Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener.
Cramer said for stocks like Exxon Mobil (XOM), there simply aren't enough shares to satisfy a growing demand. Exxon is a changed company, one that will deliver 5% production growth in 2014. Add that to the glowing endorsement of billionaire Warren Buffett, increasing refining margins and a very successful stock buyback program and, Cramer said, it's easy to see why Exxon was able to pop 2% in today's trading, even with its standing as one of the world's biggest companies.
But what's happening at Exxon is emblematic of other stocks in the market, Cramer continued. All of the stocks focusing on social, mobile and the cloud are have been roaring, with names including Netflix (NFLX), Google (GOOG), a stock which Cramer owns for his charitable trust, Action Alerts PLUS. and Facebook (FB) regularly making new highs. The problem here? Not enough companies in their respective spaces.Cramer said that back in the dot-com days it was easy to find 10 or 12 companies doing the exact same thing. But in today's market there is only one Facebook, one Twitter (TWTR) one Netflix and one Amazon.com (AMZN) and so they dominate their categories. Then there are the mergers and acquisitions, Cramer continued. These two create shortages of stock to buy as, one by one, good companies are getting snapped up in deals that are instantly accretive to the earnings of the acquirers. All of these items individually might not sound like much, Cramer concluded, but taken as a whole, they're a big part of why money keeps pouring into the markets as interest rates get ready to head high. Even Washington can't undo the buying we've been seeing.
Executive Decision: Joe PapaFor his "Executive Decision" segment, Cramer sat down with Joe Papa, chairman, president and CEO of Perrigo (PRGO), a stock that's up 41% so far in 2013 and 23% since Cramer last spoke with Papa on Aug. 15.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
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
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV