On Monday’s episode of Mad Money, host Jim Cramer broke down the day’s market movement and pointed out that Monday’s trading activity served as a clear signal of just how optimistic investors remain. However, he warned that the enthusiasm could quickly turn to disappointment because the current administration has shown it is willing to let the market falter if doing so helps push forward its objectives.
“We’re always one posting, one whisper away from rallying or declining. As long as we recognize that the president’s in control of the stock market, at least when he wants to be, we can make sense of this tape, and that’s my conclusion when I look at the averages.”
READ ALSO: Jim Cramer’s Game Plan: 9 Stocks in Focus and 8 Stocks on Jim Cramer’s Radar
When considering what it means for investors, Cramer noted that the president is still firmly in control of the market’s direction, even if his approach is unpredictable. He acknowledged that, on occasion, the administration does introduce measures that benefit business. He cited a recent example where the president doubled the tariff on imported steel from 25% to 50%.
Cramer said that it may give a boost to a few strong steel companies, but it comes at the expense of countless manufacturers that rely on steel as a raw material. He mentioned that the president will ultimately take steps that favor business.
“Bottom line: We have to be ready for disappointment, because we’ve seen it over and over and over again. This administration is perfectly willing to disappoint the stock market, not big Bitcoin, but the stock market to advance their agenda, and it’s foolish that you should believe otherwise.”
Our Methodology
For this article, we compiled a list of 16 stocks that were discussed by Jim Cramer during the episode of Mad Money aired on June 2. We listed the stocks in ascending order of their hedge fund sentiment 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).
16. Aurora Cannabis Inc. (NASDAQ:ACB)
Number of Hedge Fund Holders: 7
When a caller inquired about Aurora Cannabis Inc. (NASDAQ:ACB), Cramer commented:
“You know, I keep thinking that it has to come alive, right? And the stock is up a lot. Here’s what I say, you know what? I’m not fighting it. I’m not fighting it. You can own it. It’s a nice speculative stock. There, I said it.”
Aurora Cannabis (NASDAQ:ACB) produces and sells a wide range of cannabis and hemp-derived products for both medical and recreational use, including dried flowers, oils, edibles, vapes, and capsules. The company also provides patient support services and operates multiple consumer and medical cannabis brands. It is worth noting that in 2019, during a lightning round, Cramer commented:
“The group is just under heavy pressure, and every time it sticks its head up, it gets completely whacked. They’re playing whack-a-mole with these. We’ve got to wait to until one of them shows a really big profit.”
For context, since that comment was aired, Aurora Cannabis (NASDAQ:ACB) stock has declined more than 98%.
15. HighPeak Energy, Inc. (NASDAQ:HPK)
Number of Hedge Fund Holders: 8
During the lightning round, a caller asked about HighPeak Energy, Inc. (NASDAQ:HPK), and in response, Cramer said:
“Okay, Rusty Braziel once told me this was a terrific company. The problem is, oil at $62 a barrel does not make me interested. If you think oil’s going to go up, you do have a winner, though. Highpeak is levered to the price of oil more than almost all of them.”
HighPeak Energy (NASDAQ:HPK) is an independent company focused on exploring, developing, and producing crude oil, natural gas, and natural gas liquids. On May 12, the company reported its first-quarter earnings results.
It reported that daily sales volumes averaged around 53.1 thousand barrels of crude oil equivalent, which was a 6% rise from the previous quarter. HighPeak Energy (NASDAQ:HPK) posted net income of $36.3 million, or $0.26 per diluted share. The company’s EBITDAX reported was $197.3 million, or $1.40 per diluted share.
14. Sezzle Inc. (NASDAQ:SEZL)
Number of Hedge Fund Holders: 16
When a caller mentioned that they put Sezzle Inc. (NASDAQ:SEZL) stock on their watchlist two months ago, Cramer remarked:
“Oh my, two months ago, you would’ve made a fortune. Now this happens to be a Ben Stoto… specialty. He looks at Sezzle quite a bit, and all I can tell you is this, we think Sezzle’s had its day. I don’t think we can recommend Sezzle any higher here. I just don’t think we can.”
Sezzle (NASDAQ:SEZL) is a payments company that lets consumers split purchases into installments using the Sezzle Platform. Additionally, the company provides products like the Sezzle Virtual Card, Sezzle Anywhere, and Sezzle Premium, which give users more ways to manage payments over time. On May 16, when Cramer was asked about the company, he said:
“I think, I think Sezzle’s in a crowded space. I know it hit an all-time high. I would actually ring the register on some Sezzle because even though it’s not sizzle, I do think, and I’m looking right now at my chief scientist and research director, Ben Stoto, we both feel that it’s gotten a little too hot. I think that’s fair.”
