Travel Deals Galore
In the "Executive Decision" segment, Cramer sat down with Chris Loughlin, CEO of Travelzoo (TZOO), which is down 22% from its January highs, despite the company's sky high growth rate.
Loughlin said that Travelzoo has been around since 1998 and now employs 250 travel experts that find deals for 22 million Travelzoo subscribers.
For instance, Loughlin noted that today the site featured airfare from Washington, DC to London on British Airways for just $179 one way. He said another popular deal on the West Coast netting the company $100,000 in revenue in just a few hours.Loughlin explained that Travelzoo is focusing more and more on local deals, which has allowed the company to deliver consistent earnings with accelerating revenues. Cramer said that with hot IPOs like Groupon catching the attention of Wall Street, companies like Travelzoo, which have been providing similar services for a lot longer, can only become more valuable.
Lightning RoundCramer was bullish on Lululemon Athletica (LULU), Citigroup (C) and Acme Packet (APKT). He was bearish on Netflix (NFLX).
Closing CommentsIn his "No Huddle Offense" segment, Cramer outlined a pairs trade for the energy market. Cramer said he would short ExxonMobil (XOM) and go long Southwestern Energy (SWN). Cramer explained the spread between the price of oil and natural gas at 25:1 cannot be sustained forever. He said oil prices are likely to fall, which would be bad news for Exxon, and natural gas prices are likely to rise, which would be great news for Southwestern. Plus, Southwestern is also a ripe takeover target, while Exxon is lumbering giant with little production growth. Cramer said Exxon is already up 17% on the year, and oil can't head much higher, while Southwestern shares are only up 4%, and natural gas can only head higher from here. --Written by Scott Rutt in Washington, D.C. To contact the writer of this article, click here: Scott Rutt. To follow the writer on Twitter, go to http://twitter.com/scottrutt. To submit a news tip, send an email to: firstname.lastname@example.org. To watch replays of Cramer's video segments, visit the Mad Money page on CNBC. Want more Cramer? Check out Jim's rules and commandments for investing from his latest book by clicking here. For more of Cramer's insights during the Lightning Round, click here.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV