Core Viewpoint - Jim Cramer's influence on stock movements is notable, with CVS Health Corporation's stock experiencing a significant recovery following his comments, illustrating the so-called "Cramer effect" [2][4][5]. Company Performance - CVS stock has delivered a 48.80% return since Cramer's warning, rising from 66.01, marking a 47.05% increase since the start of 2025 [5][6]. - Prior to Cramer's comments, CVS stock had a poor performance in 2024, with a significant decline occurring in early December [6][7]. Market Context - The recovery of CVS stock coincided with external factors, including a proposed 4% increase in Medicare Advantage reimbursement rates in January, which contributed to the initial recovery [8]. - Cramer's comments came after a period of criticism from then-President-elect Trump regarding pharmacy benefit managers (PBMs), which affected CVS's Caremark [7]. Earnings Report - CVS released its Q4 and full-year 2024 earnings report on February 12, with both earnings and revenues exceeding analyst estimates, further supporting the stock's recovery [8].
This stock is up 50% already since Jim Cramer's warning