This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Cramer's 'Mad Money' Recap: Star Spangled Portfolio (Final)

Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener and watch Jim Cramer's "Mad Money" Post Game video exclusively on TheStreet.com.


NEW YORK (TheStreet) -- Old dogs may not be able to learn new tricks, but Jim Cramer told his "Mad Money" TV show viewers Tuesday that old companies sure can. That's why Cramer said it pays to own not just the hottest growth stocks, but also to invest in great American companies with a long history of reinventing themselves.

On a day when Apple (AAPL), a stock which Cramer owns for his charitable trust, Action Alerts PLUS, reported yet another blowout quarter, Cramer reiterated that Apple should be viewed as an investment and not a short-term trade. He said the company continues to fire on all cylinders and shares remain far too cheap.

But there are other non-Apple standouts in this market, Cramer reminded viewers, companies like 3M (MMM), AT&T (T), Honeywell (HON), Eaton (ETN) and IBM (IBM), another Action Alerts PLUS holding.

Cramer said all of these companies have posted strong earnings and offer solid dividend protection to boot. AT&T continues to push forward with the iPhone, while Eaton and Honeywell are making strides in energy efficiency. IBM just announced a meaningful stock repurchase program, said Cramer, while 3M has decades of dividend raises under its belt.

Looking for even more great names to invest in? Cramer also recommended United Technologies (UTX), DuPont (DD), PPG Industries (PPG) and General Electric (GE) as another group of notable mentions.

Cramer said of course the high growth names like Apple, along with Starbucks (SBUX) and Allergan (AGN) should also be in investors' portfolios, but not to the exclusion of these outstanding old-line companies.

Executive Decision

In the "Executive Decision" segment, Cramer sat down with Farooq Kathwari, chairman, president and CEO of Ethan Allen (ETH), a stock that's down 10% so far this year, despite the company reporting a 1-cent-a-share earnings beat on an 8% rise in revenue.

Kathwari said that the recession afforded Ethan Allen an excellent opportunity to reposition itself for growth and that's exactly what the company has been doing. He said every quarter earnings have been increasing faster than revenues, as the company levers itself into increased efficiency. Ethan Allen is also rewarding shareholders with a recent 29% boost in its dividend.

1 of 4

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • 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 Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,960.57 -123.23 -0.72%
S&P 500 1,978.34 -9.64 -0.48%
NASDAQ 4,449.5640 -22.5440 -0.50%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs