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In this stock, Cramer’s charity builds sizable position

If you're looking to invest like Cramer, you might want to take a closer look at this stock.

"My charitable trust is accumulating a position in Royal Dutch Shell," revealed Jim Cramer, ahead of an interview with the company's CEO, Ben van Beurden.




Jim Cramer on Mad Money.
Adam Jeffery | CNBC
Jim Cramer on Mad Money.

Cramer praised van Beurden for initiating a turnaround after he inherited the corner office at the energy colossus. In the past, Shell has strugged with deep problems, including multiple cost overruns on key projects, an underperforming downstream business and poor use of its American shale assets.

Ironically, it's because the company faced such powerful headwinds in the past that Cramer thinks the stock could have significant upside. That is, as these missteps are rectified, Cramer believes the stock will rally, as world demand for energy increases and investors reward RDS with a higher premium.

Comments from van Beurden also suggest the company is getting very aggressive about its future prospects, right now.

"We have always been an incredibly competent company but what we bring now is a complementary focus on value. We're not just chasing growth for growth's sake, but also making sure the opportunities are high grade," van Beurden said on "Mad Money," as he explained why he's enthusiastic about Royal Dutch Shell's assets in the Marcellus and Utica shales.

"This company is reinventing itself in a fantastic way," Cramer added. And even if the turn remains a few quarters away, "At this point, I think the company's paying you to wait for the turn to really take hold."

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As noted above, "That's why my charitable trust is accumulating a position in the company," Cramer said. "I'm not saying there won't be any bumps in the road, but I do think the turn is for real. I think the stock should have a lot more upside. And one more thing, Shell trades at a discount to the other majors."



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