'Fast Money' Recap: Lost on Lehman

Dylan Ratigan hosted CNBC's "Fast Money" Wednesday night. He kicked the show off with a discussion about Lehman Brothers(LEH Quote - Cramer on LEH - Stock Picks). Karen Finerman said the most surprising thing about the conference call from Lehman toady was that the company gave the market no clarity. She said the company gave out no details on its real estate portfolio. "Lehman has no plan, and it can't raise funds," added Jeff Macke.

Guy Adami explained that Lehman is trading on fundamentals and that's why it goes lower. Pete Najarian told viewers to take a look at Goldman Sachs(GS Quote - Cramer on GS - Stock Picks), because everyone on the Street is cutting estimates. He feels the stock could be in trouble here ahead of earnings next Tuesday.

Next, Ratigan asked the traders for their thoughts on Washington Mutual(WM Quote - Cramer on WM - Stock Picks). Finerman explained that WaMu's debt is trading for 50 cents on the dollar, and that tells you there's real fear in the market about this company.

Ratigan moved the conversation into the energy sector. Adami pointed out that Baker Hughes(BHI Quote - Cramer on BHI - Stock Picks) is now trading at 9 times forward earnings and trades near a 52-week low. He also likes Schlumberger(SLB Quote - Cramer on SLB - Stock Picks) which he mentioned is trading at trough valuations. "I think you will wish you owned these stocks come December," he said.

Adami mentioned that FedEx(FDX Quote - Cramer on FDX - Stock Picks) raised its first-quarter guidance but said he wouldn't buy the stock here. Najarian told viewers to look at the rails if they want to play transportation. He said UBS upgraded Burlington Northern(BNI Quote - Cramer on BNI - Stock Picks) and Norfolk Southern(NSC Quote - Cramer on NSC - Stock Picks) today.

Meanwhile, in the Lab

Ratigan switched gears and moved the discussion to the biotechnology sector. Najarian said it's very odd that ImClone Systems(IMCL Quote - Cramer on IMCL - Stock Picks) wouldn't disclose who offered it $70 a share to take over the company. Adami said Celgene(CELG Quote - Cramer on CELG - Stock Picks) is cheap at these levels. Finerman mentioned that she is long Genentech (DNA Quote - Cramer on DNA - Stock Picks). Najarian said he noticed heavy call options trading on Genentech today.

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