Chesapeake’s Got Gas
Natural gas will get a nice boost, Cramer said, thanks to coal shortages and $102 oil. The demand should send prices – of both the commodity and stocks in the sector – much higher. His favorite of the group is Chesapeake Energy .
Cramer’s expecting natural gas, along with agriculture and gold, to jump for another reason, too. Now that we’re in the last month of the quarter, Wall Street’s going to be switching out of its losing investments and into those that worked best. These sectors are it, and the influx of cash should be a boon to all three.
CEO Aubrey McClendon’s is a believer. As proof, he bought 400,000 shares of CHK last week. And he bought well over 500,000 shares last month as well. McClendon has a history of buying his firm’s stock at the right times, Cramer said, and the Mad Money host doesn’t see why now would be any different.
Cramer’s suggestion: If McClendon’s buying CHK, maybe you should too. The sector’s already had a nice run, so Cramer recommended buying part of a position at the next dip. Then keep adding as the opportunity presents itself.
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