On Tuesday, February 23, 2021, at Nvidia’s headquarters in Santa Clara, California. Getty Images/David Paul Morris/Bloomberg As the second half of 2021 begins, CNBC’s Jim Cramer looks at some of the best-performing stocks of the second quarter. Only one of the top five components in both the S&P 500 and Nasdaq Composite indices was a reopening play, according to his analysis. The top stocks of the second quarter, according to the “Mad Money” host, are listed below. The following are stock price changes from March 31 to Wednesday, June 30: S&P 500Nvidia is up 49.85%. “This is a corporation that has a stranglehold on artificial intelligence and graphics processors and has grown to be our top semiconductor manufacturer. The corporation is now valued at $516 billion, up from $15 billion five years ago “Cramer explained. “Nvidia has taken off in the last three months, thanks to its fantastic raised guidance and the growing likelihood that regulators around the world will allow it to acquire a company called Arm Holdings, a British chipmaker that makes central processing units for both cellphones and personal computers.” Devon Energy owns 33.59 percent of the company. “Wall Street is sick and tired of oil companies who spend above their means and are terrible stewards of capital,” Cramer said, adding that CEO Rick Muncrief “understands that Wall Street is sick and tired of oil firms that spend beyond their means and are dreadful custodians of capital.” “When oil prices are high, like they are right now,” he noted, “the new Devon has a variable dividend that provides you a tremendous yield.” “We’re talking about a 7% yield here if crude stays above $60 per barrel. It’s no surprise that folks enjoy the second half as well.” Pool Corporation owns 32.85% of the company. “You might think Pool is an odd choice for our list, but keep in mind that the home market is on fire. [as] a result of growing home values. People are considerably more willing to make improvements to their homes, such as installing a pool “Cramer explained. “I think this stock will do just fine as long as housing remains robust.” Gartner has a 32.68 percent market share. “This is a consulting firm that specializes in everything connected to enterprise technology, but is most renowned for its in-person conferences. It’s a narrative about unmet need “Cramer explained. “While the company did OK during the epidemic, it’s apparent that investors expect they’ll see a big lift in the second half as those conferences resume,” Cramer continued. “With the stock up 32% in the last quarter, I believe the easy money has already been made. This isn’t my cup of tea.” Equifax has a 32.23 percent market share. “Equifax surprised Wall Street with better-than-expected earnings and a more aggressive buyback program. This might be a fantastic second-half story, in my opinion “Cramer explained. “This could be the single most underappreciated financial technology play.” Nasdaq CompositeModerna (79.44%) Nasdaq CompositeModerna (79.44%) Nasdaq CompositeModerna “Moderna is a sell if you believe Covid is behind us. If you assume the delta variety is only the beginning and that we’ll require booster doses on a regular basis, think again “Cramer explained. “The most important test for me is whether Moderna can produce tailored cancer vaccines… in time to counteract the fall in Covid sales,” he added. “I believe the stock is overvalued at this point because, even if they are successful at cancer vaccines, the comparisons are difficult due to their success with Covid.” Nvidia has a 49.85% market share. In the second quarter, Nvidia was the Nasdaq’s best-performing stock. After reviewing the stock’s position on the S&P 500’s best-performer list, Cramer passed it up. DocuSign has a 38.9% market share. “People frequently associate DocuSign with Zoom, two products that took the world by storm during the epidemic,” Cramer said. “However, although Zoom is facing new competition and may suffer once business travel resumes, DocuSign is gaining traction and introducing new categories, such as the agreement cloud.” Idexx Laboratories has a 29.07 percent market share. “While Idexx is always pricey — it currently trades at 80 times earnings,” Cramer explained, “it always justifies that valuation with spectacular outcomes.” “Another 29 percent gain may be difficult to replicate, but I believe the company will indeed surprise in the second half.” Intuit has a 27.96 percent market share. “I believe Intuit has a very strong chance of continuing its successful ways, if only because the products are becoming better and better,” Cramer said. “I don’t think you comprehend how fantastic these people are unless you own a small business.” “Intuitive Surgical rose 24 percent last quarter because it has a massive replacement cycle and still has a ton of room to take market share, given all the customers for its fantastic machine,” Cramer said. Nvidia is a stock that Cramer’s charitable trust owns. Disclaimer Do you have any questions for Cramer? Cramer may be reached at 1-800-743-CNBC. Interested in learning more about Cramer’s world? Make contact with him! Money that’s out of control Jim Cramer on Twitter Twitter, Facebook, and Instagram are three of the most popular social media platforms. Do you have any questions, suggestions, or comments for the “Mad Money” website? madcap@cnbc.com/n
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