- "The baton is now being passed from the stay-at-home names to the travel and leisure plays," CNBC's Jim Cramer said.
- "I think it's not too late to bet on the transition, especially since Wall Street's been so behind-the-curve when it comes to the real story," the "Mad Money" host said.
- Cramer expects shares of Walmart, Norwegian Cruise Line, Wynn Resorts, Disney and more stocks will gain momentum with the travel and leisure thesis.
CNBC's Jim Cramer on Tuesday said many Wall Street pros are out of touch with the American consumer and advised retail investors to get ahead of the bar on some stocks in the reopening trade.
"The baton is now being passed from the stay-at-home names to the travel and leisure plays," the "Mad Money" host said. "I think it's not too late to bet on the transition, especially since Wall Street's been so behind-the-curve when it comes to the real story."
Using Walmart as a bellwether, Cramer said visiting one of its stores and reading the company's earnings report illustrates that consumers are spending money on groceries, apparel and leisure products. Walmart on Tuesday morning reported it beat first-quarter estimates.
"Americans are going places again. They're also buying jewelry and watches and perfume," he said.
"I think Walmart down 10 points from its highs is a gift for you. I suspect the analysts, who again are not drawn to Walmart, maybe didn't realize how important the millions of vaccines offered... would be to luring in shoppers," he continued. "I expect many upgrades in the next coming days."
Walmart shares rose 2.17% to $141.91 on Tuesday as the major indexes all declined. The stock remains down 5% from its highest trade in January.
Cramer offered three other travel and leisure ideas for investors to consider piling into.
Norwegian Cruise Line shares last sold for $29.23 on Tuesday, down from near $60 per share before the start of the pandemic. Wynn Resorts at $126.14 is 17% below its pre-Covid levels, while Disney at $169.68 is more than 32 points off its March highs.
"If you want to take the pulse of this market, all you have to do is go to the mall or the nearest shopping center — or just Walmart — and see what regular people are doing with their money," Cramer said. "It's not that hard unless you're the kind of snob who refuses to set foot inside a Walmart."
Disclosure: Cramer's charitable trust owns shares of Disney, Estee Lauder, Walmart and Wynn Resorts.