Stocks discussed in the in-depth session of Jim Cramer’s Mad Money TV program, Wednesday November 28. Click on a stock ticker for more analysis:
Citigroup (C), Goldman Sachs (GS), Apple (AAPL), Google (GOOG), Research in Motion (RIMM), Intuitive Surgical (ISRG), Amazon (AMZN), Halliburton (HAL), XTO Energy (XTO), Electronic Arts (ERTS), Activision (ATVI)
With striking similarities between the current credit crunch and the crisis in 1990, including a Saudi stake in Citigroup, a dramatic drop in the Dow (in 1990, it fell 11% and is currently down 10%), mergers between major banks (current news is BAC may join forces with Citigroup), Cramer would hunt for bottoms and buying opportunities. While Citigroup was his favorite financial in 1990, Cramer would buy Goldman Sachs now. In the tech sector, his picks include Apple, Research in Motion and Google. Intuitive Surgical will be good short-term, said Cramer, as well as Amazon. To play the hidden natural gas trend, Cramer would buy Halliburton and XTO Energy. He also likes video game stocks Electronic Arts and Activision.
Cramer says diagnostic plays are "the holy grail of defense [and] are the ultimate health care-cost containment names out there." Gen-Probe was recently knocked down from $72 to $65 because of a delay in a trial of its HPV test and the scrapping of a potential deal with 3M, which Henry Nordoff called, "a fantastic company. We just had a difference of opinion." 3M considered GPRO's test too expensive, but Nordhoff believes since companies keep food in inventory while waiting for test results, paying for GPRO's product would be much less than the cost of throwing out spoiled food. The FDA is creating another hurdle by constantly changing their standards for the HPV test. Cramer says this negativity is already priced into GPRO, which is also developing two tests for prostrate cancer and has a "very exciting" and safe story.
Mad Mail: Office Depot (ODP)
Cramer told an Office Depot employee who was asking if he should buy more of the companies stock that he should move on.
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