In this piece, we will look at the stocks Jim Cramer recently discussed.
In a recent appearance on CNBC’s Squawk on the Street, Jim Cramer discussed recent stock market performance that saw six consecutive record closes in a row. Cramer shared that bullish market news, such as mergers in railroad companies, was driving stocks higher even though some firms had reported disappointing earnings. He also commented that the bullishness meant that other sectors might also perform well:
“No I mean look what’s amazing is this that we have a sea of green even though we’ve just been through some serious declines. And some of that, is David’s world. I mean you sit there and you say, wait a second, Norfolk Southern, Union Pacific, and then you got Chart Industries, that’s another deal that would never be done in the old regime. And then you start thinking, wow, the medium sized banks are going to be doing well. . .so you’ve got M&A versus some isolated earnings misses.”
Our Methodology
To make our list of the stocks that Jim Cramer talked about, we listed down the stocks he mentioned during CNBC’s Squawk on the Street aired on July 29th.
For these stocks, we also mentioned the number of hedge fund investors. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
12. Norfolk Southern Corporation (NASDAQ:NSC)
Number of Hedge Fund Holders In Q1 2025: 49
Norfolk Southern Corporation (NASDAQ:NSC)’s shares fell by 3% after Union Pacific announced that it would acquire the firm. Mergers in the railroad market have been a regular feature of Cramer’s morning show, as he and co-host David Faber were the first to discuss them. Here’s what Cramer said after news of the deal broke:
“Well what’s incredible if you look at the actual rails, it makes so much sense. There’s so little overlap. You wanted East-West. It’s [inaudible] be great thing. There is tremendous congestion, where the two in the Midwest, in Chicago area, it’s so, I don’t see a lot of the overlap that would make you not like it. I think that, if you were a regulator in the previous regime, you might say, you know what, these two will never compete if we let them merge. So we can’t let them merge because now they won’t go against each other. But the fact is, they were never going to go against each other. That’s not, the rails, stop doing that years ago.
“This is a deal where you just would never have seen it. . .I think that they have a feeling that this one’s gonna go. Don’t matter what [inaudible] get it. And, I would argue that if you think there’s going to be big reindustrialization, Carl, you do want it. It makes sense to have this type of seamless rhythm. The rails are, look I think we all wish that we didn’t, that we had more rails in the country, they’re much cleaner, 400 miles to the diesel gallon. You could argue that other countries have them in a much more you, in a superb way, and we’re a little disjointed, This makes a lot of sense.”
11. Union Pacific Corporation (NYSE:UNP)
Number of Hedge Fund Holders In Q1 2025: 85
Union Pacific Corporation (NYSE:UNP)’s shares, like those of Norfolk Southern, dipped by a little over 2% after it announced that it would take over the latter. Investors were worried about the deal’s financing affecting the firm’s income statement and balance sheet. Here’s what Cramer said about the deal:
“Well what’s incredible if you look at the actual rails, it makes so much sense. There’s so little overlap. You wanted East-West. It’s [inaudible] be great thing. There is tremendous congestion, where the two in the Midwest, in Chicago area, it’s so, I don’t see a lot of the overlap that would make you not like it. I think that, if you were a regulator in the previous regime, you might say, you know what, these two will never compete if we let them merge. So we can’t let them merge because now they won’t go against each other. But the fact is, they were never going to go against each other. That’s not, the rails, stop doing that years ago.
“This is a deal where you just would never have seen it. . .I think that they have a feeling that this one’s gonna go. Don’t matter what [inaudible] get it. And, I would argue that if you think there’s going to be big reindustrialization, Carl, you do want it. It makes sense to have this type of seamless rhythm. The rails are, look I think we all wish that we didn’t, that we had more rails in the country, they’re much cleaner, 400 miles to the diesel gallon. You could argue that other countries have them in a much more you, in a superb way, and we’re a little disjointed, This makes a lot of sense.”
Hedge Fund Resource Center