Q3 2009 Earnings call

July 23, 2009 5:00 PM ET

After these 3 limit orders hit, all but 1 of my limit orders from the past week on the short side have now executed. Instead of "chasing" to get short exposure, I waited patiently and a slew of these finally came online (granted some we quickly were chased right back out of) but if we had put these on Monday or Tuesday a lot of pain would of been achieved.

I will explain the similar thinking in all 3, but again if we gap up on the next "surprise" earnings, it will be irrelevant, hence I will have my stops in and ready to bail. We are now quickly approaching the S&P 930 area where we had trouble with a few weeks ago, 925-930 was the "top end" of the range we kept hitting. If we blast through, the bulls will be very emboldened here.

Back a few weeks ago, we posted some names that had "gaps" to fill in their charts [Jun 22: Gaps Filling and To Be Filled?] - James River Coal (JRCC) has filled its gaps, and we also listed Research in Motion (RIMM) and A-Power Energy (APWR) - here are updates on their progress; both of these of course would require a swan dive.

I found a few more as I scan charts - some in much more reasonable ranges; frankly there are quite a few out there, since we had so many pre-market "futures happy" purchase programs in April especially. If you have any, please let me know in comments and I'll add it to this chart (no penny stocks or sub $5 type of stuff) I actually want to be long some of these names at the bottom of their "gaps," if and when they get filled.

Q2 2009 Earnings Call

April 22, 2009 6:00 pm ET

F1Q09 Earnings Call

January 20, 2009 6:00 pm ET

F4Q08 Earnings Call

November 19, 2008 6:00 pm ET

This is a continuation of my look into which companies in the Wise Energy Use index seem to have the financial strength to survive a prolonged slowdown.  I generally liked the efficient lighting companies in the index, but wasn't thrilled by any of the electric vehicle picks. This article looks at the energy management and metering companies described here, many of which were also featured in my article on smart metering.

Many of these companies sell their products to utilities, not consumers, so their revenues should be less vulnerable to a drying up of consumer credit than most. 

