Shares of Freeport-McMoRan Inc (FCX) - Get Report are flying higher Tuesday after the company reported earnings that missed the street. Yep, you heard that right: FCX stock is up despite missing earnings per share estimates, but it reported a profit of 27 cents per share on revenue growth of 11.4%. Shares are up 15% midday in response.
"Copper is back" and revenue of $3.71 billion was impressive, TheStreet's founder Jim Cramer, who also manages the Action Alerts PLUS charitable trust portfolio, said on CNBC's "Stop Trading" segment.
Resources and mining are making a comeback and that's further backed by the earnings results out of Caterpillar Inc. (CAT) - Get Report , Cramer pointed out. Caterpillar beat on earnings per share and revenue estimates and raised its full-year estimates. Shares are up 4.85% to $113.48 as a result and the stock is now up 44% over the past 12 months.
"No one expected this," Cramer said of Freeport and the return to mining. "It's not in the playbook."
"That was a really good quarter," he said, and the stock does not look as if it is going to make new lows. "The stock has room to run," Cramer concluded.
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At the time of publication, Cramer's Action Alerts PLUS had no position in any companies mentioned.