i'm jim cramer and welcome to my world. you need to get in the game! go out of business and he's nuts! they're nuts! they know nothing! i always like to say, there's a bull market somewhere. "mad money," you can't afford to miss it. hey, i'm cramer. welcome to "mad money." welcome to cramerica. other people want to make friends. i just want to make a little bear music here. hey, my job, entertain you, educate you. call me, 1-800-743-cnbc. what are we doing here? well, maybe you can tell what we're doing is we're cooking. some classic kodiak jambalaya stew tonight. found the recipe right here, in emeril's latest. yep.

the bears have been torn to pieces, absolutely shredded with today's incredible rally! the dow up 257 points. the nasdaq up 63. this is huge victory for the bulls! a total vindication of the idea that it was wrong to give in to the despair that predominated the last four weeks. and, of course, you know what it does, as anyone knows, right? it brings up the age-old question, does a bear get lit in the woods! anyway. we owe it all to one company, and that company is intel. who knew this big chip maker still had the ability to cause a sea change in the mood of the market? dousing the negativity, which had recently, by the way, reached a multimonth high, and igniting a rally in the nasdaq. oh, one that's far from finished.

now that intel's dispelled the notion that nothing tech is working. i had to go the way of mr. peabody because it felt like 1988 all over again when intel went from being an also-ran, top 20 commodity chip maker to be the number one semiconductor in the country to the top franchise, anyone old enough to remember that? intel gave us what i regard as a true blowout quarter. that's right. this is a true one. i haven't seen one in a long time, which is why, of course, i brought out the blown-out tire here with me, just in case you forgot what one looked like. you've heard of the iron chef. i'm the rubber chef! ha ha, couldn't resist. intel's achievement -- we'll kill that when we do the actual -- in the post production? >> yes. >> okay. intel's achievement -- it wasn't one of those phony earnings

surprises like, hmm, upside, upside, bte, it was a true earnings beat-down! i mean, come on, it was an 18-wheeler! all right? tread fly-up, hit your windshield, blowout! based on much stronger-than-expected sales and profits. i got to put my head in it, it was that kind of blowout. wait just a second. oh, my god, now they'll know i'm bald. all right, this was -- didn't work. anyway, profits -- let me try it again. i'm going to try it again. i'm going to lift it up, because this is only a $4,000 brione suit. excise tax, health care guy. the profit after gross margins ones that tells us the business was getting better, this was a blowout we can extrapolate to the rest of the sector. the thing that is so funny and sad at the same time here is that the clues about tech and that this blowout were everywhere, it should have been

easy to spot the blowout. something great coming from intel, but nobody wanted to believe, despite the heaps of evidence. why? because everyone was trying to make, guess what, wrong ingredients! they didn't read emeril. they were trying to make a bull stew! first intel told us at the end of may that things were getting better. who cares? there was probably a negative subprime or auto or airlines story. a lot of woes there in the paper that day, which stirred the whole positive story. oh, my. then there was last week samsung saying there's a new bull market in semis and taiwan semi saying it, amd saying it. texas instruments saying it. analog devices saying it. qualcomm saying it, we've been saying it over and over again on this show that we were going to have a true blowout. but in cramer faith fashion, of

course, promoted the rings. the market's attitude was, i'm not listening, i'm not listening! well, mr. golam, guess who is listening now? the takeaway from intel's blowout quarter which is what i would say in my headphones, hey, jim, what is the best way to play intel in it's intel, idiot! but i would snarl a little bit more than that. because at that point i was a diplomat in the mold of john adams or even ryan seacrest which i morphed into today. the analysts were too bearish. here's credit suisse, still too early to be bearish, huh? how about time to be bullish, the glass is more than half full. speaking of full, goldman sachs said valuation is full, more like goldman is full, as in "full of it." intel unlike the market as a whole, violates the first dictum of the esteemed jordin sparks, who contrary to the tmz chatter does not moonlight at the goldman sachs research department, which is to say that intel is not a battlefield.

