Jim Cramer: Buy Disney, GameStop, and Gilead, But Sell This Stock
Jim Cramer made the following calls on November 8th, 2013. What do you think about his picks?
Walt Disney Co. (NYSE:DIS): Jim Cramer ranked this stock a Buy. Cramer previously ranked this stock a Buy on November 1, 2013. The stock’s 52-week high is $69.87, and its 52-week low is $46.96. Cramer used Disney as an example of why most investors should avoid after hours trading, especially when basing a company’s performance solely on earnings data. While many wanted out on Disney when its latest quarterly numbers were released, all was rectified after the conference call, after which investors realized that things weren’t as bad as they seemed. The result was that those who sold at after-hours lows lost money, whereas those who stuck with the stock saw the price rebound.
GameStop Corp. (NYSE:GME): Jim Cramer ranked this stock a Buy. Cramer previously ranked this stock a Buy on October 29, 2013. The stock’s 52-week high is $57.21, and its 52-week low is $22.13. Cramer reiterated his buy ranking on GameStop, discussing the company in a segment of his show dedicated to stocks in the video game industry. Cramer said that GameStop continues to be a strong pick because it can capitalize on trends in the entire sector. This is in contrast to companies, who may live or die by a single hit release or franchise. He also pointed to the release of new consoles and the upcoming holiday season as factors that make GameStop attractive at this point in time.
Gilead Sciences Inc. (NASDAQ:GILD): Jim Cramer ranked this stock a Buy. Cramer previously ranked this stock a Buy on September 26, 2013. The stock’s 52-week high is $73.20, and its 52-week low is $35.56. Cramer was optimistic about Gilead Sciences, saying that the pharmaceutical company is nearing FDA approval of its hepatitis C drug zovosbuvir. Gilead is hoping that the drug will be approval in several regions in the near future, and is preparing to ramp up production and marketing efforts for the name.
LeapFrog Enterprises Inc. (NYSE:LF): Jim Cramer ranked this stock a Sell. Cramer previously ranked this stock a Sell on March 27, 2012. The stock’s 52-week high is $11.95, and its 52-week low is $7.00. Cramer was unable to recommend LeapFrog, a maker of electronic toys and games for children. While Cramer refrained from saying that there was no potential in the name, he noted that there was far too much risk in the stock to justify it being a sound investment at this point in time.