Tag Archives: Jim Cramer
by Chris Roush
The StreetInsider.com site has a posting on Tuesday about the sharp decline in CNBC‘s viewership numbers.
It writes, “According to data from Nielsen Media Research, CNBC has lost viewership during every hour long block during the prime market news hours from 6:00 am to 7:00 pm EDT, with the biggest overall drop seen during the network’s ‘Mad Money’ show featuring Jim Cramer.
“The eccentric investor’s hour-long show starting at 6:00 pm lost 25 percent of its total viewer year-over-year in July, from 188,000 to 141,000, while its key demographic of viewers age 25-54 fell 24 percent for the show.
“Overall the network saw an 8 percent drop in total viewers year-over-year from 5a-7p, and 21 percent of its coveted advertising demographic.
“The key demographic is also turning off CNBC’s ‘Closing Bell’ with Maria Bartiromo in droves. The two-hour show has lost 31 percent of its key advertising viewers from 3p-4p in July compared to last year, and an even more staggering 40 percent in the second hour.
“Another of CNBC’s key shows, ‘Street Signs’ dropped 12 percent overall and 32 percent with the key age group.”
Read more here.
TALKING BIZ NEWS EXCLUSIVE
Consuelo Mack is anchor and managing editor of “Consuelo Mack WealthTrack,” a weekly, half-hour public television program started in 2005 that appears on 98 stations across the country.
Before developing “WealthTrack,” Mack spent more than a decade at The Wall Street Journal as the anchor and managing Editor of its weekly syndicated business program, “The Wall Street Journal Report.”
Mack also played a critical role in CNBC’s strategic alliance with Dow Jones, the parent company of The Journal. Anchor of a morning show, reporter for a daily “Strategy Session,” she also anchored “Louis Rukeyser’s Wall Street” in its final months on both CNBC and PBS.
Mack was also a founding partner of “Today’s Business,” where she was the sole anchor and executive editor of television’s first daily, nationally syndicated business news program. She was founding news editor and co-anchor of “Business Times,” the first national morning business program. In its first year “Business Times” won the ACE award, cable television’s highest honor.
Mack talked via e-mail to Talking Biz News recently about her show and her thoughts about business news on television. What follows is an edited transcript.
How do you try to differentiate your show from other business and financial shows on television?
Easily! “Consuelo Mack WealthTrack” is the only program on television that focuses on building wealth over the long-term through diversified investing. We take a holistic approach and cover all of the investments people care about including stocks, bonds, cash, insurance, real estate, art and collectibles. We interview the acknowledged experts in all of those fields who are vetted for both their long term track records and professional reputations.
There is a reason we are called the “Cramer antidote”!
What is your opinion of other investing shows on TV?
There is a place and audience for all of them. However, most focus on short-term stock picks, which is fine for professionals and day traders but is not appropriate for the vast majority of individuals who are trying to build financial security.
How can business journalism change to where it’s not focused so much on the day-to-day in terms of investing?
Just make the decision to do it, as we have! Easier said than done, however. If you have a daily show, or daily live schedule to fill as a network the news is your content and salvation. It’s also cheaper to cover. “WealthTrack” has the luxury of being a weekly program on public television, so we can have thoughtful conversations with exceptional people and focus on long-term value instead of ratings.
How do you keep coverage of the markets fresh when it seems the same thing happens almost every day?
As I recently wrote in my weekly newsletter, found on www.WealthTrack.com, “There is never a dull moment in the investing world.” We try to focus on the forest not the trees and the forests are changing rapidly. There is what we call “a new world” order developing in economics and finance with huge ramifications for investors. There is no problem in keeping things fresh; they are!
One of the guests on your first show this year came from a sponsor. How do you try to avoid the appearance of influence?
I have researched and interviewed the vast majority of “WealthTrack” guests for many years, way before founding “WealthTrack” five years ago. If their firm becomes one of our handful of sponsors we do not hold it against them. They are there because of their independently acknowledged expertise and track record, and we always disclose that their firm is a sponsor should that be the case.
How are the guests picked on your show, and how do you keep them away from marketing themselves?
We receive many pitches for potential guests, most of which we turn down. We choose our guests carefully based on independently verified track records, reputation among peers and long term success.
How does business and investing news on TV compare to other media formats?
It’s on television! Seriously, most TV tends to be sound bite oriented. “WealthTrack” is not.
What’s the biggest change in business journalism you’ve seen since you starting doing your show?
Advertising in general is gravitating away from print to electronic media. Business has been particularly hard hit. The blogosphere has exploded. As far as content on television it’s become more entertainment and less journalism, with the exception of “WealthTrack” of course!
