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Cubic (CUB - Get Report), which makes systems for defense and public transportation, stands to profit from the continuing fallout of last month's London subway bombings, Jim Cramer said Wednesday on his "Mad Money" TV show.
New York City announced Tuesday it will install 1,000 video cameras and 300 motion sensors in its subways to improve security. But Lockheed Martin (LMT - Get Report), the lead contractor for the program, is too large a company to see an impact from the $212 million contract, Cramer said.Subcontractors, though, such as Cubic, are small enough that they could see some benefit. Cramer stressed he was interested only in buying Cubic's stock as a trade, and advised using limit orders to purchase the stock close to its Wednesday closing price of $18.40. A caller wanted to know if there were any security companies Cramer liked as an investment rather than a trade. Cramer endorsed L-3 Communications (LLL - Get Report) but said there is nothing wrong with "making a couple bucks in the Cubic." Another caller wanted to know if there was a way to make money on the recently announced military base closures. Cramer said Lennar (LEN - Get Report), a homebuilder, has had success turning one closed military base into homes. However, Cramer believes the general investment environment toward homebuilders right now just isn't favorable enough to endorse any homebuilder's stock. In response to a question about Symbol Technologies' (SBL) stock, Cramer said, "This is a tough call because the guy who left is the guy who talked me into buying the stock." (Symbol's former CEO,