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Stock Market Today With Jim Cramer: Wendy's Multiple Not 'Sustainable'

Wendy's was caught up in the meme-stock craze Tuesday. Jim Cramer doesn't think the multiple will hold up.

Stocks edged higher as investors maintained a focus on inflation.

Here are some of the stories Jim Cramer is watching:

Wendy's Multiple Not Sustainable

One of Jim Cramer’s favorites, Wendy's  (WEN) - Get Wendy's Company Report, shot up more than 15% intraday Tuesday after getting caught up in the meme-stock craze.

Cramer is still bullish on the fast food company as he notes that short interest in the stock is only 4.4%. But the stock is also trading at 30 times 2023 earnings, which he regards as "unsustainable."

The rise in Wendy's stock, seemingly driven by no specific news, matches the activity seen in other stocks that have captured the imaginations and pocketbooks of retail traders.

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These investors are encouraging one another on message boards like Reddit to jump into the stock-trading game on expectations of quick profits.

Cramer Is Still a Believer in Bitcoin

Bitcoin prices were falling sharply again Tuesday. The cryptocurrency recently had fallen nearly 11% in 24 hours. Cryptocurrencies declined across the board after the FBI seized back bitcoins that had been paid as ransom in the Colonial Pipeline cyberattack. 

Read More: Bitcoin 2021: Takeaways From Miami Conference

Cramer's Take on GameStop Ahead of Earnings

Jim Cramer sees a GameStop  (GME) - Get GameStop Corp. Class A Report pivot as the only way to sustain the growth the stock has seen since it became the darling of meme-stock investors. 

Analysts are expecting GameStop to report a first-quarter loss of 82 cents a share on revenue of $1.16 billion. It reports on Wednesday.