Cramer's Mad Money - Bye Bye, Knights Who Say NII (6/22/09)

by: Miriam Metzinger

Stocks discussed on the in-depth session of Jim Cramer's Mad Money TV Program, Thursday January 22.

NII (NASDAQ:NIHD), American Movil (NYSE:AMX)

While Latin American wireless may sound like a hot story, NII is overheated with its 90% jump; Cramer agrees with a Goldman Sachs analysts who downgraded the stock. Not only is the stock too expensive, but fundamentals are declining; 40% of new customers are leaving, many are not paying their bills and NII's ambitious buildout plans are beyond the company's budget. For those who want to invest in Latin American wireless, American Movil is a better bet, since it retains its customers and has already completed its build out.

Apple (NASDAQ:AAPL), Lincoln National (NYSE:LNC), Huntington Bancshares (NASDAQ:HBAN)

While the media is rushing to explain Monday's selloff in terms of a slowing economy and renewed fears, Cramer thinks it was just a question of stocks climbing too high without strong fundamentals to support them. "The market is just sick of paying retail," Cramer said, and the recent decline is a buying opportunity. He would look for good stocks on sale like Huntington Bancshares down 9.5.% and Lincoln National, which raised enough cash from stocks and bonds to put worries about bankruptcy at bay. Cramer would also buy Apple, and doesn't see why there isn't more enthusiasm about the return of CEO Steve Jobs. While there is no guarantee of a comeback rally, Cramer thinks it is likely.
CommScope (CTV), AT&T (NYSE:T), Cisco (NASDAQ:CSCO), Ciena (NASDAQ:CIEN)
Cramer has been looking for new ways to play wireless internet, and CommScope's technologies helps companies like AT&T to deal with increasing demand. CommScope will be a big beneficiary of wireless buildout in China and India; at an investor's conference, the company reported 45 million subscribers in India and an expected 100 million by the end of the year. While Cramer recently told a viewer he prefers Ciena or Cisco to CommScope, he didn't take into account the acquisition of Andrews Corp, which provides sophisticated solutions to wireless problems. While the acquisition wasn't cheap, CommScope has recently issued $450 million worth of stocks and bonds to defray the costs. Cramer predicts an earnings beat for CommScope because of demand in Asia and improving margins as the price of copper falls. Down 7%, CommScope is a buy.
Cramer's Outrage: C.Dowd Ritter, CEO of Regions Financial (NYSE:RF)
It isn't enough that C. Dowd Ritter is on Cramer's Wall of Shame; after receiving TARP money, the chief decided to take a $17,000 vacation via private jet to the posh Greenbriar spa in West Virginia. The expensive trip promoted the CEO to a higher position on Mad Money's Wall of Shame.
Mad Mail: Boeing (NYSE:BA)
While Cramer said he should not have been so confident that the 787 Dreamliner would be released prior to the Paris Airshow, he is still bullish on aerospace and Boeing because "they cycle is big. But boy, did I get pantsed." He called Boeing's delay a "national embarrassment."
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