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RealMoney Radio Recap: Election Fright

Cramer says that a change in the guard may mean taking some off the table and buying back later.

"Election day is less than two weeks away, but the market is already reacting right now to the possibility of a big Democratic win," Jim Cramer said on his "RealMoney" radio show Thursday.

"This election has become why stocks go up or down," he said.


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is getting "killed" today, and big pharma is down as well, Cramer said. In addition, HMOs should be much higher.

To Cramer this means that when people wake up on Nov. 8, the Democrats are going to be in control of both houses.

People should be thinking about whether they have the "ability to weather the pain on the possibility of a Democratic takeover," he said. They might need to take some off the table and then buy it back later on.

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"Be aware of anything big -- big pharma, big HMO, big defense, big oil. These are all targets," Cramer said. "They require caution until the Monday before the election."

Although "it can be pretty intimidating sifting through stocks and figuring out which ones you want to invest in," there are opportunities out there, he said. "You just have to be prepared and have conviction."

For example, when one of Cramer's "Mad Money" TV show viewers asked him about

Joy Global


last night during the lightning round, he defaulted to


(CAT) - Get Caterpillar Inc. Report

TheStreet Recommends


Cramer said there was a time when he would have called Joy Global the "best in show," but then "it missed a quarter down the road, and the Street turned on it."

"It was some turn," he said. "The stock lost more than half its value from the miss and from the errant May



After recommending a swap into Caterpillar, another viewer emailed Cramer Thursday morning and commented on how "mining companies are ramping up production at an unprecedented rate to mine lower grades," which requires a larger number of replacement vehicles and aftermarket services.

Because there are only two companies in this sector -- Joy Global and



-- the viewer asked how Cramer could not recommend Joy Global.

Cramer believes that the viewer is right and that there is a "tremendous scarcity of assets in this group."

Although he wanted to be consistent with his Monday recommendation of Caterpillar, "things are still smoking" at Joy Global and "the stock is worth recommending," Cramer said.

The real lesson here is that there are opportunities, Cramer said. "Stay at the table."

Out of the Woods

After spending five years in the "wilderness,"


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became "one of the big ones, or among the top-five performers in the stock market for two decades," said Cramer.

"The Street lost faith in these guys and decided that the bid for


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was just some sort of desperate gambit to grow when growth was tapped," he said.

Comcast went through a period where it had to hear how it was being beaten by


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, Cramer went on to say.

"They were considered buffoons for trying to make a plain old cable business into a real growth story," he said.

But now, it must be "sweet" to work there. The triple play, technology and service are all driving the stock, and "the growth of


is ahead of them," Cramer said.

It is not too late to get into Comcast, he added. "There's too much growth ahead, too much profitability and too much belief."

"The future is so bright."

Every week readers of

vote on the stock they most want Cramer to talk about. This week's "Cramer on Demand" stock was

Norfolk Southern

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The company reported a "very good" quarter on Wednesday, he said. But the stock has moved up too much, and Cramer only recommended pulling the trigger on a pullback.

Cramer's Callers


Black & Decker


reported a good quarter today,

Fortune Brands


should as well, Cramer told a caller.

"I believe Fortune Brands is going higher," he said.

Responding to another caller, Cramer said he did not agree with a recent downgrade issued to

Arena Pharmaceuticals

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People should be in this stock for its cancer and obesity drug, as "near-term earnings have never been an issue for biotech stocks," he said.

"When you see this type of decline in such a stock, you must pile up on it," Cramer advised.


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is "here to stay and is very well run," he told his next caller.

In regard to


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, Cramer told a caller it is a "great homebuilder."

But because it's had a big run, Cramer advised taking a little off the table and allowing the rest to run.

Cramer told another listener he "vastly prefers"

Goldman Sachs

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, which he owns for his charitable trust,

Action Alerts PLUS, to

Wells Fargo

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At the time of publication, Cramer was long Goldman Sachs.

Jim Cramer is a director and co-founder of He contributes daily market commentary for's sites and serves as an adviser to the company's CEO. Outside contributing columnists for and, including Cramer, may, from time to time, write about stocks in which they have a position. In such cases, appropriate disclosure is made. To see his personal portfolio and find out what trades Cramer will make before he makes them, sign up for

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here. Watch Cramer on "Mad Money" at 6 p.m. ET weeknights on CNBC. Click

here to order Cramer's latest book, "Real Money: Sane Investing in an Insane World," click

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