Stop Trading!
Jim Cramer's 'Stop Trading!': Buy Costco
TheStreet.com Staff
05/12/08 - 02:59 PM EDT
Buy Costco (COST - Cramer's Take - Stockpickr), Jim Cramer said on CNBC's "Stop Trading" segment Monday.
Cramer said that the retailer, along with VF Corp. (VFC - Cramer's Take - Stockpickr), is a leader in the sector. "I was too negative about all of retail last week," Cramer said. He said he also likes TJX (TJX - Cramer's Take - Stockpickr). "VF Corp is doing better than its cohort," he said.
The most important thing today is the bullish tape, Cramer said. He pointed out that even though MBIA (MBI - Cramer's Take - Stockpickr) has lost the capital it recently raised, it's up. "The tape is being colored by bulls," he said. FedEx (FDX - Cramer's Take - Stockpickr), up today after issuing bearish guidance, is another example, Cramer said.
Cramer said the tech sector is providing leadership. "Research In Motion (RIMM - Cramer's Take - Stockpickr) is great. Apple (AAPL - Cramer's Take - Stockpickr) is great," he said. He reminded viewers to own Apple shares until the company releases its 3-G phone. He also said that MasterCard (MA - Cramer's Take - Stockpickr) is showing strength in the financials sector.
As shares of Clear Channel (CCU - Cramer's Take - Stockpickr) ticked higher on a potential settlement of its buyout deal, Cramer said that another radio deal with Cumulus Media (CMLS - Cramer's Take - Stockpickr) didn't work out.
"This is remarkable action," Cramer said. He said that in spite of his objections, rallies like the one today do occur.
Jim Cramer writes about all the stock trades in his charitable trust for TheStreet.com in Action Alerts Plus. Recent stocks he's traded in this account include Schering-Plough(SPG - Cramer's Take - Stockpickr), Yamana Gold(AUY - Cramer's Take - Stockpickr) and Inverness Medical(IMA - Cramer's Take - Stockpickr).