With shares down about 40% in a year, Cramer said this stock "has catalysts that could help the stock bounce back with a vengeance."
He was talking about Magnum Hunter, a small oil and gas exploration and production outfit with assets in the Bakken shale in North Dakota, the Eagle Ford in Texas, the Utica shale in Ohio, as well as natural gas exposure from the Marcellus shale in Appalachia.
Looking at the sharp turn lower, Cramer explained that a series of catalysts worked against the stock.
- The company shut in a bunch of its natural gas wells and curtailed production.
- They had an accounting error and replaced their chief accounting officer.
- Magnum Hunter issued a big secondary offering back in May that just crushed the stock.
- They missed the numbers when they reported their most recent quarter in November.