Jim Cramer on Qnity Electronics: “I Think the Company, Which Sells Materials for Semis, Is Fantastic”

Jim Cramer reviewed Qnity Electronics, Inc. (NYSE:Q) while breaking down 16 stocks for a market facing higher energy costs and economic uncertainty. During the lightning round, a caller asked if Cramer thinks the company is a rising star, and he said:

Yes, it is… And thank you for noticing this. This is a big club holding because it was part of the Dupont spin. And I think that it is still inexpensive at 30, 31 times earnings. You are a shrewd observer of what we’re buying and what’s going on. I think the company, which sells materials for semis, is fantastic.

A laptop and a computer monitor display a detailed stock market technical analysis chart. Photo by Jakub Zerdzicki on Pexels

Qnity Electronics, Inc. (NYSE:Q) provides materials and chemical solutions used in the manufacturing of semiconductors and electronic components. During the March 2 episode, Cramer highlighted that it has become one of his “favorite new stocks,” as he stated:

In seventh and eighth places, we’ve got two semiconductor-related names, Teradyne, up 32.8%, and Qnity Electronics, up 31.8%. Teradyne is a semiconductor test and measurement play, while Qnity Electronics is a recent DuPont spinoff, another big Charitable Trust holding, makes materials that are used to produce semiconductors, including some of the most advanced chips out there. While many areas of tech are suffering, the semiconductor complex has been doing terrifically.

In fact, Qnity has become one of my favorite new stocks. Long buried within DuPont and underappreciated, this business is finally getting the attention it deserves as an independent entity that’s in the materials business. Last week, the company reported a blowout quarter. It’s been an incredibly successful breakup for Qnity, also has been for DuPont, which has been performing very well since the spinoff. That’s legacy, DuPont.

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