He was bearish on: St. Mary Land & Exploration (SM:NYSE - news - research), NutriSystem (NTRI:Nasdaq - news - research), Au Optronics (AUO:NYSE - news - research), OmniVision Technologies (OVTI:Nasdaq - news - research), Affymetrix (AFFX:Nasdaq - news - research), ViroPharma (VPHM:Nasdaq - news - research), Dynamic Materials (BOOM:Nasdaq - news - research), Dycom Industries (DY:NYSE - news - research), Affiliated Computer Services (ACS:NYSE - news - research), Ansys (ANSS:Nasdaq - news - research), Meridian Resources (TMR:NYSE - news - research), Quanta Services (PWR:NYSE - news - research), Gentex (GNTX:Nasdaq - news - research) and Presstek (PRST:Nasdaq - news - research).
Cramer also pointed to eight worst of breed stocks that could work under the right conditions. They are:
Rite Aid (RAD:NYSE - news - research). If we ever catch a flu outbreak -- along the lines of a pandemic -- this stock is for you.
Ditto Tenet Healthcare (THC:NYSE - news - research). If enough people get sick, even this stock could do well.
Doral Financial (DRL:NYSE - news - research). If the Federal Reserve ever stops raising rates, even this lowly Puerto Rican bank could make you some money.
Agco (AG:NYSE - news - research). When the cycle is strong, even these guys can't be denied, Cramer said.
AK Steel Holding (AKS:NYSE - news - research). The worst of the steel stocks, Cramer said, even move higher when steel spikes up.
Southern Peru Copper (PCU:NYSE - news - research). Cramer called this stock the worst of breed writ large. But even these guys can make money when copper is at astronomical levels.
Alon USA (ALJ:NYSE - news - research). Totally cheap, Cramer said. And even it works when the refinery cycle is on fire.
Parker Drilling (PKD:NYSE - news - research). It must be some environment for rigs, Cramer said. Even this one goes up.
Cramer's point in looking at these worst-of-breed stocks is that some times it makes sense to own certain stocks in certain situations. Even the worst-of-breed stocks have their days. But these are stocks that are only for a trade. When the cycle is hot, even the worst of breeds can catch a bid.
