Jim Cramer Says You Should Not Buy These 11 Stocks

4. Estee Lauder Companies Inc (NYSE:EL)

Number of Hedge Fund Investors: 51

Jim Cramer in a latest program called Estee Lauder Companies Inc (NYSE:EL) a “horrendous stock.”  Cramer said that he’s decided not to buy more of this stock unless he sees “anything positive, anything!”

“It’s the worst stock that we own now.”

Estee Lauder Companies Inc (NYSE:EL) saw a jump in hedge fund sentiment in the first quarter, as 51 hedge funds reported owning stakes in Estee Lauder Companies Inc (NYSE:EL) as of the end of June, up from 43 funds in the previous quarter.

Baron Durable Advantage Fund stated the following regarding The Estée Lauder Companies Inc. (NYSE:EL) in its fourth quarter 2023 investor letter:

“The Estée Lauder Companies Inc. (NYSE:EL) is a leading manufacturer, marketer, and retailer of prestige beauty products globally. Shares continued underperforming in the fourth quarter after management cut the company’s outlook for the fiscal year ending 6/30/2024. This downward revision was mainly driven by a worsening outlook in China, business disruptions in Israel and other parts of the Middle East, and worsening F/X headwinds. Estee Lauder’s disproportionate exposure to the Chinese consumer and the travel retail channel in Asia relative to peers continues to place pressure on both growth and margins. We decided to exit our position and reallocate to ideas in which we have greater conviction.”