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Did you miss last night's "Mad Money" on CNBC? If so, here are Jim Cramer's top takeaways for today's trading.
Exxon Mobil (XOM) and Chevron (CVX) : To the untrained eye, Exxon and Chevron may seem similar. Both companies are huge integrated oil giants, but when they reported earnings this quarter, some stark differences emerged. Chevron beat on both the top and bottom lines, and shares surged 4%, while Exxon missed on the top line and the stock sank 2.5%.
Exxon has always been viewed as a steady operator with a solid dividend, Cramer explained, while Chevron's earnings have been more volatile, causing its dividend to come into question. But this quarter, Chevron not only gave investors a monster 31-cents-a-share earnings beat, but also talked up growth prospects in the Permian Basin.
Exxon, on the other hand, has never been promotional, Cramer said, and the company held true to its nature as it spoke more of accounting issues than growth on its conference call. That led many investors to view Chevron as a reinvigorated growth company with the possibility of doing even better in the future. That makes its shares worth the premium 23 times multiple they currently receive, as compared to Exxon at 19.5 times earnings.
Cramer was also a fan of Chevron's superior 4.1% dividend yield.