Stock Market Today With Jim Cramer: Which Oil Stocks to Buy

U.S. stocks wobbled Monday, bond yields rose and oil hit its highest level in nearly three years, as investors bet on further economic reopening but remained concerned about supply-chain disruptions.

Jim Cramer and TheStreet Senior Portfolio Analyst Jeff Marks talked about his top picks in oil and infrastructure stocks.

Oil-Stock Picks: Chevron ‘Is Still Cheap’

Global energy prices were surging Monday, with oil hitting a three-year high, as a looming power crisis spreads from China to Europe.

Cramer said Chevron  (CVX) – Get Chevron Corporation Report, Devon Energy  (DVN) – Get Devon Energy Corporation Report, Pioneer Natural Resources  (PXD) – Get Pioneer Natural Resources Company Report, Diamondback Energy  (FANG) – Get Diamondback Energy, Inc. Report, Tellurian  (TELL) – Get Tellurian Inc. Report and ConocoPhilips  (COP) – Get ConocoPhillips Report were some of his picks for oil stocks in Monday’s market.

“Chevron, for a large-cap oil stock and dividend, is still cheap,” he said. “I think the world of Pioneer. Devon is my No. 1 name. I think it’s amazing how Devon is doing. Speculative is Tellurian, [a] $3 name. It’s important for people to have a speculative name. … Conoco did that incredible deal with Royal Dutch.  (RDS.A) – Get Royal Dutch Shell Plc Sponsored ADR Class A Report  (RDS.B) – Get Royal Dutch Shell Plc Sponsored ADR Class B Report It’s going to give them some tremendous leverage. And I think Diamondback because they now have the discipline. Devon will have an amazing dividend because they do a hybrid dividend.”

Infrastructure Stocks to Buy

House Speaker Nancy Pelosi has set Thursday for a floor vote on the $1 trillion bipartisan infrastructure bill. She had claimed the vote would happen only if she had the votes to pass it.

Cramer said buy Nucor  (NUE) – Get Nucor Corporation Report “aggressively” because it’s all-systems- go for infrastructure. Marks mentioned Martin Marietta  (MLM) – Get Martin Marietta Materials, Inc. (MLM) Report as a Cramer favorite. And Cramer also mentioned Cleveland-Cliffs  (CLF) – Get Cleveland-Cliffs Inc Report: “Sells at two times earnings.”

Nucor is a key holding in Jim Cramer’s Action Alerts PLUS investing club. Want to be alerted before Cramer adds or removes stocks from the portfolio? Learn more now.