Jim Cramer Recommends Buying This Energy Stock: It Is ‘Too Cheap’

On CNBC’s “Mad Money Lightning Round,” Jim Cramer recommended buying Kinder Morgan (NYSE:KMI), noting that the stock is now undervalued. “It’s come down, and it shouldn’t have. It sells at 19 times earnings; that’s too cheap,” he added. RBC Capital analyst Elvira Scotto, on Sept. 22, maintained Kinder Morgan with a Sector Perform and raised the price target from $35 to $36. “You have to accept the fact that the next move is down. If you can handle that, you can do it and then buy it. But you have to accept that,” Cramer said when asked about StandardAero, Inc. (NYSE:SARO). B of A Securities analyst Ronald Epstein, on Sept. 17, maintained StandardAero with a Neutral and lowered the price target from $35 to $27. MPLX LP (NYSE:MPLX) is a “stock that yields 7.6%, and it can cover that dividend and then some. That’s the kind of thing I’m looking for: an oil play that gives you a good yield, Cramer said. On the earnings front, MPLX is scheduled to host a conference call on Tuesday, Nov. 3, to discuss third-quarter financial results. When asked about POET Technologies (NASDAQ:POET), Cramer said he is not recommending stocks that are losing money. POET Technologies beat estimates on both revenue and earnings in its second-quarter report on Aug. 13 and disclosed new customer orders tied to its optical chip business. See More: Top Value Stocks Price Action MPLX shares fell 1.3% to settle at $56.32 on Wednesday. POET Technologies shares declined 2.5% to close at $7.48 during the session. Kinder Morgan fell 1% to settle at $30.15 on Wednesday. StandardAero shares fell 1.8% to close at $21.35. Photo via Shutterstock