8 Stocks on Jim Cramer’s Radar

1. The Goldman Sachs Group, Inc. (NYSE:GS)

Number of Hedge Fund Holders: 72

The Goldman Sachs Group, Inc. (NYSE:GS) is a leading international financial services firm, known for its specialization in investment banking, wealth management, and various other financial offerings. Talking about the company, Cramer said:

“Last week we finally got some positive action for the stock market in 2025 with the S&P 500 gaining nearly 3% and turning positive for the year. Cooler inflation data pushed down long-term interest rates and we got flooded with great earnings reports. So what performed best during last week’s rally? When you look at the top performers, there are really some interesting patterns here. Two of the big banks that reported strong quarters made the list. Both Goldman Sachs, which we own for the Charitable Trust, and Citigroup rallied 12%.”

Before Goldman Sachs (NYSE:GS) reported its 2024 full-year and fourth-quarter earnings, Cramer highlighted the favorable environment for mergers and acquisitions this year, which he believes bodes well for the bank’s performance. According to Cramer, stocks like Goldman Sachs are currently trading at relatively low price-to-earnings multiples, making them an attractive option. He added:

“I like these stocks and they’re well off their highs with very low price-to-earnings multiples. Could it be a real opportunity? I think so.”

Cramer noted that he and his team have been purchasing shares of Goldman Sachs (NYSE:GS) for their Charitable Trust portfolio, pointing out that a healthy economy tends to produce favorable outcomes for financial companies, independent of factors like the bond market or the actions of the Federal Reserve. Moreover, with fewer credit problems on the horizon, Cramer sees a positive outlook for these stocks moving forward.

While we acknowledge the potential of The Goldman Sachs Group, Inc. (NYSE:GS) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than GS but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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