11 Stocks Jim Cramer Discussed As He Revealed How To Become ‘King’ Of AI

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3. Robinhood Markets, Inc. (NASDAQ:HOOD)

Number of Hedge Fund Holders In Q1 2025: 76

Robinhood Markets, Inc. (NASDAQ:HOOD) is one of Cramer’s top stocks. The firm’s shares have gained 165% year-to-date and are one of the best-performing on the market. Robinhood Markets, Inc. (NASDAQ:HOOD) has done well because of its early mover advantage in the retail trading segment of the stock market. This advantage has allowed the firm to eke away market share from traditional players such as Charles Schwab. However, in a classic case of high expectations, Robinhood Markets, Inc. (NASDAQ:HOOD)’s shares dipped by 5.8% in July after the firm’s second-quarter earnings release, which saw management hint at higher costs stemming from a recent acquisition. Here is what Cramer said about Robinhood Markets, Inc. (NASDAQ:HOOD):

“Now, what do you think about something like a Robinhood? Where it just turned out to be too high, it went into the quarter, the numbers were extraordinary, they’ve got millions of people using. . .and it wasn’t enough.”

Here are Cramer’s previous remarks about Robinhood Markets, Inc. (NASDAQ:HOOD):

“PARC exhausts me. I’m talking about my handy acronym for Palantir, AppLovin, Robinhood, and Coinbase. These are four of the many stocks that seem to have no quit in them, even if they all pulled back hard into the close today, giving us a rare moment to evaluate them on relative weakness. It’s better for me to talk about these stocks on a down day so you can get a discount if you were so inclined…

Now, even though I say PARC, these four stocks are just representatives of what’s been going on in this market. They’re actually the best of the lot. They have earnings. They have analysts following them who come up with estimates. Although judging by the way people have been buying these names, neither of them, those things like estimates and analysts, seems to matter at all…

While flying cars and experimental batteries don’t yet make money, PARC does, lots of it, oodles. Palantir, AppLovin and Robinhood, and Coinbase, they’re all pretty darn profitable. By comparison, during the dot-com era, most of these red-hot companies had little to no revenues and were actually running out of money, constantly tapping the public markets, at the same time that insiders were furiously [sell, sell, sell] their own stock because they knew there was no justification for these sky-high valuations. They got out.”

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