We recently released a list Jim Cramer Radar 8 Sharp. In this article, we will look at Omega Healthcare Investors, Inc. (NYSE:OHI) vs. Jim Cramer's position on other stocks recently discussed.
In Wednesday's episode of "Crazy Money", Jim Cramer reviewed the latest developments that affected the drug distribution company and shed light on why he was cautious about the group. He noted that stocks of major drug distributors have retreated from their historical heights.
“For the most part, this is because some type of regulatory crackdown forces them to go bankrupt, or at least reduce their profitability a lot.”
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Cramer last week mentioned the president's executive order to lower drug prices, which triggered a sell-off in the entire drug distribution sector. He explained that the order effectively requires pharmaceutical companies to provide U.S. government drug prices that match the lowest interest rates charged by other advanced economies. Cramer said the market’s fear is simple: If drugmakers are forced to lower prices for their government customers, drug distributors can see their profit margins shrink.
"The most important thing is: I don't want to stick my neck out for an industry regardless of how drug distributors perform, and both Democrats and Republicans seem to hate the industry right now. That seems to be the only thing they agree with, right, isn't it? There are so many potential winners in this market, and I say, why take the risk?"
In this article, we compiled a list of 8 stocks discussed by Jim Cramer in "Crazy Money" aired on May 14. We list these stocks in the order mentioned by Cramer. As of the fourth quarter of 2024, we also provided hedge fund sentiment for each stock, taken from Insider Monkey’s database of over 1,000 hedge funds.
Why are we interested in stocks that hedge funds to accumulate? The reason is simple: Our research shows that we can beat the market by mimicking the top stocks of the best hedge funds. Our strategy for quarterly newsletters selects 14 small and large stocks every quarter, returning 373.4% since May 2014, beating its benchmark by 218 percentage points (See more details here).
The board of directors of the modern REIT portfolio and its financial documents are in bold titles.
Number of hedge fund holders: 21
One caller expressed concern about the security of the dividend, asking questions about Omega Healthcare Investors Corporation (NYSE:OHI). In response, Kramer said:
"I think you're worried about you're right. I think you're worried about you're right. Why? Because what exactly you're talking about. That's why I always like Ventas because I think Deb Cafaro can browse anything but the yield is much lower. I don't want to reach output."
Omega Healthcare Investor (NYSE:OHI) is a real estate investment trust (REIT) that provides capital and financing for the long-term care sector. It focuses on skilled nursing facilities in the United States and the United Kingdom.
The company recently reported its first quarter 2025 results. Omega Healthcare Investors (NYSE:OHI) reported net income of $112 million, or $0.33 per share, an increase from the same period in 2024, with net income totaling $69 million, or $0.27 per share. Year to date, the company completed $423 million in new investment by April.
Overall, oh Ranked seventh On the list of stocks recently discussed by Jim Cramer. Although we acknowledge the potential of OHI as an investment, our belief is that AI stocks have greater hope and offer higher returns in a shorter time frame. AI stocks have risen since the beginning of 2025, while popular AI stocks have lost about 25%. If you are looking for AI stocks that are more promising than OHI but have less than 5 times its earnings, check out our report Cheapest AI stocks.
Read the next article: Buy 20 Best AI Stocks Now and According to the billionaire, there are now 30 best stocks.
Disclosure: None. This article was originally published in Inside monkey.