On Wednesday, Mad Money host Jim Cramer focused on the surge in investor enthusiasm around three of the market’s most speculative sectors.
“It’s all coming together for the most speculative stocks in the market, and it’s a dream come true for many dreamers… It’s the year of magical thinking… and boy is that year ever paying off. Today was an exceptional day for the three groups that have been leading this year of magical thinking: space, quantum, and nuclear.”
READ ALSO: 14 Stocks on Jim Cramer’s Radar and Jim Cramer Commented on These 17 Stocks.
Cramer emphasized that the trend feels far from over, as he noted that we are not approaching the end of the so-called magical thinking period, but rather still in the middle of it. He mentioned that the conditions continue to favor companies that might not yet be profitable or even generate meaningful revenue, but are still attracting major capital.
“Here’s the bottom line: We’re about to have an IPO boom that rivals 2021 and perhaps even exceeds it because, unlike back then when we had SPACs, but no ideas, this time, we have real ideas with real opportunities to raise money in order to hold on through the industry’s inflection points and take part like all of us in the year of magical stock thinking.
As long as people are willing to pay up for the companies with no earnings and little revenue, these deals will keep coming and coming and coming. And the stocks will keep taking more money away from the mainstream companies like Nvidia that really make up the averages.”
Our Methodology
For this article, we compiled a list of 16 stocks that were discussed by Jim Cramer during the episodes of Mad Money aired on June 11. 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).
Jim Cramer Discussed These 16 Stocks Recently
16. Amentum Holdings, Inc. (NYSE:AMTM)
Number of Hedge Fund Holders: 37
Amentum Holdings, Inc. (NYSE:AMTM) is one of the 16 stocks that Jim Cramer recently discussed. Cramer was bullish on the company as he highlighted its various important divisions and said:
“Now, when Amentum reported its latest quarter in early May, the results were good, better than expected revenues, a healthy earnings beat, management reaffirmed the full year earnings and cash flow guidance. Not bad. Sounds good. Then how come the stock dropped 4.5% the next day? Well, it seems that the market wasn’t overly impressed with Amentum’s growth story. While the company beat estimates, [it] still only posted 1% revenue growth year over year, and the earnings were just up 4%. That’s not good enough…
Amentum’s laid out a long-term growth plan calling for 4 to 6% compound annual revenue growth through 2028. They haven’t been able to gin up much excitement with that forecast. There’s a lot of companies that are growing much faster that aren’t that expensive, but I think they can hit these numbers… It’s important to remember that Amentum isn’t a newcomer to this space. It’s made up of a series of legacy businesses with deep roots in federal contracting, businesses with incumbent status, and longstanding agency relationships.
This familiarity is something incredibly important. When the government decide[s] where to allocate funds, they also have the scale to compete. Their $45 billion in backlog is one of the highest in the sector. This isn’t some fly-by-night outfit that’s going to have to fight tooth and nail for government contracts. This is a well-known commodity in a space where that really matters. … If there’s one thing that gives me pause about the stock, it seems that… and this is a… theme… for many of our homework names, that’s the ownership concentration.
More than 35% of Amentum is still owned by American Securities and Lindsay Goldberg, the company’s former private equity sponsors. This private overhang, it can be a real issue if these firms ever decide to unload their shares… The bottom line: While I’m worried about the private equity shareholders, I think this stock already has too much caution priced into it. Amentum sells for less than 10.5 times this year’s earnings estimates. That’s a pretty compelling valuation for a company with this kind of scale and long-term positioning. At the end of the day, I’d like to see some of the large shareholders, these private guys, reduce their stakes before jumping in. But Amentum’s definitely worth keeping on your radar.”
Amentum (NYSE:AMTM) is a holding company whose subsidiaries deliver services in areas such as environmental sustainability, intelligence, analytics, engineering, research, and citizen systems.
15. NuScale Power Corporation (NYSE:SMR)
Number of Hedge Fund Holders: 18
NuScale Power Corporation (NYSE:SMR) is one of the 16 stocks that Jim Cramer recently discussed. Answering a caller’s question about the company, Cramer stated:
“NuScale, okay, here’s the problem with NuScale, it is… really, really high. Here’s the answer with NuScale, if it does an offering here, that’s when I’d buy. I’d wait for the stock offering after what happened with Oklo tonight.”
NuScale Power (NYSE:SMR) develops nuclear power plants that use modular light water reactor technology. On May 28, when a caller asked about the company, Cramer diverted them toward GEV as he commented:
“But why don’t we just buy GE Vernova? I mean, you know, it’s been a winner for the club. I think it can go higher. I really like it. Look, they’re both parabolic. Nuscale has been straight up, and so has GE Vernova, but GE Vernova’s got a book of business. That’s what I like.”
