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Apr.28
3:34 PM ET
Tuesday, 28 Apr 2009
Wall Street Shifts Its Stock Focus

The market continued to prove Cramer right on Tuesday, as investors chose growth over defense. The Mad Money host has been pointing to a change in investing strategy now that the economy is showing signs of a turn.

Case in point: Bristol-Myers Squibb [BMY  Loading...      ()   ]. The company’s quarter, reported today, was “clean as a whistle,” Cramer said, with “decent growth” and a building cash reserve. BMY also pays out a 6.2% dividend yield. Still, shares had dropped about 3.6% in Tuesday trading.

Bristol-Myers is “doing everything right,” Cramer said, “and the stock gets hammered. No one will touch it.”

At the same time, Fortune Brands [FO  Loading...      ()   ] is up despite cutting its dividend and announcing that business was less than stellar. FO makes everything from liquor to home products to golf equipment. This is considered an early-cycle stock, and it’s the kind of investment traders use to play an economic rebound. The fact that FO is in favor now signals a key shift on Wall Street.

“This is an extraordinary time,” Cramer said, also mentioning great quarterly numbers from Under Armour [UA  Loading...      ()   ].

Lastly, Cramer cautioned investors about investing in gold – beyond owning some as a hedge in their portfolios – at least until housing bottoms completely.

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