James J. Cramer Chats on Yahoo!, April 11

James J. Cramer chatted on Yahoo! on Tuesday, Apr. 11, at 5 p.m. EDT. As with all chats, this transcript is unedited.

ChatYahoo_Lisa: Jim Cramer is here! Welcome!

Creme_Delacramer: Hello everybody--tough tape--but opportunities abound!!

ggecko0 asks: Do you think the b2b stocks were a fad?

Creme_Delacramer: I think some of them are a fad and will head much lower but that some of them will recover and become very big stocks, but mostly the ones with infrastructure business.

eepwlg asks: Drug stocks were going nowhere for quite a while. In the past month they are showing some life. What do you like here for the next year, or longer, MRK,PFE, SGP? Thanks.

Creme_Delacramer: As you may have known for two years I hated these stocks, just hated them. But now that the economy seems to be slowing and now that these companies have gotten cheap, I am a buyer. We own Pfizer, SGP, MRK and AHP and the latter is my favorite stock.

tjschill asks: Any of the Red Hots look like a buy at these levels?

Creme_Delacramer: These stocks are still in bad hands. As I said endlessly in my series about taking money off the table before this washout began, these stocks are all in bad hands, they are in the hands of leveraged players and are therefore dangerous and should be sold into strength, and I am sticking by that. I am putting that money to work in the drugs and foods and cyclicals which got too cheap.

GHuhn88397 asks: JJC, at what point to you buy Mister Softee?

Creme_Delacramer: George, I am always long Mister Softee and I find myself buying more at the $83-82 level. I have not bought any on this downturn because I think the government really has the upper hand.

cork1972 asks: How about Gary Smith predicting 2500?

Creme_Delacramer: Don't know; you have to ask Gary.

ggecko0 asks: CMGI, a screaming buy here?

Creme_Delacramer: I want to hear from them on CMGI day. I was hoping to get long ahead of it but this kind of stock is so out of favor that I decided not to.

tommy_andries asks: Any Yahoo! stock holders in here?

Creme_Delacramer: I remain long Yahoo. I am taking a lot of heat for my "love" of Yahoo, but it is a core holding of mine and I remain long it and believe that the earnings will be explosive. It is not the type of stock that is in favor here, but it could come back in a snap.

Cherbwx asks: Jim, will Digital Island EVER come back?

Creme_Delacramer: Oh my, have they taken that to the woodshed. This afternoon I penned a piece saying on any strength I would sell that one out. And I did. I can't believe it. It can't even lift into a Goldman Sachs push. This stock is the definition of heavy.

kevins1031 asks: Jim- Sorry to bring up a sore subject, but are you still bullish on Veritas??

Creme_Delacramer: No as I said after that disastrous addition to the S&P I could not take the pain any more. I am long Seagate though. which is a better way to play it.

poisoned_mind99 asks: Dell has shown strength lately - is it a buy?

Creme_Delacramer: I think so. We are long Compaq and sold some dell today to finance more of that.

tjschill asks: Conventional wisdom is to sell tech in May, after the H&Q conference, is the unwinding starting a little early, with heavy selling into any rally?

Creme_Delacramer: I think all of that seasonal stuff is history frankly. I think the market h as gotten very tiered with the new stuff selling off and the old stuff putting in a bottom.

donearleedwards asks: Jim, What are your top three stock picks for the rest of 2000?

Creme_Delacramer: Nokia, Intel, and American Home Products.

cork1972 asks: Outlook for EMC?

Creme_Delacramer: I am long EMC and I think it is doing quite well. It is an example of what I call "seasoned" tech, a storage play without the risk of massive insider selling by venture capitalists, a la ISLD!!

sctank asks: JJC - are your kids fans of Barney - why the purple shirts on Fox? What do you think of VRSN?

Creme_Delacramer: I sold my versign after battling all of the arbitrage pressure. I have been wearing purple shirts not because of barney--my kids can't stand him--but because I have a purple shirt I keep cleaned in the office and I wear jeans and gap shirts in the office and I throw the shirt on before going uptown on the show, I won't wear it this week though!

