Jack In The Box is a terrific turnaround story, said Cramer, as the company is refranchising its company-owned stores to franchisees. A full 73% of stores are now franchised, up from just 25%, meaning the company now has more stable cash flow and increased visibility in their earnings.
The company also blew away earnings when it last reported, delivering a 16-cent-a-share earnings beat, thanks in part to strength in its Qdoba chain. With shares trading at 17 times earnings with a 12% growth rate, Cramer said he'd be a buyer of Jack In The Box on any weakness.
Providing an Antidote
With all of the bellyaching over at Procter & Gamble (PG - Get Report), you would think the entire consumer packaged good sector is fighting for its life. But that's not the case at rival Church & Dwight (CHD - Get Report), said Cramer. The maker of Arm & Hammer, OxyClean and Trojan condoms is taking share and growing like crazy.
Cramer said that Church & Dwight has become the antidote to P&G, a North American-centric company that's committed to delivering for its shareholders. The company has a 1.8% dividend yield and a long history of under-promising and over-delivering.So how does Church & Dwight do it? By combining both value and premium brands under one roof, then using them all to out-innovate the competition while preserving terrific gross margins. With Church & Dwight delivering 8.4% organic sales growth, Cramer said this is one stock that should be in investors' portfolios.