Cramer Prefers Chevron and EQT Over BP on Mad Money

Jim Cramer told Mad Money viewers that BP (NYSE:BP) is a fine oil stock but that he prefers Chevron and EQT. "If you want to own an oil company, I think it's fine," Cramer said. "I prefer Chevron on the large, and I prefer EQT on the smaller side." The comments came during a segment on a difficult market backdrop.

BP carries an AlphaScala score of 60 out of 100, a "Moderate" label. Chevron scores 52 (Mixed) and EQT scores 45 (Mixed). Cramer's preference for the larger integrated Chevron and the pure-gas EQT over BP reflects a split between size and exposure. BP's strategy rests on a bet that Brent crude will average $91 a barrel by 2026 to drive its debt reduction, as an earlier analysis noted.

The divergence in AlphaScala scores suggests the market already prices BP's larger portfolio risk alongside its debt targets. Chevron's score is close but lower, while EQT's lower score partly reflects its pure-gas profile, which sees higher price volatility.

Cramer offered no specific price targets for either stock during the segment.