We recently published a list of Jim Cramer Shares Thoughts On Big Tech As Part Of These 12 Stocks. In this article, we are going to take a look at where UnitedHealth Group Incorporated (NYSE:UNH) stands against other stocks that Jim Cramer recently discussed.
In a recent appearance on CNBC’s Squawk on the Street, Jim Cramer discussed the trade deficit, interest rates, and apprehensions about the US budget deficit. He commented on the divide in thinking between older and younger people. While younger people prefer Bitcoin due to ballooning deficits, older people are more relaxed. According to the CNBC host:
“I think that older people just kind of laugh at this. And just say, I’ve been through this. They’re not going to make any changes in Congress. So it’s gonna be one-off. It’ll be down. Then some people say to me, hey listen, this is going to be the Achilles Heel for the President. If they don’t get this, if rates keep going, then we’re gonna get into a whole new thing about inflation. Look rates should [be] higher, judging on the deficit. But again what you said, is where are they gonna go?”
However, Cramer’s also disappointed in the Trump administration’s efforts to reduce the deficit. While Elon Musk is adamant that his DOGE department has reduced spending, Cramer thinks otherwise as he remarked: “I just thought that we were going to have the budget cut because of DOGE. It’s obviously didn’t work.”
Another bit of financial news that rocked markets recently was Moody’s decision to cut America’s credit rating from a perfect AAA to AA+. Cramer wasn’t surprised as he remarked:
“I mean, I look at it as someone who just says, how could they not try to cut this deficit? How could they continue to be part of the problem. So I understand the downgrade, but I also understand the notion that if the Republican Party is no longer the party of fiscal responsibility, who is? Who is responsible?”
Our Methodology
To make our list of the stocks that Jim Cramer talked about, we listed down the stocks he mentioned during CNBC’s Squawk on the Street aired on May 19th.
For these stocks, we also mentioned the number of hedge fund investors. 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).
UnitedHealth Group Incorporated (NYSE:UNH)
Number of Hedge Fund Holders In Q4 2024: 150
UnitedHealth Group Incorporated (NYSE:UNH) is the largest healthcare benefits manager in America. The firm roiled markets in May as its shares dipped by 18% after it missed first-quarter earnings and reduced its guidance. The shares traded close to five-year lows after a report that the firm was being investigated. Cramer’s previous remarks shed light on insider purchases and maintained that if there was an investigation then the stock purchases wouldn’t occur. He reiterated the sentiment in his latest comments about UnitedHealth Group Incorporated (NYSE:UNH):
“People sell things for many reasons, right. They get divorced, I don’t know about that. They get maybe something happens in their family, they need money. But David, why do they buy? Sometimes they buy because there’s a bargain. Now typically these insiders, maybe they buy like 1500 shares. Well how about if you bought, you’re Stephen Hemsley, returning CEO, who acquired 86,000 shares at 288. That’s pretty, you know 25 mil.
“And then, Kristen Gil, director, what, 3700 shares. Timothy Patrick, director, 1553. The CFO, come right in, the CFO’s in there buying the heck out of it too. 5 million. So I just say to myself, if they really knew, like the Journal says that they’re being investigated criminally, that’s a very big buy that would obviously go away.
“Absolutely, but remember it is a fine company. I don’t think the franchise, unless it’s indicted, is going to go away. So let’s just say [inaudible] I was convinced that maybe we’re too negative. At the 300 level.”
Overall, UNH ranks 6th on our list of stocks that Jim Cramer recently discussed. While we acknowledge the potential of UNH as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than UNH but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.