Cramer reveals 5 health-care stocks he likes right now

Cramer’s favorite of the group was HCA Holdings, a for-profit health-care facility operator with a stock that has run 54 percent year to date.

Calling HCA’s stock “a steal” at its current $135.50 level, Cramer explained the thesis behind investing in HCA, which operates about 300 hospitals and surgery centers in densely populated and growing metropolitan areas.

“These are areas where the consumer is feeling more affluent, and when people have more money in their pockets, they pay up for health care,” he said. “Even though I’m worried about a Fed-mandated slowdown here, employment remains very strong and that’s what matters for HCA, which is why the company had very strong volume growth this year, with patients getting more expensive procedures.”

Moreover, HCA has a good balance sheet and a smart management team, not to mention a potential political tailwind, Cramer said.

“Just as Republicans are a party of tax cuts, Democrats are the party of spending more on health care,” so a blue wave in November could be good news for HCA, he said. “Best of all, HCA is absurdly cheap. I can’t believe, even after this run, [that] it sells for just 13.5 times next year’s earnings estimates. The company reports in two weeks. I bet you’ll like what HCA has to say.”

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