Cramer's 'Mad Money' Recap: The Clear Value of Mixed Data

Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener.

NEW YORK ( TheStreet) -- When it comes to the stock market, the best thing you can get is mixed data, Jim Cramer told his "Mad Money" TV show viewers Thursday. Cramer said that's what is propelling the market higher.

What exactly is "mixed data?" Cramer said it's a weak leading economic indicator number with a stronger jobs number. It's higher consumer sentiment from one firm while another predicts a five-month low. It's good manufacturing numbers over here, with weak numbers over there.

Why should investors like mixed economic data? Cramer said mixed data mean the Federal Reserve doesn't have to worry about inflation and can remain in pro-growth mode. That notion alone accounts for much of the 2,440-point gain in the Dow Jones Industrial Average so far in 2013.

Among the biggest contributors to that gain are Boeing ( BA), which is selling fuel-efficient Dreamliners to combat rising fuels costs. 3M ( MMM) also makes the list, as that company is seen as a big beneficiary as the economy improves. On the flip side, investors have also been clamoring for Johnson & Johnson ( JNJ) as a hedge in case the mixed data turn bad.

There will certainly be some disappointments in the "mixed bag" market, said Cramer, as seen today with Google ( GOOG), Microsoft ( MSFT), eBay ( EBAY) and Intel ( INTC), but those are all par for the course. While some stocks may stumble, the vast majority are on the move higher.

Executive Decision: Mike Sutherlin

In the "Executive Decision" segment, Cramer sat down with Mike Sutherlin, president and CEO of Joy Global ( JOY), a stock Cramer owns for his charitable trust, Action Alerts PLUS , and one that's down 20% for the year on fears of a slowing Chinese economy.

Sutherlin said much of the weakness in Joy Global's stock stems from a general lack of understanding about his company's business model. He said while many investors view the company as a capital equipment supplier, in fact nearly 60% of Joy's business comes from service and support services in the after-market. While capital equipment is a volatile business, in the after-market things are much more stable, Sutherlin noted.

When asked about the company's outlook, Sutherlin said both he and his customers have been disappointed with the lack of growth thus far. He said everyone expected the recovery to be farther along as this point than it is. However, Joy's order rate has been consistent, indicating things have stabilized. Looking at the projects that his customers are planning, it's looking very solid.

In the end, Sutherlin said, there may be weakness in the short term but looking longer term he sees only upside for Joy Global. Cramer said he agreed with Sutherlin's outlook and remains optimistic, even though shares are down for Action Alerts PLUS.

Executive Decision: Bob Dudley

In his second "Executive Decision" segment, Cramer sat down with Bob Dudley, CEO of BP ( BP). Three years after the Macondo oil spill in the Gulf of Mexico, Cramer said BP has become a terrific company, beating earnings by 22 cents a share and paying a hefty 4.9% dividend yield. However, it is still being held back by litigation despite having $42 billion in reserves set aside for damages.

Dudley said BP has always acknowledged there was a terrible accident in the Gulf of Mexico and immediately stepped up to meet all its obligations, which it has continued to do for the past three years.

He said BP remains committed to paying all legitimate claims for damages but that process has been hijacked by broad interpretations of the company's settlement agreement. BP plans to fight against the illegitimate claims that have nothing to do with the oil spill.

Outside of the litigation, Dudley said BP is not being distracted and has growth and momentum going in its favor with a huge pipeline of new projects in the works. He said BP will remain primarily an oil producer but it does have some natural gas projects in the works as well.

When asked about rising gasoline prices here at home as our country continues to export gasoline and other refined products, Dudley said U.S. gasoline prices are set by the global price of oil, which has been once again on the rise. He noted that every time prices go up, the oil industry is investigated. Unfortunately, there is little the industry can do to break the global linkage.

Cramer said that he's a believer in BP, both the company and its ability to rein in the fraudulent litigation.

Lightning Round

In the Lightning Round, Cramer was bullish on Sprint ( S), Cree ( CREE), Opko Health ( OPK), Zynga ( ZNGA), Sirius XM Radio ( SIRI), First Solar ( FSLR), Synovus Financial ( SNV) and SanDisk ( SNDK).

Cramer was bearish on Rackspace Hosting ( RAX), Revolution Lighting Technologies ( RVLT) and JinkoSolar ( JKS).

Executive Decision: Bill McDermott

In a third "Executive Decision" segment, Cramer spoke with Bill McDermott, co-CEO of SAP ( SAP), the cloud computing player that's been down on its luck. Shares have slid 8% for the year as the company reported a weaker-than-expected quarter.

