Jim Cramer on Kroger: "It Did Something Radical"

The Kroger Co. (NYSE:KR) is one of the stocks Jim Cramer put under the spotlight. Cramer was bullish on the stock, as he commented:

“Now, let’s keep going with How to Make Money in Any Market because it’s really important because when I say how to make money in any market, we’re talking about this market. Sometimes you just want to wait for the stock of a company that’s made a significant change, and then you get a chance to buy it at a cheap price because the market’s throwing a sale. Take Kroger, giant food store, right, giant grocer.

It opened almost unchanged today, even as it did something radical. It surrendered much of its e-commerce delivery business to DoorDash, Instacart, and Uber. It took a $2.6 billion impairment charge to account for the money that it already invested in its e-commerce infrastructure. Stock temporally sold off in response. People freaked out, giving you a nice discount before it recovered. Finished the session almost up 2% as people realized that Kroger’s doing something smart here. I bet it goes higher again tomorrow. Great opportunity.”

The Kroger Co. (NYSE:KR) operates grocery and general merchandise stores that provide food, pharmacy, household items, and fuel.

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Disclosure: None. This article is originally published at Insider Monkey.