I see a lot of people complain about the guy and I do not rely on him...but... looking at his analysis on MA (see below) almost a year ago and seeig the downside based on his statements maybe I should reconsider. I wonder of anyone has done an analysis on his perfomance overall?
Cramer stays behind MasterCard (MA) Posted Nov 10th 2006 6:21PM by Jon Ogg Filed under: After the bell, Analyst reports, MasterCard Inc'A' (MA)
Cramer then said there are some other stocks that can make you 50% gains while the rest of your stocks languish. Cramer believes that MasterCard (MA) is another potential situation like that. It came public around $40 in MAY and has doubled. Cramer said he didn't care and he thinks it is still a sustainable moving stock.
Cramer thinks MasterCard has a lot of upside and the IPO was priced way too low because it came right after Vonage (VG) IPO and Wall Street was desperate not to burn investors with a poor IPO pricing. Cramer said it should have come public at $60 or maybe even $70. He thinks this is an irreplaceable franchise because of its global payment network. He also like demutualizations because they have a history of being inefficient but after the come public they have to start cleaning up and trying to grow.
MA already has a $12 billion market cap, which compared to American Express's (AXP) $71 Billion market cap. MA closed up 1.1% at $89.20 in normal trading and then traded up another 2.5% to $91.50 in after-hours prints immediately after the Cramer pump.
At $6.00 for 2008 and a 20-25 multiple, Cramer thinks this can go to $150.00 down the road.
You are right. Cramer is a complete SOB. No doubt about it. Somebody should sue that SOB bigtime, so he loses everything. From now on, I am gonna tape his show and buy whatever he says. Then if he is goddamn wrong and that stock prices go down, I'll sue him!! All people in CNBC makes a boobie trap for common Americans and we are the victims!! Wake up America. Don't poor believing this guys!! This was not the case even 20-years ago.
i wouldnt blame cramer. he mearly relays what the market is doing. perhaps the mutual / hedge funds will come back in and support MasterCard. But given the mortgage mess, the funds seem to want out of anything related to financials.... look at the brokers,including goldman sachs. they claim to have no exposier to the mess and there are getting beat down hard.
i sold because this will take time to settle and there are plenty of good sectors out there.... go with technology and china.... thats whats hot right now... financial look like dead money, until the fed cut interest rates...