After this segment, you
can see Jim's Lightning
Round picks
here...
JJC: All this
week, I've been talking
about the new technology
companies... the great
American manufacturers...
the smokestack industrial
stocks that are beating
the pants off the
competition... they're
pants-ing the competition, and they are thriving by
selling to the rest of the
world, because they've got
a technological edge over
the competition...
You know these companies
now... I sing their
praises everyday...
I've highlighted them all
week... They're all
offering engineering
solutions to the problems
for companies and
countries in the world
where, unlike America, the
economic growth is
plentiful...
I call these new tech
stocks because, unlike
what you normally think of
as "tech," these companies
are all actually making
something... they are not
marketing a better gadget!
This is not the 400th
iteration of a global
positioning device!
These are new tech
players... they're
actually innovating,
creating new technologies
that are needed... not
just trying to stimulate a
new holiday season...
And the new tech stocks
have more growth than
traditional tech
companies, but they sell
for much lower
price-to-earnings
multiples...
They're not getting credit
for their innovation...
except in one place... one
particular territory...
the territory that is
Cramerica...
Tonight, I've got not just
one, but two, mining
machinery stocks... Yes,
two mining machinery tech
stocks, that I think are
years ahead of the
competition with their
technology...
The first one is
Bucyrus International Inc.
(BUCY)...
which is probably so
foreign to you - even
though it is domestic -
that you'll confuse
Bucyrus with... the
pornographic Miley
Cyrus...
The second one sounds like
a dishwasher liquid...
Joy Global, Inc. (JOYG)!
I'm recommending them both
at the same time, because
they're so similar... Two
mining equipment makers
that are both
ROW-ers...
. . . .
.
BUCY gets 70% of its sales
from the rest of the
world... JOYG, 55%, and
they are both
technological leaders in
their markets. Both of
them are highly exposed to
a fuel that you may hate,
and I may hate, but
works... coal. They each
get over 70% of their
sales from coal, and
coal's on fire... The coal
market should double
between 2005 and 2030...
and that's without
factoring in the
oxymoronic "clean coal,"
which I think should make
this market even bigger...
We have a great boom in
minerals and mining...
We've been behind the
mineral and mining theme
for three years now, and
I've recommended this as a
long-term bull market, in
print, in
Stay Mad For Life...
my latest book.
BUCY and JOYG are the arms
dealers to miners,
especially in coal, where
they're kicking butt as
new tech stocks, because I
think they've got the most
advanced weaponry...
. . . .
.
The Bottom Line!: Bucyrus International Inc.
(BUCY)
and JOYG are the new tech
stocks of mining. They are
two great
born-in-the-U.S.A.
American manufacturers
that work, because they're
more innovative than
traditional tech stocks,
and actually serve a
purpose... a purpose
greater than giving you a
better focus on your
digital camera, or
enabling you to take still
3,000 more songs off the
ether...
Most popular
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■
Stock Snapshots - Includes
all stocks mentioned above
■
Jim
Cramer's
rating on
this stock
STOCK
SYMBOL
Closing
price
that
day
Opening
price
next
day
Full Company
Name/Comments
(see comments above for
each)
After this segment, you
can see Jim's Lightning
Round picks
here...
Jim's comments BEFORE
interview:
Earlier this week, I
heard one of the best
conference calls of this
earnings cycle... It was
the
Tyson Foods Inc.
(TSN)
call. And I didn't just
love it because of the
excellent quarterly
results, or what TSN's
CEO, Richard Bond, said
about how the business
will be in the future...
although, I will say that
Bond and TSN have done
fabulously in an
environment that's been
absolutely brutal... the
essence of purgatory for
companies that make
chicken wings and beef...
TSN is the largest
processor of chicken and
pork and beef, selling
meats and prepared
foods... It's so exposed
to the enormous costs of
inflation in everything
food. The fact that TSN
beat the Street's
expectations, even during
such a rough environment,
speaks volumes about the
strength of this company,
and its leader.
Bond did remarkable things
this quarter, but that's
not what made his
conference call really
special...
I think this man's a
hero... a real hero... and
what he did with TSN
deserves praise...
The company managed to
limit losses on chicken
products by hedging. It
continued to cut costs and
manage margins by doing
things like moving 10% of
its chicken production to
big-bird de-boning... It's
really just a high-margin
chicken market...
Okay, I've danced it
around it enough... That's
not why I'm having him on
my show...
The TSN call was
special... unique...
because Bond used it to
tell the darn truth... He
used it to tell the truth
about ethanol...
Mr. Bond... This TSN CEO
will not let mankind be
crucified on a cross of
ethanol... And Bond's got
credibility. He didn't
miss the numbers, and then
use ethanol as an excuse.
He's a winner, not a
winer... He's got a right
to speak up on this issue,
more than any of us...
Let me just read you some
of what he said, because I
don't know how I can put
it any better...
"It's going to get much
worse if we continue down
this path of diverting
corn to ethanol
production. Higher food
costs is one of the many
unintended consequences of
the corn-based ethanol
mandates and subsidies the
U.S. Government put in
place in 2007."
Now, I don't even want to
know what much worse looks
like... Bond also had some
great numbers about how
inefficient making ethanol
is... quite contrary from
everything I've heard from
the ag industry... Here he
says, "2007 ethanol
production replaced only
3% of U.S. oil imports.
The fact is, we can't grow
enough corn in this
country to make a dent in
our petroleum dependency.
