During the most recent episode of Mad Money, Jim Cramer opened with a candid admission about the current state of the stock market, expressing frustration at how poorly it’s doing its job of price discovery:
“This market struggle was something real basic. It’s just not doing a good job of valuing stocks, which is exactly what a market’s supposed to do. In fact, it’s valuing them wrong so often that I think it creates a ton of confusion. And that’s a real shame because this action is people getting fed up with the stock market. Again, you can feel it. I know. And just when we’re seeing some very good gains from a host of sectors, people say bye-bye, I can’t take it. That’s what I’m moping about.”
He then criticized the market’s short-sighted skepticism around AI infrastructure investments, pointing to Nvidia’s rebound and Meta’s massive energy commitment as signs the market still misunderstands what’s coming:
“The market remains way too skeptical of the need for more AI infrastructure. […] You don’t sign up for 20 years’ worth of nuclear energy […] because you think the data center is dead or dying a slow death.”
Finally, Cramer pulled the thread back to what he sees as the real root of the problem, that is how short-sellers have re-emerged with confidence thanks to Trump’s unpredictable social media outbursts and market-moving statements:
“The short sellers aren’t in charge, but they have a lot of firepower and a lot of conviction. […] They figure they can’t lose as long as Trump’s in the White House. […] But the bottom line: these short sellers, they’ve grown way too confident. And today, we found out they can lose big — because lots of businesses are doing great.”
Our Methodology
For this article, we compiled a list of 11 stocks that were discussed by Jim Cramer during the Mad Money episodes that aired between the 27th and 31st of May 2024. We then calculated their performance for the past 12 months, until June 4th, 2025, market close. We have also included the hedge fund sentiment for the stocks, which we sourced from Insider Monkey’s Q1 2025 database of over 900 hedge funds. The stocks are listed in the order that Cramer mentioned them.
Please note that this article mentions Jim Cramer’s previous opinions and may not account for any changes to his opinions regarding the stocks that are mentioned. It is primarily an examination of how his previously provided opinions have panned out.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
10. Yelp Inc. (NYSE:YELP)
Number of Hedge Fund Holders: 26
In that older episode, a caller wondered whether Yelp Inc. (NYSE:YELP) could benefit from the AI trend by monetizing its extensive archive of user-generated reviews, much like Reddit or Getty Images had begun to do. Cramer pushed back on the idea at the time, voicing doubts about Yelp’s ability to capitalize on such a model. He replied with:
“But they don’t have earnings momentum and I don’t want to key on that by the way… Getty Images… it’s not been a good run there either… I’ve got to be very careful about what I think can do better and not from AI and I’m going to say that Yelp’s in the not category.”
Cramer was right to be skeptical as the stock only gained +1.99%.
Yelp Inc. (NYSE:YELP) is a crowdsourced local business review platform that connects consumers with restaurants, services, and retail businesses across the United States through user-generated content and advertisements.
9. Blackstone Inc. (NYSE:BX)
Number of Hedge Fund Holders: 81
In that older segment, a caller voiced concern over Blackstone Inc. (NYSE:BX) after a few months of underwhelming stock performance. Cramer acknowledged the market weakness in the private equity sector at the time, but still believed Blackstone remained a high-quality long-term hold. He said:
“The stock does not act well… That said, I know that there’s value there and I think you have to be willing to recognize that this stock could be down 10%, but the value continues. Jonathan Gray is doing a great job. They own a huge number of companies… they own a data center business that is just second to none frankly. So I say hold on to it but be prepared… we’re in a rocky moment for private equity right now.”
Cramer called it a long-term hold, and the stock rewarded him with a +16.61% gain.
Blackstone Inc. (NYSE:BX) is one of the world’s largest alternative investment firms, managing assets across private equity, real estate, credit, and hedge fund strategies.
The firm recently announced the acquisition of a utility company and Cramer had this to say about it in late May:
“We know Blackstone has a lot of data centers. We know TXNM is in the area with a lot of data centers. I still think this is motivated by the need to have cheap power. Although remember, they are not a generator.
“I think it just a great acquisition. I think all the companies that are in the business of low power, low cost power, which is in say Texas, good place, it’s a great business to be in. And John Gray who runs Blackstone, knows that this is just a, that their own data center company might be worth the price of Blackstone.”
