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Jim Cramer is Bearish on These 12 Stocks

In this article, we will take a detailed look at Jim Cramer is Bearish on These 12 Stocks. For a quick overview of such stocks, read our article Jim Cramer is Bearish on These 5 Stocks.

After recommending investors to go easy on mega-cap tech stocks and take some profits on them during the start of 2024, Jim Cramer is back to praising the strengths and resilience of these companies after major technology stocks part of the Magnificent Seven group started posting earnings. Cramer recently said in a program on CNBC that we have reached a strange “confluence of events” that makes it hard to “value anything.” Cramer praised strong earnings reports from Apple, Microsoft, Meta and Amazon. Cramer advised investors not to worry about high valuations of these companies and said it does not make sense to sell these stocks just because these companies are “big.” Cramer said these major technology companies have not “fooled” their way to such high valuations and there was nowhere else to go for these stocks “but up.”

Cramer’s Thoughts on Apple Inc (NASDAQ:AAPL)

Jim Cramer’s message to market skeptics who believe tech stocks are headed for a crash is this: “enough already!”

Cramer said Apple Inc (NASDAQ:AAPL), Amazon.com Inc (NASDAQ:AMZN) and Meta Platforms Inc (NASDAQ:META) generated about $330 billion in collective revenue and about $58.5 billion in collective profits in the recently reported quarter. Cramer said it would not make sense to compare these companies with those that collapsed during the dot com bubble

On a side note, Cramer shrugged off China fears and recommended investors to “own” Apple Inc (NASDAQ:AAPL) shares and not trade it.

Cramer Says Tesla Does Not Deserve to Be in the Magnificent Seven Group

Cramer yet again criticized the market’s fears around concentration of the broader stock market gains in a handful of companies also known as the Magnificent Seven group of stocks. Cramer said it does not make sense to worry about market gains of major companies and compare them to smaller companies. Cramer, however, was clear about Tesla as he believes the company no longer deserves to be in the Magnificent Seven group. Cramer said Tesla’s exit from the Mag. Seven group of stocks was made easier by the judge who recently rejected Elon Musk’s $56 billion pay package.

Despite this bullish outlook on tech stocks, there are some companies Jim Cramer is bearish on. In this article we decided to talk about those stocks.

For this article we saw several latest programs of Jim Cramer and picked 12 stocks he’s bearish on. For each stock we talked about the reason Jim Cramer gave for his bearish stance. We ranked these stocks based on ascending order of the number of hedge fund investors. Why? Hedge funds’ top 10 consensus stock picks outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here).

12. Invesco Mortgage Capital Inc (NYSE:IVR)

Number of Hedge Fund Investors: 7

Jim Cramer, when asked about Invesco Mortgage Capital Inc (NYSE:IVR) in a recent program, said he does not know “what mortgages they have” and therefore cannot recommend the stock.

“And I suggest you do not own it.”

Over the past one year Invesco Mortgage Capital Inc (NYSE:IVR) shares have declined by 41%.

As of the end of the third quarter of 2023, seven hedge funds out of the 910 funds tracked by Insider Monkey had stakes in Invesco Mortgage Capital Inc (NYSE:IVR). The most notable hedge fund stakeholder of Invesco Mortgage Capital Inc (NYSE:IVR) during this period was Sander Gerber’s Hudson Bay Capital Management which owns a $4.3 million stake in Invesco Mortgage Capital Inc (NYSE:IVR).

11. Riot Platforms Inc (NASDAQ:RIOT)

Number of Hedge Fund Investors: 17

Jim said “I don’t trust it” when he was asked about Riot Platforms Inc (NASDAQ:RIOT) during his program on CNBC. Cramer said he just “checked in” with Larry Williams “again” and Williams said Bitcoin has not bottomed yet and you should “stay away.”

Last month, Riot Platforms Inc (NASDAQ:RIOT) said it produced 619 bitcoins in December 2023, down 9% on a year-over-year basis.

