Jim Cramer Explains How Five Below and Dollar Tree Can Win the Trade War

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Jim Cramer penned a Real Money column focusing on Five Below and Dollar Tree (DLTR) - Get Report Thursday morning.

"We've got a winner and new champion when it comes to tariffs and mitigation: Five Below (FIVE) - Get Report. The clever, rapidly expanding Philadelphia novelty store blew the numbers away and talked about how its price increases MORE than mitigated current and future tariffs with China," wrote Cramer.

"...Who is at the mercy of tariffs? That's clearly Dollar Tree, hence the chaos on its conference call. Do you know that Five Below has a number of $5.50 products now with no push back from consumers? At the same time, it is opening a Ten Below store -- and that, too, seems to be a positive test. Another leg of what was a one-legged stool," he continued.

Watch the full video above for more.