Jim Cramer, a former hedge fund manager, is the host of CNBC's Mad Money. Cramer expresses his views on stocks on his TV shows, which helps many ordinary investors who watch his show daily on TV make their own investments. Cramer also purchases many of the stocks he recommends for his charitable trust. David E. Shaw founded D. E. Shaw in 1988. Since its establishment, the firm has earned an international reputation for financial innovation, technological leadership, and an extraordinarily distinguished staff.
Both Cramer and Shaw are among the smartest investors in the world. And we believe that by imitating their stock picks, investors are more likely to beat the market in the long term. Below we compiled a list of stocks both Cramer and Shaw are bullish about. All stocks are in Cramer’s charitable trust as of September 15 and in Shaw’s portfolio at the end of June.
Apple Inc (AAPL): Apple designs, manufactures and markets a range of personal computers, mobile communication and media devices, and portable digital music players, and sells a range of related software, services, peripherals, networking solutions, and third-party digital content and applications. Shaw had $646 million invested in AAPL shares, he also had $148 million and $142 million invested in the AAPL put and call options respectively. Cramer had 200 shares of AAPL in his trust as of September 15. AAPL has a market cap of $350B, a P/E ratio of 14.94, and returned 16.99% since the beginning of this year. Rob Citrone had over $700 million invested in AAPL.
International Business Machs (IBM): IBM is an information technology company. Shaw had $180 million invested in IBM stocks and Cramer had 400 shares of IBM in his trust as of September 15. IBM has a market cap of $217B, a P/E ratio of 14.8, and returned 25.39% since the beginning of this year. Ken Fisher also had over $300 million IBM stock.
Du Pont (DD): DuPont offers a range of products and services for markets, including agriculture and food, building and construction, electronics and communications, general industrial and transportation. Shaw had $54.5 million invested in DD Call and Cramer had 500 shares of DD stocks in his trust as of September 15. DD has a market cap of $39B, a P/E ratio of 11.63, and lost 14.03% since the beginning of this year. Phill Gross and Robert Atchinson had $37 million of DD shares.
United Parcel Service Inc (UPS): United Parcel Service is a package delivery company. Shaw had $52.5 million invested in UPS calla and Cramer had 600 shares of UPS stocks in his trust as of September 15. UPS has a market cap of $65.2B, a P/E ratio of 16.42, and lost 6.31% since the beginning of this year. Jason Capello and Warren Buffett both hold more than $100 million in UPS (see Warren Buffett’s top stock picks).
Express Scripts Inc (ESRX): Express Scripts is a pharmacy benefit management. Shaw had $71.3 million invested in ESRX stocks and Cramer had 1,300 shares of ESRX in his trust as of September 15. ESRX has a market cap of $19.5B, a P/E ratio of 16.27, and lost 25.96% since the beginning of this year. Stephen Mandel also had $434 million of ESRX shares. Steven Cohen also had $146 million of ESRX (check out billionaire Cohen’s top stock picks).
Ensco Plc (ESV): Ensco is a global offshore contract drilling company. Shaw had $58.4 million invested in ESV stocks and Cramer had 2,100 shares of the stock in his trust as of September 15. ESV has a market cap of $9.6B, a P/E ratio of 14.55, and lost 20.19% since the beginning of this year. David Einhorn had $225 million invested in ESV. Steven Cohen also had $160 million of ESV stocks.
Sanofi Aventis (SNY): Sanofi-Aventis, a global and diversified healthcare company discovers, develops and distributes therapeutic solutions focused on patients’ needs. Shaw had $102 million invested in SNY and Cramer had 2,600 shares of SNY stocks in his trust as of September 15. It has a market cap of $90B, a P/E ratio of 15.02, and returned 8.46% since the beginning of this year. Ken Fisher invested nearly $600 million in SNY shares.
EMC Corp (EMC): EMC develops, delivers and supports the IT industry’s range of information infrastructure and virtual infrastructure technologies, solutions and services. Shaw had $63.2 million invested in EMC and Cramer had 4,000 shares of EMC in his trust as of September 15. EMC has a market cap of $46B, a P/E ratio of 23.49, and lost 2.53% since the beginning of this year. Ken Fisher holds the biggest position in EMC.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.