Jim's
rating on
this stock

STOCK
SYMBOL

Closing
price that
day

Full Company Name

AAPL

186.02

Apple Inc. (AAPL) 

Q:         Mr. Cramer,
Do you think the Goldman Sachs analyst that covers Apple Inc. (AAPL)   is dragging his feet before he upgrades the price target in order to increase the chance of buying at a lower price?
Gerry

Jim:      No, I think that he does not want to do it because I moved up so far ahead of him, that he does not want to be me to Cramer…no, actually there are 35 buyer recommendations to Apple.. he really does not matter… there are 35 buys, like 3 holds, and one sell… he really does not matter… what does matter is that someone jumped above the cue and used a $262 price target when I was using $264... Apple almost hit a 52 week high today.

Price target for AAPL:  $264.00

ERTS

18.67

Electronic Arts (ERTS)

Q:         Hey Jim!
I love the show. I just wanted to ask about Electronic Arts. I see it’s close to its 52-week low, but I’ve seen a lot of apps coming out for the iPhone in the last two months. Could this be a new, large source of revenue for them? Thanks to you and your staff for all the work!
Todd

Jim:      ERTS, I have been saying that it is a loser for a long time… I am afraid to say that it is still a loser because then someone of course will bid for it… not Viacom, because I think that Viacom is a well-run company… that has always been the rumor… but I have to tell you something, I do not want to be in ERTS… and I do not want to be in the gaming business… the gaming business has peaked…I do not think there is any growth there… so I say no on ERTS… I would rather see you in Apple, why not?… or Google (GOOG)… buy a share of Google.

GOOG

488.52

Google (GOOG)

See ERTS comments above for:
GOOG

na

na

General Comments

Q:         Jim,
I just started watching your show and getting serious about the market this summer. I bought two of your books and I have pre-ordered your new book, “Getting Back To Even.” Can you explain what goodwill on a balance sheet means? I took a personal finance course in college back in the 1970’s, and it taught us to avoid any company with more than $1 in goodwill. Now all companies seem to have large amounts listed. Should we just subtract this out of the assets? Thank you for providing us a system to make money in the market. You are the best!
Rich from North Carolina

Jim:      Yeah, Rich, that is a good way to do it… actually I would subtract it… now remember, we are not a doctrinal about goodwill… there is a lot of companies that have made good acquisitions… and you are going to end up hating a company that made a good acquisition simply because there is good will involved.. you do not want to do that… let’s look at earnings per share… that will still solve it… the gap earnings… now, let me just tell you something else… thank you for your nice words about Getting Back To Even, where I do have some balance sheet analysis that I think can help you more than what we just covered.

SBUX

20.06

Starbucks Corp. (SBUX)

Q:         Starbucks released its new product, Via, which I believe the company is dead on with, as they are targeting the home coffee brewers. However, I’m not sure if this product is really going to change the company’s performance in this economy. What do you think?
Jason from Dallas, PA

Jim:      Because of a bookkeeping, Jason... because of bookkeeping... it will inflate this month's numbers… it will inflate the quarter… that is not a bad thing… but because of the stock in, what you will see is a higher number than you expect for Starbucks.

na

na

General Comments

Q:         Booyah Cramer!
Thanks for all that you and your staff do. I can’t wait for the new book! I love the way you make investing seem so basic yet go above and beyond any advice I have received from other books. Because of you, I decided to play along for the first time last October, and recently I sold most of my discretionary portfolio for a 37% gain overall. I am only 25, and I want to put some of my profits in the best speculative home run opportunities in your mobile internet thesis. After doing the homework, would I be better off going with some of your speculative tower picks, or should I stick to some of the more basic chip and handset makers?
Garen in Austin, TX

Jim:      Garen, all fake basis fundamentals of the mobile internet is Apple, you are 25... you start with Apple… then you can do some others like an RF Micro or some Skyworks… the fundamental is Apple Inc. (AAPL)… and that is what I want you to own.

AAPL

186.02

Apple Inc. (AAPL)

See comments above for:
AAPL