When you hear there is more money coming to the Southeast to repair hurricane damage, it means money for Shaw Group ( SGR), Jim Cramer told "RealMoney" radio show listeners on Wednesday. The start of the 2006 hurricane season is only three months away, and more money is being asked for in order to repair bridges, to strengthen levees and rebuild what needs rebuilding in the region, Cramer said. The reason he believes Shaw Group will get these contracts is because it's based in Baton Rouge, La. He also said the stock has been sinking like a stone because people believed there was no more rebuilding money going to Katrina-related repairs, creating a buying opportunity in a company that could move higher as it wins these new contracts.
Buy American, Buy Toyota
The best American car company out there isn't even American, Cramer told listeners. He said that it's Toyota ( TM), and that it could make you a lot of money. "Toyota is a great American car company," Cramer said, pointing out it is the automaker that will hire the most American workers in the next three years. And Fortune magazine called the Japanese-based company one of the best American companies. The Big Three automakers -- Ford ( F), GM ( GM) and DaimlerChrysler ( DCX) -- have dropped their rebates and incentives, replacing them with lower prices, he said. "When I hear that the incentives are being cut back, I start to think who will sell more cars," Cramer said. And he believes that Toyota will fill the void.
The Next Enron?
"As you do your homework on a stock you may buy, have you ever thought that the whole company is corrupt?" Cramer asked listeners. Take a look at Enron, he said. "You'll hear about all sorts of bad things that were happening at Enron," he said, adding that he knew before the collapse that something was wrong at the energy trading company.