Cramer's Stop Trading! Crazy for Monsanto (7/21/09)

Stocks discussed on Jim Cramer's Stop Trading! TV Segment, Tuesday July 21.

Schering-Plough (SGP), Merck (MRK), Coca-Cola (KO), Caterpillar (CAT), Monsanto (MON)

While the rest of the healthcare sector performed badly, Schering Plough beat estimates and has risen ten points under the guidance of CEO Fred Hassan. While many are critical of SGP's planned merger with Merck, Cramer approves of the deal. Cramer thinks Schering-Plough is a "must buy."

Coca-Cola's report was strong but perhaps drowned out by Caterpillar's news that the global economy is recovering. Since Coke has seen a significant gain, Cramer wouldn't recommend it as a buy here, but commented on the surprising rise in cola consumption.

While investors had given up on Monsanto, it is developing a new corn seed "that everyone will go crazy over." The new seed will mean an increase of crops even in the "out years," and Cramer would be among the first to jump into Monsanto.

Cramer says he expects "some phenomenal data in this country year over year,” since last summer and fall saw the collapse of Lehman Brothers and the crash that followed. Strong compares with last year should provide the impetus to buy stocks.

:::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::

Seeking Alpha publishes a summary of Jim Cramer's stock picks every day including: Mad Money Recap, Lightning Round and his Stop Trading! Picks.

Get Cramer's Picks by email-- it's free and takes only a few seconds to sign up.

Seeking Alpha is not affiliated with Jim Cramer, CNBC or TheStreet.com

Comments

[long_on_oil:]

I sold my Monsanto based on Cramers recommendation less than 2 weeks ago. He talked about how the analyst could see Monsanto falling below $50 because of the loss of patient on Roundup. Now he is high on Monsanto.
I watch Cramer almost everynight but seldom take his advise. I wish I had not taken his advise on this one. I did buy Monsanto back yesterday and the total loss of the 2 trades was only $200+, I guess I should send Cramer the bill...LMAO

Jul 22 12:14 PM

[Ham Radio:]

It's easy to make money off the shill Cramer, just do the opposite of his recommendations. He was dead wrong on Monsanto two weeks ago, and when the price plunged we backed up the truck. Do the homework, folks.

Jul 22 04:53 PM