actually, it's more like what independent analyst lady gaga says. it's more of a love game. now, as an intel hawk who has visited many plants and talked to senior managers for many years and has seen many intel blowouts, what you need to know besides the fact that the 12 steps didn't work for me in my intel-a-holic, may name is jim crammer and i have not had an intel chip in -- anyway. intel makes the most money after it's been running new product lines, because they throw out a huge amount of product at first when they get started because of how hard it is to make these chips. remember, apropos of my intel-a-holic status, the chips come in a million little pieces and oprah-choke and things will only get better here as intel has a number of new product lines and as they get smoother running, they throw out product and sometimes they have to throw everything at the start and the yield goes up. that's why when the yields go up, the gross margins soar. intel started better yield process which is why i am

convinced there are no more blowouts ahead. the new market for intel, one which it's collaborated with nokia. so, the company has a lot to look forward in that front. the mobile internet hear me roar error last night's conference call screamed out at me. they cited ultrathin new notebooks where they are making a splash. the end results, revenues will keep growing and growing and gross margins, how much intel makes from the sale, which is also the key metric, will go up huge. business should be better from both the consumer and enterprise. that means many more upside surprises and blowouts. how can this be generated if business is so bad worldwide, to quote the intel ceo, when you look at aging products that are out there, desktops in the corporate environment are about four years old, notebooks 3 1/2 years old, servers about 3 years

old, jim cramer two years old with had -- no, and at some point those need to be refreshed. that means there's a huge impact for intel and the semis across the board. beyond the blowout for intel where commercial real estate unemployment, taxes, bankruptcies, foreclosures are all going bad, you can buy tech. the reason? because this sector has nothing to do with what's bad, nothing. great balance sheets. intel has $11 billion in cash. and even though tech is not immune to all of our problems, i think it will be able to shine as we saw with intel today and that will cause the money to start pouring in all over again. why else do we still like tech? as i have said earlier and as i will keep saying until it hurts my ratings, the mobile internet tsunami cycle where people were buying more and more devices that can access the web anywhere and do just about anything. a cycle we talked about so much on this show and we'll keep talking about because it's still in the early innings. as it happens i think the best mobile internet play is also one of the best plays off of intel's fabulous quarter.

you probably couldn't put two and two together, i am going to. apple. which reports next week. i think apple will have a huge quarter. they have the kind of products that intel highlighted as being in the sweet spot in its conference call. you can also play it in the mobile internet cycle with qualcomm, created the technology that created a boom. the stock i own for my charitable trust. if there's more enterprise spending which everyone says is coming back, emc, hewlett-packard, and crisco, the last two names in my charitable trust, because i put my charitable money where my mouth is. the other plus for tech financial service companies, a huge consumer of tech are making a comeback after tremendous turmoil. here's the bottom line, you would have seen intel's blowout quarter coming even if you were looking at the clues, even as the press and many analysts seemed determined to ignore them. but now that intel gave us something too big to ignore, the blowout, tech is back on track. stick with me after the break and i'll tell you about another

tech stock that the clues are telling you to buy, buy, buy, and this time i hope you'll pay attention to them. i need to speak to joe in california. joe? >> caller: jumping jimbo. >> what's up there, chief? >> caller: hey, jim, i got a speculative ipo name that can't wait until friday. >> what's that? solar winds, ticker swi? is the growth rate in that company a good offset to its p/e ratio? >> oh, let me think. because you're kind of like -- i think you're taking your life in your hands with the solar winds. remember that's the company a lot of people bought because they think solar winds must be a cap-and-trade play, but it's a network management tool. you know how i feel. it's end cap. end cap is your play, okay? network applications, end tap. especially now that they didn't get data domain, i think a kill or be killed situation with end tap. it's a much better one. that's what i need you in. i need to go to aaron, from a caller we've only had in the last four weeks, arkansas.

aaron. send an arkansas forest national booyah to you and say hello. >> only you can prevent wildfires booyah right back at you. >> caller: why, thank you, thank you. >> i'm sorry, go ahead. >> caller: well, i just noticed i was reading an article that dell was saying that they're looking at lower -- fewer corporate orders for -- and even government and state orders for their hardware. >> yeah. >> caller: components and i was just kind of wondering how you might also think this will affect the software industry as well, because intel's been -- you know, they're talking about being bullish on it. dell has another story. >> all right. now, look, i think that microsoft has the new windows seven thing, it needs a little extra salt. windows seven thing, i think that microsoft's going to be in good shape. i also think that bing is going to move the needle. i think a lot of people like bing. i'm not concerned about microsoft. i think it's a powerhouse

