Cramer's 'Mad Money' Recap: A Safer Market Than You Think
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NEW YORK (TheStreet) -- "This market is safer than you think," an energetic Jim Cramer announced to "Mad Money" TV show viewers Wednesday.
That is, if you're investing in the right stocks in the right way.
Cramer responded to his critics who claim he's merely a stock picker who's leading uninformed investors to slaughter. Nothing could be further from the truth, he rebutted, saying the mantra of "Mad Money" has always been to invest in stocks, not trade them, selling into strength and buying more on the way down.
Lately, Cramer has preached the value of high-yielding domestic dividend stocks, noting that a diversified portfolio of high yielders is about as good as it gets in the current investing climate. But there's also another contingent of stocks, noted Cramer, one that he's been remiss in mentioning recently -- his "three horsemen of tech." These market generals include Apple (AAPL), a stock he owns for his charitable trust, Action Alerts PLUS, Google (GOOG) and Amazon.com (AMZN). Cramer said the markets have been obsessed with all of the losers in tech, mainly Facebook (FB), Groupon (GRPN) and Zynga (ZNGA), while his "generals" are out-innovating and outpacing the entire market. Cramer said Apple, Google and Amazon are used and loved by everyone, yet their stocks are still cheaper than Coca-Cola (KO) and Pepsico (PEP). These stocks have momentum and earnings power, he added, which is why they should be a part of every diversified portfolio.Executive Decision
In the "Executive Decision" segment, Cramer spoke with David Demers, founder and CEO of Westport Innovations (WPRT), a stock that's delivered a 213% gain since Cramer first got behind the company in January 2010. Demers responded to Cramer's criticism that the natural gas companies aren't moving fast enough to make a difference in America by saying the U.S. is on the verge of a revolution in transportation, and companies like Westport are moving "as fast as they can." He said that while the U.S. isn't investing in natural gas as heavily as the Chinese, there are still a lot of opportunities right here at home.Select the service that is right for you!
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