This article presents an overview of Forget Magnificent 7: Jim Cramer Likes These ‘Super 3’ European Stocks. For a detailed overview of such stocks, read our article, Forget Magnificent 7: Jim Cramer Likes These ‘Super 7’ European Stocks.
3. Compagnie Financiere Richemont SA (SWX:CFR)
Switzerland-based luxury goods company Compagnie Financiere Richemont SA (SWX:CFR) ranks third in our list of the best European stocks on Jim Cramer’s watchlist. Cramer praised Compagnie Financiere Richemont SA’s (SWX:CFR) earnings report announced in January and said it was one of the very few companies that had positive things to say on its China business.
Richemont owns top luxury and fashion brands including Peter Millar and Cartier.
Compagnie Financiere Richemont SA (SWX:CFR) said in January that its sales in China, including Macau and Hong Kong, jumped 25% in the three-month period ending December 31, 2023. Compagnie Financiere Richemont SA (SWX:CFR) said mainland China was a “double digit positive.” Compagnie Financiere Richemont SA’s (SWX:CFR) sales were helped by travel and tourism because Chinese tourists are preferring to explore their own country including Macau and Hong Kong instead of venturing abroad.
2. Schneider Electric SE (EPA:SU)
Jim Cramer said that he was “very happy” to see Schneider Electric SE (EPA:SU) making it to Citi’s Super Seven group of stocks. Cramer said the French industrial company specializing in power products and digital automation solutions company reminds him of Eaton in which his charitable trust has stakes.
Cramer said the demand of electricity is growing rapidly “for the first time in ages” because of data centers needed for AI. Cramer said Schneider Electric SE (EPA:SU) could be a great stock to play this trade.
Cramer said the stock has run a lot which is why many analysts downgraded it citing valuation concerns. But Cramer said he is a “believer” in the stock because of the “upgrade cycle” fueled by AI and the huge increase in data center demand.
1. Ferrari NV (NYSE:RACE)
Jim Cramer said that Ferrari NV (NYSE:RACE) is in “excellent business” because the demand for sports cars is incredible and Ferrari NV (NYSE:RACE) enjoys “insane” pricing power by limiting supply. Cramer said Ferrari NV (NYSE:RACE) didn’t pour money into EVs like “every other” car company. This proved to be a “shrewd” move in hindsight according to Cramer. Instead of EVs, Ferrari NV (NYSE:RACE) invested in hybrid cars, which according to Cramer is what people “want.” Cramer said hybrid cars now account for half of Ferrari NV’s (NYSE:RACE) total cars sold. However, Cramer highlighted that Ferrari NV (NYSE:RACE) does have a fully electric car in the works which it would reveal later this year.
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