But his favorite of the three is Qwest, he said. The stock is under $9 now, but it could be the first one to get to $12, Cramer said. It has pulled back enough that now it should be ready to run.
Once people buy, they shouldn't forget to sell any of these three when they "finish the race," that is, reach $12, Cramer said. Qwest, Brocade and Dynegy -- in that order, he advised.
The Aristocrats
Cramer said he calls stocks that have increased their dividend
consistently for the last five years "Aristocratic Stocks." He said he got this name from Stockpickr.com's Dividend Aristocrats porrtfolio. "Like hips, dividends don't lie," said Cramer, borrowing from Shakira's song. "Owning dividend-improved stocks pay you more and more money for no reason."
Even though dividends may not be as interesting as speculation, it is "money in your pocket" and an insulation against a weak economy, he said.
Cramer picked his top three Aristocrats from Stockpickr.com's portfolio: Walgreen (WAG Quote), Grainger (GWW Quote) and Automatic Data Processing (ADP Quote).
Of thethree, Cramer said his favorite was ADP. A transaction-processing company, ADP recently spun off its brokerage services division, which enabled the stock to achieve accelerated revenue growth, he said.
In addition to the "smart" spinoff, Cramer said ADP has "good numbers" and a "gigantic" buyback. He urged people to check out ADP and Stockpickr.com's Dividend Aristocrats portfolio.
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