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Cramer's 'Mad Money' Recap: Next Week's Game Plan (Final)

Cramer says Obama's comments on Monday will set the tone for the rest of the week.
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NEW YORK (

TheStreet

) -- "Pay attention to what President Obama says on Monday," Jim Cramer told the viewers of his

"Mad Money"

TV show Friday.

He said the president's interview at noon on

CNBC

will set the tone for next week's trading.

Cramer said if the new, pro-business Obama shows up, and talks about tax cuts and creating jobs, the markets could be in for a treat, but if the old, anti-business Obama speaks, then no amount of good news will be able to save the markets.

On Tuesday, Cramer said he'll be watching the

Federal Reserve

to see if economic activity is picking up after a soft August. He said he'll also be watching the housing start numbers, which as usual, will be "disappointing." However, he said the estimates are still far too high in light of the excess housing inventory.

> > Bull or Bear? Vote in Our Poll

Also on Tuesday, Cramer said he'll be watching

Adobe

TheStreet Recommends

(ADBE) - Get Adobe Inc. Report

for news on their fight with

Apple

(AAPL) - Get Apple Inc. Report

, a stock which Cramer owns for his charitable trust,

Action Alerts PLUS. Cramer said he'll also be watching

Darden

(DRI) - Get Darden Restaurants, Inc. Report

for a read on consumer spending and casual dining.

Later in the week, Cramer said

Bed Bath and Beyond

(BBBY) - Get Bed Bath & Beyond Inc. Report

will tell us about the back to school shopping season, and financial firm

Jefferies

(JEF) - Get Jefferies Financial Group Inc. Report

should report some upbeat news as it's set to benefit big time from the recent financial reforms.

Closing out the week,

Nike

(NKE) - Get NIKE, Inc. Class B Report

reports on Thursday, and Cramer said it should be a strong quarter. Then on Friday, Cramer said

KB Homes

(KBH) - Get KB Home Report

will be reporting, but even if the news is good, the markets will still punish the stock.

Mea Culpa

Cramer issued a mea culpa in his "day of atonement" segment where he highlighted three recent recommendations that he got wrong. He said any time you make a mistake, you need to examine it, and learn from it. Cramer said mistakes are not a reason to give up, they're a way to avoid future screw-ups.

Cramer noted that all three mistakes stemmed from the same problem: The companies not only had a great long-term thesis, but also short-term issues which the market honed in on. He said he was simply impatient and jumped the gun, recommending the stocks before the the short-term weakness had past.

First on the list was

Sketchers

(SKX) - Get Skechers U.S.A., Inc. Class A Report

, a stock that was up 39% since Cramer recommend it on March 8, but also one that fell 45% since he reiterated his buy on June 17. Cramer said Sketchers had a great story and great growth, but he ignored a class action lawsuit, along with increased discounting and competition.

Cramer's next mistakes were LED lighting plays

Cree

(CREE) - Get Cree, Inc. Report

and

Rubicon

(RBCN) - Get Rubicon Technology, Inc. Report

, down 26% and 18% since Cramer recommended than on Aug. 19. Cramer said he recommended these stocks on the strength of LED lighting, while ignoring the short-term weakness in LED backlighting used in TVs and monitors.

Cramer said in the case of Sketchers, he was early, and he still likes the company since there's not a lot of downside left in the stock. For Cree and Rubicon, he said he's also bullish, but would wait for the LED backlighting story to pass before betting again on the long-term future of all-purpose LED lighting.

Manufacturing Strength

Closing out his "Made Here" series of the best American manufacturers, Cramer recommended

DuPont

(DD) - Get DuPont de Nemours, Inc. Report

and

PPG

(PPG) - Get PPG Industries, Inc. Report

, two more companies proving that manufacturing in America is alive and well.

Cramer said DuPont is up 28% since he last recommended it on June 4. The company is a huge player not only in chemicals but also agriculture, where its seeds rival

Monsanto

(MON)

in yield per acre of corn. DuPont also makes performance chemicals, everything from Teflon to coatings, solvents and lubricants for a host of industries from autos, aerospace, consumer products and industrial applications.

Cramer noted that DuPont also has a safety division responsible for Kevlar, as well as other divisions that assist in the manufacturing of solar panels. With 59% of sales coming internationally, Cramer said DuPont is truly a global player, and one with a 3.7% dividend yield.

PPG is the No. 2 player in that coatings business, and its stock is up 15% since Cramer recommended it on July 16. Cramer said Asia is a big driver for PPG, with 55% of revenues coming from that region of the globe. The company's auto and aerospace divisions are picking up steam as the global economy recovers, and PPG also has small divisions such as the one that manufactures the Transitions brand of eyeglass lenses.

Cramer said both companies at at their 52-week highs but are still in the early innings of this bull market cycle.

Mad Mail

Cramer told a viewer that

Citigroup

(C) - Get Citigroup Inc. Report

and

Bank of America

(BAC) - Get Bank of America Corp Report

, an Action Alerts PLUS stock, are both headed higher.

Cramer told another viewer that he's also bullish on

Salesforce.com

(CRM) - Get salesforce.com, inc. Report

, despite a decent analyst downgrade. Cramer was less bullish on

Harley-Davidson

(HOG) - Get Harley-Davidson, Inc. Report

, which he said is a great American company, but not a great stock.

Finally Cramer said that both

Nucor

(NUE) - Get Nucor Corporation Report

and

Home Depot

(HD) - Get Home Depot, Inc. Report

are great companies, and he'd keep both of them in the viewer's portfolio.

In his closing comments Cramer also clarified that in addition to market orders being bad for individual investors, stop loss orders are also bad. He once again reiterated that individuals should only use limit orders for all of their trading.

Lightning Round

Cramer was bullish on

Fedex

(FDX) - Get FedEx Corporation Report

,

United Parcel Service

(UPS) - Get United Parcel Service, Inc. Class B Report

,

Energizer Holdings

(ENR) - Get Energizer Holdings, Inc. Report

,

Windstream

(WIN) - Get Windstream Holdings, Inc. Report

,

Centurytel

(CTL) - Get CenturyLink, Inc. Report

and

Intuitive Surgical

(ISRG) - Get Intuitive Surgical, Inc. Report

.

He was bearish on

Frontier Communications

(FTR) - Get Frontier Communications Corp. Report

,

Chimera Investment

(CIM) - Get Chimera Investment Corporation Report

,

Hewlett-Packard

(HPQ) - Get HP Inc. Report

and

Visa

(V) - Get Visa Inc. Class A Report

.

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

To contact the writer of this article, click here:

Scott Rutt.

To follow the writer on Twitter, go to

http://twitter.com/scottrutt.

To submit a news tip, send an email to:

tips@thestreet.com.

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

.

Want more Cramer? Check out Jim's rules and commandments forinvesting 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, Bank of America.

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.