Mad Money

As jobs return, growth bulls for rent

United Rentals CEO: US market is strong

(Click for video linked to a searchable transcript of this Mad Money segment)

If you're excited about the nation's long-term prospects, Cramer has an idea for your portfolio.

It's United Rentals.

"This is the largest equipment rental company in the world," Cramer said. "United Rentals own roughly 400,000 pieces of equipment and machinery that they rent out mainly to construction and industrial firms in the U.S. and Canada."

With shares already 15% higher year to date, it appears that growth bulls are betting that an upswing in construction benefits this company.

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Cramer believes recent earnings confirm the outlook.

When United rentals last reported earnings in January, the company reported $1.59 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.47 by $0.12. The company had revenue of $1.34 billion for the quarter, compared to the consensus estimate of $1.33 billion.

But an upswing in construction isn't the only catalyst here, there's another.

Cramer also thinks for $780 million, should be additive to earnings this year.

That's because the acquisition allows United Rentals to offer pump rentals, a business that's benefiting from increased demand from energy and petrochemical companies tapping into the shale gas boom in the United States.

That's another theme that Cramer likes a lot.

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Considering United Rentals wins from increased domestic growth and the energy renaissance underway in North America, Cramer thinks the path of least resistance should be higher.

And it appears Cramer is not alone in his outlook. Earlier this week Jefferies upped its price target to $110, while KeyCorp raised it to $105. Stifel Nicolaus is looking for $99.

Call Cramer: 1-800-743-CNBC

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