Cramer's Stop Trading! IBM Is a Think Tank That Earns Well (4/4/11)

 |  Includes: IBM, UA, URBN, WLT
by: Miriam Metzinger

Stocks discussed on Jim Cramer's Stop Trading! TV Segment, Monday April 4.

IBM (NYSE:IBM), Urban Outfitters (NASDAQ:URBN), Under Armour (NYSE:UA), Walter Energy (NYSE:WLT)

IBM (IBM) might seem like "old tech" but "the DNA changed at IBM." Cramer thinks this legendary company is not really a tech, but is a "think tank that earns well," since "they do a lot of great thinking and advising." Cramer thinks the stock goes to $200.

It doesn't seem to matter how well Urban Outfitters (URBN) is really doing, after two lackluster quarters, the company is in a downward spiral, and "I don't see how they are going to get out of it," said Cramer.

While Cramer is often wary of upgrades that are based on multiple expansion rather than earnings, Under Armour (UA) is an accelerating growth story, and deserves to go higher.

Walter Energy (WLT) is an inexpensive, small cap coal play that is poised to break out.


Jim Cramer was up 31% in 2009. Click here now to sign up for Jim's Action Alerts PLUS and trade alongside him. Special discount for Seeking Alpha users.

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