5 Stocks Jim Cramer and Hedge Funds Have in Common

In this article, we will take a look at the 5 stocks that Jim Cramer and hedge funds have in common. If you want to explore similar stocks, you can go to 10 Stocks Jim Cramer and Hedge Funds Have in Common.

5. Eli Lilly and Company (NYSE:LLY)

Number of Hedge Fund Holders: 76

Eli Lilly and Company (NYSE:LLY) is one of Cramer’s “great American companies with beaten down stocks”. He thinks this stock is “sensational” and recommends “buying the dip” on the stock. Cramer is also positive on the company’s Alzheimer’s drug, donanemab, and noted that it can potentially result in a 10% upside for the stock from current levels. Eli Lilly and Company (NYSE:LLY) is one of the top stocks to buy now according to Jim Cramer and hedge funds. As of April 20, the stock has gained 9.99% over the past 6 months.

Eli Lilly and Company (NYSE:LLY) was spotted on 76 investors’ portfolios at the close of Q4 2022. These funds disclosed collective stakes worth $5.15 billion in the company. As of December 31, GQG Partners is the dominant investor in the company and has a position worth $602.8 million.

Madison Investments made the following comment about Eli Lilly and Company (NYSE:LLY) in its Q1 2023 investor letter:

“Eli Lilly and Company (NYSE:LLY) was down during the first quarter after a strong 2022. Fourth quarter earnings were slightly better than expected but both Trulicity and Mounjaro, key growth drivers, missed expectations. The earnings per share beat was driven by higher gross margins and a lower tax rate. Mounjaro has additional obesity data reading out in mid-2023 along with the expected obesity approval in the second half of the year. Lilly is also working on next generation treatments for diabetes and obesity, with a new GGG and oral GLP-1 in the clinic which will report phase II data in mid-2023. Finally, donanemab for Alzheimer’s has an important trial reading out in 2Q 2023 which should be supportive of full FDA approval in early 2024.”

4. Johnson & Johnson (NYSE:JNJ) 

Number of Hedge Fund Holders: 84

Cramer’s charitable trust owns shares of Johnson & Johnson (NYSE:JNJ). Cramer talked about the company’s recent settlement related to talc litigation and how “the existential threat to the enterprise” is now over. Cramer thinks that Johnson & Johnson (NYSE:JNJ) can “work its way back to $186” and even go potentially higher. Cramer urged his club members to buy Johnson & Johnson (NYSE:JNJ) “aggressively” at current levels. Johnson & Johnson (NYSE:JNJ) is one of Jim Cramer’s top stock picks that is popular among elite money managers.

Johnson & Johnson (NYSE:JNJ)  was a part of 84 hedge funds’ portfolios at the end of Q4 2022 that held collective positions worth $5.5 billion in the company. Of those, Bridgewater Associates was the top investor and held a stake worth $630 million.

3. NVIDIA Corporation (NASDAQ:NVDA)

Number of Hedge Fund Holders: 106

NVIDIA Corporation (NASDAQ:NVDA) is another one of Cramer’s favorite growth stocks. He is bullish on the company because of its leading position in artificial intelligence and according to Cramer, “NVIDIA (NASDAQ:NVDA) is now the definition of unstoppable”. As of April 20, the stock has gained 89.34% year to date.

NVIDIA Corporation (NASDAQ:NVDA) was spotted on 106 hedge funds’ portfolios at the close of Q4 2022. These funds disclosed collective stakes worth $6 billion in the company. As of December 31, Matrix Capital Management is the most prominent shareholder and has disclosed a position worth $741 million.

Artisan Partners made the following comment about NVIDIA Corporation (NASDAQ:NVDA) in its Q1 2023 investor letter:

“Top contributors to performance for the quarter included graphics semiconductor company NVIDIA Corporation (NASDAQ:NVDA). Nvidia benefited from rising excitement in artificial intelligence (AI) as ChatGPT captured the attention of people around the world; Nvidia also experienced signs of a cyclical upturn in gaming, stability in its data center business despite economic headwinds, and continued growth in its burgeoning auto business. Notably, our top four holdings entering the quarter (Sea, Meli, Nvidia, Airbnb) which represented 24.37% of capital on December 31, 2022, increased an average of 64.42% during the quarter.”

2. UnitedHealth Group Inc. (NYSE:UNH)

Number of Hedge Fund Holders: 110

Cramer thinks UnitedHealth Group Inc. (NYSE:UNH) may be “the most consistent beat and raise companies” in the Dow. He said he would buy the stock on a pullback ahead of the company’s earnings announcement. On April 14, UnitedHealth Group Inc. (NYSE:UNH) reported earnings for the first quarter of fiscal 2023. The company reported an EPS of $6.26 and outperformed EPS estimates by $0.18. The company’s revenue for the quarter amounted to $91.93 billion, up 14.70% year over year and ahead of Wall Street expectations by $2.15 billion.

At the close of the fourth quarter of 2022, 110 hedge funds were bullish on UnitedHealth Group Inc. (NYSE:UNH) and disclosed collective stakes worth $11.4 billion in the company. Of those, GQG Partners was the largest stockholder and had a stake worth $2.1 billion.

Madison Investments made the following comment about UnitedHealth Group Incorporated (NYSE:UNH) in its Q1 2023 investor letter:

“US Bancorp, Eli Lilly, Danaher, UnitedHealth Group Incorporated (NYSE:UNH), and Apple were the largest detractors. We remain confident that UnitedHealth Group can deliver long term double digit earning per share growth from its value-based care offerings for both its government and private sector customers.”

1. Meta Platforms, Inc. (NASDAQ:META)

Number of Hedge Fund Holders: 194

Meta Platforms, Inc. (NASDAQ:META) is one of Jim Cramer’s favorite stocks right now. He has mentioned the stock multiple times recently. Cramer is bullish on the stock because of the company’s cost-cutting measures and the growth of reels. According to Cramer, Meta Platforms, Inc. (NASDAQ:META) “is a horse” and he wants to “get on this horse”.

Meta Platforms, Inc. (NASDAQ:META) was held by 194 hedge funds at the end of Q4 2022. These funds disclosed positions worth $15.5 billion in the company. As of December 31, Eagle Capital Management is the top shareholder in the company and has a stake worth $1 billion.

Renaissance Investment Management made the following comment about Meta Platforms, Inc. (NASDAQ:META) in its Q4 2022 investor letter:

“Lastly, Meta Platforms, Inc. (NASDAQ:META) declined for the quarter after reporting disappointing earnings and guidance. The company’s plan to accelerate operating expenses and capital investments despite a slowdown in the digital advertising market was not well received by investors. However, the stock pared losses in the second half of the quarter after management reversed course and announced a reduction in operating expenses for 2023 along with substantial headcount reductions.”

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