In this article, we will look at the stocks Jim Cramer highlighted on Mad Money as he noted that the market has an appetite for stocks. The host of CNBC’s Mad Money said Thursday’s rally showed that investors remain resilient and continue looking for opportunities to buy stocks despite concerns that might normally weigh on the market.
So far, so good. That’s all I can say about how the market’s taking earnings disappointments and new stock offerings, traditionally huge obstacles to a raging bull. Yesterday, Alphabet did a gigantic equity offering to fund its AI buildout. At the same time that we learned about two very high-profile alleged earnings disappointments from Broadcom and… CrowdStrike. But the market shook off the disappointments… As someone who counts himself very concerned about the new supply of stock that’s about to hit the market right as we’re getting not-so-hot earnings, well, today’s rally is truly a welcome surprise.
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Cramer also noted the market’s response to Quantinuum’s initial public offering as another indication that investors remain eager to put money to work. Moreover, he mentioned that buying interest was not confined to artificial intelligence and data-center-related names, as many stocks in other parts of the market, financial, healthcare, and transportation, joined the rally.
Here’s the bottom line: The word I have to use to describe this market is appetite. Right now, ahead of some gigantic underwritings, this market has a huge appetite, one that could shrug off a bear with a gigantic GLP-1 hypodermic needle and still be hungry for more.
Our Methodology
For this article, we compiled a list of 16 stocks that were discussed by Jim Cramer during the episode of Mad Money aired on June 4. 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. Insider Monkey’s quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 599.2% since May 2014, beating its benchmark by 372 percentage points (see more details here).
Jim Cramer Highlighted 16 Stocks, Including Quantinuum, and the Market’s Appetite for New Supply
16. The TJX Companies, Inc. (NYSE:TJX)
The TJX Companies, Inc. (NYSE:TJX) was among the stocks Jim Cramer highlighted on Mad Money as he noted that the market has an appetite for stocks. Cramer mentioned the stock during the episode and commented:
When the economy is doing badly, these are the companies that normally do well as consumers trade down. Even they’re getting hurt, you know, people are really feeling the squeeze. It’s just not happening anymore. Now, you might be saying, “Wait a second. How about TJX? That’s been a winner. That’s a discounter, right?” Well, you need to know TJX is not a play on price as much as it is about selection. When there are a lot of full-priced outlets trying to offload inventory, TJX is the winner. That chain can offer great value for much less than expected. You’re getting quality goods on the cheap, very different from the dollar stores. That’s why its stock hangs in while these others just don’t seem to have the traction anymore.
The TJX Companies, Inc. (NYSE:TJX) sells off-price apparel, footwear, accessories, and home goods. The company offers a wide range of merchandise, including clothing, beauty items, furniture, decor, kitchenware, and seasonal products.
15. Five Below, Inc. (NASDAQ:FIVE)
Five Below, Inc. (NASDAQ:FIVE) was among the stocks Jim Cramer highlighted on Mad Money as he noted that the market has an appetite for stocks. Cramer highlighted the management commentary during the company’s conference call, as he said:
Consider former market darling, Five Below, which reported just last night. Now, here’s a store with a little higher price point, but it’s been viewed as the real bargain for discretionary toys. But as CFO Daniel Sullivan pointed out in the conference call last night, “We remain cautious with respect to the macro environment, consumer sentiment, and buying behaviors. As such, we have left our half 2 comparable sales assumptions unchanged from our previous guidance.” And you wonder why the stock fell almost 14% today. We’re used to having them raise guidance…
After years of being able to offer $1 items, the combination of inflation and tariffs, particularly on China, has totally busted the buck. The dollar stores no longer feel like bargains… Five Below… It’s lost its luster.
Five Below, Inc. (NASDAQ:FIVE) sells a wide range of low-priced essentials, decor, tech accessories, toys, crafts, snacks, and seasonal items.
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