We recently published a list of Jim Cramer Shares Thoughts On Big Tech As Part Of These 12 Stocks. In this article, we are going to take a look at where Costco Wholesale Corporation (NASDAQ:COST) stands against other stocks that Jim Cramer recently discussed.

In a recent appearance on CNBC's Squawk on the Street, Jim Cramer discussed the trade deficit, interest rates, and apprehensions about the US budget deficit. He commented on the divide in thinking between older and younger people. While younger people prefer Bitcoin due to ballooning deficits, older people are more relaxed. According to the CNBC host:

"I think that older people just kind of laugh at this. And just say, I've been through this. They're not going to make any changes in Congress. So it's gonna be one-off. It'll be down. Then some people say to me, hey listen, this is going to be the Achilles Heel for the President. If they don't get this, if rates keep going, then we're gonna get into a whole new thing about inflation. Look rates should [be] higher, judging on the deficit. But again what you said, is where are they gonna go?"

However, Cramer's also disappointed in the Trump administration's efforts to reduce the deficit. While Elon Musk is adamant that his DOGE department has reduced spending, Cramer thinks otherwise as he remarked: "I just thought that we were going to have the budget cut because of DOGE. It's obviously didn't work."

Another bit of financial news that rocked markets recently was Moody's decision to cut America's credit rating from a perfect AAA to AA+. Cramer wasn't surprised as he remarked:

"I mean, I look at it as someone who just says, how could they not try to cut this deficit? How could they continue to be part of the problem. So I understand the downgrade, but I also understand the notion that if the Republican Party is no longer the party of fiscal responsibility, who is? Who is responsible?"

Our Methodology

To make our list of the stocks that Jim Cramer talked about, we listed down the stocks he mentioned during CNBC’s Squawk on the Street aired on May 19th.

For these stocks, we also mentioned the number of hedge fund investors. 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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

Story Continues

Costco Wholesale Corporation (NASDAQ:COST)

Number of Hedge Fund Holders In Q4 2024: 96

Costco Wholesale Corporation (NASDAQ:COST) is a mega American grocery retailer. Cramer frequently discusses the stock in his morning show, and his remarks are nothing but full of praise. He believes Costco Wholesale Corporation (NASDAQ:COST) is key to lower grocery prices in America as the firm uses its scale to negotiate great prices for consumers. In recent remarks, Cramer commented that Costco Wholesale Corporation (NASDAQ:COST) had a better model than Walmart because of its card. Here are his latest thoughts:

"Walmart has a line, that of five dollar food. That is quite good. And I think that no one can compete with them. And I wish the President had realized that Walmart is the lowest prices as it is. Maybe Costco."

Overall, COST ranks 10th on our list of stocks that Jim Cramer recently discussed. While we acknowledge the potential of COST as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than COST but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.

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