situation. i do not think you can extrapolate anything from dell. not at all. as a matter of fact, i'm going to ban dell from -- unless there's a farmer in the dell, they're out! okay, as an independent analyst, lady gaga, who you know i depend on for most of my better thoughts, said this beat is sick! she was, of course, referring to the intel better-than-expectations beat! after the break, i'm going to give you the next big lady gaga song. but, excuse me, while i put on my poker face. stay with cramer. ♪ heavy touching yeah coming up, with the smartphone craze in full swing, cramer goes inside the hottest devices in tech to find a stock that could have you making "mad money" in a flash. plus, as cit group fights for survival, who's really to blame for this financial fiasco? find out on cramer's "outrage of the day." and later jim goes high

fire "lightning round." all coming up on "mad money." want to get in on the action? send jim an e-mail to madmoney@cnbc.com. give us a call at 1-800-743-cnbc, or check us out online at madmoney@cnbc.com. online at madmoney.cnbc.com. at 155 miles per hour, andy roddick has the fastest serve in the history of professional tennis. so i've come to this court to challenge his speed. ...on the internet. i'll be using the 3g at&t laptopconnect card. he won't so i can book travel plans faster,

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all right. what's the next tech stock that i believe could absolutely blow away the numbers when it reports? remember what i told you about intel, the clues were all there, hidden in plain sight. but no one was paying any attention. otherwise its tire-blowout quarter wouldn't have surprised a soul.

so, tonight i have another stock, another chip maker, in fact. a little bit different. a storage chip. and it reports next wednesday. and just like with intel, just like an edgar allen poe's "the purloined letter" a story that like you i'm sure you were forced to read in school if you didn't read it on your own. it stands for a simple precept. the answers are right in front of your face. you just have to look this time. see, this is a tale of radio-city, to borrow from poe, and it starts with novellus that reported a better-than-expected story on monday. it was this that allowed me to tell that dell with its lousy quarter was wrong. totally unrepresentative of what's really happening in tech, and certainly saw that today in the big nasdaq rally. and that intel was right.

so you know what, i'm going back to my source on the novellus conference call, which no one was on, because we're all worried about the woes of the auto industry, the housing industry, the airlines, the banks. in the highlights, they said nand, n-a-n-d, prices are up dramatically, 75%, and they said on a certain version, which is due to robust demand of smartphone and some supply cuts. hmm, i said to myself, self, huge demand for nand, nand flash, that's a kind of memory based on semiconductors that's usually predominantly in smartphones, because it takes up less space and less power than a traditional hard drive. plus, it's more resilient because it has no moving parts. am i going to read this into novellus' conference call and do nothing, not alert you of a thing? what a clue. right in my face.

now, that passage i read may not scream anything out to you, but to me, it's like a letter coming right down out of the sky. kind of like this -- and what's it say? dearest investors, buy sandisk, sndk, sincerely, the market! buy sandisk. this much-loathed stock is the purest play on nand flash memory. and with a clue like this, it cannot be ignored. this company is a huge mobile internet play, because it makes the chips that all these devices use to store videos, to store songs like you know when you store lady gaga, right? i mean, everyone's storing lady gaga, or everything else. and since new smartphones have more and more storage space, that means there's incredible

demand for the nand flash chips like sandisk makes, just like we heard from novellus. this is the right part of the product cycle. remember everything trades in a cycle. we need to own this stock when it's at this point in the product cycle. now, i do worry that sandisk is so despised by so many people that people might ignore the evidence until it's too late. how hated exactly is sandisk? last week, morgan stanley put out a note raising estimates and saying the company will likely beat the street consensus expectations when it reports earnings next wednesday. they gave it a big number bump. they raised fiscal 2009 earnings estimate from $1.39 a loss to $1.01 loss. but listen to this, for the fiscal 2010, they raised it from 13 cents to 22 cents on a percentage basis that's gigantic. but do you know what morgan stanley didn't do? they didn't upgrade sandisk despite the positives. the analysts at morgan stanley couldn't ignore the hugely