BillyMumphrey asks: Would do you think of last years IPO stars like Juniper, Sycamore, Foundry and Akamai? Are any of them cheap enough for you to buy?

Creme_Delacramer: This is where the real carnage is and I don't think it is over. I want to say that they have come down enough for the long termers to get started but they still have downside.

nwcapitalist asks: Thanks for your increased posts during the "hot and heavy" battles of last week. Any thoughts on KLIC?

Creme_Delacramer: II think that KLIC's estimates are going to be beaten. I think that group remains hot and seasoned so I don't mind that stock.

BillyMumphrey asks: Citi or Chase?

Creme_Delacramer: I like CIti, In fact we sold chase because of the arbitrage on FLeming --the buy they made today.

vanelm asks: Jim, Love TSCM. What about Gemstar?

Creme_Delacramer: They have taken that one to the cleaners haven't they? That is another stock that went on an acquisition spree and now the targets of that spree are unloading. I don't trust the stock any more.

TABliesner asks: What sectors do you like best for the year?

Creme_Delacramer: Semis, wireless, drugs, banks and foods.

ForrstGump asks: Jim What about Nose Tackle, er I mean Nortel?

Creme_Delacramer: It remains one of my faves. I would include it in that list of top stocks--along with cisco yhoo and aol.

MThompLB asks: Jim, what do you think about priceline.com?

Creme_Delacramer: I think they have a great business model but the stock has become too volatile for me.

new_school_rules asks: Do you think personalized service (live brokers) will make a comeback?

Creme_Delacramer: I think there will always be people who favor high service and these brokers will be there to provide it.

garyhoch asks: Jimbo, your view on NITE? I'm longggggg.

Creme_Delacramer: I think that it is a very inexpensive stock but that in many ways it is levered to the newer stocks and the newer investors and those folks and stocks are hurting right now.

cork1972 asks: View on CSCO upcoming earnings?

Creme_Delacramer: I think they will be strong and I remain long csco.

Jerry_Sprinkler asks: I have about a total of $5000 to invest, what are your suggestions for a portfolio?

Creme_Delacramer: Jerry, I don't know you or your risks and worries so I am reluctant to do that. I think that you would do best with a high quality mutual fund with a good track record.

ricci_brien asks: Jim, how do you stand on Ericy?

Creme_Delacramer: I think ERICY is better than MOT but not as good as nokia.

sirwanksalot2 asks: Will ORCL split again this year?

Creme_Delacramer: If the stock goes up--I am long orcl and I want it to split if the stock goes up but remember splits may be exciting and generate interest but have nothing to do with the underlying fundamentals.

get_rich_n_retire_very_early asks: Do you like NTAP (Network Appliance)?

Creme_Delacramer: What do you want to retire for?? I think that Network Appliance is another one of those stocks that has gotten too risky to own for now.

nwcapitalist asks: Jim, do you think that we will see the return of the LBO?

Creme_Delacramer: Definitely. If many of these cyclicals and retailers stay down here the managers are just going to scoop them up and keep the cash flow for themselves.

itchyjoe asks: Thoughts on Inktomi---been killed this week!

Creme_Delacramer: Slaughtered! I think that there are many companies that now want to be in their business and right now you have a fear factor about that but that it will be a long term winner, one of the few in the segment.

Glubman asks: What are your top three semiconductor stocks?

Creme_Delacramer: Intel, TXN and LSI.

kuangq1 asks: JJC, What do you see SUNW for next two days?

Creme_Delacramer: I am long it so I guess the answer is I like it!

zubatch asks: Any IPO's you're anticipating this year?

Creme_Delacramer: Not on the horizon no.

traderdow asks: How about GE? Keeps doing well?

Creme_Delacramer: They are about to report and I think it will be terrific and then they split in May so there is a lot to like.

jdnite_2000 asks: When are the online brokers going to come back in favor?

Creme_Delacramer: Only after you see consolidation--there are too many of them. We need to see big mergers.