• Ofheo warns of more GSE writedowns. Fannie (FNM) and Freddie (FRE) regulator Ofheo cautions the GSEs may be hit by more writedowns after they expanded their purchases of subprime and Alt-A mortgages even as other investors fled. The value of their $217B in 'non-agency' debt continues to fall as other firms write down their portfolios. "To the extent that [other] institutions recognize fair value losses on their private-label portfolios under GAAP, Fannie Mae and Freddie Mac may have to do so as well," it says. Freddie's exposure appears to be about twice that of Fannie.
• Fannie, Freddie books under scrutiny. Officials from the Fed and the Office of the Comptroller of the Currency are 'combing' the books of Fannie Mae (FNM) and Freddie Mac (FRE), a source says, to assess the GSEs' financial condition in case the government needs to step in and take them over. Their regulator Ofheo has said their capital remains above regulatory minimums. Treasury Secretary Henry Paulson said Monday he still believes the firms have enough cash, but admitted to some confusion as to whom to believe - the markets or Ofheo.
After you finish reading Wall Street BreakfastSeeking Alpha's Market Currentswill keep you current all day long.
• Apple dives on weak outlook, Jobs's health. Shares of Apple (AAPL) fell more than 10% in extended trading despite EPS and revenue that exceeded analyst consensus after its FQ4 outlook disappointed (see below), and investors continued to fret over CEO Steve Jobs's health. Apple did little to dispel the speculation when the inevitable question came up: "I’m really sorry to ask, because it’s a very private matter, but would you mind addressing" yesterday's NY Post report that called the venerated chief's health into question, Lehman's Ben Reitzes asked during the company's earnings call. "Ben, Steve loves Apple. He serves as the CEO at the pleasure of Apple's board, and has no plans to leave Apple. Steve’s health is a private matter."
• TV's about to get costlier. TiVo (TIVO) is looking to turn the remote control into an electronic credit card. In partnership with Amazon.com (AMZN), viewers will soon be seeing links to buy products like CDs, DVDs and books that appear on, say Oprah, Letterman, The Daily Show - or The Simpsons - during both live programming and commercials.
• GE and Mubadala launch multi-billion dollar global investment fund. GE (GE) is partnering with Abu Dhabi's Mubadala Development Co. in an $8B fund ($4B each) to invest in financial assets hurt by the global credit crunch. The two hope to reach $40B in assets. "We can use our unique financial and industrial capabilities to establish profitable relationships across a number of businesses and we welcome them as a long-term shareholder," GE CEO Jeffery Immelt said.
• Brocade to buy Foundry Networks. Brocade Communications Systems (BRCD) said late Monday it will acquire Foundry Networks (FDRY) for $19.25 in cash and stock. Brocade says the move will help it develop "a networking infrastructure strategy that will serve as the foundation for capitalizing on these dynamic opportunities." Foundry closed at $13.66, and jumped 32% to $18.08 in AH trading. Keep an eye on Foundry's (FDRY) peers: NT, ALU, COMS, JNPR, and FFIV.
• Roche offer attracts analyst scorn. Analysts unanimously decided Roche's (RHHBY.PK) offers to buy the 44% of Genentech (DNA) it doesn't own for $89/share ($43.7B) (a one-day premium of 8.8% and one month premium of 19%) way undervalues the company. Lazard analysts said DNA will likely strive to remain independent, while Bernstein's Geoffrey Porges cautioned a Roche/Genentech link-up would cause "an irrevocable breach in [the pair's] relations," and many DNA top scientists would likely move on if it became a research arm of Roche. Rodman and Renshaw called Roche's $89 opening bid laughable. Shares finished +15% to $93.88, indicating markets tend to agree it's a lowball.
• Vytorin study disappoints. Shares of Schering-Plough (SGP -12%) and Merck (MRK -6%) plunged Monday after their jointly-produced cholesterol drug Vytorin proves ineffective for treatment of aeortic valve disease, and raises cancer red flags. Earnings shortfalls sent the pair further down in extended trading (see below).
• Accounting errors lead to WellCare earnings restatement. WellCare Group (WCG) said after the close Monday it will restate its financial statements from 2004 to Q2 2007 due to accounting errors, which will lead to reduced EPS over some of the periods. Shares gained 6% in AH trading.
• ICSC's weekly retail sales index rose by 0.1%.
• June Leading Indicators: -0.1%, in-line. May -0.2% revised from +0.1%. The decline has moderated, but continues to be widespread.

Earnings: Tuesday Before Open

• Assured Guaranty (AGO): Sees Q2 EPS of $0.42 vs. $0.57. AGO says it's disturbed by Moody's 'possible downgrade' Monday, which it sees as unjustified. [PR]
• Autoliv (ALV): EPS of $1.24 beats by $0.01. Revenue of $1.91B (+10.4%) in-line. [PR]
• Baker Hughes (BHI): Q2 EPS of $1.36 beats by $0.12. Revenue of $3B (+18.1%) vs. $2.76B. [PR]
• BJ Services (BJS): EPS of $.048 beats by $0.08. Revenue of $1.33B (+15.2%) vs. $1.24B. Sees FQ4 EPS of $0.54-0.57 vs. $0.50. [PR]
• Canadian Pacific Railway (CP): EPS of C$1.00 misses by $0.02. Revenue of C$1.22B (+0.4%) in-line. [PR]
• Caterpillar (CAT): EPS of $1.74 beats by $0.20. Revenue of $13.62B (+20%) vs. $12.69B. Shares +2.5%. "Never in my 35 plus years with the company have I seen Caterpillar do so well in the face of such a difficult economic climate in the U.S." [PR]
• Check Point Software (CHKP): Q2 EPS of $0.43 in-line. Revenue of $200M (+13.3%) vs. $195M. [PR]
• CME Group (CME): EPS of $3.93 beats by $0.08. Revenue of $563M (+71.1%) in-line. [PR]
• Corn Products International (CPO): EPS of $0.90 beats by $0.07. Revenue of $1.03B (+20%) in-line. Sees full-year EPS of $3.15-3.35 vs. $3.11. [PR]
• Domino's Pizza (DPZ): EPS of $0.22 misses by $0.01. Revenue of $334 (-1.8%) vs. $332. "Returning to positive sales comps in the U.S. has proven difficult." [PR]
• DuPont (DD): EPS of $1.11 beats by $0.04. Revenue of $8.84B (+12.2%) vs. $8.47B. [PR]
• Ericsson (ERIC): Q2 EPS of 0.60 kroner misses by 0.37. Revenue of 48.53B kroner vs. 48.08B. Operating profit fell to 2.89B from 9.26B a year ago. Margin fell to 10% from 19%. [DJ]
• Fifth Third Bancorp (FITB): EPS of $0.05 beats by $0.05. [PR]
• Forest Laboratories (FRX): EPS of $0.87 beats by $0.07. Revenue of $967M (+4.2%) in-line. Shares -0.4%. [PR]
• Freeport-McMoRan (FCX): EPS of $2.25 misses by $0.19. Revenue of $5.44B (unchanged). Shares -3.2%. [PR]
• Gentex (GNTX): EPS of $0.19 misses by $0.01. Revenue of $170M (+4.3%) in-line. [PR]
• Halliburton (HAL): EPS of $0.68 in-line. Revenue of $4.49B (+20.1%) vs. $4.25B. [PR]
• JetBlue Airways (JBLU): EPS of -$0.03 beats by $0.04. Revenue of $859M (+17.7%) in-line. [PR]
• KeyCorp (KEY): EPS of -$2.70 misses by $0.12, including a previously disclosed $1B tax charge. Will reduce dividend in Q3. [PR]
• Lexmark (LXK): EPS of $0.96 beats by $0.18. Revenue of $1.14B (-5.7%) in-line. [PR]
• Lockheed Martin (LMT): EPS of $2.01 beats by $0.13. Revenue of $11.04B (+3.6%) vs. $10.86B. [PR]
• PACCAR (PCAR): EPS of $0.86 beats by $0.02. Revenue of $3.78B (+10.3%) in-line. Shares -4%. [PR]
• Regions Financial (RF): EPS of $0.39 misses by $0.03. Reduces dividend to $0.10 from $0.38. Shares -4%. [PR]
• SunTrust Banks (STI): EPS of $0.78 beats by $0.14. Revenue of $2.6B (+9.4%) vs. $2.13B. [PR]
• SuperValu (SVU): EPS of $0.79 beats by $0.03. Revenue of $13.35B (+0.4%) vs. $13.19B. [PR]
• UnitedHealth (UNH): EPS of $0.67 beats by $0.03. Revenue of $20.27B (+6.7%) vs. $20.04B. Sees full-year EPS of $2.95-3.05 vs. $2.95. [PR]
• UPS (UPS): EPS of $0.85 in-line. Revenue of $13B (+6.7%) vs. $12.81B. Sees full-year EPS of $3.50-3.70 vs. $3.64. It sees slightly stronger results in the second half. Shares -2.5%. [PR]
• Vodafone (VOD): FQ1 sales of £9.82B (+19.1%) in-line. Sees full-year sales at the bottom of its £39.88-40.7B range; profit outlook unchanged at £11-11.5B. [DJ]
• Wachovia (WB): EPS of $-1.27 misses by $0.49. The loss includes a $6.1B goodwill impairment charge reflecting declining market valuations and asset values. Adds $5.6B to its loan-loss reserve to increase it by $4.2B and cover charge-offs. Cuts dividend to $0.05 from $0.375. Shares -10%. [PR]
• Webster Financial (WBS): Q2 EPS of $0.42 beats by $0.02. [PR]
• Western Union (WU): EPS of $0.33 beats by $0.02. Revenue of $1.35B (+12%) in-line. Sees full-year EPS of $1.29-1.33 vs. $1.28. [PR]
• XM Satellite Radio (XMSR): EPS of -$0.38 beats by $0.03. Revenue of $318M (+14.8%) vs. $323M. [PR]

Earnings: Monday After Close

• American Express (AXP): Q2 EPS of $0.56 misses by $0.27. Revenue of $7.48B (+7.9%) vs. $7.6B. Loss provisions of $1.5B, vs. $640B last year. "In light of the weakening economy, we are no longer tracking to our prior forecast of 4-6% EPS growth." "Consumer spending slowed during the latter part of the quarter and credit indicators deteriorated beyond our expectations." Shares -11%. [PR]
• America Movil (AMX): Q2 profits rise 25% after adding 6.1M new mobile customers. Shares +0.1%. [Reuters]
• Amylin Pharmaceuticals (AMLN): Q2 EPS of -$0.47 beats by $0.02. Revenue of $222M (+12.7%) in-line. Shares -1%. [PR]
• Apple (AAPL): FQ3 EPS of $1.19 beats by $0.11. Revenue of $7.46B (+38%) vs. $7.37B. Sees Q4 EPS of $1 vs. $1.24, and revenue of $7.8B vs. $8.32B. Sold 11.01M iPods in Q3 (+12%); 717,000 iPhones (doesn't include iPhone 3G); 2.5M Macs. Shares -10%. [PR]
• Boston Scientific (BSX): Q2 EPS of $0.20 beats by $0.09. Revenue of $2.02B (-2.3%) in-line. Sees Q3 EPS of $0.14-0.19 vs. $0.13. Shares -5%. [PR]
• Canadian National Railway (CNI): Q2 EPS of C$0.90 beats by $0.04. Revenue of C$2.1B in-line. Shares +2%. [PR]
• Celanese (CE): Q2 EPS of $1.20 beats by $0.06. Revenue of $1.87B (+20.1%) in-line. Sees full-year EPS of $3.60-3.85 vs. $3.98. [PR]
• Equifax (EFX): Q2 EPS of $0.64 beats by $0.02. Revenue of $502M (+10.4%) vs. $508M. Remains confident in full-year performance. [PR]
• Everest Re Group (RE): Q2 EPS of $2.90 misses by $0.37. Revenue of $1.08B (-15%) in-line. [PR]
• F.N.B. (FNB): Q2 EPS of $0.17 misses by $0.10. Shares -8%. [PR]
• Foundry Networks (FDRY): Q2 EPS of $0.17 beats by $0.02. Revenue of $161M (+12.2%) vs. $153.5M. Shares +32% on Brocade (BRCD) buyout. [PR]
• Hercules (HPC): Q2 EPS of $0.54 beats by $0.11. Revenue of $613M +11.6%) vs. $601M. Shares +0.2%. [PR]
• Hexcel (HXL): Q2 EPS of $0.21 misses by $0.03. Revenue of $359M (+24.1%) vs. $337M. Sees full-year EPS of $0.90-0.95 vs. $0.96. Shares -2%. [PR]
• Jacobs Engineering (JEC): EPS of $0.87 beats by $0.05. Revenue of $2.92B (+40.1%) vs. $2.75B. [PR]
• Lincare (LNCR): Q2 EPS of $0.82 beats by $0.10. Revenue of $428M (+7.9%) in-line. Shares +1.5%. [PR]
• Logitech (LOGI): EPS of $0.16 misses by $0.03. Revenue of $509M (+18.4%) in-line. Shares +3.5%. [PR]
• Merck (MRK): Q2 EPS of $0.86 beats by $0.03. Revenue of $6.05B (-1%) in-line. No guidance as it is still assessing the impact of today's Vytorin test results. Shares -7%. [PR]
• Mohawk Industries (MHK): Q2 EPS of $1.29 beats by $0.02. Revenue of $1.84B (-6.9%) in-line. Sees Q3 EPS of $1.06-1.15 vs. $1.40. Shares -4%. [PR]
• QLogic (QLGC): FQ1 EPS of $0.31 beats by $0.02. Revenue of $168M (+30.6%) vs. $162M. [PR]
• Royal Caribbean (RCL): Q2 EPS of $0.40 in-line. Revenue of $1.86B (+6.9%) in-line. Sees FQ3 EPS of $1.65-1.70 vs. $1.64. Plans to reduce spending by $125M/year. [PR]
• SanDisk (SNDK): Q2 EPS of -$0.10 misses by $0.23. Revenue of $816M (-1.3%) vs. $906M. Sees Q3 revenue of $750-850M vs. $1.09B. Shares -14%. [PR]
• Schering-Plough (SGP): Q2 EPS of $0.45 beats by $0.03. Revenue of $4.9B vs. $4.77B. Shares -3.2%. [PR]
• Steel Dynamics (STLD): EPS of $1.05 beats by $0.12. Revenue of $2.4B (163.8%) vs. $2.35B. Sees Q3 EPS of $1.05-1.15 vs. $0.97, and full-year EPS of $3.80-3.90 vs. $3.46. Shares +2%. [PR]
• Texas Instruments (TXN): Q2 EPS of $0.44 misses by $0.02. Revenue of $3.4B (-2.2%) in-line. Sees Q3 EPS of $0.41-0.47 vs. $0.51 and revenue of $3.26-3.54B vs. $3.56B. Demand slowed unexpectedly in June as distributors did not restock. Shares -11.5%. [PR]
• Volterra Semiconductor (VLTR): Q2 EPS of $0.25 beats by $0.07. Revenue of $28.7M (+55.3%) vs. $27.5M. Shares +1%. [PR]
• Woodward Governor (WGOV): FQ3 EPS of $0.47 beats by $0.04. Revenue of $330M vs. $309M. Sees full-year EPS of $1.75 vs. $1.67. Shares +5%. [PR]

