Five beaten-down names — JPMorgan, Johnson & Johnson, Kimberly-Clark, McDonald's, Yum and Kraft Heinz — could outperform if the AI trade cools, Jim Cramer said Tuesday.
A potential $500 billion scramble to fund data-center buildouts, plus Alphabet stock sales and expected mega IPOs from SpaceX, Anthropic and OpenAI, could pressure already crowded tech names.
JPMorgan trades at about 13 times forward earnings versus roughly 15 at the start of the year, while healthcare and financials rank among the S&P 500's worst-performing sectors.
Cramer also cited Kimberly-Clark's dividend and planned tie-up with Kenvue, Yum's reported Pizza Hut sale option, and Kraft Heinz's nearly 7% yield as support outside tech.
The call came even after Nvidia-fueled gains in AI shares, underscoring his view that investors should diversify before momentum in the sector fades.