Jim Cramer made the following calls on October 30th, 2013. What do you think about his picks?
Starbucks (NASDAQ:SBUX): Jim Cramer ranked this stock a Buy. Starbucks has had a great past few months, posting mostly steady gains over the time period. However, the stock spiked downward yesterday morning, in a move that surprised some given that Starbucks reported earnings that should not have scared anyone away from it. Cramer said that sell-offs were inevitable in big-name companies after earnings are out, and that the spike was nothing to be afraid of; Starbucks has already recovered most of the lost ground in terms of share price.
Costco (NASDAQ:COST): Jim Cramer ranked this stock a Buy. Cramer sat down with W. Craig Jelinek, the president and CEO of Costco, to discuss the future of the fourth-largest retailer in the world. Jelinek said that the company has succeeded in its international expansion plans, and the chairman also said that their low turnover rate of employees, helped by relatively high wages and benefits, is an asset to Costco as well. Despite fluctuating for a time, the stock is still up by a significant margin over the course of the past year.
DryShips (NASDAQ:DRYS): Jim Cramer ranked this stock a Buy. After ballooning in September, the stock of DryShips has come back down to earth in October, still stabilizing above where it was earlier in the summer. Cramer said that, based on the Baltic Dry Freight Index, he thinks that now is the time to buy into the company once again.
Insys Therapeutics (NASDAQ:INSY): Jim Cramer ranked this stock a Buy. Insys Therapeutics has had a phenomenal summer, doubling the price of its shares during the time period. Cramer was optimistic about the stock, saying that it certainly had room to go higher. He did note that the company was speculative, and to keep that in mind when including it in a portfolio.
AIG (NYSE:AIG): Jim Cramer ranked this stock a Sell. Shares of AIG have been driven down after the company posted a disappointing quarter. Cramer admitted that he was caught with his proverbial pants down, as he did not expect the company to have a weak quarter and had passed on the opportunity to sell the stock when it was worth more than it currently is. Never the less, Cramer did not think that there was a buying opportunity in the stock currently, and he was not happy with how he had played the company.