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
TheStreet Open House

Jim Cramer's 'Mad Money' Recap: Buy, Buy, Buy on the Selloff

The Urge to Merge

With the urge to merge running rampant on Wall Street, Cramer said it's worth while to talk about a merger that failed to happen -- the merger of equals between ad giants Omnicom Group (OMC) and the privately held Publicis.

Cramer said despite working on a deal since last summer, these two advertising Golaiths failed to come to terms and canceled their plans to merge. That may be bad news for Omnicom, he added, but it's great news for Interpublic Group (IPG), the number four player in the ad space.

Cramer explained that in the increasingly competitive advertising arena, Omnicom and Publicis were desperate to merge and increase their scale. So if they can't buy each other, why not buy Interpublic -- which is not only a cash cow but small enough to easily acquire.

Cramer reminded viewers that he never recommends a stock on a takeover basis alone. Interpublic also has terrific fundamentals. The company has instituted a successful turnaround, has a 1.9% yield and a $300 million stock buyback program. Shares trade at a scant 16.5 times earnings, but Cramer said it's likely worth 20 times earnings in a takeover scenario.

Executive Decision: Bob Carrigan

For his "Executive Decision" segment, Cramer sat down with Bob Carrigan, president and CEO of Dun & Bradstreet (DNB), the business credit information provider that's bought back over 58% of its own shares in recent years.

Carrigan said D&B's business is the same as its always been: providing companies with accurate and insightful credit information. But the way it gets that information and the modern ways it provides it have changed quite a bit over the years.

Carrigan noted D&B now has a database of 235 million companies around the globe and gets information from over 30,000 different sources. The database is updated over five million times a day, giving his company substantial advantages over all their competitors, he added.

2 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link 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

Jim Cramer's protégé, 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
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, 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
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
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 17,719.00 +33.27 0.19%
S&P 500 2,052.75 +4.03 0.20%
NASDAQ 4,701.8670 +26.1550 0.56%

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