Recently, Best Buy stock was up 4.96% to $27.11. J.C. Penney was up 24.6% to $7.42. Is this kind of bounce deserved or not?
Cramer assessed J.C. Penney as a "mediocre retailer," but one that isn't anywhere near going out of business. He guessed the stock could trade to $9 or $10 "without a problem."
Best Buy still shows some upward momentum, Cramer said. He wouldn't be surprised to see a 10% move. Management is working to fix the company, and consumers are spending a little more freely. That could benefit the company.
"Both stocks could trade higher," Cramer said -- but they aren't his favorites. That distinction goes to Macy's (M) and TJX (TJX), both of which are in the Action Alerts PLUS charitable trust portfolio, of which Cramer is co-manager. Macy's and TJX are a better value for investors in retail stocks, Cramer judged.
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