"Nabors will make a killing once these rigs are contracted out," he said.
Cramer also likes Nabors for its valuation, noting that the company trades at just 9.1 times its earnings, which makes it the cheapest in the group. Given a more suitable valuation, Cramer said Nabors could see $48 a share. According to Cramer, Nabors is good enough to unseat Transocean (RIG Quote) as his favorite oil and gas driller.A Healthy Outlook
Cramer welcomed David Snow, Chairman and CEO of Medco Health Solutions (MHS Quote) for an update on the company's outlook. The stock is down 11% since Cramer's last recommendation in September. Snow said that his company is coming off of a phenomenal sales year. He said the company sold over $5 billion of new business and sees over $90 billion of branded drugs going off patent in the coming years. The company also raised its guidance by 5% on last conference call. When asked about recent changes to Medicare's Part B program, Snow responded by saying that Medco will not be adversely affected by the changes. He also noted the company's stock buyback program has $2 billion of shares left to buy and the company is actively buying shares at these low levels. Cramer called Snow a winner and said recent downgrades of Medco Health were just uncalled for.Sudden Death
Cramer was bullish on Tidewater (TDW Quote) and Frontline (FRO Quote). He was bearish on SCP Pool (POOL Quote) and Dryships (DRYS Quote).
Lightning Round
In the Lightning Round, Cramer was bullish on Pepsico (PEP Quote), Coca-Cola (KO Quote), General Mills (GIS Quote), Kellogg (K Quote), HJ Heinz (HNZ Quote), Consolidated Edison (ED Quote), Verizon (VZ Quote), Gushan Energy (GU Quote), Intuitive Surgical (ISRG Quote), AstraZeneca (AZN Quote), Hudson City Bancorp (HCBK Quote), JPMorgan Chase (JPM Quote), Goldman Sachs (GS Quote), Sirius Satellite Radio (SIRI Quote), CSX Corp (CSX Quote) and Triple-S Management (GTS Quote). Cramer was bearish on Cal-Maine Foods (CALM Quote), Time Warner (TWX Quote), Harley Davidson (HOG Quote), Zimmer Holdings (ZMH Quote), Stryker (SYK Quote), Rite Aid (RAD Quote), Capital One Financial (COF Quote), Onyx Pharmaceuticals (ONXX Quote), YRC Worldwide (YRCW Quote), Ford Motor (F Quote) and Genesis Lease (GLS Quote). Want more Cramer? Check out Jim's rules and commandments for investing by clicking here. For more of Cramer's insights during the Lightning Round, click here.- Loading Comments...
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| Dow Jones | S&P 500 | NASDAQ | 10-Year Note | |
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