17 Stocks on Jim Cramer’s Radar

5. Waters Corporation (NYSE:WAT)

Number of Hedge Fund Holders: 33

Waters Corporation (NYSE:WAT) is one of the stocks on Jim Cramer’s radar. During the episode, Cramer discussed the company’s performance post-Becton Dickinson deal. He said:

“Any one of the majors will be thrilled to snap some of these brands because there’s very little organic growth in the industry. The only way you can have any growth is buy it. Alright, now, how about this merger today between Becton Dickinson, this was the Life Science and Diagnostic division, which had been shopped extensively, and Waters, a really strong company, we’ve had them on, a dominant player in exactly those fields.

The deal was done in a very confusing Reverse Morris Trust way, which is one of those tax-saving situations that the Street almost always hates, but the CEOs think it’s so smart, and they hate it because they aren’t easy. They’re, they’re not clean. The merger was greeted with horrors for Waters, which saw its stock plunge 13.5%. That’s part of the greeting. It shouldn’t have been down that much, but people didn’t understand it.”

Waters (NYSE:WAT) provides analytical instruments and software for applications in chromatography, mass spectrometry, and thermal analysis. The company’s solutions support research, quality assurance, and testing across pharmaceutical, environmental, and industrial sectors.