“We need stocks that aren’t economically sensitive,” Jim Cramer told fans of his “Mad Money” TV show Monday. Cramer thinks the Medicare bill that is working its way through congress right now could provide a much need lift to a group of healthcare and medical reform stocks. Cramer pointed out that congress plans to spend over $454 billion on Medicare this year, vs. $371 billion in 2006. He mentioned that long-term care hospitals like Kindred Healthcare (KND) and in-patient rehabilitation companies like Healthsouth (HLS) benefited from last year’s bill. However oxygen providers like Apria (AHG) and some dialysis providers fell after funding for their sectors was left out of the bill at the last minute. “Medicare is a huge, non-economically sensitive giveaway to a lot of companies,” he said. Cramer thinks healthcare and medical reform firms will outperform every sector in the next quarter, besides possibly oil and gas. Get the scoop on tomorrow’s hottest trade ideas – TODAY! BeaconEquity.com PREMIER PICKS have an amazing track record. Join this select group and ride the profit wave!

Cramer told investors that dialysis plays Fesenius (FMS) and DaVita (DVA) are in a great position to benefit from this year’s Medicare spending bill. He pointed out that the current version of the bill provides dialysis companies with annual base-rate and inflation-rate payment increases. Cramer explained that FMS and DVA control 65% of the U.S. dialysis market. He said he prefers FMS because it has solid overseas exposure and its the best-of-breed stock in the sector. He also likes FMS for its growth into emerging markets like China, which is growing at 30% to 40%. The stock trades at 17 times earnings and sports a 11% long-term growth rate. Cramer thinks FMS can hit $65 and will earn $3.26 a share, vs. Wall Street estimates of $3.10 for 2009. Join the fastest growing community of small cap investors at Stockhideout.com

Cramer told investors that General Motors (GM) and Ford (F) are not cheap stocks. He explained that neither company is owned by the shareholders because of their high debt levels. Instead, the companies are now in control of the bond holders and GM has a negative book value while Ford’s book value is around zero. Cramer cited parallels between the two auto giants and Bethlehem Steel in the 1980’s. He mentioned that Bethlehem Steel’s stock looked like a bargain just like GM and F do now, but the shares collapsed and the company canceled the common stock after its pension, healthcare and bond obligations took over. Cramer pointed out that Ambac (ABK) and MBIA (MBI) are also in the same situation, and Citigroup (C), Bank of America (BAC), Wachovia (WB), Merrill Lynch (MER) and Lehman Brothers (LEH) could end just like the autos if they don’t find a big investor who will rescue them. Cramer told investors to stay away from these stocks, espically GM and Ford. “No matter how low they are,” he cautioned, “they can still go to zero.” Chat and share ideas with the best small cap traders LIVE each day free at Stocknetworkonline.com

Cramer welcomed Glen Post, chairman and CEO of CenturyTel (CTL) to the show to discuss his company’s decision to increase its dividend tenfold. Post explained that CenturyTel has been buying back stock that made up around 90% of its free cash flow, or 26% of its outstanding shares, but the stock hasn’t been representing the true value of the company. With that in mind, he decided to increase the dividend to unlock more value and return money to its shareholders. Post pointed out that CTL is bringing broadband Internet access to over 85% of its customers and the firm expects the strong demand for broadband services to continue. They also have a solid wireline business and are shifting into the wireless sector. “CTL equals a big dividend, buyback, growth,” Cramer said. “Start buying.” BioSolar (BSRC) could be the boost your portfolio is looking for! This emerging green solar producer is poised for huge gains in 2008. Read the free research report today

Lightning Round
Bullish
Mastercard (MA), Accenture (ACN), Rex Energy (REXX), Chesapeake Energy (CHK), Applied Materials (AMAT), First Solar (FSLR) and Consolidated Edison (ED).
Bearish
American Oriental (AOB), Visa (V), Tata Motors (TTM), ingli Green Energy (YGE), BJ’s Restaurants (BJRI) and Canadian Solar (CSIQ).
Sudden Death
Cramer was bullish on Nike (NKE ) and Research In Motion (RIMM) and bearish on Corning (GLW).
Wind Stocks are all the rage this year. Read why WNEA may be the single best play in this sector today!

