On Friday’s episode of Mad Money, Jim Cramer reflected on this week’s market performance, with attention to upcoming earnings reports and broader market sentiment.
“Now we’ve been on a real rebound since post-Liberation Day meltdown back in the first week of April, with tech leading the way after really taking it on the chin.”
READ ALSO Jim Cramer Recently Commented On These 12 Stocks and Jim Cramer Put These 8 Stocks Under a Microscope Recently
According to Cramer, the rebound has been largely driven by tech stocks, which had previously been under pressure. However, he expressed uncertainty about whether that trend will hold, as he mentioned that the tech sector has been relatively quiet in terms of news, aside from a keynote from Jensen Huang. Looking ahead, Cramer noted that more retail earnings are expected this week.
“But here’s the bottom line: Unless we get news of new hostilities in the trade war with China, I think this market’s propensity will still be to go higher, even though we are overbought. And even with this late-night credit rating downgrade of the US debt, which is very quizzical to me, I think we’re containing the downside of the economy, and that means no recession, which tells me the negativity may be out of sync with the reality. That’s often the best kind of market…”
Our Methodology
For this article, we compiled a list of 15 stocks that were discussed by Jim Cramer during the episodes of Mad Money aired on May 16. We listed the stocks in the order that Cramer mentioned them. We also provided hedge fund sentiment for each stock as of the fourth quarter of 2024, which was taken from Insider Monkey’s database of over 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).
Jim Cramer Had These 14 Stocks On His Radar
15. Deckers Outdoor Corporation (NYSE:DECK)
Number of Hedge Fund Holders: 66
Cramer called Deckers Outdoor Corporation (NYSE:DECK) “excellent operators” and noted that the company is unlikely to report another bad quarter.
“You want a company that’s in a suddenly red-hot segment of the shoe business? Look at Deckers. Think about this, think about what’s happening in the shoe business. First, we get, Sketchers gets a bid to go private. Huge win. Then we got this spectacular quarter from On Holding. On top of that, DICK’s Sporting Goods pays almost twice the price to acquire Foot Locker, a remarkable bid.
So last time, Deckers, which owns HOKA and UGG, reported its first disappointing quarter in ages, and the stock was just clubbed. HOKA was incredibly strong, though UGG didn’t have enough inventory, so there was no blowout, and the stock got crushed. These guys are excellent operators, though, so I don’t think that will happen again. I’m inclined to be in favor of Deckers ahead of the quarter here.”
Deckers (NYSE:DECK) sells a variety of footwear, clothing, and accessories. The company’s lineup includes high-end UGG items, performance products from HOKA, and casual shoes and sandals from brands such as Teva, Sanuk, Koolaburra, and AHNU.
14. Intuit Inc. (NASDAQ:INTU)
Number of Hedge Fund Holders: 89
While Cramer noted that Intuit Inc. (NASDAQ:INTU) stock is expensive, he said that it is “worth it”.
“Now, we got a bunch of controversial ones coming on Thursday. Intuit is a stock that’s been all over the map, but the company’s a godsend for small business owners. The stock’s expensive here. I think it’s worth it.”
Intuit (NASDAQ:INTU) provides a wide range of financial, compliance, and marketing offerings, including tools for managing businesses, services for tax preparation, platforms for personal finance, and solutions for automating marketing tasks. During an episode of Squawk on the Street in February, Cramer remarked:
“Carl there was a thought that maybe Intuit was not gonna make the quarter. Uh, its [inaudible] about global business solutions. Consumers only have three percent. But, uh, Credit Karma was magnificent, uh, 16% dividend boost. Morgan Stanley goes hold to buy, fantastic, just fantastic situation. I like those guys very much. I think people really misjudge, there are small businesses still very strong in this country.
… [On whether tax filing plays a large role] They’ve managed to be able to kind of avoid that by making it really much more small businesses. Uh, and, wow I mean having used it as a restaurant owner it’s a really extraordinary, it’s a powerful product. Makes it easygoing.”
13. Ralph Lauren Corporation (NYSE:RL)
Number of Hedge Fund Holders: 43
Advising not to “look further than” Ralph Lauren Corporation (NYSE:RL), Cramer stated:
“Now, if you’re looking for an apparel company that keeps delivering and delivering, I suggest you look no further than Ralph Lauren, which is captained by Patrice Louvet, a man with both excellent taste and the intelligence to tell the story to every age group. Ralph Lauren reports Thursday morning, I’d buy this one ahead of the quarter too.”
Ralph Lauren (NYSE:RL) is a famous designer, marketer, and retailer of lifestyle products such as clothing, home goods, and accessories. Commenting on the company on April 8, Cramer said:
“Finally, there’s Ralph Lauren. Exact same pattern, $289 goes down to $182. And in this case, the company reported a dramatic upside surprise… CEO Patrice Louvet was hailed as the exec who really got it right. Unfortunately, Ralph Lauren also makes a lot of clothes, you guessed it, in Vietnam. So the stock’s been obliterated.”
12. Snowflake Inc. (NYSE:SNOW)
Number of Hedge Fund Holders: 85
While Cramer noted that he would have to “wait and see” a few companies’ performance, he mentioned that Snowflake Inc. (NYSE:SNOW) was not one of them.
“Now that’s not how I feel about Snowflake, though. The data storage and analytics company with a business that is on fire. Last quarter was terrific. I think this one will be too.”
Snowflake (NYSE:SNOW) provides a cloud data platform that helps organizations organize their data, build applications, and solve business problems using AI. Artisan Partners stated the following regarding Snowflake Inc. (NYSE:SNOW) in its Q1 2025 investor letter:
“During the quarter, we initiated new GardenSM positions in Baker Hughes, Snowflake Inc. (NYSE:SNOW) and Viking. Snowflake is a leading cloud data warehouse and analytics platform, benefiting from the ongoing shift away from on-premise infrastructure. Its cloud-native architecture enables greater scalability, faster performance and improved efficiency for businesses managing large data sets. We see upside as a new management team refines the company’s sales and marketing strategy, aligning it with the growing demand for tools that help organizations organize and analyze data. While competition bears watching, we believe Snowflake is well positioned to help its customers structure data to take advantage of increasingly powerful AI models.”
11. Medtronic plc (NYSE:MDT)
Number of Hedge Fund Holders: 67
Noting Medtronic plc (NYSE:MDT) stock’s inconsistency, Cramer advised investors to “wait and see”.
“Also, Wednesday, we hear from Medtronic, and I like this medical device powerhouse, but the stock’s been inconsistent even as the numbers tend to be pretty darn strong. That means it’s hard to game. Another one, I gotta say, wait and see.”
Medtronic (NYSE:MDT) is a well-known global company in medical technology that specializes in the development and sale of a broad range of medical devices and treatments. For the fiscal year 2025, the company expects organic revenue growth between 4.75% and 5% for the year.
Additionally, Medtronic (NYSE:MDT) expects its diluted non-GAAP EPS to fall between $5.44 and $5.50, an expected increase of approximately 4.6% to 5.8% compared to the previous year.
10. Target Corporation (NYSE:TGT)
Number of Hedge Fund Holders: 56
Cramer expressed his worry that while Target Corporation (NYSE:TGT) just might report an “okay quarter”, it might not report a forecast.
“Finally, there’s the most problematic of retailers of all right now, and that is Target. Now this one’s experienced a sharp downturn, totally out of step with the company and with the CEO, Brian Cornell. Target’s been luckless, a victim of protests that have hurt the business. Can you buy it now, knowing that the stock supports a 4.5% yield? My fear is that Target reports an okay quarter, but then says it can’t offer a forecast, at which point you’re sitting on a dead weighter. Now let’s say you put a gun to my head and ask me whether you should buy it or sell it. I’d say, what the heck are you doing with a gun to my head? It’s too hard.”
Target (NYSE:TGT) is a retailer that offers a wide range of products, such as clothing, beauty items, groceries, electronics, and home goods. The company also sells personal care products, baby essentials, pet supplies, and various household necessities.
9. V.F. Corporation (NYSE:VFC)
Number of Hedge Fund Holders: 36
Calling V.F. Corporation (NYSE:VFC) a “flyer” during the episode, Cramer said:
“How about a flyer? How about VF Corp? Now listen to me. The apparel company fumbled last time, I get that, but CEO Bracken Darrell, you may remember him from Logitech, he’s a great operator. I bet he’s too competitive to let a second debacle happen. Might be worth taking a position and build it in any weakness.”
V.F. Corporation (NYSE:VFC) manufactures, promotes, and sells branded lifestyle clothing, footwear, and accessories for men, women, and children. The company’s portfolio includes well-known names like The North Face, Timberland, and Smartwool. Upslope Capital Management stated the following regarding V.F. Corporation (NYSE:VFC) in its Q1 2025 investor letter:
“VF Corp (VFC, parent company of North Face, Vans, and other brands) – I began selling VF in Q1 because as markets corrected it became clear that other more straight-forward investment opportunities were emerging (vs. VF’s somewhat high-wire turnaround). The announcement of potentially aggressive tariffs in early April solidified this view.”
