3 Stocks I Saw onTV
NEW YORK ( TheStreet) -- The markets ended mixed Wednesday as investors waited for the jobs report at the end of the week. The Dow Jones Industrial Average rose 1.66, or 0.02%, to 10,573.68, while the S&P 500 added 0.62, or 0.05%, to 1,137.14. The Nasdaq fell 7.62, or 0.33%, to 2,301.57. Tim Seymour said on CNBC's "Fast Money" TV show that global recovery plays are on the table, as evidenced in the recent action in industrial metals and the follow-through in the auto sector. Joe Terranova said he saw a lot of capital being allocated in the futures space in oil, copper and gold. He said the only thing that would derail that move would be if China's central bank pulled back. For a breakout of some stocks from a recent "Fast Money" TV show,check out Dan Fitzpatrick's "3 Stocks I Saw on TV."
Pete Najarian said the story of the day was 3M ( MMM - Get Report), which rose again today. He particularly liked the company's low PE, its organic business and its health care business, the defensive side of its operations. He said 3M should have no problems reaching Goldman Sach's price target of $105. Terranova said 3M is very diversified geographically across the globe. Karen Finerman said she also subscribed to the global recovery plays, noting her investments in the oil field service names. Seymour said the beginning of the new year looks very close to what it looked like a year ago, with the early move by commodity and resource names for the first few days before the situation changed.
Najarian said a good way to get exposure to copper and other metals without getting involved in futures trading is to invest in SPDR S&P Metals and Mining ( XME - Get Report). Seymour said specialty metals like titanium, platinum and palladium shouldn't be overlooked. He said these metals are on the rise as industrial demand for them increases. Lee noted tech stocks were led lower today by Google ( GOOG), a day after the debut of its Nexus One smartphone. Terranova said the new phone was probably built into the price of the stock and suggested investors take a look at Palm ( PALM). Finerman said the drop in the price of Google could be a buying opportunity, adding she likes the long-term story of Google, nothwithstanding the Nexus One. Lee brought in Steve Liesman, a CNBC business reporter, to talk about Friday's jobs report. He said the estimates vary widely from a gain of 60,000 jobs to a loss of 80,000 jobs in December. He said there's a good chance for a positive jobs number but that it still will fall far short of a conviction for a robust report of a gain of 200,000 jobs. Seymour said he doubts whether anyone knows how to trade Friday's number, even it lands on the positive side. Lee brought in Dennis Gartman, of the Gartman Letter, to talk about trades off a cold winter, in which 60% of the U.S. will be affected by an Artic blast. Gartman said the bad weather has shut down metal production factories and resulted in a rise in aluminum and steel prices.
Instead of investing in natural gas per se, he said he would invest in natural gas trusts like Pangrowth Energy Trust ( PGH) and San Juan Basin Royalty Trust ( SJT - Get Report). With coal accounting for half the electricity generated in the U.S., he said he would invest in companies like Arch Coal ( ACI) and James River Coal ( JRCC). Seymour said sugar is a good bet as well as weather-related supply disruptions are kicking up the price. Lee noted that holiday retail sales were up 2.5% from a year ago, with online sales and jewelry leading the way. Kimberly Greenberger, a Citi retail analyst, said higher-income consumer spending helped high-end retailers like Tiffany ( TIF) and Coach ( COH). She said that that high-end spending will continue in the first quarter and 2010. He said retailers at the high and low ends will do well, while the middle will struggle. "Consumers will be shopping at one end or the other," she said. Lee invited Tavis McCourt, an analyst with Morgan Keegan, to talk about Motorola's ( MOT) latest smartphone entries that will be announced Thursday. McCourt said he believes the carrier will announce a new phone for Verizon ( VZ) and an Android phone for AT&T ( T.). He said the proliferation of smartphones this year is worring investors who are long in the space. Najarian wasn't worried about the competition, saying "all serve a different purpose and all can survive." In the "best 10 stocks for the decade" segment, Jon Najarian said his pick was Energy Conversion ( ENER) as a solar and battery play. He said green energy will play an increasingly important role as traditional sources of energy get pricier.
Richard Gelfond, CEO of Imax ( IMAX) came on the show to talk about a new 3-D channel that his company is launching along with Discovery Communications ( DISCA)and Sony ( S NE). He said there won't be much traction on the new channel until 2011. He said it's way to early to estimate how much it will increase earnings for the company. He did say IMAX will be paid for converting 2-D content into 3-D. In the final trades, Seymour said he would sell Alcoa ( AA) and buy it back at a lower price. Terranova said he would stick with copper. Finerman liked Google ( GOOG) . Najarian said liked Akamai ( AKAM). -- Written by David Tong in San Francisco To watch replays of Cramer's video segments, visit the Mad Money page onCNBC. "Check out
"'Fast Money'Portfolios of the Week" on Stockpickr every Thursday. Follow TheStreet.com on Twitter and become a fan on Facebook.