There are few things CNBC’s Jim Cramer likes more than a broad-based rally, and often times, unknown stocks are the ones driving the gains.
“At a time when so many stocks have come up so far so fast, I think it’s worth calling attention to these stealth out-performers that, in many ways, are far more emblematic of this advance than a Facebook or a Netflix or an Alphabet,” the “Mad Money” host said.
One such stock is LKQ Corporation, a little-known $11 billion auto parts giant that distributes alternative and specialty car parts. Many of its products are recycled from car accidents.
With shares up 33 percent since April, LKQ has been quietly building up its business, making a series of strong, international acquisitions and integrating them well.
The company has purchased a number of European auto parts players just in time for the continent-wide economic rebound, giving it the scale and bargaining power to negotiate with suppliers.
“The bottom line? I love this kind of story. It’s meat and potatoes. LKQ is exactly the kind of quiet, unheralded, under-the-radar winner that makes this market so powerful. I think it deserves more credit. That’s why I’m sponsoring it and why I’m pounding the table,” Cramer said. “Given the strength of the numbers and the stock’s cheapness, I bet the completely anonymous LKQ has a lot more room to run. Sure, I’d like it on a pullback. That’ll give you a chance to get to know the company, not just the initials, before you take the plunge.”