Jim Cramer Says: “J&J Deserves to Be Going Higher, But Not at This Speed, Not at This Pace”

Johnson & Johnson (NYSE:JNJ) is one of the stocks Jim Cramer shared his thoughts on. Cramer noted how money managers are betting on an economic slowdown and remarked:

“So let’s talk about Procter & Gamble and then let’s talk about a pharma company, J&J. Now, here are two companies that have products that you buy, no matter what. You need toothpaste and medicine regardless of how the economy’s doing. J&J can thrive in a weak economy. If you look at the chart of the recent action, you might think it’s found maybe the fountain of youth. J&J deserves to be going higher, but not at this speed, not at this pace. It’s only rallying like this because a lot of money managers want to bet on a slowdown. They are passing on Eli Lilly now because it has a much higher price-to-earnings multiple, and those kinds of stocks are too risky to buy.”

Photo by Artem Podrez on Pexels

Johnson & Johnson (NYSE:JNJ) develops and sells healthcare products, including pharmaceuticals and medical technologies, with treatments in immunology, oncology, neuroscience, cardiovascular care, and infectious diseases. In addition, the company provides surgical systems, orthopaedic solutions, cardiovascular devices, and vision care products.

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Disclosure: None. This article is originally published at Insider Monkey.