Jim Cramer's Mad Money In-Depth Stock Picks and Comments 5/31

Stocks discussed in the in-depth session of Jim Cramer’s Mad Money TV program, Tuesday May 30. Click on a stock ticker for more analysis:

Emerging Markets' Top Five: Tele Norte (TNE), Homex Development (HXM), America Movil (AMX), Tata Motors (TTM), and Bancolombia (CIB)

Cramer says stocks in emerging market countries have been in "the house of pain" for the past three weeks, because investors have been concerned about the effect the Fed's raising interest rates will have on developing economies. This has led to a widespread selloff of these stocks, which Cramer feels is unjustified. "The big fear is that the Fed will destroy all your Third World stocks," he said, and while he acknowledged that, in the past, interest rates hikes did soften emerging markets, "... The conditions that existed then don't exist now." Cramer attributes this to the fact that BRIC economies are more stable than in the past, their fundamentals are good, and they "... aren't just safe, they're cheap," he said. "They will bounce back because they have some of the best stories out there." He listed his five favorite emerging market stocks:

1. Tele Norte (TNE): has a 5% dividend and is planning a $1.3 billion special dividend.

2. Homex Development (HXM): Grew 71% in the last quarter.

3. America Movil (AMX): Cramer believes that this Mexican wireless company should profit from the increasing demand for cell phones as status symbols.

4. Tata Motors (TTM): Cramer says that this Indian automaker won't be hurt by high interest rates, because its success does not depend on US consumers. He believes that more Indians will be buying cars in the near future.

5. Bancolombia (CIB): Cramer recommended this stock last year at $18, and says, "If you bought it, you'd still be up."

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