Clorox (CLX) - Get Report posted first-quarter results Monday that beat Wall Street's estimates and its shares reached a new lifetime high as it showed strength across its businesses from Burt's Bees to Kingsford charcoal, observed Jim Cramer, co-manager of the Action Alerts PLUS portfolio.
"This is a remarkable story," said Cramer, speaking on CNBC's "Mad Dash" segment. "It's a story about reinvention."
Clorox's personal products company Burt's Bees performed "incredibly well," while its Kingsford charcoal business had a good summer, Cramer said. He also noted Clorox, which has 80% of its business in the U.S., does not have to worry about foreign exchange rate issues. For example, Marriott Vacations Worldwide (VAC) - Get Report , Colgate-Palmolive (CL) - Get Report and other corporate titans were hurt by the strong dollar in this most recent quarter.
Clorox's performance was aided by increases in prices and volume growth, according to a report in The Wall Street Journal. Sales in its cleaning segment, its largest slice of the company's operations, grew 6% in the quarter over last year.
Although Clorox could have thrown in the towel and said it would seek a buyer after activist shareholder Carl Icahn attempted to force the company to put itself up for sale in 2011, it managed to fight off Icahn's proxy fight and worked at retooling its operations.
Clorox told Icahn to give it a chance to turn things around and it did, Cramer said, adding that Clorox is now in the position to snap up other companies.
"This company took prosaic businesses and turned them into turbo-charged businesses," said Cramer.
Clorox shares reached as high as 4% to $126.81 Monday.
At the time of publication, Cramer's Action Alerts PLUS had no position in companies mentioned.