(Story updated to add Cramer's comments on the picks of callers in his "Am I Diversified?" segment.) NEW YORK ( TheStreet) --It's still not to late to take some money off the table. That was Jim Cramer's takeaway for his "Mad Money" TV show viewers Wednesday. He told investors to forget about how the major averages are fairing and instead focus on individual stocks, some of which are doing well while others are imploding. Cramer said that in the markets of old, stocks tended to trade together, but not in today's market. In today's market, companies like Cypress Semiconductor ( CY), a Cramer favorite, announced seriously disappointing earnings, while rivals like Qualcomm ( QCOM) and Broadcom ( BRCM), a stock which Cramer owns for his charitable trust,
Apple Trade"It's getting difficult to trade Apple," Cramer told viewers on the heels of the company's big iPad announcement earlier today. He said the better strategy, "invest in Apple." Cramer said that many pundits are weighing in on whether Apple ( AAPL), an Action Alerts PLUS name, is worth owning after the stocks' big run ahead of the announcement. Traditionally, Apple shares have run up ahead of new products, only to sell of afterwards. But Cramer said he's done trying to trade Apple, he'd just rather own it for the long haul. Will consumers buy the new iPad in droves? Absolutely, said Cramer. Moreover, the device is making major in-roads in the corporate world as Research In Motion's ( RIMM) Blackberry is riding off into the sunset. Cramer also cited a recent USA Today article noting that older iPads are being handed down to family members as newer models are released. He said this is the same pattern that the iPod followed, as kids introduced the new, hot devices to their parents. Cramer said no matter how you look at it, shares of Apple are still cheap and are still worth owning for the long haul.
Seasoned Dot-ComLooking for an Internet stock? Cramer said "forget about the dot-com IPOs" like Pandora ( P), Yelp ( YELP) and Groupon ( GRPN). What investors really need is a seasoned dot-com that's been around the block a few times. Cramer said that IAC Interactive ( IACI) is the polar opposite of a stock like Yelp. This company has no hype, but a ton of earnings. Shares of IAC are largely overlooked on Wall Street, explained Cramer, but that hasn't prevented shares from rising 49% last year and an additional 10% so far this year. IAC now trades just off its 52-week high. IAC has been a consistent earner ever since the company split itself into five separate entities in 2008. The remaining IAC properties consist largely of Match.com, the preeminent dating Website that accounts for one quarter of its revenues and nearly half of its profits. With 1.7 million subscribers, Cramer said that Match.com does the Internet right, offering proprietary content that keeps people paying up month after month. Match.com revenues were up 46% this past quarter. IAC also has a lucrative search business, a segment which saw revenues increase by 35%. Instead of competing with Google ( GOOG) directly, Cramer said that IAC largely uses search toolbars, which increases loyalty. IAC is also a shareholder friendly company. It's huge stock buyback program has reduced the company's share count by 42% over three years noted Cramer, leaving the company trading at just 14.5 times earnings with a 14.5% long term growth rate.
Growth and YieldIn the "Executive Decision" segment, Cramer sat down with Mike Stice, president and CEO of Chesapeake Midstream Partners ( CHKM), a natural gas gathering master limited partnership with a 12% growth rate and a juicy 5.4% dividend yield. Stice started off by saying that he's encouraged by the Obama administration's recent support for natural gas vehicles. He said the move will give consumers a choice to use a low-cost fuel that's good for the environment and ultimately that means more demand for domestic natural gas. He was also equally excited about a recently announced partnership between Chesapeake Energy ( CHK) and General Electric ( GE) to offer home fueling stations for natural cars in homes that already use natural gas for heating and cooking. "The same pipe that delivers gas for your heat can also fuel your car," he said. Stice also commented on the benefits of owning a master limited partnership. He said that the performance of MLPs in 2011 was "awesome," but he also noted that not all MLPs are created equal. Some, like Chesapeake Midstream, are 100% fee based, meaning that have no risk to the price of natural gas itself. Other MLPs are at least partially dependent on the price of the commodity they move. Stice also clarified the company's relationship with Chesapeake Energy. He said that Chesapeake Midstream is not beholden to its larger sibling and his company has good governance and independent directors to make sure the assets they acquire are right for the company. That said, Stice indicated that Chesapeake is a great partner and there's no doubt that distributions to shareholders will be increasing in the future. Cramer said that Chesapeake Midstream is one of only a few companies that offer growth plus yield.
Lightning RoundCramer was bullish on EOG Resources ( EOG), SPDR Gold Shares ( GLD), HEICO ( HEI) and Interactive Brokers ( IBKR). Cramer was bearish on Avon Products ( AVP), Hess ( HES), Barrick Gold ( ABX), Dell ( DELL), John Deere ( DE) and Corning ( GLW).