This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
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: Day of Atonement

Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener.






NEW YORK ( TheStreet) -- You better believe you'll make some mistakes in the market, Jim Cramer told "Mad Money" viewers Wednesday as he kicked off his yearly "Day of Atonement" show to review his biggest mistakes over the past year.

Cramer said investors need to learn from their mistakes, which begins by first acknowledging what they were.

There were a lot of things going wrong with the markets this year, Cramer noted. Everything from turmoil in Europe to a slowing China to Washington gridlock and a Federal Reserve that couldn't seem to do anything right to jump-start the U.S. economy.

Yet, despite these many negatives, the stock market never quit, which is why Cramer continued all year long to recommend a diversified portfolio of high-yielding dividend stocks with a little gold for good measure.

In the end, Cramer sees the glass as half-full. Europe, he said, will eventually fix its problems and China's economy will eventually regain its momentum. With the Fed keeping bond rates low, dividend stocks remain the only game in town, which is why Cramer said he comes to work every morning.

Dog Days

Cramer's first lesson to investors? Every dog has its day. That was surely the case with First Solar (FSLR), a company he first advised selling at $138 a share and reiterated selling in the $60s, $50s, $40s, $30s and again in the $20s as the stock continued to decline.

So why then did Cramer not declare victory and move on? Why did he make one final sell recommendation at just $13 a share? Cramer said he simply got greedy and complacent, and the dog finally rose up and bit him. Shortly after his sell recommendation, First Solar caught a big break in the way of stiffer U.S. tariffs, sending its shares higher.

Cramer also explained how he gave up on Darden Restaurants (DRI) on Sept. 6, after the company pre-announced yet another earnings disappointment. He said that he had waited for ages for the company to turn itself around but it never did. So in a fit of non-discipline, he told viewers to swap into Yum Brands (YUM) instead.

1 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

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
Stocks Under $10

Jim Cramer's protégé, 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
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, 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
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

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

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
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 17,353.95 +158.53 0.92%
S&P 500 0.00 -2.75 -0.14%
NASDAQ 4,620.8430 +54.7050 1.20%

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