Sometimes Cramer does state some intelligent things. He talked about how once word hits the media, Wall Street has already factored it in to the price. This does make sense and can be used as a key indicator. If you see a stock featured in a highly positive light in a news article in, for example, Businessweek then you should consider shorting it. If you see a stock featured in a highly negative light, then you should consider buying it. However, in regards to United States Steel, its current chart appears to be like AskJeeves during the year 2000. US Steel does have earnings and trades at a low P/E. We have to ask ourselves how did X go from 15 to 64 bucks in two years. I will answer that question with these answers: 1) Housing boom 2) Metals boom 3) New cars purchased from home equity loans 4) Building/condo boom 5) Global growth The next question is do you see the above factors increasing or decreasing in the next two years? No more housing boom for sure. Metal prices seem to be on the down trend along with oil. I dont see as many new cars on the road anymore. Will global growth be as strong in the next 2 years with rising interest rates? I think not. So for Cramer to recommend X a strong buy right now is laughable. As a long term buy, I would have to pass. As a day to day trade, maybe. As a long term short, its possible. Cyclical industries are just that, cyclical. One year they grow like a weed, the next they sink like a ship. GM was very profitable in the 90s and look where it stands today.