On Wednesday’s episode of Mad Money, host Jim Cramer shared his frustration with the current state of the market and said that it is deeply confusing for investors.
“This market is driving the best investors I know crazy, and I know why: incredibly expensive stocks that shouldn’t go up, go up endlessly, while stocks of perfectly good companies are completely ignored or worse, even when they report good numbers, well, they go lower.”
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Cramer highlighted a troubling pattern where highly shorted stocks suddenly spike on the slightest bit of good news, which catches short sellers off guard and forces them to cover in a frenzy. Meanwhile, stocks that react negatively to any headline or development are quickly abandoned by investors.
Cramer explained that the inconsistency is not limited to any one sector or group of companies. Instead, he pointed out that market movement now seems driven by individual stocks following strange, erratic narratives that bear little resemblance to anything he has ever witnessed.
“So here’s the bottom line: In this market, haters gonna hate, okay? And when they hate and they’re wrong, they turn into buyers. And lovers, they just keep buying. And when there’s nothing happening, even if the stock is dirt cheap? Who cares? In this market, the answer is nobody.”
Our Methodology
For this article, we compiled a list of 13 stocks that were discussed by Jim Cramer during the episodes of Mad Money aired on August 6. 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 Recently Shed Light on These 13 Stocks
13. Starbucks Corporation (NASDAQ:SBUX)
Number of Hedge Fund Holders: 70
Starbucks Corporation (NASDAQ:SBUX) is one of the stocks Jim Cramer recently shed light on. Cramer mentioned the stock during the episode and said:
“HundredX has pointed out a host of things that’ve helped me. How about this one? When I get my Starbucks caramel latte, my request, in four minutes, that used to be much longer, much, much longer, until recently. HundredX tells me that I’m not alone. They’re starting to see something similar among Starbucks customers that they canvass. I like that. Any confirmation that makes my anecdotal thinking feel like the empirical one is good for my Charitable Trust position, and I just told club members to buy some more. It makes me want to buy even more when I think about it.”
Starbucks Corporation (NASDAQ:SBUX) roasts, markets, and sells coffee, tea, and food products through company-operated and licensed locations. The company provides beverages and branded products under names like Starbucks Coffee, Teavana, and Seattle’s Best Coffee.
12. Reddit, Inc. (NYSE:RDDT)
Number of Hedge Fund Holders: 72
Reddit, Inc. (NYSE:RDDT) is one of the stocks Jim Cramer recently shed light on. Cramer called the company’s platform “a terrific product,” as he said:
“Let me start with Reddit. I use Reddit pretty aggressively. It’s a terrific product. My wife uses it to sell… her mezcal brand because Reddit has an entire mezcal forum. So I like it. The advertiser likes it. That’s where I start. I then try to find out what other people… whether they feel like I do. Rob (Rob Pace, founder and CEO of HundredX) has told me that Reddit customers are planning to increase future use because people love crowdsourced information, seems to be able to be independent… Reddit demonstrates the increasing value of human intelligence, increasing value of human intelligence, I like that. In fact, he’s betting that as the future of search evolves from finding things to figuring things out, Reddit could be a major winner. Now you take your own use as I have… You then take data from HundredX to see if your experience lines up with reality. Only then you go to the web, you look up articles, check out websites to see things like the piece we ran on Reddit a couple of days ago, which said it was great to buy. Wow, that’s been terrific. To me, that produced a terrific, really special reason to buy the stock, and I’m sticking with it. I just wish I had bought it for my Charitable Trust when I first got the hunch, but I hadn’t done the homework. Can’t jump that.”
Reddit, Inc. (NYSE:RDDT) operates an online platform where users join interest-based communities to share content, exchange ideas, and engage in discussions.
11. DraftKings Inc. (NASDAQ:DKNG)
Number of Hedge Fund Holders: 70
DraftKings Inc. (NASDAQ:DKNG) is one of the stocks Jim Cramer recently shed light on. Cramer noted that the company “reported an impressive quarter,” as he remarked:
“As we approach football season, things are already looking pretty darn good for DraftKings, one of the nation’s largest online sportsbooks. I’ve been steadfastly bull on this one, you know, just the whole way. After the close, DraftKings reported an impressive quarter, revenue growth accelerating to 37%, better-than-expected earnings, higher-than-expected earnings before interest, taxes, depreciation, and amortization. These results were driven by what DraftKings calls sportsbook-friendly outcomes in the quarter, and the company only reiterated its full-year forecast. But management did say that it now expects to see revenue near the high end of its guidance range. That was good enough to send the stock flying in after-hours trading.”
