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: Investing for the Future

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

NEW YORK ( TheStreet) -- Stocks are all about the future, not the present, Jim Cramer reminded his "Mad Money" TV show viewers Thursday as he hosted the show live from the business school at Villanova University in Philadelphia.

Cramer said that while there are many things to worry about in today's market, young investors should be thinking about the markets of 2020.

Cramer's "buy and homework" portfolio for 2020 needs to focus on long-term macro trends such as curing diseases, something at which U.S. biotech stocks thrive. He suggested picking up Gilead Sciences (GILD) or Celgene (CELG) to fill the first slot in the portfolio.

Cramer said social media and cloud computing will likely be strong in 2020, which is why owning Google (GOOG) or Facebook (FB) should be next on the list.

There's also America's race towards energy independence, something that Cummins (CMI) or Enbridge (ENB) can do for investor portfolios along with Noble Energy (NBL) or EOG Resources (EOG).

America is also great at manufacturing, said Cramer, which is why the 2020 portfolio also should have Caterpillar (CAT), Boeing (BA) or Honeywell (HON). He also advised investors have a little gold in their portfolios for diversification.

Finally, Cramer said his 2020 portfolio should include something international, such as the iShares MSCI Mexico (EWW) ETF. For speculation, he suggested US Airways (LCC) on the heels of its merger. Last but not least, something local such as mortgage insurer Radian (RDN).

Cramer said younger investors shouldn't wait, because even a few dollars a month into a portfolio like this one will have bountiful yields in the future.

Xbox Marks the Spot

Even the best analysts sometimes get it wrong, Cramer told his audience as he dove into the most recent earnings of Microsoft (MSFT - Get Report), a stock that received no fewer than three downgrades right before it reported earnings on April 11, downgrades that proved to be the bottom for the stock now up 11% from those levels.

Cramer said Microsoft was left for dead by the analysts, who had tied the company solely to the decline in PC sales, forgetting about its many other businesses. Nearly all of the negatives had already been baked into the stock, Cramer continued, but none of the positives.
1 of 3

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
BWLD $135.38 -1.12%
MSFT $49.78 -1.64%
AAPL $95.18 1.64%
FB $117.43 -0.96%
GOOG $692.36 -0.84%


Chart of I:DJI
DOW 17,750.91 -140.25 -0.78%
S&P 500 2,063.37 -18.06 -0.87%
NASDAQ 4,763.2240 -54.37 -1.13%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs