The $80-to-$120 Club

The bull market in infrastructure and machinery and great international exposure should carry construction-equipment maker Terex to $120, Cramer said.

This is his last $80-to-$120 pick of the week. His theory is based on the idea that large-cap companies in a bull market that make it to $80 a share should make it to $120. The stocks get a boost from institutional investors looking for solid buys. So far Cramer’s picks are up an average of 5.2% in the one to four days since he made his calls.

Some might think that Terex could never compete with the likes of Caterpillar and Komatsu, but it doesn’t have to, Cramer said. A lot of Terex’s operations are in areas that CAT doesn’t operate (aerial platforms) or where there’s plenty of business to go around (cranes). And aerial work platforms, cranes and mining equipment together make up 70% of sales and 90% of profits at Terex.

There’s a possibility an acquisition could help things along too. It looks likes Terex is the frontrunner to buy Bobcat from Ingersoll Rand. The deal would be great for TEX’s compact construction equipment business, Cramer said, and that’s where some of the stiffest competition is.

Bottom Line: Cramer thinks TEX is going to $120. It’s part of one of the hottest bull markets around, and there’s a catalyst. With the performance of the other members of the $80-to-$120 club, how can you resist?

Questions for Cramer? madmoney@cnbc.com

Questions, comments, suggestions for the Mad Money website? madcap@cnbc.com

Contact Mad Money

  • Showtimes

    Monday - Friday 6p ET
    Saturday 8a, 1p, 7p SYD
    Sunday 12a, 1a, 8a, 7p SYD
    New Zealand
    Saturday 10a, 3p, 9p NZ
    Sunday 2a, 3a, 10a, 9p NZ
  • Jim Cramer

    Jim Cramer is host of CNBC's "Mad Money" and co-anchor of the 9 a.m. ET hour of CNBC's "Squawk on the Street."

Mad Money Features

  • Grab the latest CNBC gear from the NBCUniversal Store!

  • Get a behind-the-scenes look at how Cramer formulates his investment advice. "Inside the Madness" is a column, which features e-mails and more with Cramer and his researcher Nicole Urken.

  • You’ve always wanted to hit the “Hallelujah!” button. Here’s your chance.

Mad Money Moments

Cramer's New Book