NEW YORK (TheStreet) -- TheStreet's Jim Cramer and Stephanie Link are adding United Technologies (UTX) to their Action Alerts PLUS Portfolio. Cramer likes the company because it purchased Goodrich, streamlined it and returned cash to shareholders. He says this is the opposite of Twitter (TWTR), which has spent like mad with no return on investment.
Cramer also likes companies with secular tailwinds such as aerospace that are doing well overseas, and United Technologies fits the bill thanks to its presence in China. He calls the Goodrich acquisition "brilliant" because the company doubled down on aerospace, which is in a secular bull market.
Link also likes United Technologies' exposure to construction.
TheStreet Ratings team rates UNITED TECHNOLOGIES CORP as a "buy" with a ratings score of A. TheStreet Ratings Team has this to say about their recommendation:
"We rate UNITED TECHNOLOGIES CORP (UTX) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its solid stock price performance, revenue growth, good cash flow from operations, largely solid financial position with reasonable debt levels by most measures and reasonable valuation levels. We feel these strengths outweigh the fact that the company has had sub par growth in net income."