Jim Cramer’s 7 C.A.N.D.I.E.S. Growth Stock Buys: CMG, AAPL, NFLX, DECK, ISRG, ESRX, CRM

“Some stocks are like candy,” Jim Cramer said on his “Mad Money” TV show. “They’re sweet, and keep investors coming back for more.” Cramer said investors must be prepared for market losses. And the best way to do that – besides owning accidental high-yielders and staying diversified – is by holding positions in what he called the C.A.N.D.I.E.S. stocks.

Cramer mentioned that these C.A.N.D.I.E.S. are the best ways to survive the market’s recent sharp drops, since they rebound quicker than other stocks.

Cramer’s “sweet seven” stocks included the following: Chipotle Mexican Grill, Inc. (NYSE:CMG), Apple Inc. (NASDAQ:AAPL), Netflix, Inc. (NASDAQ:NFLX), Deckers Outdoor Corporation (NASDAQ:DECK), Intuitive Surgical, Inc. (NASDAQ:ISRG), Express Scripts, Inc. (NASDAQ:ESRX) and Salesforce.com, Inc. (NYSE:CRM). Currently, Cramer holds a position in Apple for his charitable trust.

He told viewers that all of these stocks have the one thing that market players can’t get enough of, and that’s growth. He said not only do these companies have growth, but they have growth that just keeps on going and going, trumping all but the most bullish analysts. Cramer has talked about all of these companies in recent months, except for Intuitive Surgical and Express Scripts.

Intuitive Surgical makes the da Vinci Surgical System, a robotic device that allows for minimally invasive surgeries that get people out of hospitals much faster. He said that initially he was skeptical about the future for ISRG, because the cost for their machines are very high. However, that hasn’t been the case. Uptake by hospitals has been very strong, despite the machine’s high cost, due to the fact it saves lives and patients’ time while saving and making hospitals money. ISRG might look expensive trading at 33 times next years earnings, but with a huge 25% growth rate and earnings estimates that look low, Cramer thinks its reasonable.

Express Scripts is looking great because dedicated health-care investors see it as one of the few pharmaceuticals-related plays that they can own. This is because the company keeps costs low and keeps drug prices down for health-maintenance organizations, businesses and unions that provide health care. The stock trades at 21 times earnings, but sports a 20% long-term growth rate.

Cramer said investors should buy these 7 stocks on weakness, slowing building a position as the share prices drop. He also recommended using deep-in-the-money call options on these stocks as well for those who feel comfortable trading them.

“Yes, C.A.N.D.I.E.S. are expensive,” Cramer said., “But they come back fast, come back hard and give you the confidence and the satisfaction needed to stay in the game.”    Get the scoop on tomorrow’s hottest trade ideas – TODAY! BeaconEquity.com PREMIER PICKS have an amazing track record. Join this select group and ride the profit wave!

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