Children's retail is a hot sector, declared TheStreet's Jim Cramer, co-manager of the Action Alerts PLUS portfolio.
And Children's Place (PLCE) has been one of the "hottest retail stocks this week," said Cramer on CNBC's "Stop Trading" segment.
Its shares are up 0.4% on Friday, tacking onto massive gains over the past few days. The stock is currently up 15.8% over the past week after an earnings beat on Tuesday. Children's Place reported fiscal fourth-quarter earnings per share of $1.19, eight cents ahead of analysts' expectations. Revenue of $498.54 million were in line with estimates.
Cramer says that since children's retail is a hot sector, that means Children's Place shares can go even higher, even after making new highs. Shares are now up 45% on the year.
Retail is looking good overall, too. Cramer noted that Home Depot (HD) management has talked about an increase in household formations. Plus, Target (TGT) CEO Brian Cornell talked about sales in his stores' children's departments being really strong, Cramer added. Target is a holding in Jim Cramer's Action Alerts PLUS portfolio.
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That's why Cramer sees more gains on the way, and that "Children's Place is not done going higher."