DraftKings Inc. (NASDAQ:DKNG) operates a digital platform that provides online sports betting, daily fantasy sports, iGaming, and retail sportsbooks. The company also develops gaming software and runs a digital collectibles marketplace.
10. Micron Technology, Inc. (NASDAQ:MU)
Number of Hedge Fund Holders: 96
Micron Technology, Inc. (NASDAQ:MU) is one of the stocks Jim Cramer recently shed light on. A caller asked if Cramer would suggest buying the stock at its current level. He replied:
“Okay, the problem that’s happened, and it’s very technical here, but they make a particular chip called a DRAM, and the DRAM pricing has been going down. And that’s what this stock trades with… not with the semiconductors, but with actual DRAM pricing. Until DRAM pricing stabilizes a little bit more, I’m going to say we have to wait. I wish I could be more aggressive because I happen to think that Sanjay Mehrotra is a terrific CEO, but it’s a commodity, not unlike, in some degree, oil. Now it… [has] this high bandwidth division that is very good for data centers, but it’s not enough to be able to move the needle, and that’s why I am waiting on the sidelines, Micron.”
Micron Technology, Inc. (NASDAQ:MU) designs and sells memory and storage solutions, including DRAM and flash products, under the Micron and Crucial brands. The company’s technologies support applications across data centers, mobile devices, automotive systems, and consumer electronics.
9. Bristol-Myers Squibb Company (NYSE:BMY)
Number of Hedge Fund Holders: 69
Bristol-Myers Squibb Company (NYSE:BMY) is one of the stocks Jim Cramer recently shed light on. When a caller noted that the stock has been going down, Cramer commented:
“Yes, it does. And let me tell you how I feel about this: I made a mistake here. I bought the stock, I bought it because they have a drug called COBENFY, which I think is going to be really good for severely mentally ill people. It has not worked. The president is very much, because he’s against these drug companies, it’s not been able to stabilize. I’m trying to figure out an action plan for my Charitable Trust. Have not been recommending the stock. I need an action plan. I don’t have it yet. You and I are in the same boat on this one.”
Bristol-Myers Squibb Company (NYSE:BMY) develops and markets biopharmaceuticals for cancer, cardiovascular, immunology, and neurological conditions. The company’s portfolio includes Eliquis, Opdivo, Revlimid, Camzyos, and several other therapies for serious and chronic diseases.
8. NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holders: 212
NVIDIA Corporation (NASDAQ:NVDA) is one of the stocks Jim Cramer recently shed light on. During the episode, Cramer mentioned that the stock is one of the major names for the show and the Charitable Trust. He stated:
“The charts interpreted by Jessica Inskip suggest the S&P 500’s still in bull mode, and that’s even after last Friday’s beat down. But it looks like we’re back to the narrow bull market that’s defined so much of the past year and a half. You and I both know, NVIDIA, Apple, Microsoft, okay, these are core names for us. For a lot of people, they’re not, but they’re core names for us here in Mad Money and for my Charitable Trust.”
NVIDIA Corporation (NASDAQ:NVDA) provides advanced computing, graphics, and AI solutions for sectors including gaming, data centers, automotive, and robotics. The company’s products include GPUs, cloud services, enterprise AI tools, and software platforms like Omniverse and GeForce NOW.
7. Coca-Cola Consolidated, Inc. (NASDAQ:COKE)
Number of Hedge Fund Holders: 22
Coca-Cola Consolidated, Inc. (NASDAQ:COKE) is one of the stocks Jim Cramer recently shed light on. When a caller inquired about the stock, Cramer remarked:
“No, no… no, we’re not going there. That’s just, doesn’t have it. It’s down 10% for the year, and that actually makes sense. It does not have, a technical term that I like to use periodically that I learned at Goldman Sachs, the mojo. It doesn’t have it.”
