Get Away From It All With Casinos and Resorts

Read More

Click here for the latest from Jim Cramer

First, after Sept. 11, people just wanted to stay home. You saw the retailers that improved the home perform fabulously after Sept. 11, with Home Depot (HD - commentary - Cramer's Take), Lowe's (LOW - commentary - Cramer's Take), Wal-Mart (WMT - commentary - Cramer's Take), Best Buy (BBY - commentary - Cramer's Take) and Target (TGT - commentary - Cramer's Take) just on fire.

Then people wanted to go out, locally. All of those Darden Restaurants (DRI - commentary - Cramer's Take), Brinker (EAT - commentary - Cramer's Take) and Cheesecake Factory (CAKE - commentary - Cramer's Take) stocks were just on fire. They looked fantastic.

Now we want to travel, but we want to travel in this country. And where do we want to go? To Disney World in Florida. Hence, Disney (DIS - commentary - Cramer's Take) is moving up and up. And to Las Vegas, to the casinos. Look at Mandalay Resort (MBG - commentary - Cramer's Take) and MGM Mirage (MGG - commentary - Cramer's Take).

Is this a sustainable trend? I think it lasts a quarter. Not only would I not sell these casino and entertainment stocks, I would use any weakness to buy them.

Each one of these trends has lasted almost a full quarter. We have been in only the first month of this domestic travel spree, which I think may be happening because we have all been impressed at how tight security is at domestic airports.

I've never been a big fan of the casino stocks because of the plethora of gambling options out there. But I can see this move has legs.

Mandalay and MGM Mirage have just had big moves. Let them digest. But then pounce for a trade. These work!

---

James J. Cramer is a director and co-founder of TheStreet.com. He contributes daily market commentary for TheStreet.com's sites and serves as an adviser to the company's CEO. Outside contributing columnists for TheStreet.com and RealMoney.com, including Cramer, may, from time to time, write about stocks in which they have a position. In such cases, appropriate disclosure is made. At the time of publication, Cramer was long Best Buy and Target. To see his personal portfolio and find out what trades Cramer will make before he makes them, sign up for Action Alerts PLUS. While he cannot provide personalized investment advice or recommendations, he invites you to send comments on his column to [e-mail].