CNBC’s Jim Cramer on Friday named four stocks that he believes could mount a comeback this year.
To come up with his picks, he parsed through last year’s worst-performing stocks listed in the Nasdaq 100.
“Out of the Nasdaq’s biggest losers, I think Qualcomm, Lam Research, Micron, and Airbnb will work this year, although not necessarily the first half,” he said, adding, “and don’t forget Illumina.”
Here are his thoughts on each stock:
- Cramer said that while Wall Street expects the semiconductor company to start losing iPhone orders in 2024, it’s possible the company could hold to at least some of those orders due. The company’s push into the auto market should also help the stock, he added.
- He acknowledged that the near future could be ugly for chipmakers. However, “you can’t afford to wait around too long after this next bad quarter, because Lam’s stock will bottom months before the business does,” he said.
- He advised investors to wait several months to buy shares of Micron, but make sure to do so before the chip glut is over. “Once there’s any sign of a bottom, this thing will bounce back like crazy — always has,” he said.
- Cramer said that the company should continue to make money this year thanks to the current travel boom. Investors interested in the stock should buy it gradually on the way down, he added.
- He said that while the company is “superb,” he’d rather own shares of Danaher than Illumina.
Disclaimer: Cramer’s Charitable Trust owns shares of Qualcomm and Danaher.