13. Cerence Inc. (NASDAQ:CRNC)
Number of Hedge Fund Holders: 18
A caller asked for Cramer’s perspective on Cerence Inc. (NASDAQ:CRNC), and he replied:
“I like Cerence, and I also happen to like Brian Krzanich, the CEO. I am partial. They make money. I think you’ve got a winner. I was actually trying to figure out whether I could justify doing a piece on it because it’s not that expensive. Cerence is a winner, and Brian’s always welcome on the show, as we know.”
Cerence (NASDAQ:CRNC) provides AI-based virtual assistants and conversational tools that include speech recognition, natural language processing, and text-to-speech technology. The company also delivers edge software, cloud-based features, and professional support for the mobility and transportation industry. It is worth noting that earlier in February, Cramer was also bullish on the company as he said:
“Now, Cerence actually has some game. They had that good partnership. Let’s go with Cerence. You know why? I’ll tell you why. Because it’s down huge from $27 down to $12. I think you got a real interesting level. Let’s pull the trigger.”
12. Build-A-Bear Workshop, Inc. (NYSE:BBW)
Number of Hedge Fund Holders: 19
A caller asked if they should hold, trim, or add to their position in Build-A-Bear Workshop, Inc. (NYSE:BBW). Cramer replied:
“Alright, I remember many, many years ago when Danny Meyer came here… and he said, listen, this is a company to watch. It is a company that is also a great hospitality company. And I’m going to tell you I have followed it ever since. I cannot believe it had that earnings breakout. And if anything… I’m a holder, not a buyer, because it just had that spike. But if it came down, I would certainly be a buyer.”
Build-A-Bear Workshop (NYSE:BBW) is a retailer that provides customizable plush toys, pre-stuffed animals, scents, sounds, and a variety of accessories, clothing, and novelty items, with stores operating under the Build-A-Bear Workshop name.
11. The Campbell’s Company (NASDAQ:CPB)
Number of Hedge Fund Holders: 30
The Campbell’s Company (NASDAQ:CPB) was mentioned during the episode, and here’s what Cramer had to say:
“Campbell’s reported this morning, and if you listened to the call, you’d think that they must make expensive gourmet food, not some of the most basic stuff in the supermarket, because apparently high prices are scaring away their customers over and over again… I gotta say something, I’ve been very fond of Campbell’s with a good dividend, staple set of product lines, meals, and beverages, and snacks Campbell’s bought Raos, the terrific Italian sauce company, and initially, that deal bolstered sales. Oh, but get this, in a real bit of bad luck, Raos is staring down a reciprocal tariff, currently at pause, that could turn out to be an 8 to 9% headwind…
Plus, we just learned that steel and aluminum tariffs are being doubled from 25 to 50%. The classic Campbell’s Soup can is made of steel…. Well, that’s going to hurt… When you look at the weakness in snacks, things get more problematic…. Overall snack sales were down 5% on organic basis. Now, management repeatedly mentioned the economy as the main driver of the shortfall. You know what they didn’t mention once? The GLP-1 weightless drugs, the ones that make you feel full, and they tamp down all sorts of cravings, including cravings for the junk food that Campbell’s makes.
I don’t think they’re oblivious, but over and over again, the packaged fruit companies have told us that what sells better in GLP-1 world is multi-pack snacks, and that turned out to be what worked well for Campbell’s potato chips. So don’t you think there’s some similarity? Honestly, I think it’s insane to blame the economy for everything when 15 million or more Americans are taking these weight loss drugs, and to not acknowledge that younger people are much more concerned about their health than they used to be, and know better than to eat salty snacks. That seems downright naive to me…
Now, Campbell’s has a nice juicy good dividend, and that gives you a 4.5% yield, which seems safe here. Company just raised its payout by 2 cents per share in December for a quarter. Normally, I’d say they’re paying you to wait, but now I’m thinking, wait for what? For GLP-1s to go outta style, for younger people to break discipline, for cans to come down in price, for more clarity on tariffs? With the benchmark 10 Year Treasury yielding 4.5%, with a possible secular change against snacking, I don’t think there’s anything to wait for, and so I won’t wait for it. Unless you think Campbell’s will catch a takeover bid, I don’t think you should wait either.”
