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Cramer also went over his favorite gadget play. He said tech has outperformed the market in Q4 in 14 of the last 15 years.Cramer said the gadget he would normally say you have to have is R-I-M’s (RIMM) Blackberry, but it has doubled since he recommended it first. Now the momentous decision is to determine if RIMM is the gadget owner of choice, or if it has run too much. Cramer said if you own it and haven’t taken any profit you need to.Cramer said the next gadget maker of choice is Garmin Ltd. (GRMN), the GPS gadget maker. Cramer said he thinks the Blackberry is a more useful product, but GRMN sells through 3,000 distributors. Cramer said that RIMM has targeted the business professional. Cramer said the GRMN market is near penetrated, and RIMM is expanding beyond the business customer. RIMM hasn’t begun to penetrate the consumer yet.RIMM trades at 29 times earnings with 22% growth, or 1.3 time growth rate; GRMN trades at 20 times next year on 16.9 times earnings. Cramer thinks that RIMM is the gadget stock to own through the end of the year. He thinks that RIMM has the best software out there.Cramer says NO to GRMN and says RIMM is a winner even though it is up huge.Jon C. OggNovember 7, 2006

DJIA 12,156.77; Up 51.22 (0.42%)NASDAQ 2,375.88; Up 9.93 (0.42%)S&P 500 1,382.84; Up 3.06 (0.22%)10YR-Bond 4.659% Down 0.05NYSE Volume 2,673,233,000NASD Volume 2,065,302,000We had another strong day, sinaling that voters didn’t stop being investors on election day. The federal reserve said that September borrowing fell 0.6% in September aftera 4.6% increase in August, but the actual number was a $1.2 Billion fall-off in activity.Despite fears of voting machine fraud, hacks, and problems, Diebold (DBD) managed to gain another 1% to close at $45.49.Toll Brothers (TOL) lowered guidance and said there was no impending rapid turnaround on the immediate horizon, but with most bad news priced in to homebuilder stocks the shares closed down only $0.01 at $28.04.D.R.Horton (DHI) fell 2% to $22.43 after Merrill Lynch cut its ratinsg down to a Sell.Boeing (BA) rose 5.4% to $84.85 as FedEx decided to cancel its Airbus A380 planes over delays in favor of Boeing 777’s.Adolor (ADLR) fell another 5.2% to $7.29 the day after the FDA requested more data for its bowel disorder drug.Microsoft (MSFT) rose 0.4% to $28.95 after it signed TV and movie distributor deals for downloading via Xbox live with Viacom, Paramount, Time Warner, and others.Jet Blue (JBLU) rose 5.3% to $13.09 after Raymond James raised its rating to Outperform. Southwest Air (LUV) was also raised to Overweight, so LUV rose 2.7% to $15.34.Targeted Genetics (TGEN) rose 34.9% to $2.90 after Biogen-Idec raised its stake in the company.Rural Cellular (RCCC) rose 22% to $11.61 after posting narrower losses than expected.Headwaters (HW) fell amost 15% to $21.47 after on lower earnings, despite the numbers being above expectations.NorTel (NT) fell 10.88% to $2.13 after declaring a 1-10 reverse stock split after losses narrowed on above plan revenues.Despite beating earnings expectations, Anadarko Petroleum (APC) fell 2.1% to $47.33.E*Trade (ET) rose 1.6% to $23.64 after Prudential started it with an Overweight rating and showed it was more favorable than Ameritrade (AMTD).Krsipy Kreme (KKD) rose another 6.5% to $10.21 after Jim Cramer on last night’s MAD MONEY said the analyst that raised it at Prudential was not only not conflicted, but he was a class act.Cyberonics (CYBX) fell 0.37% to $18.64 after the company received a request from the SEC over for more data on information releases.Jon C. OggNovember 7, 2006

Even on a strong market day on election day, the volume seems a tad light overall but there is no clear winner over the sub-$5.00 compared to the Horsemen stocks. The sub-$5.00 most actives are up in comparison of volume, but not so much that they could consider themselves winners. Only SIRI is down today, and that is after it was up large yesterday because of its competitor. Tomorrow we have CSCO reporting earnings so that could take precedent on Wednesday and Thursday. Stay tuned!

