NEW YORK ( TheStreet) -- "Don't try to game earnings next week, just stop, look and listen," were Jim Cramer's cautionary words to the viewers of his "Mad Money". He told viewers that trading during the flurry of earnings news is one of the quickest ways to lose money. With that in mind, Cramer laid out his game plan for next week's trading. On Monday, Cramer said he'll be watching Anadarko Petroleum ( APC) and Chesapeake Energy ( CHK) to see if these companies are able to produce more oil into the booming oil rally. He'll also be watching payroll service Automatic Data Processing ( ADP) to find out what's really going on with employment. Cramer said he'll also be watching Herbalife ( HLF) and Avon ( AVP) when they report next week. Cramer said he expects great things from Herbalife, but Avon is facing a make-or-break moment for CEO Andrea Yung, whom Cramer has said should resign. Also on Tuesday, Clorox ( CLX) and Las Vegas Sands ( LVS), two more companies Cramer said he'll be watching closely, while on Wednesday it will be Botox-maker Allergan ( AGN), MGM Resorts ( MGM) and Whole Foods ( WFMI). Cramer said investors shouldn't be shy about taking profits in Whole Foods. Later in the week, Cramer said General Motors ( GM), a stock which he owns for his charitable trust,
No Worries About Inventory BuildupIn the "Executive Decision" segment, Cramer spoke with Eric Wiseman, chairman, president and CEO of VF Corp ( VFC), a company's whose stock got pummeled, down $8 a share, after the company reported a 10-cent-a-share earnings bear on record gross margins. Wiseman confirmed that VF Corp is firing on all cylinders, growing at 10% a year, a forecast the company expects to maintain for the next five years. He said VF Corp's earnings were consistent with forecasts and the company is "on story." So what was the problem with the quarter? Wiseman said that some analysts noted the company's rise in inventory. He said that the decision to increase inventory was a conscious one, as the company is growing and need more inventory, plus, with prices on the rise it makes sense to bulk up now before prices head even higher. "We know what we're going," Wiseman concluded. Next, when asked about China and India, Wiseman said that VF Corp has been in China for 15 years and China is the most profitable country for the company. He said by contrast, VF Corp has only been in India for five years, and only just turned profitable in year four. He said the margins in India are healthy and growing. Cramer said VF Corp represents an excellent buying opportunity, as the overheated expectations of Wall Street took down a great company to a very attractive entry point.
Distinctive ProductsIn a second "Executive Decision" segment, Cramer once again spoke with Tim Boyle, president and CEO of Columbia Sportswear ( COLM), another apparel maker that delivered an eight-cent-a-share earnings beat on revenues up 11% year over year. Columbia also boosted its dividend by 11%. Boyle explained that while Columbia used to produce basic products and often competed on value, the new Columbia now invests in technologies that make their products different, which is why Columbia has been able to increase its gross margins even in an inflationary environment. He said the company's new Omni-Heat products, for example, have been tracking at double the company's projected revenues. Among the company's other new products are specially treated shirts, pants and hats that repel insects without the need for additional bug repellant sprays. Boyle explained that Columbia developed a way to bond the naturally occurring chemical to the fabric at a microscopic level such that it will still be there, even after 70 trips through the washing machine. Finally, when asked about the company's Sorel line of boots, Boyle said the brand that was once a workman's boot, then one preferred by snowboarders, has now become a fashionable line for women as well, offering great looks and tremendous upside potential. Cramer said Columbia is yet another undervalued company delivering great results for shareholders.