Forget Hurricanes -- Nat Gas Numbers Are Too Low

"The numbers are way too low." How many stocks or groups can you say that about? To me, the only groups I know that can have numbers way too low are the natural gas companies and those that drill for them, plus the offshore drillers. That's it.

This morning we saw a bunch of firms including JPMorgan, Key, Wachovia and Macquarie (new equity research player in our country) raising numbers for the E&P companies. They have all moved to the point where they are way ahead of the Street.

Meanwhile, the stocks themselves right now are simply reflecting whether there is going to be a hurricane. Without one, the market throws away a Devon (DVN - commentary - Cramer's Take) or a Southwestern (SWN - commentary - Cramer's Take). But the numbers for those and for El Paso (EP - commentary - Cramer's Take) and National Oilwell Varco (NOV - commentary - Cramer's Take) and Cabot Oil & Gas (COG - commentary - Cramer's Take) and all the rest -- lots of Action Alerts PLUS names -- are all way too low, regardless of the hurricanes.

That's where the opportunity comes in. Keep in mind that Schlumberger (SLB - commentary - Cramer's Take) and Halliburton (HAL - commentary - Cramer's Take) have numbers too low, and I like Nabors (NBR - commentary - Cramer's Take) too. These just work here, as much as it seems ridiculous given how terrible the market is.

We are in a seemingly endless bear market, but there are pockets where the numbers are too low. But these are the only whole sectors where they are.

And the futures are a sideshow that somehow continues to be obeyed. Of course, when they rally, there's no end to the stocks' propulsion. But that, alas, is my least favorite moment because if a hurricane makes a right, that's over. Better to just have a view of where these stocks are going and stick with it.

Random musings: Quite amazing that the way the market is looking at Fannie (FNM - commentary - Cramer's Take) and Freddie (FRE - commentary - Cramer's Take) is to say it's no hope for the banking system, and IndyMac (IMB - commentary - Cramer's Take) is more likely the blueprint, hence the First Horizons (FHN - commentary - Cramer's Take) and the Washington Mutuals (WM - commentary - Cramer's Take) and the Wells Fargos (WFC - commentary - Cramer's Take) just getting killed.

At the time of publication, Cramer was long Devon, Southwestern, El Paso, National Oilwell Varco and Cabot Oil & Gas.

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