Stop Trading!
Jim Cramer's Stop Trading! Buy Costco
09/05/07 - 02:52 PM EDT
Buy Costco (COST - Cramer's Take - Stockpickr), Jim Cramer said Wednesday on CNBC's "Stop Trading!" segment. Cramer said investors shouldn't be discouraged by soft same-store sales numbers out early Wednesday, which sent the retailer's stock down 4% in afternoon trading. Cramer said the company is a great merchandiser -- so sometimes its bets work and sometimes they don't. But every Costco miss "has been a great opportunity," Cramer said, for investors to buy the stock on the cheap. Cramer also shrugged off comments from Starbucks (SBUX - Cramer's Take - Stockpickr) suggesting that less-affluent customers have been pushed out of the stores by falling house prices and declining home-equity borrowing. Cramer said he questions how much influence those factors really exert on coffee sales, even if a cup at Starbucks does "cost $17 or something." Cramer said the selloff in Coach (COH - Cramer's Take - Stockpickr) has been "overdone." Cramer continues to like Google (GOOG - Cramer's Take - Stockpickr) and called Apple's (AAPL - Cramer's Take - Stockpickr) wireless plans "the elephant in the room."
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