In this article, we will take a detailed look at Jim Cramer and Ken Fisher Love These 10 Stocks. If you want to skip our detailed analysis and see the top 5 stocks in this list, click Jim Cramer and Ken Fisher Love These 5 Stocks.
Billionaire Ken Fisher’s Fisher Asset Management recently disclosed its holdings for the first quarter of 2024. The fund has about $214 billion in managed securities. Most of the fund’s portfolio is allocated to stocks from tech, financials, consumer discretionary and healthcare. Fisher recently talked about his favorite stocks in an interview with Bloomberg, in which he said that energy, healthcare and high-end consumer luxury goods are among his favorite sectors. But why the top holdings of Fisher’s fund are from technology? That’s because Fisher thinks we are not in a bubble. Fisher said that when top quality companies are making new highs with their stocks, backed by profits and revenue growth, you shouldn’t be worried about a bubble.
How to Spot a Bubble According to Billionaire Ken Fisher
Fisher has a formula to know when we are in a bubble. Watch our coverage of this topic here to see how to spot a bubble according to Ken Fisher.
Individual Stocks VS ETFs: Fisher’s Advice
In a latest talk on his YouTube channel, Ken Fisher answered a question about investing in individual stocks versus ETFs. Fisher said there’s nothing stopping individual investors from investing in individual companies, while investing in broader market, passive funds is also “feasible” for many. But Fisher advised investors to always invest in companies they “believe” in and hold on to their investments for a long time, since he believes unless you don’t know a lot about investing and companies, time is a key factor that makes a difference when it comes to investing.
Ken Fisher’s Advice for Beginner Investors: Don’t Try to be “Cute”
Fisher said that small investors should not try to be “cute” and just invest their savings slowly in companies that they think are “good.” He said “waiting” for your investments to grow is important if you are investing in individual stocks or ETFs.
We regularly talk about Jim Cramer’s top stock picks on Insider Monkey. But in this article we decided to combine the top favorite stocks of legendary Ken Fisher and Jim Cramer. For that we first scanned Fisher’s Q1’2024 portfolio and picked stocks that are also loved by Jim Cramer. From these stocks we chose 10 companies in which Ken Fisher owns significant stakes.
Some top stocks Ken Fisher and Jim Cramer like include Caterpillar Inc. (NYSE:CAT), Broadcom Inc (NASDAQ:AVGO), Eli Lilly And Co (NYSE:LLY) and Salesforce Inc (NYSE:CRM).
10. Caterpillar Inc. (NYSE:CAT)
Ken Fisher’s Stake: $3,056,627,805
A questioner recently asked Cramer whether they should hold Caterpillar Inc. (NYSE:CAT). Cramer told the questioner to “keep” the stock, adding that the last quarter of Caterpillar Inc. (NYSE:CAT) “wasn’t that good.” Cramer also said he “likes” Caterpillar Inc. (NYSE:CAT).
Diamond Hill Large Cap Strategy made the following comment about Caterpillar Inc. (NYSE:CAT) in its Q3 2023 investor letter:
“Caterpillar Inc. (NYSE:CAT), the world’s leading manufacturer of construction and mining equipment, also performed well this quarter. Caterpillar has managed to leverage increased capital investment from various end markets, contributing to better than expected fiscal results for Q2. The company is poised to be one of the largest beneficiaries of several government funding initiatives, including the IRA (Inflation Reduction Act) bill, CHIPS Act and infrastructure bill. These measures are expected to support construction spending for several years, providing a robust backdrop for Caterpillar’s continued growth.”
9. Broadcom Inc (NASDAQ:AVGO)
Ken Fisher’s Stake: $2,873,725,266
Jim Cramer has been bullish on Broadcom Inc (NASDAQ:AVGO) amid AI-related catalysts. In March, Cramer in a tweet highlighted Broadcom Inc (NASDAQ:AVGO) winning another customer for its AI accelerator. The stock, according to Cramer’s tweet, is a CNBC Investing Club holding. In April, Cramer hit the “Buy, Buy, Buy” button on Broadcom Inc (NASDAQ:AVGO) during the Lightning Round segment of his program.