Jon C. Ogg

Nortel put out another set of dizzying financials today. Revenue rose 17% to $2.96 billion. The company’s loss fell slightly to $99 million. As usual, the company cannot put out a clear set of numbers. The report had “a gain of $43 million related to changes to its North American employee benefit plans; a gain of $16 million on asset sales; shareholder litigation expenses of $38 million; and restructuring charges of $25 million”.The company also said it would do a 10-for-1 reverse split. These actions always look weak. They are a sign that the company cannot get the stock price up on its own. It also takes a company off its regular spot on the “most actives” list because its trades about 20 million shares a day on the NYSE. It will be lucky to trade 2 million now. Stupid marketing and investor relations move.The argument for the reverse split is that institutions will often not buy stocks that are under $5. Until Nortel stops losing money, Big Money is not going to look at it anyway. But, hope springs eternal.Nortel’s stock is down 2% on these two pieces of news, trading at $2.25, fairly near its 52-week low. It’s a “pick em” to decide which announcement is pushing it down more.Douglas A. McIntyre can be reached at douglasamcintyre@247wallst.com. He does not own securities in companies that he writes about.

Stock Tickers: STEM, GERN, ASTM, VIAC, KOOL, CCELThere are some fresh developments that can affect the prices of stocks that would benefit from additional uses and additional applications for stem cell research, and these new developments may in fact lift certain cloning bans under some pre-set conditions. While these initiatives are overseas, they are un the UK and in Australia.Stem cell stocks up on lift of cloning ban in certain studies:Stemcells inc.-STEMGeron-GERN Aastrom Bio-ASTMViaCell-VIACThermogenics-KOOLCryo-Cell-CCELScientists in the United Kingdom have applied for a license to create hybrid embryos that use human cells and animal eggs for stem cell research. Some of the targeted areas will be to develop new treatments for Parkinson’s, stroke and Alzheimer’s. Kings College London and the North East England Stem Cell Institute (NESCI) submitted the application to the Human Fertilisation and Embryology Authority (HFEA), the regulatory body that regulates and supervises embryo research and fertility treatment. The proposed hybrid embryo will be 99.9 percent human and 0.1 percent animal, which may overcome a shortage of human eggs left over from IVF treatments, which have been used for stem cell research.Australia’s Prime Minister, John Howard, has allowed a vote on the controversial issue of lifting a cloning ban for stem celll research. The initial senate vote Tuesday a private members’ bill seeking to legalise therapeutic cloning won by 34 votes to 31 before the senate moved to discussion of proposed amendments. This would allow researchers to clone human embryos to extract their stem cells for disease treatment, although cloned embryos would have to be destroyed within 14 days and could not be implanted in a woman. Existing laws allow stem cells to be harvested only from surplus IVF embryos.Stem cell research has also, of course, been one of the issues in the U.S., and the elections today could be influential on the forward direction of stem cell research uses in the U.S. While that holds true in the US, cloning measures have raised far more controversy than stem cell research, so if you combine the two you will definitely be wanting a Congressional regime change today.Jon C. OggNovember 7, 2006

