Jim Cramer, the host of Mad Money, said on Monday that dealmaking is likely to be a major driver for the stock market next year.
“The setup’s a great one… The chief pillar? Takeovers and acquisitions. They’re going to be an extraordinary force for the bulls in 2026…. They won’t necessarily move the averages in a visible way like today, when we got some real takeover news, but it didn’t play an obvious role… Let me tell you why these transactions are so important to you and why you must stay in the market to profit from them. First, the stock market is fundamentally about supply and demand. If you increase the number of shares, then the averages may have trouble advancing. Periods of great stock issuance can lead to uncomfortable moments.”
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Cramer added that when there is not enough money flowing in to absorb all that extra supply, the result can be a market decline that turns into a bear market. However, he explained that takeovers help offset the constant flow of new shares. He said the balance is especially important now because he expects a wave of new issuance, including a few potential blockbuster deals, and he believes that much new supply could be difficult for the market to absorb on its own. He added that it helps when public companies continue to buy private businesses owned by private equity firms, and said, “That’s good.”
“The bottom line: These are all fantastic templates. Two acquirers with stocks that go higher, a buyer confident that it can merge the number three with the number one in the same industry, and a company that can’t get AI right without hurting a quarter or so… so why be publicly traded at all? And then finally, there’s Stanley Black & Decker[‘s] aerospace business, turned out to be worth more than anyone expected. New patterns, new methods, new money. What’s not to like?”
Our Methodology
For this article, we compiled a list of 11 stocks that were discussed by Jim Cramer during the episode of Mad Money aired on December 22. We listed the stocks in the order that Cramer mentioned them. We also provided hedge fund sentiment for each stock as of the third quarter of 2025, which was taken from Insider Monkey’s database of 978 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 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
Jim Cramer Shared His Takes on These 11 Stocks
11. fuboTV Inc. (NYSE:FUBO)
Number of Hedge Fund Holders: 11
fuboTV Inc. (NYSE:FUBO) is one of the stocks Jim Cramer shared his take on. When a caller asked about the stock during the lightning round, Cramer said, “Fubo’s had a big run, and I don’t think there’s any need to pile on at this price. I think it’s just too high.”
fuboTV Inc. (NYSE:FUBO) provides a live TV streaming service focused on sports, news, and entertainment. The service is accessible through streaming devices, SmartTVs, and mobile platforms. During the November 20 episode, a caller asked whether the company’s stock was speculative. The Mad Money host said, “I don’t know. Let’s do Netflix instead of Fubo. I just, I like Netflix more, just saying.”
10. Patterson-UTI Energy, Inc. (NASDAQ:PTEN)
Number of Hedge Fund Holders: 42
Patterson-UTI Energy, Inc. (NASDAQ:PTEN) is one of the stocks Jim Cramer shared his take on. Answering a caller’s query about the stock, Cramer remarked:
“No, no we’re not…. No, oil and gas… it’s just a flat-out no on this show. We are just not, we’ve not recommended those stocks for a very long time, and we’re not going to do it this year.”
Patterson-UTI Energy, Inc. (NASDAQ:PTEN) helps oil and gas companies drill and finish wells. The company provides hands-on drilling work and on-site support services. In addition, it offers hydraulic fracturing, completion help, power and logistics solutions, and supplies drill bits and other oilfield tools. On December 9, Patterson-UTI Energy, Inc. (NASDAQ:PTEN) reported an average of 93 drilling rigs operating during November 2025 in the United States. For the two months ended November 30, 2025, the average count was 94 rigs earning revenue under drilling contracts.
9. Rubrik, Inc. (NYSE:RBRK)
Number of Hedge Fund Holders: 52
Rubrik, Inc. (NYSE:RBRK) is one of the stocks Jim Cramer shared his take on. During the lightning round, a caller inquired about Cramer’s thoughts on the company. In response, he said:
“Oh my God, I think Bipul’s doing a fantastic job. I can’t say enough about how great the trajectory of this company is. I think you should own it, continue to own it.”