As of the end of the third quarter of 2023, 17 hedge funds out of the 910 funds tracked by Insider Monkey had stakes in Riot Platforms Inc (NASDAQ:RIOT)

10. AMC Entertainment Holdings Inc (NYSE:AMC)

Number of Hedge Fund Investors: 18

A few days ago a caller told Jim Cramer during a program on CNBC that “AMC Entertainment Holdings Inc (NYSE:AMC) has got me in a hole.” Cramer commented:

“You are not doing well at all.”

Cramer said that we “don’t want AMC Entertainment Holdings Inc (NYSE:AMC)” because the company is not “doing well.” Cramer said we want to own stocks that “go higher.”

“Let’s understand that consumers are not going to the movies like they used to.”

Cramer also pitched Netflix as a stock to buy instead of AMC Entertainment Holdings Inc (NYSE:AMC).

9. US Silica Holdings Inc (NYSE:SLCA)

Number of Hedge Fund Investors: 20

Jim Cramer’s reply was a resounding “No” when he was asked about US Silica Holdings Inc (NYSE:SLCA) during his program a few days ago.

Cramer said that you can’t own this stock in this state (New Jersey).

The stock has declined by about 12% over the past one year.

As of the end of the third quarter of 2023, 20 hedge funds out of the 910 funds tracked by Insider Monkey had stakes in US Silica Holdings Inc (NYSE:SLCA). The most notable stakeholder of US Silica Holdings Inc (NYSE:SLCA) during this period was DE Shaw which owns a $9 million stake in US Silica Holdings Inc (NYSE:SLCA).

8. Chegg Inc (NYSE:CHGG)

Number of Hedge Fund Investors: 25

Education technology company Chegg Inc (NYSE:CHGG) ranks eighth in our list of the stocks Jim Cramer is bearish on.

“I think it’s an exploratory situation, but I cannot press the buy button,” Cramer said of Chegg Inc (NYSE:CHGG).

As of the end of the third quarter of 2023, 25 hedge funds out of the 910 funds tracked by Insider Monkey had stakes in Chegg Inc (NYSE:CHGG).

Cramer is bearish on Chegg but he’s recommending investors to buy and hold Apple Inc (NASDAQ:AAPL), Amazon.com Inc (NASDAQ:AMZN) and Meta Platforms Inc (NASDAQ:META).

7. Plug Power Inc (NASDAQ:PLUG)

Number of Hedge Fund Investors: 26

Jim Cramer is highly bearish on Plug Power Inc (NASDAQ:PLUG). In a latest program, while talking about a few renewable energy stocks, Cramer said:

“Plug Power? ….Grenade! Fire in the hole!”

In December 2023 Cramer had categorically said that he was pulling the plug on Plug Power Inc (NASDAQ:PLUG).

As of the end of the third quarter of 2023, 26 hedge funds tracked by Insider Monkey had stakes in Plug Power Inc (NASDAQ:PLUG).

6. Solaredge Technologies Inc (NASDAQ:SEDG)

Number of Hedge Fund Investors: 27

SolarEdge Technologies, Inc. (NASDAQ:SEDG) ranks sixth in our list of the stocks Jim Cramer is bearish on. Cramer said “no” when he was asked about the Israel-based solar technology company.

Cramer said the stock is too volatile as it “bounces four points and then it goes down again.”

Cramer said this stock is too hard to own.

Out of the 910 hedge funds tracked by Insider Monkey, 27 hedge funds out of the 910 funds tracked by Insider Monkey had stakes in SolarEdge Technologies, Inc. (NASDAQ:SEDG).

Unlike Solaredge, Jim Cramer is bullish on Apple Inc (NASDAQ:AAPL), Amazon.com Inc (NASDAQ:AMZN) and Meta Platforms Inc (NASDAQ:META).

