[ applause ] any time you try to analyze winners, you have to eliminate the stocks that move because of other events. Oil and gas stocks had gigantic moves because of the turmoil in the middle east. So Many Companies can benefit from the increase in the worldwide price of oil. Second, were seeing the china plays move up. Its become quite obvious. Thats how copper stock like freeport or hefry machinery can rally. Those arent fiscal cliff stories. What are . What are fiscal cliff stories . How about the Home Improvement place . We can sit here and say that lowes rallied today because of reported better than expected quarter this morning. You can argue that Hurricane Sandy to augment earnings for the next year as were beginning to rebuild the coast. Many of the hardest hit areas arent even accessible to contractors let alone homeowners. However, i think that retail is the biggest winner if we hammer out a phased in group of spending cuts and tax increases. And the retailers that cater to making your home worth more of the players who will get the biggest share of those spare dollars . Go back and listen to the home depot Conference Call. The theme is the cycle is just beginning. Sbeerndi spending on your home is actually growing. Go over the fiscal cliff, that nation trend would be snuff by dramatic tax increases. You have to bet that home depot shoppers revert to the ways that we saw several quarters ago. And i got to tell you something, its not too late to buy the home desk spot. You should be buying the companies which sell into aisle, aisle, aisle, and aisle of home depot and lowes. How about Sherwin Williams . How about stanley and black decker . Whirlpool. Lets go back to usc. I think people are seeing the need to rebull the jersey coast and then new name, briggs and stratton. I think people are done relying on the electric grid for power. You know what . Fiscal cliff . If its really goodbye, i like the discretionary plays. Ha harleydavidson, polaris, dicks sporting goods. You give rich people more money, they buy Municipal Bonds first, bolts second and then create the jobs that theyre so often depended on. Then return to the retailers. I urge you to keep in mind some of these if the xlif bridge cli bridged, notably nordstrom and petsmart. High end retail suppliers have been disappointing, right . The stocks have just been okay. Ralph lauren, coach and pvh were terrific for a long time. Then people started freaking out. Wait a second. We could have been twice blessed. Pvh is up 58 for the year. 2013 looks terrific for them. The ceo said the same thing. But in a situation where you had no idea what the Capital Gains rates would be, you want to nail that out of the gate. Now maybe you dont have to. Thats what today looked like. Today was about no fiscal cliff which brings me to the second group of stocks that ought to be able to reverse themselves if we know higher taxes are going slowly and not mandated to go immediately higher. Stocks with huge gains. Exhibit a, apple. Its now had a 10 move off the bottom from friday. If can you put off when you pay taxes, you will want to provided the rates dont skyrocket. If you can hold off selling and not pay the taxman, hey, then the apples of the world go higher. No one wants this creative tax event if they can avoid it. I also like the home builders. Stocks that will be getting a second breather. A selling breather so to speak. People are scared. Tol brothers, standard pacific, wow. Toll brothers is up 50 . Standard pacific, 100 . Of course, there is amazon. Please use deep in the money call options out several months if you want to play this one. I fear gigantic selloff related to multiple stocks and amazon is the highest multiple stock of all. Weve seen a huge down turn in stocks that pay dividends. Now we have to question whether that may be phased in over time, too, hence the nice rise in at t. I think they can continue if we really get a fazed in kproments for taxes and Dividend Income. The final tax beneficiaries are mlps. Theyve been selling off hard. Somehow they would lose the tax favored status. Any sign a deal could be done would remove the uncertainty. Lnco is down a couple points because of the fracus, paid 7. 6 yield. Did not catch the bottom in the stocks. You had to do that friday. Thats okay. Catching bottoms is very, very difficult. Recognize that things may have changed. Its whats most important. How about the other side of the ledger . The spending cut . I think the biggest winner is lockheed martin. First because of the dividend, it yields 5 . The current rate of Dividend Income is second. Lockheed like all defense krrltors have the earnings reduced because the government wont be allowed to afford expensive military hardware anymore. And thats point blank the worst end of all spending is going to come right down to the fence. Want to hedge the bets . Grab the stock that has the best exposure to the aerospace cycle and that is boeing. This is a stock that has been buying stephanie lincoln, she recommended it today. I think it plops the moment the Defense Budget is no longer under a cloud. Of course, not all stocks can win if we avert the fiscal cliff. My favorite cliff jumper, intuit got hurt today, as it should. If the tax scheme doesnt change all that much, you may not be frightened into buying the turbo tax program. I know of no other winners in a rising tax declining spending world. Thats why its so darn destructive. People just keep telling me i see on twitter, jim, you dont know what youre talking about. Jim, its political. Listen, guys, it hurts almost every stock i follow. Heres the bottom line. You get a compromise, you get politicians to rise above anger and partisanship, then as a rule many more days like today. Glorious days but if these hopes are snuffed, we know it happens. We get the crummy market weve had for weeks and weeks, the one that just might usher in the true bear market that would be natural given the recession that they were supposed to fear as we got closer to the cliff. Maybe the politicians in washington forgot that the preamble to the constitution