NEW YORK ( TheStreet) -- "The cavalry is right around the corner," Jim Cramer told the viewers of his Mad Money TV show Thursday, as he discussed how the calendar will begin affecting stock prices on Aug. 1. Cramer explained that when portfolio managers and hedge funds value stocks on a price earnings multiple, they never look at past earnings, they only look at future earnings. So with July's earnings season wrapping up, investors may think that October's earnings are next on the agenda but they would be wrong. Cramer said 2010 earnings are pretty much a given now, with all of the estimates mostly set in stone. He said beginning Aug. 1, analysts will stop paying attention to 2010 and begin looking forward to 2011. So what's that mean for stocks like Boeing ( BA)? Cramer said despite posting disappointing results, the stock of Boeing stayed virtually unchanged, because in just a few days the company's 2011 prospects will begin to matter, and those prospects look a heck of a lot better than 2010. Cramer said whether its aerospace or tech stocks, the analysts will being raising their estimates for 2011 beginning in August, and that will be welcomed news for lingering stock prices. He said that it's too late to sell stocks now, investors would be better served to just sit and wait until the calendar changes. "2011 is right around the corner," Cramer told viewers, and that will provide the cushion stocks need to start heading higher.
Insatiable Bandwith AppetiteIn the "Executive Decision" segment, Cramer spoke with Moshe Gavrielov, president and CEO of Xilinx ( XLNX), which is up 31% since Cramer added it to his Mobile Internet Index on Aug. 11 of 2009. Xilinx recently reported an upside surprise of five cents a share on a 58% bump in sales, yet the stock saw profit taking as investors cashed out of the company. Gavrielov said Xilinx' business is burgeoning, thanks to an "insatiable appetite for bandwidth." He said consumers are demanding new applications, and that in turn demands better devices, all of which need Xilinx chips. Gavrielov said the company's business is broad, including chips for communications, military, automotive and medical applications. When asked about the many things analysts worry about, Gavrielov said that seasonality is out the window this year, as increased demand is outweighing any summer slowdown. He said in Europe, an area analysts worry about, the company is seeing no slowdown, as most of Xilinx' customers ship products worldwide, and not just to Europe. Finally, when asked about analysts' fears of customers double booking orders with other vendors, Gavrielov said that Xilinx' products are unique, and therefore can't be ordered from other suppliers. He said his company works closely with all their key customers and therefore knows the orders they've placed are for real. Cramer said Gavrielov is one semi-conductor company he believes in, and one that's not being held hostage by the recession.
Shame on DellIn the Thursday "Sell Block" segment, Cramer finally unveiled the new top spot on his "Wall of Shame" list of the worst CEOs in America. He nominated Michael Dell, CEO of Dell ( DELL) to the top honor, as Dell has lost 70% of its value over the last decade. Cramer said Dell is a pure case of laziness, as he sat idly by and watched his company go from leader to laggard. He said the company was a legend in the 1990's, which is why the fall from glory is all the more painful. Cramer said Dell was simply too late in diversifying its business away from low cost servers and PCs. Additionally, Cramer said Dell only spends 1% of its revenues of research and development, while rivals like Cisco ( CSCO), a stock, which he owns for his charitable trust,