This Day On The Street
Continue to site
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

Cramer's 'Mad Money' Recap: As China Goes...

McCormick is also an international story, said Wilson, with his company investing in emerging markets around the world to build its business. He said nearly one-third of all new products are also a result a new technology with improvements in both flavors and efficiencies.

When asked about the company's product strategy, Wilson said McCormick offers a broad mix of items from private label to branded items to gourmet products for every type of customer.

Cramer said McCormick is a great growth story and he continues to recommend owning it.

Merck on the Mend

For the next installment of his Big Pharma series, Cramer highlighted Merck (MRK - Get Report), an Action Alerts PLUS holding that has lagged the industry and is up only 6% so far this year.

Cramer said that while Merck trades at just 12 times earnings, compared to an industry average of 14 times earnings, the company is actually in excellent shape with a broad pipeline of new drugs and a 3.8% yield. While many Big Pharma names have suffered the wrath of the "patent cliff," Merck now has the least exposure to generic competition.

Among the many positives in Merck's favor is the company's 2009 acquisition of Schering-Plough and its growing animal health business, which racked up $3.4 billion in sales last year. Merck also has a strong diabetes franchise as well as a vaccine business worth $5.8 billion in sales.

Merck's strong pipeline of new drugs is also a plus, said Cramer. The company should have no fewer than five drugs ready for approval this year alone. He said that while Merck may not have many home runs in its portfolio, it's a solid base hitter that can deliver over and over again.

Cramer concluded by saying that Merck should easily be a $60 stock.

Lightning Round

In the Lightning Round, Cramer was bullish on Nike (NKE), Coach (COH), Sirius XM Radio (SIRI), Yahoo! (YHOO) and Enbridge Energy Partners (EEP).

Cramer was bearish on Johnson Controls (JCI).

Off the Charts

In the "Off The Charts" segment, Cramer went head to head with colleague Bob Lang over the outlook for the online travel sector, pitting the technicals against the fundamentals to see which travel stocks make the grade.

Cramer said (PCLN - Get Report) remains the "best of breed" player, and Lang's research agreed. Lang noted that after a giant move since January, shares have been consolidating but still holding above their uptrend line. The MACD momentum indicator is signaling a powerful buy signal, meaning this stock is poised for another move higher.

Lang saw similar patterns in Expedia (EXPE - Get Report), noting this stock has a solid floor of support at $60. The MACD is also signaling a buy signal and the Williams oscillator confirms strength in Expedia as well.

Then there's Orbitz (OWW), a stock that has tripled since its November lows on strong volume. The stock stalled in mid-March, but also seems poised to follow the group higher. Cramer said he's not a fan of Orbitz and would prefer Priceline or Expedia over this distant-third player.

Finally, Trip Advisor (TRIP - Get Report), the only company of the group that relies on advertising rather than booking fees. Cramer said while this stock has support at its 50-day moving average, he's not a fan given that advertising rates are on the decline.

No Huddle Offense

In his "No Huddle Offense" segment, Cramer opined on the continued collapse of J.C. Penney (JCP). He said investors need to steer clear of Penney because the retailer could indeed go away entirely, and owning it is simply not worth the risk.

That's good news for Macy's (M), said Cramer, as that chain will likely pick up most of Penney's business. He also likes Target (TGT) and TJX Stores (TJX), an Action Alerts PLUS name.

Cramer said Kohl's (KSS) seems to have lost its way and will not be a big gainer of customers fleeing Penney.

To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here.

To watch replays of Cramer's video segments, visit the Mad Money page on CNBC.

-- Written by Scott Rutt in Washington, D.C.

To email Scott about this article, click here: Scott Rutt

Follow Scott on Twitter @ScottRutt or get updates on Facebook, ScottRuttDC
At the time of publication, Cramer's Action Alerts PLUS had a position in AAPL, MRK, TJX and VALE.

Jim Cramer, host of the CNBC television program "Mad Money," is a Markets Commentator for, Inc., and CNBC, and a director and co-founder of All opinions expressed by Mr. Cramer on "Mad Money" are his own and do not reflect the opinions of or its affiliates, or CNBC, NBC Universal or their parent company or affiliates. Mr. Cramer's opinions are based upon information he considers to be reliable, but neither, nor CNBC, nor either of their affiliates and/or subsidiaries warrant its completeness or accuracy, and it should not be relied upon as such. Mr. Cramer's statements are based on his opinions at the time statements are made, and are subject to change without notice. No part of Mr. Cramer's compensation from CNBC or is related to the specific opinions expressed by him on "Mad Money."

None of the information contained in "Mad Money" constitutes a recommendation by Mr. Cramer, or CNBC that any particular security, portfolio of securities, transaction, or investment strategy is suitable for any specific person. You must make your own independent decisions regarding any security, portfolio of securities, transaction, or investment strategy mentioned on the program. Mr. Cramer's past results are not necessarily indicative of future performance. Neither Mr. Cramer, nor, nor CNBC guarantees any specific outcome or profit, and you should be aware of the real risk of loss in following any strategy or investments discussed on the program. The strategy or investments discussed may fluctuate in price or value and you may get back less than you invested. Before acting on any information contained in the program, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.

Some of the stocks mentioned by Mr. Cramer on "Mad Money" are held in Mr. Cramer's Action Alerts PLUS Portfolio. When that is the case, appropriate disclosure is made on the program and in the "Mad Money" recap available on The Action Alerts PLUS Portfolio contains all of Mr. Cramer's personal investments in publicly-traded equity securities only, and does not include any mutual fund holdings or other institutionally managed assets, private equity investments, or his holdings in, Inc. Since March 2005, the Action Alerts PLUS Portfolio has been held by a Trust, the realized profits from which have been pledged to charity. Mr. Cramer retains full investment discretion with respect to all securities contained in the Trust. Mr. Cramer is subject to certain trading restrictions, and must hold all securities in the Action Alerts PLUS Portfolio for at least one month, and is not permitted to buy or sell any security he has spoken about on television or on his radio program for five days following the broadcast.
2 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr 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

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

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
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
OWW $0.00 0.00%
EXPE $112.55 -1.37%
MCK $172.70 4.66%
MRK $54.09 -1.31%
PCLN $1,240.85 -0.97%


Chart of I:DJI
DOW 17,660.71 +9.45 0.05%
S&P 500 2,050.63 -0.49 -0.02%
NASDAQ 4,717.0940 -8.5450 -0.18%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs