Cramer's 'Mad Money' Recap: A Double Standard (Final)

Cramer talks about how he gets roundly criticized for his bullish calls while the bears are never held accountable for what they say.
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NEW YORK (

TheStreet

) -- "It's always easier to be bearish," Jim Cramer announced to the viewers of his

"Mad Money"

TV show Tuesday, as he took aim at the naysayers who never seem to be held accountable for their mistakes.

Cramer said the bears always sound smart on TV on the Internet, but the fact is they're losing investors money, and are accountable to no one.

Take

Apple

(AAPL) - Get Report

, a stock which Cramer owns for his charitable trust,

Action Alerts PLUS. When Apple introduce the iPad, Cramer said it was mocked endlessly. Yet today, the iPad is a runaway success, and could sell 40 million units next year, if Apple can only make them fast enough.

Then there was the iPhone "antennagate" reception issue. The bears proclaimed the iPhone 4 dead in the water, a sure bet for a recall. "Where are all those naysayers now?" asked Cramer. In reality, the iPhone's antenna was a non-issue, just as Cramer predicted.

When Cramer recommended

Verizon

(VZ) - Get Report

in the mid 20's, the bears scoffed that the balance sheet, and said the company's dividend was in trouble. However, Verizon has only been raising, not lowering, its dividend.

In the case of

IBM

(IBM) - Get Report

, the shorts pummeled the stock on a perceived "bad" quarter, yet today the stock shot through those pre-earnings level.

The list goes on, said Cramer, from the euro to real estate to gold. In every case, the bears cried foul, only to be proven dead wrong. In the case of

Chipotle Mexican Grill

(CMG) - Get Report

and

Netflix

(NFLX) - Get Report

, the bears have been relentless, yet these two stocks have been colossal winners.

"The bears answer to no one," said Cramer, "so let them mock and ridicule, but don't let them influence your investing decisions."

Pulling Away

In the "Off The Charts" segment, Cramer went head to head with colleague Tim Collins over the chart of

US Bancorp

(USB) - Get Report

, a bank stock that's beginning to chart its own course, away from the rest of the banking sector.

Collins compared a weekly chart of US Bancorp with that of the

KBW Banking Index

(I:BKX)

, and noticed that for six months, both the stock, and the index, have been trading in lock step, until two weeks ago when US Bancorp diverged and began powering higher.

Looking at the daily chart of US Bancorp, Collins noted that since August the stock has seen resistance at $23.65, but broke through that resistance, with both the relative strength index and the stock's volume confirming the move.

With US Bancorp having done virtually nothing in the past year, Collins expects the downside to be limited, but sees the potential upside of $26 to $27 a share.

Cramer agreed with Collins, saying that US Bancorp had a fabulous quarter, with improving credit quality and lower charge offs and non-performing loans. He said US Bancorp is pulling away from the pack, and deserves a higher stock price.

Right Track

Cramer once again recommended outdoor apparel maker

Columbia Sportswear

(COLM) - Get Report

, a stock he last recommended at the end of September. Shares of Columbia got hammered last week, down five points, after the company reported disappointing earnings, but Cramer said this the case of a broken stock, and not a broken company.

While Columbia reported in-line revenue numbers, it missed earnings estimates by 4 cents a share and forecast stronger sales but weaker earnings. Cramer said Columbia is doing everything right, investing in its brands, managing its inventory better and using its 49 U.S. outlet stores to promote its brands to a wider audience.

Cramer said the real driver for Columbia is its innovative new products, like its new "omni-heat" line of winter jackets that are 20% warmer than competing products. Cramer said Columbia is a terrific buy going into the holidays.

Trading at just 19 times earnings with a 13% growth rate, Cramer said Columbia is now reasonably priced after its haircut last week. He said the real sign of strength for the company was that it raised its dividend by 2 cents a share.

Coal Is King

"You don't have to like it, but coal is king," Cramer told viewers, as he threw in the proverbial towel on his love affair with natural gas. He explained that coal is the cheapest way to make electricity and steel, and in Asia, "they just can't get enough of the stuff."

Cramer recommended

Peabody Energy

(BTU) - Get Report

, which just reported a blowout quarter, with revenues up 12 cents a share year over year and earnings coming in 8 cents ahead of estimates.

According to Cramer, Peabody has all the right coal in all the right places, mainly in Australia, which has been feeding China's demand for more and more coal. Nearly 40% of the Australian coal Peabody produces is used for steel production, with the other 60% used for electricity. Cramer said Peabody is in a fabulous position to capitalize on higher prices in both markets.

On the company's conference call, management cited a "demand super-cycle," coming, as the Chinese bring new power and steel plants online in the coming years. The company also raised its dividend by a modest .6%.

Cramer said he hates the idea of endorsing such a dirty fuel, but in the case of coal, he can't fight the numbers.

Lightning Round

Cramer was bullish on

Polaris Industries

(PII) - Get Report

,

MIPS Technologies

(MIPS)

and

Chesapeake Energy

(CHK) - Get Report

.

He was bearish on

ConAgra Foods

(CAG) - Get Report

and

Range Resources

(RRC) - Get Report

.

Closing Comments

Cramer said that

F5 Networks

(FFIV) - Get Report

and

Broadcom

delivered blow-out numbers and could ignite the technology sector Wednesday.

--Written by Scott Rutt in Washington, D.C.

To contact the writer of this article, click here:

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.

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To watch replays of Cramer's video segments, visit the Mad Money page on CNBC

.

Want more Cramer? Check out Jim's rules and commandments for investing from his latest book by

clicking here

.

For more of Cramer's insights during the Lightning Round, clickhere

.

At the time of publication, Cramer was long Apple.

Jim Cramer, host of the CNBC television program "Mad Money," is a Markets Commentator for TheStreet.com, Inc., and CNBC, and a director and co-founder of TheStreet.com. All opinions expressed by Mr. Cramer on "Mad Money" are his own and do not reflect the opinions of TheStreet.com or its affiliates, or CNBC, NBC UNIVERSAL or their parent company or affiliates. Mr. Cramer's opinions are based upon information he considers to be reliable, but neither TheStreet.com, nor CNBC, nor either of their affiliates and/or subsidiaries warrant its completeness or accuracy, and it should not be relied upon as such. Mr. Cramer's statements are based on his opinions at the time statements are made, and are subject to change without notice. No part of Mr. Cramer's compensation from CNBC or TheStreet.com is related to the specific opinions expressed by him on "Mad Money."

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