We recently published a list of Jim Cramer Discussed These 10 Stocks Recently. In this article, we are going to take a look at where CAVA Group, Inc. (NYSE:CAVA) stands against other stocks that Jim Cramer discussed recently.
Last Friday, Jim Cramer, host of Mad Money, raised an interesting point about the state of IPOs and their potential growth, had the new administration approached tariff policies more thoughtfully.
“It’s worth thinking about this week for a moment and what it would’ve meant just a few months ago if things hadn’t gotten so far off the rails. What would’ve really happened? What would we have been talking about if it hadn’t been about these ephemeral issues of trade and tariffs?”
READ ALSO: Jim Cramer on These 9 Stocks Recently and Jim Cramer’s Thoughts on These 5 Stocks
He questioned what the conversation would have been like if the White House had taken a more balanced and measured stance in negotiations with trading partners, one that would not have negatively impacted the stock market or shaken consumer confidence. He speculated that if that had been the case, we might have been celebrating our tenth multi-billion dollar IPO by now.
“Except unfortunately the new president and antitrust regulators are much tougher than anybody expected, even if they’re tough in a different way from the Biden people. Turns out the Trump regulators share the same anti-business philosophy as the Biden people.”
He also discussed how recent IPOs, which were once among the most talked-about stocks, have now turned into disappointing performers in just a month. Cramer noted that when fear takes hold of the market, investors often panic and sell off even the most promising stocks. In fact, he pointed out that many of the recent IPOs have been hit hard, as nervous investors are quick to cash out.
“Now here’s the bottom line: Even after today’s rebound, tons of stocks are still so far down from their highs and I think we’ve reached a point where you can hunt for opportunities in the hardest hit names assuming you stick with the best operators.”
Our Methodology
For this article, we compiled a list of 10 stocks that were discussed by Jim Cramer during the episode of Mad Money aired on March 14. We listed the stocks in the order that Cramer mentioned them. We also provided hedge fund sentiment for each stock as of the fourth quarter of 2024, which was taken from Insider Monkey’s database of over 1,000 hedge funds.
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).
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CAVA Group, Inc. (NYSE:CAVA)
Number of Hedge Fund Holders: 47
CAVA Group, Inc. (NYSE:CAVA) was mentioned during the episode, and here’s what Cramer had to say:
“Cava started out real hot but then had a multi-month cool-off period. I started recommending it in the low $30s back in November of 2023 after Cava’s Chairman Ron Shaich, formerly of Panera Bread, convinced me that it had the potential to be the next big thing in casual dining. Now this stock then marched steadily higher through most of last year, ultimately peaking at $172 last November. That was after Cava reported a tremendous quarter and its shares shot up 19% intraday before pulling back and finishing up less than 2%.
… I never recommended this stock because I thought it was cheap though, I like Cava because I think it’s an excellent long-term, what we call, regional to national story… Their stores are doing very well and they’ve got a ton of room to expand from a regional to national player… I don’t see any signs of the concept losing momentum. When Cava reported its latest quarter, it delivered 21% same-store sales growth, for heaven’s sake. Now that the stock’s down 55% from its highs, you got my blessing to start buying Monday and if it keeps falling, you know what you should do? Buy more.”
CAVA (NYSE:CAVA) operates within the fast-casual dining sector and oversees a growing network of Mediterranean-inspired restaurants across the United States.
Overall, CAVA ranks 1st on our list of stocks that Jim Cramer discussed recently. While we acknowledge the potential of CAVA 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 time frame. If you are looking for an AI stock that is more promising than CAVA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires
Disclosure: None. This article is originally published at Insider Monkey.
