Cramer Defends Stock Picking with Apple, Microsoft, and Meta

Jim Cramer recently argued that individual stock picking should not be automatically considered speculation. He cited Apple, Microsoft, and Meta Platforms as examples of companies that retail investors can understand.

Cramer noted that the share of individuals in total stock trading volume has risen from 10% to 20% over recent decades. He pointed out that Berkshire Hathaway began building a significant position in Apple in 2016, which he attributed to factors such as the iPhone's widespread use and high customer satisfaction.

Regarding Microsoft, Cramer highlighted its strong position due to the widespread use of Windows and Office in the corporate sector, as well as its development of Azure and investments in artificial intelligence. He also mentioned Microsoft's $26 billion acquisition of LinkedIn in December 2016 and its more recent deal to acquire Activision Blizzard for $69 billion.

Cramer believes that Meta Platforms' advertising business, Threads, WhatsApp, and Mark Zuckerberg's ambition to compete in artificial intelligence make it a company worth considering. He emphasized the importance of following the development of companies' businesses rather than focusing solely on short-term price fluctuations.