Qosmic asks: What do you think about Lucent (LU)?

Creme_Delacramer: We own NT and CSCO and I think that's enough for that sector.

Neuman_AE asks: What charting tools do you like and where can I locate them?

Creme_Delacramer: I am not much of a chartist. I use Bridge which I like very much.

lowerider1340 asks: Creme Delacramer is DT a good stock, as I recall you mentioned some time ago and would like to hear your comments.

Creme_Delacramer: Duetsche Telecom is okay but I prefer ATT which I am long

elsidster asks: Cramer, do you still like Janus Global Tech, or should I be looking in BRK:B?

Creme_Delacramer: Too different animals there. I think Global tech is great for the long term. That's the type of thing you must buy and put away. I don't like Berkshire but it got too cheap and is bouncing.

zubatch asks: Sony, buy before Playstaion2 is released?

Creme_Delacramer: Sony is a large company that is not levered to any one product.

kgrummitt2 asks: Thoughts on the price of oil?

Creme_Delacramer: Trades around $25 for the next few months.

ricci_brien asks: Jim, What is your position on Palm ?

Creme_Delacramer: Can't be there. We bought it for a trade into the initiation but we don't want to be there now because COMS is the one that is the real play on PALM--it is the parent that owns the lions share.

elsidster asks: Cramer, do you have any non-tech core faves for a five year hold?

Creme_Delacramer: Sure, I like Citi, and AHP and Mellon and Walmart.

archerg asks: Any opinion on AMAT?

Creme_Delacramer: I think this is the best of the group.

linenoise100 asks: Jim, CIEN... = Yes/No/Run Away?

Creme_Delacramer: Again, we own csco and we own NT and we own JDSU and that is enough in that space. We see better opportunities elsewhere.

zubatch asks: Phillip Morris, good buy or will the legal action pummel it?

Creme_Delacramer: I am not a big fan but it looks like it won't be bankrupted by Florida so maybe it could trade up a tad. I am not as negative as I was on it, but I hate all of the pending litigation.

Glubman asks: Jim, who is the "Cisco" of wireless infrastructure? Is there one?

Creme_Delacramer: That's a great question and I would say that one has not emerged yet but when we find it it will be like csco!!

traderdow asks: How long can we afford to be long ATT as it has been in a trading rut for two yrs?

Creme_Delacramer: I know it is not a near-term hottie, but when the arbitrage pressure comes off of it for all of the things it bought it could go up.

wwwsuntzu asks: Jim, chance for a Phillies-Yankees world series?

Creme_Delacramer: Can't rule it out. They have looked worse. I am still hoping for a Laker 6er championship-- stranger things have happened.

Garrett_Ott asks: Jim, what are your favorites in the foods industry?

Creme_Delacramer: Best Foods is my favorite by far.

sixthscents asks: Any thoughts on oil drillers?

Creme_Delacramer: I keep wanting to buy them but I think the best are the big ones like SLOB and HAL.

ricci_brien asks: Jim, your thoughts on the big three auto makers?

Creme_Delacramer: Here is a group that was so out of favor that it got ridiculously cheap. I would emphasize that F and GM are the best and we are long the latter.

sixthscents asks: What % cash are you holding?

Creme_Delacramer: About 40%

traderdow asks: Do you like Quest?

Creme_Delacramer: We own ATT and we think that is enough in the telco space

ggecko0 asks: Cramer, markets look bad. should I be looking for a day job again?

Creme_Delacramer: Can you sing??

jjs30_2000 asks: Jim, ICGE has been killed, a buy down here?

Creme_Delacramer: I thought it was but safeguard scientifics, which is a big backer of ICGE doesn't seem to think so which worries me.

elsidster asks: Cramer, what do you think of the strategy of selling a stock if it falls 10 percent below purchase price?

Creme_Delacramer: I think it is important to establish discipline for trades and investments. That is a good rule for trades but if you are an investor you should want to buy more of the stock because it just got cheaper.

archerg asks: Any non-US markets that look good for next 6 months?

