Replies to post #120362 on Option Millionaires

[glassy]

Sprint~agree about that post- anyone can trade the left side of the chart...

I have thinking about it more this weekend-in between the olympics and helping our daughter & son in law move- and I think this article sums it up and I agree with all that he said. I think the Iphone is a BIG key to the turnaround.

I think it will break 5.00 -Monday- and that puts it in a whole new ball game.

http://www.thestreet.com/story/11642657/2/cramers-mad-money-recap-next-weeks-game-plan.html

Speculation Friday

For "Speculation Friday" Cramer highlighted a company he teased on Thursday, a company that's approaching a key stock level that investors afford to miss. That company is Sprint Nextel(S_) and the key level is $5 a share.

Cramer said that normally when a stock has had a big run like Sprint just had, he'd be recommending investors take profits. But in the case of Sprint, now just 70 cents away from $5 a share, investors need to keep on buying. Why? Because $5 a share is a key level where big institutional investors are allowed to buy in and when there are more buyers, stocks go higher.

There are three things Sprint is doing right, said Cramer. First, the company finally inked a deal to carry the iPhone, which 1.5 million customers bought last quarter, 40% of them new to Sprint.

Second, the company is the only carrier to offer unlimited data plans, the "hook that catches fish," as Cramer called it.


Finally, Sprint is shuttering its legacy Nextel network by mid-2013, relieving it of a huge burden and freeing up spectrum for other uses.

Cramer said the wireless business is fantastic and Sprint's problem has been the troubled merger with Nextel and not having the iPhone. But with those problems solved, Sprint is finally "playing in the same league" as its much larger rivals and is putting up the numbers to prove it.

See if (GILD) is traded within the Action Alerts PLUS portfolio by Cramer and Link

Sprint now has sizable cash flow and is retiring its debts. It will soon be strong enough to refinance its remaining debt at much more favorable interest rates, Cramer added, and there's always a possibility of a merger with T-Mobile.

That's why at under $5 a share, Cramer called Sprint a buy, buy, buy.