Cramer made an exception for Caterpillar (CAT), calling that dog of the Dow undervalued, but rounded out the group by saying that Intel (INTC) will likely remain flat in 2013 and the worst performer, Hewlett-Packard (HPQ) could only save the averages by being booted from them, even with it's 44% loss for 2012.
In the "Executive Decision" segment, Cramer spoke with Charif Souki, chairman and CEO of Cheniere Energy (LNG - Get Report), a company that plans to export U.S.-born natural gas to the rest of the world. Shares of Cheniere are up 147% since Cramer first spoke with Souki in June 2011, and 18% since his last visit in September.
Souki said it takes a lot of time and money to follow the rules and get approval to build an export terminal in the U.S., but that's what Cheniere has been able to do and why it will be the first to have an export terminal online in mid to late 2015, a full year ahead of schedule.
He said that while he expects others to follow in Cheniere's footsteps, his company's Louisiana facility will certainly be the first and will enjoy many years of successes.Souki also expressed how urgent the need is to do something with our natural gas. He said gas is produced as a byproduct of producing more oil and, to date, the industry is simply "flaring," or burning off, more gas than it uses just to get rid of it. He said the practice is wasteful and bad for the environment, but it's being done more and more as our country struggles to do something with its energy policies. Souki also confirmed that Cheniere is not in need of additional equity to complete its facility and thus won't be diluting shareholders with more equity offerings anytime soon. That news left Cramer speechless, as he said there are few companies he follows that have such an excellent story to tell.
A Deal That SticksIn his second "Executive Decision" segment, Cramer spoke with Jeffrey Ettinger, chairman, president and CEO of Hormel Foods (HRL - Get Report), on the heels of the company's acquisition of Skippy peanut butter. Shares of Hormel are up 14% since Cramer recommended it in May 2012 and are flirting with their 52-week highs.
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts