TheStreet.com TV Recap: Behind Amazon's 'Surprise'

How Reg FD is making everything a bit cloudier.
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Regulation FD, for "fair disclosure," is actually making it harder to get a true sense of a stock, and look no further than

Amazon's

(AMZN) - Get Report

huge surprise to see an example, Jim Cramer said on TheStreet.com TV's Wall St. Confidential

Web video Wednesday.

Pre-Regular FD, companies "shaded higher" by talking more freely with analysts, he said. "For the first time we have combined Reg. FD with the decision by most companies to not help you guide earnings," Cramer said. "There's no guide up and no forecast so the analysts are doing their own forecasting for the first time and they're missing it."

In Amazon's case, it didn't give anybody a heads up that it had cut its spending growth. The analysts had "no idea" Amazon was going to do that, he said.

"No companies are talking," Cramer said. "This is the new world that we are in. They are not helping the analysts."

Amazon, meanwhile, is up 20% and it's not done, he predicted. "There are too many shorts." The whole strategy of Amazon, Cramer continued, had been to outspend everybody. But now that's over, he said.

Corning

(GLW) - Get Report

, Cramer believes, sandbagged analysts, because "over and over" the company said there was not a strong demand for LCDs or fiber. Today it displayed strength in both respects.

"This again is misdirection by a company that's doing much better than expected," he said. "I don't see why anybody should have gotten Corning right."

The hard-goods retailers like

Costco

(COST) - Get Report

and

Best Buy

(BBY) - Get Report

aren't seeing any "pin action" off of Corning's success, however, because "it's a volume, not a price issue," Cramer said.

But,

AU Optronics

(AUO)

and

Syntax-Brillian

(BRLC)

should benefit from Corning, he said.

At the time of publication, Cramer had no positions in stocks mentioned.

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