We recently compiled a list of the Jim Cramer Discussed These 15 Stocks Recently. In this article, we are going to take a look at where The Walt Disney Company (NYSE:DIS) stands against the other stocks.
Jim Cramer opened Monday’s Mad Money episode with the observation that CEOs gathered at the NFL’s Super Bowl game weren’t just there for football. They were there to talk business, politics, and the economy. According to Cramer, their conversations revealed what’s truly shaping corporate America’s mindset right now, with the biggest one having to do with the current U.S. President:
“Nobody can figure out Donald Trump. These CEOs are baffled… They like that he’s attacking the federal bureaucracy, but they don’t understand why Elon Musk is wasting time on the small stuff.”
He also noticed that they appear more relaxed, confident and bullish under the new regime, compared to the previous one under Biden.
“There’s been a shocking amount of new business going on… CEOs no longer feel like the government is out to get them. Even Democratic donors can’t believe how disrespected they were by the Biden White House.”
He also pointed out that all CEOs think Wall Street valuations are stretched, although Cramer is still bullish.
“They almost all think the stock market’s too high, but their own stocks are too low. When I tell them the market’s actually undervalued and I like their stocks, they nod. But they think I’m a dreamer.”
Finally, of course, the big theme was around Trump’s tariffs and their impact on the markets.
“They all hate Trump’s tariff plans. These CEOs think they’re disorganized, don’t make sense, won’t raise money, and are terrible for business. They’re free traders at heart and totally baffled by Trump’s agenda.”
Our Methodology
For this article, we compiled a list of 15 stocks that were discussed by Jim Cramer during the episode of Mad Money aired on February 18. We listed the stocks in the order that Cramer mentioned them. We also provided hedge fund sentiment for each stock as of the third quarter of 2024, which was taken from Insider Monkey’s database of 900 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 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
A packed theater of moviegoers watching a blockbuster film produced by the entertainment company.
The Walt Disney Company (NYSE:DIS)
Number of Hedge Fund Holders: 111
The Walt Disney Company (NYSE:DIS) is another company that Jim Cramer loves and during the episode, the host expressed his disbelief over the market’s reaction to its latest earnings report and praised the company’s latest numbers:
“Disney reported what I thought was a fantastic quarter on February 5th, yet the stock sold off nearly 2.5% the same day. I figured investors would snap this one up. Buy the dip! But here we are, two weeks later, and the stock still hasn’t recovered. It’s crazy. […] Just look at the turnaround in their direct-to-consumer business, mostly Disney+. It used to be a money pit, constantly burning cash. But last quarter, it generated $293 million in operating income, way ahead of what Wall Street was expecting. That’s profitable growth, and it counts.”
Ultimately, Jim Cramer sees The Walt Disney Company (NYSE:DIS)’s recent pullback as a clear buying opportunity:
“I’m sticking with my guns. That this was an excellent quarter for Disney and the weakness in the stock since the quarter is indeed a clear buying opportunity, especially if you don’t already have a position in this one.”
Overall DIS ranks 11th on our list of the stocks Jim Cramer discussed recently. While we acknowledge the potential of DIS 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 DIS but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stock To Buy Now and Complete List of All AI Companies Under $2 Billion Market Cap.
Disclosure: None. This article is originally published at Insider Monkey.