8. The TJX Companies, Inc. (NYSE:TJX)
Number of Hedge Fund Holders: 74
The TJX Companies, Inc. (NYSE:TJX) was part of Cramer’s game plan for the week, and he said:
“Now speaking of going down after a good quarter, the worst offender of all might be TJX, which oddly may be the best of the retailers right here. TJX, forever holding up the Charitable Trust, buys excess goods from merchants who need cash and then marks them up and sells them to you at what’s still a huge discount. Now, I’ve gone twice this week to my TJ Max, just looking for who knows what. I like to go there. I’m looking for bargains like you.”
TJX (NYSE:TJX) is a retail company that offers discounted products. The company has a range of merchandise that includes clothing for all age groups, home goods, jewelry, and other items.
7. Palo Alto Networks, Inc. (NASDAQ:PANW)
Number of Hedge Fund Holders: 83
Cramer pointed out that Palo Alto Networks, Inc. (NASDAQ:PANW) stock tends to go down after it reports, regardless of how good the quarterly report is.
“Now the Charitable Trust also owns Palo Alto Networks, which reports Tuesday night. This stock has an odd habit of going down just no matter how good the quarter is, and they’re almost all good. So you might want to wait until after they report if you want to buy a cybersecurity company that is very high quality.”
Palo Alto (NASDAQ:PANW) provides cybersecurity services that include network defense, cloud protection, and virtual firewalls. The company offers tools designed to identify threats, stop attacks, and respond across various platforms and environments. It should be noted that on April 11, Cramer commented:
“Finally, they’re a little pricey but I want to own some cybersecurity companies and the trust owns two of them because they can’t really be tariffed and they have no natural enemies, including states that have sided against us in the trade war. For the cybersecurity firms, countries with state-sponsored hackers like China, they are an annuity stream. We have not one, but two for the trust, as I mentioned, Palo Alto, PANW, and CrowdStrike, CRWD. And I’ve got to tell you, either one is just terrific. Just terrific.”
6. Toll Brothers, Inc. (NYSE:TOL)
Number of Hedge Fund Holders: 64
Cramer mentioned that he thinks that Toll Brothers, Inc. (NYSE:TOL) will report good numbers, as he said:
“Hey, one thing is for certain: nobody cares for the home builders. This group’s been down so long, it almost looks up to me. Consider the case of Toll Brothers, the highest-end home builder. Toll reports on Tuesday evening. I think the numbers are going to be real darn good. I think the stock should be able to bounce.
The chart looks terrific, but the company will most likely have to be restrained with its guidance because there’s still pervasive sense of negativity out there. At seven times earnings, though, I think you want to own this one, even if their forecast isn’t a thing of beauty. Yes, I know when it’s seven times earnings, that means it probably will not have a higher forecast, but maybe it’s just time to pull the trigger on some.”
Toll Brothers (NYSE:TOL) specializes in building upscale homes, including single-story houses and condominiums. The company also develops residential communities that feature a range of amenities.
5. Lowe’s Companies, Inc. (NYSE:LOW)
Number of Hedge Fund Holders: 70
Lowe’s Companies, Inc. (NYSE:LOW) was mentioned under Cramer’s game plan for the week, and he stated:
“By the way, Lowe’s is attractive too. They report Wednesday morning. Both are excellent operators, although Home Depot’s more about professionals, and Lowe’s has more of a do-it-yourself customer base.”
Lowe’s (NYSE:LOW) is a U.S.-based retailer that supplies a wide range of products for construction, home maintenance, repair work, remodeling, and interior decoration. The company projects full-year 2025 sales between $83.5 billion and $84.5 billion, with comparable sales expected to be flat or up by 1% year-over-year. It expects an operating margin of 12.3% to 12.4% and diluted EPS to be between $12.15 and $12.40.
4. The Home Depot, Inc. (NYSE:HD)
Number of Hedge Fund Holders: 88
Cramer highlighted that The Home Depot, Inc. (NYSE:HD) is a “great one to own”, as he said:
“Now, not that long ago, we dropped in on a monster Home Depot store management meeting in Vegas where we heard about some great ideas for spring gardening season, which by the way, kicks into overdrive this weekend. Unfortunately, these big weeks for lawn and garden have been overshadowed by stubbornly high interest rates and no rate cuts from the Fed, not to mention tariff worries. Now I’ve watched this stock since it came public, and there are plenty of times that Home Depot doesn’t actually march to the tune of interest rates, but instead is levered to repair and renovation.
