Cramer's Mad Money - 3 Wide Receiver Stocks (9/4/14)

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 |  Includes: AVAV, COST, DECK, HAIN, LMT, MMM, NFLX, NOC, PRGO, PVH, REGN, RH, TEVA, TSLA
by: Miriam Metzinger

Stocks discussed on the in-depth session of Jim Cramer's Mad Money TV Program, Thursday September 4.

Wide Receiver Stocks: Tesla (NASDAQ:TSLA), Netflix (NASDAQ:NFLX), Regeneron (NASDAQ:REGN). Other stocks mentioned: Teva (NASDAQ:TEVA), Perrigo (NASDAQ:PRGO), Restoration Hardware (NYSE:RH)

Wide receivers tend to be the fastest men on the football field. These wide receivers are represented by momentum stocks. Tesla has been a roller coaster ride this year as shareholders worried about valuation. Now it has rallied to just below its all-time high. CEO Elon Musk is a visionary, and sales of cars are ramping up.

Netflix (NFLX) has won the at-home streaming video contest. It is raising prices, and no one seems to mind. It is practically indispensable and has winning content. The stock has risen 30% for 2014.

Regeneron (REGN) was one of Cramer's first Mad Money picks and has rallied in that time tremendously. It has a macular generation drug and a new anti-cholesterol drug, and is a stock worth buying whenever it declines.

Cramer took some calls:

Restoration Hardware (RH) is a very expensive stock and has a high multiple. Cramer feels good about it, but retail is spotty. Cramer would buy half before it reports and half after earnings.

Teva (TEVA): Cramer prefers Perrigo (PRGO) for generics, and it has easy comparisons.

The U.S. Economy Is Getting Stronger, Europe Is Getting Weaker: PVH (NYSE:PVH), Costco (NASDAQ:COST), Hain Celestial (NASDAQ:HAIN), AeroVironment (NASDAQ:AVAV), Lockheed Martin (NYSE:LMT), Northrop Grumman (NYSE:NOC)

While the U.S. economy is getting stronger, Europe is faltering. The Europeans are increasingly putting their savings in the U.S. America's manufacturing base is increasing, retail has been strong, and job numbers are likely to keep improving. Commodity prices are declining, and August was a solid month for the U.S. economy. PVH (PVH) CEO Manny Chirico said the back-to-school season was strong. Costco (COST) posted high single digit same-store sales, and autos saw robust sales. Housing isn't strong, but the American consumer is spending.

Cramer took some calls:

Hain Celestial (HAIN) is seeing the benefit for natural and organic foods going mainstream. It has years of growth ahead.

AeroVironment (AVAV) is not so great. Lockheed Martin (LMT) is the strongest defense stock and Northrop Grumman (NOC) has a good dividend.

CEO Interview: Angel Martinez, Deckers (NASDAQ:DECK)

Deckers (DECK) is making a comeback, and is up over 130% since last year. The company is innovating with new offerings beyond its regular footwear and it sells products to omni-channel brands. While some retailers are suffering from "show rooming," when customers go to the actual store only to inspect an item they want to buy online, CEO Angel Martinez says he is seeing "web-rooming," when customers do homework on the web to prepare for buying shoes at the stores. Deckers has a new running shoe with more padding and less bulk for runners, and it should increase comfort while decreasing injuries.

Tight End Stock: 3M (NYSE:MMM)

Tight end stocks, like football players with that position, are flexible. 3M is the ideal stock to fit the tight end position. 3M (MMM) is a defensive stock with a 3.2% yield. Lately, its growth has been rising. It is an industrial, but that isn't worrying, because its end markets are diverse. The company reported sales growth of 4.9%, and even though overseas exposure may be a disadvantage, it is "king of emerging markets" and an "innovation machine." The company is flush with cash and has a healthy buyback.

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