Cramer: Sell Tesoro; Buy Pepsi, Wells Fargo, These 2 Stocks Instead
Jim Cramer made the following calls on July 19th, 2013. What do you think about his picks?
Tesoro Corporation (NYSE:TSO): Jim Cramer ranked this stock a Sell. Cramer previously ranked this stock a Sell on April 7, 2011. The stock’s 52-week high is $65.75, and its 52-week low is $25.79.
Cramer suggested Tesoro as a sell on Friday, taking the time to point out that he was not a fan of all refiners. The stock is rated a buy over at his website, which notes that no analysts currently rate it as a sell. According to the website, “The company’s strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, solid stock price performance, impressive record of earnings per share growth and compelling growth in net income.” Tesoro has sold its Hawaii operation for over $300 million last month, and is set to report earnings August 1.
Pepsico, Inc. (NYSE:PEP): Jim Cramer ranked this stock a Buy. Cramer previously ranked this stock a Buy on July 17, 2013. The stock’s 52-week high is $87.06, and its 52-week low is $67.39.
Cramer has been calling Pepsi a buy for a while now, pointing to a more holistic business model than competitor Coca-Cola (NYSE:KO). He has been especially optimistic since famed investor Nelson Peltz called for Pepsi’s buying of Mondelez (NASDAQ:MDLZ). Peltz would like to see Pepsi acquire the snack food company, and then spin off its soft drink operations into another business, worrying that consumers are moving away from soft drinks. Pepsi has earnings scheduled for this Wednesday.
Wells Fargo & Company (NYSE:WFC): Jim Cramer ranked this stock a Buy. Cramer previously ranked this stock a Buy on July 17, 2013. The stock’s 52-week high is $44.76, and its 52-week low is $31.25.
Wells Fargo has come up repeatedly during the show recently, and Cramer continues to tell viewers to buy the stock. His charitable trust, Action Alerts, owns Wells Fargo, which he repeatedly endorses over other financial stocks, preferring it to competitors Bank of America (NYSE:BAC) and Boston Private (NASDAQ:BPFH). Bank of America’s business model is undergoing a bit of a change recently, selling off 50 branches in the west part of the country, and creating a bit of uncertainty of the effect this will have on operations.
Stanley Black & Decker, Inc. (NYSE:SWK): Jim Cramer ranked this stock a Buy. Cramer previously ranked this stock a Buy on May 21, 2013. The stock’s 52-week high is $83.26, and its 52-week low is $63.29.
Black & Decker got recommended on Cramer’s love for the housing recovery, which has seen booming prices in many parts of the country this year. B&D’s earnings come out Friday, and its first quarter results showed progress from last year, with sales up 3 percent to $2.5 billion in the first 3 months of the year.
Weyerhaeuser Co. (NYSE:WY): Jim Cramer ranked this stock a Buy. Cramer previously ranked this stock a Buy on May 31, 2013. The stock’s 52-week high is $33.24, and its 52-week low is $22.55.
Weyerhaeuser was also part of the Mad Money host’s bullish housing view, and encouraged ownership of the stock as well as Black and Decker. His website recommends the stock as well noting solid share performance, and “robust revenue growth.” The forest products maker is scheduled for its earnings report on Thursday.
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