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NEW YORK (TheStreet) -- It could be a long, tough road for the industrial stocks, Jim Cramer told his Mad Money viewers Friday. Unless there's a pickup in economic activity, the earnings from these stocks are going to be pretty disappointing given the currency headwinds. That's why Cramer's game plan for next week's trading includes looking for any inkling of growth.
On Monday, Cramer will be watching AAR (AIR) - Get Report, the aerospace services company, to see how the aerospace and airline sectors are doing. The transports failed to confirm the rally last week, which is part of the reason the markets slid this week.
Wednesday brings earnings from seed giant Monsanto (MON) . While Cramer used to be a fan, he'd rather buy Dow Chemical (DOW) - Get Report, a stock he owns for his charitable trust, Action Alerts PLUS, especially given today's news that Dow continues to transform itself before our eyes, shedding commodity businesses while expanding its high-margin proprietary ones.
Then, on Thursday,it's Carmax (KMX) - Get Report and Micron (MU) - Get Report reporting. Carmax should provide an outlook for Ford (F) - Get Report and General Motors (GM) - Get Report, another Action Alerts PLUS holding, while Micron should offer another read on just how bad the PC market has become.
Finally, on Friday, the markets will be closed, but the government is still releasing its latest non-farm payroll numbers, a number that will most certainly set the mood for trading the following Monday.
Restaurants With Earnings Recipes
What's the recipe for a successful earnings report? If you're a restaurant stock, the most important ingredient is same-store sales, and the best way to cook it is to keep slowly turning up the heat.
There were a total of 12 restaurants that reported same-store sales growth of 5% or more this quarter, but not all of those behaved the same after the news. Shares of Sonic (SONC) plunged 12% after it reported a stellar 11.5% increase in same-store sales. The reason? The stock had run up ahead of the quarter and the company offered disappointing guidance for the rest of the year.
Then there was Chipotle Mexican Grill (CMG) - Get Report, Fiesta Restaurant Group (FRGI) - Get Report and Popeye's Louisiana Kitchen (PLKI) , which also posted strong same-store sales, but saw shares decline between 3% and 9% afterwards. Here again, conservative guidance was to blame.
But for some stocks, notably Cracker Barrel (CBRL) - Get Report, shares reacted positively to its 7.9% increase in sales. Unlike the others, Cracker Barrel has accelerating growth and a positive outlook.
Semiconductor 'Four Horsemen'
Cramer's "four horsemen of biotech" were able to show some strength in today's session, a move that led Cramer to declare a new group of leadership stocks investors must follow: the "four horsemen of semiconductors."
For those not familiar with Cramer's horsemen, they include Celgene (CELG) - Get Report, Biogen Idec (BIIB) - Get Report, Regeneron (REGN) - Get Report and Gilead Sciences (GILD) - Get Report. When these leaders move, the rest of the biotechs move along with them.
So where in the leadership in the semiconductor sector? It's certainly not with anything related to PCs, Cramer said. In today's market, what's hot is the Internet of Things, and any company that makes chips that connect them all. That's why Cramer's new horsemen included Skyworks Solutions (SWKS) - Get Report, Avago Technologies (AVGO) - Get Report, Qorvo (QRVO) - Get Report and NXP Semiconductors (NXPI) - Get Report.
As investors are almost done selling these groups, Cramer said these leaders will be among the first to begin the next rally higher.
Continuing with his analysis of the restaurants, Cramer dove into the losers with declining same-store sales to see if there were any keepers among the bunch.
Among the stocks investors shouldn't touch with a 10-foot pole is Noodles & Company (NDLS) - Get Report, a stock that now trades below its 2013 initial public offering price. There's simply no reason to trust this company after four disappointing quarters in a row, especially with shares trading at 32 times earnings.
Then there are the stocks of McDonald's (MCD) - Get Report and Yum! Brands (YUM) - Get Report, both of which also disappointed Wall Street in ways that were totally expected. McDonald's ousted its CEO, bringing new hope for investors, while its dividend provides limited downside. Meanwhile, Yum! is coming off a meat scare in China, leaving the bar set so low that the company will likely surprise going forward.
Finally, there is the newly minted Shake Shack (SHAK) - Get Report, which now has its first quarter as a public company on the books. Here again, the bar is likely low enough that the company will be a keeper going forward.
In the "Mad Tweets" segment, Cramer responded to questions sent via Twitter to @JimCramer.
When asked about the defense sector, Cramer ran down his favorites, which included Lockheed Martin (LMT) - Get Report, Northrop Grumman (NOC) - Get Report, General Dynamics (GD) - Get Report and Raytheon (RTN) - Get Report, in that order. He is not a fan of L-3 Communications (LLL) - Get Report.
Finally, Cramer said the time to buy Keurig Green Mountain (GMCR) is right here, right now.
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At the time of publication, Cramer's Action Alerts PLUS had a position in DOW, GM and MS.