Nordic American Tanker (NAT) Stock Rockets On Cramer Talk

Nordic American Tanker NAT Stock News

Nordic American Tanker Ltd (NYSE: NAT) is running for the top in the market this morning, trading on gains of well over 10% early in the premarket hours. So, what’s the deal? The company’s CEO had a discussion with Jim Cramer on CNBC, leading to the excitement. Here’s what’s happening:

Stop wasting your time! Start finding winning trades in minutes with Trade Ideas!

Jim Cramer Discussion Sends NAT Stock For The Top

Just having a discussion with Jim Cramer isn’t necessarily going to send a stock up or down, but what was said during the discussion has investors excited about Nordic American Tanker. So, what was said.

In the short video, avialable at the link above, Cramer started by priming the audience about what’s happening with oil. The truth is that oil is trading at incredibly low prices. Essentially, those producing the oil are giving it away for about what it costs to produce.

That’s not good business of course. So, many companies are looking for storage. The only problem is that with such vast oil production around the world, everyone is looking for the same storage options. Unfortunately, this means that there’s not many places to store your excess oil at the moment.

This is where NAT stock comes in. With oil storage facilities being at their peak and not many other places to store excess oil, the oil tanker market is exploding. In fact, these tankers are being rented for nothing more than big storage tanks for companies looking for places to keep their oil safe until the market rebounds.

Not only are producers and investors looking for places to store their oil, due to the incredibly high demand for storage, oil tanker companies like NAT now have the ability to charge more money to use their ships as storage than they would charge to move oil from one place to another. So, not only is the company making more money, they are doing so with less expenses, leading to great improvements in its balance sheet.

So What’s Next?

There’s no surprise that Nordic American Tanker is doing so well at the moment. It’s the company with the largest oil tanker fleet in the world and the stock has doubled over the past month.

However, if Cramer is right, the gains are far from over. Companies and investors alike will continue looking for storage options for their oil until the lockdown is over and oil begins to rebound in value. In the meantime, NAT and stocks like it will likely benefit greatly!

Stop wasting your time! Start finding winning trades in minutes with Trade Ideas!

Don’t Miss The Next Big Story

Join our free mailing list below to receive real-time news alerts.

Subscribe Today!

* indicates required

Leave a Reply

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.