Today's Markets

• Asia closed mixed Tuesday, with Tokyo up sharply after a day off on Monday. Nikkei +3% to 13,185. Hang Seng flat at 22,527. Shanghai -0.5% to 2,846. BSE +1.8% to 14,105.
• Europe markets are sharply lower at midday. London -1.75%. Paris -1.2%. Frankfurt -1%.
• Futures have not recovered from the post-close drop on weak earnings. Dow -1%. S&P -0.9%. Nasdaq -1.9%. Crude -0.1% to $130.86. Gold +1% to $973.

F3Q08 Earnings Call

July 21, 2008 6:00 pm ET

 "I think Thursday will be a landmark day for wind power," Jim Cramer told viewers of his "Mad Money" TV show Tuesday. At a cost of only 4 cents per kilowatt, Cramer said wind power is the cheapest form of renewable energy. He said the entire wind power industry could get a boost on Thursday when the Texas Public Utility Commission makes an important ruling that will significantly boost wind power in the state.  Dockett #33672 will be remembered.  Cramer said the proposal would create eight renewable energy zones in Texas, providing much needed infrastructure to connect remotely located wind farms to the existing power grid. Texas will be the windmill king.  The decision will likely set the precedent for other states to get behind wind power.   

An earnings "triple play" occurs when a stock beats earnings and revenue estimates and guides future earnings higher.  There were about 70 stocks that had "triple plays" during the first quarter earnings season.  As we enter the second quarter earnings season, investors may want to look at these stocks to find momentum plays or ones that had strong reports but fell by the wayside as the overall market declined.

In the first table below, we highlight "triple play" stocks from the first quarter that are up the most since they opened for trading following their last earnings report.  These stocks had a solid earnings report and haven't looked back since, even in one of the worst markets in decades.  For momentum traders out there, these names currently have great relative strength.

Here is my initial list of replacement candidates for the third quarter 2008 portfolio reshaping:

