In this piece, we will look at the stocks Jim Cramer discussed.
In a recent appearance on CNBC’s Squawk on the Street, Jim Cramer briefly commented on the Federal Reserve and interest rates. With debate raging in the markets about high rates, the CNBC TV host believes that lower interest rates can help the homebuilding sector. However, as technology and other firms report their earnings, Cramer remarked that the Fed was in the background. “David, when I look at what’s going with the Fed, they are a bit of a sideshow during earnings season,” Cramer said. “Particularly when it comes to what people are really talking about, when it comes to AI and data center and spend,” he added.
Our Methodology
To make our list of the stocks that Jim Cramer talked about, we listed down the stocks he mentioned during CNBC’s Squawk on the Street aired on February 5th and tweeted about. We also provided hedge fund sentiment for each stock as of the third quarter of 2025, which was taken from Insider Monkey’s database of 978 hedge funds.
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 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
12. Texas Roadhouse, Inc. (NASDAQ:TXRH)
Number of Hedge Fund Holdings: 37
Casual dining firm Texas Roadhouse, Inc. (NASDAQ:TXRH)’s shares are up by 8.5% over the past year and by 11% year-to-date. The year has been busy for the firm when it comes to analyst coverage. For instance, TD Cowen initiated coverage to set a $215 share price target and a Buy rating in January. The financial firm pointed out that Texas Roadhouse, Inc. (NASDAQ:TXRH) was experiencing strong same-store sales, which led to its future being quite optimistic. Cramer has also discussed the restaurant firm several times over the past couple of months. The key factor on his mind when it comes to Texas Roadhouse, Inc. (NASDAQ:TXRH) and other restaurant firms is beef prices, as they surged to record highs in 2025 and dented the industry’s operations. In a recent tweet, the CNBC TV host shared a chart of beef prices and commented that a dream rally could follow in Texas Roadhouse, Inc. (NASDAQ:TXRH) and other stocks if beef prices were brought down:
“You get beef down and you will see a restaurant rally of your dreams! (TXRH!)”
11. Ralph Lauren Corporation (NYSE:RL)
Number of Hedge Fund Holdings: 58
Ralph Lauren Corporation (NYSE:RL) is a well-known American apparel firm known for its brands such as Polo and Purple Label. The shares are up by 27.5% over the past year but are down by 5.4% year-to-date. Jefferies cut the firm’s share price target to $410 from $425 and kept a Buy rating on the shares in February. The results came after Ralph Lauren Corporation (NYSE:RL) reported its earnings for the fiscal third quarter. However, UBS raised the share price target to $477 from $474 and kept a Buy rating. Cramer also discussed Ralph Lauren Corporation (NYSE:RL) following its earnings report:
“Patrice Louvet again doing a remarkable job. My theme here today is there are stocks that are down huge that shouldn’t be down. Ralph Lauren, we wanted the comps numbers at seven, they came in at nine. We were looking at a number frankly for revenues, just actually much stronger than revenues. Very positive outlook. China up 30%. There’s a lot of things to really love about what Patrice is doing. . .but, look David they have the strategy of going into the top 30 cities and taking a lot of share. 250 stores soon. This is one that you have to say, look, someone wants out, they haven’t really done the work. Patrice Louvet is really smart. This has happened several times that the stock has opened down big. You buy small here and then as it goes lower, perhaps down to 28-30, you pick up a little bit more in pyramid style. This is how you buy this thing. The people are without a doubt so scared David, that I just think you go after the great ones that reported great numbers.”
10. The Home Depot, Inc. (NYSE:HD)
Number of Hedge Fund Holdings: 104
Home improvement retailer The Home Depot, Inc. (NYSE:HD)’s shares are down by 5.5% over the past year and are up by 11.3% year-to-date. UBS discussed the firm in late February. The bank reiterated a Buy rating and a $430 share price target for The Home Depot, Inc. (NYSE:HD). UBS’ coverage explained that the retailer could improve its performance once its market conditions improve. However, even though the homebuilding sector has struggled, Cramer expressed faith in The Home Depot, Inc. (NYSE:HD) in early January. While the CNBC TV host expressed hesitation about buying homebuilding stocks, he did remark that “I do want to own the stock of Home Depot.” In this episode, he commented on the impact of high interest rates on the sector. Cramer asserted that low interest rates can help these stocks and added that President Trump’s pick for the Fed Chair, Kevin Warsh, could play a role:
“My charitable trust owns Home Depot. Frankly it’s not been that good a stock but it’s coming back. And it’s coming back because there’s a belief that Warsh is going to help this industry.”
