Jim Cramer's
Opening Discussion
3/27/06
ANDE
(ANDERSONS, INC.(THE) )

The Sunday New York Times business section says that you can't make money off of ethanol.  They're wrong.


I want you to swap out of Archer Daniels Midland (ADM), into a whole new house of pleasure, and it's called Andersons (ANDE).  That's if you want to try to make some hard-earned ethanol money.


ANDE - it's smaller, it's faster, it's cheaper than ADM. That's why I want you to do a 'mon-back.


I think that ANDE was the punch line that the New York times left out of this article.


All right, how about some caveats?  I need to be up front.  This is a riskier play.  Why?  Because the volume on ANDE - how much the stock trades - is on the low side.


That doesn't mean you can't invest in it.  It does mean you must use limit orders!  It does mean you must proceed with caution, because stocks with low volume could be bid up quickly, for those who don't listen.

Now, these guys don't just grow corn; they don't process ethanol.  Man, they're in a business that I thought went away frankly.  They operate grain elevators.

Bill gates (who invested $84 million in pacific ethanol - PEIX) is right about the big idea, but wrong about the company - sell, sell, sell!

Put your money here, into ANDE!

How does this work?  If we're going to be using more ethanol, then we need someplace to store corn!  Corn is still the cheapest way to make ethanol, despite all the speculative technology that the times tells us about.

Right now, most cars can run on fuel that's 10% ethanol.  It only costs $100 per auto to build this into cars.  So, converting into mostly ethanol fuel will not be too expensive.

But, once that happens, we need the gas stations to stock ethanol fuel.  And we need to be growing and storing more corn to produce the fuel.

That's why I think ANDE will be raking it in with their grain operators.  Their elevators are going to be chock full.

Right now, we're in planting season. Come harvest time, I think this stock makes you some mad money.

There's really no way around this.  You grow a lot of grain, you end up paying to store it, or you sell it to the co. That operates the grain elevator for a lower price.  Because there's just so much darn grain.  Either way, ANDE gets its cut!

They're not just an operator of grain operators.  Just last month, they announced that they're going to build the largest ethanol plant east of the Mississippi!  110 million gallons of ethanol a year.  Hey, that's better than a sharp stick in the eye.

Plus, they've also got a great rail business.  Remember, we've got one nifty bull market for the railroads.  That's why I liked the Koppers (KOP) last week for the creosote.  Hey, two thumbs up, way up.

The bottom line!:  ANDE is the king of offbeat bull markets in ethanol and railroad cars.  I  think that makes it - buy, buy, buy! - a triple buy!


Lightning Round


Bullish

Cephalon Inc (CEPH) Vasco Data
(VDSI)
MannKind (Nasdaq: MNKD) Applied Micro Circuits Corporation (AMCC)
Finisar Corp (FNSR) JDSU
(Nasdaq: JDSU)
Bookham Inc (BKHM) Ciena Corp
(CIEN)
Mindspeed
(Nasdaq: MSPD)
MRV Communications Inc (MRVC) General Dynamics Corp (GD) Commerce Bancorp (CBH)
Cisco Systems (CSCO) Las Vegas Sands Corp
(LVS)
Neoware (Nasdaq: NWRE) Intel Corp
(INTC)
Pharmaceuticals Inc (ACAD) Texas Roadhouse (TXRH)
Bearish

ViroPharma Inc.
(VPHM)
New York Community Bancorp
(NYB)
Wynn Resorts Ltd (WYNN) Tim Hortons Inc
(THI)
Allscripts Healthcare Solutions Inc
(MDRX)
Lucent Technologies Inc (LU) Sirius Satellite Radio
(SIRI)
view todays stock summaries here

Jim Cramer's
Closing Discussion
3/27/06


Today, I told you to buy ANDE and MBL.AU.  Now, I need to tell you why you can't buy either of these stocks right now.

If you really want to try to make money... if you really don't want to get ripped to pieces swimming with the sharks in after-hours (trading), you need to listen to me right now.

You're about to hear the single most important advice I have ever given on this show.  I'm going to tell you what to do with my recommendations - the actual recommendations.

