That's what this clown said in after market hours on November 20, 2012.
The two stocks were HPQ and BBY.
That's only 3 months ago.
HPQ stock closed that day at $11.71 while BBY stock closed at $11.96.
Since then HPQ has gone up almost 54% while BBY stock has gone up
That has got to top his bad recommendation list.
Which he surely has many of.
Cramer says things on his show to move the market to his benefit. Why wouldn't he? I bet if you looked at his portfolio, he had RIMM, NOK, HPQ, BBY, etc... shortly after he bashed it on his show to try to drive the stock price lower for a huge buy. He's a #$%$.
He also said to say to stay away from NOK and RIMM when they were very close to their bottoms. They basically doubled and tripled from there. Those are the type of long trades that can make a year.
The guy's very bright don't get me wrong but the key is to listen and make your own judgement and determine the risk reward and to look at the stats and financials. Sometimes you see situations where a company is backed by a ton of net cash with some prospects for success and they are totally oversold.
"Sometimes you see situations where a company is backed by a ton of net cash with some prospects for success and they are totally oversold. "
Agreed. RIMM was a perfect example in the $7's and $6's. Ridiculous. I sold way too early, but still a good play.
However, according to your rule, BBY does not qualify because it does not have "tons of net cash". In fact, its balance sheet is not great and possibly weaker than it appears. Yes, it was oversold in the low $11's, and the "turnaround" bounce has been strong. Might be more left in this run. Who knows? But the fundamentals for the company and the industry are not good. Flat sales, low margins w/ pressure, and high overhead is not a formula for growth of the company (or the stock).