'This stock is going much higher,' CNBC's Jim Cramer said Friday.
CNBC's Jim Cramer said Friday that global insurer and recently revealed Warren Buffett mystery stock Chubb is still undervalued. Cramer called Chubb — selling at 12 times forward earnings — "ridiculous" given the stock's 19% year-to-date rise and nearly 40% gain over the past 12 months. "This stock is going much higher," he added. CB 1Y mountain CB 1-year stock performance.
" has a great relationship with China," Cramer said on CNBC, arguing the world's second-largest economy is a "tremendous opportunity" for the insurer. During a "Mad Money" interview Thursday evening, Chubb CEO Evan Greenberg said the U.S. and Asia are the two regions of the world with theaccumulated nearly 26 million shares. The stake at Friday's stock price was worth around $7 billion. Berkshire had been keeping this purchase secret for two quarters straight as the stake was being built.
Cramer believes it's possible that Buffett could continue purchasing Chubb in the future, which would be a further catalyst for shares to go higher.
United States Berkshire Hathaway Inc Berkshire Hathaway Inc Chubb Ltd Investingclubsample Breaking News: Markets Markets Investment Strategy Jim Cramer Stock Takes Regwall-Investingclub Business News
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Jim Cramer loves Buffett's new stock, calling insurer Chubb the 'best there is'During the CNBC Investing Club's Morning Meeting on Thursday, Jim Cramer offered praise for insurer Chubb.
Read more »
Jim Cramer's top 10 things to watch in the stock market FridayStocks were lower across the board after a stronger-than-expected May jobs report.
Read more »
Jim Cramer's top 10 things to watch in the stock market ThursdayWall Street was muted heading into the open Thursday after the S&P 500 and Nasdaq records on Nvidia's surge above a $3 trillion market cap.
Read more »
Jim Cramer's top 10 things to watch in the stock market WednesdayWall Street was poised to build off Tuesday's modest gains.
Read more »
Jim Cramer says the stock market is a ‘work in progress' towards a rate cutCNBC’s Jim Cramer told investors Tuesday’s market conditions could be a good setup for rate cuts.
Read more »
Jim Cramer says don't sell Tesla, but stay away from this biotech stockJim Cramer on Tuesday offered his take on Tesla, Intel and more stocks outside the CNBC Investing Club portfolio.
Read more »