360 Degrees of Contributor Picks
10/10/08 - 03:00 PM EDT
RealMoney Staff
We asked our contributors a simple question: What stocks do you like right now? Their answers offer a range of investment strategies, from absolute safety to more speculative plays. We're presenting them to RealMoney subscribers, hoping they can act as a rudder in these tempestuous seas.
TheStreet.com has always believed that offering a wide variety of opinions and viewpoints -- rather than a monolithic "house view" -- helps readers make better-informed investment decisions. In that spirit, we bring you "360 Degrees," a feature that takes advantage of our varied stable of RealMoney contributors, who offer analysis of stocks and the markets from all angles.Dick Arms
Bank on Banking Stocks From a technical standpoint, it is a question of finding the least ugly stocks. In that context, I continue to like what I am seeing in the banking stocks. When we turn higher -- as I am confident we soon will -- they look as though they should lead the way. Among these, the best appearing Money Center bank is JPMorgan (JPM Quote - Cramer on JPM - Stock Picks). I also like SunTrust Banks (STI Quote - Cramer on STI - Stock Picks). No positions
Christopher Atayan
Ride the Roller Coaster Cedar Fair (FUN Quote - Cramer on FUN - Stock Picks), which operates amusement parks, got slammed again yesterday, and I stepped in and bought some. This is a company with a dominant franchise in the markets it serves; it's well run and seasonal. Right now the company is doing very little business. I have had some precedent buying into this business under bad conditions. I purchased my original position in the days after Sept. 11, 2001, after the units sold off on terrorism fears. My logic was that by the following spring, things would blow over. I think the current environment provides a similar scenario. Things look bad right now. But by spring the situation should emerge, and parents still have to entertain their kids. I realize buying anything in this environment entails significant risk. However, I have a long enough time horizon to let the almost 14% distribution work in my favor. Long FUN
Dan Dicker
Two for the Dividend Raising cash in duress has been the theme of the last 1,500 Dow points that have been lost. Consequently, there are names of huge industrials that are paying super dividends that should be safe at levels not seen in more than 10 years. Here are two I'm buying for the dividend. Du Pont (DD Quote - Cramer on DD - Stock Picks): Huge cash position, fabulous balance sheet -- this staid chemical company now sports a dividend return close to 5%. 3M (MMM Quote - Cramer on MMM - Stock Picks): Same story, Charlie. While the market cratered, this one was a shelter in the storm with its non-cyclical sectoring and huge cash flow. That all went by the wayside with the current "I've got a margin call, get me out" market, moving from the low $70s to the low $50s in two weeks. I'm taking some in for the kids. Long DD, MMM
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