'Fast Money Recap': Dow 15,000?

NEW YORK ( TheStreet) -- The markets surged Monday as Apple ( AAPL) topped $500.

The Dow Jones Industrial Average rose 72.81, or 0.57%, to 12,874.04. The S&P gained 9.13, or 0.68%, to 1351.77. The Nasdaq jumped 27.51, or 0.95%. to 2931.39.

Karen Finerman said on CNBC's "Fast Money" TV that she didn't regret selling some Apple shares last week. "It was the right thing to do," she said.

Terranova agreed, saying that while it's correct to be long Apple, it's also important to evaluate the risks.

For a breakout of some stocks from a recent "Fast Money" TV show, check out Dan Fitzpatrick's "3 Stocks I Saw on TV."

3 Stocks I Saw on TV

Dan Nathan said Apple is up 10% in seven trading days and has added $50 billion in market cap during that time period. He said that market appreciation should sit well for investors who have been waiting patiently for a dividend. He said investors could be setting themselves for a dividend disappointment in the company's Feb. 23 shareholders meeting.

Guy Adami focused on downstream play, Broadcom ( BRCM) in particular. He said it may take money off the table after a run by the stock. Terranova said he liked Cirrus Logic ( CRUS) as a derivative play.

Doug Kass, a RealMoney Silver contributor at RealMoney.com, cautioned that the market is far too focused on a few names, most importantly on Apple. He noted the movement of cash from the sidelines, the decline in bear settlement, and a large increase in the net long position in hedge fund community.

He said he's concerned about Apple because of the market's dependence on it. He said the stock is worth more than Google ( GOOG) and Microsoft ( MSFT) combined, is more than twice as big as its key vendor rivals combined, and is $100 billion larger than the 17 other companies that make smartphones.

In the slow money trades, Adami said he liked Emerson Electric ( EMR) for its 3% dividend and sufficient valuation.

Bank of America ( BAC) was up 2.42% today and 48% for the year. Terranova said the short trade has ended in financials, adding he felt comfortable holding all 10 names in the Select Sector SPDR Financial XLF ( XLF).

Melissa Lee, the moderator of the show, said that Masco ( MAS) was down on a revenue and earnings miss. The company manufactures, distributes and installs home improvement and building products.

Adami said he could see weakeness in Home Depot ( HD) on top of Masco's miss.

Terranova said Armstrong World Industries ( AWI) is in a similar situation as Masco's.

Lee brought in Mark Hulbert, a senior columnist for Marketwatch, who predicted the next 1600 points may be to the downside for the Dow based on the pattern of insider selling.

He said the sell-to-buy ratio has jumped to 5.77 to 1 in February, the highest since late July 2011. He said the sell-to-buy ratio in November was 0.81 to 1.

He said insider selling at this pace has historically led to a drop in the Dow.

Dow 15,000? Jeremy Siegel, professor of finance at the Wharton School of the University of Pennsylvania, said that could happen in the next two years. Siegel based his bullish forecast on valuation, saying the long-term P/E ratio is below 15 and the economy is benefiting from very low interest rates.

He said 15,000 is actually a modest goal that can reached with the Dow gaining 8% this year and 2013. He doesn't see a problem rising from the Fed tightening interest rates as much as later on at the end of cycle.

Finerman said she worried about the impact from a dramatic rise in interest rates. Nathan said there are many other better places to invest if the Dow rises to 15,000.

Lee noted that Louis Bacon, founder of Moore Capital, will be required to provide details on risk management and trading under the new Dodd-Frank legislation. CNBC reporter Kate Kelly said the first round of disclosures won't be incredibly revealing. However she said the second round will be for hedge funds with $1 billion or more in assets because they will have to disclose information on leverage, specific positions and strategy to the SEC and Treasury.

Shipping stocks have been on a roll. Dennis Gartman said investors should buy these stocks despite the fact the Baltic Freight Index is down 95%. He said the fundamentals are lagging the movement of the stocks.

He said there is more room to run for stocks like Diana Shipping ( DSX) and Genco Shipping & Trading ( GNK).

He said he wants to be in dry bulk and container ships at a time when global economic conditions are improving.

In the final trades, Nathan said he would be cautious with the S&P at 1350. Adami said he would buy Watson Pharmaceuticals ( WPI) if it "washes out after earnings" tomorrow. Finerman said she would sell some shares of Timken ( TKR) ahead of its analysts day on Tuesday. And Terranova liked Buckeye ( BPL).

-- Written by David Tong in San Francisco.

>To contact the writer of this article, click here: David Tong.

To submit a news tip, send an email to: tips@thestreet.com.

To watch replays of Cramer's video segments, visit the Mad Money page on CNBC.

Follow TheStreet.com on Twitter and become a fan on Facebook.

More from Jim Cramer

Okta, Celgene, Altria: 'Mad Money' Lightning Round

Okta, Celgene, Altria: 'Mad Money' Lightning Round

Tread Carefully: Cramer's 'Mad Money' Recap (Friday 6/15/18)

Tread Carefully: Cramer's 'Mad Money' Recap (Friday 6/15/18)

Cramer Answers: Does Owning the FAANG Stocks Make You Diversified?

Cramer Answers: Does Owning the FAANG Stocks Make You Diversified?

Don't Rob Peter to Pay Paul When It Comes to Tech Stocks, Cramer Explains

Don't Rob Peter to Pay Paul When It Comes to Tech Stocks, Cramer Explains

This Newly Public Trucking Company Expects Rising Freight Costs to Continue

This Newly Public Trucking Company Expects Rising Freight Costs to Continue