In this article, we will look at Jim Cramer’s latest Mad Money recap as he provided insights about 15 stocks.
The host of Mad Money, on Friday, March 20, walked through what he is watching in the markets after a turbulent stretch of trading:
We’ve just come through an awful week, and you know what’s the worst thing about it? The S&P 500 is still only down less than 5% for the year, with a forward price to earnings ratio that is still north of 20, which is relatively rich versus this current backdrop. In other words, we aren’t cheap, and we aren’t down a lot yet. That makes it hard to take a big swing. We just don’t want to look back and say, what were we thinking?… Feels like a tremendous time to sell, right? Not to buy. Now, I can’t blame anyone who wants out. The idea that this moment can drag on for months is terrifying.
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Cramer went on to say that there will be clarity around the specific issue driving the market lower, though he mentioned there is no way to know when that turning point will arrive. He said that until then, stocks could continue to slide, which creates risk for anyone staying invested. However, he emphasized that stepping out carries its own dangers. He said, “It’s about taking pain until there’s a resolution.”
And if you leave now, you’re betting, like all the other miserable times in the market that we’ve seen, you’ll be able to get right back in before the stocks rebound… The market, it could fall 5, 10, it could even fall 15% if things totally spin out of control because of oil. It’s a possibility, especially if we bring in ground troops next week. But to pull your money out now simply because we aren’t down that much, history says you should have a better reason than that. It’s been a bad call for every correction except one, the Great Recession. And as bad as this oil shock is, it doesn’t come close to the financial crisis that rocked our country and closed some of the biggest companies that we’ve ever known.
Our Methodology
For this article, we compiled a list of 15 stocks that were discussed by Jim Cramer during the episode of Mad Money aired on March 20. We listed the stocks in the order that Cramer mentioned them.
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 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
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15. NVIDIA Corporation (NASDAQ:NVDA)
NVIDIA Corporation (NASDAQ:NVDA) is one of the stocks highlighted in Jim Cramer’s latest Mad Money recap as he provided top stock insights. Cramer mentioned the company’s valuation, as he commented:
Why did we put money to work for the Charitable Trust yesterday, but nothing today? Because investing purely on the basis of being a contrarian is not something that can get you too far. You need a meaningful catalyst to turn things around, and you need to be even more oversold than we currently find ourselves to put more money to work. Let me give you a classic example, NVIDIA. Now here’s a company, the largest company in the world, which currently has a price-to-earnings multiple that’s actually lower than Sherwin-Williams. That’s right. One of the fastest-growing, wealthiest, best-run enterprises in history has a stock that’s now cheaper than a paint company. But you know what, that could be until Monday when it turns out that it’s even cheaper still. That’s the problem with contrarian investing. It can get even more contrary as the market continues its way down.
NVIDIA Corporation (NASDAQ:NVDA) develops accelerated computing and AI platforms, GPUs for gaming and professional use, cloud services, robotics and embedded systems, and automotive technologies.
14. Conagra Brands, Inc. (NYSE:CAG)
Conagra Brands, Inc. (NYSE:CAG) is one of the stocks highlighted in Jim Cramer’s latest Mad Money recap as he provided top stock insights. Toward the end of the lightning round, responding to a caller’s question about the stock, Cramer said:
Conagra’s tough. I never buy a stock just for its yield. Conagra’s got a big yield, but I don’t want to go there.
Conagra Brands, Inc. (NYSE:CAG) makes packaged foods, including pantry staples, frozen meals, and snacks. Some of its well-known brands include Marie Callender’s, Slim Jim, Birds Eye, and BOOMCHICKAPOP. Cramer mentioned the stock during the March 12 episode and said:
Conagra’s been a nightmare of a stock, even as the company’s put together a terrific family of brands, navigated a tough situation as best it could. At the same CAGNY conference I just referenced, Conagra reaffirmed guidance, but still said it sees full year sales at +1 to -1%. Not enough to get anyone excited. A year ago, Conagra was a $26 stock. Now, it’s a $16 stock. Sure, it has an 8.25% yield, but only because the stock’s been beaten down to such a low level, not because it keeps boosting its payout by leaps and bounds.