When it comes to investing, there might be nothing better than getting paid to wait.
That’s what happens when you buy a stock with a big dividend yield and some strong potential for growth. Linn Energy offers just that kind of opportunity.
Viewers might remember last Friday’s show, when Cramer first gave his call on LINE. At that point, he was focused only on the dividend. But more research proved Linn to be just as much of a buy for its turnaround story as its yield.
The company got a bit unwieldy after a slew of acquisitions became too hard to integrate. Linn has since refocused, unloading those new assets in favor of its original business plan: drilling for oil and gas in mature fields.
One thing Linn did hold onto, though, was the land it bought from Dominion Resources . Now the potential for another 1.3 trillion cubic feet of provable reserves potentially has turned this sleepy yield play into a growth stock.
The good news for investors: Wall Street has all but ignored Linn in favor more flashy oil plays. That leaves room for Homegamers to sneak into the stock before those trillions of cubic feet of reserves make it onto the books.
As Cramer said, dividend plus growth equals buy, buy, buy.
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