bullish facts at sandisk and keep the rating at an equal rate rather than upgrading to buy because the company is so disliked. this is a classic analyst mistake in my opinion. they feel they can't have too many buys or sells, they don't like the company because it's disappointed before. they end up being too negative when the sector they cover are in bull mode and too positive when things are too bad. that's the way they work either way. sandisk is so hated that it's the obvious choice not to upgrade. i think the mobile internet story and the huge demand for its chips means that sandisk should be bought right here. but i'm the first guy to admit that the company is hated, and for good reason. remember, sandisk is the company that turned down a $26 a share takeover bid from samsung last fall. even though its stock was at $13 before news that samsung was considering buying the company out. it went as high as $20 and change while the bid was being considered and then dropped to $10 after it rejected the bid

and samsung withdrew its offer. i stuck sandisk ceo eli harari, hard to do, because he's been on the show and i like him. but i put him on the wall of shame that very day, october 22nd, and labeled him a complete destroyer of value. but i gave him a reprieve on june 1st when they cross-licensed with samsung and i because i thought the stock was too cheap at $16. the same price it is right now. so, you haven't missed anything. i think sandisk could report a huge upside surprise. people thought april was bad. april not good, but june is spectacular. business is very good right now and part because the expectations are too low. there had been a glut of nand flash chips people were talking about price cuts in april. all the players in the industry cut back on production and lowered supply. now with major increase for the demand for the devices that use flash memory, especially, again, in asia, don't look to best buy for the place here, that's allowing prices to increase. that's just the beginning. they could go much higher

because we're still in the early innings of this mobile internet cycle. at the same time the costs have for sandisk have come down, running at full capacity close to 70% last year. a close margin to expand there. by the end of the year it's expected to have adopted a production process that's 30% cheaper for the current standard for roughly half of its output, furthering global expansion. it's not a fabulous tech company. it's not. it's kind of a commodity company. like triquent and rf micro and skyward solutions, demand coming from smartphones with more and more memory, hd video recorders which need more storage and more demand for durable solid-state drives that use nand flash means it's easy for sandisk to do well. last week sandisk called the bear market in semiconductors over. and they got a big deal with sandisk. this company is all about the product cycle, and when we hit the right point, boom, it's off and running. not everyone agrees. another reason why sandisk can blow away the numbers.

analysts are too bearish. you have the analysts that cover the stock at pacific crest. he says that business is bad, he's lowering estimates. i think he will be wrong. there's only six buys and nine holds and four sells. among the sells are bank of america, merrill, needham, those guys are important. guys, upgrade before the quarter and you'll be forgiven for not seeing "the purloined letter" even though it was hidden in plain sight. the bottom line, a lot of you may have missed the intel fabulous blowout quarter even though it was there, do not make the mistake with "the purloined letter" that is sandisk, it's ahead of the play and it's an investment in the mobile internet tsunami. i need to go to dennis in the sunshine state. dennis? >> caller: yeah, jim, booyah from the sunny cape coral. >> all right, sunshine, what's shaking?

>> caller: recently the european trade commission levied a fine against intel. >> right. huge, actually. >> caller: yeah, exactly. to do the -- do you think they'll do the same thing in the u.s.? >> no. finish the question, because i know the justice department recently moved from antitrust to commerce where president bush had put it and now it's suddenly in the justice department and could give it some teeth. my take is this -- it's a joke. my take is this amd will have a good quarter, you should own the stock. it was up yesterday. no more polka poker face from me. you may have been blindsided about intel's quarter. i do not want you to make the same mistake again. i want you to consider buying sandisk, sndk, before it reports for next week's big upside surprise. after the break, i'll try to make you even more money. ♪ coming up, as cit group fights for survival, who's really to blame for this financial fiasco, find out on cramer's "outrage of the day."

plus, lightning strikes. cramer goes electric taking all your call income the spine-chilling, overcharged "lightning round." and later, whether the dow soars or hits the floor, jim helps you try to stay on steady ground with "am i diversified?" all coming up on "mad money." do you booyah? ♪ ♪

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due for the company in the next 24 hours, probably because the government wasn't want to risk hurting the small and medium-sized businesses it lends to, going the way of lehman, what i'm about to do may seem petty, even downright malicious. in other words, in keeping with my sweetheart style. that's right. i'm putting jeffrey peek, the simply awful chairman and ceo -- ceo of cit up on the wall of shame. now, in truth, of course, this is a better late than never situation. i should have done it a long time ago as cit has been a train wreck of a company. do you know what maybe this company -- i know there are pretty dynamite people up here, oh, man, but, you know, he may be the worst of the worst, save for the folks that used to run indymac and wamu. those guys were dumb as plywood. no insult to the good people at weyerhaeuser, louisiana-pacific when i make that comparison. this is a case where, again, i have no choice. it doesn't matter how late.

