On tonight’s MAD MONEY on CNBC, Jim Cramer said he wanted to review some picks that you might want to own with a 5-year time horizon for the future. He wants to look beyond the current markets and the volatility, so he wants to look at earnings visibility for a multi-year period. So that way he can look past a major market swing or against an analyst panicking over a stock drop. He has three picks that have 5-years worth of visibility and his first pick is as follows:
- FIRST SOLAR (NASDAQ:FSLR) is major, despite today’s 7% sell-off; up over three-fold since his recommendation in March 2007. This one avoids the silicon wafer shortage in solar power. He likes the contracts that are signed for over $6 Billion out to 2012 and that is now a baseline for the next five years. He also likes that they produce for less and increase capacity. Even over $200, Cramer said it trades at 24-times 2010 earnings. He thinks that the forecasts may end up being too low.
In a call-in from a viewer, Cramer said his second favorite solar power stock is SunPower Corp. (NASDAQ:SPWR).
Here were Cramer’s TOP Picks for 2007.
He also recently stuck with the new "Horsemen of Tech" into year-end.
He’s even reviewed some Warren Buffett stock picks.
Here is our own open email distribution list where we highlight some other Cramer picks, buyouts, spin-offs, break-ups, merger-arb spread, and other special situations.
Jon C. Ogg
December 17, 2007
Jon Ogg can be reached at [email protected]; he produces the SPECIAL SITUATION newsletter and he does not own securities in the companies he covers.
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