The technology sector is a "safe haven" from subprime, Jim Cramer told viewers of his "Mad Money" TV show Monday. In fact, tech should benefit from all of the worry that's afflicting the financials. Historically people start investing in tech during the fall, but Cramer doesn't believe that people should wait. Therefore, all week Cramer is giving people his favorite tech stocks. On Monday, he named SanDisk ( SNDK) as his tech winner. With back-to-school and holiday sales coming up, there is huge upside potential at SanDisk, Cramer said. People buy computers every fall and before the holidays, but manufacturers start building their products in August, he explained. And what does a computer company that builds computers need? Cramer asked. Computer parts. That is why he believes that people should consider getting into SanDisk now. "If you wait, you will miss the big move," he Cramer told viewers.
Where to Bulk Up on ShippersCramer hasn't liked dry bulk shipping stocks, but he's ready to admit that he got shipping wrong. Now, after doing his homework, Cramer said, he's prepared to explain why he likes boats and which of these stocks people should buy. All shipping sectors are "hot" right now, but dry bulk shipping is "especially strong," Cramer said. There are three types of ships that carry bulk cargo. There are container ships, such as Seaspan ( SSW - Get Report), which is a "great" play on China, he said. Then there are the tankers. Here Cramer said he likes General Maritime ( GMR) and Frontline ( FRO). Finally, there are the dry bulk shippers, he said. Dry bulk shipping is "hot" because of globalization, with iron ore and coal being shipped between countries in increasingly high amounts, Cramer explained. Shipping companies get paid by the day, he said, so the longer the trip, the more revenue they earn. In addition, because the margins on building the dry bulk carriers are low, companies don't expand their fleet. This is turn enables the carriers to charge higher rates because of high demand and low supply, Cramer said.
Arch RevivalCramer welcomed Arch Coal ( ACI) CEO Steven Leer to the show and asked how patient an investor can be with Congress saying that coal should be banned as a fuel. "Coal supplies 50% of our energy and electric generation, and that number is projected to grow," Leer said. Also, although coal has always been sold as a discount to oil, in the end the country and the world need more energy and will call on oil, natural gas and coal to meet demands, he said. Cramer said he knows coal stocks haven't worked, but he's sticking by ACI because "who's to say that out-of-favor energy stocks won't come back?" To view Cramer's interview with Steven Leer, please
Lightning RoundCramer was bullish on Oracle ( ORCL), Reliance Steel ( RS), Transocean ( RIG), GlobalSantaFe ( GSF), Consolidated Edison ( ED), Altria ( MO), Flotek Industries ( FTK), Schlumberger ( SLB), Goldman Sachs ( GS), Brookfield Asset Management ( BAM), AT&T ( T) and Valmont Industries ( VMI). Cramer was bearish on Symantec ( SYMC), Hercules Offshore ( HERO) and Halliburton ( HAL). For more of Cramer's insights during the Lightning Round,
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