FEATURED SLIDESHOW
Who Is The Worst CEO?Mad Money needed new inductees for its
Wall of Shame, so we asked viewers for
nominations.
RECENT POSTS
- Time to Buy Treasurys?
- Lightning Round: Las Vegas Sands, ADC Telecom, Satyam Computer and More
- Lightning Round OT: Knight Capital, Ebix and More
- Is Lear, Back From Bankruptcy, a Buy?
- Sanofi-Aventis Falling Off a Patent Cliff?
- Cramer: Your Thanksgiving Week Game Plan
- Cramer: Next Week Should Define Rest of ‘09
- Mad Money: Mad Mail: Buy RIM or Apple?
- Lightning Round: Cisco Systems, Citigroup, Baidu.com and More
- Lightning Round OT: Martek Biosciences, Valmont Industries and More
MAD MONEY FEATURES
PODCASTSWatch the Lightning Round whenever and wherever you want.
OFFICIAL MAD MONEY WIDGETGrab this all-in-one application and get recaps of the show sent right to your desktop or blog.
CRAMERS SOUNDBOARDAdmit it: You've always wanted to hit the "They
know nothing!" button. Here’s your chance.
CHECK OUT OUR PHOTOSCheck out Cramer on set, back to school, behind the scenes and more.
SHOP FOR MAD MERCHANDISEBuy Cramer books, bobbleheads and other Mad Money merchandise.
RING TONESPick up the phone! It's Cramer! New Mad Money sounds for your cell phone.
TEXT MESSAGE ALERTMad Money's mobile. Get show highlights sent to your phone.
Text Size 
 |
Wells Fargo [WFC
Loading...
()
] announced this morning that first-quarter earnings would reach a record $3 billion, or 55 cents a share. CFO Howard Atkins told CNBC the gains were due largely to the bank’s purchase of Wachovia in late 2008. Another good sign: Wells Fargo loaned $100 billion in mortgages this past quarter, and has another $100 billion backlog, both signaling a rebound in housing. The CFO also said the bank is hoping to pay back Troubled Assets Relief Program money as soon as possible.
“This is a serious, serious game changer,” Cramer said.
Cramer has often pointed to the bailout model used during the savings-and-loan crisis of the late 1980s and early 1990s. Ailing banks were often split up, their good assets sold to stronger firms and the bad parts acquired by the government. Wells Fargo’s resurgence puts it in the good-bank category, along with JPMorgan Chase [JPM
Loading...
()
].
The government’s stress test had been created to see which banks would most likely rebound if given federal help. Now that some banks are showing signs of strength, there is probably little need for Washington to inject more cash into struggling institutions.
Cramer predicted that Wells Fargo would earn between $2.30 and $2.35 a share in 2010, saying that the stock deserves an 11 or 12 price-to-earnings multiple. He thinks WFC will climb to $26.
Watch the video for Cramer’s take on why Textron’s near 50% jump on Thursday is a sign that “t he market’s enjoying a different tone.” As further proof, he pointed to the action in stocks like Black & Decker [BDK
Loading...
()
], Whirlpool [WHR
Loading...
()
] and Fortune Brands [FO
Loading...
()
].
Cramer's charitable trust owns JPMorgan Chase and Wells Fargo.
Questions for Cramer?
Questions, comments, suggestions for the Mad Money website?
Data is a real-time snapshot *Data is delayed at least 15 minutes