Jim Cramer: SoundHound AI Doesn't Make Money, But This Consumer Cyclical Stock Is Going Higher

On CNBC's “Mad Money Lightning Round,” Jim Cramer said Hexcel Corporation (NYSE:HXL) is a “very good” company.

On the earnings front, Hexcel, on Oct. 22, reported quarterly earnings of 37 cents per share which met the analyst consensus estimate. The company reported quarterly sales of $456.200 million which beat the analyst consensus estimate of $443.412 million.

SoundHound AI, Inc. (NASDAQ:SOUN) doesn't make any money, Cramer said.

DA Davidson analyst Gil Luria, on Nov. 18, maintained SoundHound with a Buy and maintained a $17 price target.

When asked about Root, Inc. (NASDAQ:ROOT), he said, “No, you got to keep looking in something else. It's not going to do it for you.”

Root, on Nov. 5, reported quarterly losses of 35 cents per share which beat the analyst consensus estimate of losses of 48 cents per share.

Carvana Co. (NYSE:CVNA) is going higher, Cramer said. “I think Ernie Garcia has a better model than anybody else.”

Lending support to his choice, Bank of America Securities analyst Michael McGovern, on Dec. 8, maintained Carvana with a Buy and raised the price target from $385 to $455.

“I've taken a liking to it down here. I think you've got a buying opportunity in AES (NYSE:AES),” Cramer said.

Supporting his view, Argus Research analyst John Eade, on Dec. 5, upgraded AES from Hold to Buy and announced a price target of $18.

Price Action:

• Hexcel shares fell 0.1% to settle at $76.42 on Wednesday.
• SoundHound shares declined 0.8% to close at $12.21.
• Root shares rose 3.6% to settle at $83.52 on Wednesday.
• Carvana shares gained 2.5% to close at $467.67.
• AES shares fell 1.2% to settle at $13.80 on Wednesday.

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