RealMoney Radio Recap: Reluctant Reach for Retail

Cramers says that the damage to the market is slighter than he expected, and that means strength.
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Market players are seeing disappointing results and not taking any real action off of them, Jim Cramer said on his

"RealMoney" radio show Thursday.

There have been disappointing numbers from

Kohl's

(KSS) - Get Report

and

Target

(TGT) - Get Report

, which tells Cramer that inventories must not be selling.

In the last few days, retailers have been down because business wasn't good, he said. But now, perhaps these companies are done going down.

"I want to own them because it's going to be a good Christmas," Cramer said. "You have to own these stocks before Christmas."

"I keep saying to myself that I am a bull, yet I keep thinking that stocks with bad numbers, whether they be

Ingersoll Rand

(IR) - Get Report

or

American Standard

(ASD)

, will go down and stay down," Cramer said. "But they haven't." Cramer owns Ingersoll Rand for

Action Alerts PLUS, his charitable trust.

"The market is forgiving," he went on to say. "It may be down five straight days, but it's not nightmarish, and there are buying opportunities."

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Mutual funds, companies that tend to have their fiscal years at the end of October, try to take as many losses in October to balance their taxes, said Cramer.

Then in November, they have to ring the register, Cramer explained.

We're in the period where mutual funds are selling right now, he said.

Every week readers of

TheStreet.com

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

Corning

(GLW) - Get Report

.

"It is very true that there was a tremendous amount of overbuilding of fiber lines in the 1990s," he said. "Every phone company was laying down fiber lines."

Cramer predicts that a year from now, the glut of fiber will extinguish, and we will need a giant amount of new fiber.

Level 3 Communications

(LVLT)

is his speculative play for the demand for fiber, and

AU Optronics

(AUO)

and Corning are his regular plays for this sector.

Corning is" right, cheap" and Cramer would buy it right now.

The pharmacy-benefit manager

Caremark

(CMX)

and drug store chain

CVS

(CVS) - Get Report

acquisition is "worrisome," Cramer said.

Caremark may have been acquired for a number of reasons. It's possible that Caremark didn't have anywhere else to grow, or it could be that the average wholesale price is rigged, preventing the company from competing in its market, Cramer said.

On the other hand, it could be that CVS was the one with slowing growth, he said.

Either way, Cramer said the acquisition worries him to the point where he's suggesting people don't buy either stock.

Another worrisome deal is the one regarding

Tribune

(TRB)

.

"Tribune is a case of the incredible shrinking circulation," Cramer said. "I continue to believe that radio and newspaper properties are losing value by the month, mostly to

Google

(GOOG) - Get Report

," as Google can tell advertisers how many times people visit their ads whereas newspapers and magazines can't.

Whenever gold stocks run, as they have been for the past five days, people have to hold their breath and wait for these stocks to fall, he said.

Cramer's favorite gold stock is

Yamana Gold

(AUY) - Get Report

, which is up 160% year over year, he said.

Further, he believes that Yamana is not done going up. However, if gold stocks do not start drifting down soon, people are going to start hearing about inflation coming back and the possibility of a rate hike, Cramer said. "I don't like to see gold rallying," he said.

A mineral company Cramer does like is

Lundin Mining

(LMC)

.

"The stock is at $35, and I wish I owned it for my charitable trust,

Action Alerts PLUS," he said.

Cramer's Callers

"

Wynn Resorts

(WYNN) - Get Report

mystifies me," Cramer told a caller.

Wynn should be lower than it is, he said, adding that he likes

Las Vegas Sands

(LVS) - Get Report

more.

As HD TVs and big-screen TVs are popular,

AU Optronics

and other companies related to the liquid-crystal-display market should perform well, Cramer told another caller.

People should make money with AU Optronics if they stick with it through the holidays, he said.

Cramer told a caller he's worried about

Whole Foods

(WFMI)

, as it has a price-to-earnings multiple that is higher than twice its growth rate.

"I wouldn't feel comfortable owning it until it goes to $50," he said. "Right now it's at $60."

Cramer's also concerned about the "big-box retailers," as the group has gone down recently, he told a caller.

Right now he said he doesn't want to be in

RadioShack

(RSH)

and at this point, is even cautious about

Best Buy

(BBY) - Get Report

.

At the time of publication, Cramer was long Ingersoll Rand.

Jim Cramer is a director and co-founder of TheStreet.com. He contributes daily market commentary for TheStreet.com's sites and serves as an adviser to the company's CEO. Outside contributing columnists for TheStreet.com and RealMoney.com, 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

Action Alerts PLUS. Listen to Cramer's RealMoney Radio show on your computer; just click

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

here to get his second book, "You Got Screwed!" and click

here to order Cramer's autobiography, "Confessions of a Street Addict." While he cannot provide personalized investment advice or recommendations, he invites you to send comments on his column by

clicking here.

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