How much advice do you try to give viewers vs. just steering them into making better decisions with their money?
We provide context, analysis and a long term perspective. We don’t give advice per se, except our guests are asked to make a “One Investment” recommendation, that everyone should own some of in a long-term diversified portfolio. I also provide a suggested “Action Point,” an action our viewers might want to take to build wealth over the long-term.
What’s the biggest issue in doing an investing show?
For “WealthTrack,” it’s getting the very best guest for a particular topic. So far we have succeeded in attracting top professionals who rarely appear on television but will come on “WealthTrack” because of our format, focus and mission, which is to help individuals build wealth and financial security over the long term.
Randall Lane, the former editor of Trader Monthly, writes about how former baseball player Lenny Dysktra used his friendship with TheStreet.com co-founder Jim Cramer to make it appear he was a stock-picking genius on the market news Web site and elsewhere.
Lane writes, “Cramer, I am sure, had no knowledge of Dykstra’s ‘pay to plug’ scheme — an arrangement that could well lead to a Securities & Exchange Commission investigation. He was just a dupe. But his relentless endorsements and promotion of the ballplayer’s stock-picking over the years must now surely rank as his most ill-conceived.
“Cramer’s effusive blessing, and the fact that his highly legitimate TheStreet.com tallied Dykstra’s impressive track record (as late as last year, Dykstra bragged on the site that he had picked 96 winners against only one loss) impressed everyone from CNBC to The New Yorker. It also, for a time, impressed me.
“I was running a company I had co-founded: Doubledown Media, which produced glossy magazines like Trader Monthly, Dealmaker, Private Air, and other titles for the rich and profligate.
“Lenny Dykstra called me in 2007 as randomly as he had called Cramer, and within 24 hours he hired me to produce The Players Club, a financial advice magazine for professional athletes. Dykstra introduced me to his athlete buddies, everyone from John McEnroe to Tim Brown to Keith Hernandez. But he was especially proud of his friendship with Cramer, a relationship he waved around like a magic cloak of legitimacy. He’d play me Cramer’s voicemail messages, or forward me their emails back-and-forth.”
Read more here.
Glynis McNicol of Mediaite points out that “Daily Show” host Jon Stewart has laid into CNBC “Mad Money” host Jim Cramer again about his advice on Wall Street banks.
McNicol writes, “Not so much. Turns out, while doling out his energized advice on investing in bank there was something that ‘very confident man did not foresee.’ Namely that the banks he was very confident in would be charged with fraud. Oof.
“Says Stewart: ‘You get the sense that if Jim Cramer was around in 1912 he would have said ‘you’re not going to hear this from anyone else, but my sources tell me the Titanic has the best buffet on the high seas. And by the way if you want to get there faster, try the Hindenburg.’ Shots fired.”
|The Daily Show With Jon Stewart||Mon – Thurs 11p / 10c|
|These F@#king Guys – Goldman Sachs|
Steve Krakauer of Mediaite notes Friday that a guest on CNBC criticized “Mad Money” host Jim Cramer.
“After Cramer seemed to defend Goldman Sachs, or at least appear skeptical of their wrongdoing, Raynes got his chance to weigh in. ‘I’m pleased to be on this show, since most of your previous guests were public relations officers for Goldman,’ he said. ‘Is it ok if I’m a little critical?’
“The shot at Cramer garnered an immediate response from the Mad Money host. ‘I don’t like to hear that,’ he said. ‘I’ve blasted Goldman many times I don’t need to hear that nonsense.’
“After some more back-and-forth, Raynes continued in his mild-mannered takedown. ‘I want to remain shallow in deference to Mr. Cramer,’ he said at the end of his answer, with Burnett cutting in and interrupting. Before cutting to commercial, she said, ‘Sylvain will not be with us. Sylvain you’ve got to be more polite than that.’”
Read more here.
Max Zeledon, a former research analyst at International Data Group in San Francisco who runs a digital consulting firm, writes about financial journalism in the wake of running across “Mad Money” and Jim Cramer on CNBC last night.
Zeledon writes, “Maybe I’m being unfair to him because he is an entertainer after all, but his network is not. His network claims to be the crème de la crème of financial reporting. That really got me thinking. It’s time to demythologize this crap.
“The job of financial journalists is to scrutinize the financial system and the players who influence it. It’s not to kiss their asses and play cheerleader to bankers and their boards. Their job is to look for corruption and ethical lapses. I’ll even dare say their job is to protect the little guy because without them she stands no chance. Take a look at political reporters. They go after politicians with purpose. But in the world of finance the scandals are not revealed until the corpse is actually bloated and the stench is too strong to ignore.
