Jim Cramer on Sempra Energy stock: ‘I would buy that’

Sempra Energy (NYSE: SRE) has recovered roughly 20% since mid-June but famed inventor Jim Cramer is convinced the stock is not out of room to run just yet.

Cramer’s bull case for Sempra Energy stock

Cramer expects the energy infrastructure company to benefit as the United States executes on its commitment to help Europe minimise its reliance on Russian energy. On CNBC’s “Squawk on the Street”, he said:

Cramer’s outlook is in line with Wall Street that recommends that you buy the Sempra Energy stock as it has upside to as much as $204 a share or another 20% from here.

Sempra is also active in clean energy

The California-based company is investing aggressively in the clean energy infrastructure that makes it a great pick for investors interested in playing the “global energy transition” as well. Cramer added:

Other than Europe, Sempra Energy is also playing a key role in the development of critical energy infrastructure projects in Mexico.

Earlier in August, the NYSE-listed firm reported its results for the fiscal second quarter that handily topped Wall Street estimates. The stock currently pays a dividend yield of close to 3.0%.