We recently compiled a list of the Jim Cramer Shed Light on These 10 Stocks. In this article, we are going to take a look at where Badger Meter, Inc. (NYSE:BMI) stands against the other stocks Jim Cramer recently discussed.
Jim Cramer, the host of Mad Money, pointed out that ongoing uncertainty around tariff policies is likely to continue influencing market movements. He highlighted that stocks saw a decline on Wednesday after President Donald Trump raised the issue of tariffs during a cabinet meeting.
“We were flying high… when President Trump started talking in a televised cabinet meeting and it didn’t take long for him to be, to talk about his obsession: tariffs.”
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Trump has long been determined to address trade imbalances, often pointing out that many countries have trade surpluses with the United States, a situation he intends to change. Cramer noted that this tariff talk has become such a recurring theme that it is beginning to wear on investors.
He expressed concern that the constant mention of tariffs, especially in the presence of a camera, is increasingly shaping the market environment. As a citizen, Cramer said he has no issue with tariffs if they are used to protect against unfair trade practices.
“But as someone who cares about the stock market, I can tell you that we’re entering a new, more mercurial world where we have to start worrying about the president’s public appearances because we don’t know which country, which continent, which ally he is going to attack next.”
Cramer also emphasized that the unpredictability of tariff discussions has overshadowed other major economic concerns. For example, the bond market, which had dominated financial conversations for years, has taken a back seat due to the overwhelming focus on tariffs. He pointed to a significant drop in long-term interest rates, noting that the 10-year treasury bond, which had seemed on track to approach 5%, has now fallen to 4.25%. He commented that the change in the bond market is striking considering that the U.S. government has continued to hold large bond auctions. He added:
“Long-term interest rates have plummeted. The 10-year treasury, which not that long goes seemed to be headed toward 5%, is now slouching toward 4%, finishing at 4.25% today. That’s insane, especially when you remember that we have kept, keep having gigantic bond auctions… A couple months ago, if we got this kind of action, the bond market stocks would’ve exploded higher, probably making new all-time high after all-time high after all-time high.”
Our Methodology
For this article, we compiled a list of 10 stocks that were discussed by Jim Cramer during the episode of Mad Money aired on February 26. We listed the stocks in the order that Cramer mentioned them. We also provided hedge fund sentiment for each stock 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).
An engineer overseeing the calibrations of a sophisticated flow meter.
Badger Meter, Inc. (NYSE:BMI)
Number of Hedge Fund Holders: 34
A caller asked Cramer if they should take some money off the table on Badger Meter, Inc. (NYSE:BMI) and Cramer replied:
“No, that is just one of the most steady as-she-goes companies. I actually like Agilent more than Badger Meter, but I think it’s a terrific situation. I would hold onto it. Test and measurement has to be a very good business wherever you find it.”
Badger Meter, Inc. (NYSE:BMI) manufactures flow measurement, control, and communication solutions, offering smart metering technologies, flow instrumentation, water quality monitoring, and software services to utilities and manufacturers for managing fluids and improving system operations. Recently, Kenneth C. Bockhorst, the Chairman, President, and CEO, expressed immense pride in the company’s full-year 2024 performance.
According to its full-year 2024 earnings report, Badger Meter, Inc. (NYSE:BMI) achieved an 18% increase in sales year-over-year. In addition to strong sales growth, the company reached record operating profit margins of 19.1%, a 230 basis point improvement from the previous year.
Overall BMI ranks 8th on our list of the stocks Jim Cramer recently discussed. While we acknowledge the potential of BMI 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. If you are looking for an AI stock that is more promising than BMI but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
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