On Friday, Mad Money host Jim Cramer discussed this week’s main market drivers and placed emphasis on earnings reports and recent economic data.

“When you get a strong employment report like we did this morning, it does a lot of things that you need to know about. First, it takes a near-term recession kind of off the table. Very difficult to have recession with a 4.2% unemployment rate. That’s just too much demand for workers.”

READ ALSO: Jim Cramer’s Thoughts on These 13 Stocks and 8 Stocks on Jim Cramer’s Radar Recently.

Beyond that, Cramer pointed out that strong employment data also influences the Federal Reserve’s thinking, especially ahead of this week’s policy meeting. He explained that a tight labor market discourages the Fed from lowering interest rates.

Lastly, he noted that this kind of labor report can trigger a strong rally in stocks, provided that wage inflation remains under control. Cramer emphasized that while the government releases a constant stream of economic figures, none carry the same weight as the jobs report. He noted, “That is the real predictive power when it comes to the stock market.”

“So keep in mind that today’s rally may not be one off as we go through our game plan for next week. But first, let me just say we’re over the hump. We’ve now had companies that reported fabulous numbers.”

Furthermore, another driver behind Friday’s market surge, according to Cramer, was news out of China suggesting a possible diplomatic overture. He said the rally accelerated after reports surfaced that Chinese officials were considering a deal involving tougher action against fentanyl. If the proposed agreement materializes, Cramer believes it could extend the rally further. He said, “If that comes true, I expect this rally will have legs.”

“Here’s the bottom line: We know that we’re living through a time of great tumult. We could easily be thrown off if President Trump responds harshly to this Chinese olive branch this very weekend. If that happens, there could be some unwinding to do. Right now, though, it looks like the momentum can keep up as long as we don’t get a total breakdown in the nascent trade talks between the world’s two biggest nations.”

Our Methodology

For this article, we compiled a list of 21 stocks that were discussed by Jim Cramer during the episodes of Mad Money aired on May 2. 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).

21 Stocks on Jim Cramer’s Radar

21. DraftKings Inc. (NASDAQ:DKNG)

Number of Hedge Fund Holders: 65

DraftKings Inc. (NASDAQ:DKNG) was the last company in Cramer’s game plan for this week, and he remarked:

“Will DraftKings make a comeback here? We like this company very much, but the stock does seem stalled, doesn’t it? Maybe it needs more states to legalize sports betting.”

DraftKings (NASDAQ:DKNG) is a major digital sports entertainment and gaming company that provides online sports betting, casino games, daily fantasy sports, and retail sportsbooks. The company also offers sports betting and casino gaming software for both online and retail sportsbooks, as well as iGaming operators. Nightview Capital stated the following regarding the company in its Q4 2024 investor letter:

“DraftKings Inc. (NASDAQ:DKNG) has been a solid performer, benefiting from the growth of online sports betting (OSB) in the U.S. However, we recently decided to exit our position due to concerns about its long-term competitive positioning and an evolving risk/reward profile. While the company has shown impressive user growth and reached profitability, its reliance on high customer acquisition costs and a crowded competitive landscape raises questions about sustainability. The industry’s low barriers to entry mean DraftKings must continually invest to maintain its edge, which could compress future margins. Additionally, we see a ceiling on market expansion as OSB approaches saturation in key states.

Our decision was also influenced by the rising potential of alternative opportunities in more differentiated industries with structural advantages, which align better with our investment philosophy of long-term compounding.”

20. Cloudflare, Inc. (NYSE:NET)

Number of Hedge Fund Holders: 55

Praising Cloudflare, Inc.’s (NYSE:NET) CEO, Cramer commented:

“Two winners after the close, McKesson, the ultimate drug middleman with the target on its back that’s never, never been hit, and Cloudflare, yes, the cybersecurity firm brought to you by Matthew Prince, who gave you a superb number last time, remember. I bet he can do it again.”

Cloudflare, Inc. (NYSE:NET) delivers cloud-based solutions centered on security, speed, and connectivity. The company’s offerings include integrated protection, networking tools, and edge computing with AI accelerators for developers.

