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This Utility Stock Is Up 100% This Year — Jim Cramer Is Now Recommending It As 'Cushion' Amid Recession Concerns

The equity market may have reached an inflection point as inflationary pressures ease, allowing scope for the Fed to shed its hawkishness. Against this backdrop, CNBC's "Mad Money" host Jim Cramer has a couple of stock recommendations from the defensive utility sector.

Utilities Work Either Way: Utility stocks do well when the economy is deteriorating and the "best of them" work even when the economy is doing fine, Cramer said on Tuesday.

See Also: Best Utility Stocks Right Now

The stock picker recommended buying shares of "steady-eddy" utility companies to portfolios, premised primarily on their dependability. He also underlined the "bountiful dividends" these companies offer, which could cushion any potential downside.

Cramer's Two Utility Picks: Cramer recommended Constellation Energy Corp. NYSE:CEG and Sempra NYSE:SRE from among the sector.

Nuclear-powered electric utility Constellation Energy was spun-off from Exelon Corp. NASDAQ:EXC earlier this year and began trading as a standalone public company on Jan. 19.

Offering his twin investment thesis on the stock, Cramer said nuclear energy is the best option for carbon-free energy production in a reasonable timeframe and that funds looking for ESG plays will pile into it.

Cramer's preference for Sempra stems from a trio of factors -- its wide natural gas pipeline network, reasonable price and CEO Jeff Martin's strong leadership.

Constellation Energy has gained 118% since its mid-January listing and Sempra has added a little over 27% year-to-date.

Price Action: Constellation Energy ended Tuesday's session down 0.04%, at $90.84, and Sempra closed 0.53% lower, at $164.66, according to Benzinga Pro data.

Read Next: Hunting For Dividend Yield In Utilities? This Small Cap Name Can Light Up Your Portfolio

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