Jim Cramer: Buy DuPont, Sell Green Mountain Coffee, and 2 More Stock Picks
Jim Cramer made the following calls on October 24. What do you think about his picks?
EI DuPont de Nemours & Co. (NYSE:DD): Jim Cramer ranked this stock a Buy. Cramer previously ranked this stock a Buy on July 17. The stock’s 52-week high is $60.40, and its 52-week low is $41.67. Cramer sat down with Ellen Kullman, the chair and CEO of DuPont, to discuss the company’s strong earnings report that beat out expectations by 4 cents per share. Kullman said that DuPont is forming two companies, one a leading chemical company and the other dedicated to new and interesting applications of science. Kullman also pointed to strong international trends like increased demand for the company’s agricultural products in Latin America as a sign that DuPont remains a top pick for investors.
Green Mountain Coffee Roasters Inc. (NASDAQ:GMCR): Jim Cramer ranked this stock a Sell. Cramer previously ranked this stock a Sell on October 10. The stock’s 52-week high is $89.66, and its 52-week low is $21.33. Cramer expressed uncertainty about Green Mountain Coffee, pointing to Herb Greenberg having raised red flags about the company. Cramer said that the prudent move was to sell, as there will be better places to invest in the market.
Ensco PLC (NYSE:ESV): Jim Cramer ranked this stock a Buy. Cramer previously ranked this stock a Buy on May 14. The stock’s 52-week high is $65.82, and its 52-week low is $51.01. Cramer said that Ensco was a company that delivered in its earnings report, which was a good sign for the drilling company. Ensco posted EPS that beat estimates, with revenues that just fell short of predictions, making the company good enough to earn Cramer’s seal of approval.
Diamond Offshore Drilling Inc. (NYSE:DO): Jim Cramer ranked this stock a Sell. Cramer previously ranked this stock a Sell on January 5, 2011. The stock’s 52-week high is $76.85, and its 52-week low is $63.95. Cramer compared Ensco, which he likes, to Diamond Offshore Drilling, a company that he does not think is favorable. While Diamond also posted earnings that managed to beat expectations for the third quarter, the company has persistent cash flows issues stemming from its relationships with customers, making it a suboptimal play in the industry, Cramer says.
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