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NEW YORK ( TheStreet) -- Don't be so pessimistic that your lose sight of the positives, Jim Cramer told a live studio audience during his annual "Salute To The Troops" on "Mad Money." Cramer said the fiscal cliff is indeed a serious issue, but it may not mean the end of stocks as we know them. That's why Cramer said he'll be watching for movement on the fiscal cliff issue, but he'll also be paying attention to a plethora of earnings and economic data during next week's trading. He said that the week starts on Monday, when Beazer Homes ( BZH) and D.R. Horton ( DHI) will provide an update on the home building market. Then on Tuesday, a slew of retailers including Dick's Sporting Goods ( DKS), Home Depot ( HD), Michael Kors ( KORS), Saks ( SKS) and TJX Stores ( TJX) will be reporting. Each will tell a story said Cramer, whether its Dick's with outdoor apparel, Home Depot's reaction to Hurricane Sandy or Michael Kors and Saks with a read on high end fashions. Wednesday brings earnings from more retailers, including Abercrombie & Fitch ( ANF), Hot Topic ( HOTT), Staples ( SPLS), Williams-Sonoma ( WSM) and Petsmart ( PETM). Cramer said he only expects good things from Williams-Sonoma and perhaps Petsmart. Turning to Thursday, it's Dollar Tree ( DLTR), Wal-Mart ( WMT), Gap Stores ( GPS), Target ( TGT) and Ross Stores ( ROST) taking center stage. Cramer said that he'd be a seller ahead of Wal-Mart, Gap and Target as these retailers could be hurt by Hurricane Sandy. He said Ross may see a bounce off its earnings. Finally on Friday, Cramer said Foot Locker ( FL) will report and provide an excellent look into the health of Nike ( NKE)
Put Excitement in Your PortfolioIn a grim market like this one, investors need some stocks in their portfolios to keep them excited, Cramer told his audience, which is why speculating on biotech is just what the doctor ordered. Cramer said a stock like Tesaro ( TSRO) just may fit the bill. Tesaro has not been a public company for very long, noted Cramer, but it comes with great bloodlines. The company's management already has a proven track record of building companies and selling them for hefty profits. So far, shares of Tesaro are up a modest 11% from the initial public offering price of $13.50 a share.
Tesaro is an oncology-focused company that aims to help improve the lives of cancer patients. It's first drug, Rolapitant, was licensed from Opko Health ( OPK) for a terrific price and is now in Phase III testing. That drug helps prevent nausea in patients undergoing chemotherapy. Tesaro also has two other drugs in early stage testing, one to directly attack tumors and the other to treat specific lung cancers. With over $138 million in cash on its books and no debt, Cramer said that Tesaro is really a $10 stock with a very promising future.
A Veteran of Many BattlesIn the "Executive Decision" segment, Cramer sat down with Bob Benmoche, president and CEO of American International Group ( AIG), as well as veteran of the Vietnam war. Benmoche said that one of the things his military service taught him was leadership and taking responsibility for the people who serve under him. This training came in handy at AIG, he said, as he has to instill confidence in its employees, its customers and its shareholders. Looking back at the financial crisis, Benmoche said AIG's problem was not necessarily with bad loans but liquidity. He said the company simply didn't have enough cash. Had AIG had access to the same resources banks did, he feels the company would not have needed bailout money. The value of AIG's assets, he said, was actually OK, which is why the U.S. government has been able to sell some of its stake for a profit. Benmoche said the government still owns 15.9% of AIG, but has been making smart divestitures and will not disrupt other shareholders as it continues to exit. AIG remains committed to its $13 billion stock buyback program to help protect current shareholders, and the company is also working to improve its credit rating. Turning to Hurricane Sandy, Benmoche called it a significant event that AIG can handle. He said the focus at the moment is paying claims to those in need as quickly as possible. Cramer thanked Benmoche for his military service and continued to recommend AIG's stock.
Lightning RoundIn the Lightning Round, Cramer was bullish on Nordstrom ( JWN), Harley-Davidson ( HOG), Microsoft ( MSFT), Yahoo! ( YHOO), Bristol-Myers Squibb ( BMY), Caterpillar ( CAT), Chevron ( CVX) and Wynn Resorts ( WYNN).
Cramer was bearish on Facebook ( FB), Google ( GOOG) and Caesars Entertainment ( CZR).