Archer Daniels Midland ( ADM) may not just be the supermarket to the world; it may also become the gas station to the world, Jim Cramer said on "Mad Money" Monday evening. Cramer was talking about a research report by Citibank's David Driscoll that said ADM is considering investing in production capacity to produce corn-based plastics. This is just the thing that Archer Daniels has needed to jump-start its stock price, said Cramer. "We can make plastic out of corn. We should make plastic out of corn, and we will make plastic out of corn. You must own the stock of Archer Daniels Midland." A caller wanted to know, after years of hype, how long it would it take for corn-based products like ethanol to become viable in the marketplace. Cramer said with oil at $60, "the market is saying the time is now." Another caller wanted to know what energy play is the safest at this point. Cramer said natural gas was the safest play; it should play catch-up to oil.
Green Cliffs of DoverDover ( DOV) said today it is buying microacoustic component manufacturer Knowles Electronics, which makes products that go into hearing aids and cell phones. What's a heavy manufacturer like Dover doing buying an electronics company like Knowles? Cramer said Dover is taking its stock-price multiple into its own hands. The company, which sells at a below-market multiple, is "going toward growth." Cramer approves. He said that Dover's acquisition "may seem a little shameless, but I know it's really smart. Own Dover." A caller asked if Dover's acquisition of Knowles might look similar to Tyco ( TYC) before it imploded. Cramer strongly disagreed and said the difference is in the two companies' managements. "I think Dover's is good," he said. "I thought Tyco's was bad. That's all that matters."
Stop That TrainIn stock news after the bell, Cramer said that WPT Enterprises ( WPTE) reported quarterly results that were simply the "ultimate in train wrecks."
Rach-eting UpMark Rachesky, former chief investment officer for Carl Icahn, has taken a 7.3% position in Lions Gate Entertainment ( LGF). Cramer said Rachesky's firm, MHR Investments, specializes in "finding value in what the market ignores." What's more, Rachesky, a "raider type," probably won't be a passive investor, said Cramer, adding that Raider types like to push management in a direction that will make them money. You still have to do your own homework, Cramer said, but Rachesky's investment should catch your eye. "I think
BullishCramer was bullish on eBay ( EBAY), Yahoo! ( YHOO), Google ( GOOG), Starbucks ( SBUX), XM Satellite Radio ( XMSR), Cimarex Energy ( XEC), Enterprise Products Partners ( EPD), General Dynamics ( GD), Northrop Grumman ( NOC), Lockheed Martin ( LMT), L-3 Communications ( LLL), Vodafone Group ( VOD), Eaton ( ETN), UnitedHealth Group ( UNH), Mitsubishi Tokyo Financial Group ( MTF), Time Warner ( TWX), Marvell Technology ( MRVL), Broadcom ( BRCM), Mills ( MLS), Motorola ( MOT), FX Energy ( FXEN), Companhia Paranaense de Energia ( ELP), Intel ( INTC), Qualcomm ( QCOM), Wachovia ( WB), Dominion Resources ( D), Duke Energy ( DUK), Hewlett-Packard ( HPQ), Honeywell International ( HON), Principal Financial Group ( PFG), MetLife ( MET) and Prudential Financial ( PRU).
BearishCramer was bearish on Sirius Satellite Radio ( SIRI), Armor Holdings ( AH), BHP Billiton Limited ( BHP), D.R. Horton ( DHI), MedImmune ( MEDI), Avaya ( AV), Universal Display ( PANL), Friedman, Billings, Ramsey Group ( FBR), Hansen Natural ( HANS), PortalPlayer ( PLAY), CMGI ( CMGI), Tessera Technologies ( TSRA), SunTrust Banks ( STI), Indentix ( IDNX), Lexmark International ( LXK) and Delphi ( DPH).
|1.||Pigs Get Slaughtered||2.||It's OK to Pay the Taxes|
|3.||Don't Buy All at Once||4.||Buy Damaged Stocks|
|5.||Diversify to Control Risk||6.||Do Your Homework|
|7.||Don't Panic||8.||Buy Best-of-Breed|
|9.||Defend Some Stocks||10.||Don't Bet on Bad Stocks|
|11.||Own Fewer Names||12.||Cash Is for Winners|
|13.||No Regrets||14.||Expect Corrections|
|15.||Know Bonds||16.||Don't Subsidize Losers|
|17.||No Room for Hope||18.||Be Flexible|
|19.||Quit When Execs Do||20.||Patience Is a Virtue|
|21.||Be a TV Critic||22.||When to Wait 30 Days|
|23.||Beware the Hype||24.||Explain Your Picks|
|25.||Find the Bull Market|