Campbell’s (NASDAQ:CPB) produces and sells a wide range of food and beverage items, including soups, sauces, broths, pasta, juices, frozen meals, yogurt, and an extensive lineup of snacks such as crackers, cookies, chips, and pretzels under various well-known brands.
10. Kohl’s Corporation (NYSE:KSS)
Number of Hedge Fund Holders: 31
When a caller inquired about Kohl’s Corporation (NYSE:KSS), Cramer said:
“Okay, let me tell you… Look, I think that last quarter was good. Okay, I’m going to be abject. I’m going to say it was good, and the company is not losing money. It’s going to make money. I can, do I think it can go from 8 to 12? Yes, okay. That is a very big move. It could do that… And because this guy, the guy’s doing a good job, the last guy seemed like a little bit of a, well, I don’t know, I don’t want to cast dispersions, but I think you can catch 4, but no more than that.”
Kohl’s (NYSE:KSS) is a retailer that offers a wide range of apparel, footwear, beauty, and home products through physical stores and online. The company has several in-house and licensed brands.
9. Skyworks Solutions, Inc. (NASDAQ:SWKS)
Number of Hedge Fund Holders: 31
Answering a caller’s query about Skyworks Solutions, Inc. (NASDAQ:SWKS), Cramer stated:
“It’s very cheap. It’s very cheap, but I don’t have a catalyst. I would still rather own NVIDIA than I would Skyworks. Gotta go for best of breed.”
Skyworks (NASDAQ:SWKS) develops and manufactures semiconductor products used across industries such as aerospace, automotive, telecommunications, and consumer electronics. The company’s portfolio includes components like amplifiers, converters, filters, and oscillators that support multiple advanced technology applications. In a February episode of Squawk on the Street, Cramer made the following comments on Skyworks (NASDAQ:SWKS):
“Yeah and Liam Griffin is doing such a great job, has been there for ages. . . .Skyworks has a huge percentage of Apple’s business. Now remember, Apple’s like Fight Club, you can’t mention in the conference call, just say a large client. It looks like Broadcom’s going to be splitting, maybe not as much as Skyworks, but that’s just devastating at Skyworks, very very good for Broadcom and this is just Hock Tan just coming, every cylinder. But David you know when you have one client, it is just a very rough thing… I think that one of the things that the company may regret is, you know they’ve got some Samsung business, but they needed to far. . . .when we see these companies like NXP, okay, NXP they say is autos, but it also has near field communications. Texas Instruments has got IoT and it also has autos. You need something else in order to make it so that if you do lose the greatest customer in the world, and they didn’t lose it, they just lost some of it, then you have what this is. By the way, Liam Griffin is a liked person. He’s out in two weeks he didn’t answer the calls, he didn’t answer the questions at the conference call. So, it was disconcerting. I found the whole thing disconcerting.”
8. First Horizon Corporation (NYSE:FHN)
Number of Hedge Fund Holders: 41
A caller asked about First Horizon Corporation (NYSE:FHN) and noted that its merger with TD Bank was terminated in 2023. Cramer replied:
“I like First Horizon very, very much. I like it very much. I think it should be bought. It’s a terrific situation, and I’m still thinking that what the heck happened to that deal? Because man, whoever buys that franchise is going to do incredibly well. That is a nice growth franchise.”
First Horizon (NYSE:FHN) provides a broad range of financial services, including commercial, consumer, and wealth management banking, alongside specialized lending and treasury solutions. The company also offers corporate banking, transaction processing, credit products, and investment services.
On May 20, Jefferies initiated coverage of First Horizon (NYSE:FHN) with a Buy rating and set a price target of $25. The firm began covering 32 regional and mid-cap banks, describing the outlook as positive. According to the firm, despite uncertainty around tariffs, factors like a potential recovery in loan growth if the U.S. avoids recession, wider net interest margins due to a steeper yield curve, strong credit metrics, surplus capital for strategic moves, and appealing valuations could benefit banks.
7. Republic Services, Inc. (NYSE:RSG)
Number of Hedge Fund Holders: 45
A caller asked for Cramer’s short and long-term outlook on Republic Services, Inc. (NYSE:RSG) stock. In response, he said:
“RSG is such a good company. Oh my god, it’s just so good. We had, I don’t know if anyone remember[s], we had Jon on recently, and I just said, you know, you got one hell of a company. That is a great stock.”
