Now that the Supreme Court has forced the EPA to start doing its job, it’s time to think about specific sectors and companies that are leveraged to a cleaner environment. Cramer thinks these stocks should all be going much higher in the near future.
Today he’s focusing on companies that profit from cleaner power plants, whether they are nuclear or just cleaner versions of coal and gas. You can bet that the Green Day decision is going to make power plants cut back on all that carbon dioxide, so you better look at companies that are going to help them do that.
Cramer’s two favorite plays on the power companies cleaning up their act are Foster-Wheeler and Shaw Group . Both companies are engineering, construction and infrastructure plays, although Cramer says Shaw hasn’t been very stable lately. He thinks the Green Day decision will change the equation enough to make it a tempting buy. He’s recommending Foster Wheeler because it’s a play on upgrading our current power plants to run cleaner – and Shaw Group because of its position in nuclear construction, which Cramer admits hasn’t really started happening in the U.S. yet, but is far more likely to speed up with carbon dioxide now public enemy #1.