10 Cheap Jim Cramer Stocks to Invest In

3. The Goldman Sachs Group, Inc. (NYSE:GS)

Number of Hedge Fund Holders: 77

Forward P/E: 13.94

The Goldman Sachs Group, Inc. (NYSE:GS) is one of the 10 cheap Jim Cramer stocks to invest in. On June 11, BofA analyst Ebrahim Poonawala maintained a Buy rating on the stock with a price target of $700. The analyst highlighted GS stock as a strong candidate for a secular re-rating due to its ongoing shift toward a structurally higher return on equity, its ability to deliver superior and durable earnings per share growth, and its better-than-perceived resiliency in capital markets.

Poonawala also noted that Goldman Sachs (NYSE:GS) possesses a strong combination of scale and flexibility, which makes it an attractive investment at current levels. Moreover, at the Morgan Stanley US Financials, Payments & CRE Conference on June 11, CEO & President, Brian Thomas Moynihan, highlighted the firm’s 25 straight quarters of net new checking account growth in consumer banking. The retail business, which accounts for 70% of customers and 30% of balances, maintains average checking balances triple the industry standard.

Over the past decade, primary account usage increased from 60% to 90%, with notable gains in customer satisfaction. He added that Goldman Sachs’ (NYSE:GS) sales and trading revenue has increased year-over-year for 12 consecutive quarters, with the 13th expected.

Furthermore, on June 11, Cramer commented:

“I’ve tried to be skeptical of these three red hot areas, but as I told you last week, once the thing really takes off, you can’t be a scold. I’m not about you not making money, I’m about you making money. And the market’s saying, listen, these companies can raise some money, and I think you’re going to see scores more coming public. By the way, we own Goldman Sachs for the Charitable Trust; that’s another way to play it. The investment banks are eager to give it to them, and they know that there’s a thirst that can’t be slaked without more deals.”

Goldman Sachs (NYSE:GS) is a financial company that provides advisory, lending, investment management, and banking services across a wide range of asset classes and financial products, including services such as mergers and acquisitions advice, underwriting, credit solutions, investment strategies, and transaction banking.