Word On The Street
WORD VIDEO HERE
Google Take
Citigroup said Google (GOOG) is its top Internet pick for the second-half of the year and rated the stock a buy, replacing Expedia (EXPE) as its former top pick. Mark Mahaney, a Citigroup Internet analyst joined the traders to discuss the Google upgrade. He said Google has had a nice pullback and the risk/reward is attractive at current levels. He mentioned that second-quarter channel checks are on track for Google. Mahaney said money in the bank for Google will be a replication on mobile search like it did for PC search. He mentioned the only thing that could slowdown Google would be a slowdown in search advertising or material market share losses to Yahoo or Microsoft. Terranova said he owns Google and Adami said he likes it from a valuation perspective. Finerman said it isn’t cheap enough for her. Najarian said Google is dominating everyone in the search market.
Lehman Upgrade
After the market close Lehman Brothers (LEH) was upgraded by Morgan Stanley (MS) to overweight and slapped with a $31 price target. Najarian thinks Morgan is trying to pick a bottom on Lehman and he wouldn’t buy the stock. He questions why Morgan would come out with this call. Adami said he would have been all for the upgrade if the stock had seen big capitulation volume today, which he didn’t see. Finerman said she was skeptical and wondered if it would help Morgan if Lehman does better.
Options Activity
Najarian noted that call options on Washington Mutual (WM) were extremely active today. He said the October $5 calls traded over 5000 the normal volume. He also pointed out that put options activity on HSBC Bank (HBC) was heavy today with big volume in the September $70 puts
Oil Trade
Crude oil hit a new record high on Monday trading over $143 a barrel. Adami said investors should consider oil services stocks like Haliburton (HAL) and Schlumberger (SLB). Najarian said he likes Diamond Offshore (DO) for a play on deep water drilling. Terranova mentioned he is bullish on integrated oil for the second half of the year. He said look at Petrobras (PBR) and Chevron (CVX).
All American Stock Picks
The traders discussed “All American” stocks that embodies the spirit of America. The first pick in the three-part series was United Technologies (UTX). Adami pointed out that UTX trades at just 11.5 times forward earnings and has a backlog of $60 billion. He said the company is also launching a big green initiative and gives back to its employees with paying for school and giving graduates stock options when the finish school.
Chartology With Dan Fitzpatrick
Dan Fitzpatrick, a contributor to RealMoney.com joined the traders to discuss the market and a few stocks from a technical point of view. Fitzpatrick reviewed a chart of the S&P 500, vs. stocks trading above their 50-day moving average. He explained that technically this comparison is at a point that in the past has signaled a short term oversold bounce. He also pointed out that volatility measured by the VIX Index is very low, which means we could stay in a bear market for the longer term. Three stocks he likes from a chart perspective are Hess (HES), Aecom Technology (ACM) and Petrobras (PBR). Najarian said he likes all of Fizpatrick’s picks, especially Aecom.
POPS&DROPS
POPS- Nokia (NOK) traded up about 2%. Karen Finerman said she did not know of any reason why the stock was up. Petroleo Brasileiro (PBR) popped 2% off a positive Barron’s article. Terranova said integrated oil will do well as investors move out of crude oil futures. H&R Block (HRB) rose 3% after the tax preparer beat earnings estimates. Terranova said it was the first time the company beat in two years. Campbell Soup (CPB) jumped 4% after the food company raised its fiscal 2008 forecast. Adami said he wouldn’t race into the stock here. Robbins (RBN) soared 21% after the industrial equipment and systems supplier beat third-quarter earnings estimates. Najarian said energy chemical names were working today. Huntsman (HUN) moved up 7% off a positive article in Barron’s and an analyst upgrade. Finerman disclosed she owns November out of the money call options for her hedge fund. Petrohawk Energy (HK) rose 8% after the energy company reported strong results for new wells in Louisiana. Terranova said Don’t chase it.
DROPS- Visa (V) lost 2% after news came out that credit card companies are lowing their credit limits. Admai said the stock went down on profit-taking but he prefers MasterCard ( MA) over Visa. Whole Foods (WFMI) fell 4% after UBS downgraded the stock to neutral from buy. Najarian said the reason it’s down is that consumers aren’t buying expensive organic foods, they are shopping at Costco (COST) and Wal-Mart (WMT). Fannie Mae (FNM) dropped 6%. Finerman said the stock still looks risky. Smurfit-Stone (SSCC) slipped 6% after the packaging company said it will shut down its containerboard machine operation. Najarian said the company is struggling from high costs caused by inflation.
Fast&Furious
June vehicle sales are set to be reported on Tuesday. Adami said General Motors (GM) is setting up for a long term trade soon. Constellation Brands (STZ) is set to report earnings on Tuesday before the market opens. Terranova said he hopes that Constellation isn’t be hit by a consumer slowdown. Apollo Group (APOL) reports earnings after the market close Tuesday. Adami said he prefers DeVry (DV) over Apollo. On Tuesday Schnitzer Steel (SCHN) reports earnings. Najarian advised investors to take some profits.
Trader Radar
Shares of H&R Block (HRB) were among the most actively traded stocks on the NYSE Monday.
Final Trade
Terranova picked General Mills (GIS). Adami selected AT&T (T). Finerman said Golar (GLNG) is a buy and Najarian said buy Elan (ELN). Get the scoop on tomorrow’s hottest trade ideas – TODAY! BeaconEquity.com PREMIER PICKS have an amazing track record. Join this select group and ride the profit wave!

