We recently published a list of Jim Cramer Is Talking About These 10 Stocks Heading Into December. In this article, we are going to take a look at where PepsiCo Inc (NASDAQ:PEP) stands against other stocks Jim Cramer is talking about as heading into December.
Jim Cramer in a recent program talked about President-elect Donald Trump’s Treasury pick and highlighted his enthusiasm for the stock market.
“On the other hand, President Trump was all about Nielsen ratings when he was on The Apprentice, and as president, he repeatedly said, The Dow Jones Industrial Average all-time high, and the S&P 500 were his new Nielsen ratings. He likes being rated, he likes to win, and he wants that stock market to go up to ratify his performance. That’s a big reason why the market exploded higher when he won.”
Cramer also discussed Trump’s Treasury pick Scott Bessent’s possible 3-3-3 plan that calls for bringing the budget deficit down to 3% of GDP, 3% growth and producing 3 million barrels of oil per day.
Jim Cramer said he is skeptical about Elon Musk’s efficiency plans in the upcoming Trump administration.
“Can there be a legitimate top-to-bottom change in the efficiency of our government and its associated costs? Count me as a skeptic about any attempt to change the government, including Elon Musk and Vivek Ramaswamy’s Doge thing, because every penny of spending in the budget has a constituency. When you add all those proposed cutbacks together, you face tremendous opposition. But that’s not the point. What matters is that this Treasury Secretary-designate is a serious person.”
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For this article we watched several latest programs of Jim Cramer and picked 10 stocks he is talking about. With each stock we have mentioned its hedge fund sentiment. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
A close up of a glass of a refreshing carbonated beverage illustrating the company’s different beverages.
PepsiCo Inc (NASDAQ:PEP)
Number of Hedge Fund Investors: 58
Answering a question about Pepsi in a latest program on CNBC, Jim Cramer explained why he is bearish on the stock:
“The odds are just right now… If you have the Fed cutting rates, you shouldn’t own the stock. If you have the GLP-1 you shouldn’t own the stock. If you have people saying that junk food is not good for you, you can’t own the stock. It’s just become too darn hard. So even though it’s got a 3 and a half percent yield, I do think it goes. Unfortunately, I have to say, I think it goes lower.”
PepsiCo Inc (NASDAQ:PEP) is trying to compete with The Coca-Cola Company in the U.S. liquid refreshment beverage (LRB) market. Its share in the international carbonated soft drink (CSD) market remains notably smaller when compared with Coke. To maintain its leadership in the retail industry, PepsiCo has focused on acquiring numerous convenient food brands. Amid a decline in the consumption of sugary sodas and the rise of weight loss drugs, the company is focusing on new consumer trends. In 2023, PepsiCo also unveiled two ambitious nutrition goals, aiming to further cut sodium levels and provide 145 billion servings of a variety of ingredients annually by 2030.
Overall, PEP ranks 4th on our list of stocks Jim Cramer is talking about as heading into December. While we acknowledge the potential of PEPE, our conviction lies in the belief that under the radar AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than NVDA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.