In this article, we discuss the 5 stocks that Jim Cramer is recommending in June. If you want to read about some more stocks that Jim Cramer is recommending in June, go directly to Jim Cramer is Recommending These 10 Stocks in June.
5. Target Corporation (NYSE:TGT)
Number of Hedge Fund Holders: 50
Target Corporation (NYSE:TGT) is a general merchandise retailer. Jim Cramer gave the stock a Buy recommendation during the Lightning Round segment of his show on June 7. Cramer was of the opinion that recent news from the company that it would need to shed inventory, resulting in a strain on profits for the near-term, suggested that inflation might be peaking. He also said that the news was good for the central bank that had been fighting against inflation. He advised his viewers not to “overthink” in this scenario.
On June 7, DA Davidson analyst Michael Baker maintained a Buy rating on Target Corporation (NYSE:TGT) stock and lowered the price target to $171 from $205, noting the tough decisions the firm was making to set up for a “better second half with cleaner inventories”.
Among the hedge funds being tracked by Insider Monkey, Boston-based Arrowstreet Capital is a leading shareholder in Target Corporation (NYSE:TGT), with 2.5 million shares worth more than $530 billion.
In its Q2 2021 investor letter, Nelson Capital Management, an asset management firm, highlighted a few stocks and Target Corporation (NYSE:TGT) was one of them. Here is what the fund said:
“We added Target Corporation (NYSE:TGT) to our consumer staples sector. Target Corporation (NYSE:TGT) offers a broad array of products in owned and known brand items at affordable prices. Its omni-channel fulfillment centers allow customers to receive their items via in-store pickup, curbside pickup, same-day shipping and regular shipping while simultaneously reducing operating costs. With a significantly lower valuation than peers and a unique operating strategy, Target Corporation (NYSE:TGT) is an attractive holding.”
4. Eli Lilly and Company (NYSE:LLY)
Number of Hedge Fund Holders: 53
Eli Lilly and Company (NYSE:LLY) develops and markets human pharmaceuticals. The journalist investor gave the stock a Buy recommendation during the Discussed Stock segment of his show on June 7. Cramer identified the company as a “recession” stock and one which investors who are fleeing to safety are likely to pick up in light of interest rate hikes by the Fed. Cramer has previously advised his viewers to buy the stock for the long-term potential it offers with regards to the drug pipeline.
On June 6, Mizuho analyst Vamil Divan maintained a Buy rating on Eli Lilly and Company (NYSE:LLY) stock with a price target of $356, noting that the firm was the top investment pick in the large-cap drug business.
Among the hedge funds being tracked by Insider Monkey, Florida-based investment firm GQG Partners is a leading shareholder in Eli Lilly and Company (NYSE:LLY), with 1.6 million shares worth more than $485 million.
In its Q4 2021 investor letter, Saturna Capital highlighted a few stocks and Eli Lilly and Company (NYSE:LLY) was one of them. Here is what the fund said:
“Industrials and pharmaceutical companies were among the Amana Income Fund’s strongest performers in the fourth quarter. Industrials and pharmaceutical companies were among the Amana Income Fund’s strongest performers in the fourth quarter. Drug maker Eli Lilly and Company (NYSE:LLY is represented in the 10 Largest Contributors.”
3. Broadcom Inc. (NASDAQ:AVGO)
Number of Hedge Fund Holders: 71
Broadcom Inc. (NASDAQ:AVGO) is a semiconductor manufacturer. The former hedge fund manager gave the stock a Buy recommendation during the guest Interview segment of his show on June 7. Cramer noted that there were indications that inflation was peaking and this meant that “beaten-down tech stocks” might come back in vogue, since they offered growth at a reasonable price now. Cramer listed Broadcom as one of these stocks, along with ServiceNow and Salesforce.
On May 27, Mizuho analyst Vijay Rakesh maintained a Buy rating on Broadcom Inc. (NASDAQ:AVGO) stock and raised the price target to $725 from $700, noting that the VMware acquisition by the firm could potentially unlock a 45% upside in the shares.
Among the hedge funds being tracked by Insider Monkey, New York-based investment firm Cantillon Capital Management is a leading shareholder in Broadcom Inc. (NASDAQ:AVGO), with 1 million shares worth more than $652 million.
In its Q4 2021 investor letter, ClearBridge Investments, an asset management firm, highlighted a few stocks and Broadcom Inc. (NASDAQ:AVGO) was one of them. Here is what the fund said:
“However, ClearBridge portfolio companies are responding by supporting their workforces and showing resilience in adapting and thriving. Semiconductor companies ClearBridge owns and engages with have been successful in advancing vaccinations in their global supply chains. In Malaysia, for example, Broadcom Inc. (NASDAQ:AVGO) has taken part in PIKAS, a public-private partnership vaccination program focusing on the workforce in critical manufacturing sectors. By the summer of 2021 Broadcom Inc. (NASDAQ:AVGO) was able to get over 90% of workers in its Penang factory at least one dose of vaccine, and roughly 73% fully vaccinated. Companies in the program also pay the administration cost for vaccinations including cases where the employee is no longer employed by the company before full immunization of the employee.”
2. Johnson & Johnson (NYSE:JNJ)
Number of Hedge Fund Holders: 83
Johnson & Johnson (NYSE:JNJ) makes and sells healthcare products. Cramer gave the stock a Buy recommendation during the Lightning Round segment of his show on June 7. Cramer has previously placed the company among a basket of “great American firms” that are trading at discounted prices because of the overall market volatility and fears of a recession and which investors might miss out on if inflation were to fall, since that would lead to a correction in the valuation of these firms.
On May 17, Citi analyst Joanne Wuensch maintained a Buy rating on Johnson & Johnson (NYSE:JNJ) stock and lowered the price target to $205 from $210, noting that market multiples were contracting due to “higher inflation, slowing growth, and rising interest rates”.
At the end of the first quarter of 2022, 83 hedge funds in the database of Insider Monkey held stakes worth $7.4 billion in Johnson & Johnson (NYSE:JNJ), the same as in the previous quarter worth $7.3 billion.
1. Palo Alto Networks, Inc. (NYSE:PANW)
Number of Hedge Fund Holders: 87
Palo Alto Networks, Inc. (NYSE:PANW) provides cybersecurity solutions. On June 7, Cramer gave the stock a Buy recommendation during the Executive Decision segment of his show. During the course of his interview with Nikesh Arora, the CEO of the firm, Cramer discussed the health of the cybersecurity market and the costs that firms were willing to pay to build new tech infrastructure from the ground up with security built-in.
On May 20, Morgan Stanley analyst Hamza Fodderwala maintained an Overweight rating on Palo Alto Networks, Inc. (NYSE:PANW) stock with a price target of $823, noting that “security remains a relative safe haven in an uncertain macro environment”.
Among the hedge funds being tracked by Insider Monkey, Chicago-based firm Citadel Investment Group is a leading shareholder in Palo Alto Networks, Inc. (NYSE:PANW), with 1.3 million shares worth more than $838 million.
In its Q1 2022 investor letter, ClearBridge Investments, an asset management firm, highlighted a few stocks and Palo Alto Networks, Inc. (NYSE:PANW) was one of them. Here is what the fund said:
“The portfolio also saw solid performance from cybersecurity names Palo Alto Networks, Inc. (NYSE:PANW) which is gaining prominence as the risk of global cyber attacks increases as part of the Russian offensive. On an individual stock basis, leading contributors to absolute returns in the first quarter included positions in Palo Alto Networks.”
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