay up to $15 for it. However he urged viewers to "please buy it carefully."

Freeport's Mights

Freeport-McMoRan (FCX Quote) is a stock that manages to "hit all the bases" and there are many "screaming" reasons to buy it, Cramer said.

This "enormous" producer of minerals recently merged with Phelps Dodge and is now a "happy oligopoly," he said. Although the deal should never have been allowed to happen, it did and now the company has a corner on copper, Cramer said.

Not only is Freeport a "terrific hedge against inflation," it is also in "tremendous demand," he added. Today it priced a secondary offering of 41 million shares and at the end of the day the stock was up $1. People should like the stocks the crowds like because they're the ones that tend to go up, Cramer said.

Meanwhile, analyst estimates on Freeport are too low. But Cramer believes the company will "blow away" the numbers. Moreover, people who think copper is no longer in demand are wrong, he said, because copper is all about the rest of the world. While 10 years ago the U.S. used 30% of the world's copper and China used 10%, now those numbers have flipped, Cramer explained.

This is a $62 stock that is headed for $100, he said.

Mad Mail

In the show's "Mad Mail" segment, when a longtime holder of Altria (MO Quote) (a stock Cramer owns for Action Alerts PLUS) asked for a way to minimize the downside risk on Kraft Foods (KFT Quote) after it spins off, Cramer said he has been recommending people buy Altria's "when issued" shares.

However, "Kraft will be added to the S&P 500 so there's a very good chance it won't go down at all," Cramer continued.

He told another mailer to stick with Dean Foods (DF Quote), which he believes will rise again after getting hit.

Lightning Round

Cramer was bullish on Cleveland-Cliffs (CLF Quote), Vodafone (VOD Quote), Gilead Sciences (GILD Quote), Celgene (CELG Quote), Genzyme (GENZ Quote), Infosys Technologies (INFY Quote), Accenture (ACN Quote), Six Flags (SIX Quote), Sun Microsystems (SUNW Quote), Indevus Pharmaceuticals (IDEV Quote), Apple (AAPL Quote) and Amgen (AMGN Quote).

Cramer was bearish on Boston Scientific (BSX Quote), Baidu.com (BIDU Quote), Pozen (POZN Quote), Nokia (NOK Quote) and Motorola (MOT Quote).

For more of Cramer's insights during the most recent Lightning Round, click here.

Want more Cramer? Check out Jim's rules and commandments for investing from his popular book by clicking here.