During its Q3 earnings call in November 2023, Solaredge management talked about guidance and business updates:

“We expect our annual non-GAAP tax rate for the entire 2023 to be within 22% to 24%. GAAP net loss for the third quarter was $61.2 million compared to a GAAP net income of $119.5 million in the previous quarter and GAAP net income of $24.7 million in the same quarter last year. Our non-GAAP net loss was $31 million compared to a non-GAAP net income of $157.4 million in the previous quarter, and a non-GAAP net income of $54.1 million in the same quarter last year. GAAP net diluted loss per share was $1.08 for the third quarter compared to a GAAP net diluted earnings per share of $2.03 in the previous quarter, and a GAAP net diluted earnings per share of $0.43 for the same quarter last year. Non-GAAP net diluted loss per share was $0.55 compared to a non-GAAP net diluted earnings per share of $2.62 in the previous quarter, and non-GAAP net diluted earnings per share of $0.91 in the same quarter last year.

As mentioned by Zvi, we expect that the stabilized solar revenue levels after the inventory correction has run its course will be approximately $600 million to $700 million quarterly. Under this scenario, corporate non-GAAP gross margins are targeted to be 30% to 32%, including approximately 500 basis points of benefits from IRA manufacturing tax credit and operating profit margins are targeted to be at 11% to 14% after implementing cost reduction activities. I reiterate that this scenario is based on no improvement in demand from our third quarter sell through levels and assumes no incremental revenues or margin from new products. Turning now to the balance sheet. As of September 30, 2023, cash, cash equivalents, bank deposits, restricted bank deposits and investments were $1.5 billion.”

Read the entire earnings call transcript here.

ClearBridge Select Strategy made the following comment about SolarEdge Technologies, Inc. (NASDAQ:SEDG) in its Q3 2023 investor letter:

“Solar energy technology companies SolarEdge Technologies, Inc. (NASDAQ:SEDG) and Shoals, meanwhile, saw headwinds from destocking in the U.S. and Europe. U.S. demand could slow further due to new net metering rules that reduce the value to consumers from sending excess residential solar energy back to the grid. SolarEdge, which makes inverters for solar systems as well as residential and commercial battery systems, is also facing rising battery competition in the U.S. from Tesla.”

Click to continue reading and see the Jim Cramer is Bearish on These 5 Stocks.

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Disclosure. None. Jim Cramer is Bearish on These 12 Stocks was initially published on Insider Monkey.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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AI, Tariffs, Nuclear Power: One Undervalued Stock Connects ALL the Dots (Before It Explodes!)

Artificial intelligence is the greatest investment opportunity of our lifetime. The time to invest in groundbreaking AI is now, and this stock is a steal!

AI is eating the world—and the machines behind it are ravenous.

Each ChatGPT query, each model update, each robotic breakthrough consumes massive amounts of energy. In fact, AI is already pushing global power grids to the brink.

Wall Street is pouring hundreds of billions into artificial intelligence—training smarter chatbots, automating industries, and building the digital future. But there’s one urgent question few are asking:

Where will all of that energy come from?

AI is the most electricity-hungry technology ever invented. Each data center powering large language models like ChatGPT consumes as much energy as a small city. And it’s about to get worse.

Even Sam Altman, the founder of OpenAI, issued a stark warning:

“The future of AI depends on an energy breakthrough.”

Elon Musk was even more blunt:

“AI will run out of electricity by next year.”

As the world chases faster, smarter machines, a hidden crisis is emerging behind the scenes. Power grids are strained. Electricity prices are rising. Utilities are scrambling to expand capacity.

And that’s where the real opportunity lies…

One little-known company—almost entirely overlooked by most AI investors—could be the ultimate backdoor play. It’s not a chipmaker. It’s not a cloud platform. But it might be the most important AI stock in the US owns critical energy infrastructure assets positioned to feed the coming AI energy spike.

As demand from AI data centers explodes, this company is gearing up to profit from the most valuable commodity in the digital age: electricity.

