In troubling economic times, what are the best stocks to pick? That is, which are the companies you can most count on? According to “Mad Money” host and bestselling financial advisor Jim Cramer, direct selling companies are hands down the way to go.

So says a piece Cramer aired last Friday, March 14. Here is a summary, titled “Recession-Proof Stocks” and posted by CNBC’s Tom Brennan on the CNBC site:

“Not every company struggles during a recession. In fact, direct sellers like Avon tend to do quite well. As cost cutting forces employees out of traditional jobs, the company’s door-to-door sales force swells in number. 


“Not to mention, direct sellers enjoy high gross margins, low capital intensity and lots of free cash flow. And there’s plenty of room for growth here, as Avon and peers like Herbalife and Tupperware expand overseas. The weak dollar benefits all three companies, Cramer said, in markets with no real competitors.

“So who’s the best in the group? Cramer said he leans toward Tupperware. The stock’s up 6% since Jan. 30 despite this difficult market, which might be no surprise considering 85% of TUP’s business is international. Even still, Tupperware’s pulled back 10%, leaving investors a great opportunity to buy in.”

Thanks, Cramer.