Mad Money 20 September 2005

The Mortgage-Pro · Site Admin Joined: 19 Jan 2005 Posts: 2248

Jim Cramer’s Mad Money Recap 9/20/2005

Jim Cramer suggested a long term investment play on INCO Limited (NYSE:N)http://www.inco.com/

Inco Limited is aspiring to be the world's leading nickel producer. With China’s economy still on fire, this should be a pure commodity play. Nickel is used to make stainless steel and magnetic alloys. As China infrastructure grows, so does the demand on nickel.

N was trading at $44.55 as of the market close of 9/20/2005

Cramer also liked these undervalued oil and gas exploration companies:
Energy Partners Ltd (NYSE:EPL) Prev. Close: $28.01
Petroquest Energy Inc (NASDAQ NM: PQUE Prev. Close: $9.16
Newfield Exploration Company (NYSE:NFX) Prev. Close: $49.84

Cramer extrapolated that these companies were grossly undervalued after Norsk Hydro ASA offered to pay $2.45B for Spinnaker Exploration Co.

Cramer also suggested you buy some of The Procter & Gamble Company (NYSE:PG). PG is the best of bread and has an enormously diversified business model. This is a solid pay since the Fed continues to be relentless with there measured pace rate hikes.