China is easing COVID restrictions after two months of lockdown, which, as per Jim Cramer, warrants buying a bunch of U.S. stocks.
Cramer says Nike Inc will benefit
A name that particularly pops out to him is Nike Inc (NYSE: NKE) that gave somewhat of a downbeat guidance last night. Still, Cramer said on CNBC’s “Squawk on the Street”:
Nike is doing underpromise, overdeliver. I believe they’ll have an outstanding next three months in China. They have the right inventory too. I think people selling Nike Inc here are going to regret it. It’s very rear-view.
Even with China in lockdown, the sports apparel and footwear company reported better-than-expected results for its fiscal fourth quarter. Wall Street, on average, sees a 35% upside in Nike shares.
Cramer recommends buying Disney
Another big cap name that Cramer is convinced will benefit from China coming back online, is the Walt Disney Co (NYSE: DIS) that’s down just under 40% versus the start of 2022. He said:
Chinese have been locked up. I think they’re pent up to go out. They want to go to the Disney World. Chapek is a parks guy. Disney right now is the most hated stock in the world and yet that’s the one I think could be the best.
The multinational’s Disneyland in Shanghai is set to reopen this Thursday. A few of the other names Cramer likes to play “China” right now include Starbucks and Yum China.
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Source: https://invezz.com/news/2022/06/28/jim-cramer-buy-these-stocks-to-play-china-reopening/