Jim Cramer: Buy Avnet, Sell Caterpillar, and 2 More Stock Picks

Jim Cramer made the following calls on October 24. What do you think about his picks?

Avnet Inc. (NYSE:AVT): Jim Cramer ranked this stock a Buy. Cramer previously ranked this stock a Buy on August 13. The stock’s 52-week high is $41.77, and its 52-week low is $25.41. Cramer sat down with Rick Hamada, the CEO of Avnet, which posted mixed results for the third quarter: it beat earnings expectations but missed on its revenue target. Hamada said that the technology sector of today’s world truly embodied the meaning of the statement “innovate or die,” saying that it is constantly in flux and ready to leave behind companies that do not adapt. Cramer said that he continues to recommend Avnet, which began the payment of a regular dividend this past quarter.

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Caterpillar Inc. (NYSE:CAT): Jim Cramer ranked this stock a Sell. Cramer previously ranked this stock a Sell on October 23. The stock’s 52-week high is $99.70, and its 52-week low is $79.49. Cramer tackled the topic of how Caterpillar could continue to tank despite releasing an earnings report that did not completely fail, given investor expectations. Cramer explained the matter by saying that well-run and well-positioned companies stand to get better reactions to their earnings reports than firms that do not have that advantage; in that way, Caterpillar remains a sell independent of the results that it put up during the third quarter, in Cramer’s eyes.

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Cummins Inc. (NYSE:CMI): Jim Cramer ranked this stock a Buy. Cramer previously ranked this stock a Buy on August 29. The stock’s 52-week high is $134.29, and its 52-week low is $85.88. Cramer was a fan of the manufacturer of engines and power systems, saying that the company compared favorably with names such as Caterpillar. He also mentioned Cummins as an excellent way to play the success of Chinese markets.

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CVR Refining (NYSE:CVRR): Jim Cramer ranked this stock a Sell. Cramer previously ranked this stock a Buy on June 11. The stock’s 52-week high is $35.98, and its 52-week low is $24.50. Cramer was not a fan of CVR Refining, going back on his buy recommendation from earlier this summer. He said that the company’s yield just isn’t sustainable, and that it was time to jump ship from the company.

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