Stocks discussed in the in-depth session of Jim Cramer’s Mad Money TV program, Wednesday August 16. Click on a stock ticker for more analysis:
Cramer declares that McDonald's is the king of fast food, since it has beaten its estimates, and continues to grow and to develop new concepts in spite of the fact that it is a mature company. On the other hand, Burger King, which Cramer says, second to Vonage, is the worst IPO of 2006, missed its numbers ("If a company misses its first quarter after an IPO, then it's screwed for years to come," Cramer said), and is falling behind in same-store sales. Although less bad than BKC, Wendy's is also a sell, according to Cramer, because it didn't do anything with its acquisition, Baja Fresh, and is the example of an operation that "buys another concept and destroys it," whereas MCD sucessfully transformed Chipotle. Cramer says that MCD is a triple buy because 50% of its sales are overseas and it is an excellent "weak-dollar stock"
Cramer would buy MON, and comments that it has been unfairly maligned because many believe that it overpaid for Delta & Pine (DLP). Atlhough MON is often categorized as an agriculture play, Cramer says that it is actually biotech, and is involved with corn and soy, which produce ethanol and biodiesel fuels. He adds that MON bought DLP for its soy and not for its cotton, and therefore, did not pay too much for DLP. Cramer says that MON is a "steal" and is the "best way to play alternative fuels."
CFO Interview: ATP Oil & Gas (ATPG), Albert Reese
Cramer commented on ATPs high numbers and the fact that the company is levered to natural gas, and Albert Reese mentioned that ATP has a third of its production in the North Sea and a third in the Gulf of Mexico. When asked if he is worried about massive selloffs, Reese answered that many of the company's main sharholders have recently strengthened their positions.
Seeking Alpha publishes a summary of Jim Cramer's stock picks every day including: Mad Money Recap, Lightening Round, Stop Trading and his Radio Show.
Get Cramer's Picks by email -- it's free and takes only a few seconds to sign up.