Jim Cramer likes these 7 consumer discretionary stocks for 2023


In this article

CNBC’s Jim Cramer on Friday offered investors a list of seven stocks he believes could be great additions to investors’ portfolios.

The consumer discretionary sector is down about 37% for the year. Companies in this sector tend to suffer during times of economic downturn, since consumers prioritize paying for necessities such as rent or food over discretionary purchases when their budgets are tight.

But “while most consumer discretionary stocks have been horrendous this year, we’ve had some pools of strength, too, and many of them can work in 2023,” according to Cramer.

Here are his picks:

Genuine Parts, O’Reilly Automotive and AutoZone

  • Cramer highlighted these three auto parts stocks as potential buys, stating that AutoZone is his favorite. With used car prices coming down and new car prices likely to follow, consumers are more likely to fix up their old car next year than purchase a new one, he reasoned.

Ulta Beauty

  • While the company reported a solid earnings beat and boosted its outlook earlier this month, investors shouldn’t be greedy with the stock, especially if it sees a big gain, Cramer advised.

TJX Companies

  • The parent company of T.J. Maxx, Marshalls and HomeGoods will benefit from the excess inventory the holidays will leave behind, he said. He added that because TJX operates discount retailers, its stock is a winner during times of recession, when consumers tend to trade down.

Yum! Brands

  • Cramer called the parent company of KFC, Taco Bell and Pizza Hut a great value proposition for consumers.


  • He said he expects Starbucks to make a powerful comeback in China once the company’s economy fully reopens.

Disclaimer: Cramer’s Charitable Trust owns shares of TJX Companies and Starbucks.

Jim Cramer’s Guide to Investing

Click here to download Jim Cramer’s Guide to Investing at no cost to help you build long-term wealth and invest smarter.

Sign up now for the CNBC Investing Club to follow Jim Cramer’s every move in the market.


Questions for Cramer?
Call Cramer: 1-800-743-CNBC

Want to take a deep dive into Cramer’s world? Hit him up!
Mad Money TwitterJim Cramer TwitterFacebookInstagram

Questions, comments, suggestions for the “Mad Money” website? madcap@cnbc.com

Products You May Like

Articles You May Like

Comcast beats expectations even as broadband growth slows, Peacock racks up losses
Bill Gates says no country ‘gets an A’ for its Covid pandemic response—including the U.S.
Southwest forecasts lingering losses as bookings slow in wake of holiday meltdown
Top Wall Street analysts pick these stocks to climb 2023’s wall of worry
‘Outright negative’ on stocks: JPMorgan’s Marko Kolanovic braces for correction, hard landing

Leave a Reply

Your email address will not be published. Required fields are marked *