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

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

Appetite for Restaurant Stocks?

There are two kinds of investors buying into the restaurant stocks, Cramer told viewers, those looking for yield and those looking for for growth.

That explains how a stock like McDonald's (MCD) could post a 2.5% decline in global same-store sales and not have its shares fall off a cliff, Cramer said. McDonald's has a 3.5% yield.

But when it comes to growth, customers are increasingly choosing healthy and organic options, which explains why the best same-store sales comes from Chipotle Mexican Grill (CMG), a chain that is practically waging war on everything McDonald's sells.

Other growth in the group is coming from anything Mexican, Cramer continued, as evidenced by Fiesta Restaurant Group (FRGI), El Pollo Loco (LOCO) and the Mexican offerings from Jack in the Box (JACK), all of which also offer fresh and organic options when compared to the flailing Taco Bell, part of Yum! Brands (YUM).

Both of these investment themes are working, Cramer concluded. But make no mistake, they're working for completely different reasons.

Chart Week Finale

For the finale of "Chart Week," Cramer sat down with colleague Carolyn Boroden, the "Fibonacci Queen," to discuss the concepts of symmetry and measured moves using several companies' weekly stock charts.

Boroden explained that when she looks at a chart she'll often find the same size price movements over and over again, called symmetry. Add that to moves that happen over the same duration and you have measured moves.

That's why the weekly chart of Celgene (CELG) shows the same $20 decline in 2009 that it does now, and why Boroden thinks the stock will now hit $90 a share.

Boroden was also bullish on Amgen (AMGN), which has seen several declines equal in price and time since 2007. The stock's most recent decline could see a snap back to $134 a share, Boroden said.

Boroden also noted similar moves in stocks such as Exxon Mobil (XOM), Schlumberger (SLB) and General Mills (GIS). In each case, the stock repeats the same pattern over and over again.

Boroden concluded with a Cramer fave, Buffalo Wild Wings (BWLD), which has currently seen a decline that matches its prior moves. Boroden said if shares hold at these levels, she'd be a buyer.

2 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
DXCM $61.98 0.00%
SSTK $28.67 0.00%
AAPL $94.02 0.00%
FB $104.07 0.00%
GOOG $683.57 0.00%


Chart of I:DJI
DOW 16,204.97 -211.61 -1.29%
S&P 500 1,880.05 -35.40 -1.85%
NASDAQ 4,363.1440 -146.4150 -3.25%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs