NEW YORK (TheStreet) -- TheStreet's Jim Cramer, co-manager of the Action Alerts PLUS portfolio, took a look at shares of Potash
(POT), which were downgraded to hold from buy at J.P. Morgan.
On CNBC's "Cramer's Stop Trading" segment, Cramer acknowledged that the analyst did not lower his price target on shares of Potash, but suggested that this year's "bountiful harvest" would be a negative.
Prices of corn, wheat and soy are all "getting killed," while other commodities like natural gas are at six-month lows. Many also believe that gas prices have already peaked for this summer, he said.
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Cramer suggested investors avoid Potash and Mosaic
at current levels, as input costs for crops continue to drop.
On a side note, he also mentioned that he likes Rite-Aid
and Bob Evans Farms
, the latter of which is "dramatically undervalued."
Cramer also acknowledged General Mills'
"terrific dividend" and strong cash flow, while pointing out how well the stock bounced back following its analyst meeting.
-- Written by Bret Kenwell in Petoskey, Mich.
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