McDermott said every company will eventually need cloud computing because it provides the most innovation at the lowest possible cost. That said, he noted that companies offering cloud solutions can still have good margins but being in the cloud usually means different revenue recognition models that can disrupt normal flows. SAP remains committed to the promise of moving entire companies to the cloud, McDermott said.

When asked about weakness in the Asia-Pacific region, McDermott said that slow growth in China did spill over to Australia and Japan, but many orders were just postponed and not cancelled. He predicted that in six months the region would be back to the levels SAP was expecting. In Europe, McDermott was also positive, saying southern Europe is growing well and even Germany was able to post a gain for the quarter.

All of these factors led to SAP being able to reiterate its full-year guidance, which is why Cramer remains bullish on the company.

No Huddle Offense

In his "No Huddle Offense" segment, Cramer asked the question, "How did so many tech companies not see mobile and cloud coming?"

He said it was clear on their conference calls that many tech firms, from Intel ( INTC) to Yahoo! ( YHOO) to Oracle ( ORCL), were caught totally off-guard by these emerging tech trends, while others like SanDisk and Xilinx ( XLNX) are flourishing from them.

Cramer said it's sad that a great company like Intel ceded the Internet revolution to Cisco ( CSCO) and now cedes mobile to Qualcomm ( QCOM). Meanwhile, Oracle struggles to sell legacy software to the enterprise against ( CRM), which was built from the ground up to be a next-generation platform.

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

-- Written by Scott Rutt in Washington, D.C.

To email Scott about this article, click here: Scott Rutt

Follow Scott on Twitter @ScottRutt or get updates on Facebook, ScottRuttDC
At the time of publication, Cramer's Action Alerts PLUS had a position in CSCO and JOY.

Jim Cramer, host of the CNBC television program "Mad Money," is a Markets Commentator for, Inc., and CNBC, and a director and co-founder of All opinions expressed by Mr. Cramer on "Mad Money" are his own and do not reflect the opinions of or its affiliates, or CNBC, NBC Universal or their parent company or affiliates. Mr. Cramer's opinions are based upon information he considers to be reliable, but neither, nor CNBC, nor either of their affiliates and/or subsidiaries warrant its completeness or accuracy, and it should not be relied upon as such. Mr. Cramer's statements are based on his opinions at the time statements are made, and are subject to change without notice. No part of Mr. Cramer's compensation from CNBC or is related to the specific opinions expressed by him on "Mad Money."

None of the information contained in "Mad Money" constitutes a recommendation by Mr. Cramer, or CNBC that any particular security, portfolio of securities, transaction, or investment strategy is suitable for any specific person. You must make your own independent decisions regarding any security, portfolio of securities, transaction, or investment strategy mentioned on the program. Mr. Cramer's past results are not necessarily indicative of future performance. Neither Mr. Cramer, nor, nor CNBC guarantees any specific outcome or profit, and you should be aware of the real risk of loss in following any strategy or investments discussed on the program. The strategy or investments discussed may fluctuate in price or value and you may get back less than you invested. Before acting on any information contained in the program, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.

Some of the stocks mentioned by Mr. Cramer on "Mad Money" are held in Mr. Cramer's Action Alerts PLUS Portfolio. When that is the case, appropriate disclosure is made on the program and in the "Mad Money" recap available on The Action Alerts PLUS Portfolio contains all of Mr. Cramer's personal investments in publicly-traded equity securities only, and does not include any mutual fund holdings or other institutionally managed assets, private equity investments, or his holdings in, Inc. Since March 2005, the Action Alerts PLUS Portfolio has been held by a Trust, the realized profits from which have been pledged to charity. Mr. Cramer retains full investment discretion with respect to all securities contained in the Trust. Mr. Cramer is subject to certain trading restrictions, and must hold all securities in the Action Alerts PLUS Portfolio for at least one month, and is not permitted to buy or sell any security he has spoken about on television or on his radio program for five days following the broadcast.

If you liked this article you might like

Could Starbucks Be Affected In a Trade War?

Could Starbucks Be Affected In a Trade War?

World's Biggest Industrials Suffer From U.S.-China Trade Spat

World's Biggest Industrials Suffer From U.S.-China Trade Spat

3 Reasons Why the Dow Jones Industrial Just Got Smashed to Pieces

3 Reasons Why the Dow Jones Industrial Just Got Smashed to Pieces

These Stocks Could Have the Most to Lose in a Trump Trade War With China

These Stocks Could Have the Most to Lose in a Trump Trade War With China

Dow Sinks 724 Points, or Nearly 3%, After Trump Announces China Trade Action

Dow Sinks 724 Points, or Nearly 3%, After Trump Announces China Trade Action