19. McKesson Corporation (NYSE:MCK)

Number of Hedge Fund Holders: 78

Calling McKesson Corporation (NYSE:MCK) a winner, Cramer said:

“Two winners after the close, McKesson, the ultimate drug middleman with the target on its back that’s never, never been hit, and Cloudflare…”

McKesson (NYSE:MCK) delivers healthcare services through the distribution of medications, medical supplies, and logistics management. It also offers technology solutions, consulting, and support to healthcare providers, biopharmaceutical firms, and patients. On April 16, Cramer commented:

“I always talk to you about the drug middlemen. Companies like McKesson and Cencora, these are two money machines no matter what. Even as I believe we should be able to automate and digitize these businesses out of existence, they’re the kings and they’re the must-owns in this environment.”

18. Affirm Holdings, Inc. (NASDAQ:AFRM)

Number of Hedge Fund Holders: 61

According to Cramer, Affirm Holdings, Inc. (NASDAQ:AFRM) would continue to deliver impressive earnings results as it reports its earnings this week.

“After the close, we get a report from still another heavily shorted stock, that’s Affirm. That’s a buy now, pay later story that has delivered some incredible results to date. I suspect this streak will continue.”

Affirm (NASDAQ:AFRM) is a fintech company that provides Buy Now, Pay Later solutions. It offers consumers flexible payment plans with straightforward terms. On April 8, Cramer said:

“Well, I think the world of Affirm, but it’s what I call an earnings stock. In other words, it doesn’t really do anything, change direction until you add the earnings. Right now, the direction is down. When we see the company report on May 8th, I think that therefore we could change direction again because I think that there’s no doubt Matt Levchin delivers good quarter after good quarter. But then in between, it trades down and you’re dealing with that. I don’t think it reverses until we get to May 8th.”

17. Shopify Inc. (NASDAQ:SHOP)

Number of Hedge Fund Holders: 64

Cramer said people tend to realize that Shopify Inc. (NASDAQ:SHOP) is much more “than just a poor man’s Amazon” once they delve into its earnings report.

“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.”

Shopify (NASDAQ:SHOP) provides a platform that enables merchants to manage and sell products through multiple channels. It offers tools for inventory control, payment processing, analytics, and securing financing. Artisan Partners stated the following regarding Shopify Inc. (NASDAQ:SHOP) in its Q4 2024 investor letter:

“Among our top Q4 contributors were Atlassian and Shopify Inc. (NASDAQ:SHOP). Our conviction in Shopify grew after it decided to exit the logistics business in favor of a capital-light partnership model, which we viewed as significantly narrowing the downside range of outcomes and allowed it to focus on what it does so well: developing great e-commerce software solutions for brands of all sizes. We have been encouraged by Shopify’s subsequent pace of innovative new product enhancements, including using AI assistants to help brands run their businesses. Shares rallied after the company reported strong earnings results, including 24% growth in gross merchandise volume, and management raised its forward guidance.”

16. Carvana Co. (NYSE:CVNA)

Number of Hedge Fund Holders: 84

Noting that Carvana Co. (NYSE:CVNA) is heavily shorted, Cramer stated:

“We also get results from one of the most heavily shorted stocks in the universe, Carvana, and I think they’ll be able to talk about how tariffs will drive shoppers to their digital used car platform as new, ‘tarrified’ cars, I made that word like terrified, it’s really tariffed, could become too expensive. It could be an explosive report for Carvana.”

Carvana (NYSE:CVNA) operates an e-commerce platform for buying and selling used vehicles, offering services that include inspection, financing, logistics, and customer support. The company also runs vehicle auction sites.

15. Arm Holdings plc (NASDAQ:ARM)

Number of Hedge Fund Holders: 43

Highlighting that Arm Holdings plc (NASDAQ:ARM) is involved “in everything”, Cramer said:

“What else? Can Arm Holdings mount a comeback without strong cell phone sales? I think the year when we realized, this is it, this is the year we realize that Arm’s in everything. It deserves a higher price-to-earnings multiple.”

Arm Holdings (NASDAQ:ARM) is engaged in creating and licensing CPU designs and related technologies. On April 25, when a caller inquired about the company, Cramer said:

“Oh no… I want you to stay in it. Rene Haas is doing a great job. I think that this whole semiconductor group has been oversold. It will bounce, and when it bounces, you want to trim back because it is expensive. That’s fine. Do not sell it here.”

14. Dutch Bros Inc. (NYSE:BROS)

Number of Hedge Fund Holders: 41

Ahead of Dutch Bros Inc. (NYSE:BROS) first quarter earnings report, Cramer commented:

“After the close, we got a couple of companies that have caught the fancy of younger viewers, DoorDash and Dutch Bros. I expect both to have very strong quarters that can send their stocks higher. We’ll have the inevitable comparisons between Dutch Bros and Starbucks. Oh, all I can say is that the Bros have the edge right now, but I like them both, and I don’t know, did you see Starbucks starting to move up here?”

