June 29th - Repeat Show - MSPD

Even with a splice job of repeat shows, which was clearly indicated by the "Recorded 3/20/06" on the bottom left people still bought up MSPD Mindspeed Technologies Inc.

Closing Price: $2.47
After Hours High: $2.72
Percent Increase at High: 10.1%
Price Level Off Point: $2.70
Percent Increase at Level Off Point: 9.3%
Trades on NASDAQ
Sector: Tech
Short %: 1.09%
Days to Cover: 0.9

Even though the stock traded at $3.55 last time this show aired people are still bidding it up 10% tonight down at $2.50! If it was so good then, why is it down 40%??? This is under $5 so a lot of brokers won't allow shorting of it. Its hard to say what the market might do tomorrow, considering we were up today even when the fed raised rates and didn't say they would stop. Either way, there is little chance this will hold all of the gains from tonight, but don't expect a huge drop since a little drop still represents a pretty good percentage. Here is what happened the next day last time Cramer picked/ran this show:

Well MSPD looked like a typical Cramer pick in terms of price action the next day. The chart shows a steep decline at the premarket open from $4.02 down to a low of $3.76. For a cheap stock this is a pretty good decline. Then, a spike right at 9:30am to $4 again followed by another quick drop to $3.76 within the first half our of regular trading. Not to mention a drop to $3.80 within the first 5 minutes of the regular market. Once again, this shows people pay up right at the premarket open and the 9:30am regular open. Maybe I should be looking for a broker that will let me short under $5!

Here is the chart from the next day last time:

Cramer also picked ZUMZ Zumiez, Inc. but it only sparked some light after hours action with a 1% increase. The stock has split since this first aired so the stock is up since he last mentioned it. Also, ZUMZ was up 12% today (+$3.77) so another up day tomorrow could keep this one strong again.

Cramer also picked EXP Eagle Materials Inc. because of its heavy short percentage. When this episode first aired the stock was trading around $56 (I adjusted based on a split) and is now at $44. Very light trading after hours but it has gone up around 2%. The short percentage is now 13.14% with 3.5 days to cover. The volume today was over double the daily average, so technically that would cut the days to cover in half if the volume continues to stay high, which would reduce any sort of squeeze. Also, the stock was up 2% today as well so some short covering may have already begun.

Do people not realize the topic of the show was how to read between the lines of news about stocks to find what to buy and not acutally the stocks he was mentioning! I'm sure he will come back next week and call anyone that bought off a repeat show crazy!


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