Creme_Delacramer: We stick to our knitting here, which is largely US based markets.

bio_reiker asks: Jim, are we reversing trends, Old versus New Economy, or is this a normal Nasdaq correction??

Creme_Delacramer: I think it is the latter. I think that old tech still acts great. It is the unseasoned stuff with all of the insider selling that scares me.

linenoise100 asks: JJC, your opinion on the lighter then last week market volume? Nobody placing any big bets here, or did a lot of people go bust?

Creme_Delacramer: No, I think a lot of people are confused. They want to see a real washout but they didn't get one. Which is why we are still in this terrible tape.

jjs30_2000 asks: Jim, YHOO, EBAY and PCLN -buys at these levels?

Creme_Delacramer: We own Yahoo and that is our exposure. We think the other two are long term winners though. You have to understand that, as I said on my site, we took a lot off the table and we are not running in to replace it yet./ We have a very neutral stance.

nan6599 asks: Proctor and Gamble, your thoughts.

Creme_Delacramer: Great acting stock, I thought we could wait until the quarter to buy it but it won't come in any more. We are long Clorox.

northlogger asks: Aren't we overdue for a small rally somewhere in here?

Creme_Delacramer: Sure, but there is a lot of damage being done to the psyche of the buyers here, particularly in Net tech.

ru_th1 asks: Do you follow and DSL equipment companies, CMTN and Interspeed in particular, and what are your thoughts on future growth?

Creme_Delacramer: I wouldn't own anything in that group. I would sell them.

h2o2srf asks: Thoughts on quicksilver?

Creme_Delacramer: Sell it.

captain_mjk asks: Opinion on NOVL?

Creme_Delacramer: Had a big move, the move seems over.

knq2000 asks: Buy JDSU here?

Creme_Delacramer: I am long it so I guess I would say why not. But remember this is another stock that is in terrible terrible hands, those who are highly margined and therefore it gets creamed every time the market is bad.

penq45 asks: What saves the Nasdaq?

Creme_Delacramer: When the underwriters stop printing new stock and the companies in the NAZZ merge and eliminate a lot of the players. There are too many players.

Daffeduck asks: Why margin if you can buy options?

Creme_Delacramer: Because options are very expensive on those stocks that are margined to the hilt. The premiums are extreme.

RACINGCHAMPION asks: PETS.COM, your thoughts please.

Creme_Delacramer: I don't shop there, wouldn't own it.

nan6599 asks: Are daytraders as dangerous and I think they are?

Creme_Delacramer: Depends on if they are any good or not.

ggecko0 asks: Has icge stock seen it's best days already?

Creme_Delacramer: That's what the safeguard scientifics folk seem to be saying to the press and I will take their word for it.

JBRRD_2000 asks: Do you invest in any biotech co's?

Creme_Delacramer: Sure, and I like a lot of them but I need to seem ore speculation wrenched out of them before they will be anything but a trade.

ricci_brien asks: Jim, your thoughts on American Express?

Creme_Delacramer: We remain long it and think it is a good stock to own in this environment.

lavalee2000 asks: Do you think we'll see more mutual funds blow up in the coming weeks?

Creme_Delacramer: No.

mligator asks: Great call on the drugs! Can they rally back to old highs?

Creme_Delacramer: I don't know about old highs but I do think these work well here Mike.

nwcapitalist asks: Is INSP "unseasoned tech?"

Creme_Delacramer: Unfortunately yes.

Garrett_Ott asks: Jim, what will change your neutral stance and bring in some of that 40% cash?

Creme_Delacramer: We need to see an end to the excessive selling by the insiders. that has to happen before we will commit large amounts of capital. That can only happen if the prices go lower because right here they are sellers.

xentric1 asks: Do you feel value stocks will resurface since the dow is making moves?

Creme_Delacramer: Value stocks with EARNINGS momentum will. Those without it won't.

MThompLB asks: Do you like Star Telecom? I hate it.

Creme_Delacramer: Nope.

turk84 asks: Your opinion on LSI?

