Cramer's Mad Money - Where Did the Correction Go? (2/16/10)

by: Miriam Metzinger

Stocks discussed on the in-depth session of Jim Cramer's Mad Money TV Program, Tuesday February 16.

Editor's Note: For the next two weeks, Jim Cramer will be broadcasting "Mad Money High Noon" which will air midday. There was no Lightning Round segment yesterday.

Darden Restaurants (NYSE:DRI), Simon Property Group (NYSE:SPG), Mitsui & Company (OTCPK:MITSY), Anadarko Petroleum (NYSE:APC)

Concerning the Dow's rally that began early on Tuesday, Mad Money High Noon guest, CNBC's Bob Pisani remarked, "Where did the correction go?" Commodities, gold and oil all seem healthy and are bouncing back from last week's declines. Cramer remarked on remarkable growth for Darden Restaurants (DRI), Simon Property's (SPG) takeover of General Growth Properties and Mitsui & Company's (OTCPK:MITSY) deal with Anadarko Petroleum (APC). In spite of the good news, Pisani and Cramer concluded that the market is acting randomly without connection to fundamentals and for that reason, many investors are staying out of stocks.

CEO Interview: Duncan Neiderauer, NYSE Euronext (NYSE:NYX)

In spite of NYSE Euronext's (NYX) earnings beat and raised guidance, Moody's downgraded the stock. However, Duncan Neiderauer says investors' patience is going to pay off as the company is preparing to generate more revenues and cut expenses. While 80% of revenues came from listing fees a few years ago, currently 80% of NYSE's revenues are from derivatives, futures and options.The new metric is not market share but derivatives volumes and futures markets. When asked about Washington's role in the economic recovery, Neiderauer says he applauds strategies to create jobs, but thinks raising taxes on transactions will be counterproductive. With strong earnings, improved prospects and a 4.2% dividend, NYSE is a buy, according to Cramer.

CEO interview: Greg Wasson, Walgreen (WAG)

Everyone knows Walgreen; 50% of the nation lives within 2 miles of its 7,655 stores. Even old favorites need improvements, and Greg Wasson described radical upgrades in stores which have a fresher, cleaner, more organized look. The company also provided millions of swine flu and regular flu shots this winter. Trading at just 12 to 13 times earnings, Cramer is bullish on Walgreen, and added; “This is a big complicated turnaround story that’s still in its early innings."

CEO Interview: Jim Hackett, Anadarko Petroleum, Mitsui & Company, Range Resources (NYSE:RRC)

Mitsui & Company and Anadarko Petroleum have been partners in the past in overseas ventures. Now the two companies have made a $1.4 billion deal to give Mitsui a third of Anadarko's reserves of domestic Marcellus shale. While Washington has not yet put natural gas on the top of its energy agenda, Cramer thinks foreign demand for the alternative fuel could spark interest on the home front. Jim Hackett thinks the U.S. needs to take action before its most valuable natural resource becomes its largest export. Cramer is bullish on Anadarko and added Range Resources (RRC) to his list of natural gas picks.

Huntington BancShares (NASDAQ:HBAN), Sirius XM Radio (NASDAQ:SIRI), Intel (NASDAQ:INTC), Apple (NASDAQ:AAPL), Adobe (NASDAQ:ADBE)

Cramer named Huntington BancShares (HBAN) as his top speculative pick for 2010. He remarked Sirius XM Radio's (SIRI) balance sheet is looking cleaner and Intel (INTC) is joining the semiconductor rally. Adobe (ADBE) and Apple (AAPL) are fighting over the future of web video standards, but Cramer thinks Apple is going to keep making gains.


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