These are the Stocks Jim Cramer Thinks Would Do Well in a Hybrid World

According to CNBC’s Jim Cramer of “Mad Money”, several companies would do well in a ‘hybrid world’ as the COVID-19 pandemic eases.

The “Mad Money” host is recommending that investors expose themselves to the hybrid economy and has several stock ideas.

“We’re headed for a hybrid world where stay-at-home habits have staying power, but you also have the ability to go out and do things,” Cramer said. “You have to stick with the stocks that win either way.”

Cramer pointed out the following stock picks as hybrid plays:

Home Depot
Lowe’s
Walmart
Stanley Black & Decker
Williams-Sonoma
McCormick
Etsy

Out of all of these companies, all but only two have seen double digit gains this year and have even outperformed the broader market. Williams-Sonoma leads the group as its biggest gainer, seeing a move of over 75% in 2021.

Walmart and McCormick have both seen losses with the former down 3% and the latter down nearly 7% this year.

Cramer’s recommendations came after the S&P 500 eked out a record close on Wednesday.
“Get used to hearing the term “hybrid,” because we are not going to be living not in a free world or a lock down life, but in a hybrid world where stay-at-home habits have staying power, but the pull to go out, whether at work or at play, is a mighty imperative,” said Cramer.

He continued, “We’ve been playing a guessing game on Wall Street about what the consumer is going to do once she is vaccinated. I have been saying the game is futile, you have to go with habits that fit either scenario. I want to double down on that now with some new insights that make it more clear what can work and what can’t fully acknowledging the hedged bet position.”

Cramer explained, “Why am I so sure that things are going to be hybrid? First, I am relying on a gamut of executives not including Jamie Dimon, the CEO of JPMorgan (JPM) who acknowledged in his annual letter to shareholders that a mixed model is now with us.

Perhaps for good: “Some employees will be working under a hybrid model, e.g. some days per week in a location and the other days at home.”

He goes on to write “And a small percentage of employees maybe 10%, will possibly be working full time from home for very specific roles.”

Disclaimer: We have no position in any of the companies mentioned and have not been compensated for this article.