Dutch Bros Inc. (NYSE:BROS) runs and franchises drive-thru shops across the U.S. under several brands, including Dutch Bros Coffee and Dutch Bros Rebel.

13. DoorDash, Inc. (NASDAQ:DASH)

Number of Hedge Fund Holders: 88

As DoorDash, Inc. (NASDAQ:DASH) is set to report its first quarter earnings report on May 6, Cramer commented:

“After the close, we got a couple of companies that have caught the fancy of younger viewers, DoorDash and Dutch Bros. I expect both to have very strong quarters that can send their stocks higher.”

DoorDash (NASDAQ:DASH) runs a global platform that links merchants, consumers, and independent contractors. The company provides services like order fulfillment, payment processing, and customer support. It has also expanded into grocery and retail markets. Artisan Partners stated the following regarding the company in its Q1 2025 investor letter:

“Notable adds in the quarter included DoorDash, Inc. (NASDAQ:DASH), CCC Intelligent Solutions and Bright Horizons. DoorDash is a technology-driven marketplace that enables couriers (Dashers) to deliver restaurant and other local orders on-demand to consumers. The company is a market leader in restaurant delivery, a business that continues to gain US market share (with healthy margins) and grow internationally. At the same time, the company is investing heavily into new business lines such as grocery delivery, which is a largely untapped market due to inventory management challenges (in-person grocery shopping involves a high degree of product substitution). This business unit has been losing money. However, the company believes it has a competitive cost advantage given its existing Dasher network, and continued growth should lead to profitability—something it is not getting credit for by the market. Recent earnings results displayed solid execution within its food delivery business, where it continues to demonstrate market share gains while generating impressive margins.”

12. Uber Technologies, Inc. (NYSE:UBER)

Number of Hedge Fund Holders: 166

Calling Uber Technologies, Inc. (NYSE:UBER) the “rideshare king”, Cramer remarked:

“We’ve come to expect that Uber trades down after it reports, and you’ve gotta buy the rideshare king because it’s got so much going for it worldwide. I bet that plays out again, just like Marriott. Stock reports, stock gets hit, gotta buy it.”

Uber (NYSE:UBER) creates technology that drives transportation, delivery, and freight services. The company links people to rides, helps merchants with order deliveries, and operates a logistics platform for shipping and carriers.

11. Novo Nordisk A/S (NYSE:NVO)

Number of Hedge Fund Holders: 64

Novo Nordisk A/S (NYSE:NVO) was part of Cramer’s game plan, and here’s what he had to say:

“Next, did Novo Nordisk deliver a knockout punch to Eli Lilly when it signed a deal to be the preferred GLP-1 supplier to CVS on Lilly’s earnings day, no less? What a comeuppance. I think there’s plenty of gas in the Lily tank, especially once it tells it’s, you know, once it’s got this pill formulation that’s going to be available next year. I think it’s going to matter tremendously.”

Novo Nordisk (NYSE:NVO) specializes in the research, development, production, and distribution of pharmaceutical products.

10. The Walt Disney Company (NYSE:DIS) 

Number of Hedge Fund Holders: 108

Noting that The Walt Disney Company (NYSE:DIS) has plenty of doubters, Cramer commented:

“Lots of fireworks on Wednesday. We start with Disney. So many doubters. I think too many doubters and not enough supporters. We own this contrarian play for the Charitable Trust. We have not made money in it. It has not been good to us. I hope it gets good. Hope shouldn’t be part of the equation, but I’m just telling you as I see it.”

The Walt Disney Company (NYSE:DIS) is a well-known entertainment company that creates and distributes films and TV shows, offers streaming services, and runs theme parks and resorts worldwide. It also provides sports entertainment and hosts live events.

9. ServiceNow, Inc. (NYSE:NOW)

Number of Hedge Fund Holders: 110

Highlighting Jensen Huang’s appearance at ServiceNow, Inc.’s (NYSE:NOW) conference this week, Cramer stated:

“Don’t forget that Jensen Huang, the CEO of NVIDIA, will be joining ServiceNow CEO Bill McDermott at the latter’s Knowledge Conference. Jensen’s a good partner of Bill’s, and we might get news about how the government and NVIDIA are working together to solve some of these export issues. The meeting could certainly help the stock of ServiceNow, which has been a rocket ship since reporting a fantastic quarter.”