“We’re seeing a repeat cycle for biotech stocks,” Jim Cramer told fans of CNBC’s “Stop Trading” segment Monday. Cramer explained that the during the summer of 1990 large fund managers were seeing big losses in savings-and-loan stocks just like many fund managers are seeing today with financials. Back then, money managers started allocating capital into high-growth biotechnology stocks and Cramer said they are doing it again now. Cramer pointed out that biotech stocks like Gilead (GILD), Celgene (CELG), Amgen (AMGN), Merck (MRK) and Genentech (DNA) are all trading higher. “This makes sense when you consider the calendar in 1990 and where we are troughing,” Cramer said. “It’s most likely a bet that the economy’s really going to be soft. If it plays out the way it did in 1990, you’ve got a six-month move here,” he continued. He said his favorite play is Gilead. Moving on to supermarkets, Cramer mentioned that Kroger (KR) is near a 52-week high. He explained that KR is benefiting from higher food inflation by increasing its margins. Cramer said that KR and Costco (COST) are plays on a consumer who is spending less and buying in bulk, while Whole Foods (WFMI) is a value play for its dividend yield. Chat and share ideas with the best small cap traders LIVE each day free at Stocknetworkonline.com

Bullish
Alliance Resource Partners (ARLP), Phillip Morris (PM), CRBL (CBRL), and Grupo Simec (SIM).
Bearish
Oshkosh (OSK) and China Finance Online (JRJC).
Join the fastest growing community of small cap investors at Stockhideout.com

Tech Trades
This week was a rough one for some major technology stocks. Credit Suisse slapped a $100 price target on Research In Motion (RIMM) saying that earnings momentum will slow. Software giant Oracle (ORCL) sold off as well as shares of Google (GOOG). Najarian said he favors RIMM around $120. Adami said Oracle is a screaming buy around $20.
POPS&DROPS
POPS-Anheuser-Busch (BUD) advanced 3%. Najarian said keep an eye on BUD because they want $7 billion more than InBev is offering. Exxon Mobil (XOM) rose 2% after the oil giant received a positive court ruling. Terranova thinks integrated oil could ready to move higher. Sears (SHLD) popped 4%. Finerman said she wouldn’t buy SHLD, but rumors are swirling that the company is going to do a buyback. Kroger (KR) jumped 7% after the grocery store reported better-than-expected earnings. Terranova said buy it around $26.
DROPS- Boeing (BA) fell 5% after Goldman Sachs cut the company’s rating. Adami said not good news. Wynn Resorts (WYNN) dropped 10% after Key Banc downgraded the stock. Adami said you can gamble in the stock market so why go to Vegas. Nike (NIKE) dipped 10% after reporting earnings. Terranova thinks the stock is oversold. Micron (MU) slid15% after the company missed third-quarter earnings estimates. Palm (PALM) dove 11% after the handheld device maker reported disappointing earnings. Najarian said nobody uses Palm’s products.
Fast Fire
Finerman told investors to follow her lead and buy Citigroup (C). She was way off and Citigroup fell 15% from her call. Finerman disclosed that her hedge fund has sold out of the stock now. Adami suggested buying Pilgrim’s Pride (PPC) for a play on corn prices going down. He was off the market and shares of PPC lost 19% from his call. Adami admitted he was wrong but he said if commodities fall the trade could still work. Najarian recommended Nike (NKE). He was not on his game after Nike dipped 11% from his buy call. Najarian said he liked the stock but the market didn’t agree. Terranova told viewers to buy iShares Dow Jones Transport (IYT) for a bet against oil. He mentioned he is still in this trade despite the fact oil has hit record highs and the IYT is off 4% from his recommendation.
Quicker Then The Ticker
Adami told viewers to buy SPRD Gold Trust (GLD). He was on the money and GLD jumped 5% from his call. Joe Terranova recommenced shares of United States Natural Gas Fund (UNG). Terranova hit the call out of the park after UNG soared 18% from his call. Finerman said short BB&T (BBT) a regional bank her hedge fund was betting against. Her short call produced a 23% score. Najarian told investors to buy Energy Conversion Devices (ENER) for a play on solar, memory and fuel cells. His call racked up a 16% return.
Trader Radar
Shares of Rite Aid (RAD) were among the most actively traded stocks on the NYSE Friday.
Final Trade
Terranova picked JP Morgan (JPM). Adami went with Merck (MRK). Finerman said buy Merck (MRK). Najarian said short HSBC Bank (HBC). Get the scoop on tomorrow’s hottest trade ideas – TODAY! BeaconEquity.com PREMIER PICKS have an amazing track record. Join this select group and ride the profit wave!

Jim Cramer told investors on Friday’s CNBC “Stop Trading!” that this market is a true bear. He explained that oil, gas and gold are working as well as Gilead (GILD) and Pfizer (PFE). “This is a bear market that was concentrated in financials and homebuilders, now spilled over to industrials,” he said. “But really has been mauling safety, too, which is really a new trend.” Cramer pointed out that stocks like Coca-Cola (KO) and Procter & Gamble (PG) are usually the plays for recession. However, both KO and PG were down today, so he advised investors to use the weakness to buy these stocks. Moving on to gold, Cramer said take profits in Agnico-Eagle Mines (AEM) which is up 15 straight points. Finally, Cramer mentioned he agreed with JPMorgan’s downgrade of International Gaming Technology (IGT). Chat and share ideas with the best small cap traders LIVE each day free at Stocknetworkonline.com