Skip navigation
MOST POPULAR RELATED TAGS
  • TOPICS
  • SECTORS
  • COMPANIES
Road Rules
Road Rules Video Gallery
Investing can be confusing. Luckily, Cramer has mapped out some road rules for all you Home Gamers trying to navigate the jungle that is Wall Street. Think of it as "Mad Money 101" –- some fundamental advice to keep in mind as you play the market. Whether you're a first time investor or a seasoned financier, it's always good to remember the basics.
Text Size
Dec.18
7:15 PM ET
Tuesday, 18 Dec 2007
Verizon Pin Action

If Verizon’s doing as well as CEO Ivan Seidenberg claims, there have to be smaller companies that can piggyback off the company’s strength, Cramer said.

Enter ADC Telecom [ADCT  Loading...      ()   ], classic Mad Money pin action. ADCT – “the forgotten man of telephone,” Cramer called it – is coming back to life thanks to Verizon’s [VZ  Loading...      ()   ] and AT&T’s [T  Loading...      ()   ] push into fiber optics, which they use to bring voice, internet and television services to their customers.

ADCT makes the communications equipment that connects voice, video, data and internet to these companies’ networks. Cramer expects ADCT to ride out this fiber-optic build-out for the next couple of years. And that means investors can hold the stock for just as long.

And it isn’t just fiber connectivity that’s bringing this company back. A recent earnings beat should put ADCT on Wall Street’s radar. And so should two recent acquisitions: Century Man, which is number two in the Chinese distribution frame connectivity market and gives ADCT some low-cost manufacturing facilities in China; and LGC, a company that focuses on “in-building” wireless coverage. It’s a good buy for ADCT since 70% of wireless calls are made from inside buildings and LGC helps improve coverage for those calls.

So while ADCT might have been forgotten, “they never left,” Cramer said. “They’re back in the sweet spot of telco.”

Questions for Cramer?

Questions, comments, suggestions for the Mad Money website?

© 2009 CNBC, Inc. All Rights Reserved

Tools:
PrintEmailAdd This share icon
Next Post
  • digg share
ADD COMMENTS
Remaining characters


Current DateTime: 01:03:48 15 Nov 2009
LinksList Documentid: 29778428

Current DateTime: 01:02:04 15 Nov 2009
LinksList Documentid: 29779196

Current DateTime: 01:02:04 15 Nov 2009
LinksList Documentid: 29779199

Current DateTime: 01:02:04 15 Nov 2009
LinksList Documentid: 29779198
  Data is a real-time snapshot  *Data is delayed at least 15 minutes
Global Business and Financial News, Stock Quotes, and Market Data and Analysis

© 2009 CNBC, Inc.  All Rights Reserved.
A Division of NBC Universal
Thomson ReutersThomson Reuters