GO
Loading...

Cramer Speculates on Cyber Crime

Friday, 10 Jul 2009 | 9:03 PM ET
Cramer Speculating ArcSight
for a speculative cyber security play with a big making money off of regulation angle, right now, Mad Money host Jim Cramer likes ArcSight.

Cramer gets his stock ideas from newspapers just as much as from complex investing models. Regular Mad Money viewers know that he’ll often credit a specific article, whether from The New York Times or USA Today, for helping him find his new favorite company. Well, this week was no different.

The Wall Street Journal on Thursday ran this story, “Cyber Blitz Hits US, Korea,” about Web-based attacks on government and commercial sites. The Treasury and Defense Departments, as well as the New York Stock Exchange and Nasdaq, were among the victims. While the report said this series of attacks was relatively unsophisticated, the overall trend in cyber crime is one of increasing sophistication and frequency.

Therein lies the thesis. Cramer thinks it is inevitable that we’ll need more and more protection from cyber espionage and cyber gangs. So it’s even more inevitable that at some point this group will be the latest Wall Street fad. If it happened with the dot-coms and nanotechs, it can happen here. That’s why he feels that some speculation is in order.

Cramer’s pick? ArcSight, a leading play on security information and event management. He did some research and found a number of bullish reasons to own this stock. Watch the video for his full report.






Call Cramer: 1-800-743-CNBC

Questions for Cramer? madmoney@cnbc.com

Questions, comments, suggestions for the Mad Money website? madcap@cnbc.com

Contact Mad Money

  • Showtimes

    Monday - Friday 6p ET
  • Jim Cramer is host of CNBC's "Mad Money" and co-anchor of the 9 a.m. ET hour of CNBC's "Squawk on the Street."

Mad Money Features

  • Grab the latest CNBC gear from the NBCUniversal Store!

  • Get a behind-the-scenes look at how Cramer formulates his investment advice. "Inside the Madness" is a column, which features e-mails and more with Cramer and his researcher Nicole Urken.

  • You’ve always wanted to hit the “Hallelujah!” button. Here’s your chance.