Creme_Delacramer: We are long it, it is one of our favorite semiconductor stocks.

bjcogswell asks:Any opinion on LLTC now that it's in the S&P?

Creme_Delacramer: Doesn't matter that it is in the S&P. Good stock, we like others more.

knq2000 asks: Are you chipper about CNXT?

Creme_Delacramer: Not here, we like others more. We own a boatload of semis so I don't need another.

zubatch asks: Ever thought of managing a mutual fund?

Creme_Delacramer: Nah, I like running a private fund. It suits me fine.

linenoise100 asks: JJC, how is Matt "new tech" Jacobs holding up?

Creme_Delacramer: He is on the road right now visiting companies, doing fine.

pjnap asks: Do you like MEDI?

Creme_Delacramer: Other fish are better tasting, better frying.

Mike_Foland asks: Are you in the Gary B. camp now?

Creme_Delacramer: I don't know what camp that is.

nan6599 asks: Merck?

Creme_Delacramer: Long it.

Simba_The_Lion_King_9898 asks: What's the deal with the news about disney and hong kong we already knew they were going for the park.

Creme_Delacramer: Doesn't matter to the stock, which is really a play on ABC right now.

ccarlson66 asks: Any opinions on Bud?

Creme_Delacramer: Perfect stock for this environment.

josephlytch asks: Jim, what do you think about Wal Mart?

Creme_Delacramer: We are long it and like it.

Glubman asks: Jim are the IC semis BRCM, PMCS, and CNXT too risky to own? long PMCS.

Creme_Delacramer: We own some PMCS too, what I am saying is that at one time we would have wanted to own them all but we don't want to do that anymore.

mligator asks: James, are you still avoiding the retailers?

Creme_Delacramer: Other than Walmart, yes.

donearleedwards asks: Jim, are ISP's done for?

Creme_Delacramer: We are long AOL.

psk_2213 asks: What about UPS? Please.

Creme_Delacramer: We traded some recently. High quality company, conservative net play.

pyrodude2001 asks: Do you think its still good to have the jd edwards stock?

Creme_Delacramer: Never thought it was good.

ricci_brien asks: Jim, are there any dot coms worth purchasing now ?

Creme_Delacramer: Yhoo and AOL.

hanleyman2 asks: Where's the Russell 2000 short term?

Creme_Delacramer: I think probably okay.

DD839 asks: What do you think about Rambus?

Creme_Delacramer: Nope, would rather be in the ones I mentioned up top

protradeTS asks: Loral (LOR) is in the proverbial crapper. Any suggestions here?

Creme_Delacramer: Don't want to own it.

papakoop asks: Why is DELL a better buy than Compaq?

Creme_Delacramer: I didn't say that.

Cherbwx asks: Jim, how do you feel about Titan Corp.?

Creme_Delacramer: Sold to you!

sixthscents asks: What is your thought on nvls?

Creme_Delacramer: Great group, like the stock.

Garrett_Ott asks: Jim, why does an increasing supply of new companies not bring stability to the NASDAQ?

Creme_Delacramer: Supply overwhelms demand, demand is key for rising prices.

RACINGCHAMPION asks: Altavista is going public, do you think it can succeed?

Creme_Delacramer: Maybe, have to learn more about it.

mrs_fancypants asks: Is 724 Solutions too volatile to get in on?

Creme_Delacramer: We are long it. It is a real tough trade.

ricci_brien asks: Jim, does your wife have any words of wisdom for you in this market?

Creme_Delacramer: Yes, she says that some of the old line stocks are way too cheap and should be bought.

ChatYahoo_Lisa: And how is she feeling?

Creme_Delacramer: She gets her cast taken off Friday-because we are going away and she wants to swim. She is doing fine thanks!!!

nan6599 asks: Been holding Disney for long time...should I keep it?

Creme_Delacramer: Sure, it is a high quality stock.

Glubman asks: What is your favorite book?

Creme_Delacramer: My favorite book is probably War and Peace.

ChatYahoo_Lisa: Jim, thanks for joining us today!

Creme_Delacramer: Thanks to all!!