This Stock Has Soared 932% in 2009
Cramer on Tuesday revisited Omnova Solutions, a stock that stumped him during the Sept. 30 Lightning Round.
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Omnova is an “extremely speculative” company, he said, that operates in everything from specialty chemicals to decorative products like wall coverings and laminates to single-ply roofing. The stock’s had a monster run, soaring 932% year-to-date. Needless to say, investors who took part in the move should cash out at least some of their holdings.
But Cramer said OMN is still a buy on any pullback. Omnova’s new products have been successful, the company’s finding new clients, and the stock’s very cheap on earnings. The price-to-earnings multiple is just 17 despite an expected 67% growth in earnings by next year.
So big run or not, this stock works for any investor who wants a little speculation.
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