9. Eli Lilly and Company (NYSE:LLY)
Number of Hedge Fund Holdings: 114
Healthcare giant Eli Lilly and Company (NYSE:LLY) is one of Cramer’s top stocks in the sector. Throughout 2025, the CNBC TV host praised the company, not only for its weight loss drug but also for its manufacturing capacity and drug pipeline. Eli Lilly and Company (NYSE:LLY)’s shares are up by 20% over the past year and are down by 2% year-to-date. Goldman Sachs was out with an optimistic note for the firm in early February as it raised the share price target to $1,260 from $1,145 and kept a Buy rating on the shares. Like Goldman, JPMorgan also raised the share price target in February. It bumped the target up to $1,300 from $1,150 and kept an Overweight rating on the stock. JPMorgan’s enthusiasm followed Eli Lilly and Company (NYSE:LLY)’s fourth quarter earnings. The bank commented that the pharmaceutical company has growth potential due to its presence in the phase diabetes and obesity markets. Cramer didn’t hold back either when mentioning Eli Lilly and Company (NYSE:LLY):
“I think you have recognize that Eli Lilly is maybe the great drug company on Earth.”
8. Oracle Corporation (NYSE:ORCL)
Number of Hedge Fund Holdings: 122
Data center and enterprise software provider Oracle Corporation (NYSE:ORCL)’s shares haven’t performed well lately. They are down by 18% over the past year and by 27% year-to-date. Scotiabank lowered the firm’s share price target to $220 from $260 and kept a Sector Outperform rating in February. The bank explained that even though sentiment for Oracle Corporation (NYSE:ORCL)’s shares had weakened, it still believed that the technology company had significant strengths in offering GPUs as a service to AI software companies. UBS also discussed Oracle Corporation (NYSE:ORCL) in February. It cut the share price target to $250 from $280 and kept a Buy rating on the shares. UBS commented that the technology company had provided clarity regarding its funding requirements lately, which could become a catalyst for it. A key worry about Oracle Corporation (NYSE:ORCL), which Cramer has also repeatedly expressed, is the amount of capital it needs to build the infrastructure to support AI computing needs. As Google parent Alphabet’s shares struggled, the CNBC TV host didn’t hold back when discussing Oracle Corporation (NYSE:ORCL)’s financial position:
“It’s one that I still feel, you kind of want to stay away from. When Google is down 25, 30 points today, you don’t reach for Oracle. One has a balance sheet that’s so gorgeous, the other has a balance sheet from hell.”
7. Broadcom Inc. (NASDAQ:AVGO)
Number of Hedge Fund Holdings: 183
Semiconductor designer Broadcom Inc. (NASDAQ:AVGO)’s shares are up by 47% over the past year and are down by 4.4% year-to-date. Wells Fargo was out with a strong note for the firm in mid-January. It upgraded the shares to Overweight from Equal Weight and raised the price target to $430. Some factors that played into Wells Fargo’s optimism for Broadcom Inc. (NASDAQ:AVGO) were the growth in the software infrastructure market and the AI semiconductor industry. More recently, Jefferies reiterated a Buy rating and a $500 share price target on Broadcom Inc. (NASDAQ:AVGO)’s shares. The financial firm noted that Google parent Alphabet’s capital expenditure guidance and Broadcom Inc. (NASDAQ:AVGO)’s strength in the custom-on-package were some factors that drove its optimism about the company. Cramer has also discussed the chip firm several times over the past couple of months. The CNBC TV host believes that Broadcom Inc. (NASDAQ:AVGO) CEO Hock Tan is one of the most competent executives in the industry. In this appearance, he discussed the firm after Google’s earnings call:
“No, oh they’re mentioned as the great partner, NVIDIA should be up a lot and so should Broadcom. I mean obviously we have a NDX that’s down, but Broadcom was up to 23, 25 last night, I would buy that.”