by the way, i'd like to ask a question to the people of cit. do you have a board of directors? i mean, this is a travesty. even for counselor in training, which is what cit really stands for. what else could it stand for? there's no way this is a real counselor and you have to take it from the father of two counselors, i think this aid package is outrageous, but if the government's going to rescue cit then at the very least i don't think this guy can stay. i don't think he should be left anywhere near this camp. the way i see it, he has been a truly terrible ceo. a value destroyer extraordinaire, who has lost investors tremendous amounts of money as he did stock offer after stock offering as he tried to prop up his company, one of wall street's walking wounded. when peek was made ceo on july 21st, cit was at $37.60. who knew that was just its beginning on the walk down the green mile. now it's $1.64 and the government is about to insert the respirator despite the my belief that the dnr sign should be hanging on the door. but that's not all.

what really infuriates me are all the financings that this company has done to stay afloat which i think is attributable to peek's real strength, selling debt in common stock to the unsuspecting, hoodwinking them. they did a $600 million equity offering in october of 2007. priced 24 million equity units at $25. hey, but wait a second. it can convert to common stock if the common reaches $42. these units. it never happened. it was a total money loser. and it came back to the party in april 21st of 2008. the company raised money selling shares for $11. it was a steal. buy one, get one. they should have paid attention to the old adage. fool me once, shame on you. fool me twice, shame on me. and he couldn't resist, he december 17, 2008, raised $300 million and even

that offering priced at four bucks has given you 60% loss if you bought cit stock. although at that point you really should have known better. this guy is the p.t. barnum of the lending biz. i think cit is small enough it should have been simply left to fend for itself. the government should have seized cit and given it to a bank that hasn't screwed up in the lending business, even those are admittedly few and far between. but the government talks about the medium and small businesses that depend on cit, so even though it doesn't deserve to be saved, it looks like that's what has to happen. i think it's outrageous. its demise wouldn't have posed a threat. to the country. it's part of the japanization of our lending institutions. i think cit will probably end up owned by the government as we've had to own so many other companies. i don't like it, but at the very least it's what the government can do if it saves the company is to fire cit's ceo, the walking disaster known as jeff peek.

it's an outrage that he's still running the company at all. i don't think he should be allowed to stay if cit is allowed to leave. to include all taxpayers. maybe then at last we'll have the guts to fire the guy. stay with cramer. coming up, try to keep up with cramer as he takes your calls "rapid fire" in an all-new "lightning round." and later whether the dow soars or hits the floor, jim helps you try to stay on steady ground with "am i diversified?" all coming up on "mad money." if you're like a lot of people,

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it is time, it is time for the "lightning round" on cramer's "mad money"! oh, what's that all about? that's about rapid-fire calls one right after another. you tell me the name of the

stock and i tell you whether to buy, buy, buy, or sell, sell, sell. i don't know the callers or the stocks ahead of time. my staffers prepare the graphics and you hear this sound and then the "lightning round" is over. are you ready, skee-daddy? it is time for the "lightning round," on cramer's "mad money." i'm talking with jim in the great state of utah. jim? >> caller: hello, mr. cramer. big utah, how you doing booyah to you. >> man. the high desert, got a farm out in the high desert. utah, back at you. what's up? >> caller: well, i got a question about apwr. they're a wind turbine generator company in china. >> i know it well. we were going over the prospects today. i think they are good. i wish i knew more about the chinese market. you know i do not recommend any individual chinese stocks on the

chu, which i own for my charitable trust because they are going to be one of the big suppliers of the iphone in china, which i think is going to be huge. and do not forget, there's a lot of people in china. okay. how about beth in the illini? beth? >> caller: hi, jim. thanks for my passport to cramerica. it's a great place to visit! >> i like to live there myself. you can -- you know, what's better than two weeks in -- in cramerica? one way, now w.t. fields. go ahead. >> caller: okay. my pick is a tobacco stock, rai, reynolds american. i like the dividends, but i'm not sure about the stock's performance. what do you think? >> i think you have to go with altria. you have to go with altria. i've been buying it for my charitable trust. it's starting to make a move. it had a great quarter. it bought u.s. tobacco, so it will have growth from snuff. that's your play. i don't want to mess with an inferior quality company like reynolds american. make that move. let's go to joe in my old home state of pennsylvania. joe?