does recommend that they promote not destroy the general welfare, provide not dismantle the common defense. Rising above . I think its what the Founding Fathers had in mind. Lets go to ed in new jersey. Ed . Hello, jim. Booyah from surf city, new jersey. Hows it going down there . Not too bad. We didnt lose any shingles. Some parts are pretty bad. A lot of work here. Im in construction. Doing well. You know, theyre not even letting the contractors in some parts of jersey. Youre allowed to have one assistant with you. Caller i know. I have a pass for. That. Thats what you need. The National Guard wont let you through other wide. Caller how should i play oil . My way to be able to play it. If you want to have a leveraged way to play it is buy the oih calls, the etf. I personally think what you thats, you know, that will give you the oil service. Those are the ones that really go crazy. My favorite remains schlumberger. Slb. Up its 2. 47 this year. Thats your play. Malcolm in florida. Malcocol malcolm . Caller jim, thank you for that heads on amgen and starbucks last week. Those were great calls. Thank you. I like them both. Starbucks, this tivana is going to be so huge for them. People keep misjudging howard shultz. One day theyll say that shultz was okay. Whats up . Caller well, jim, im going a retired guy with 50 of the portfolio invested in High Yield Municipal bond etfs. My question to you is, in this environment, with the economic environment, with the possibility of a compromise regarding the fiscal cliff, visavis the increase revenues and cuts in spending, what is your analysis and your opinion on the tax free Municipal Bonds at this juncture . You have to buy them. The individual is going to go right back them and move them up. I think thats a great place to be. Dont touch them. I want you to buy them. Brilliant idea. Now we go to paul in louisiana. Paul . Caller hey, jim. Thanks for taking my call. No problem. Caller ive been just getting in and sticking with a stock itw. Ive been following it for a couple months. They seem to be doing pretty well. There is going to be a change in the leadership. Can you comment . David spear passed away which is he was a terrific guy. This is a very well run company. I suspect that they wont really skip a beat. Its always been a favorite of mine. I would continue to own it. I wouldnt buy it off this. Hes a good man. I think its fine. I think it is fine. Is this the rise above rally . We saw the power and promise of compromise today. I hope our politicians were watching this tape because we could see more days tlik day if they are rising above . You no he what . I think its what the Founding Fathers had in mind. Mad money will be right back. Coming up, generating returns . Superstorm sandy may have ravaged the east coast. But it couldnt dampen the spirit to rebuild. After downed power lines left many in the storms path powerless, home owners are taking preventative measures. Cramer plugs you into a potential play just ahead. And later, rent to own . Buyouts and fresh face newcomers have given that new car smell to the rental market. And cramers found a play that could be your vehicle of growth. Find out which of these companies could give you a smooth ride. Plus, holding them accountable. The fiscal cliff is coming. And if washington wasnt rise above, they face cramers consequences. Hes going to brand new wall of shame for those preventing compromise. And its about to get its first members. The storm of shame is coming. Dont miss out. All coming up on mad money. Try running four. Ning a restaurant is hard, fortunately weve got ink. It gives us 5x the rewards on our internet, phone charges and cable, plus at Office Supply stores. Rewards we put right back into our business. This is the only thing weve ever wanted to do and ink helps us do it. Make your mark with ink from chas ever since Hurricane Sandy hit and knocked out power for millions of people across the northeast, little stock called genrac has become the favorite post sandy relief play. It makes all kinds of Power Generators including the backup generators that were in high demand when the lights went in and out new york and new jersey. It is part of the recognition that this kind of devastating bad weather is here to stay. No more of that one in 100 year things. No one wants to be hostage to the grid anymore. Now, i dont want to recommend genrac here. I dont. I have something even better for you. I have a stealth sandy play that does the same darn thing. The stock hasnt run since the storm at all. Im talking about briggs and stratton. Bgg the Worlds Largest producer of gasoline engines for Outdoor Power equipment. Briggs and stratton is north americas number one manufacturer of portal generators. As well as pressure washers and also leading maker of stand by generators. And another business that should benefit from the aftermath of sandy. Briggs and stratton is such a big player, why arent they ramallying . Part of it is because briggs and stratton gets only 10 of the sales from generators. The company is very far from pure play, however, they make the best generators. I think 10 number could grow as buying a backup generator becomes more mainstream. You have to remember millions of people are without power for days or weeks in the northeast. Some people still dont have power. People are thinking to themselves, next time im going to have a generator. The idea of homeowners buying stand by generators as storm insurance. You know, it implies the same at briggs and stratton. I think that generator business is definitely big enough to move the needle in a post sandy environment where people realize the horrific storms are here to stay. Now briggs and stratton reported a disappointing quarter on october 18th, that also hurt the cause pretty greatly. [ baby crying ] that was right before the storm. The company noted they had no storm activity in the next quarter. And then sandy happened. You have to blest numbers could be too low. The hurricane boost near term demand for generators and caused a secular shift where owning a backup generator is a basic precaution. Somewhat of a like owning an expensive flashlight. They were blowing the doors out of home depot before the storm. And after it, theres going to be a ton of demand by people who lost so much food during the hurricane. Even someone as not mechanically inclined as me can figure out how to work one of these babies. A little gasoline, extension quardz and next thing you know, im mr. Kilowatt. Roughly 80 of the lawn and garden equipment powered through them is sold through lowes and home depot. We know theyre doing very well. Lowes just reported an excellent quarter this morning. Lowe we know that briggs and strattons engine business was hurt by the drought. There was less demand for agriculture equipment. But on the Conference Call, there could be an uptick in the business as we get close to the planting season. By the way, lowes said in this Conference Call today that the uptick is upon us. Good one in lawn and garden equipment at the beginning of this reporting period. Plus this company is a major beneficiary from the turn in housing. We know that the turn continues. We just got very positive existing home Sales Numbers this very morning. Demand for Outdoor Power equipment like the kind briggs and stratton makes is correlated to housing demand. Were going to lawn and garden replacement cycle. Shipments of this stuff peaks seven, eight years. So if you simply want a working pressure washer or snow thrower, pretty soon youre going to have to buy a replacement. Also starting next spring, new regulations kick in requiring all lawn mowers to meet phase three emission standards. There will be competition from cheap china eyes imports. This story is not about outside forces. Theyre trying to take control of its own destiny. Next spring they want 40 new products, significant increase in the number that they produced had year and the reaction from the dealer is extremely positive plus theyre cutting costs, closing a plant in the czech republic, downsizes operations in the u. S. And the stock gives 2. 5 yield. In the aftermath of Hurricane Sandy, we learned never to take our electricity for granted. It can always be knocked out by the next big storm. Thats why generac has rallied so massively. It pulls back maybe well look at it. But if youre looking for a smart stealth way to benefit from the increased demand for generators, i say look no further than briggs and stratton which is barely budged at all since the storm. Despite making best generators out there. After the break, ill try to make you more money. Coming up, rent to own . Buyouts and fresh face newcomers have given that new car smell to the rental market. And cramers found a play that could be your vehicle of growth. Find out which of these companies can give you a smooth ride. And later, natural wonder . Clean, dmen domestic, abundant and ignored . After some promising returns, plays on the nat gas fuel future have failed to gain traction. Tonight, cramer lays out what to watch for so you can position your portfolio. Plus, holding them accountable. The fiscal cliff is coming. And if washington wont rise above, they face cramers consequences. Hes got a brand new waffle shame for those pro venting promise. And its about to get its first members. The storm of shame is coming. Dont miss out. All coming up on mad money. I dont spend money on gasoline. I am probably going to the gas station about once a month. Last time i was at a gas station was about. I would say. Two months ago. I very rarely put gas in my chevy volt. I go to the gas station such a small amount that i forget how to put gas in my car. [ male announcer ] and its not just these owners giving the volt high praise. Volt received the j. D. Power and associates appeal award two years in a row. You know me, like when stocks go higher. All the positive chatter out of washington about how theyll able to make a deal to bridge the fiscal cliff, is just a bunch of hot air. And in that case, we want to know what could work without a positive resolution which is why i want to talk about the rental car business tonight. Lately the rental car business is d. C. Its come back with a vengeance. The big rental car businesses are roaring. Now some of this is because the u. S. Travel market has begun to rebound. More people are renting cars all over the country. Some have to do with Hurricane Sandy. 200,000 cars taken out of commission. And that should lead to a short term increase in demand. Sandy bump wont last. The real reason for the resurface of the rental car business could be because of what happens in washington. It is one word. And that word is consolidation over the last decade this industry has seen a series of merge ez that allowed the rental Car Companies to cut costs and also raise price. And with the recent acquisition of dollar thrifty by hertz, there are now only four players that really matter here. Just four. And one of them, enterprise is private. Which means you have only three possible ways to play this bull market. There is hertz, second largest player through enterprise and the largest traded rental company and avis. And now that thrifty is taken over, the last one is zip car. Its been a total dog. Now back in june before we knew about the dollar thrifty deal, i told you to buy hertz. It was best in breed. It was a heck away from zip car. Because it fell like a flash in the pan. Since then, hertz has given you 18 gain. Zip car plummeted, wow, 30 . In august we found out that hertz reached a agreement to buy dollar thrifty. The number four player, 87. 50 a share in all cash. Means we need to revisit this space to see how things have changed. Boy, they have changed and changed for the better. First of all, zip car, it is still the worst of the bunch. Sell, sell, sell i wouldnt touch it with a ten foot pole. Here is a company that came up with a good idea. One hour car rentals. Pick them up by the side of the road. Because you have a good idea doesnt mean can you profit from it. Of course, you can keep them longer. By the time zip became public, the big boys were in on the hourly rental action. Zip had a great id