Jim Cramer advises buying AES stock amid market concerns
- Jim Cramer recommended buying AES stock on CNBC's 'Mad Money Lightning Round,' calling it 'very inexpensive.'
- AES reported mixed second-quarter results, with earnings beating estimates but sales missing expectations.
- Cramer's analysis suggests a cautious approach to the market, highlighting opportunities in AES and Vertiv while expressing concerns about Hertz.
On CNBC's 'Mad Money Lightning Round,' Jim Cramer recommended buying AES stock, describing it as 'very inexpensive.' This endorsement came after AES reported its second-quarter earnings on August 1, which included a profit of 38 cents per share, surpassing analyst expectations of 37 cents. However, the company's sales of $2.94 billion fell short of the consensus estimate of $3.19 billion, indicating mixed financial results. Cramer also discussed Vertiv Holdings, which saw a 13% year-over-year increase in net sales, and he expressed concerns about Hertz Global Holdings after the company reported disappointing second-quarter results, including a revenue miss and a larger-than-expected earnings loss. Cramer’s analysis reflects a cautious approach to the market, particularly regarding companies like Hertz, while highlighting opportunities in AES and Vertiv. The stock market's reaction to these insights saw AES shares rise slightly, indicating investor interest in Cramer's recommendations despite the mixed earnings reports. Cramer’s commentary on NextEra Energy revealed his uncertainty about the company, suggesting a need for further investigation before forming a solid opinion. Overall, Cramer's insights provide a snapshot of the current market landscape, emphasizing the importance of thorough analysis in making investment decisions.