Coca-Cola Consolidated, Inc. (NASDAQ:COKE) manufactures, markets, and distributes nonalcoholic beverages, primarily Coca-Cola products, along with brands like Dr Pepper and Monster Energy. The company supplies bottled drinks and post-mix fountain products to retailers, food service outlets, and vending channels. A caller asked about the company stock during the June 11 episode, and Cramer said:
“You know… It doesn’t have the yield that people want. I think it’s a really good company. It is very intriguing to me because the distribution is a really good business. I would hold on to it just because I think the distribution business, not because it’s necessarily good right now, but I do know that long term, it’s been a good one…”
6. PayPal Holdings, Inc. (NASDAQ:PYPL)
Number of Hedge Fund Holders: 92
PayPal Holdings, Inc. (NASDAQ:PYPL) is one of the stocks Jim Cramer recently shed light on. A caller asked if they should buy, sell, or hold the stock. In response, Cramer said:
“No, I didn’t like the quarter. There’s so many other better ones out there. May I suggest, if you want lending, I would go with Capital One. I know it’s old-fashioned. I know you’ve seen the ads, but all I can tell you is the guy who runs that situation, Richard Fairbank, is a genius. He’s who we’re going with.”
PayPal Holdings, Inc. (NASDAQ:PYPL) provides a digital payments platform that connects merchants and consumers for transactions using multiple funding sources. When a caller inquired about the stock during a July episode, Cramer responded:
“Alright, listen to me, listen to me, sunshine. Alex Chriss is really coming, he did not deliver in a couple of quarters. I now think he is ready to roll. I like the stock of PayPal. It is a crowded space, admittedly, crowded space, and you know, there’s a lot of companies that are trying to do the, somewhat of the same thing, including Affirm. But I will tell you that I think Alex Chriss, he’d be the man, and he will get you where you have to go.”
5. The Walt Disney Company (NYSE:DIS)
Number of Hedge Fund Holders: 104
The Walt Disney Company (NYSE:DIS) is one of the stocks Jim Cramer recently shed light on. Cramer highlighted that the company “reported a nice beat and raise,” quarter and commented:
“But then there’s the other side of the trade, stocks that just go begging because there’s no narrative that can attract attention. Take Disney. The company made a major deal with the NFL last night on the eve of earnings that were usually positive, but no one cared. Disney reported a nice beat and raise, one that should have sent the stock flying, but no. Because it didn’t raise its earnings forecast enough, the stock got hit. Disney beat the earnings estimates by 14 cents, but it didn’t pass all that beat on to the full year guidance. That’s deadly, suicidal even. It’s an implicit cut to the forecast. You have to raise your full-year earnings guidance at least as much as you beat the quarter, or your stock is just going to get clubbed. It didn’t need to be that way, but management played it safe. Safety took a vacation.”
The Walt Disney Company (NYSE:DIS) creates and distributes film, TV, and streaming content under major brands like Disney, Marvel, Pixar, and ESPN. Moreover, the company operates theme parks, resorts, cruises, and merchandise businesses.
4. Apple Inc. (NASDAQ:AAPL)
Number of Hedge Fund Holders: 159
Apple Inc. (NASDAQ:AAPL) is one of the stocks Jim Cramer recently shed light on. Cramer discussed the company’s announcement to increase its commitment to $600 billion. He said:
“Or how about Apple, another Charitable Trust holding? You know what I say about that one, I say hold it, don’t trade it… This has been a stock that’s been left for dead after a very good quarter because it has no AI strategy… The President wants the biggest deal of all time ever, I mean, like ever in… the history of all deals. Sure enough, Tim Cook announced today that Apple will increase its commitment to $600 billion and will support a new American manufacturing program… And the president is appeased. Now, you may say, is this all incremental? I say, who cares? If this immunizes Apple from tariffs from China or India, because the big man has finally gotten the number he wants, well then, so what? So be it. The shorts will have to cover, which they were doing all day, by the way, hence, the stock’s 5% gain.”
Apple Inc. (NASDAQ:AAPL) designs and sells devices like the iPhone, Mac, iPad, and Apple Watch, alongside accessories and cloud-based services. Additionally, the company provides subscription platforms for music, video, news, fitness, gaming, and payments, among others.
