Utilities are a "growth story" that Jim Cramer is "afraid to bet against," he said Wednesday on
"Stop Trading!" segment.
Cramer and his co-host noted that the Dow Jones Utility index is up 150% over the past four years, barely lagging behind the much-discussed climb in the Shanghai Composite over that period. Cramer, who has brushed off China bubble talk in the past, said February's
( TXU) buyout "changed the equation" for the group and named
as strong players in a group that remains "undervalued."
Cramer also sees plenty of candidates for the continuing private-equity takeout boom. He named as "natural targets"
and its parent
, noting the involvement of Third Point Capital and Daniel Loeb; insurers
( AOC) and
, the latter of which Cramer called a "headless horseman" for the poor performance of CEO Michael Cherkasky;
, which ranks as a favorite of value investor Bob Olstein.
At the time of publication, Cramer had no positions in stocks mentioned.
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