Jim Cramer's 'Mad Money' Recap: A Remarkable Market

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NEW YORK ( TheStreet) -- The averages may have ended the day lower but there are still plenty of stocks on the 52-week and all-time high lists, Jim Cramer said on "Mad Money" Thursday. In fact, nearly 10% of the stocks that make up the S&P 500 are at their 52-week highs, a remarkable feat.

There are certainty stocks that are doing poorly, he added, including Apple ( AAPL), a stock Cramer owns for his charitable trust, Action Alerts PLUS . There's also Lululemon Athletica ( LULU) and Men's Warehouse ( MW). But outside of a select handful of stocks, there's no denying the strength in the market.

Typically, certain sectors just don't trade in unison, Cramer explained. When consumer staples rise, industrials fall; when oils rally, discretionary spending retreats. But today's markets just don't seem to care about what's typical -- they're sending the aerospace and defense stocks higher, even in the face of the sequester and a possible government shutdown.

Oil stocks are at 52-week highs, including EOG Resources ( EOG) and Anadarko Petroleum ( APC). China-centric stocks such as Cummins ( CMI), Emerson Electric ( EMR) and Wynn Resorts ( WYNN) have made homes on the list as week. Cramer said even the semiconductor names have managed a rally -- just look at Micron Technology ( MU) for proof.

It is truly an extraordinary moment, said Cramer, which has him both impressed but also remaining cautious and raising cash anytime the market manages another rally.

Executive Decision: Michael Weiss

Apparel retailers have been hit or miss lately, and that's why Cramer used his "Executive Decision" segment to sit down with Michael Weiss, chairman and CEO of Express ( EXPR), which just delivered a 6% rise in same-store sales while offering a positive outlook for its expansion plans.

Cramer started off by asking Weiss exactly what it is that Express is selling that no other retailer seems to have. Weiss said that it depends on the day because the retail market is becoming increasingly volatile. He said the key to success in this type of market is to pursue the customer harder than ever.

Weiss added that Express believes there are patterns in what people buy and how they buy it. The key is to identify and anticipate those patterns and go with it. That's why Express stores are continually testing items to determine what the next fashions will be, connecting the dots before their competition does.

When asked if retail is dead in an age where Amazon.com ( AMZN) can delver just about anything in two days or less, Weiss said that there still are experiential aspects to shopping and customers will still shop as some malls and on some streets that offer that superior experience. Those outlets with poor service and selections, he said, are the ones suffering at the hands of online retail.

Turning to the company's stock price, Weiss said that for new public companies, investors and analysts are looking for one thing, consistency. He said there is little tolerance for unexpected results. Cramer agreed, saying that Express is one of the few winners in the apparel group.

Off the Tape

In his "Off the Tape" segment, Cramer sat down with Jon Steinberg, president and COO of the privately held social news Web site BuzzFeed to discuss both the upcoming Twitter initial public offering and how business is going.

Steinberg said Twitter will be the first purely social IPO to hit the market. He said companies like Facebook ( FB) rely more in traditional advertising to fund their business, but Twitter relies on native advertising -- which is content-driven -- and not big, distracting banner ads.

Steinberg continued that there is a lot of room for Twitter to grow because native and social advertising are eating a lot of dollars that used to go towards traditional banner ads. He expects the Twitter valuation to be between $10 billion and $20 billion, but noted that unlike Facebook, Twitter's IPO will be earlier in its growth, leaving more potential upside for investors.

Turning to BuzzFeed, Steinberg said his Web site offers content geared towards younger people, calling it more leisure content to contrast much of the harder news that mainstream outlets gear toward an older audience.

Unlike traditional news outlets, BuzzFeed lets its writers write whatever they think is interesting. Then the Web site looks at all the content every 15 minutes to determine which articles are the most compelling for its audience. Those articles are then promoted more and ultimately reach the widest audience. The same process is applied to advertising. While walled off from the editorial group, ads are carefully written and shown only to those who would be most interested. If the ad does well, it propagates; if not, it withers.

Despite BuzzFeed's increasingly popular model, Steinberg said his focus is still on growing and acquiring great content and not on being acquired of going public himself.

Cramer said BuzzFeed seems to have reinvented journalism and is succeeding where so many others are failing.

Lightning Round

In the Lightning Round, Cramer was bullish on Facebook, Statoil ( STO), InterMune ( ITMN) and Jack in the Box ( JACK).

Cramer was bearish on Newfield Exploration ( NFX), LightInTheBox ( LITB) and Annaly Capital ( NLY).

Takeover Prospects

On the news that Molex ( MOLX), makers of plugs, connectors and sockets, is being taken over for a big premium, Cramer immediately went to work looking for other possible takeovers in the space.

Cramer said that the money's already been made in Molex, but investors could consider the two other connector makers, Amphenol ( APH) and TE Connectivity ( TEL), formerly part of Tyco Electronics. Between the two, Cramer said Amphenol is too expensive, trading at 18.7 times earnings, but he'd be a buyer of TE Connectivity.

TE Connectivity is exactly the type of stock that does better as the economy improves, said Cramer, which is why its shares are just off the 52-week highs. Given the 10.4 multiple given to Molex, Cramer said TE Connectivity should fetch at least a 10% premium given where it trades now. But TE Connectivity is also a much bigger and better company, he noted, making it worth a whole lot more.

Among the things Cramer found to like about TE Connectivity is the company's stronger margins, its greater exposure to the red-hot auto sector and its growing international exposure, especially in Europe. All in all, Cramer said he thinks TE Connectivity could see a 29% pop now that the spotlight is shining on the group.

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

To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here.

-- 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 AAPL, APC and FB.

Jim Cramer, host of the CNBC television program "Mad Money," is a Markets Commentator for TheStreet.com, Inc., and CNBC, and a director and co-founder of TheStreet.com. All opinions expressed by Mr. Cramer on "Mad Money" are his own and do not reflect the opinions of TheStreet.com 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 TheStreet.com, 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 TheStreet.com 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, TheStreet.com 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 TheStreet.com, 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 TheStreet.com. 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 TheStreet.com, 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.

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