In this piece, we will look at the stocks Jim Cramer recently discussed.
In his recent appearance on CNBC’s Squawk on the Street, Jim Cramer commented on a report in the Wall Street Journal suggesting that the Trump administration’s Department of Justice was aiming to take on one of the largest healthcare insurers in America. While the firm’s shares dropped by 11% on the news, Cramer remained skeptical.
He started out by commenting that “the government has historically not been able to take on this group. They haven’t really taken on the middle-man either. Look I mean we have strong corporations in our country.” Cramer believes that instead of suing the firm, a better approach would be legislation.
“You’re gonna need legislation,” he outlined. “I don’t think you’re going to be able to do anything with the Justice Department,” believes Cramer. He added that “when you have these lawsuits it tends not to bring about any sort of practice. Look, I’m not being cynical. I know that there are people that just say how can you not, how can you not think that this is gonna break up everything?”
While President Trump’s bellicose approach with his administration has turned heads, Cramer shared that little will change at the Justice Department. According to him: “I think that this DOJ is like other DOJs, they’re just not powerful enough to take these companies on. They lose.”
As an example, Cramer pointed to the government’s lawsuits against opioid companies. He shared that while the companies “ended up having to pay,” they were able to continue operating as “nobody got shut down, nobody went to jail, nobody, again this is civil.” Subsequently, Cramer wondered whether “there are certain, companies in the healthcare industry that continue to win, and win, and win. And the initial reaction tends to be an overreaction.”
When told about Bill Ackman’s comments about avoiding the healthcare benefits stock stock and that it was a mental short, he commented:
“Well, again, legislation can do something. This idea of, of creating policy through the Justice Department has not worked. The Justice Department has [inaudible] not been able to create changes. But Congress can. And that’s what has to happen. Look, do I agree with Ackman? I think, I favor universal healthcare [laughs] so I’m way off the reservation. But I do think that if Congress gets involved, as it did under, with Obamacare, they had a shot. Right at the end it was, it was destroyed by the Republican Party. But that’s, that’s what happens.”
Cramer added: “The Justice Department doesn’t do it. . . .Look at what happened to Microsoft, every time the Justice Department really gears up, doesn’t work. Doesn’t change things.”
Our Methodology
To make our list of the stocks that Jim Cramer talked about, we listed down all the stocks he mentioned during CNBC’s Squawk on the Street aired on February 21st.
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. Banco Santander, S.A. (NYSE:SAN)
Number of Hedge Fund Holders In Q4 2024: 17
Banco Santander, S.A. (NYSE:SAN) is a Spanish mega bank with a presence in the retail, corporate, investment, and other markets. The stock is up by a strong 47% over the past year, on the back of a stunning 22% gain in February alone. Banco Santander, S.A. (NYSE:SAN)’s shares surged in February after the bank reported an all-time-high €3.27 billion profit in its fourth quarter and a €12.57 billion profit for the full year to mark 11% and 14% growths, respectively. Banco Santander, S.A. (NYSE:SAN) reported the results on February 5th, and perhaps tellingly, Cramer had advised his viewers to buy the stock in late January. Here are his latest comments:
“Well, I find, you could argue, favorite bank to me, Banco Santander, I mean we’ve got a, we have a lot of foreign stocks that are doing quite well. And I think that the President, if he heard this discussion, I think he’d say no, look, our averages are still hitting highs. But there is, it’s a better view overseas right now.”
11. Celsius Holdings, Inc. (NASDAQ:CELH)
Number of Hedge Fund Holders In Q4 2024: 33
Celsius Holdings, Inc. (NASDAQ:CELH) is an American energy drink company based in Florida. Over the past year, the shares are down by a whopping 49% as the firm suffers from weak consumer spending. Celsius Holdings, Inc. (NASDAQ:CELH) has suffered from Pepsi cutting back orders for the firm’s products, with multiple analyst downgrades also playing a role. However, in a surprising turn, the stock jumped by 27% in February after Celsius Holdings, Inc. (NASDAQ:CELH)’s fourth-quarter revenue and earnings of $332 million and EPS of $0.14 beat analyst estimates of $326 million and $0.11, respectively. Here’s what Cramer said the day the stock was rising:
“But my surprise booking is Jonathan Fieldly on Monday. And he is Celsius. Which is up gigantically. Because they’ve made a fantastic acquisition. I like Jon very much, the group has been under pressure but he’s been a great long-term performer and I do think that this is going to be back! A storied stock! It would be Palantir.”
“Yes, the Alani Nutrition. A lot of people don’t seem to know but the numbers are spectacular. Makes it a little healthier company. Jon is, some people feel is a promoter. I think he is an operator. That’s different. Promoter and operator.”