3. Amazon.com, Inc. (NASDAQ:AMZN)
Number of Hedge Fund Holders: 328
Amazon.com, Inc. (NASDAQ:AMZN) is one of the stocks Jim Cramer recently shed light on. Cramer discussed the positives and negatives around the company’s earnings report. He stated:
“Let me give you two salient ones. First is Amazon, the company we know as a retailer, put up fantastic retail numbers when it just reported. It crushed in advertising, but when it came to its quiet Amazon Web Services division, the business where the big money’s made, the one that competes with Microsoft Azure division and Google Cloud, well, guess what? We got a whole new narrative. It was one of a penny-pinching Amazon, underspending and not buying the latest and greatest NVIDIA chips, the ones that young companies thrive on when they want to develop software. This narrative of Amazon being a share donor to OpenAI swept through Wall Street… But then yesterday, Amazon announced a deal with OpenAI that could be the beginning of an effort to catch up. Customers might not migrate to Microsoft Azure, which is joined at the hip with OpenAI. More important, it was a signal that the shorts had pressed their bets too hard and longs flooded into the stock that had been down 10% between Friday and Monday. This is Amazon. By midday, I wondered if the shorts didn’t get wise to the fact that Amazon’s no pitiful, helpless giant. If it wants to play catch-up, it will simply spend more money because it’s got it to spend.”
Amazon.com, Inc. (NASDAQ:AMZN) sells consumer products, subscriptions, and advertising. The company also offers cloud services, media content, and devices.
2. Arista Networks Inc (NYSE:ANET)
Number of Hedge Fund Holders: 75
Arista Networks Inc (NYSE:ANET) is one of the stocks Jim Cramer recently shed light on. During the episode, Cramer said that the company reported “stupendous” numbers, as he commented:
“And look, this short-busting Palantir is not alone. Stocks in this market fly when they’re heavily shorted and something good, anything good, happens. Take Arista Networks, one of my faves, the data center networking play… If the stock’s been creeping up every step by step, inch by inch, the shorts were increasing their bets the whole time. They figured it was like shooting fish in a barrel.
Then Arista reported, and the numbers, they were stupendous. The last quarter was an apparition. CEO Jayshree Ullal gaffed and gutted the short sellers… The stock managed to shoot up more than 17% today. You don’t find ordinary longs pay up like this. It’s the short sellers panicking, knowing that they’re done, stick a fork in them. They have no choice but to buy, to close out their now losing positions.”
Arista Networks Inc (NYSE:ANET) develops data-driven networking solutions for AI, cloud, data center, and routing use cases, built around its Extensible Operating System and network applications. In addition, the company provides software, services, and support for several enterprise and service provider customers.
1. Palantir Technologies Inc. (NASDAQ:PLTR)
Number of Hedge Fund Holders: 77
Palantir Technologies Inc. (NASDAQ:PLTR) is one of the stocks Jim Cramer recently shed light on. Cramer called the company “incredible,” as he commented:
“By now, we all know about Palantir, the one-of-a-kind juggernaut meme stock that can’t be stopped. It’s part sledgehammer, part laser, part nuclear bomb, and part Saquon Barkley. I mean, this thing’s incredible. Now, some of that’s because CEO Alex Karp just keeps delivering, not just with great contracts but with revenue growth and incredible margins. This guy is crushing it like no other.
Let me give you the dirty little secret of the success of Palantir. His name is Shane. So I’m at lunch today, and Shane wants a picture… I asked Shane what he’s up to now in the stock market… Shane said, you know what I’m doing? I’m buying put options. I said, oh, and what are you buying put options on? Palantir. There you go, Palantir.
The path to Palantir riches is being paved on the backs of the put buyers, those who use options to bet against it. I told him he needed to focus… If he was betting against Palantir, he wasn’t focusing at all. Fortunately, he limited his risk with puts and not outright shorting. He wouldn’t have been at lunch if he were short. He wouldn’t even be able to go out in public. Believe me…”
Palantir Technologies Inc. (NASDAQ:PLTR) develops platforms that help users interpret complex data for intelligence, operations, and enterprise use. The company’s platforms include Gotham, Foundry, Apollo, and an AI platform.
While we acknowledge the potential of Palantir Technologies Inc. (NASDAQ:PLTR) as an investment, our conviction lies in the belief that 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 PLTR and that has 100x upside potential, check out our report about this cheapest AI stock.
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