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Cramer's Top 5 Dow stocks of 2014

Cramer: Where the Dow's top 5 are headed

On a day where the market was a sea of red, Jim Cramer thinks investors need to think about the upside. It is good to remember that even amid stock selling there are still high-quality stocks that can lead the way to prosperity.

Every year, the "Mad Money" host takes the time to sit down and look at each company in the Dow Jones industrial average, and predict where it is headed. He has hand-selected his list of Top 5 Dow stocks of 2014, which he thinks will help lead the way for the year.

"Put it all together, and I think the venerable index can mount another 10 percent rally for 2015."

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First up is Intel, with its spectacular gain of 39 percent in 2014. Intel benefited last year from an unexpected turnaround in personal computers. Cramer anticipates that personal computers will continue to do well in 2015, and Intel will reap the benefit of that and trade up to $45.

The second winner of the Dow was United Health. Cramer thinks this stock has plenty more to run for 2015, especially with the aggressive health insurance enrollment driven by the Affordable Care Act. Cramer thinks this stock could easily earn $6 per share this year, maybe more.

Next up is Home Depot, and don't be fooled into thinking that this stock is fully valued after it rallied 27 percent last year. Home Depot has been buying back stock to reduce its share count significantly. Additionally, it is spending a large amount on the expansion of its website which will pay off.

Cramer sees that this is a perfect move for the company at a time when the consumer is in excellent condition, especially considering that he expects oil to drop another $2. This represents a large increase in purchasing power.

On top of that, Cramer also expects home building to boom in 2015. This is why he anticipates that Wall Street's estimates for Home Depot are way too low, and it has $5 in potential earnings power.

No. 4 is Microsoft, which will also get a boost from the personal computer cycle that Intel will have. The "Mad Money" host thinks this stock can earn $3 per share in 2015 and have a nice dividend boost, which is much better than expected.

The last winner of the Dow was Cisco, up 23 percent last year. This one started off small and left with a bang. The "Mad Money" host predicts that it could earn $2.20 for 2015, and will trade up to 15 times earnings.

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"That said, Cisco needs a bit more of a worldwide economic recovery to keep the momentum going, even as it benefits from an awesome product cycle and lots of strong prospects," Cramer added.

So on a down day, Cramer reminded investors that there are still a lot of high quality companies out there with stocks that had fabulous performance in 2014. He thinks these Top 5 stocks will serve as leaders for 2015 and are worth investing in.

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