>> caller: booyah, big homey! >> hey, man. hey, we didn't do that well in the all-star game, victorino made us look good, but ryan. go ahead. >> caller: the second half of the season, we you know what to do, jim. >> yes, we do. we're up by four. what's up? >> caller: i'm buying by tata motors. >> tata for now. we are not buyers of any, any, any automobile stock. the only two that i'm looking for magna international out of canada and johnson controls. but it wouldn't matter whether it was toyota, honda. we had the ford trade, we left that. the woes of the auto industry have overwhelmed this guy. debra in south carolina. debra? >> caller: hi, jim. this is debbie in somerville, south carolina, and i want to send you a great big booyah from the palmetto state. >> one of my absolute favorite places and good fishing, by the way, for those of you who are not from there, angling, south carolina, good fishing. what's up? >> caller: my question concerns

at&t. it looks like a slow bleed to me. i'm wondering if this patient's going to die or what's the story here? >> okay, you know, first of all, i think your characterization of it is definitely right. i cannot deny that i've not liked at&t for many, many points here. the dividend is safe. i think they can even raise it is. it is such a stock, like interest rates have been going higher, people don't like this stock here. why should i continue to recommend it? i like the yield. i think it's safe, and i like -- if there's any pick-up in the enterprise, corporate business, at&t will be good. i reiterate not buy. i also reiterate that i have been wrong on at&t. not on the yield, not on the good management, but i've been wrong about it being the right place to be in the market. allen in michigan? >> caller: booyah from saginaw. >> what's up? >> caller: patriot coal. >> we do not like coal on the show, because president obama seems not to be a big fan of

coal. oh. but, look, i was out of line with that, but they also cut away from it, by the way. that's bad. as bad. peabody energy is -- it's bad. btu is the play on the situation, not patriot coal. patriot coal is like "patriot games." good movie, bad stock. next caller? >> caller: try not to roll your eyes, but i wanted to start with a booyah for my wife, for putting up with me on watching the show. booyah, babe. >> a personal booyah. i don't mind that. >> caller: okay, you had ron insana on talking about the home builders. >> what a home-run call by ron insana and market movers, he stood right here and he literally made you 5% overnight. i hope you listen to the ron insana market movers.

one of the great home run calls i have seen in my lifetime. i did not mean to interrupt. >> caller: unbelievable, jimbo, but, listen, i live in south florida in the epicenter of this real estate disaster. long story short, i live in a new construction community. my builder is putting up 50 specs in my community as we speak. my question for you, is toll brothers. is this the right play on -- >> no, i agree with ron on the banks. i do not want to buy the home builders. i saw toll had a very interesting -- they said it was news. they've been doing it for some time. the low interest rate product. there are still too many homes being built. in the "los angeles times" housing bottomed and went up on the price for the month in june on big, big sales. parts of florida have bottomed, parts have not. i do think you should buy banks. steve in new york, steve? >> caller: booyah, jim. >> booyah there, sport. what's up?

your thoughts on allos therapeutics and find out if it's a good time to stock up on it ahead of the fda announcement. >> i think you have horse sense. i think it's the right place to be. even congress under czar -- not czar, commissar pelosi, and if the commissar says it's okay, it's okay, my buy. let's go to ross in georgia. ross? >> caller: hey, booyah, jim cramer. how are you? >> not bad. thank you for asking. how about you? >> caller: hey, i'm doing great. thank you, sir. hey, i wanted to ask you about thi, tim horton. >> i should have recommended it. i've done work on it literally eight weeks ago. it happens to be a great doughnut play. i happen to love the doughnuts. if you go to canada, i happen to love canada, too. i should have recommended it. i now feel i'm too late. i'm not going to pull the trigger on tim horton. but it was just a great call a few weeks ago. hey, why don't we go to kathy in montana, kathy?

