5 Jim Cramer Stock Picks This Week

3. S&P Global Inc. (NYSE:SPGI)

Number of Hedge Fund Holders: 90

S&P Global Inc. (NYSE:SPGI) provides credit ratings, benchmarks, analytics, and workflow solutions in the global capital, commodity, and automotive markets. On December 20, Jim Cramer said in his Mad Money show, which was aired on CNBC, that banks were all in the negative territory for the year, down more than 27%. He added that they should have done much better, singling out S&P Global as one of those that had done better heading into 2023. 

On December 2, Morgan Stanley analyst Toni Kaplan maintained an Overweight rating on S&P Global Inc. (NYSE:SPGI) stock and raised the price target to $390 from $378 post the investor’s day meeting where management introduced 2023 and 2025-2026 financial targets.

Among the hedge funds being tracked by Insider Monkey, London-based firm TCI Fund Management is a leading shareholder in S&P Global Inc. (NYSE:SPGI) with 8.8 million shares worth more than $2.7 billion. 

In its Q3 2022 investor letter, Baron Funds, an asset management firm, highlighted a few stocks and S&P Global Inc. (NYSE:SPGI) was one of them. Here is what the fund said:

“Shares of rating agency and data provider S&P Global Inc. (NYSE:SPGI) fell 9% during the third quarter due to continued weak debt issuance activity and headwinds to the Indices business from equity market declines. Credit markets were exceptionally soft during the quarter with non-financial corporate bond issuance down 36% for investment grade and down 84% for high yield, reflecting greater investor risk aversion, rising interest rates, and a drop-off in M&A activity. We believe this ratings weakness is temporary and diversification benefits from the acquisition of IHS Markit should support earnings growth next year. Over the long term, the company should continue benefiting from the secular trends of increasing bond issuance, growth in passive investing, and demand for data and analytics, while enjoying meaningful and durable competitive advantages that, in our view, are only strengthening following the merger with IHS Markit.”