Jim Cramer, yesterday on CNBC‘s ‘Mad Money has discussed two of his favorite financial picks: Bank of America Corp (NYSE:BAC) and American International Group Inc (NYSE:AIG). Both companies show strong potential after revealing muscles in their numbers and appealing curves on their stock’s valuation graphs.
“Our base is a little bit lower on this so we don’t wanna add, but I think Bank of America is going to $18, and I don’t think it goes there in a straight line because this is so many shares, but I think it goes to $18 and that’s very good news and you wanna be there,” said Jim Cramer.
Bank of America Corp (NYSE:BAC) sells at little below $17, up almost 1% today, so it’s not a long way that’s left. Taking a look through the company’s second quarter financial report also hints at a blissful future, at least in the short term. The company had a record Total Period-end Deposit Balances of $1.13 trillion, 5% more than second quarter 2013 and Global Wealth and Investment Management reported a record of $4.6 billion in sales.
American International Group Inc (NYSE:AIG) stands to compete in benevolent announcements with the former company as it announced $1.8 billion after tax operating income attributable to American International Group Inc (NYSE:AIG), that is $1.25 per diluted share. The cumulative net income of the company rose $400 million compared to the second quarter 2013 and reached a value of $3.1 billion.
“[…] We think rates are only going to head higher and the quarter was absolutely terrific and we think that the company has tremendous momentum,” stated Jim Cramer.
Compelled with these details it’s no wonder that they sold Hartford Financial Services Group Inc (NYSE:HIG) and piled the multinational insurance corporation’s shares. Unfortunately, no predictions regarding the price fluctuations have been made, thus there’s no clear idea how long the fruitful period will last for American International Group Inc (NYSE:AIG).