This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Cramer's 'Mad Money' Recap: The Seven Samurai


Kubota (KUB - Get Report), an agricultural- and construction-equipment manufacturer, is Cramer's fifth samurai and one he introduced back in December .

Kubota is a play on the weakness of the yen, since Japanese goods get cheaper in the U.S. as the value of the yen falls, Cramer said.

Cramer doesn't believe analysts have yet fully accounted for the weak yen in their earnings estimates, which means the analysts will either have to raise their estimates and upgrade the stock, or Kubota is likely to report an upside earnings surprise.

After completing a "huge restructuring," said Cramer, Kubota is now focused on its core businesses. Kubota dominates the agricultural-machinery market in Japan.

On the downside, Kubota may experience a tough market in the medium-sized tractor segment where there is a lot of competition, said Cramer. But it should be able to balance out any weakness with lower prices.

Another risk would be if the yen recovers, said Cramer, making Kubota's tractors more expensive in the U.S. But he doesn't see that happening, at least not anytime soon, he said.

Right now, Cramer advised his viewers to wait until the yen starts weakening again to buy this stock, otherwise, he said, American competitors like Caterpillar (CAT) would crush them.

Matsushita Electric Industrial

Another member of Cramer's seven samurai top picks in Japan is Matsushita Electric Industrial (MC), a stock he introduced as a samurai pick in January .

Japan is turning around. Big-screen plasma TVs are hot, and Matsushita is making itself into a flat-screen powerhouse, he said. In fact, Cramer said he'd rather own Matsushita at $22 than Corning (GLW) at $24.

3 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
KUB $0.00 0.00%
KNBWY $13.60 0.00%
HMC $36.36 0.00%
MC $29.54 0.00%
MTU $7.21 0.00%


DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs