Jim Cramer is one of the top watched TV personalities on CNBC. He is the host of Mad Money and also the co-founder and chairman of TheStreet.com. Nearly two hundred fifty thousand people watch his show daily on TV and most of these are ordinary investors trying to understand what’s going on in the market. Jim Cramer’s bullish and bearish stock picks on his show is the starting point for many investments made by these folks. We will try to help these people by analyzing hedge fund holdings in these stocks.
On April 12th Jim Cramer was bullish about the following stocks:
Apple (AAPL): Cramer said Apple nosedived recently due to institutional selling but seems to start increasing again. “The fundamentals of this company are fantastic” Cramer said. Nearly 200 hundred hedge funds own 4% of the outstanding shares. Hedge fund stars like David Einhorn, John Griffin, Stephen Mandel, Chase Coleman and John Burbank all own AAPL in their portfolio.
Verizon (VZ) and AT&T (T): When one viewer asked Cramer to pick between Verizon and AT&T Cramer said he likes both stocks but he thinks Verizon has better prospects. He likes their FIOS plan. Bruce Berkowitz’s Fairholme and Phill Gross’ Adage Capital have the two largest positions in Verizon. These two funds also have the two largest positions in AT&T.
Cliff Natural (CLF): Cramer expects CLF to benefit from the Japanese earthquake. John Burbank’s Passport Capital and Phil Falcone’s Harbinger Capital are among the hedge funds with Cliff Natural Resources (CLF) holdings.
Ford Motor (F): Cramer believes in this American carmaker. Jim Chanos is short Ford. Robert Bishop’s Impala Asset Management, Bill Miller’s Legg Mason, and Leon Cooperman’s Omega Advisors have the largest positions in Ford.
Joy Global (JOYG): Cramer talked to Joy Global’s CEO during his show. He is bullish about this stock as well. Jim Simons’ Renaissance tops the list of hedge funds with JOYG holdings.
Devon Energy (DVN): Cramer interviewed Devon Energy’s CEO John Richels. Devon is moving more into oil. The company also got rid of some of its assets that are hard to drill environmentally. Jonathan Jaconson’s Highfields Capital had $103 Million invested in Devon at the end of December, followed by John Lykouretzos’ Hoplite’s $83 Million investment.
Ciena (CIEN): Cramer recommended Ciena in the Lightning round. This isn’t a very popular stock among hedge funds. Kleinheinz Capital had the largest holdings at the end of December with a $32 Million position.
Chipotle Mexican Grill (CMG), Netflix (NFLX), and Panera Bread (PNRA): Cramer said money managers are getting out of oil and gas stocks, and they are buying defensive high-growth stocks such as CMG, NFLX, and PNRA. Jim Simons had the largest position in CMG and PNRA, and John Griffin’s Blue Ridge Capital had the largest position in NFLX.
McDonald’s (MCD), Procter&Gamble (PG), and Phillips-Van Heusen (PVH): Cramer also said fund managers are flocking into low growth defensive stocks such as MCD, PG, and PVH. James Crichton’s Scout Capital had the largest position in MCD at the end of December. Warren Buffett is by far the largest investor in PG with nearly $5 Billion invested. Hedge funds don’t really like PVH that much. Jeffrey Vinik had the largest position among hedge funds with a $19 Million position at the end of December.
Jim Cramer was bearish about the following stocks:
F5 Networks (FFIV): Cramer recommended selling into strength. This was one of the stocks Wall Street analysts expected to dive the most. Coatue Management and Renaissance Tech had the two largest positions in this stock at the end of December. Jim Simons is probably following a momentum strategy.
Alcatel Lucent (ALU): Cramer revealed that he is bearish about ALU in the Lightning Round. There weren’t any hedge funds with significant positions in ALU.
OpenTable (OPEN): Cramer again mentioned that he is bearish about OpenTable. Cramer likes OpenTable’s business model but thinks the stock is overpriced at its current levels. John Thaler’s JAT Capital and Steve Cohen’s SAC had the two largest positions in this stock.