On Monday’s episode of Mad Money, Jim Cramer highlighted the many forms that market rotations can take and discussed how to recognize them.
“Secular rotations come in all shapes and sizes. You can see a rotation out of industrials into staples and utilities.”
READ ALSO: Jim Cramer Recently Looked at These 18 Stocks and 15 Stocks on Jim Cramer’s Radar.
At other times, Cramer pointed out, investors might rotate within the same broad category, exiting high-priced consumer discretionary names in favor of cheaper ones or basic necessities. He went further as he explained that sometimes the shift is from high-quality, top-performing stocks into those that are considered less attractive, simply because the excellent stocks have become too expensive in comparison. Cramer said that one can call it a move from growth to value, though he added that there is not necessarily a lot of genuine value available at this stage. He went on to say:
“But if the current crop keeps going higher and higher still, and we keep having so much fluff in the rest of the market, the nukes, the quantums, the cryptos, the flying cars, then we are indeed headed to the danger zone. Not yet, but soon.”
Our Methodology
For this article, we compiled a list of 14 stocks that were discussed by Jim Cramer during the episodes of Mad Money aired on June 9. We listed the stocks in the order that Cramer mentioned them. We also provided hedge fund sentiment for each stock as of the first quarter of 2025, which was taken from Insider Monkey’s database of 1,000 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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
14 Stocks on Jim Cramer’s Radar
14. The TJX Companies, Inc. (NYSE:TJX)
Number of Hedge Fund Holders: 77
The TJX Companies, Inc. (NYSE:TJX) is one of the 14 stocks on Jim Cramer’s radar. During the episode, Cramer made the following comments about The TJX Companies, Inc. (NYSE:TJX):
“And look, this is not isolated to tech. In retail, we had terrific names that reported great quarters, Costco and TJX, but then they failed to go up. Wow. They went down… It’s all rotation from companies that are excellent to ones with stocks that got too cheap. We’ll be safe if the market returns to Costco and TJX.”
The TJX Companies, Inc. (NYSE:TJX) is a retailer specializing in off-price apparel and home fashions. The company provides a wide range of products, including clothing, footwear, accessories, furniture, home décor, and gourmet items. On May 23, Cramer called it the “most undervalued” stock in the Charitable Trust’s portfolio, as he remarked:
“TJX might be the most undervalued stock in our entire portfolio. Why? Because it had the huge sell-off. We now wait a couple days. It’s probably going to rally.”
13. Costco Wholesale Corporation (NASDAQ:COST)
Number of Hedge Fund Holders: 93
Costco Wholesale Corporation (NASDAQ:COST) is one of the 14 stocks on Jim Cramer’s radar. While discussing Costco Wholesale Corporation (NASDAQ:COST), Cramer said:
“And look, this is not isolated to tech. In retail, we had terrific names that reported great quarters, Costco and TJX, but then they failed to go up. Wow. They went down… It’s all rotation from companies that are excellent to ones with stocks that got too cheap. We’ll be safe if the market returns to Costco and TJX.”
Costco Wholesale Corporation (NASDAQ:COST) operates membership-based warehouses and provides a broad assortment of branded and private-label products, including groceries, electronics, appliances, apparel, and home goods. Additionally, the company offers in-store and online services such as pharmacies, food courts, and travel. During an episode of Squawk on the Street aired in April, Cramer commented:
“When I listened to that I said okay now I know why Kroger goes up every day. Now I know why Costco’s strong. There, Scott Boatwright had a very, this was the Chipotle call, it was a very straightforward call basically just saying, they didn’t mention the actual price of different things, but people would rather just have a couple of meals at home. Where it’s just cheaper.”
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