NEW YORK ( TheStreet) -- "Stop, look, listen and learn," Jim Cramer told viewers of his Mad Money TV show Friday, as he laid out his game plan for next week's trading. Cramer said investors must sit on their hands while watching for clues to the second half of the year while in the middle of the earnings season. Next week's trading will culminate with the government's jobless report on Friday, said Cramer. If the news is bad, with unemployment over 9.6%, then be prepared for pain. But in the meantime, Cramer said he'll be paying attention to the following sectors. Cell Towers: Cramer said he'll be watching both SBA Communications ( SBAC) and American Tower ( AMT), two key components of the smartphone revolution. He said with these companies, it's cashflow, not earnings, that will matter most. > > Bull or Bear? Vote in Our Poll Consumer Staples: Procter & Gamble ( PG), a stock which Cramer owns for his charitable trust,
Speculation FridayFor his "Speculation Friday" segment, Cramer ventured into the cemetery to see if postmortem services should be a part of your portfolio. He said his research "uncovered" Service Corp ( SCI), the nation's largest provider of burial and cremation services. Service Corp., which operates 1441 funeral homes and 387 cemeteries across the country, is benefiting from the growing trend of prepaid funeral services. Cramer said that laws require that all monies paid for prepaid burials must be held in trust until the client dies. That allows Service Corp to have excellent visibility into its future profits. Service Corp is four times the size of the next largest competitor, and with not a lot of competition in the industry, Cramer said it should prosper as more and more baby boomers ante up for prepaid services as they retire. Cramer said he would not pay up for the stock, as the company just reported a two-cent earnings beat on better than expected revenue up 8%, and prepaid revenues up 15%. Cramer said there's room for Service Corp to run, but also no reason to chase the stock higher. Cramer also noted that rival Stewart Enterprises ( STEI) is not as good a company, and he's not a buyer.
Life as a REITIn the "Executive Decision" segment, Cramer spoke with Daniel Fulton, president and CEO of Weyerhaeuser ( WY), the timber giant that just recently transformed itself into a real estate investment trust. Weyerhaeuser is also part of Cramer's Action Alerts PLUS portfolio. Fulton explained that a REIT structure was the best way to manage the company's 6 million timberland acres in North America. He said as a REIT, shareholders will only pay capital gains taxes on dividends, as opposed to paying corporate taxes on its income. However as part of the transition, Fulton said that the Weyerhaeuser needed to pay out all of its accumulated profits as a special dividend, which it did on July 11. As a result, Weyerhaeuser shares dropped by $26.47 a share, the price of the special dividend. Going forward, Fulton said the company's board will be setting the dividend rate for a future dividend in the fourth quarter of this year. He said Weyerhaeuser has a very bright future ahead of it as a REIT, with opportunities not only in timber and real estate, but also with oil, wind, carbon sequestration, among others. Cramer called Weyerhaeuser "a bargain," staying the company's new corporate structure makes it only more appealing.