'RealMoney' Radio Recap: Rational Returns
Jim Cramer told listeners to his "RealMoney" radio show Friday this is the "best market we've had in six years." Don't be dissuaded by bears, who keep trying to poke holes in the market, he said. That the market is going up in a stair-step fashion is exactly what he wants to see.
The one thing that would make Cramer less bullish would be an increase in speculation. But, he's not seeing it.
A case in point is Qualcomm (QCOM), which Thursday announced a deal with Verizon (VZ) to deliver longer videos over cell phones. That kind of announcement would have spiked the stock in a more speculative environment, said Cramer. Instead, Qualcomm was down Friday afternoon from where it had been when the news was announced.
"If there isn't a lot of speculation, you should feel better, not worse, about the stock market," he said.
Cramer, UnstumpedRealMoney.com contributor, Dividend Stock Advisor author and Stocks Under $10 co-author Dave Peltier joined Cramer to talk about Thursday's "Stump Cramer" stocks. Peltier said RELM Wireless' (RWC) stock had tripled since July, and although it is not that expensive at 20 times earnings, the company has had no clear pattern growth for the last 10 years. Cramer said he is "not too crazy about that," and with the stock tripling, "I feel like we've missed it." Commenting on MTS Systems (MTSC), Peltier said that even though the company had a miss last week when it reported fourth quarter results and its stock dropped 20% in one day, the miss was due to supplier shipment delays. MTS sells testing and simulation products to companies like Boeing (BA), and he likes the stock, believing it will rebound due to the strong aerospace market. Cramer said he always recommends waiting one quarter after a miss before purchasing a stock, but he "like[s] who they sell into."
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV