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
TheStreet Open House

Cramer's 'Mad Money' Recap: Don't Panic, Look for Discounted Stocks

Stock quotes in this article: HON, MMM, UTX, POST, BEAM, MHP, MCO, PSO, AAPL, WYNN, GS, JPM, PCS, S, CIM, NLY, ODP, HD, O, BRCD, VMED, VZ, DF

Lightning Round

P/> Here's what Cramer had to say about caller's stocks during the "Lightning Round":

MetroPCS Communications (PCS): "I think it's time to move on. I'd rather own some Sprint Nextel (S) bonds."

Chimera Investment (CIM): "I want you to own Annaly Capital (NLY). I feel much better about that."

Realty Income (O): "I think that's a great domestic call with great growth prospects."

Office Depot (ODP): "I think you need to stay away. It's not even a lottery ticket. Home Depot (HD) is the depot that you want."

Brocade Communications (BRCD): "I still don't like the stock, or the segment either."

Virgin Media (VMED): "Why do you need that craziness? I like Verizon (VZ) because I like to sleep at night."

Executive Decision

In the "Executive Decision" segment, Cramer sat down with Gregg Engles, chairman and CEO of Dean Foods (DF), one of the best-performing stocks in the Standard & Poor's 500 over the past month. Shares of Dean are up 9.3% since Cramer last recommended it last Monday.

Engles said all of the challenges facing his company over the past two years have finally reversed themselves, with milk prices now falling along with resin and fuel costs. He said Dean is also seeing top-line growth thanks to its expansion into plant-based products.

Engles pointed to Dean's Silk brand of soy and other plant-based products as being a real driver for the company. He said while regular milk is a commodity, soy milk is a value-added product that's lower in calories and healthier as well. Plant-based products have accounted for just 15% of profits for Dean just a few years ago, but in the company's most recent quarter they accounted for 31%.

When asked about the overall economic environment, Engles noted that during the recession many supermarkets heavily discounted gallons of milk to drive foot traffic, something that crimped demand. However, today, he noted, Dean is seeing robust demand at healthier margins.

Finally, when asked whether it makes sense to spin off the company's Dannon yogurt brand along with a few other products, Engles said his company does realize the value in separating its low-growth, low-margin business from its higher-growth, higher-margin businesses. He fell short of suggesting that Dean is actively looking into a breakup.

3 of 4

Select the service that is right for you!

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 16,795.49 -247.41 -1.45%
S&P 500 1,945.04 -27.25 -1.38%
NASDAQ 4,416.98 -76.41 -1.70%

Brokerage Partners

Rates from

  • 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