6. Apple Inc. (NASDAQ:AAPL)
Number of Hedge Fund Holdings: 166
Consumer electronics giant Apple Inc. (NASDAQ:AAPL) is one of Jim Cramer’s favorite stocks. The CNBC TV host continues to hold the opinion that viewers and listeners should own the shares and not trade them. Investment bank Goldman Sachs discussed Apple Inc. (NASDAQ:AAPL) in January. It reiterated a Buy rating and a $330 share price target on the firm. The bank discussed the firm’s App Store performance in its coverage. It outlined that the App Store spending trends were improving as spending grew by 7% in January to accelerate by one percentage point over December’s 6% growth. Goldman added that the App Store growth should contribute meaningfully to Apple Inc. (NASDAQ:AAPL)’s Services business. Along with Goldman Sachs, Bernstein also praised the firm. It reiterated an Outperform rating and a $325 share price target. Bernstein cited Apple Inc. (NASDAQ:AAPL)’s record iPhone revenue and optimistic growth guidance to point out that the firm was correctly navigating the turmoil in the memory industry. Memory was also on Cramer’s mind:
“I would not want to challenge Apple with these guys having, being tied up together. This is big, this is foundational. . .
“But I will say, when I look, at what happened with Qualcomm which is you know not that friendly with Qualcomm, I come back and say Apple should be up again. Because Apple may have the lower cost phone. Qualcomm is Android, it doesn’t sound like they have this lower cost phone anymore. China is going more and more towards Apple. It’s really amazing. . .”
5. Tapestry, Inc. (NYSE:TPR)
Number of Hedge Fund Holdings: 60
Tapestry, Inc. (NYSE:TPR) is a luxury goods company. Its shares are up by 89% over the past year and by 17.8% year-to-date. UBS discussed the firm in late January as it raised the share price target to $125 from $123 and kept a Neutral rating on the shares. The bank outlined that Tapestry, Inc. (NYSE:TPR)’s upcoming second-quarter results would see the firm beat analyst forecasts for earnings per share. It added that the firm’s Coach brand appeared to be performing well in its recent quarters. Following the earnings release, Wells Fargo raised Tapestry, Inc. (NYSE:TPR)’s share price target to $165 from $142 and kept an Overweight rating on the shares. The bank pointed out that the apparel firm’s Coach brand had exceeded expectations through strong growth. Tapestry, Inc. (NYSE:TPR)’s earnings saw Coach’s revenue grow by 25% while the firm also raised its full-year earnings forecast. Cramer praised Tapestry, Inc. (NYSE:TPR)’s CEO and Coach:
“They came back and they’ve done remarkable things, and the CEO’s great. I can’t applaud, they’ve reinvigorated Coach in a way that I never thought was possible. That’s a very remarkable company. 28 billion dollars. . .”
4. The Estée Lauder Companies Inc. (NYSE:EL)
Number of Hedge Fund Holdings: 45
The Estée Lauder Companies Inc. (NYSE:EL) is one of the largest cosmetics companies in the world. Its shares are up by 52% over the past year but are down by 6.8% year-to-date. Wells Fargo started the year on a strong note for the firm. It raised The Estée Lauder Companies Inc. (NYSE:EL)’s share price target to $111 from $95 and kept an Equal Weight rating on the shares in January. However, following the earnings report, Wells Fargo reduced the target price to $105 from $111. It pointed out that The Estée Lauder Companies Inc. (NYSE:EL) experienced high expectations, which meant that the results had to be pitch-perfect. Cramer discussed the impact of China and the momentum the shares had experienced ahead of the earnings:
“Este Lauder ran up a lot, I think they’re being hurt by Chinese prices. But remember, Este Lauder went up a lot after we had a management change and then the company came back and it looked like it was going to roar. But I just don’t think they have the horses I would not own that stock, not one bit, no way, no hell. Don’t own it, they’re not coming back. . .oh my, I mean, this is, when you have these expensive products, the Chinese like some and they don’t like the others and Este Lauder’s in a lot of the wrong doors.”