(APC) Anadarko Petroleum $1.75 EPS vs $1.39e.(BZH) Beazer Homes $2.19 EPS vs $1.89e.(CBG) C.B.Richard Ellis replacing FSH in S&P 500 Index on 11/9 close.(CEDC) Central European $0.33 EPS vs $0.34e.(CHD) Church & Dwight $0.57 EPS vs $0.49e.(CHINA) CDC raised guidance.(CMLS) Cumulus Media $0.03 EPS vs $0.04e.(CYBX) Cyberonics gets request from SEC for more information on documentation and disclosures.(CYTO) Cytogen Corp announced Positive Phase I results for Quadramet.(CZN) Citizens Communications $0.40 EPS vs $0.19e; unsure if comparable.(DISH) Echostar $0.31/R$2.47B vs $0.38/$2.44B(e); unsure if EPS comparable.(EMR) Emerson Electric $1.29 EPS vs $1.20e.(ESPD) eSpeed $0.02 EPS vs $0.03e.(FFBC) First Financial replacing NCOG in S&P Small Cap 600 Index on date TBA.(FTEK) Fuel-Tech $0.09 EPS vs $0.06e.(GEMS) Glenayre -$0.08 EPS vs -$0.03e.(GM) GM revised losses by $24 milion from some items in GMAC.(GNTA) Genta -$0.11 EPS vs -$0.12e.(HLF) Herbalife $0.51 EPS vs $0.46e.(HW) Headtwaters $0.61 EPS vs $0.48e.(ISPH) Inspire Pharma -$0.17 EPS vs -$0.24e.(JW/A) John Wiley & Sons to replace AMH in S&P Mid Cap 400 Index on date TBA.(MSFT) Microsoft is offering video downloading on Xbox 360.(NT) NorTel loss narrows, beat revenues; announced 1-10 reverse stock split.(NTES) Netease.com $0.29 EPS vs $0.28e.(NYM) Nymagic $0.93 EPS vs $0.70e.(OMRI) Omrix Bio beat earnings and raised guidance.(PANL) Universal Display -$0.09 EPs vs -$0.12e.(PFGC) Performance Food $0.35 EPS vs $0.34e.(PLMD) Polymedica $0.34 EPS vs $0.36e.(PNCL) Pinnacle Air $0.62 EPS vs $0.58e.(PSYS) Psychiatric Solutions raised guidance.(QLTI) QLT said it was found liable for unjust enrichment and unfair trade in MA court case.(RRD) R.R.Donnelley $0.67 EPS vs $0.67e.(RSCR) Rescare $0.32 EPS vs $0.31e.(SBAC) SBA Communications 0$0.23/R$98.2M vs -$0.17/$95.75M(e).(SLE) Sara Lee $0.34 EPS vs $0.28e.(SRZ) Sunrise Assisted Living raised guidance on preliminary basis.(TM) Toyota Motors beat earnings and raised EPS guidance in Japan.(TRW) TRW filed to sell 6.7+ million shares.(TUTS) Tut Systems -$0.04 EPS vs -$0.08e, revenues short of expectations.(UBMT) United Financial being acquired for $22.91 by US Bancorp (USB).(URBN) Urban Outfitters s-s-s -105; Q3 revenues $308.4 million versus $328M(e).(VMSI) Ventana replacing TRBS in S&P Mid Cap 400 Index on 11/10 close.(VSE) VerSun $0.38 EPS vs $0.38e.(VZ) Verizon in talks to bring YouTube to cellphones.(WCI) WCI $0.25 EPS vs $0.15e; unsure if comparable.(YSI) You-Store-It $0.27 EPS vs $0.23e.

Toyota’s stock hit an all-time high in trading in Tokyo overnight.Small wonder. The largest Japanese car company watched its operating profits rise 44% in the most recently announced quarter. Toyota said that sales in Europe and the US of fuel-efficient cars like the Camry helped its results. Of course, Detroit relies on SUVs and pick-ups for most of its profits. These have fallen out of favor as fuel prices rise.Leaving aside the fact that at $215 billion, Toyota’s market cap is as large as the next four most valuable car companies combined and that the company is upping its sales forecasts for the year. The most frightening announcements for the Big Three is that Toyota will start producing and pushing it Tundra pick-up, a move directed at the heart of Detroit’s most lucrative model lines and that it will begin to market additional fuel-efficient cars like its Scion.Toyota will increase production by over 500,000 units next year as it opens new plants in countries like China and Russia.During the first three quarters of 2006, Toyota has increased its market share in the US from 13% last year to 15.2% this year. At that rate, Toyota will have almost 21% of the US market by the end of 2008. Most, if not all of that, would come from US manufacturers.Ouch.Douglas A. McIntyre can be reached at douglasamcintyre@247wallst.com. He does not own securities in companies that he writea about.

