We recently published a list of Jim Cramer’s Game Plan: 9 Stocks in Focus. In this article, we are going to take a look at where Chewy, Inc. (NYSE:CHWY) stands against other stocks that Jim Cramer discussed.
Jim Cramer, host of Mad Money, reviewed the most significant market events for this week on Friday, including earnings reports from various companies. He also pointed out that Wall Street’s anxiety is expected to persist as uncertainty over tariff policies continues.
“Looking forward to next week for a game plan, I’m focused on the unrelenting negativity and how it’s bringing about real but ignored values, ignored because it’s very hard to buy stocks ahead of the tariffs and a Fed that’s no longer willing to help by cutting interest rates, at least for the moment.”
READ ALSO: 9 Stocks on Jim Cramer’s Radar and Jim Cramer Discussed These 10 Stocks Recently
Cramer highlighted that on Thursday, pending home sales will be reported, which could offer a clearer picture of the housing market’s current state. He mentioned that while some companies are reporting troubling signs, it is important to assess whether these are isolated issues or part of a broader slowdown in the housing market.
The data could provide the much-needed clarity that the Federal Reserve cares about, especially since there is a lot of uncertainty surrounding the housing sector. In addition to the home sales data, Cramer pointed out that personal consumption expenditure (PCE) numbers will also be released on Thursday. He said that the PCE is the Federal Reserve’s preferred measure of inflation, but Cramer noted:
“Unfortunately, hasn’t been a good one. Sentiment … seems to be turning south.”
Although, he admitted that it is hard to say for certain. The global geopolitical concerns are contributing to this uncertainty, but Cramer stressed that hard data to support this shift in sentiment is still lacking. Cramer also mentioned that he is especially looking forward to the University of Michigan Consumer Sentiment Index, which is set to be released on Friday. The data could provide valuable insight into the public’s mood, and if the numbers are significantly negative, it would confirm the downtrend he has been seeing in the market over the past few weeks.
“So here’s the bottom line: There’s a lot going on next week, but until we get some resolution on the trade front, you need to expect more uncertainty, more volatility like we saw today. There’s just too much negativity, and for the moment it seems impossible to fight it. Although when it gets extreme for no reason as it did this morning, you still have to pounce if only for a trade.”
Our Methodology
For this article, we compiled a list of 9 stocks that were discussed by Jim Cramer during the episode of Mad Money aired on March 21. We listed the stocks in the order that Cramer mentioned them. We also provided hedge fund sentiment for each stock as of the fourth quarter of 2024, which was taken from Insider Monkey’s database of over 1,000 hedge funds.
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).
A close-up shot of a store shelf stocked with pet food and supplies.
Chewy, Inc. (NYSE:CHWY)
Number of Hedge Fund Holders: 48
Highlighting Chewy, Inc. (NYSE:CHWY) as he laid out his game plan for this week, Cramer said:
“Be sure to pay attention to Chewy when it reports on Wednesday morning. This online pet food stock, store has been going strong now for the last two quarters ever since they called the bottom on Mad Money. They’re crushing it.”
Chewy (NYSE:CHWY) is an online retailer that provides a broad selection of pet products, including food, treats, supplies, medications, and services for pets like dogs, cats, and reptiles. Back in January, when a caller asked about ELAN stock, Cramer steered them toward CHWY as he said:
“Not my favorite. I do think that the pet… Look, I like Chewy. I know that’s a pedestrian way to look at things, but I think that Chewy is the better bet for this group.”
Overall, CHWY ranks 7th on our list of stocks that Jim Cramer discussed. While we acknowledge the potential of CHWY as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CHWY but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.