Hardman Johnston Global Equity Strategy also discussed The Estée Lauder Companies Inc. (NYSE:EL) in its third quarter 2025 investor letter:
“During the quarter, we initiated three new positions in The Estée Lauder Companies Inc. (NYSE:EL), STMicroelectronics NV, and Prysmian S.P.A. Estee Lauder Companies Inc. is a leading player in a structurally attractive beauty industry that has been under-managed in recent years. Our investment thesis is supported by solid industry dynamics, with global beauty growing mid-single digits and luxury beauty growing faster. After a period of underperformance, Estée Lauder is taking steps to stabilize and regain market share. The company is successfully implementing “self-help” measures through restructuring and productivity improvements, recovering approximately 600 basis points in gross margin and over 1,000 basis points in operating margin. Combined with mid- to high-single-digit revenue growth and share gains, these improvements should drive strong double-digit earnings growth and support expanding valuation.”
3. QUALCOMM Incorporated (NASDAQ:QCOM)
Number of Hedge Fund Holdings: 63
QUALCOMM Incorporated (NASDAQ:QCOM) is one of the largest semiconductor designers in the world. Its products are used in smartphones, cars, and other products. QUALCOMM Incorporated (NASDAQ:QCOM)’s shares are down by 18% over the past year and by 20% year-to-date. Cantor Fitzgerald discussed the firm ahead of its second-quarter earnings. It outlined that QUALCOMM Incorporated (NASDAQ:QCOM) could issue weaker-than-expected guidance due to concerns about Apple’s products and problems in the Chinese smartphone market. To wit, the firm guided $2.45 and $2.65 in adjusted earnings per share and revenue of $10.2 billion to $11 billion. Both of these sat below analyst estimates of $11.11 billion in revenue and earnings of $2.89 per share. Cramer also mentioned Apple as he commented on QUALCOMM Incorporated (NASDAQ:QCOM) following the earnings report:
“They’re really hurt by memory, they’re like Sony. They don’t have a lot of memory and whoever has memory wins. Apple’s got memory, even though they don’t have as much, they complained on the call but they’re doing well.”
2. NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holdings: 234
AI GPU giant NVIDIA Corporation (NASDAQ:NVDA)’s shares are up by 42% over the past year and down by 1.8% year-to-date. Wolfe Research discussed the firm in early February. It reiterated an Outperform rating on NVIDIA Corporation (NASDAQ:NVDA)’s shares and commented that being patient was important when it came to the performance. Wolfe’s opinion mirrors Cramer, who has long advocated holding NVIDIA Corporation (NASDAQ:NVDA)’s shares instead of trading them. Goldman Sachs reiterated a Buy rating and a $250 share price target in February. The bank commented that the firm’s upcoming earnings report could see the firm post a beat and raise. Some factors that Goldman Sachs discussed included hyperscaler capital expenditure and demand from AI software firms such as OpenAI and Anthropic. Cramer commented on the recent turmoil in the memory industry:
“And then NVIDIA has all the memory in the world because Jensen went into those two companies in Korea. Which was remarkable that he thought about it because they produce so much memory there. And, once again, why you want to own NVIDIA? I recognize you’ve been taking a beating in NVIDIA. But look at the time since when I’ve been saying own it don’t trade it. There have been moments of beat downs that are extraordinary but this maybe the Muhammad Ali. This is the GOAT. Don’t mess with the GOAT.”
1. McKesson Corporation (NYSE:MCK)
Number of Hedge Fund Holdings: 73
McKesson Corporation (NYSE:MCK) is one of the largest healthcare services providers in America. Its shares are up by 59% over the past year and by 15% year-to-date. Several analysts have discussed McKesson Corporation (NYSE:MCK) in 2026. For instance, TD Cowen raised the share price target to $1,012 from $1,000 and kept a Buy rating on the shares in February. The coverage followed McKesson Corporation (NYSE:MCK)’s latest earnings report. TD Cowen commented that the firm’s pharmaceutical and cancer businesses were performing well and added that it had performed well in the earnings despite high expectations. Before the earnings, Morgan Stanley raised the share price target to $966 from $916 and kept an Overweight rating on the shares. McKesson Corporation (NYSE:MCK)’s cancer business also played a role in Morgan Stanley’s optimism. As for Cramer, the CNBC TV host has recently started discussing the firm along with President Trump:
“But do I want to point out the middleman where there’s no rest. The middleman. McKesson today, leading the S&P. This is a company that the President, it’s in his crosshairs, he has failed. They are more powerful than President Trump.”
While we acknowledge the potential of MCK to grow, 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 MCK and that has 100x upside potential, check out our report about this cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
Disclosure: None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.