Carillon Eagle Growth & Income Fund stated the following regarding Broadcom Inc. (NASDAQ:AVGO) in its fourth quarter 2023 investor letter:
“Broadcom Inc. (NASDAQ:AVGO) traded higher after closing on its acquisition of VMware. The company also announced earnings that were relatively in line with estimates with some benefit of better operating expenses. The stock appears to be one of the first real beneficiaries of generative artificial intelligence (AI) with meaningful revenue expected to show up in 2024.”
8. Eli Lilly And Co (NYSE:LLY)
Ken Fisher’s Stake: $3,650,855,007
Jim Cramer has been recommending investors to buy Eli Lilly And Co (NYSE:LLY) on the back of Eli Lilly And Co’s (NYSE:LLY) weight loss drug initiatives for several months now. Last month, he said the selloff around the stock was not “warranted” and urged investors to buy more Eli Lilly And Co (NYSE:LLY). Cramer’s charitable trust owns a position in Eli Lilly And Co (NYSE:LLY).
Baron Health Care Fund stated the following regarding Eli Lilly and Company (NYSE:LLY) in its first quarter 2024 investor letter:
“Eli Lilly and Company (NYSE:LLY) is a global pharmaceutical company that discovers, develops, manufactures, and sells medicines in the categories of diabetes, oncology, neuroscience, and immunology, among other areas. Stock performance was strong due to robust fourth quarter sales of Mounjaro/ Zepbound, better-than-anticipated initial guidance for fiscal year 2024, and ongoing enthusiasm surrounding the company’s obesity and diabetes franchises. We continue to think Lilly is well positioned to grow revenue and earnings at attractive rates through the end of the decade and beyond.”
7. Taiwan Semiconductor Mfg. Co. Ltd. (NYSE:TSM)
Ken Fisher’s Stake: $3,946,548,478
In February this year, Jim Cramer called Taiwan Semiconductor Mfg. Co. Ltd. (NYSE:TSM) a “great company.” He’s praised Taiwan Semiconductor Mfg. Co. Ltd. (NYSE:TSM) several times during his shows as well as on other platforms. For example, in January 2023, Cramer tweeted:
“Taiwan Semi is a most amazing company to be doing this well. Gross margins are fantastic and business is growing much faster than so many semis. Just a gem that MUST be protected from harm.”
Ariel Global Fund stated the following regarding Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) in its fourth quarter 2023 investor letter:
“We purchased manufacturer and marketer of integrated circuits, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM). TSMC has a dominant share of the global foundry market and is an industry leader in terms of scale, technology, customer service and execution. Although demand for smartphones and PCs is stabilizing, we expect the company to benefit from the secular growth trends of Artificial Intelligence (AI) longer-term. A downturn in the foundry industry this year presented us with an attractive entry point, as we think the current forward price-to-earnings ratio does not fully reflect the high-quality nature of the business model.”
6. Salesforce Inc (NYSE:CRM)
Ken Fisher’s Stake: $3,265,146,393
In March, while talking about the stocks that can benefit from the AI revolution, Jim Cramer mentioned Salesforce Inc (NYSE:CRM) and said 2024 would be a “great” year for Salesforce Inc (NYSE:CRM). In December, Cramer praised Salesforce, saying Salesforce Inc (NYSE:CRM) has fewer employees when compared to last year and it would be a “de facto” choice for companies embracing AI because business is about “selling” yourself and Salesforce Inc (NYSE:CRM) has an advantage in the market because of its CRM solutions.
Polen Focus Growth Strategy stated the following regarding Salesforce, Inc. (NYSE:CRM) in its fourth quarter 2023 investor letter:
“In the fourth quarter, the top relative and absolute contributors to the Portfolio’s performance were Netflix, ServiceNow, and Salesforce, Inc. (NYSE:CRM).
Salesforce has continued to grow its revenues at what we see as a healthy rate despite market concerns about the impact of the weaker macroeconomy on its business and penetration rates in its core CRM offering. Even its most mature and largest offerings, Sales Cloud and Service Cloud, are still growing revenue at double-digit rates. In addition, management realized that their cost structure, especially in salespeople, had gotten too bloated. Over the past year and a half, the company has run a much more streamlined expense structure that has led to strong operating margin expansion and earnings growth. Importantly, we do not feel Salesforce has cut into its innovation or sales muscle through these cost cuts but has eliminated unnecessary excess fat from the organization.”
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Disclosure. None. Jim Cramer and Ken Fisher Love These 10 Stocks is originally published on Insider Monkey.