Today is all about the six bull markets Cramer thinks are on fire right now. These are the sectors that rally, that recover first after a sell-off – these are the moneymakers, he says, and it’s probably where you want to put your money for the foreseeable future.
Numbers one and two were agriculture and machinery; three is infrastructure, which Cramer says is the hottest sector in the market these days. That doesn’t mean the companies in this space are expensive, though. On the contrary, high oil prices should fuel our need for more clean alternative power plants and petroleum infrastructure, which would equal continued growth for firms like Foster Wheeler and McDermott – two Cramer favorites.
There was a time when both these companies were covered by every major analyst firm, but right now only four cover FWLT and two cover MDR. This probably won’t last, Cramer says, so the prudent investor might get on board before everyone wants a piece of them – especially because they both trade at absurdly low multiples and new coverage should drive their prices higher.
Aerospace is another bull market these days, and Cramer’s pick in that space is Boeing. BA’s only up 10% this year, while the sector on the whole is up 22%. There’s no way this company should be lagging, Cramer says – it should be leading. The prospects for Boeing to take its rightful place as pack leader are good: The 18% growth rate should continue thanks to “the robust nature of aerospace finance,” he says, Airbus troubles can only serve to help, and the international business is strong.