We recently published a list of Jim Cramer Talked About These 7 Stocks Recently. In this article, we are going to take a look at where Phillips 66 (NYSE:PSX) stands against other stocks that Jim Cramer discussed recently.
On Monday, Jim Cramer, host of Mad Money, shared valuable insights from his years of experience as an investor. He stressed the importance of saving consistently, regardless of any excuses. According to Cramer, starting early is ideal, but even if that is not possible, it is still essential to set aside money for the future.
READ ALSO: 21 Stocks on Jim Cramer’s Radar and Jim Cramer’s Thoughts on These 13 Stocks
He advised that even if someone cannot afford to build a large stock portfolio, it is still worthwhile to invest in as little as possible. One way to do this, he suggested, is by contributing to an index fund or a major mutual fund with whatever money is available.
“If you don’t have enough money or the time to own a stock portfolio, you can only own one or two stocks, send the money in, as little money as you can, to an index fund, to one of these big mutual funds.”
Cramer also noted that if one is planning to pick individual stocks and dealing with real money, they should open an actual investment account. He compared investing to swinging at a pitch; if you know what you’re doing, it can be profitable, but if you do not, the risks are much higher. He warned against treating investing like a gamble or chasing after excitement, as this can lead to poor decisions. Instead, he emphasized the importance of discipline in investing and urged investors not to let their losses accumulate over time.
“So here’s the bottom line: You want to get started, go small, invest what you know, research intensely, just research, research, research… It’s as simple as a keystroke and the information’s free, including up-to-the-minute financials, analyst presentations, brokerage research, and of course, the conference calls that I tell you are a must if you want to actually know what you’re doing. Simple? No. Lucrative? You bet it is.”
Our Methodology
For this article, we compiled a list of 7 stocks that were discussed by Jim Cramer during the episodes of Mad Money aired on May 2. We listed the stocks in ascending order of their hedge fund sentiment 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).
Phillips 66 (NYSE:PSX)
Number of Hedge Fund Holders: 47
A caller asked if Phillips 66 (NYSE:PSX) was a good investment, and Cramer replied:
“Alright, let’s just view it as an investment situation. It’s got a 4.4% yield. We’re running short of refiners. I think that the stock has been overly punished. It’s been going down as if it’s an oil stock. It is not an oil stock, it’s a refiner, and I would be a buyer of PSX, and I’ve been waiting to say that for some time, but it’s down enough that I think it’s time.”
Phillips 66 (NYSE:PSX) is an energy company engaged in manufacturing and logistics. The company handles the transport, storage, refining, and marketing of petroleum products and is also involved in producing and selling chemicals. On May 2, Goldman Sachs increased its price target on PSX to $127 from $124 and maintained a Neutral rating.
The analyst mentioned that the firm sees better risk-reward following the recent drop in the stock, but is still watching refining performance and remains cautious about the company’s progress toward its 2027 mid-cycle EBITDA goal.
Overall, PSX ranks 5th on our list of stocks that Jim Cramer discussed recently. While we acknowledge the potential of PSX 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. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than PSX but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
Disclosure: None. This article is originally published at Insider Monkey.
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