Rubrik, Inc. (NYSE:RBRK) provides data security and protection solutions across cloud, enterprise, and SaaS environments. The company’s platform delivers threat analytics, cyber recovery, and data security posture management. When a caller asked about the stock during the September 17 episode, Cramer commented:
“I thought the last quarter was good. I, the stock got hit on the quarter. I don’t, you know, maybe I’m not the call on this. I didn’t think the stock should have gone down. So I like it, and I think you’re okay.”
8. NetApp, Inc. (NASDAQ:NTAP)
Number of Hedge Fund Holders: 38
NetApp, Inc. (NASDAQ:NTAP) is one of the stocks Jim Cramer shared his take on. Noting that they have owned the stock for the past 25 years, a caller asked if they should continue to hold it, and Cramer commented:
“Well, you know, I think it’s an okay company. It’s storage management. That’s a good business. Not a good year this year. I wouldn’t mind if you trimmed some and got into some more exciting stocks like we, I shouldn’t say exciting, more investible stocks like we have in How to Make Money in Any Market.”
NetApp, Inc. (NASDAQ:NTAP) provides enterprise data management software and storage systems that help organizations manage, protect, and move data across on-premises and cloud environments. On December 9, the company and F5 (NASDAQ:FFIV) announced an expanded partnership to help enterprises move large AI data sets faster while strengthening long-term security. The combined solution supports AI workloads and S3 storage, improves data flow through traffic management tools, and adds protection against future quantum-related threats, including “harvest now, decrypt later” attacks, using TLS 1.3 and quantum-resistant encryption.
7. Rivian Automotive, Inc. (NASDAQ:RIVN)
Number of Hedge Fund Holders: 36
Rivian Automotive, Inc. (NASDAQ:RIVN) is one of the stocks Jim Cramer shared his take on. A caller asked what Cramer thinks the prospects are for the company and he replied:
“Look, I’m a balance sheet guy. This has had a major, major move. It’s been terrific. I think some of it is a short squeeze. There’s a very big short. I want you to take some off the table and then let the rest run because in the end, I care more about maintaining gains when it comes to the heavily speculative stocks that are losing a lot of money. Let’s take some off the table, rest run.”
Rivian Automotive, Inc. (NASDAQ:RIVN) manufactures electric vehicles and provides related software, charging, and maintenance services. It is worth noting that when a caller inquired about the stock during the October 27 episode, Cramer responded:
“[Sell, sell, sell] I’m sorry. I mean, look, I want you to continue to be able to have steak dinner… I don’t want you to say it’s better. It’s not. You’re selling it.”
6. The Home Depot, Inc. (NYSE:HD)
Number of Hedge Fund Holders: 104
The Home Depot, Inc. (NYSE:HD) is one of the stocks Jim Cramer shared his take on. Noting that the stock is down despite Fed rate cuts, a caller inquired if they should add to their position, sell, or hold. Cramer stated:
“Yes, I would buy more. It’s a big position for my Charitable Trust. Why would I buy more? Because we are going to get more rate cuts, particularly because the president wants them, and he’s going to pick someone who’ll forget all this nonsense you hear. They’re going to cut rates and cut rates dramatically, and you have to be in Home Depot for that because it’s the single best way to play a turnaround in housing. It’s the only one housing-related stock that we have in the trust, and I feel very good about it.”
The Home Depot, Inc. (NYSE:HD) is a home improvement retailer that sells tools, building materials, and decor. It also provides installation and equipment rental services. Cramer mentioned the stock during the December 11 episode and said:
“Lower rates spur home building and home buying, and they spur home improvement, which can be financed by a home equity loan… Predictably, Home Depot was really on the move again, even as I’m sure nothing extraordinary is going to happen there with a quarter-point cut. Still, we own it for the Charitable Trust… But long story short, I think the despot works here. Even if ICE, the immigration police, keep prowling their parking lots looking for people to deport. And that has hurt the stock. I know Home Depot’s been doing poorly. Okay, I totally get that. What matters is [that] management just told us that they’d do better if rates came down, and then rates came down. Don’t outthink it. Trust them. I do.”