First, let me tell you what I don't endorse.

I know there's some guy out there who, when I said buy ANDE, picked up his phone, called his broker and then entered a market order saying 'buy whatever Cramer recommended.'  This guy isn't following my instructions!  He's trying to commit financial suicide!  He doesn't do his homework, and then he buys in after hours.  A great way to get killed!  And, he doesn't use a limit order, so he's paying significantly more than the closing price; significantly more than he expected to pay.  And then he'll be blaming me!

Now, if you want Cramer's blessing, here's what you need to do.  First, you go online and you look up the stock.  Then you go to the company's website and you check it out.  You look for articles that are longer than a segment on mad money.  You listen to their last conference call; you read their 10-k, their annual report.  You read a couple of research reports, and you talk it over with a human - yes, a broker.

Then, and only then, is it okay to try to buy the darn stock!  That's called the homework.  I do it. You need to do it.  You do it with a limit order.

And you only get it if you can pick some up within a small percentage of where I liked it.  If the stock isn't there; if it's already jumped 5-6%, then you pass on the stock - don't buy, don't buy!

Or, more realistically, you wait for it to come back in.  It happens!  We don't chase stocks on mad money; we don't get impatient.  We wait and we try to make money!

When I say I like a stock, I'll probably like it more two days from now, than two hours from now.

I'm giving you ideas.  The timing isn't set in stone, in fact, it's flexible!

Don't be too eager to pounce on stocks you only just heard of.

Just be patient, and buy the stock with limit orders.

Bottom line:  be patient.  The stock will come back.  It'll come down from the spike, after you've done your homework.  And then, and only then, will you make the smart money purchase!



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Jim Cramer's
Mid-Show Mention
3/24/06
(MBL.AU)
Macquarie Bank

 Today, I need you to pimp on over to Australia and buy some Macquarie Bank (MBL.AU).

I know, that means you've got to go to Australia.  Now, there's an adr (MQBKY.PK - not recommended by Cramer) that trades over the counter in America, but actually I think you should go buy some Australian dollars.  It's not that hard, okay.  And buy the stock down under.

One of the reasons that I say it's not that hard is that I like the Australian dollar right now.  It could be a double whammy in your favor.  And I don't like buying stocks that are over the counter because you'll go in, and you'll bid them up and, of course, blame me.

Barron's named MBL's CEO, Allan Moss, as one of the best 30 CEO in the world.  But I don't think you want this thing because it's got good management.  Besides, I actually don't really care what Barron's has to say about this co.


Do we like it because it's got a lot of Australian exposure and Australia's booming'?  One reason.

Do we like it because they're one of the big financial services co.s that run the show in southeast Asia?  Not bad.

Do I like this stock because it's got connections with the Australian government?  In a way that would make even our American politicians wretch?  And remember, we live in a country that invented the govt of 'by and for the corporations.'

MBL had John Howard, the Australian prime minister, he opened their office in Bombay on March 8th.

This is an amazing, but it's still not why I like MBL.

I like this bank because it buys infrastructure!  Right now, it's in talks to buy the Pennsylvania turnpike.  I also think it's the answer to John Corzine's (governor, NJ) prayers, because NJ needs money, and it could do without the Jersey Turnpike.

They already own the Chicago skyway. They've got a lot of properties in Australia; some in Europe too.  They've bought water utilities.  The last one was Aquarion up in new England.

Let's examine MBL's business model.  MBL  buys a property, invest money in it and then sells it for a profit.

Right now, I think we've got a serious bull market in infrastructure.  I think mbl's got a proven way to make you money in that bull market.

They've had a lot of great opportunities in America, and they should continue to be able to get good deals, because our states just simply aren't in great financial shape!

Plus, if MBL can get tight with the Australian prime minister, how hard would it be for them to get tight with John Corzine in jersey?  The guy used to run Goldman Sachs.  He speaks the same language the guys at mbl do, and it makes so much sense for them to lease them the turnpike.

Bottom line!:  I need you to pimp down to Australia and take some Aussie dollars and buy mbl.  I think you could make a lot of money!