The “Toll Booth” Operator of the AI Energy Boom

  • It owns critical nuclear energy infrastructure assets, positioning it at the heart of America’s next-generation power strategy.
  • It’s one of the only global companies capable of executing large-scale, complex EPC (engineering, procurement, and construction) projects across oil, gas, renewable fuels, and industrial infrastructure.
  • It plays a pivotal role in U.S. LNG exportation—a sector about to explode under President Trump’s renewed “America First” energy doctrine.

Trump has made it clear: Europe and U.S. allies must buy American LNG.

And our company sits in the toll booth—collecting fees on every drop exported.

But that’s not all…

As Trump’s proposed tariffs push American manufacturers to bring their operations back home, this company will be first in line to rebuild, retrofit, and reengineer those facilities.

AI. Energy. Tariffs. Onshoring. This One Company Ties It All Together.

While the world is distracted by flashy AI tickers, a few smart investors are quietly scooping up shares of the one company powering it all from behind the scenes.

AI needs energy. Energy needs infrastructure.

And infrastructure needs a builder with experience, scale, and execution.

This company has its finger in every pie—and Wall Street is just starting to notice.

Wall Street is noticing this company also because it is quietly riding all of these tailwinds—without the sky-high valuation.

While most energy and utility firms are buried under mountains of debt and coughing up hefty interest payments just to appease bondholders…

This company is completely debt-free.

In fact, it’s sitting on a war chest of cash—equal to nearly one-third of its entire market cap.

It also owns a huge equity stake in another red-hot AI play, giving investors indirect exposure to multiple AI growth engines without paying a premium.

And here’s what the smart money has started whispering…

The Hedge Fund Secret That’s Starting to Leak Out

This stock is so off-the-radar, so absurdly undervalued, that some of the most secretive hedge fund managers in the world have begun pitching it at closed-door investment summits.

They’re sharing it quietly, away from the cameras, to rooms full of ultra-wealthy clients.

Why? Because excluding cash and investments, this company is trading at less than 7 times earnings.

And that’s for a business tied to:

  • The AI infrastructure supercycle
  • The onshoring boom driven by Trump-era tariffs
  • A surge in U.S. LNG exports
  • And a unique footprint in nuclear energy—the future of clean, reliable power

You simply won’t find another AI and energy stock this cheap… with this much upside.

This isn’t a hype stock. It’s not riding on hope.

It’s delivering real cash flows, owns critical infrastructure, and holds stakes in other major growth stories.

This is your chance to get in before the rockets take off!

Disruption is the New Name of the Game: Let’s face it, complacency breeds stagnation.

AI is the ultimate disruptor, and it’s shaking the foundations of traditional industries.

The companies that embrace AI will thrive, while the dinosaurs clinging to outdated methods will be left in the dust.

As an investor, you want to be on the side of the winners, and AI is the winning ticket.

The Talent Pool is Overflowing: The world’s brightest minds are flocking to AI.

From computer scientists to mathematicians, the next generation of innovators is pouring its energy into this field.

This influx of talent guarantees a constant stream of groundbreaking ideas and rapid advancements.

By investing in AI, you’re essentially backing the future.

The future is powered by artificial intelligence, and the time to invest is NOW.

Don’t be a spectator in this technological revolution.

Dive into the AI gold rush and watch your portfolio soar alongside the brightest minds of our generation.

This isn’t just about making money – it’s about being part of the future.

So, buckle up and get ready for the ride of your investment life!

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Here’s what to do next:

1. Head over to our website and subscribe to our Premium Readership Newsletter for just $9.99.

2. Enjoy a month of ad-free browsing, exclusive access to our in-depth report on the Trump tariff and nuclear energy company as well as the revolutionary AI-robotics company, and the upcoming issues of our Premium Readership Newsletter.

3. Sit back, relax, and know that you’re backed by our ironclad 30-day money-back guarantee.

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