Stocks: (MSFT)(TWX)(CMCSA)(VG)(VZ)(T)Steve Ballmer, MSFT CEO, says that VoIP is going to be built into almost all of its software platforms beginning next year. That means that VoIP capability is going to be embedded in Microsoft’s server software, operating system, and desktop applications.It would appear that Microsoft is tired of being the huge also-ran of tech. It is not attacking across a number of fronts using its huge R&D and balance sheet capacities.VoIP, Vista, Zune, Xbox Live, Mobile Windows for cell phones. The company is making progress in all of these fields, and in some, significant progress.The VoIP products could be very, very disruptive. Companies like Time Warner Cable and Comcast are counting on adding VoIP subscriptions to add revenue on top of their TV and broadband offerings. The MSFT initiative by-passes that by using cable’s pipes to deliver Microsoft VoIP.The telecom companies have even more to worry about. Verizon and AT&T are hoping that fiber-to-the-home will help them sell their current voice services with IPTV and broadband. But the MSFT VoIP initiatives along with offering from cable and operators like Skype and Vonage could hit the phone companies where they live–voice service.Skype and Vonage are not immune from Microsoft’s move either. Everytime a new, large VoIP initiative hits the market, Ebay’s purchase of Skype looks more misguided. And, Vonage is barely hanging onto its franchise as its stock hit a new low almost every week.If Microsoft is embedding VoIP capacity in all of its major software, a lot of companies are about to have a new headache.Douglas A. McIntyre can be reached at douglasamcintyre@247wallst.com. He does not own securities in companies that he writes about.

Stocks: (MSFT)(VOD)(VZ)Microsoft has been working to get its software onto phones for a long time. Now, they seem to have hit a breakthrough.Vodafone, the huge European mobile operator, which also owns a piece of Verizon Wireless, is going to put Microsoft’s mobile operating software on a number of its phones.The reasons behind the move are acutally quite compelling. Vodafone can save a great deal of money by having standardized software on its phones. Building furture applications that do not have to run on a large number of operating systems is also a big plus.In a bid for simplicity in technology, Vodafone is cutting its software systems from 20 to 3. Symbian, supported by mobile giant Nokia, will be one. Linux, the open source software that is used by a programming community around the world is another. And, Microsoft is the last.Symbian dominates the market for software on phones because of Nokia. But, Nokia’s rivals may not be so keen on the software.Microsoft has a huge opportunity to partially dominate the phone software market as an alternative for the Nokia product. With about one billion phones sold worldwide, MSFT may have finally found a market to dominate that rivals PCs.It’s a big win for Mr. Softy.Douglas A. McIntyre can be reached at douglasamcintrye@247wallst.com. He does not own securities in comanies that he writes about.

Stocks: (BCS)(BP)(BT)(GSK)(RTRSY)(VOD)(UN)(UL)(BAY)(DCX)(DB)(BT)(SAP)(SI)(ALA)(AXA)(FTE)(V)Markets in Europe were slightly higher at 6 AM New York time.The FTSE was up .1% to 6,229. Barclays was up .7% to 710.5. BP was up .8% to 602. BT was up .2% to 285.5. GlaxoSmithKline was up .1% to 1417. Reuters was down .1% to 444.5. Unilever was down .4% to 1395. Vodafone was down 1.3% to 132.75.The DAXX was up .1% to 6.338. Bayer was up .1% to 40.4 DaimlerChrysler was up 1.2% to 45.86. DeutscheBank was up .8% to 99.14. Deutsche Telekom was down .8% to 13.57. SAP was up 1.9% to 158.75. Siemens was down .7% to 70.97.The CAC 40 was up .3% to 5,419. Alcatel was up 1.6% to 10.24. AXA was up 1.2% to 30.62. France Telecom was down .5% to 20.3. ST Micro was up .8% to 13.65. Vivendi was down 2.9% to 29.16 on weak earnings.Data from Reuters.Douglas A. McIntyre