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Jim Cramer Weighed In on the Tech Market Divide and 5 Stocks to Watch Now

In this article, we will look at “Jim Cramer Weighed In on the Tech Market Divide and 5 Stocks to Watch Now”. Please visit Jim Cramer Weighed In on the Tech Market Divide and 11 Stocks to Watch Now if you’d like to see the extended list and methodology behind it.

5. Kimberly-Clark Corporation (NASDAQ:KMB)

Kimberly-Clark Corporation (NASDAQ:KMB) is among the stocks Jim Cramer discussed alongside the tech market divide. When a caller inquired about the stock during the episode, Cramer said:

Well… Remember, it just had that fire, the six-alarm fire at its largest distribution center of toilet paper. Let’s, you know, Mike Hsu did not necessarily set that out, for that to happen. Five and a quarter percent, let’s go over this, 5.25% yield, buying Kenvue, it’s going to be additive to the situation. I am going to stick my neck out and say, even though it’s at 13 times earnings, I think you should buy more… I really do. I think you should average down. I know people don’t like to hear that, but I’m, I have great faith in Mike Hsu. And I think at 5.25% yield, I want to own Kimberly-Clark.

Kimberly-Clark Corporation (NASDAQ:KMB) manufactures personal care products and provides items such as diapers, wipes, feminine and incontinence care products, and household paper goods.

4. The Vita Coco Company, Inc. (NASDAQ:COCO)

The Vita Coco Company, Inc. (NASDAQ:COCO) is among the stocks Jim Cramer discussed alongside the tech market divide. Cramer showed bullish sentiment toward the stock after the recent pullback, as he stated:

Since bottoming at $7 and change in November of 2022… this stock has rallied roughly 560% in a little over three years, and that’s after it pulled back a dozen points over the past few weeks. I think this could be a nice buying opportunity.… This is how you build wealth, people. You own the index fund, and you own a couple of stocks like this… What matters are the numbers, and the numbers have been downright fantastic… What the pullback reflects is the simple fact that the stock is at a relatively high price to earnings multiple… It’s trading at just under 32 times this year’s earnings estimate. I won’t deny it; That’s pretty rich for beverage companies. But here’s what I will say. First, throughout the entire time the Vita Coco has been public, its shares have traded mostly in the 25 to 40 times earnings range.

And if you’ve let that valuation keep you out of the stock, well, you know what you would’ve missed. Second, the company is expected to put up 30% earnings growth this year, and there’s nothing wrong with paying 32 times earnings for a company that can grow at a 30% clip. Growth-oriented money managers will typically be willing to pay a price-to-earnings multiple that’s one to two times the growth rate. So 32 times earnings is much closer to the floor than the ceiling for this stock. Plus, when you look at next year, Vita Coco should earn $1.80 per share, meaning it sells for about 27 times next year’s numbers. That’s perfectly reasonable given its incredibly high growth rate.

Putting it all together, I like what I see from Vita Coco after finally taking the chance to get into it. I’m sorry I didn’t do it earlier. This is a uniquely strong story within the troubled food and beverage space, one that’s very much on trend with younger consumers, which is why this company’s taking share all over the world. Here’s the bottom line: You rarely get a chance to buy a powerful long-term winner after a quick 20% pullback, especially when that pullback appears to have very little to nothing to do with the fundamentals, but that’s exactly what’s happened to Vita Coco. When a terrific company like this comes around, I think you should take it.

The Vita Coco Company, Inc. (NASDAQ:COCO) develops and distributes coconut water and related products under the Vita Coco brand and other beverage brands internationally.

3. Levi Strauss & Co. (NYSE:LEVI)

Levi Strauss & Co. (NYSE:LEVI) is among the stocks Jim Cramer discussed alongside the tech market divide. Cramer noted that “everything seems to be clicking” for the company, as he commented:

A couple of nights ago, we got another terrific quarter from Levi Strauss & Co, the denim kingpin, and its stock soared… The company’s put together a string of excellent quarters under the leadership of Michelle Gass, who took over as CEO at the beginning of 2024. The stock’s now up more than 52% over the last 12 months, but a huge chunk of that gain came yesterday when Levi’s deservedly shot up more than 10% in response to its latest results. Even here, by the way, it’s a couple of points away from its 52-week high set back in early October.

