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Oct.16
3:30 PM ET
Friday, 16 Oct 2009
Cramer: This Is Mutual Funds' Must-Own Stock

“The word is that there is a developing rig shortage,” Cramer said during Friday’s Stop Trading!.

The speculation has reached the level, Cramer continued, where people expect National Oilwell Varco [NOV  Loading...      ()   ] will have to build more rigs to meet the demand. Investors will know whether or not that’s true when Schlumberger [SLB  Loading...      ()   ] reports earnings on Oct. 23. Cramer expects the company’s CEO to give a status report on the industry.

Also in the oil and gas sector, Cramer said that after hearing statements from Chesapeake Energy [CHK  Loading...      ()   ] this week natural gas should enjoy a similar boost.

“If you’re in the natural-gas drilling business,” Cramer said, mentioning Halliburton [HAL  Loading...      ()   ] specifically, “you’re going to have multiple years of good.”

Elsewhere in the market, Cramer called Google [GOOG  Loading...      ()   ] “a monster good story,” pointing to both the secular shift to online advertising from print and the cyclical return of ad spending overall.

“It really has replaced everything other than Apple [AAPL  Loading...      ()   ],” Cramer said of GOOG, “as the one that mutual-fund managers must show that they own.”

Call Cramer: 1-800-743-CNBC

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