5. Costco Wholesale Corporation (NASDAQ:COST)
Number of Hedge Fund Holders: 88
Costco Wholesale Corporation (NASDAQ:COST) is one of the stocks Jim Cramer shared his take on. During the episode, a caller asked if the stock is back, and Cramer replied:
“I was at Costco this weekend, trying to check it out, trying to figure out what the heck is wrong. I think… what’s wrong is the stock got too high. I would’ve thought at 41 times earnings, it’s done going down. That was wrong. We did sell half the position, I can’t believe I sold any of it, for the Charitable Trust. We had to. I don’t like the re-ups… what we call the people going back to the club and getting a… replacement card. I’ve gotta tell you, I don’t like it still. I had a great time at Costco yesterday with my wife, but that doesn’t necessarily translate into people re-upping at a better rate. I am concerned I might sell the rest… and yeah, I know that’s big.”
Costco Wholesale Corporation (NASDAQ:COST) operates membership warehouses and provides groceries, fresh food, household goods, electronics, and more. In addition, the company offers various services through pharmacies, gas stations, optical centers, and e-commerce options. During the episode that was aired on December 17, Cramer mentioned the stock and remarked:
“Stock buyers will not check to see how much these companies might save with the tariffs gone. They’ll just buy, buy, buy. And Costco has joined a list of companies suing the Trump administration for a refund. I don’t know how much that would be and who would get it, but a victory against tariffs may break the company’s stock from its continued, and endless, and terrible tailspin.”
4. Stanley Black & Decker, Inc. (NYSE:SWK)
Number of Hedge Fund Holders: 37
Stanley Black & Decker, Inc. (NYSE:SWK) is one of the stocks Jim Cramer shared his take on. Cramer highlighted the company’s latest deal with Howmet, as he commented:
“Finally, there’s the everybody wins kind of M&A. This morning, Stanley Black & Decker sold its aerospace manufacturing business, consolidated aerospace manufacturing to Howmet, a crackerjack aerospace company, for $1.8 billion in cash. This is a terrific deal for Stanley Black & Decker shareholders… because that company needs to repair its balance sheet, hence why the stock rallied 3%. Howmet… can become an even bigger player in aerospace, which is why that stock jumped $4.68.”
Stanley Black & Decker, Inc. (NYSE:SWK) designs and sells hand tools, power tools, outdoor equipment, and storage products. The company also supplies engineered fasteners, attachment systems, and industrial components. During the July 28 episode, Cramer said that the company’s FCF is “going the wrong way.” He stated:
“… Look, it’s not just Dow. We were attracted to two stocks from our Charitable Trust because of their high yields: Best Buy and Stanley Black & Decker… Stanley would benefit from a potential turn in housing because it seemed natural that once the Fed got inflation under control, it would start cutting rates. Both stocks initially soared same thesis. We sold… Stanley at a small loss, thankfully avoiding a much larger downturn later on… Now, when Stanley last came on the show, they told us they don’t expect to turn until 2027, which was disconcerting because it immediately made me feel the dividend could be in jeopardy between now and then, especially because the company has so much exposure to Chinese manufacturing. Right now, Stanley has plenty of coverage, but its free cash flow is going the wrong way, and I think you’d be reaching for yield if you bought this stock here…”
3. Cintas Corporation (NASDAQ:CTAS)
Number of Hedge Fund Holders: 61
Cintas Corporation (NASDAQ:CTAS) is one of the stocks Jim Cramer shared his take on. Cramer noted the company’s interest in buying UniFirst, as he said:
“Then there’s a whole ‘nother template, Cintas trying to buy UniFirst, an ongoing saga that has the number one uniform retail company, Cintas, trying to acquire the number three player in the same business. There was an indication of interest via Cintas in 2022. Then in January of 2025, Cintas formalized a generous bid that was rejected. Now, it’s back with the same bid, $275, which is a 64% premium to where the stock had been trading. But get this, this is what’s important: Cintas is so confident that the regulators will… will bless this deal that they’re offering a $350 million reverse termination fee, bear with me, on this $5.2 billion transaction.
