Unpacking Jim Cramer’s Latest Picks: Where Does Uber Fit In?
In our latest breakdown, we evaluate 10 stocks recommended by financial guru Jim Cramer, highlighting how Uber Technologies, Inc. (NYSE: UBER) stacks up against other prominent stocks he’s recently mentioned.
Cramer, known for his insightful commentary on CNBC, has not been shy about addressing the complexities of the current market landscape. In a recent episode, he discussed President Donald Trump’s criticisms of Federal Reserve Chair Jerome Powell, suggesting that he foresaw such tensions brewing. Cramer is a clear supporter of Powell, noting that the Fed chairman finds himself in a precarious position. He articulated, “It’d be ‘illegal’ for Trump to fire Powell,” emphasizing the difficult climate the Fed faces in our inflationary environment—particularly with tariffs leading to rising prices.
Cramer’s insights on inflation are particularly relevant. “The Federal Reserve never cuts rates when inflation’s out of control,” he highlighted, suggesting that the pressure on Powell to lower rates is amplified by rising costs—something every investor should consider. This delicate balance makes for an intriguing environment for equity investors, especially those like Uber, which operate at the intersection of consumer demand and economic shifts.
Picking Stocks with Hedge Fund Wisdom
Why do we care about the stocks favored by hedge funds? Research shows that mimicking the investment strategies of successful hedge funds can lead to outsized returns. At Extreme Investor Network, we consistently guide our subscribers toward stocks with significant hedge fund interest. For example, UBER currently has 136 hedge fund investors backing it, highlighting its recognition as a viable investment choice.
For context, our proprietary quarterly newsletter boasts impressive historical performance—373.4% since May 2014, outpacing its benchmark by an astounding 218 percentage points. This track record reinforces the value of aligning with hedge fund favorites.
Uber on Cramer’s Radar
During one of his latest broadcasts, Cramer directly endorsed Uber Technologies. "Uber’s a buy. You want to buy Uber right here. I’m telling you,” he stated, and for good reason.
The company is not just a ride-hailing service; it’s evolving into a comprehensive platform encompassing food delivery and freight logistics—each with substantial market potential. In a recent investor letter, Hardman Johnston Global Equity Strategy reaffirmed their position in Uber, highlighting:
- Market Penetration: Uber operates in over 10,000 cities across approximately 70 countries, holding more than 65% market share in many of its ride-sharing markets.
- Growth Potential: The company’s continued expansion and innovation, including its Uber One membership program, promise to enhance customer engagement and loyalty.
- International Opportunities: International markets make up about half of Uber’s business and are key for future growth.
Conclusion: Uber’s Position and Future Outlook
Currently, Uber ranks 2nd on our list of stocks to watch from Cramer’s recent discussions. While we acknowledge its significant potential, we believe that AI stocks offer an even more compelling opportunity for higher returns in the near term. Notably, there’s a particular AI stock that has surged since the start of this year, even outperforming popular names that have seen losses.
If you’re considering investing in AI, we invite you to explore our latest report on the cheapest AI stock that trades at less than five times its earnings—potentially a more lucrative bet than Uber.
What to Read Next
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