Jim Cramer Says You Should Stay Away from These 7 Stocks

3. Kraft Heinz Co (NASDAQ:KHC)

Number of Hedge Fund Investors: 43

Illinois-based food company Kraft Heinz Co (NASDAQ:KHC) is one of the stocks Jim Cramer is bearish on these days. When asked about the stock in a latest program, Cramer said that Kraft Heinz Co (NASDAQ:KHC) is one of the “storied” brands and this kind of brands don’t make a lot of money because they are not considered “fresh” by Wall Street. Cramer said a lot of products developed by Kraft Heinz Co (NASDAQ:KHC) are not that “important” which is why he hasn’t recommended the stock “in ages.”

Piper Sandler disagrees with Jim Cramer. Earlier this month the firm upgraded Kraft Heinz Co (NASDAQ:KHC) to Overweight from Neutral. Piper Sandler said Kraft’s food services business now has better visibility amid innovation in time-saving and labor-saving dispensers. Piper Sandler analyst Michael Lavery said Kraft Heinz Co’s (NASDAQ:KHC) food services business growth could accelerate by 2025. The analyst also likes the stock’s valuation and thinks Kraft Heinz Co’s (NASDAQ:KHC) FCF can offset downside risks.

Insider Monkey’s database of 919 hedge funds shows that 43 hedge funds reported owning stakes in Kraft Heinz Co (NASDAQ:KHC) as of the end of the first quarter of 2024. The biggest stakeholder of Kraft Heinz Co (NASDAQ:KHC) is Warren Buffett’s Berkshire Hathaway which has  a $12 billion stake in Kraft Heinz Co (NASDAQ:KHC).