By Stockpickr Staff
Posted on June 2, 2009
On Tuesday, General Electric (GE) finance arm GE Capital said it loaned $400 million to Sears Holdings (SHLD), part of a total of $4 billion loaned to the retailer to be used as working capital.
Bank of America (BAC) was also making headlines on Tuesday after announcing that it has raised almost $33 billion since the results of the government's stress tests were revealed less than a month ago.
General Motors (GM), which filed for bankruptcy protection on Monday, said it has found a purchaser for its Hummer brand but did not reveal the particulars of the deal.
With this in mind, we thought we'd take a look at some of the stocks in the news today and see what Jim Cramer's had to say about them lately.
In a http://jimcramer.rmblogs.thestreet.com/entry.aspx?q=c0de89ca-5971-4549-9... " target="_blank">recent post to his RealMoney blog, Cramer wrote:
"When you see Gilead (GILD), Coca-Cola (KO), Abbott Laboratories (ABT) and Merck (MRK) down on this otherwise perfect day, you have to recognize that consistency is so out of favor as to make safety be the killer -- the true generator of underperformance.
"People want Sears because they want to play companies that will benefit coming out of a recession and are still solvent. They want Johnson Controls (JCI) because they need some play on autos because the auto market is coming back.
"They want overvalued companies like Fortune Brands (FO) and Masco (MAS) because they won't be overvalued when housing comes back. And they want anything that has anything to do with oil.
"I have said over and over again that the tells to this market are Schlumberger (SLB) and Transocean (RIG) and here they go again. The notion that natural gas stocks correctly predict the future is in full force.
"You saw the natural gas stocks roll over viciously ahead of natural gas peaking, so you have to believe that today's rally in higher-quality players Southwestern (SWN) and Devon (DVN) -- plays on the Haynesworth shale; remember that? -- shows that nat gas is about to explode to the upside.
"Meanwhile people have decided that the shopping season is back with an amazing move in Target (TGT) -- maybe people are happy that the Pershing plan is not happening! Also VF Corp. (VFC) and Nike (NKE), the two most beaten up in the group just on fire.
So much lack of safety.
"It is not a new theme, but it is really in force today for certain."
For more of what Cramer's had to say about stocks in the news, including Apple (AAPL), Costco (COST) and First Solar (FSLR), check out the Cramer's Take portfolio.
(Editor's note: At the time of publication and/or original publication of his posts and shows, Cramer owned Nike, VF Corp., Devon, Abbott, Gilead and General Electric for his Action Alerts PLUS charitable trust.)