AA ACMR ACS ACXM ADP AEM AEO AET AFFM AHL AIB AINV ALL AME AN APA ARP ATWO AVID AVZA AXS AYR BAGL BCPC BDK BGC BHI BJS BKS BLL BP BRO BRS BSET CAM CBI CBK CCK CCRT CDNS CFI CKH CMI COG COLM COMS CPB CRDN CROX CSCO CSL CTB DD DELL DFG DLM DRYS DUK DVN EGLE ENH EP ETP FAST FCX FDRY FITB FLEX FLXS FRPT FRZ FSR FTEK FTO GFF GHM GIL GMT GNK HAIN HAL HAR HAST HCC HCN HCP HELE HK HLYS HNT HNZ HOC HON HRS HRZ HTH INFS IPSU IR IRE ISCA ISYS IVN JCI JNX JOSB KCI KEY KMX KOF LMC LPX LRCX LSTR LZB MAN MAS MCRL MGIC MHK MHP MI MKSI MOT MPS MPWR MWA/A MXGL MYE NBR NBTY NFX NG NM NRG NSHA NTGR NVS NWLIA OC OCR ODP OIS OKE OMAB ONNN ORI OSK OXY PAYX PBI PBY PCZ PHX PKD PKI PPC PPG PRE PRU PTEN PVA PWR PXP PZZA RCII RDC RDK ROP RS RTN SAFM SCX SENEB SFY SGIC SGY SI SII SJM SKM SKX SLB SLGN SNDK SNG SNX SNY SPSS STZ SVR SVU SWN TECUA TEX THOR TLK TMS TPX TRMA TRN TRV TSC TSO TTC TXT UNF UNT URI USU VE VLGEA VLTR VZ WAG WDC WFT WGOV WNC WRB WTI WTIU WTM WY XEL Y ZNT ZZ

Verizon (VZ), Vodafone (VOD), Windstream (WIN)

Trinity Industries (TRN), Otter Tail (OTTR), Owens Corning (OC), Woodward Governor (WGOV), Thomas & Betts (TNB), Kaydon (KDN), Ameron (AMN), Vestas (VWDRY), Broadwind Energy (BWEN), Clipper Wind Power (CRPWF)

It is no secret Cramer is a big fan of wind power, and he quotes a report saying wind power will comprise 30% of the nation’s energy needs by 2040. Cramer discussed his Windex, or 11 stocks that form the Mad Money Wind Index. He has already recommended TRN, OTTR, OC, WGOV, TNB and KDN, and added four new names to the list. AMN is in the water pipeline business, but its wind segment should double this year. Vestas is the largest name in global windpower, BWEN produces wind towers and Clipper Wind Power, based in the U.K, makes wind turbines. Cramer emphasized he is not recommending all of these stocks, but is giving investors an idea of the sector. The Wind Power 2008 Conference in the first week in June should drive these wind stocks up.

CEO Interview: Timothy Wallace, Trinity Industries (TRN)

Timothy Wallace shares Cramer’s enthusiasm for wind power and it shows; his company increased its backlog for wind towers to $1.6 billion and the size of its wind segment grew 42%. Since Trinity is a rail play, it can produce special cars for transporting wind towers. Of the company’s diversification, Wallace said, “We focus on…being able to shift our products from line to line,” he said. “And that’s exactly what we’ve done in the wind-tower business.” Cramer is bullish on TRN and said its story has not yet been told.

Mankind Sector: Donny Deutsch, host of CNBC’s “The Big Idea”

Cramer invited trend guru Donny Deustch onto Mad Money to discuss how he can make his “new tech” industrial plays such as Eaton and Owens-Corning seem as cool as Apple or Microsoft. First of all, Deutsch scrapped the term “new tech” and focused on the larger picture; “This is the humanity sector. This is the better-world sector. This is the future-planet sector. This is the sector that’s going to make sure your grandchildren can eat. This is the sector that’s going to make sure this planet is safe from terrorists. “The thing they’re selling,” Deutsch said, “is the future of humanity.” Cramer’s new term for the sector: Mankind Stocks.

Recap of Jim Cramer’s comments on Stop Trading! Thursday May 15. Click on a stock ticker for more analysis.

KB Home (KBH), J.C. Penney (JCP), Cadbury (CSG), Heinz (HNZ), Pepsico (PEP), Coca-Cola (KO): Cramer said Thursday was an “outright bullish day” across the board and even mining, retail and tech were strong. KBH showed signs of a bottom, and CSG’s comment that margins weren’t so bad is good news for HNZ, PEP and KO.

Trinity (TRN), Woodward Governor (WGOV), Owens Corning (OC): Cramer says wind is he hottest sector right now and is getting a boost from Warren Buffett and T. Boone Pickens. Cramer insists wind is bigger than solar and would buy TRN, WGOV and OC.

