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Oil's not a tax on everything -- it's a tax on the consumer. That's what I come down to when I see the charts this weekend and ponder what's happening in so much of industrial America.
Company after company that I examine -- the new techs, as I call them -- actually benefit from higher oil prices. Or they can pass them on with ease, because of the worldwide demand being so strong.
Take all of the companies involved with making a
Boeing (BA Quote - Cramer on BA - Stock Picks): Boeing itself,
Alcoa (AA Quote - Cramer on AA - Stock Picks),
Honeywell (HON Quote - Cramer on HON - Stock Picks) and
Precision Castparts (PCP Quote - Cramer on PCP - Stock Picks) being good examples. Each of these is necessary because the new Dreamliner burns lots less fuel, and with fuel the biggest airline cost, it stands to reason that higher energy prices make the plane more desirable even at a higher price point.
Or how about all of the companies involved with process and flow control and efficient motors:
Parker-Hannifin (PH Quote - Cramer on PH - Stock Picks),
Emerson (EMR Quote - Cramer on EMR - Stock Picks),
Eaton (ETN Quote - Cramer on ETN - Stock Picks) and
Flowserve (FLS Quote - Cramer on FLS - Stock Picks). Those work higher with higher energy prices.
CSX (CSX Quote - Cramer on CSX - Stock Picks),
Burlington Northern (BNI Quote - Cramer on BNI - Stock Picks),
Kansas City Southern (KSU Quote - Cramer on KSU - Stock Picks),
Union Pacific (UNP Quote - Cramer on UNP - Stock Picks) and
Norfolk Southern (NSC Quote - Cramer on NSC - Stock Picks) are smaller energy users than trucks, and they ship plenty of ethanol and fertilizer.
Of course everything farming:
Deere (DE Quote - Cramer on DE - Stock Picks),
Monsanto (MON Quote - Cramer on MON - Stock Picks),
Du Pont (DD Quote - Cramer on DD - Stock Picks),
AGCO (AG Quote - Cramer on AG - Stock Picks),
Potash (POT Quote - Cramer on POT - Stock Picks),
Agrium (AGU Quote - Cramer on AGU - Stock Picks),
Mosaic (MOS Quote - Cramer on MOS - Stock Picks) and
Archer Daniels (ADM Quote - Cramer on ADM - Stock Picks) (these are big companies in market cap now, powers of the
S&P or companies just waiting to get into the S&P but stalled by a lack of mergers). And everything that drills, ships and transports oil and gas:
Rowan (RDC Quote - Cramer on RDC - Stock Picks),
Parker (PKD Quote - Cramer on PKD - Stock Picks),
Weatherford (WFT Quote - Cramer on WFT - Stock Picks),
Cameron (CAM Quote - Cramer on CAM - Stock Picks),
Noble (NE Quote - Cramer on NE - Stock Picks),
Transocean (RIG Quote - Cramer on RIG - Stock Picks),
FMC Tech (FTI Quote - Cramer on FTI - Stock Picks),
Oceaneering (OII Quote - Cramer on OII - Stock Picks) and so many others -- and of course,
Halliburton (HAL Quote - Cramer on HAL - Stock Picks) and
Schlumberger (SLB Quote - Cramer on SLB - Stock Picks).
Jim Cramer
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