8. lululemon athletica inc. (NASDAQ:LULU)
Number of Hedge Fund Holders: 48
In that older episode, a loyal viewer and self-described “Cramer millionaire” called in with a lighthearted anecdote about his personal fondness for lululemon athletica inc. (NASDAQ:LULU) and asked whether to buy the stock. Cramer appreciated the support but advised waiting until after the company’s next earnings report. He said:
“We have to wait for Lulu to report… All the signs are that it’s still too soon… I got to tell you, I don’t want you in Hanes or anything, I’m not doing a Gildan thing… but there’ll come a time to do Lulu, but that time is not just yet.”
Advising patience paid off as the stock rebounded +9.23%.
lululemon athletica inc. (NASDAQ:LULU) is a premium athletic apparel company known for its yoga-inspired clothing and accessories catering to both performance and lifestyle segments.
Jim Cramer remains bullish on the athleticwear brand. Here’s what he said on May 30:
“lululemon, there you go, ton of business in China, and as a matter of fact, it’s actually been a real bright spot. We did a piece earlier in the week that said that this could be a bottom for the stock, and I think it’s just too cheap. I’m sticking by that judgment.”
7. Shopify Inc. (NASDAQ:SHOP)
Number of Hedge Fund Holders: 77
In that older episode, a caller asked whether it was time to buy back into Shopify Inc. (NASDAQ:SHOP), which had dropped roughly 20% following a disappointing earnings report. Cramer wasn’t ready to recommend buying more just yet, urging caution and patience. He said:
“I think you can hold Shopify… You know, Shopify did miss, it did have some issues. I think you actually have to wait till the next quarter, see if those issues are resolved. There was a spending issue — they didn’t seem to need to spend more to get business. I do like the company very much, but I’m not going to just send you in when it’s not the sector in the market that’s doing well.”
Cramer was right to like Shopify as the stock has risen by +76.06% over the past year.
Shopify Inc. (NYSE:SHOP) is a Canadian e-commerce platform that enables businesses of all sizes to create online storefronts, process payments, and manage inventory and logistics.
Cramer commented on the stock’s weird performance following its earnings reports and said something positive about it on May 2:
“Thursday, we get Shopify’s numbers. Here’s another stock that tends to sell off on good news and then rallies when people parse it out and realize that, wow, this company’s more than just a poor man’s Amazon.”
6. Meta Platforms, Inc. (NASDAQ:META)
Number of Hedge Fund Holders: 273
A viewer asked if Meta Platforms, Inc. (NASDAQ:META) still had technological upside, particularly under CEO Mark Zuckerberg’s leadership. In that older segment, Cramer expressed strong long-term optimism, suggesting Meta was investing in something bigger than the public could yet see. He responded with:
“I think there is. I mean, I think that they’re going to be in competition in something we don’t know yet. They’re buying too many of the Nvidia cards for me to think they’re just going to continue to be just Instagram and Facebook and WhatsApp. I think there’s much more in store for us and I think you got to stay long that stock. It is not an expensive stock.”
Cramer was right to call it an inexpensive stock. It’s now up +39.66% since those comments.
Meta Platforms, Inc. (NASDAQ:META) is a technology company that owns Facebook, Instagram, and WhatsApp, and is investing heavily in AI and virtual reality platforms like the Metaverse.
When asked about the stock again recently, Cramer gave his blessing to buy it, saying:
“I like your thinking very much. I think Meta’s having a great quarter. I also think that they are without a doubt the best advertising bet. What happens if he actually starts, Mark Zuckerberg starts to want to, let’s say, monetize WhatsApp? Do you know how much that darn thing’s worth? I think you got horse sense. Good level to buy.”
5. The Walt Disney Company (NYSE:DIS)
Number of Hedge Fund Holders: 104
In that episode, a caller admitted selling their shares of The Walt Disney Company (NYSE:DIS) to buy Nvidia. Cramer didn’t criticize the move but defended Disney’s long-term potential, noting that investor Nelson Peltz had also exited the stock. He explained:
“No one’s catching a falling knife by buying Nvidia… Now we do know from my friend Scotty Wapner that Nelson Peltz is cleared out of Disney. I got to tell you, I’m in. I think he cleared out much higher. I have a big meeting tomorrow at 12:00 and I’m going to tell you why I think Disney is not something you should run away from. Not telling you to sell the Nvidia to get into Disney, but I don’t care that Nelson’s out — because I think that at these prices Nelson would probably join me in wanting to be in the situation.”
