NEW YORK ( TheStreet) -- Jim Cramer fills his blog on RealMoney every day with his up-to-the-minute reactions to what's happening in the market and his legendary ahead-of-the-crowd ideas. This week he blogged on:
- why shares of PepsiCo look sweet right now;
- two important breakouts; and
- why some wishy-washy analysts got Apple's earnings wrong.
Click here for information on RealMoney, where you can see all the blogs, including Jim Cramer's -- and reader comments -- in real time.
A Good Moment to Grab PepsiPosted at 1:16 p.m. EDT on Thursday, April 26 Has PepsiCo (PEP - Get Report) bottomed? I think you can make a strong case that it has. Every single line item, from North American soda to Latin American snacks, seems to have turned up. I am a bit blown away at how much stronger some of these numbers were vs. what the Street had been expecting. CEO Indra Nooyi took some really hard medicine last quarter with a big restructuring, as well as a dramatic increase in spend in order to support brands. Both strategies worked. > > Bull or Bear? Vote in Our Poll This is an important inflection moment for PepsiCo, because there is a real negative bias against the company due to several quarters of disappointment. I do not think the analysts will budge on the name until they see several good quarters, and I don't know if you can wait for that turn. When you spend more and get this kind of immediate payback, you can see a clear runway back to stronger growth. Remember, Pepsico has much more potential for international growth than does Coca-Cola (KO) simply because the latter gets 80% of its revenue overseas and is pretty much everywhere, whereas PEP has lots of the world to which it can reach out. That's the good news. The bad news: Coke's doing extraordinarily well and hitting on all cylinders. To me, it is worth betting with Nooyi here, especially as she has fallen out of favor with the Street. That's the real opportunity, because when they switch back on her, the stock will be in the $70s. You need to get ahead of that. It's worth doing, especially given that the stock's not even up. That's wrong. This is a good moment to get long PepsiCo before everyone else does.
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