We recently published a list of Jim Cramer Says I’m With Trump & Discusses These 12 Stocks. In this article, we are going to take a look at where Carvana Co. (NYSE:CVNA) stands against other stocks that Jim Cramer discusses.
In a recent appearance on CNBC’s Squawk on the Street, Jim Cramer commented that President Trump might be lenient towards major American companies when it came to tariffs. Tariffs on foreign manufactured goods threaten American firms as well since their operations are located overseas. “I think the President is being a little more responsive to great American companies,” he said. Among these companies, Cramer wondered why should the firm that sells the iPhone have to pay considering that it is investing millions in US jobs.
Another hot topic currently in the technology and semiconductor industry is AI chip sanctions. These rules prevent AI GPUs from being sold unrestricted to most countries in the world. Commenting on the rules, Cramer commented:
“And by the way the big thing that’s on the table is the diffusion, is this ridiculous stuff that Biden put through. In the last week on Saturday night. A Saturday night special, we should call that.”
He went on to add that he hoped that the rules were reversed because “it was so selective what countries they picked that could get, the 18 countries. It made no sense.”
As for the tariffs, Cramer hasn’t held back in supporting Trump but maintained that the President should consider a lighter approach in his announcements. He kept the view this time around as he remarked:
“I’m going with the Trump view. And I think the President’s going to be very level headed about the companies, and countries, that play ball. I mean, you know you think I mean, Hyundai I had to that. Korea’s gotten a free ride. I’m waiting for when Mercedes, Volkswagen, and Beamer have to pay the price. Because they’ve had a real free ride in our country.”
“David, we’re a free trader. And everyone has abused us,” Cramer remarked to co-host David Faber.
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 March 25th.
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).
Carvana Co. (NYSE:CVNA)
Number of Hedge Fund Holders In Q4 2024: 84
Carvana Co. (NYSE:CVNA) is a new-age used car retailer whose stock has traded as a meme stock at one point. Its hypothesis is linked to new car sales, car prices, inflation, and interest rates in America. Year-to-date, the shares are flat after a selloff in February that started after its revenue per retail vehicle sold dropped. Here are Cramer’s thoughts about Carvana Co. (NYSE:CVNA):
“[On a recent upgrade] Oh I thought that was so right. They waited until it came down. It did come down a lot. And there’s another one that I think the gross margins are going higher. It’s a remarkable presence in so many different cities and they’ve lowered the price of how much it costs to be able to fix the car. They sped up. . .but Ernie Garcia, you can buy the car, sell it, I mean. . .I think Ernie’s remarkable and he braved a lot of short sellers, and he came out on top.”
Overall, CVNA ranks 8th on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of CVNA 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. If you are looking for an AI stock that is more promising than CVNA 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.
