Cramer: Health-Care Bill ‘Dead on Arrival’
President Obama’s health-care bill is all but “dead on arrival,” Cramer said during Tuesday’s Stop Trading!. So many of the White House’s hoped-for provisions are being cut out that a completely different piece of legislation will emerge from Congress.
Cramer did say that “something” will pass, but it will be a far tamer version of what Obama had wanted. The Senate has already made rumblings that his “public option” won’t be a part of any bill. That’s just one reason why the sector’s stocks, which had taken a big hit ahead of this latest health-care debate, are starting to ramp back up. Cramer pointed to UnitedHealth , Aetna and WellPoint as examples.
“The Senate is going to kill what was ever going to ail these guys,” Cramer said.
Elsewhere in the market, Cramer called First Niagara the next big “super regional” bank. He praised the company’s recent acquisitions, specifically Harleysville National, and First Niagara’s growing footprints in Pennsylvania and New York. He likened FNFG to Fleet, whose stock jumped 500% thanks to a strong Northeast presence before Back of America bought it.
“This is one to watch,” Cramer said of First Niagara.
Lastly, Cramer said that Masco is “very exciting” as a play on the real-estate market’s rebound.
“Housing is coming back,” Cramer said. “The media doesn’t want to admit it, but everybody else is willing to, including the people who work at Masco.”
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