Jim Cramer Questions Market Logic and Dissects These 7 Key Stocks

2. Johnson & Johnson (NYSE:JNJ)

Number of Hedge Fund Holders: 98

Amid fears of broad-brush pharmaceutical tariffs, Jim Cramer defended Johnson & Johnson (NYSE:JNJ) as an unjustified casualty in the market sell-off, pointing to its minimal import exposure and pristine balance sheet. Here’s his exact analysis:

“Well, we have a $350 billion company, J&J, a AAA balance sheet. The stock is down $5.30 on the president saying that we’re going to hit the pharmaceuticals. Now, once again, we’ve got the meat axe approach. J&J imports the least of the major pharma. Should they be down as much or more as the most? And what would happen if the president said, you know what, we’re going to start thinking making Commerce Department exceptions. We’re not going to hit U.S. companies as much as we’re going to hit foreign. Should AstraZeneca and J&J both be tariffed at the same price? Right now, we just make these decisions, and we don’t distinguish among companies because we almost seem to have a policy which is companies are unimportant. At what point do we say, you know what, this company is importing less and bringing things in.”