As a reminder, Cramer said he wouldn't cross the river with his charitable trust to invest in China, even if there was a 20% pullback in the market. But Cramer does have some picks; he has three solid steady plays and two speculative stock picks.
The 'solid plays':
- CNOOC Limited (NYSE: CEO) is China's nationalized oil play, the number one offshore, a large player in Indonesia; it is 67% government-owned. Under the production sharing, the company gets the mandatory rights. As long as oil stays high this one is a winner, he thinks. ADR's have a $45 billion market cap; 3% dividend yield.
- China Mobile Limited (NYSE: CHL), says Cramer, is the winner in the Chinese wireless market with 68% of the mobile users in China. The government owns the majority of the company. It has been on hold because of rumors that China Telecom might enter wireless; it has 1.9% dividend; $191 billion market cap.
- Seaspan Corporation (NYSE: SSW) is a shipping vessel operator for overseas freight shipments; 6% dividend; $1.45 billion market cap. He likes this better than General Maritime Corporation (NYSE: GMR) now.
The 'speculative plays':
- Focus Media Holding Limited (NASDAQ: FMCN) runs display ads all over China and is now going online, and it is his first pick. It advertises in cities whose population exceeds 1 million people.
- Baidu.com, Inc. (NASDAQ: BIDU) is called the "Google of China" by many, but it is actually beating Google at its own game in China.
Jon Ogg can be reached at jonogg@247wallst.com; he does not own securities in the companies he covers.
Nuclear power is on the comeback trail
Apple backs AT&T in continuing spat with Verizon
Closing Bell: The recession is still over, still... do you feel it?
Reader Comments (Page 1 of 1)
6-14-2007 @ 8:09AM
Michael Schneider said...
Although Jim Cramer has been unenthusiastic about buying stocks in the fastest growing economy in the world, he has recommended China stocks from time to time in his Lightning Round and elsewhere. He has made 7 China recommendations in his Lightning Round since the start of Mad Money and some have done pretty well. A list of Jim Cramer International and Travel stocks from his Lightning Rounds on Mad Money is available free at http://www.Barrelworld.com.
It's interesting that even though Jim Cramer said to wait for a pullback to buy the stocks because he thinks he sees a major correction, the stocks moved a bit on his pronouncements- there still is a Cramer effect.
Those interested in China or in energy should read the short item from China oil expert Paul Ting on China's recent huge oil discoveries posted in the China Briefing section at http://www.Barreloworld.com. Also- the items there about China's Warren Buffett who sees a bubble in China stocks but nevertheless can't resist buying.
6-14-2007 @ 8:20AM
Michael Schneider said...
For 1st link on the item above, Firefox is directing people to a series of ads that have nothing to do with Barreloworld.com or the items people would want to see. This is part of a serious problem with companies setting up ad or cookie oriented sites to take from legitimate Web sites. Barreloworld is an international investment Web site not a bunch of junk ads for consumer products and we do not put cookies on any computers to collect information for marketers.
Right now the 2nd link above will take you to the correct site.