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: Be an Informed Skeptic

According to Garner's analysis, long-term Treasures have a floor of support at the $114.59 level and major support at $112.40. Thus, she would be a buyer of bonds for a trade on any weakness. The relative strength indicator, or RSI, is also nearing an oversold condition, further bolstering Garner's views. With the ceiling of resistance at $120, Garner felt the ETF could see $127 a share.

Cramer noted the big money has been betting against Treasuries in anticipation of an upcoming Fed move, but that thesis was foiled by worries over Cyprus, which pushed up bond prices as investors fled to safety.

Cramer said he still would not be an investor of bonds because high-yielding stocks are far safer than low-yielding bonds.

Rental-Car Favorites

Continuing with his this week's series on oligopolies, Cramer honed in on the rental car industry, which is currently controlled by Hertz (HTZ), Avis Budget Group (CAR) and the privately held Enterprise.

Cramer noted that just a decade ago there were nine major rental car players, ensuring customer choices and low rates. Today, there are only three major players and those three control an astonishing 94% of the U.S. rental car market. So strong are these remaining players than when Hertz announced its acquisition of Dollar Thrifty last year, its stock shot up 11% on the news, while Avis, which should've been hurt by the news, rallied 4%.

Given the pickup in travel and the shortage of vehicles from superstorm Sandy last year, Cramer said both Avis and Hertz have done well, with Avis shares up 38% for the year while Hertz is up 29%. That said, Cramer picked Hertz as his favorite going forward, given that the stock has held up exceptionally well during two recent secondary offerings.

Hertz currently trades at 11.2 times earnings, while Avis is slightly higher at 12 times, said Cramer. With Hertz' historical levels, he said the stock could have 35% more upside given how powerful the Thrifty acquisition will be for the company.

Lightning Round

In the Lightning Round, Cramer was bullish on Cypress Semiconductor (CY), Stewart Information Services (STC), BlackRock (BLK) and Tyson Foods (TSN).

2 of 3

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 17,168.00 -111.74 -0.65%
S&P 500 1,993.86 -16.54 -0.82%
NASDAQ 4,518.6570 -61.1320 -1.33%

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