4 China Rebound Stocks to Buy According to Jim Cramer

2. The Walt Disney Company (NYSE:DIS)

Number of Hedge Fund Holders: 113   

The Walt Disney Company (NYSE:DIS) operates as an entertainment company. During an appearance on CNBC on June 28, Cramer said that people wanted to focus on everything that was wrong with the company and even though it had a bad month, he backed the company to emerge as one of the biggest winners from the China reopening in the coming months. Cramer even referred to the firm as one of the “most-hated” stocks in the world but one he thought would perform “the best” in the coming months. 

On June 30, Morgan Stanley analyst Benjamin Swinburne maintained an Overweight rating on The Walt Disney Company (NYSE:DIS) stock and lowered the price target to $125 from $170, noting that the target was lowered due to the loss of the IPL cricket rights in India and risk of weak consumer demand. 

At the end of the first quarter of 2022, 113 hedge funds in the database of Insider Monkey held stakes worth $5.1 billion in The Walt Disney Company (NYSE:DIS), up from 111 the preceding quarter worth $6.9 billion.

In its Q1 2022 investor letter, Harding Loevner, an asset management firm, highlighted a few stocks and The Walt Disney Company (NYSE:DIS) was one of them. Here is what the fund said:

“The war in Ukraine has given new urgency to the question of whether globalization has reached a tipping point and if the familiar web of decentralized, just-in-time, global supply chains will be a casualty of the inward turn dividing countries into competing trading blocs. It is probably too soon to know. We sold The Walt Disney Company (NYSE:DIS), due to some concerns about the increasing capital intensity of its business amid signs of rising competition and slowing growth in streaming media consumption.”