Republic Services, Inc. (NYSE:RSG) delivers a broad range of environmental services, including the collection, processing, and disposal of recyclable, solid, and industrial waste, as well as hazardous and non-hazardous materials. The company also offers residential curbside pickup, supplies waste containers, rents compactors, and manages the sale of recycled materials and landfill operations. The London Company stated the following regarding Republic Services, Inc. (NYSE:RSG) in its Q1 2025 investor letter:
“Republic Services, Inc. (NYSE:RSG) – RSG outperformed the index due to stronger-than-expected earnings and consistent performance, even with flat volume growth expectations. RSG continues to expand margins through improved customer mix, strategic pricing, and cost management. We remain attracted to the steady free cash flow growth, annuity-like revenues, and high market share of U.S. landfill capacity.”
6. Nucor Corporation (NYSE:NUE)
Number of Hedge Fund Holders: 50
The Mad Money host did not recommend buying Nucor Corporation (NYSE:NUE) but said that he would wait to buy the company “on weakness,” as he commented:
“… Higher tariffs by themselves are not a good enough reason to buy the stock. I do not recommend paying up here. I’d rather wait for an opportunity to buy Nucor on weakness again… So why hasn’t Nucor been able to hold on to its gains from positive developments in the past? Simple. While tariffs on imported steel are certainly helpful, they’re not the only thing that matters to this business…
Nucor stock collapsed into the end of last year, giving up all its post-election gains and then some. In December, the Fed decided to pause its rate-cutting cycle after just three cuts. That pause crushed anything economically sensitive, including the stock of Nucor… And honestly, the steel tariffs themselves are a mixed development for Nucor in the sense that they put upward pressure on steel, which is good for Nucor’s average selling price but not necessarily good for demand…
In addition to the steel tariffs doubling, the aluminum tariffs are doubling too… Do not get me wrong, I very much support these steel and aluminum tariffs. I salute them. They aim to defend our producers against foreign dumping, and we know that tariffs are a great way to accomplish that. But just because I support these tariffs as a policy doesn’t mean they’re a good reason to buy Nucor or any other steel maker. The earnings outlook for Nucor, which is what the stock price is based on, depends on a couple of factors…
So here’s the bottom line: Yes, tariffs on steel should be good for Nucor in a vacuum, but we don’t live in a vacuum, people. There are other forces at play here. I’d be much more bullish on Nucor going forward if we just got some clearer signals that the overall economy is doing better and that there will be more demand for building things like cars, homes, and generally more macroeconomic strength. All of that’s more important to Nucor stock than incrementally higher steel prices courtesy of these tariffs.”
Nucor (NYSE:NUE) manufactures a wide range of steel products and raw materials, including sheet steel, structural components, and processed metals, while also engaging in metal trading, scrap processing, and industrial gas supply.
5. Dell Technologies Inc. (NYSE:DELL)
Number of Hedge Fund Holders: 63
During the episode, Cramer said that despite Dell Technologies Inc.’s (NYSE:DELL) strong performance, the company’s stock fell due to government pressure on contractors. He added that it could hurt its sales.
“There’s a larger issue here. While Wall Street remains constantly optimistic that the government will do something good for private industry, our stocks keep getting walloped. Case in point: Dell. Now, I loved the quarter Dell reported last Thursday. It was huge, and the buyback was incredibly aggressive. This company’s a true believer in itself, which is good for Dell…. But on Friday, the stock actually went down.
One possible reason, the government’s General Services Administration is trying to put the squeeze to federal contractors, including Dell. Quoting the Wall Street Journal, the GSA is “asking executives to justify their work and find areas to cut”. Do you know how many of these federal contractors buy their PCs and servers from Dell? It’s definitely not a small number… Now, I think Dell’s doing tremendously, but if the government keeps cutting back on its tax spending, that’s going to hurt them too.”
Dell (NYSE:DELL) provides a wide range of technology products and services, including computing devices, storage systems, networking solutions, and support services.
4. Arista Networks Inc (NYSE:ANET)
Number of Hedge Fund Holders: 75
A caller asked how much runway Arista Networks Inc (NYSE:ANET) has in the AI boom. Here’s what Cramer had to say in response:
“Okay…. I’ve been, boy, you know, I talked about Arista this morning with someone, and we were both aghast that the stock has come down this much. This is a terrific company, and I hadn’t, it was with Jeff Marks, my partner for the club, and we think, we gotta do some work. I want Jayshree back. Okay? I’m not going to, Jayshree deserves to have her story told rather than just accept that 19% decline. That’s what we’re going to do. We’ll have her back because I don’t understand why it’s down this much.”
Arista Networks (NYSE:ANET) develops and sells networking solutions and software to support AI, cloud, and data center operations. The company also provides ongoing customer support and serves a wide range of industries through different sales channels.
