Is Johnson & Johnson (NYSE:JNJ) a Cheap NYSE Stock to Invest in According to Hedge Funds?

On March 26, Jack Caffrey of JPMorgan Asset Management provided an investigation of marketplace trends successful a treatment connected CNBC’s ‘Squawk Box’. He emphasized diversified portfolios built astir antithetic exposures during periods of volatility. Caffrey believes successful the value of ‘time successful the market’ implicit ‘timing the market’. He highlighted the trouble successful predicting erstwhile fearfulness oregon euphoria volition dominate, arsenic immoderate of the champion marketplace days travel utmost pessimism. Caffrey besides discussed the October sell-offs successful 2022 and 2023, wherever galore strategists expected further marketplace tests astatine levels similar 3200 oregon 3300 connected the S&P 500. However, alternatively of panic selling, the marketplace experienced rebounds successful 2023 and 2024. He observed that implied volatility reached the precocious 20s during caller corrections, but did not bespeak wide panic.

Caffrey besides discussed however the MAG7 drives marketplace trends. While these stocks led maturation successful aboriginal 2020, their momentum yet faded. This led to corrections alternatively of broadening. Investors began exploring 2nd and 3rd derivative trades stemming from AI developments, specified arsenic accrued energy request and improvements successful earthy state markets. He noted that mean reversion often occurs erstwhile superior trades go well-understood and wide owned. He suggested that markets would apt beryllium led by net alternatively than valuation. Caffrey acknowledged that portion immoderate stocks wrong the MAG7 person posted net maturation that makes their valuations much reasonable, traders are progressively seeking opportunities successful overlooked sectors similar vigor and businesses benefiting from a weaker dollar. For instance, lipid prices person remained down contempt vigor starring the marketplace show this year.

Stimulus measures successful Europe are besides shifting from monetary to fiscal policies, which creates further opportunities for investors.

We sifted done the Finviz banal screener to compile a database of the apical NYSE-listed stocks. We past selected the 11 stocks with a guardant P/E ratio nether 15, arsenic of April 8, that were besides the astir fashionable among elite hedge funds and that analysts were bullish on. The stocks are ranked successful ascending bid of the fig of hedge funds that person stakes successful them, arsenic of Q4 2024. The hedge money information was sourced from Insider Monkey’s database which tracks the moves of implicit 900 elite wealth managers.