Jim Cramer's Real Money Radio Recap 7/7

Recap of Jim Cramer's radio show on July 7. Click on a stock ticker for more analysis:

Going Flat: 3M (MMM), Best Buy (BBY), Circuit City (CC), and Advanced Micro Devices (AMD) - When 3M announced that its numbers might be less than expected this quarter because it overestimated the demand for flat-panel liquid crystal display monitors, other stocks in the sector "flattened" and Cramer believes that BBY and CC will also fall. AMD also experienced a drop because of a sales warning. In addition, the number of new jobs last month was less than anticipated, perhaps, as many believe, because of the dwindling housing market. Cramer thinks that there is hope for the economy if the Fed refrains from raising interest rates again.

The Nasdaq's Technical Error: Advanced Micro Devices (AMD), Citrix (CTXS), Network Appliance (NTAP), Google (GOOG), Marvell Technology (MRVL), Microsoft (MSFT) - Although the Nasdaq reeled at the news of AMD's slow sales, AMD is did not fall very far. It is also lowering the price of computer chips, which should make PCs less expensive and should improve sales, notes Cramer, who blames short-selling as the cause of the Nasdaq's extreme reaction. "The whole index is being pushed down, and that's where I would go," Cramer said, singling out CTXS, NTAP, GOOG and MRVL as good picks. Although some the tech sector has been affected by the delay in the release of MSFT's Vista, Cramer notes that this does not apply to all companies.

Bullish calls:

Hansen Natural (HANS): Cramer says that this is one of the best stocks and predicted on Friday that it would split 4 for 1, adding that it has beat out its competitors in the energy drink business.
Walgreen (WAG): Cramer picks WAG as a best-of-breed stock because of its great management and its tendency to go up during a decline; "Walgreen falls into the thesis of what you buy when everything's going down," he said.
UnitedHealth (UNH): Cramer suggests staying with UNH, which he expects to make its numbers and has a good stock chart. He believes that questions over its options backdating will dissipate.
AT&T (T): Cramer says this is a good stock for a sluggish economy
Disney (DIS): Although Cramer thinks that this company is suffering right now because of high gas prices, it is a good long-term stock, and he would buy it now.
Starbucks (SBUX): Cramer would pull the trigger on SBUX, which is almost played out in the U.S., and is expanding in China and Japan.
Halliburton (HAL): Cramer recommends patience with this stock, and that when HAL spins out of its construction business, it will make money.
ABB (ABB): Cramer likes this infrastructure play, which is building more power plants around the world.
Cameco (CCJ): Uranium will remain solid, says Cramer, who likes CCJ as a long-term stock and would pick some up when it goes down.
Alcan (AL): Cramer suggests picking up Alcan.

Neutral/Bearish calls:

Kohl's (KSS): This stock is one point short of a 52-week high, and Cramer suggests letting it fall a bit before buying.
Amgen (AMGN): This stock, which is 3 points away from its low and 20 points down from its high is a cheap biotech, notes Cramer.
New York Times (NYT): Cramer would sell this stock right away, noting that its fundamentals are in shambles.
Alcoa (AA): Cramer suggests switching out of Alcoa and getting into Alcan.

More: Cramer's latest stock picks, including: Mad Money Recap, Lightening Round, Stop Trading and his Radio Show.

Comments

[Barry Digman]

"Hansen Natural (HANS): Cramer says that this is one of the best stocks and predicted on Friday that it would split 4 for 1, adding that it has beat out its competitors in the energy drink business."

He "predicted" a 4:1 split?

The company announced that split a month ago (June 12) effective Monday July 10 for holders on June 30. My accounts show the shares already distributed, although the price won't be adjusted until after tomorrows opening.

Did Cramer happen to predict 2005 earnings last week while he was at it?