Cramer encouraged low-risk investors to look at Con Ed and Southern and to consider buying them over government-issued Treasury bonds.
People should think about getting into these stocks instead because investors tend to pay more taxes on bond income than on dividends, he said. Not only are the after-tax yields offered by Con Ed and Southern better than the income from bonds, but both companies also have growth, Cramer said.
In addition, the bond will never increase its coupon rate, whereas it's possible that the stocks will go up.
Game Plan: Listen and Learn
In his game plan, Cramer warned viewers that next week is going to be difficult to make money because of all the earnings reports that are set to come out. Therefore, instead of acting, he advised people to listen next week. For Monday, Cramer told market players that the key quarter to look out for will be that of Texas Instruments (TXN Quote). This will be the "crystal ball into the world of technology." A good quarter should turn around the gloom in tech, but that scenario is unlikely, he said. On Tuesday, listen to what Coach (COH Quote) has to say, because it should guide viewers about to what to do with other high-end, luxury stocks, Cramer said.- Loading Comments...
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| Dow Jones | S&P 500 | NASDAQ | 10-Year Note | |
|---|---|---|---|---|
| 10,270.47 | 1,093.48 | 2,167.88 | 34.29 |
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