While some analyst have raised concerns that the stalled Keystone XL pipeline from Canada into the U.S. will be a death knell for the Canadian oil sands, Cenovus tells a different story, saying it's already using rail to transport its oil to the coast, where it's being exported worldwide.
Cenovus expects to grow production 14% annually for the next few years and Cramer thinks the company is not getting any credit for the great assets the company has. It's terrific 3.4% yield pays investors to wait while the rest of the market realizes that the company is already well on track to make up for last year's troubles.
Is sexy going out of style? Are investors shunning exciting stocks for ho-hum safety stocks? Cramer said they are, and he's got two stocks to prove it.
Just two weeks ago Estee Lauder (EL) and Clorox (CLX) reported their earnings. Estee Lauder blew away the estimates and raised guidance while Clorox missed estimates on slowing growth. Yet, Clorox shares fell by less than $1 and for the year both stocks are hovering near breakeven.Why is Estee Lauder not dramatically outperforming? Cramer said it's because Clorox is a safe, reliable name that just so happens to pay a hefty 3.3% yield that was just raised by 4% a few days ago. Estee Lauder has everything going for it, Cramer said. The company is growing at 6% to 8% a year, it gets 60% of sales from overseas and it has exposure to the rapidly growing emerging markets. Estee Lauder also pays a 1.1% dividend and raised its full-year guidance. Yet, none of this matters to investors, Cramer continued. They'd rather own the stable Clorox, makers of the bleach, detergent and trash bags that everyone needs no matter what the economic climate. Cramer said investors willing to take a risk can certainly own Estee Lauder, but those who agree that caution should be the word of the day will be quite happy with Clorox.
Executive Decision: Terry GreggFor his "Executive Decision" segment, Cramer sat down with Terry Gregg, CEO of DexCom (DXCM), makers of a constant glucose monitoring system for diabetics that eliminates the need for pricking a finger. Shares of DexCom are up 130% since Cramer first mentioned the company for speculation back in March 2011.
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