Cramer's 'Mad Money' Recap: Banks, Other Laggards Are Leaders (Final)
NEW YORK ( TheStreet) -- Last month's laggards are leading again, Jim Cramer told his "Mad Money" TV show viewers on Thursday, adding that investors haven't missed a thing. He said after resting to recharge, the home builders, financials, technology and the oil stocks are once again ready to roar.
Cramer said there's no better evidence that the bottom in housing is approaching than Pulte Homes (PHM) breaking out almost 10% in today's trading. That also bodes well for the bank stocks, added Cramer, who recommended a group of stocks he's been buying for his charitable trust, Action Alerts PLUS. Those banks included US Bancorp (USB) , JPMorgan Chase (JPM) and SunTrust Bank (STI) .
Cramer added that even AIG (AIG) is a buy, as the company is a whole lot better than it used to be. That's why Cramer owns shares of AIG in his trust as well, along with American Express (AXP) . Cramer added that if he wasn't such a believer in diversification, he'd buy Wells Fargo (WFC) as well.
The tech stocks are also rallying, said Cramer, as seen with Equinix (EQIX) , which saw a 19-point move to the upside today, and Citrix Systems (CTXS) , which had a 13% move. Amazon's (AMZN) blowout quarter anyone?
In the oil patch, Cramer said he's still bullish on Chevron (CVX) , Occidental Petroleum (OXY) and EOG Resources (EOG) . He remained a fan of all of the oil shale players except for those levered to natural gas. Cramer was also a fan of Schlumberger (SLB) and Ensco (ESV) , two more Action Alerts PLUS holdings.
All of these stocks are ready to roar, said Cramer, which makes the old adage of "sell in May and go away" not applicable for 2012.
Executive DecisionFor a closer read on the technology sector, Cramer once again spoke with Rick Hamada, CEO of Avnet (AVT) , in the "Executive Decision" segment. Avnet just posted a 4-cent-a-share earnings beat on inline revenue.
Hamada cited some challenges at Avnet. He said his company's component business is in the midst of a sizable inventory adjustment, while its IT services business is seeing modest growth. So while both businesses were running according to expectations, the company's year-over-year revenue growth was essentially flat.
Turning to specific sectors, Hamada said that servers and storage remain a strong business at Avnet. Other areas such as analog parts and micro controllers are also growing. Hamada also noted that the flooding in Thailand is still disrupting the supply of disk drives worldwide, which is in part to blame for the inventory corrections in other areas.