Good call by Cramer as the stock has recovered since and is now up +10.54%.
The Walt Disney Company (NYSE:DIS) is a diversified entertainment conglomerate with operations in film, television, streaming, theme parks, and consumer products globally.
Cramer remains a believer in Disney. Analyzing the stock’s recent dip on May 15, he said the following:
“Look, these things occur every day around here. Think about what happened to the stock of Disney in the last few months… A month ago, it was at $82…. People were buzzing about how the theme parks are too expensive. The sports entertainment’s too expensive. The movies are either too woke or not woke enough, depending on who you ask. You never heard anyone say, did it got the right amount? Now, one month later, Disney’s at $112 pretty much in a straight line.
The company reported a terrific quarter. Turns out people are willing to pay top dollar for the theme parks. The sports deals are making plenty of money. And I guess the movies, well, let’s say they hit the Goldilocks level, not too much, not too little. Same company, just written off by the pessimists, the ones who gave up on all that excellent expertise and intellectual property, think of the money that they didn’t make.”
4. Topgolf Callaway Brands Corp. (NYSE:MODG)
Number of Hedge Fund Holders: 29
A caller asked Cramer about Topgolf Callaway Brands Corp. (NYSE:MODG), hoping for a rebound in the stock. At the time, Cramer had lost patience with Callaway and recommended another retail stock instead. He replied:
“You know, I keep thinking it’s going to move up… and you know what I’ve decided? Just better play it with Dick’s. Dick’s has got golf. Dick’s has better run. I’m going with Dick’s.”
Cramer was right to not support the stock as it’s down -60.65% since.
Topgolf Callaway Brands Corp. (NYSE:MODG) is a golf and active lifestyle company that owns Callaway Golf and operates Topgolf, a social entertainment venue combining sports, dining, and gaming.
3. Crown Castle Inc. (NYSE:CCI)
Number of Hedge Fund Holders: 46
In that older segment, a longtime viewer asked about Crown Castle Inc. (NYSE:CCI), confused as to why the stock had struggled to recover from a steep decline. Cramer didn’t mince words about the company’s prospects. He said:
“Okay, here’s the problem: there’s no growth, and the company has been incredibly poorly managed. So I’m going to have to say stay away. I don’t want you near that stock.”
He said to stay away due to poor management and lack of growth — correct, as the stock is down -3.15%.
Crown Castle Inc. (NYSE:CCI) is a real estate investment trust (REIT) that owns and leases communications infrastructure such as cell towers and small cell networks across the United States.
2. The Estée Lauder Companies Inc. (NYSE:EL)
Number of Hedge Fund Holders: 49
In that older episode, a caller from the Investing Club asked if The Estée Lauder Companies Inc. (NYSE:EL) was worth adding to amid ongoing weakness in its China business and luxury segment. Cramer was deeply disappointed with the stock’s performance at the time and cautioned against buying more:
“Until I see something actually good out of the company I can’t keep buying it. It is a horrendous stock — the worst stock that we own now… China was bad but China’s inventory has been cleaned out… I need to see something, anything positive… even just like a maybe like a bottle of MAC.”
Cramer was brutally honest in calling it “a horrendous stock,” and rightly so as it’s down -44.51%.
The Estée Lauder Companies Inc. (NYSE:EL) is a global leader in prestige beauty, producing skincare, makeup, fragrance, and hair care products under brands like Estée Lauder, MAC, and Clinique.
1. AppLovin Corporation (NASDAQ:APP)
Number of Hedge Fund Holders: 96
A viewer asked about AppLovin Corporation (NASDAQ:APP), which had just posted strong results. Cramer enthusiastically supported the stock in that older episode, praising its breakout performance. He said:
“AppLovin had a great quarter… and people are app-lov-ing it. And I’m not going to fight you on it — it was great. And I don’t like enterprise software!”
Cramer supported AppLovin even though he dislikes enterprise software — a great call, with the stock up +381.87%.
AppLovin Corporation (NASDAQ:APP) is a mobile technology company that provides app developers with tools to monetize and grow their applications through advertising and analytics.
Jim Cramer has never been especially bullish on AppLovin. Here are his latest comments from April 23:
“AppLovin I know is one of your favorites because you think that AppLovin is one of those companies that is like, will you give me a break. But they have free cash flow. . .”
While we acknowledge the potential of APP as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than APP and that has 100x upside potential, check out our report about this cheapest AI stock.
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