Cramer Says TJ Maxx (TJX) Is The Retail Stock To Buy

Last night on Mad Money, Jim Cramer told investors that investors should look at retail stocks if the the Fed really continues to get aggressive. Cramer's favorite retail stock is TJ Maxx (NYSE: TJX) He says the retailer should profit from a slowing economy and aggressive rate cuts.

While other retailers were struggling, TJ Maxx reported an increase in December same-store sales and recently raised fourth-quarter guidance.

Cramer said that TJ Maxx has bought back $650 million worth of its stock and plans to purchase an additional $250 million by the end of this month. Also, he says TJ Maxx is undervalued, trading at just 13 times next year's estimates, and Cramer sees as much as 36% upside to TJX.

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