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!

Jim Cramer's 'Mad Money' Recap: Next Week's Game Plan

Which are the ones falling behind? Cramer said it's clear that PetSmart (PETM) and Dick's Sporting Goods (DKS) have lost their way, as has Target (TGT), which recently booted its CEO as a result.

Cramer said investors need to do their homework before investing in retail. The exchange-traded funds may treat all retailers as replaceable commodities, but they're anything but.

Goodbye, CEO; Hello, Breakup

When a long-time CEO retires, there's always a chance for a change in strategy, Cramer told viewers. In the case of Danaher (DHR) that new strategy might include a breakup to unlock value.

Cramer has long sung the praises of corporate breakups. He said once a company reaches a certain size, it just cannot be effectiely managed or valued by the Wall Street analysts -- which is why splitting into manageable pieces is always met with higher share prices.

Danaher is a conglomerate now worth $54 billion, thanks to a 25-year history of smart acquisitions. After hundreds of these deals, shares of Danaher have risen 7,587% over those past 25 years.

But as the company grows, these deals "move the needle" less and less, Cramer said, which is why a split makes so much sense. It would allow the pieces to resume a strategy that has a long history of results.

Cramer said Danaher should split into four units: a water business, industrial technology, life sciences and testing and measurement. All of these parts total up to $90 a share, Cramer said, or 15% more than shares trade today. Give the parts the premium they deserve and that number could be as high as $100 a share, for a 27% premium.

Executive Decision: Stanley Crooke

For his "Executive Decision" segment, Cramer spoke with Dr. Stanley Crooke, chairman and CEO of Isis Pharmaceuticals (ISIS), a stock that's been cut in half in recent weeks despite the company's 32 drugs under development. Shares of Isis popped 11.5% today on positive data for one of those drugs.

Crooke said today's news centered around the company's anti-thrombosis drug, which was proven to be seven times more effective in a small number of patients. He said the drug could be used very broadly in a number of indications but there is still more work to be done to get the drug to approval.

2 of 3

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
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 17,083.80 -2.83 -0.02%
S&P 500 1,987.98 +0.97 0.05%
NASDAQ 4,472.1080 -1.5890 -0.04%

Brokerage Partners

Rates from Bankrate.com

  • 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