Following the recent declines on Wall Street, investors may now have the opportunity to buy some quality stocks at discount, said Jim Cramer on CNBC’s “Mad Money.”
Take Jabil Circuit, for example. The St. Petersburg, Fla.-based company is one of the world’s leading providers of electronic manufacturing services, meaning companies pay Jabil to assemble everything from computer and cellphones to networking equipment. Though Apple does not disclose which companies it contracts work to, Cramer said Jabil likely manufactures the casings for Apple’s iPhone and iPad devices. Either way, Cramer said companies can save a lot on manufacturing costs by outsourcing assembly to Jabil, making it a “juicy piece of business.”
In Cramer’s opinion, Jabil’s business prospects are so promising that he thinks it’s stock could be done going down. Jabil’s stock has dropped 30 percent and currently trades 8 points from its highs. The decline was likely prompted by perceived weakness in the technology sector, Cramer said, but Jabil is not just a tech company — it manufactures products for many sectors, including health care and industrial machinery.
Cramer thinks Jabil’s stock is close to bottoming and is worth considering. He wanted to learn more about the company’s future prospects, though, and so he invited CEO Tim Main onto the program. Check out the video to see the full interview.
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When this story was published, Cramer's charitable trust owned Apple.
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