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Stocks discussed on the in-depth session of Jim Cramer's Mad Money TV Program, Monday July 22.

The Oil Spread Is Dead: Continental Resources (NYSE:CLR), Whiting Petroleum (NYSE:WLL), Kodiak Oil & Gas (NYSE:KOG), Carrizo Oil & Gas (NASDAQ:CRZO), EOG Resources (NYSE:EOG), HollyFrontier (NYSE:HFC), Concho Resources (NYSE:CXO), Nordic American Tankers (NYSE:NAT), Marathon Oil (NYSE:MRO), Apache (NYSE:APA)

The infamous spread between Brent Crude and West Texas Intermediate [WTI] may finally be dead. The huge gulf in price is now little more than a sliver, since WTI has risen in price and Brent has stayed constant. This is good news for landlocked oil plays that had difficulty getting oil to the coast to be priced with Brent. The lack of pipelines was to blame for the price differential, but now that there is more pipeline, WTI is finally coming close to getting the price it deserves. This is good news for Continental Resources (CLR), Whiting Petroleum (WLL), Kodiak Oil & Gas (KOG), EOG Resources (EOG), Carrizo Oil & Gas (CRZO) and Concho Resources (CXO). The best play of all may be the beaten down Nordic American Tankers (NAT), which suffered from the price differential. Inland refiners, which once benefited from the price differential, now will be hurting. Cramer would avoid HollyFrontier (HFC) and Marathon Oil (MRO).

Cramer took some calls:

Apache (APA) is a good oil play.

Europe Is Turning: General Electric (NYSE:GE), McDonald's (NYSE:MCD), Honeywell (NYSE:HON), PPG Industries (NYSE:PPG), Johnson Controls (NYSE:JCI), Ingersoll Rand (NYSE:IR), V.F. Corp. (NYSE:VFC), SAP (NYSE:SAP), Vanguard FTSE Europe ETF (NYSEARCA:VGK), Cubist Pharmaceuticals (NASDAQ:CBST), Southwest Airlines (NYSE:LUV), US Airways (LCC)

"How many companies have to say that Europe has bottomed before people believe it?" Cramer asked. The turn in Europe is "the real deal." McDonald's (MCD) earnings in Europe were slow, but they weren't so hot domestically as well. General Electric (GE), which has suffered significantly from the European slowdown, may turn around. CEO Jeffrey Immelt says GE's European business has "stabilized" and is seeing "signs of life. We have seen a big improvement in European orders." Honeywell's (HON) CEO Dave Cote says the trends in Europe are "encouraging." PPG Industries' (PPG) CEO Chuck Bunch said that orders in Europe "will get better from here." Ingersoll Rand (IR) is seeing strength in climate control on the Continent. Johnson Controls' (JCI) automotive business in Europe is now turning a profit. V.F. Corp. (VFC) is seeing stronger apparel sales in Europe, SAP's (SAP) management said that even Spain is bottoming, and Manpower (NYSE:MAN), with 64% of its business in Europe is seeing strength in Italy and Spain.

Cramer would play the turn in Europe with any of the above-mentioned stocks on a decline, aside from Manpower (because he is wary of the business model) or Vanguard FTSE Europe ETF (VGK).

Cramer took some calls:

Cubist Pharmaceutical (CBST) is a good stock; "A lot of things are going right."

Cramer likes Southwest Airlines (LUV) which might climb from $13 to $16 or $17, but his favorite in the airline space is US Airways (LCC), which should double following its acquisition of American Airlines.

WhiteWave Foods (NYSE:WWAV), Hain Celestial (NASDAQ:HAIN), Annie's (NYSE:BNNY), Dean Foods (NYSE:DF)

With growing questions about what really is in our food, the organic and natural food trend is strong. Many organic food stocks have seen dramatic gains so far this year, but WhiteWave Foods (WWAV), while up 21% for the year, is a laggard in the sector. Cramer thinks it is cheaper than its peers. It trades at a multiple of 22 with a 20% growth rate, compared to Hain Celestial (HAIN) with a multiple of 25 and a 16% growth rate and Annie's (BNNY) with a multiple of 36 and a growth rate of 22%. Cramer thinks WWAV should be trading anywhere from $21 to $26. The company, which specializes in dairy alternatives, healthy creamers and premium dairy, is in the number one or number two spot in most of its categories. The company beat earnings by a penny last time, but its revenues were light, so the stock sold off. Investors were concerned about slow earnings growth, but the company is investing in its business. WWAV is trying to make the transition to producing 100% of its almond milk internally, a move that will save money in the long run. At the same time, Dean Foods (DF), the former parent company, has completed the spinoff, but last quarter, Dean Foods investors were selling off WWAV shares. Now that the spinoff is complete, WWAV's stock may rise. Cramer thinks WWAV is the cheapest way to play the healthy eating trend.

Lockheed Martin (NYSE:LMT), Rockwell Collins (NYSE:COL), Northrop Grumman (NYSE:NOC), United Technologies (NYSE:UTX)

People were scared of the defense sector early in the year because of worries of sequestration. Ironically, defense stocks have been among the strongest performers in the S&P 500. Lockheed Martin (LMT) is up 25%, Rockwell Collins (COL) is at its highest level since 2008, United Technologies (UTX) has risen 20% and Northrop Grumman (NOC) is up 31%. One reason the sequester hasn't hurt stocks like NOC is that these companies have very long-term contracts, and won't feel the cutbacks for many years. NOC has a significant backlog, as well.

Technical analyst Bob Lang of RealMoney.com points out that the weekly chart shows that NOC's rally has been on high volume. The Williams oscillator has been in overbought territory since March. Lang thinks this is actually a bullish sign, because it shows demand for the stock is strong, even at high prices. The daily chart shows a floor of support at $84, 4 points lower than where the stock trades now. There is no ceiling of resistance, and the MACD Indicator is flashing a 'buy' signal. Cramer thinks that, with NOC reporting on Wednesday morning, the stock is a buy on a pullback, but only after earnings.

Schlumberger's (NYSE:SLB) Perfect Earnings Call

What makes a perfect earnings call? Schlumberger (SLB) surged $78 to $82 in one session, because management said the magic phrases: "5 year plan," "strong projected cash flow," "revenue growth," and "margin expansion." The company plans to continue its aggressive stock repurchase plan, its proprietary technology is attracting new clients, SLB has new markets in once politically sensitive areas like Iraq and Venezuela. Revenue per rig is expanding. In short. SLB is seeing bottom and top line growth and earnings visibility.

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Source: Cramer's Mad Money - The Oil Spread Is Dead (7/22/13)