Jim Cramer's top 10 anti-competitive merger list

Posted Feb 21st 2007 8:10PM by Jon Ogg
Filed under: After the Bell, Analyst Reports, Competitive Strategy, Time Warner (TWX), XM Satellite Radio (XMSR), Sirius Satellite Radio (SIRI), Sprint Nextel Corp (S), Carnival Corp (CCL), Chevron Corp (CVX), Gannett Co (GCI), BP p.l.c. ADS (BP), United Technologies (UTX)

Cramer tonight on CNBC's MAD MONEY was giving out some merger ideas that he said would be very anti-competitive, just like the XM Satellite Radio Holdings (NASDAQ:XMSR), Sirius Satellite Radio (NASDAQ:SIRI) deal, but would be great for shareholders because of pricing power. The potential of a Democratic White House could end the anti-competitive mergers that could go off before they take control.

Kroger Co. (NYSE:KR) & Safeway Inc. (NYSE:SWY)

Quest Diagnostics (NYSE:DGX) & Laboratory Corp Amer. Hldgs (NYSE:LH)

Carnival Corp (NYSE:CCL) & Royal Caribbean Cruises (NYSE:RCL)

Office Depot (NYSE:ODP) & OfficeMax Inc. (NYSE:OMX)

Cardinal Health (NYSE:CAH) & McKesson Corp. (NYSE:MCK)

BP (NYSE:BP) & Chevron Corp. (NYSE:CVX)

I covered the potential rumors on this at least on BP before.

Arch Coal (NYSE:ACI) & Exxon Mobil (NYSE:XOM) or Royal Dutch Shell (NYSE:RDS)

Boeing Co. (NYSE:BA) & United Technologies (NYSE:UTX)

Lockheed Martin (NYSE:LMT) & Northrop Grumman (NYSE:NOC) or Raytheon Co. (NYSE:RTN)

Comcast (NASDAQ:CMCSA) & Time Warner Cable (TWCA) (TWC)

Cramer said he doesn't believe Sprint Nextel Corp. (NYSE:S) will be public alone next; also he noted Gannett Co. (NYSE:GCI) & McClatchy Co. (NYSE:MNI).

The No. 1 deal is the rail sector, and Cramer thinks Burlington Nothrn Santa Fe (NYSE:BNI) and Union Pacific (NYSE:UNP) or a Norfolk Southern (NYSE:NSC) and a CSX corp. (NYSE:CSX) would be great.

This is the Top 10 List from Cramer, but it is actually more than 10 if you count them. Cramer says these aren't a wish list, because he thinks they are coming. Keep in mind that many of these are very anti-competitive and would be blocked if the DOJ actually monitored mergers, so this is sort of a 'merger wish list' of his. If this doesn't mark a peak in merger speculation then I don't know what does.

Jon Ogg is partner in 24/7 Wall St., LLC and can be reached at jonogg@247wallst.com; he does not own securities in the companies he covers.

Tags: Cramer

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Reader Comments (Page 1 of 1)

2-21-2007 @ 8:34PM

Kevin Leo said...

Is this English writing?

"The potential of a Democratic White House could end the anti-competitive mergers that could go off before they take control.
"

Geez step it up!!

2-22-2007 @ 3:08AM

todd shriber said...

BP and Chevron??? A sequel to Exxon/Mobil, but would it turnout as well for shareholders?

2-22-2007 @ 12:45PM

William Luttrell said...

Jim Cramers show is an insult to the adults who watch it. The bells and noise makers and his tone of voice is unacceptable. If they used it as a childrens show it would keep the little ones attention so mom could get dinner. Come on Jim you have some great thoughts but give us a break the cow bells are for the foot ball pep ralleys and the rest for New Years's Eve.

2-22-2007 @ 9:08AM

EMIL J KOVACH JR said...

I Wonder If.. Jim Cramer Knows Mr Putin Of the NEW RUSSIA? They Certainly Think Alike.
Mr Camer And His MONEY... All This Will Do Is Drive Up The Value Of Street Drugs.
The Love of MONEY Is One Of the EVILS Described In The Bible--By the Way--But I'm Not Sure He Knows What that Is.
Remember Mergers Work With Calculators--You Don't Need Jim Cramer To Show You How To Use One.
But The Free Market Place Will Bring Far More Value.
And There are A Few Free Market REAGAN guys Still Left Over.--Well More Than A Few.
I Think Ron Would Want A Choice For His 13.00 At Sirius Or XM.
EMIL J KOVACH JR

2-22-2007 @ 9:31AM

EMIL J KOVACH JR said...

Mel's OFFICE 3 Years From Now------------------Hello Mel--Well, It's Contact Renewal Lets Start Talking--

There's Nothing To Talk About Howard--We Have The Satrad Rules--No One Else Has.

Where EXACTLY Are You Going To Go?

Think About That--Then Come See Me--

Have A Nice Day,, Don

Phone Rings--Mr Karmazin--Comedy Central Wants An Appointment--To Talk About The Contract.

"That Truly Is Pretty Funny"--I'll Call them Back, Maybe.
THE GAY CHANNEL?--I Have To think About That One.
All This Can wait--I'm Having Lunch With Cramer.
Hold My Calls.

EMIL J KOVACH JR