Jim Cramer's Real Money Radio Recap, Nov 2

by: Miriam Metzinger

Recap of Jim Cramer's radio show on Thursday November 2. Click on a stock ticker for more analysis:

Kohl's (NYSE:KSS), Target (NYSE:TGT), Ingersoll Rand (NYSE:IR), American Standard (AS) - Retail is yielding disappointing results as reports from KSS and TGT indicate that inventory is not moving. Cramer thinks this situation is temporary, that these companies are done going down, and he would own them ahead of the holiday season. "The market is forgiving," he went on to say. "It may be down five straight days, but it's not nightmarish, and there are buying opportunities," he said, admitting that he was tempted to think that IR or ASD would stay down, but they have rebounded. One of the reasons for the decline of these stocks, according to Cramer, is that mutual funds have the end of their fiscal years in October, when they take losses to balance their taxes, and sell in November.

Related: Yasar Anwar reports that Berkshire Hathaway recently purchased $270 million worth of Target stock.

Corning (NYSE:GLW), AU Optronics (NYSE:AUO) and Level 3 Communications (NASDAQ:LVLT) - The.Street.com readers voted GLW as the stock they most wanted to discuss, and Cramer says that GLW is a buy. He explained that in the 90s, there was significant overbuilding of fiber lines. However, there will be a renewed demand for fiber in a year, says Cramer who likes LVLT as a speculative play in this area and thinks that AUO and GLW are good fiber stocks.

Caremark (CMX), CVS (NYSE:CVS) and Tribune (TRB) - Cramer calls the acquisition of CMX by CVS "worrisome" and says that CMX may have been bought because its growth was limited or because its ability to compete was hampered by rigged wholesale prices. Cramer also considers the possibility that CVS might have had the growth problem. Cramer warns against buying either stock, and is also worried about TRB which "is a case of the incredible shrinking circulation" and said that radio and newspapers are losing out to Google because the internet company can tell advertisers how many times people click on their ads.

Related: Chad Brand is bullish on the CMX-CVS deal

Yamana Gold (NYSE:AUY) and Lundin (LMC) - Cramer says that when gold stocks run up as they have recently, it's time to wait for them to fall. His top pick in this sector is AUY which is up 160% year over year, and believes that it will rise higher. However, Cramer worries about gold rallies because inflation fears start to set in and people begin talking about interest rate hikes.

Bullish calls:

Las Vegas Sands (NYSE:LVS): Cramer prefers this stock to WYNN.
AU Optronics (AUO): Cramer thinks that big screen TVs will sell well over the holidays and likes this company.

Neutral/Bearish calls:

Wynn Resorts (NASDAQ:WYNN): Cramer doesn't know why WYNN is so high and prefers LVS.
Whole Foods (WFMI): This company has a price-to-earnings multiple that more than double its growth rate, and therefore Cramer is uneasy about WFMI here. He says he would own it at $50.
RadioShack (NYSE:RSH) and Best Buy (NYSE:BBY): Cramer is worried about "big box" retailers right now.

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

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