We recently compiled a list of the Jim Cramer Says These 10 Stocks Can Do Well Regardless of Who Wins. In this article, we are going to take a look at where Palantir Technologies Inc. (NYSE:PLTR) stands against the other stocks in Jim Cramer’s current watchlist.
Jim Cramer, the host of Mad Money, recently shared his thoughts on stocks that could perform well regardless of who ends up running the White House. On Tuesday, Cramer observed that the day’s market performance gave the impression that every stock could go higher no matter who secures the presidency.
He pointed to significant gains across various sectors, including aerospace, housing, retail, and healthcare. Cramer noted that this broad-based rally resulted in strong performances on Tuesday, with the Dow climbing 427 points, the S&P rising by 1.23%, and the NASDAQ soaring by 1.43%. However, he tempered his optimism by adding that days like Tuesday might prove to be outliers in the coming weeks.
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Cramer took the opportunity to highlight ten stocks he believes will thrive and said:
“I want to highlight ten stocks that I believe will do well under either candidate, a who’s who of acclamation, companies that almost have to do well because of seismic trends and savvy managements. Companies that no White House would get hung up on, either because they’re beneath notice or they’re perceived as good corporate citizens by both sides. Stocks in industries that neither Trump nor Harris have ever targeted in the past.”
He also raised an important question for the viewers: “If you had the results of the election in hand, would you really know what to buy or sell?” According to Cramer, answering that question is far more complicated than it seems. He emphasized his list of stocks that can thrive regardless of the election outcome. These are companies that have no clear political adversaries in Washington, making them relatively safe bets. Cramer acknowledged, however, that many stocks that seem like obvious picks for one candidate or another often have hidden dynamics that don’t get enough attention.
“In the end, this presidential prognostication game is meaningless until we start hearing about cabinet appointments, those will tell us a lot. Then, we can figure out really who the winners and losers are. Right now, though, there are just too many political angles to every single stock story.”
Our Methodology
For this article, we compiled a list of 10 stocks that were discussed by Jim Cramer during the episode of Mad Money on November 5. We listed the stocks in ascending order of their hedge fund sentiment as of the second quarter, which was taken from Insider Monkey’s database of more than 900 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 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
A software engineer manipulating a vast network of code on virtual monitors.
Palantir Technologies Inc. (NYSE:PLTR)
Number of Hedge Fund Holders: 44
Cramer praised Palantir Technologies Inc.’s (NYSE:PLTR) CEO and mentioned that the stock is a “crowd favorite”.
“Palantir brags about making its clients more lethal and judging by the numbers, which included accelerated revenue growth and phenomenal margins, they’re clearly accomplishing that goal. How strong were these results at Palantir? I’m gonna quote CEO Alex Karp, who is… indomitable… ‘Given how strong our results are, I almost feel that we should just go home.’
Now there’s a guy who’s got bravado… I like the bipartisan nature of not spending as much on defense hardware and training and instead relying on Alex and friends to get it right for you. And that’s what they’re doing. This one’s a real crowd favorite, by the way. It’s now up 198% for the year, and I bet it keeps running regardless of who takes the White House. Congrats to Alex and friends.”
Palantir (NYSE:PLTR) is a prominent developer of software platforms specializing in complex data integration and decision-making. The company primarily serves government agencies, particularly in the intelligence sector, as well as commercial clients.
After recently joining the S&P 500, Palantir (NYSE:PLTR) delivered a strong third-quarter earnings report. It reported revenue of $725.5 million, marking a 30% increase year-over-year and outperforming estimates. In addition to the revenue growth, the company also saw a significant improvement in its profit margins. The company reported a nearly 20% increase in profit margin from the previous quarter and a striking 275% rise compared to the same period last year.
Overall PLTR ranks 10th on Jim Cramer’s list of stocks that can do well regardless of who wins. While we acknowledge the potential of PLTR 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 timeframe. If you are looking for an AI stock that is more promising than PLTR 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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