Almost Too Good: Cramer's 'Mad Money' Recap (Monday 2/8/21)

This market is so good, there are almost too many ways to make money, Jim Cramer told his Mad Money viewers Monday.

Cramer unveiled a list of seven great ways investors can make money in the stock market right now. But, he cautioned, investors need to pay close attention as this list could eventually turn into seven deadly sins.

The first way to make money is with stocks that benefit from a reopening economy. Everything from retail and restaurants to Boeing  (BA) - Get Report and Walt Disney  (DIS) - Get Report make this list. But Cramer warned that any reopening hiccups could derail this group.

The second bull market is in housing, as consumers flock to the suburbs and bigger home offices. The Achilles' heel for this group? Higher interest rates.

The next two ways to make money in the market were with the industrials and energy stocks. Manufacturing and oil production are on the mend, but Cramer cautioned that stretched valuations and increased oil production could hurt these groups.

The fifth bull market was in the banks. No, really. As long-term interest rates rise and economic activity picks up, the banks will thrive. But investors need to also keep an eye out for falling rates and the aforementioned economic hiccups that could disrupt this thesis.

The final two "heavenly" ways to make money are with empowered investors and special purpose acquisition companies, or SPACs. Cramer said new investors have proven to be a powerful force in the market, but they could easily be dissuaded. As for SPACs, this red-hot group is getting too hot and is the most worrisome trend on Cramer's list.

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Executive Decision: Aeva

In his first "Executive Decision" segment of the week, Cramer checked in with Soroosh Salehian, co-founder and CEO of Aeva, makers of LiDAR sensors for autonomous driving. Aeva will soon be coming public via merger with a SPAC.

Salehian, a former engineer at Apple  (AAPL) - Get Report, explained that current LiDAR technology is 3D-based, which means it uses pulses of light only to measure distances to objects. But Aeva's technology is 4D-based, which adds the critical component of velocity to the data.

Aeva's LiDAR technology, which boasts increased range and better handling of interference, is expected to hit the market in 2024, Salehian said.

Executive Decision: Veru

For his second "Executive Decision" segment, Cramer welcomed back Dr. Mitchell Steiner, chairman, president and CEO of Veru  (VERU) - Get Report, the oncology biotech with shares up 27.7% today on positive clinical trial data for its COVID-19 therapy. 

Steiner explained that Veru's cancer drug, Veru-111, was found to also be effective in treating COVID-19 patients in Phase II trials. He said the same therapies used to fight cancer have proven to have anti-inflammatory and anti-viral capabilities to help severe COVID patients.

Steiner added that the current standard of care for severe COVID cases is not very good and Veru hopes to work on top of existing treatments to ultimately provide better outcomes. The next step for Veru is to move quickly to Phase III trials to replicate the Phase II data, then work with the FDA toward approval which could come as early as year-end. 

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Executive Decision: Linde

For his final "Executive Decision" segment, Cramer checked back in with Steve Angel, CEO of Linde  (LIN) - Get Report, the industrial gas provider that's also making a big bet on green hydrogen.

Linde is seeing growth in all of its end markets. In healthcare, the company provides much needed oxygen to hospitals and health systems, Angel said. Linde's gases supported 1.6 million patients even before COVID and that number only continues to grow as the pandemic continues. Linde is also a provider of in-home oxygen services.

Linde's other end markets include aerospace, food and beverage, energy and even new technologies to capture carbon and convert it into dry ice.

Turning to the topic of green hydrogen, Angel explained that across the world, regulatory frameworks are being put into place to finally incentivize green hydrogen and put penalties on carbon. The cost of renewable energy is also falling, which now makes green hydrogen competitive with natural gas, opening up a world of possibilities.

Fix the Market Tech Issues Now

In his No-Huddle Offense segment, Cramer explained what he hopes to see from regulators after the Robinhood and Reddit revolutions in stocks like GameStop  (GME) - Get Report.

First, Cramer said regulators need an awareness of new investors that expect a free and fair market. The regulations and technology issues that forced Robinhood to succumb to financial pressures and limit trading needs to be addressed so that everyone has equal access.

Second, Cramer said regulators need a mission-driven response to the issues facing the market, not a witch-hunt after the fact. He said there need to be more controls on margin trading, short selling and options, all of which can magnify losses.

Finally, Cramer said there needs to be trust, not paternalism, in the investment world. The Robinhood crowd is smart, he said, and they deserve our trust.

Lightning Round

Here's what Cramer had to say about some of the stocks that callers offered up during the Mad Money Lightning Round Monday evening:

Advanced Micro Devices  (AMD) - Get Report: "This is a great manufacturer with a great CEO. Buy AMD."

Jacobs Engineering  (JEC) - Get Report: "I've never liked these construction companies. I like Vulcan Materials  (VMC) - Get Report and Martin Marietta Materials  (MLM) - Get Report."

Dycom Industries  (DY) - Get Report: "I think this company is terrific. Their end markets are very, very strong."

Green Brick Partners  (GRBK) - Get Report: "All of the home builders had a great quarter, but not these guys. Lennar  (LEN) - Get Report and PulteGroup  (PHM) - Get Report"

Alibaba  (BABA) - Get Report: "Alibaba is still on the top of my list. I just need it to come down $30 to $40 before we can pull the trigger."

Sherwin-Williams  (SHW) - Get Report: "I think this is a big winner and you should hold onto it."

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At the time of publication, Cramer's Action Alerts PLUS had a position in DIS, AAPL.