We already saw Cramer endorese the KBR (KBR) IPO and even that he said Halliburton (HAL) was a cheaper and safer way to go.The huge IPO of the week that Cramer then reviewed was the NYMEX (NMX), the owner of the New York Mercantile Exchange. He said the price was boosted from $48-52 to $54-57 and bumped the shares from 6 million to 6.5 million shares, and it is heavily oversubscribed. Cramer said he thought the company deserves every bit of it. The conventional wisdom is that no one thinks it will go down. He said the sentiment is right. Cramer thinks you should buy a piece of it because this may the most quiet bull market in various sorts of exchanges. He even went over the NYSE (NYX) as still up $5.00 from last week and it can more than double. Cramer said he doesn’t know of any reason why this NYMEX is different. He said the numbers speak for themselves because income rose 150% on a 71% revenue gain, but if it prices in the mid-range it will only have a 30-times earnings multiple. That’s too low for Cramer. He thinks the opening will be higher and he thinks you have to do limit orders. If it opens up $25.00 north of that he would still be a buyer, but if it opens up $15.00 he would buy Twice as much and if it is up only $5.00 then he would think it is a true gift. He said never do market orders and don’t buy in all at once.Because NMX boosted the range today it also impacted InterContinental Exchange (ICE) with it closing up 9% to $96.55.Jon C. OggNovember 14, 2006
Sponsored: Tips for Investing
A financial advisor can help you understand the advantages and disadvantages of investment properties. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
Investing in real estate can diversify your portfolio. But expanding your horizons may add additional costs. If you’re an investor looking to minimize expenses, consider checking out online brokerages. They often offer low investment fees, helping you maximize your profit.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.