Jim Cramer: this discount retailer is a good pick for recession

Shares of Dollar General Corp (NYSE: DG) are down about 5.0% for the year, but CNBC’s Jim Cramer still sees a good reason to own this stock.

What’s there to like in Dollar General

His remarks are interesting considering the discount retailer only recently reported weak results for its fiscal Q4, and offered tepid guidance for the current quarter. Explaining what’s there to like in DG on Mad Money, Cramer said:

The Tennessee-headquartered company is targeting 1,110 new store openings in its fiscal 2022.

Dollar General recently raised its dividend

More than anything, however, the famed investor likes Dollar General Corp because it’s a suitable pick for times when there’s talk of a recession. He noted:

Dollar General is keeping its prices firm at $1.0 despite record inflation, which Cramer says is a great long-term strategy for customer acquisition.