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
EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stock Under $10 that he thinks could potentially double or triple in the next 6 to 12-months. See what he's trading today with a 14-day FREE pass.

Jim Cramer: Don't Let Them Be Misunderstood

Stocks in this article: HARDPZAAPLFB

NEW YORK (Real Money) -- So let's see, Domino's (DPZ) and Harman (HAR) are now dead stocks? The fact that they opened up and then fell flat is the kiss of death, too, as if they are somehow software-as-a-service stocks or 3D printers or biotechs?

Last night I interviewed Patrick Doyle of Domino's and Dinesh Paliwal from Harman and I have to tell you that I think the action in their stocks, which was full of the sound and fury, actually signified nothing.

This wasn't the first time that Domino's has reversed like that in the 70-point run since I met Patrick Doyle, one of my bankable 21 from Get Rich Carefully. In fact, this stock has had some major problems getting by earnings days in part because Doyle is so candid about his business. Yesterday, he dropped a bomb about raw costs, particularly cheese, which has gotten a little out of control. But he has a largely franchise model and that price falls to the franchisees for the most part -- they do have some company-owned stores that get hit -- and otherwise the growth here was superb and the cash generation better than ever.

I know this tape has created so much confusion with its interaction with the bond market. I think this stock reversed in part because interest rates reversed and headed lower. Plus, when it comes to commodities, what comes up can come down. I simply don't believe the 25% move higher in dairy in the last quarter is sustainable, while I do believe the mid-single-digit comps here and the high-single-digit comps overseas are.

Harman's tougher. The action in the stock is mystifying. It opens at $114, a gap up of about five points, then cascades 12-straight points down, an hour before the conference call begins. Again, all that I can find that disturbs the stock is the bond market, as there was nothing substantive impacting Harman in that period. No earnings notes. No new stories.

Then the conference call begins, and the stock works its way back to where it is, slightly in the black from the day before after the call. Finally, it rolls over to close down a couple in that last-minute ugliness.

Select the service that is right for you!

COMPARE ALL SERVICES
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

Markets

DOW 18,088.05 +57.84 0.32%
S&P 500 2,089.61 +7.73 0.37%
NASDAQ 4,796.5270 +23.0550 0.48%

Our Tweets

Brokerage Partners

Top Rated Stocks Top Rated Funds Top Rated ETFs