ServiceNow (NYSE:NOW) provides digital tools that assist companies in automating tasks. The company’s products aim to improve how organizations handle their day-to-day operations.

8. Wynn Resorts, Limited (NASDAQ:WYNN)

Number of Hedge Fund Holders: 64

Cramer remarked that he wants to hear Wynn Resorts, Limited (NASDAQ:WYNN) report that the current negativity surrounding the stock is just empty talk.

“We went to see Wynn Resorts when we were out in Vegas recently, and I know the stock’s been under some pressure. I’d love to hear that the negativity is all hot air.”

Wynn Resorts (NASDAQ:WYNN) creates and manages integrated resorts that feature luxury accommodations, gaming areas, spas, retail shops, dining options, and entertainment venues. The resorts include upscale hotels, private gaming rooms, and convention spaces. Nightview Capital stated the following regarding the company in its Q4 2024 investor letter:

“Travel and entertainment are transforming as consumers prioritize experiences over material goods. This isn’t a return to pre pandemic norms—it’s a reinvention of how we connect, explore, and enjoy life. Travelers seek uniqueness and personalization, while entertainment blends digital and physical realms to create new experiences. The companies leading this evolution are redefining tradition through innovation, delivering unforgettable moments to a new generation. These businesses are not just adapting—they’re shaping the future of the experience economy.

Wynn Resorts, Limited (NASDAQ:WYNN): Core Opportunity: Wynn Resorts combines world-class properties with exposure to Macau’s rebounding gaming market and emerging luxury travel trends. Recent development projects, combined with a re-valuation of the legacy portfolio place Wynn in a compelling and overlooked position.

Competitive Advantage: Revenue Growth: Wynn’s revenues have increased 2.5x since 2007, while free cash flow has grown to $1 billion annually, all while equity has remained flat.

Portfolio Expansion: New properties in Macau, Encore Boston Harbor, and upcoming projects in the Middle East and New York enhance its global footprint…” (Click here to read the full text)

7. Arista Networks Inc (NYSE:ANET)

Number of Hedge Fund Holders: 78

Arista Networks Inc (NYSE:ANET) was mentioned during the episode, and here’s what Mad Money’s host had to say:

“Arista Networks is a crucial part of the data centers, and it reports. And last time, the doubters surfaced immediately, claiming that these guys were losing share. I think Arista can put those doubts to rest when it’s, you know, honestly, they can, and that means it’s a buy ahead of the quarter. Never count out CEO Jayshree Ullal. Big mistake. Think about buying Arista.”

Arista Networks (NYSE:ANET) provides advanced networking solutions designed for data centers, campus settings, and routing requirements. The company specializes in AI-powered switches and software that enable automation, monitoring, and security.

6. Advanced Micro Devices, Inc. (NASDAQ:AMD)

Number of Hedge Fund Holders: 96

Commenting on Advanced Micro Devices, Inc. (NASDAQ:AMD) during the episode, Cramer said:

“After the close, we want to hear great things about demand from Advanced Micro Devices, AMD. Perhaps we get the news that AMD’s selling that manufacturing part of the ZT Systems. That’s a company they acquired for $4.9 billion in cash and stock in March. Now that could give this stock a lot of juice.”

Advanced Micro Devices (NASDAQ:AMD) is a leading technology company that designs and supplies microprocessors, graphics cards, chipsets, and embedded processors. On April 16, when Cramer was asked about the company, he stated:

“No, no, no. You know, I think the world of Lisa Su, but we are going to try to limit, as I said in the club, we are going to try to limit our exposure to what I regard as being a charnel house, a semiconductor charnel house.”

5. Marriott International, Inc. (NASDAQ:MAR)

Number of Hedge Fund Holders: 69

Discussing Marriott International, Inc. (NASDAQ:MAR), Cramer mentioned that he thinks the company will report good numbers.

“Tuesday, alright, we find out if the travel bull market’s still alive when we hear from Marriott. Now, this incredibly resilient stock typically goes down after it reports, and then it rockets higher, same session. We will think twice about the end of the travel rally when Marriott reignites the chatter. It’s going to be a good number.”

Marriott (NASDAQ:MAR) operates and franchises hotels, residences, timeshares, and yachts around the world under several well-known brands.  The company reported its first quarter 2025 financial results today.

