Cramer's pick in uranium

Posted Feb 22nd 2007 6:52PM by Jon Ogg

On tonight's MAD MONEY on CNBC, Jim Cramer had a nuclear power play that may still have a negative bias if the Democrats come into power. Cramer actually has a nuclear power play in uranium despite this. China has 30 nuclear power plants being built, and everyone else wants nuclear power plants except for the U.S.

I noted these uranium 'safety net' hopes out of Merrill Lynch for investors back in December. Who knows how that research call is really going.

Cameco Corp. (NYSE:CCJ) already had a huge problem with a floor, but Energy Metals (NYSE:EMU) is his play. He says not to pay over $12.00 on it. EMU is a speculative one for Cramer since they don't really produce uranium yet. He thinks it could make 5 million pounds in 2012, but it could pay off big. Cramer thinks it could be acquired, too.

Jon Ogg is a partner in 24/7 Wall St., LLC; he does not own securities in the companies he covers.

Tags: Cramer, EMU, Uranium