As so many people are stuck in their homes, I’m willing to trade up because that would force them to give up that low mortgage rate that they may have gotten during the COVID period. Now we own the despot for the Charitable Trust, and while I’m not expecting a blowout by any means, I have to tell you I like it long term, and it’s down 2% for the year, well, off its highs… Home Depot stock is a great one to own because, like Walmart, these guys have the scale to cope with the tariffs that are going to be put on so many foreign-made goods that they sell at Home Depot. The little guys we know, they don’t have that kind of flexibility.”
Home Depot (NYSE:HD) is a home improvement retailer that sells building materials, home décor, garden supplies, and maintenance products. The company also offers installation services for various home projects and rents tools and equipment.
3. Capital One Financial Corporation (NYSE:COF)
Number of Hedge Fund Holders: 89
Emphasizing that investors should learn the “story” of Capital One Financial Corporation (NYSE:COF), Cramer said:
“Monday also is the first day when Capital One, the credit card bank, trades as one with Discover Financial as the deal is now closed. Now I’ve been telling people…. that Capital One is my favorite stock right now in the Charitable Trust, even as it just gained almost 20 points this month alone. I think the move is far from over. I expect number bumps and analyst upgrades. You’ve got to learn the Capital One story.”
Capital One Financial (NYSE:COF) is a financial company that provides credit cards, loans, banking products, and services related to advisory and capital markets. Appearing on Squawk on the Street in April, Cramer remarked:
“We own Capital One. Now I don’t know. . people. . .in your world, this Capital One, it got approved, and, and, Fairbank is gonna stand there after this thing closes, and I think he’s gonna buy back a ton of stock because his stock is really cheap and he’s a reaallyy good banker.
… Capital One, they’re supposed to be missing the quarter, people are supposed to be defaulting. It is the oddest time, it’s the strangest angst, David, I see people having angst and doing crazy things. They have angst and they’re paying off their credit. You know when you have angst, you default.”
2. JPMorgan Chase & Co. (NYSE:JPM)
Number of Hedge Fund Holders: 123
Next on his list was JPMorgan Chase & Co. (NYSE:JPM), and Cramer said:
“Next up, analyst meetings are often very dry affairs that are informational but not actionable. That is not the case, though, when JPMorgan, the largest bank, speaks on Monday. Their analyst meeting moves, well, I’ll tell you, it moves stocks, especially when CEO Jamie Dimon gives his somewhat jaundiced view of the world because, well, he’s somewhat jaundiced. He may be a tad saturnine, too, while I’m at it.”
JPMorgan (NYSE:JPM) offers services in areas such as consumer banking, investment banking, lending, and asset management. The company’s clients include individuals, small businesses, corporations, and large institutions. Carillon Tower Advisers stated the following regarding JPMorgan Chase & Co. (NYSE:JPM) in its Q4 2024 investor letter:
“JPMorgan Chase & Co. (NYSE:JPM) also contributed to performance due to optimism regarding the election outcome. Investors expect a wave of deregulation, and a more permissive stance on M&A could bode well for JPMorgan’s capital markets businesses.”
1. NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holders: 223
Cramer started his game plan for this week with NVIDIA Corporation (NASDAQ:NVDA) as he commented:
“We tend to focus on what’s going to happen next, and what’s going to happen next is that Jensen Huang is going to give the COMPUTEX keynote speech, and it’s going to come Sunday night. Now I’m hearing there’s going to be some dazzling new products and ideas. This speech will be online streamed at 11:00 PM Eastern.
Now, I can’t figure out whether to watch it live or the moment I get up, but I won’t dare to come to work without knowing what Jensen is saying. Now we know NVIDIA stock rallied 16% this week and is now safely back above the $3 trillion in market cap number. That’s the beneficiary of a huge bevy of orders from the Gulf monarchies.
By the way, turns out they have a lot more CoreWeave than we thought, and that stock took off today. Now, I wouldn’t be surprised if NVIDIA has more room to run, particularly because there are a lot of people who felt that it should never have been at $3 trillion in the first place, and they’ve been proven wrong.”
NVIDIA Corporation (NASDAQ:NVDA) provides computing solutions that include graphics, networking, and AI platforms, serving industries such as gaming, data centers, professional visualization, and automotive technology.
While we acknowledge the potential of NVDA 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 NVDA 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.
