Jim Cramer, a former hedge fund manager, is the host of CNBC's Mad Money and a co-founder of TheStreet.com, Inc. Cramer expresses his views on stocks on his TV shows, which helps many ordinary investors who watch his show daily on TV make their own investment decisions. Cramer also purchases some of the stocks he recommends for his charitable trust. In this article we will be focusing on these stocks.
The basic materials sector is Cramer’s most favorite. Below is a list of eight stocks in the basic materials sector that Cramer holds in his charitable trust. Sector classifications obtained from Yahoo Finance.
Alcoa Inc (AA): Alcoa is engaged in the production and management of aluminum, fabricated aluminum, and alumina combined. Cramer has 5,500 shares of AA in his charitable trust. AA has a market cap of 12.75B, a P/E ratio of 14.13, and it lost 25.33% since the beginning of this year. John Paulson holds more than $400 million in AA (check out Paulson’s top stock picks).
Apache Corp (APA): Apache, an independent energy company, explores for, develops and produces natural gas, crude oil and natural gas liquids. Cramer has 1,100 shares of APA in his charitable trust. APA has a market cap of 37.55B, a P/E ratio of 9.86, and it lost 21.71% since the beginning of this year. Jean-Marie Eveillard holds more than $400 million in APA.
Chevron Corp (CVX): Chevron is an American multinational energy corporation headquartered in San Ramon, California, and active in more than 180 countries. Cramer has 500 shares of CVX in his charitable trust. CVX has a market cap of 198.84B, a P/E ratio of 8.67, and it gained 8.33% since the beginning of this year. Phill Gross and Robert Atchinson hold the largest positions in CVX.
DuPont & Co (DD): DuPont offers agriculture and food, building and construction, electronics and communications, general industrial and transportation. Cramer has 500 shares of DD in his charitable trust. DD has a market cap of 43.34B, a P/E ratio of 12.89, and it lost 6.80% since the beginning of this year. Phill Gross and Robert Atchinson hold the largest positions in DD.
Ensco Plc (ESV): Ensco is a global offshore contract drilling company. Cramer has 2,100 shares of ESV in his charitable trust. ESV has a market cap of 11.22B, a P/E ratio of 16.96, and it lost 6.19% since the beginning of this year. David Einhorn also holds more than $200 million in ESV (check out Einhorn’s top stock picks).
Freeport McMoRan (FCX): Freeport-McMoRan is a copper, gold and molybdenum mining company. Cramer has 800 shares of FCX in his charitable trust. FCX has a market cap of 40.32B, a P/E ratio of 7.26, and it lost 29.29% since the beginning of this year. Ken Fisher holds more than $400 million in FCX.
Schlumberger NV (SLB): Schlumberger supplies technology, integrated project management and information solutions to the international oil and gas exploration and production industry. Cramer has 400 shares of SLB in his charitable trust. SLB has a market cap of 100.15B, a P/E ratio of 18.29, and it lost 12.03% since the beginning of this year. Ken Fisher holds more than $700 million in SLB (check out Fisher’s top stock picks).
iShares Gold Trust ETF (IAU): Cramer’s charitable trust purchased 1,000 shares of iShares Gold Trust ETF at the end of August. Cramer consistently recommends playing precious metals with ETFs. Cramer didn’t really recommend the mining companies recently, because they are prone to business blunders, bad management, significant overhead and more. Instead he recommended GLD. It may seem ironic that Cramer's charitable trust would purchase a position of the iShares Gold ETF when he repeatedly tells his viewers that the SPDR Gold Trust ETF (GLD) is the best way to play gold. But one reason for his lack of GLD in this portfolio could its the five-day trading restriction.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.