3. Netflix, Inc. (NASDAQ:NFLX)
Number of Hedge Fund Holders: 150
Noting that the stock has been going “up and up”, a caller inquired about Netflix, Inc. (NASDAQ:NFLX). In response, Cramer said:
“Here’s what you do with a situation like Netflix, what you do is you buy a little, okay, just take, you know, bite, bite it. Just bite it. You have to. Bite some off. Buy a little. You want to buy a hundred? Go buy 20 and then work it down. But don’t let it get away from you because it is, I would tell you, this Netflix, this may be still the best growing stock in the entire market.”
Netflix, Inc. (NASDAQ:NFLX) delivers a wide range of TV shows, films, documentaries, and games through internet-connected devices as it offers streaming entertainment to subscribers worldwide. During a May 16 episode, Cramer said the following about the company:
“Well, you know what? When you have a stock like Netflix, you gotta do two things. One is you gotta take out your cost basis, which allows you to be able to play with the house’s money. And two is, forget about it, let it run. Once you take out your cost basis, what happens? You can’t lose money, and that’s the way you invest in this country.”
2. Apple Inc. (NASDAQ:AAPL)
Number of Hedge Fund Holders: 159
While discussing Apple Inc. (NASDAQ:AAPL), Cramer noted that the tariffs are hitting the company, as he said:
“I don’t even want to think about what’s happened to Apple because it dared to move some iPhone manufacturing from China to India. Trump’s hitting those phones with a 25% tariff because he wants them to be made in the US. From Apple’s perspective, it’s probably cheaper just to pay the 25.”
Apple (NASDAQ:AAPL) develops and sells a broad range of electronic devices, including smartphones, computers, tablets, and wearables, while providing various digital services, subscriptions, and payment solutions through its integrated platforms. On May 27, Cramer made some positive comments about the company’s CEO as he said:
“… The endless carping about how Tim Cook, the CEO of Apple, is missing the AI boat, and therefore Apple’s phones are falling behind, not something you felt if you bought the stock Friday, as the stock rallied five bucks today to get back over 200. Now I’ve been following this Tim Cook story for, I dunno, how about a decade now? How about over a decade?
People have said Apple’s falling behind since the iPhone 5…. I followed it through four watches, four sets of AirPods, all sorts of Macs. I recognize that Siri can be obtuse… Every company that’s spending hundreds of billions of dollars buying NVIDIA chips, scraping data, trying to understand it, and then sell it to you lacks one thing: customers, the 1.5 billion people who use an iPhone. Tim’s got the divisions, they just have to spend… Tim Cook will have the best, they’ll have the best AI. Cook’s North Star is client satisfaction, and over time, that strategy is a proven winner.”
1. NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holders: 212
A caller inquired about Cramer’s thoughts on NVIDIA Corporation (NASDAQ:NVDA). Here is what he said:
“I think Jensen makes a very compelling case when he argues that we should let NVIDIA sell those chips to the Chinese because otherwise China will indeed invest much more heavily in their own semiconductor industry. Wouldn’t it be better to blunt China’s efforts to leapfrog us and keep them dependent on our chips, the same way we’re depending on their rare earth minerals? Sadly, the White House says no. I think it makes a ton of sense.”
NVIDIA (NASDAQ:NVDA) develops advanced computing, graphics, and networking solutions, offering products and software for AI, gaming, data centers, robotics, and automotive technologies. On May 13, Cramer said that President Trump’s policy shift initially hurt the company, but later boosted its stock by opening up major new markets, as he said:
“As those who shorted the market now realize, the President’s pivot was wildly bullish for the very companies that had previously been hit the hardest. Take NVIDIA. On the one hand, Trump effectively forced NVIDIA to take a $5.5 billion charge for chips it could no longer sell to China. On the other hand, he’s now out there helping NVIDIA sell chips to some of the biggest clients in the world, the Gulf monarchies. NVIDIA stock has made a historic comeback [buy, buy, buy]… It’s a big deal for the Saudis because they weren’t on the arbitrary, capricious list of 18 friendly countries that President Biden approved to buy NVIDIA’s best technology. Now, instead of 18 friends, we got a whole bunch of friends that can buy NVIDIA’s top chips. I see many new mini hyperscale or sovereign AI countries developing.”
While we acknowledge the potential of NVIDIA Corporation (NASDAQ:NVDA) 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 NVDA and that has 100x upside potential, 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
Disclosure: None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.
