This Day On The Street
Continue to site right-arrow
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
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

3 Buys And 2 Bearish Calls From Jim Cramer As Markets Keep Rising

Stocks in this article: BX GRPN JCP LVS

For the week ending March 14 2013, Jim Cramer covered 54 companies, while being bullish on 40 of them. The 74% bullishness reflects a similar market sentiment for the week. The S&P 500 index, as measured by the SPDR ETF (SPY) rose 0.25% and is up 9.42% for the year-to-date. [Related:  Jim Cramer is Bullish on Tech: 4 to Watch]

Some of the most notable calls are listed on the table below and were selected based on having an average trading volume of over 5M shares:

Screen shot 2013-03-20 at 11.13.16 AM

Bear Calls

Cramer made some negative calls that are worth investor caution. Groupon, Inc. (GRPN), whose shares are up 11% on the year and 107% from a November 2012 low is gaining buyers. An analyst at Legg Mason mentioned Groupon favorably. Groupon’s founder, Andrew Mason, was pushed out as CEO, and is also gone from the board. Investors are betting that Groupon will turn itself around. Investors should expect Groupon to first cut payroll, reduce costs, and to focus on profitable ventures.

In the retail space, J.C. Penny (JCP) was a sell. Cash flow is worsening: its lender, CIT Group, is adding a surcharge on short-term lending for JC Penny. Investments in shops and capital expenditure are hurting cash flow. If suppliers follow suit, the cash crush would exert negative pressure on the business. J.C. Penny shares bottomed at around $14 and are up 9% from a March 2013 low.

Bullish Calls

The resource sector is not performing well relative to the markets, but Cramer mentioned Valero (VLO) favorably. Wall Street Journal recently published a story focusing on the rising costs of using corn ethanol in fuel. The move would hurt refiners like Valero. In February, Wells Fargo was bullish on Valero, projecting shares would be worth between $54 – $56. Valero shares peaked in March at around $49.

Valero trades with a price of profit of 8.

Las Vegas Sands (LVS) was another favored play. In January 2013, revenue for casinos in the Las Vegas strip fell nearly 19% from the year before. Earlier in the month, the company admitted to breaking bribery laws. LVS closed at around $53.60 and has a forward P/E of 20.

Blackstone Group LP (BX) received a favorable call. The Private-Equity firm was accused of conspiring to lower prices on their targeted acquisitions. The firm wants to securitize REO-to-rental properties, a move that has never been done before. Its CEO noted that the company is the largest owner of individual houses in the United States. The company has a real estate portfolio that is $3 billion in size.

Blackstone surged to $20.89 and has a forward P/E (as reported by Kapitall’s snapshot tool) of 9.

Written by Chris Lau


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 17,356.87 +288.00 1.69%
S&P 500 2,012.89 +40.15 2.04%
NASDAQ 4,644.3120 +96.4780 2.12%

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