Brocker.Org: Cramer Remix: The casino stock to buy if you’re playing your cards safe

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Customers carry Coach Inc. shopping bags after shopping at a store during a charity preview event on the eve of the grand opening of the Outlet Shoppes of The Bluegrass in Simpsonville, Kentucky.

Finally, with big acquisition announcements from Sinclair Broadcast Group and Coach making headlines, Cramer said takeovers like these are often a good measure for the stock market.

More specifically, the “Mad Money” host suggested watching whether the acquirer’s stock goes up after the announcement, as Sinclair and Coach’s stocks both did on Monday.

“If it does, I think that’s a classic sign that even though the market may value a company’s stock at what seems like a high price, that stock may still be cheap to a company that wants the whole business,” he said.

In Cramer’s lightning round, he rattled off his take on some caller favorite stocks, including:

Micron Technology: “OK, the Goldman Sachs report today was very cogent, where it just said, ‘Look, we know we don’t want to overstay our welcome here because the prices for DRAMs have gone up so much, it’ll be a huge amount of DRAMs being made because other companies are going to develop more factories.’ So I’ve got to say don’t buy. I thought it was a good report, and it was very cogent.”

Chesapeake Energy: “Chesapeake is cheap if it’s very hot this summer, and it’s not cheap – even though it’s valued at $5 – if it’s not hot. And that’s the way this thing works. I know a lot of people say, ‘Jim, you really like it.’ It’s a call on the weather. Because that is what controls natural gas. If it’s real hot, that stock will go higher.”

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