SPX (SPW) and Emerson Electric (EMR): Sales equipment manufacturer SPX is Cramer’s idea of a “new tech” stock. Of SPX and Emerson Electric, Cramer said, “These are heartland companies that are making things that everyone wants”

Seeking Alpha publishes a summary of Jim Cramer's stock picks every day including: Mad Money Recap, Lightning Round, Stop Trading and his Wall Street Confidential Picks.

Woodward Governor (WGOV) Cramer says WGOV is “levered to everything that’s working” and has beaten estimates six consecutive times. The big news for WGOV is its wind power business which is growing an amazing 150% and recently added a Chinese turbine producer and is constructing a new factory in Colorado. The company is also employing cutting edge technology to reduce emissions and to make engines more efficient. Cramer notes the stock is trading at just 18 times earnings compared to its 12% growth rate, and thinks at $35, the stock is too cheap. He predicts WGOV will hit $53.

Q2 FY08 Earnings Call

April 21, 2008, 6:00 PM ET

PowerShares Cleantech ETF (PZD) launched on October 24, 2006, and quickly produced above-market returns. The fund gained nearly 42% in 2007, fueled by increasing concerns about environmental issues and a strong demand for alternative energies—solar energy in particular. The fund’s rapid buildup in momentum led to its purchase by the PowerShares Momentum Tracker portfolio on June 27, making it the longest-held fund in the portfolio as of last week. The fund’s momentum declined during the last two months, however, causing it to retreat to 18th on the Power Shares Momentum Table, where it ranked for the last three weeks.

PZD’s rally persevered even after the subprime mortgage mess caused the market to falter last fall. But the fund lost steam after reaching an all-time high on December 26. PZD fell more than 13% year to date through March 27, underperforming the S&P 500 by three percentage points. After a rookie year that delivered one of the best performances among ETFs, PZD is suddenly demonstrating that its unique take on environmentally sound stocks isn’t unshakable.

One of the current great debates is whether or not the slow down in the US economy will torpedo growth in ex-US economies. Most analysts tend to take an all or nothing view. One camp says that economic growth in countries outside the US is bound to disappear given the sharp US decline. The other camp contends that strong growth in places like Asia will continue on unabated.

Of course the more likely outcome is that something in between will occur. The US slow down along with the lower dollar will take away some sales from ex-US companies with large markets in the US. For US based companies with markets outside the US, the low dollar represents an opportunity There is also a large and growing amount of worldwide trade that does not directly involve the US. For example imports from China to Europe increased from 75 billion Euros in 2000 to over 195 billion Euros in 2006.

Stocks discussed in the lightning round session of Jim Cramer’s Mad Money TV program, Wednesday January 23. Click on a stock ticker for more analysis:

Bullish calls:

DuPont (DD): ' … if you have to go with an ag stock - I am starting to think that the safer way to go is to buy DuPont.'
Archer-Daniels-Midland (ADM)
Agrium (AGU): 'I still like Agrium (AGU) and Mosaic, but they're the old leaders, and they're going to be under a little pressure here.'
Mosaic (MOS)
EcoLab (ECL): 'ECL is a nice anti-cyclical stock that's just going to continue to do well. I would pick some up here on that pullback that we had.'
Chemed (CHE)
Coca-Cola (KO): 'If it goes under $55, we don't even think about it... but we don't look at it for six months, because KO may do nothing. But it is a great stock to own longer term.' Baidu.com (BIDU): 'I think BIDU is the only one I'm going to go with.'
Focus Media (FMCN): ' … if the rest of the Chinese market comes down, I will suggest Focus Media.'
Tenet Healthcare (THC): 'This is a major situation that's going to benefit from lower interest rates. It's got its act together. I frankly don't understand how this stock stays under $4.'
Woodward Governor (WGOV): 'Hey, WGOV had a great quarter. It got upgraded today by Bear... and I think that WGOV is on the comeback. I would pull the trigger right here.'
ConocoPhillips (COP): 'I think you buy COP right here. Expect that it might pull back a dollar. But, you know what? Oil stocks have come down too much…I don't think the commodity is going to go as low as people think.'
UnitedHealth Group (UNH): 'Frankly, I thought it was a darn good quarter … It was outrageous that that stock sold off so much...'