Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener.
NEW YORK (
) -- Special situations will dominate next week's trading, Jim Cramer told
viewers Friday as he laid out his game plan. Cramer said next week may be the week Europe gets its act together, but don't count on it.
That's why on Monday Cramer will be awaiting the U.S. Supreme Court's decision on Obamacare. He said if the law is struck down, large employers including
will be buys.
But if the law is upheld, look for gains in
Also on Monday is an investor day at
. With so many candy bars being sold near gas stations, Cramer said he has to wonder if that spare change from the pump will be headed towards more sweets.
Tuesday brings earnings from
, a stock Cramer continues to praise, along with an analyst day from
, a stock that stopped the last tech rally dead in its tracks.
On Wednesday, homebuilder
reports, an excellent barometer for the industry, said Cramer. Also reporting,
, a stock which Cramer owns for his charitable trust,
Action Alerts PLUS. Cramer remained bullish on both food stocks.
, another stock that will benefit from a repeal of Obamacare, will be reporting earnings.
Then on Thursday, it's battleground day, said Cramer.
Research in Motion
will all be reporting. Cramer said that Nike is a high-quality stock that may be trading at a discount, but investors should be careful with Tibco. He is bullish on Family Dollar.
Finally, on Friday, Cramer said that
, one of the worst homebuilders, will be reporting. He suggested taking gains in Lennar ahead of KB's report on Friday.
Bullish on Burger Chain
There's a fight going on over at
Jack In The Box
, Cramer told viewers, and the analysts are losing. That's why Cramer said he's gone bullish on the burger chain that also includes the Qdoba chain of Mexican restaurants.
Cramer explained that Wall Street analysts have been very negative on the turnaround happening at Jack In The Box, which is why the Bank of America/Merrill Lynch upgrade Friday from underperform directly to "buy, buy, buy" was so important. He said that in the firm's prior research, the analyst hinted that he was losing conviction in his sell rating because he raised his price target yet remained bearish on the stock. But now with one analyst in the buy camp, more will follow.
Jack In The Box is a terrific turnaround story, said Cramer, as the company is refranchising its company-owned stores to franchisees. A full 73% of stores are now franchised, up from just 25%, meaning the company now has more stable cash flow and increased visibility in their earnings.
The company also blew away earnings when it last reported, delivering a 16-cent-a-share earnings beat, thanks in part to strength in its Qdoba chain. With shares trading at 17 times earnings with a 12% growth rate, Cramer said he'd be a buyer of Jack In The Box on any weakness.
Providing an Antidote
With all of the bellyaching over at
Procter & Gamble
, you would think the entire consumer packaged good sector is fighting for its life. But that's not the case at rival
Church & Dwight
, said Cramer. The maker of Arm & Hammer, OxyClean and Trojan condoms is taking share and growing like crazy.
Cramer said that Church & Dwight has become the antidote to P&G, a North American-centric company that's committed to delivering for its shareholders. The company has a 1.8% dividend yield and a long history of under-promising and over-delivering.
So how does Church & Dwight do it? By combining both value and premium brands under one roof, then using them all to out-innovate the competition while preserving terrific gross margins.
With Church & Dwight delivering 8.4% organic sales growth, Cramer said this is one stock that should be in investors' portfolios.
Here's what Cramer had to say about callers' stocks during the "Lightning Round":
: "I like Hatteras but I'll give you
, which is better-run."
United States Oil Fund
: "I don't want you in USO. Go get
: "It has no growth. I want you in
Pengrowth Energy Trust
: "Too levered to the price of oil. I'll send you to
: "That's too speculative for this guy. I don't want to touch it."
: "I'd rather be in
: "I want to wait and see the quarter. They may guide down, which will be a better time to buy."
Health Management Associates
: "I don't like the hospital stocks."
: "I feel like taking a little profit and letting the rest run."
Wall of Shame
"Never underestimate the power of management," Cramer reminded viewers, as he inducted Procter & Gamble CEO Bob McDonald to the top spot on his "Wall of Shame" list of the worst corporate CEOs.
After taking the reins at P&G in 2009, share have risen a paltry 16%, noted Cramer, while the
Standard & Poor's 500
has gained 45% and rivals like
are up 42%. Making matters worse, P&G has cut guidance not once, but twice so far this year as it attempts to slash $10 billion in costs.
Cramer said any company that is forced to cut guidance twice clearly has no handle on what's happening with its business. Any company that needs to cut $10 billion is throwing up all sorts of warnings signs.
While all packaged goods manufacturers have seen their brands come under fire from cheaper alternatives, others have been able to react to these changes in consumer preferences. Not P&G. In fact, smaller companies are running rings around it, noted Cramer, and it continues to lose market share in over half of its segments.
"Welcome to the Wall of Shame," Cramer concluded, as he pleaded for McDonald to "do the right thing" and resign from his post.
No Huddle Offense
In his "No Huddle Offense" segment, Cramer once again preached the benefits of stocks with accidentally high dividend yields. He said a 4% yield seems to be the magic number that has stopped a plethora of stocks from free-falling.
have repeatedly held up at a 3.9% dividend yield, said Cramer, even with recent worries of a global economic meltdown.
, have been propped up by their raised dividends.
has only fallen 5% for the year thanks to its yield, while rival
is down considerably more.
A dividend yielding 4% seems to be a universal floor, Cramer concluded. It's too common to be a coincidence.
--Written by Scott Rutt in Washington, D.C.
To contact the writer of this article, click here:
To follow the writer on Twitter, go to
To submit a news tip, send an email to:
To watch replays of Cramer's video segments, visit the Mad Money page on CNBC
At the time of publication, Cramer's Action Alerts PLUS had a position in CLX and GIS.
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."
None of the information contained in "Mad Money" constitutes a recommendation by Mr. Cramer, TheStreet.com or CNBC that any particular security, portfolio of securities, transaction, or investment strategy is suitable for any specific person. You must make your own independent decisions regarding any security, portfolio of securities, transaction, or investment strategy mentioned on the program. Mr. Cramer's past results are not necessarily indicative of future performance. Neither Mr. Cramer, nor TheStreet.com, nor CNBC guarantees any specific outcome or profit, and you should be aware of the real risk of loss in following any strategy or investments discussed on the program. The strategy or investments discussed may fluctuate in price or value and you may get back less than you invested. Before acting on any information contained in the program, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.
Some of the stocks mentioned by Mr. Cramer on "Mad Money" are held in Mr. Cramer's Action Alerts PLUS Portfolio. When that is the case, appropriate disclosure is made on the program and in the "Mad Money" recap available on TheStreet.com. The Action Alerts PLUS Portfolio contains all of Mr. Cramer's personal investments in publicly-traded equity securities only, and does not include any mutual fund holdings or other institutionally managed assets, private equity investments, or his holdings in TheStreet.com, Inc. Since March 2005, the Action Alerts PLUS Portfolio has been held by a Trust, the realized profits from which have been pledged to charity. Mr. Cramer retains full investment discretion with respect to all securities contained in the Trust. Mr. Cramer is subject to certain trading restrictions, and must hold all securities in the Action Alerts PLUS Portfolio for at least one month, and is not permitted to buy or sell any security he has spoken about on television or on his radio program for five days following the broadcast.