Jim Cramer on Home Depot (HD): "I Think We're in Good Shape"

We recently published a list of Jim Cramer Put These 14 Stocks Under the Microscope. In this article, we are going to take a look at where The Home Depot, Inc. (NYSE:HD) stands against other stocks that Jim Cramer discusses.

A caller asked how Cramer thinks The Home Depot, Inc. (NYSE:HD) would perform in the long term. He replied:

“Oh man, I was making calls on Home Depot today because it’s starting to roll, and then wouldn’t you know it, it pulled back right at the end. I think we’re in good shape. I think when rates just stay stable, we’ll be fine. I think that the gardening season’s coming along fine, but let me just say, people just look at housing starts and they say, let’s sell Home Depot. Don’t be constrained by that. I think they’re going to have a great year. Let’s think seven years, not seven days. Thank you, Larry Fink for that. I love that. It was in the FT yesterday.”

Home Depot (NYSE:HD) is a retailer specializing in home improvement products, including building materials, home décor, and garden supplies. The company provides installation services for home projects and rents out tools and equipment. Earlier in May, Cramer said:

“Now, not that long ago, we dropped in on a monster Home Depot store management meeting in Vegas where we heard about some great ideas for spring gardening season, which by the way, kicks into overdrive this weekend. Unfortunately, these big weeks for lawn and garden have been overshadowed by stubbornly high interest rates and no rate cuts from the Fed, not to mention tariff worries. Now I’ve watched this stock since it came public, and there are plenty of times that Home Depot doesn’t actually march to the tune of interest rates, but instead is levered to repair and renovation.

As so many people are stuck in their homes, I’m willing to trade up because that would force them to give up that low mortgage rate that they may have gotten during the COVID period. Now we own the despot for the Charitable Trust, and while I’m not expecting a blowout by any means, I have to tell you I like it long term, and it’s down 2% for the year, well, off its highs… Home Depot stock is a great one to own because, like Walmart, these guys have the scale to cope with the tariffs that are going to be put on so many foreign-made goods that they sell at Home Depot. The little guys we know, they don’t have that kind of flexibility.”

Overall, HD ranks 10th on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of HD as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term 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.