CNBC’s Jim Cramer on Monday laid out nine stock plays that could thrive no matter which candidate wins Tuesday’s presidential election.
“All of these names would work under both candidates,” the “Mad Money” host said. “They’re Covid winners and Covid will be with us regardless of who wins tomorrow.”
Cramer made the recommendations based on former vice president Joe Biden’s chances of being elected to the White House and instituting more aggressive national standards to combat the coronavirus spread in America. President Donald Trump, who has lagged his challenger in most battleground polls, has advocated for fully reopening the country, despite the ongoing state of the pandemic.
While a nationwide economic lockdown is unlikely, a “partial lockdown” is a real possibility that could lead to the closing of bars and more restrictions on restaurants, Cramer said, looking down the road. He also considered the chances of a national mask mandate.
Below are his takes on multiple companies that he thinks have prepared for an uncertain future in the fight against coronavirus:
“If you go over the latest quarter, Amazon said it’s on target to spend its entire fourth-quarter earnings on safety. They’ve made a huge bet that we’re going to have a hard winter,” Cramer said. “If Covid cases keep spiking … Amazon will be ready, meaning their supply chains will remain intact.”
“Chipotle’s the only restaurant chain with a comprehensive plan to deal with this new wave of infections,” he said. “These guys figured out that they can make just as much money without indoor dining by investing heavily in takeout and delivery.”
The pizza chain “barely had an indoor presence to begin with. It’s all delivery” or takeout, Cramer said.
“They’ve been preparing for Biden or Trump. Even if we go back into full lockdown, they’ll be able to stay open like they did in the spring because they’re considered essential,” he said.
“If a Biden administration decides to spend a lot more money on testing, you want to own one of the testing plays,” the host said.
“Everybody buys more Clorox when infections spike,” he said.
“Estee Lauder’ is surprisingly essential right now because masks give so many people acne,” Cramer said.
Disclosure: Cramer’s charitable trust owns shares of Amazon and Abbot Labs.
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