Marriott (NASDAQ:MAR) reported a 4.1% increase in global RevPAR. Adjusted diluted EPS for the quarter was $2.32. As per the report, reported net income was $665 million, while adjusted net income came to $645 million. Adjusted EBITDA for the same period was $1.217 billion.

4. The Clorox Company (NYSE:CLX)

Number of Hedge Fund Holders: 54

The Clorox Company (NYSE:CLX) was mentioned as part of the game plan as Cramer remarked:

“Now, Clorox reports too. This is the kind of recession-proof stock that was going up when the rest of the market was getting hammered. But now that the market’s bouncing back, they’ve all folded with the exception of Coca-Cola and Mondelez. Use Clorox as a gauge to see if this new bull market phase remains on.”

Clorox (NYSE:CLX) manufactures and markets a diverse range of products, including items for cleaning, disinfecting, household use, personal care, food, and health supplements. The company reported its third-quarter results for the fiscal year 2025 on May 5. Net sales for the period was $1.67 billion, an 8% decrease compared to the same quarter last year. Organic sales dropped 2%, primarily impacted by an unfavorable price mix.

Clorox (NYSE:CLX) reported that its adjusted EPS decreased 15%, reaching $1.45, down from $1.71 in the same period last year. The decrease in EPS was primarily due to lower net sales, although it was partially offset by an increase in gross margin.

3. Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX)

Number of Hedge Fund Holders: 68

Coming to Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX), Cramer noted:

“We also get numbers from Vertex Pharma, including the first look at how its non-opioid painkiller is doing, that’s the one that’s not addictive. The numbers could be explosive here because the drug is revolutionary.”

Vertex Pharmaceuticals (NASDAQ:VRTX) focuses on developing and marketing treatments for cystic fibrosis. The company is also progressing a range of drug candidates in clinical testing for different diseases. According to its earnings report released on May 5, the company reported total revenue of $2.77 billion for the first quarter, which is a 3% increase year-over-year. The growth was mainly driven by ongoing demand for TRIKAFTA/KAFTRIO and initial sales from the U.S. launch of ALYFTREK.

As of March 31, Vertex Pharmaceuticals’ (NASDAQ:VRTX) cash, cash equivalents, and total marketable securities stood at $11.4 billion, slightly up from $11.2 billion reported at the end of December 2024.

2. Palantir Technologies Inc. (NASDAQ:PLTR)

Number of Hedge Fund Holders: 64

Cramer noted that Palantir Technologies Inc. (NASDAQ:PLTR) stock is driven up every day by retail buyers, as he stated:

“The ultimate meme stock for the moment is this company called Palantir, which reports. It’s a cybersecurity company. Now this one’s moved up by persistent retail buying that starts around 4:00 AM every day when they literally walk it up a couple of points before the bell and then continue to keep it at that level until the close.

It’s possible the story’s not as big as the hype or the hope, but we know that Palantir’s got a constituency of retail buyers that just won’t quit. I don’t know if they’ll quit when they see the number.”

Palantir Technologies Inc. (NASDAQ:PLTR) builds software that helps organizations process and understand large volumes of data to support critical decisions, using platforms like Gotham, Foundry, Apollo, and its advanced AI system. Yesterday, the company reported a 39% increase in revenue for the first quarter of 2025. Adjusted EPS reported was $0.13, and adjusted income from operations reached $391 million, which shows a margin of 44%.

1. Ford Motor Company (NYSE:F)

Number of Hedge Fund Holders: 45

Ford Motor Company (NYSE:F) was first in Cramer’s game plan, and he commented:

“Now Monday’s key earnings start after the bell. We’re going to see when Ford Motor reports in the morning. Now I have to tell you, I’m a little concerned here. Ford has worked hard to try to mitigate the tariffs, even as they’re the most American of American automakers when it comes to content. Maybe they can break their streak of so-so quarters. I really hope so. I think Jim Farley deserves a break himself.”

Ford Motor (NYSE:F) focuses on creating, building, and maintaining various types of vehicles, including trucks, cars, vans, SUVs, and luxury models sold under the Lincoln name. On May 5, the company reported first-quarter revenue of $40.7 billion, down 5% year-over-year because of fewer wholesales caused by planned plant shutdowns for new product launches and inventory adjustments. Net income reported was $471 million, while adjusted earnings before interest and taxes were $1.0 billion.

While we acknowledge the potential of Ford Motor Company (NYSE:F) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than F but that trades at less than 5 times its earnings, 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.

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