NEW YORK (
) -- Jim Cramer fills his blog on
every day with his up-to-the-minute reactions to what's happening in the market and his legendary ahead-of-the-crowd ideas. This week he blogged on:
- who the real winner of the AT&T/T-Mobile deal will be;
- why stocks remain the best investment out there; and
- three North Dakota oil producers that look appealing.
for information on
, where you can see all the blogs, including Jim Cramer's -- and reader comments -- in real time.
How Verizon Could Win the Cell-Phone Market
Posted at 4:46 p.m. EDT on Friday, March 25.
And the winner of the cell-phone wars? It just might be
. Hear me out on this.
I think the
move is brilliant, just brilliant. It has the two key constituencies in this country behind it: the unions, because the Communications Workers of America will support it, as they can unionize T-Mobile (AT&T is unionized), and the president, because the company has pledged to help the poor get cell service. That's game, set, match.
Once AT&T merges with T-Mobile, there will be very little incentive to price cut, because the market will lose the deep-pocketed competitor. The other competitor,
, needs to raise a lot of money to build out its network, and unless AT&T is told to subsidize
build-out, which would help Sprint, then Sprint will not be able to be as competitive.
Now, I like AT&T. Very much. Think it is terrific. Aggressive. Smart.
But it has to issue a huge amount of stock to get the deal done, and it has a gigantic $3 billion breakup fee if the deal is nixed and can't get closed.
Now consider Verizon. It is the ultimate free rider here. It will compete against two distracted companies and a third that will be weakened by the deal. It is not issuing stock. It now has
iPhone. The deal could take more than 18 months to complete, if it gets completed.
That's all in Verizon's favor. On its own, the stock is a buy, but the competitive environment is just going to get easier and easier, courtesy of the hard work of AT&T.
I would buy Verizon right there. It can easily go through $40 before it gets expensive. That's how powerful this deal will be for them.
At the time of publication, Cramer was long AAPL.
Stocks Remain the Best Game in Town
Posted at 3:51 p.m. EDT on Tuesday, March 22.
When you get offline with CEOs around the country, you know what they want to know? How can this market keep going up? I always say the same thing: look at your balance sheet; look at your book of business; look at your prospects. Aren't they the best in years?
The vast majority say yes. Some -- for instance, the oil and gas drillers or the truckers or the farm equipment companies or those involved in climate control, safety or medical equipment -- say they can't even handle the business. The companies that are temporarily lulled by the (temporary) communications glut or the Japanese supply chain snafus are still bullish out several quarters. I remember another time when terrible tech balance sheets used to cause companies to go belly-up. Now they are just hiccups!
Sure there are places that aren't so hot.
can't crow. The first two remind me of why
wanted to go private. Who can handle this month-to-month and quarter-to-quarter nonsense? Nike was bad.
But there are always places that are not so hot.
Of course, there are other positives. The competition for your dollar is very weak. CDs? Treasuries? Not so good. Real estate? People hate it. Still. You can buy houses for cash -- one out of every six foreclosures is in Florida, and I would be willing to buy there if it is near the beach. Municipals? Meredith Whitney is a one-woman wrecking crew for that market.
Stocks remain the most tax-advantaged, best game in town.
One of the reasons I have become so aggravated about the discourse of the market is that the average person must feel the market is totally dangerous because people are shouting about the Spanish 10-year as if it is the plague. Few say, "You know what? We just braved a European scare, multiple wars and overthrows in the Middle East and the worst nuclear incident in 25 years, and we didn't go down."
Must mean things are better than we think!
The natural gas market is going into a period of oversupply, and I think that the price isn't going much above $4.50 because that will just bring on more drilling. No place to put the stuff until it gets real hot and we start the air conditioning season.
At the time of publication, Cramer had no positions in the stocks mentioned.
Bang for Your Buck in North Dakota
Posted at 6:20 a.m. EDT on Thursday, March 24.
The illogic is pretty stunning: Every day on nothing new, oil goes higher. Every day. Same news. We are attacking Libya, a country with very small oil production versus others. Yet, every day this futures market is starved for oil. That's one of the reasons why
, widely perceived to be a quick beneficiary of that price, is doing so well. It is also a reason to like
But I think the best plays, the best bangs for the buck, are these three North Dakota producers (which also have holdings outside of North Dakota) --
, which produced 17 million barrels last year, followed by
, which produced 13.7 million, and
, with 12 million barrels.
These are truly astounding numbers and you can only imagine how much they are making each day on these holdings.
North Dakota's an amazing story. It produced 113 million barrels of oil in 2010, a staggering gain over the production just three years before, which was 46 million barrels.
Now, of course, you could say, "Big deal, that's just two weeks worth of imports." But I know that this area is actually just starting to really come online and would be producing even more if there were pipelines to deliver the stuff. Right now the companies are maxed out on trains and trucks. North Dakota is a major reason why we have finally reversed years and years of declining production and it can help us become more energy self-sufficient, certainly more than electric cars, windmills and solar are giving us. Plus, the holdings in and around North Dakota could produce a lot more than they are currently doing.
Now, if you want the huge wherewithal of a major with those terrific dividends and stability EOG, Whiting and Continental Resources aren't for you.
But if you want growth and companies that can capitalize off the outrageous and steady increases in oil that you see every day, these three are it! They are some of the greatest growth stories out there, greater than most tech companies, and certainly greater than any other mineral and mining companies I follow. And you could argue that they are just beginning to produce the amounts needed to capitalize off their substantial holdings.
Who knows what would happen if they just had some pipelines to bring it to market?
At the time of publication, Cramer had no positions in the stocks mentioned
Jim Cramer, founder of TheStreet.com, writes daily market commentary for TheStreet.com's RealMoney and runs the charitable trust portfolio,
. He also participates in video segments on TheStreet.com TV and serves as host of CNBC's "Mad Money" television program.
Mr. Cramer graduated magna cum laude from Harvard College, where he was president of The Harvard Crimson. He worked as a journalist at the Tallahassee Democrat and the Los Angeles Herald Examiner, covering everything from sports to homicide before moving to New York to help start American Lawyer magazine. After a three-year stint, Mr. Cramer entered Harvard Law School and received his J.D. in 1984. Instead of practicing law, however, he joined Goldman Sachs, where he worked in sales and trading. In 1987, he left Goldman to start his own hedge fund. While he worked at his fund, Mr. Cramer helped start Smart Money for Dow Jones and then, in 1996, he founded TheStreet.com, of which he is chairman and where he has served as a columnist and contributor since. In 2000, Mr. Cramer retired from active money management to embrace media full time, including radio and television.
Mr. Cramer is the author of "
," "You Got Screwed," "Jim Cramer's Real Money," "Jim Cramer's Mad Money," "Jim Cramer's Stay Mad for Life" and, most recently, "Jim Cramer's Getting Back to Even." He has written for Time magazine and New York magazine and has been featured on CBS' 60 Minutes, NBC's Nightly News with Brian Williams, Meet the Press, Today, The Tonight Show, Late Night and MSNBC's Morning Joe.