CNBC host and financial television personality Jim Cramer is known for his stock picking skills — or to some, the lack thereof.
With the market down in 2022, Cramer found some stocks trading at 52-week lows that he thinks could be set to bounce.
What happened: Love him or hate him, Cramer is one of the most famous financial television personalities. Some say his picks often go the opposite of what he says, which led to the creation of an Inverse Cramer ETF. Others have seen success stories over the years when Cramer was right.
Cramer noted that there are 59 stocks in the S&P 500 that recently hit new 52-week lows. Cramer singled out 14 of them that could “pop.”
“The S&P (500) is down nearly 25% for the year, and we’re eleven months into the bear market. The average bear market only lasts about 13 months. So maybe we have an expiration date and it will be close, some of these are going to pop,” Cramer said.
Cramer was used PepsiCo PEP as a stock to illustrate his thesis.
“PepsiCo didn’t like anything going into today’s earnings report.”
Cramer said the stock roared higher on a “great surprise update” on what was a “sedate” trading day.
Pepsi could have headwinds that turn into tailwinds, Cramer added.
“I’m just trying to give you a more constructive perspective based on the prism of PepsiCo, a tragic run that suddenly turned into a big winner, and I think PepsiCo is just getting started.”
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The 14 Stocks: Here are stocks trading at 52-week lows (Wednesday) that Cramer thinks could go higher:
KeyCorp KEY
Bank of America Corp BAC
JPMorgan Chase & Co JPM
Accenture Plc ACN
Service Today NOW
Domino’s Pizza DPZ
yum! Brands, Inc. YUM
Generac Holdings Inc. GNRC
Stanley Black & Decker, Inc. SWK
S&P Global Inc SPGI
American Tower Corp AMT
Crown Castle Inc CCI
SBA Communications Corporation SBAC
Mid-America Apartment Communities Inc MAA
Cramer added comments on all 14 stocks. Here are some of the highlights:
“Most people have almost nothing in their savings,” he said, arguing banks like Bank of America and JPMorgan could invest in treasuries and earn 4%.
Cramer likes both Yum! Brands and Domino’s, adding that he doesn’t know “which one will come first.” There may be a downside to both, but if the Fed can rein in inflation, these stocks could benefit.
Cramer said Stanley Black & Decker’s investment may be early, but it is an established company.
“This is everybody’s go-to tool maker, should it really be thrown away like this?”
Cramer likes cell tower companies because the FCC won’t allow phone companies to merge, which benefits the phone tower companies from more “long-term growth.”
Mid-America Apartment Communities has buildings in the South, one of the hottest markets in the country “where housing is in short supply.” Cramer said it would be “simply stupid” to sell this stock.
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