>> caller: a big-sky booyah from potomac, montana. >> potomac, i didn't know you had one there. i was on potomac real estate trust last night. the sister city. go ahead. >> caller: my stock is teppco. >> i think this is the one merging with enterprise. yes. and you've got a very good one. enterprise just announced a -- right now a boost in the dividends, so i'd rather, you know, you have to figure out what to do, because you'll own enterprise through this, but enterprise is a terrific one. thank you for mentioning the other one besides tinder morgan energy partners that i like so much. and how great is it for once to end the "lightning round" on a stock that i like? the "lightning round" is over. [ buzzer ]

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>> when i tell you to own a stock, it doesn't mean to put all your eggs in one basket. that would be stupid. huh-uh, i won't have any of that on this show, because diversification is the only free lunch. that's why we're playing "am i diversified?" i'll tell you whether your portfolio has enough protection from each other. whether you have enough sectors. whether you mix things up. let's start with bradley in texas. bradley? >> caller: jim cramer, a west texas yehaw booyah. >> and football. football is my life. go ahead. >> caller: definitely. i have yahoo!, walmart, alb, citi and oracle. "am i diversified?" >> take a look here. it's not easy. you'll see why in a second.

okay, this is a biotech company out of china. i really don't like that company. but it's a biotech company out of china. we have citi which, you know, look, let's be honest by citi, it's a good field. it's not as good a field as the yankee stadium. oh, the stock, excuse me. terrible. terrible bet. decent field. good sight lines. now we have this. walmart which is -- everyone tells me that walmart's quarter is not that good. i look at it and say the stock is at a 52-week low, let's go buy some. then this here is the problem. yahoo! and oracle. two tech stocks and forget about it, or do i say one is an online play, one is a soft play. i will have to buzz this portfolio, and say you should, i think yahoo! is having a great quarter. keep yahoo! take the profits in oracle.

>> caller: i have five stocks. i appreciate all the little lessons you give. i'm up about 25% so far for the year. >> thank you very much. thank you. i like it. i've been taking a little heat lately for 54, about 47 years, good, nice change of pace. >> caller: keeping up with it. my five stocks are a little bit -- they're really more i got them off the dividend. the first one is jpmorgan, jjpn and second cglt. conoco phillips i know you're bearish on and call qualm and

bristol myers squibb. >> he doesn't really have that much dividend here. jpmorgan reports tomorrow. i think the world of jamie diamond, i don't know what he thinks of me nor do i care, i think he is great and his bank is great. i own it for my travel trust. i'm on the side of him versus the government. he worked really hard and being lumped in with a lot of bad banks. conoco phillips, i would lighten up on this for natural gas exposure. and why does my travel trust like qualcomm? it's the oldest mobile internet play. bristol myers, i own that one, too, because of the yield, just like him and i shouldn't have kicked out celgene because i had too much biotech and too much drug. it's a great great biotech company. we were worried about european reimbursement. we have tech, banks, oil. then we have -- do we regard biotech as drugs? they are not trading together, i will bless that. now, to pete in maryland. pete.

>> caller: hi. >> hey. >> caller: don't expect a girly boo-yah, i will give you a baltimore boo-yah and baltimore truah, because i respect so much your honesty. my quick stocks are nokia, nok, uncle janik, ogxi, fixed comfort systems, wells fargo, you know that one and del monte. dlm. what do you think, jim? aim diversified? >> i got to tell you, i am an absolute lunatic and get turned on by portfolios. i am turned on with what pete has put together. this is a portfolio that doesn't come to mind. i kind of like it. you have an interesting biotech game. del monte. my friend writes the stocks newsletter thinks del monte is good. i won't go against him.

nokia, i happen to think will have a very strong second half. comfort systems was a company i recommended, unfortunately went much higher and wells is a bank i like. i always want to welcome anybody from wells on this show, including the eastfield realty people. i think it's a great thing. food, tech, biotech, perfect diversification and a really neat portfolio, if i don't say so myself. stay with cramer. (announcer) it is the most advanced automobile

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oh, petey. there's always a good day for the bulls. i'm jim cramer. i need more good days like this. i'll see you tomorrow. every sunday, lasagna at mom's was a family tradition. when she started forgetting things, i was hoping it was nothing. grandma! what a nice surprise! mom, it's sunday. that's when i knew i couldn't wait. mom's doctor said these were signs of alzheimer's, a type of dementia, and that prescription aricept could help. he said it's the only treatment proven effective...