“I have a hard time seeing the same characters who missed this crisis pontificating on TV and print, preaching the same free market dogma that got us into this shithole, rewriting history while events dissolve in our minds, hoping we forget what actually happened by repeating new lies. Then there is Fox Business Network and their new brand of financial reporting. But again, I think this was meant to be an entertainment show.
“However, it’s smart guys like Charlie Gasparino and Andrew Ross Sorkin who really break our hearts because they go easy on Wall Street sociopaths simply because they are too afraid to lose their hard won access to the inner circle.”
Read more here.
The number of viewers tuning into CNBC‘s “Mad Money” hosted by Jim Cramer has continued to decline, according to the Zero Hedge blog.
Zero Hedge writes, “What should be more troubling for the Mad Money Maestro is that the latest Mad Money Nielsen numbers just came in. And they stink: March was the weakest month for Jim Cramer’s show in well over a year. After posting a slight improvement in February courtesy of the market’s consternation with Greece, March was a collapse. Expect many more sound effects, props, gimmicks (luckily, no incremental cleavage is possible) shortly.
“Also expect much more pro-cyclical stock advice (buy if the stock market is going up, sell if vice versa), and more big picture proclamations that are refuted within 24 hours. Also expect many more ads for male incontinence products as the show has to resort to showing increasingly “distressed” advertising inventory.
“Of course there is a much more benign explanation: people are just sick of CNBC in general. Below we present the GE business propaganda channel’s last three years of viewership data.”
Read more here.
CNBC “Mad Money” host Jim Cramer admitted he made a mistake when he told investors to sell stocks in the wake of the passing of the health care reform bill, writes Craig Jones of Benzinga.
Jones writes, “His first mistake was believing that the health care reform will hurt earnings of the companies. Caterpillar Inc. announced that this bill will cost them approximately $100 million, but the stock is trading near its 52-week high.
“He also thought that many money managers believed that the bill will not pass, and after realizing the mistake they would turn to panic selling. That didn’t happen either.
“Cramer also thought that the market would be sophisticated enough to realize that stocks needed to be sold ahead of the tax changes coming. But tax changes are not coming until the next year, and nobody is thinking that far away, although that would be a rational thing to do.”
Read more here.
TALKING BIZ NEWS EXCLUSIVE
TheStreet.com has struck an agreement with co-founder Jim Cramer where his 2010 salary raise won’t take affect until July 1 and his potential 2010 bonus will be lowered.
According to a Securities and Exchange Commission filing, Cramer’s salary increase to $1.87 million from $1.56 million was originally scheduled for Jan. 1. But he and the online financial news site amended an employee agreement dated Jan. 1, 2008.
In addition, Cramer, who is also the host of the CNBC show “Mad Money,” agreed that his target bonus for 2010 would be $1.287 million, less than the $1.4 million — or 75 percent of his base pay — that was originally targeted in the original employee agreement.
The employee agreement also gives Cramer 22,000 restricted stock units, vesting one-third of the units each year.
Last month, TheStreet.com restated its earnings for 2008.
Eric Savitz of Barron’s reports Tuesday on the 27 percent rise in TheStreet.com stock — 69 cents to $3.21 — due to its earnings release on Monday where it restated earnings for the past year and gave guidance for the fourth quarter. (The stock is now up 28 percent, or 71 cents.)
The rise has led to a $2.5 million increase in the value of co-founder Jim Cramer‘s holdings.
Savitz writes, “One thing that was clear from the filing is that the stock may have become artificially cheap, and as of yesterdayâ€™s close was trading below the level of its balance sheet cash. But faster than you can yell Boo-yah! the market has taken care of the problem.
“Give an assist to JMP Securities analyst Sameet Sinha, who today moved to a Market Outperform rating on the stock from Market Perform, and setting a $5 price target. Sinha notes that in addition to $83 million in cash, or about $2.37 a share,Â the company has net operating loss carryforwards of $128 million, with a value he calculates at about 73 cents a share. That brings you to $3.10 in assets; the stock closed yesterday at $2.52; as recently as last Thursday the stock closed at $2.22.
“Sinha set a price target on the stock of $5 — in essence, he was calling the stock a potential double. ‘After two quarters of no visibility into their financials as the company was buried under an accounting investigation (now concluded), we believe that there is inherent value in the stock,’ Sinha wrote in a note.”
Read more here.