Maybe that presents a good opportunity because Levi truly seems to be on the right track here… Now, I’ve had the chance to speak with Michelle Gass several times over the past year, and every time it feels like I’m asking her how she keeps putting up such robust numbers. A lot of it comes down to solid execution and growth from new ventures… Beyond the numbers, I like the story, I just like the story of the quarter, frankly. Levi’s has bet heavily on the direct-to-consumer channel, especially the online business, and that bet is paying off. And that is a great bet… Everything seems to be clicking for Levi’s, which is finally why the company got credit for a good quarter for the first time in what feels like ages.

After taking a couple of years to get the right portfolio, invest in new areas, and generally focus Levi’s on his best opportunities, Michelle Gass has put this company in a great place, people, and that’s why the stock is roaring. I’m not saying Levi’s will… turn into another sainted apparel category stock like Ralph Lauren or Tapestry, but I will say this: Both of those stocks trade at price-to-earnings multiples in the low to mid 20s; Levi sells for just over 15 times the midpoint of this year’s fairly conservative earnings forecast while also giving you a 2.5% yield for good measure… So the bottom line: If Levi’s can keep putting up strong numbers, which I think it can, then this stock could have lots of upside ahead of it, even after it rallied more than 10% yesterday and tacked on another 4% today.

Levi Strauss & Co. (NYSE:LEVI) offers apparel and footwear for all ages under brands like Levi’s, Denizen, and Beyond Yoga.

2. Reddit, Inc. (NYSE:RDDT)

Reddit, Inc. (NYSE:RDDT) is among the stocks Jim Cramer discussed alongside the tech market divide. Noting that they have experienced a loss in the stock, a caller asked for Cramer’s thoughts on it. In response, he said:

I’m glad you asked me. I was talking about it today. It’s down 40%. We use it for my wife’s mezcal because it’s just got a good mezcal affinity group. I think a lot of people use it. They don’t charge enough. I shouldn’t say that; now they’re going to raise our prices. But I think that they should be making more money off their different groups. But the company is really suffering right here, I’m sorry, the stock is suffering, the company’s not. Big dispute over the Google feed and whether Google’s treating them right. All nonsense. Reddit’s a good company.

Reddit, Inc. (NYSE:RDDT) runs an online platform that hosts communities where users connect over shared interests, exchange ideas, and share content such as posts, images, and videos.

1. Abercrombie & Fitch Co. (NYSE:ANF)

Abercrombie & Fitch Co. (NYSE:ANF) is among the stocks Jim Cramer discussed alongside the tech market divide. Inquiring about the stock, a caller highlighted the company’s strong 63.3% gross margins, industry-leading adoption metrics, a new multi-year partnership with the Dallas Cowboys, and praised the CEO, Fran Horowitz. Cramer replied:

I’m listening to you… You’re smarter than I am. You know it well. I think the bounce back was real, but after listening to you, I think the bounce back is very for real. I think go with your gut on this one. You know it well. You’ve done the homework. Buy it.

Abercrombie & Fitch Co. (NYSE:ANF) provides apparel, accessories, and personal care items for men, women, and kids. During the November 21, 2025, episode, Cramer was bearish on the stock, as he said:

Plenty of apparel on Tuesday. Abercrombie & Fitch reports in the AM. That’s a total crapshoot. It’s not for the squeamish. Call me squeamish.

While we acknowledge the potential of ANF to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than ANF and that has 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: 40 Most Popular Stocks Among Hedge Funds Heading Into 2026 and 15 Stocks That Will Make You Rich in 10 Years. 

Disclosure: None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

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At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

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  • 140 Metas
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  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

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Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

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