It takes a bushel of corn
to produce 2.75 gallons of
ethanol." Come on!... He
goes on to say the
government mandates the
use of 9 billion gallons
of ethanol in 2008. That
will take 3.2 billion
bushels of corn... close
to 30% of the most
important crop we
produce... for food.
So, we're using 30% of our
corn to replace 3% of our
oil?...
Does that seem stupid to
you? It does to me...
Now here's the best part
of Bond's indictment of
ethanol... He says it's
inefficient, because it
raises the price on feed
stocks to artificially
high levels, which costs
for other uses, such as
food... He says it's
inequitable, because
higher food costs
disproportionately affect
you... affect the people
who can least afford it...
It's essentially, he says,
a regressive tax on the
poor. And not only the
poor in America... Ethanol
mandates and subsidies,
along tariffs on ethanol
imports, are causing a
world food shortage... a
world food crisis!
Shortages and higher
prices mean many people
around the world are
spending the majority, or
all, of their income on
food. He says those who
can't are starving! The
number of people suffering
from hunger had been
predicted to decline from
800 million to 625
million, by 2025 but,
because of the ethanol
madness, it's now expected
to climb to 1.2 billion. I
guess we should be real
proud...
All right, I am thrilled,
I am proud and I am just
ecstatic to have the man
who's the first guy that I
have heard to tell the
truth about this issue.
Let's talk to Richard
Bond, the CEO of TSN, and
an anti-ethanol
crusader...
Mr. Bond, how did you have
the guts to tell the truth
about an issue that people
have consistently not
truth on, on my show, and
every other venue?...
. . . .
.
Jim's comments AFTER
interview:
Richard Bond is doing
an unbelievable thing...
he's telling the truth,
and he's making money for
shareholders... You know
what? He's giving you a
two-fer. I'm in his camp.
I'm for
Tyson Foods Inc.
(TSN).
I'm actually also for the
idea that hunger is bad...
. . . .
.
■
Stock Snapshots - Includes
all stocks mentioned above
■
Jim
Cramer's
rating on
this stock
STOCK
SYMBOL
Closing
price
that
day
Opening
price
next
day
Full Company
Name/Comments
(see comments above for
each)
Go to the LIGHTNING ROUND from
tonight's show
here >>
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Finance from
tonight's show stocks
here >>
Symbol keys:
A Charitable Trust stock.
- An asterisk next to a
stock symbol indicates that
Jim mentioned it is a stock
that he manages within
his
charitable trust portfolio.
You can see the complete
portfolio
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here >>
Thumbs up - indicates
he would buy the stock or,
at the very least, not sell
the stock. We do our
best to interpret Jim's
opinion on stocks, as we
think it is indicated by his
comments during the show.
Please read his comments to
decide for yourself.
Thumbs down -
indicates he has said not to
buy or to sell the stock,
based on his comments
We do our best to interpret
Jim's opinion on stocks, as
we think it is indicated by
his comments during the
show. Please read his
comments to decide for
yourself.
Back up the truck -
indicated by Jim, when he
says the stock is so good,
that he would do a
'mon-back' on the stock...
In other words, this is the
sound someone would say to a
truck driver, "Come on
back... " as he is "backing
up the truck" to load up on
his cargo. Translation
for buying stocks:
This recommendation by Jim
indicates that, after you do
your own
homework on the stock,
you should feel comfortable
loading up on it, as it is
in a good position to be
bought at this point.
Stumped. - Of the
2,000+ stocks that Jim
Cramer has in his head, for
which he has an informed
opinion, he sometimes comes
across a caller with a stock
he does not know well enough
to opine on... He then
indicates he is stumped and
will have to come back to
it, after he does some
homework of his own on
the stock. This
usually occurs during the
Lightning Round, when Jim
does not know in advance who
is calling, or what their
stock question is about.
Definitions of key phrases
used by Jim, known as
"Cramerisms":
Definition: 'Pull the
trigger' is Jim's phrase for making
the decision at that point to trade -
either to 'buy' or
to 'sell' (although he
usually uses the phrase for
buying), as if to say you
should feel comfortable
enough to make the final
decision without looking
back...
Definition: 'Ring
the Register' is Jim's phrase for
selling a stock, and making
it a final sale, that you
should not look back on.
Put it behind you.
Definition:'Let It Come In' indicates how you
may wait for it to pull back, or have the
stock price come down briefly, as your
chance (after letting it come in) to buy
the rest of your position (i.e., total
number of shares you own in that stock).
Definition:'backing it up'
or 'doing a 'mon-back' is Jim's
phrase for the metaphor of backing up a
truck to load up on a stock by buying
it. 'Mon-back is short for the
imaginary worker saying, 'Come on
back...' as the truck is backing up to
receive its load... Notice that we use
the little truck icon to indicate where
Jim has mentioned this.
Translation for buying
stocks: This
recommendation by Jim
indicates that, after you do
your own
homework on the stock,
you should feel comfortable
loading up on it, as it is
in a good position to be
bought at this point.
See more
"Cramerisms" & other
financial phrases
here >>
Helpful Websites:
See the stocks currently
known to be in Jim Cramer's
Charitable Trust at:
Stock Homework 101:
This is an excellent
upcoming site that provides
resources and links to help
you do that homework that
Jim Cramer recommends after
hearing his suggestions...
FastMoneyRecap:
This site will be a quick
summary of recommendations
made by the great Fast Money
TV show crew, that will
offer you a unique service,
to compare their picks to
Jim Cramer's past comments
about those stocks.