Therein lies what’s most interesting. If Cintas had offered a termination fee under the old FTC, there was a good chance they would’ve had to pay it because Lina Khan would’ve eagerly blocked this kind of deal. But this administration wants strong companies that can extend their reach, confident that others will rise up and challenge them. If you’re a client of UniFirst, you actually might, of course, may worry that your uniform bills are going to go up, and the government’s going to look at that. But Cintas, they’re not stupid. It will lose clients if it raises prices too much, as there’s always someone willing to come in underneath. UniFirst has been adamant about staying independent, but it’s a public company, which means it’s always for sale at the right price. Frankly, I think a 64% premium seems to me to be the right price.”
Cintas Corporation (NASDAQ:CTAS) provides uniform rental, facility services, and workplace supplies, including garments, mats, restroom products, and cleaning services. Moreover, the company offers first aid, safety, and fire protection products and services.
2. Janus Henderson Group plc (NYSE:JHG)
Number of Hedge Fund Holders: 28
Janus Henderson Group plc (NYSE:JHG) is one of the stocks Jim Cramer shared his take on. Cramer mentioned the company during the episode and stated:
“Or how about the deal this morning, where Trian, the fund led by Nelson Peltz, and an outfit called General Catalyst Group are taking the storied money manager Janus Henderson private for $7.4 billion, which is 18% above where it was trading back in October when Trian and its partners made their first offer for the company. The big story here, Janus knows that it wants to move aggressively using AI to come up with great things for investors. The performance for most of their funds has been stellar, and if you have money with them, you won’t even notice these moves they’re going to be making that I’m about to talk about. But Janus doesn’t feel it can make these kinds of moves with AI without crushing its stock, as long as it remains a public company, which is why it wants to go private here. I think this deal is the template for dozens of companies going private in 2026.”
Janus Henderson Group plc (NYSE:JHG) manages investments for institutions, retail clients, and high-net-worth individuals. The firm also invests in real estate and private companies.
1. Warner Bros. Discovery, Inc. (NASDAQ:WBD)
Number of Hedge Fund Holders: 70
Warner Bros. Discovery, Inc. (NASDAQ:WBD) is one of the stocks Jim Cramer shared his take on. Cramer noted the battle over the company’s acquisition between Netflix and Paramount Skydance. He remarked:
“The most salient takeover battle right now is the contest for Warner Brothers Discovery. Here we have a public company that’s more like a private company, Paramount Skydance. I say that because its bid is personally funded in part by the fifth-wealthiest person in the world, Larry Ellison. His son runs the business. In the fight for Warner Brothers… Paramount is going against Netflix. Today, we get more assurances that Larry’s willing to provide backstop financing for the acquisition… $40 billion. But Netflix wants it, and you know what? I think Netflix has the blessing of the Time Warner board, and unless Ellison comes back with a huge amount of money, I don’t think they’d get it.
What I care about is that there are two bidders with big pools of capital trying to get this one asset. Netflix isn’t known as a deal maker, but they’ve surfaced out of the woodwork. Ellison personally isn’t a deal maker either, though his principal employer, Oracle, has been known to make deals. Larry’s standing up for $40.4 billion, a personal guarantee. Let’s not lose this forest or burn it down for the sake of the trees’ moment. This stock, Warner Brothers Discovery, was trading at $7 when I had dinner with CEO David Zaslav just seven months ago, and he said the company’s worth $34 a share. You know what? I think he’s going to be right. Everyone keeps talking about how expensive stocks are. Was Warner expensive at seven bucks? Isn’t that the real takeaway? It turned out to be dirt cheap. Take that, bears.”
Warner Bros. Discovery, Inc. (NASDAQ:WBD) is a media and entertainment company that creates and distributes movies, TV shows, and streaming content.
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