Jim Cramer, host of Mad Money, said on Monday that the idea of a financially exhausted consumer is being pushed far harder than the facts support.
“… Right now, we’re getting a ton of stories about how the consumer’s in bad shape, as you can see from recent… weakness or stressed balance sheets, credit card defaults, whatever metrics they pick. The portrait of the consumer is pitiful, has grave, ominous implications. We obviously need a rate cut, yet the Fed’s on the fence about lowering rates. Many companies could be impacted negatively by this top-down analysis.”
READ ALSO: Jim Cramer Discussed 7 Stocks and the Need for Diversification and Jim Cramer’s Recent Responses to Questions About 12 Stocks.
Cramer argued that the entire premise may simply be wrong. He called it “thesis reporting,” meaning a writer begins with a conclusion, “the hobbled consumer”, and then hunts for data to support it, even if the facts have to be stretched to fit. He explained that it happens because negative stories attract attention. He then pointed to actual spending data, noting MasterCard’s report showing Black Friday sales climbing more than 4%, which he described as a perfectly reasonable gain considering broader conditions.
“So what are we to make of all this? First, that hobbled consumer thesis, you know what, it’s wrong even if you consider the spike in buy now, pay later use. Second, let’s flip it on its head. Despite tariffs, despite the University of Michigan consumer confidence survey showing negativity, things are actually pretty darn positive. Third, it stands to reason that the consumer’s fine given that jobs are still available and confidence in being employed means more than a survey response. It’s very tough to think straight when thesis reporting dominates your head as well as the nation’s trading desk. Think you must, though, because if you base your investments on bad information, you’re probably going to lose money. When in doubt, trust the facts, not the theory.”
Our Methodology
For this article, we compiled a list of 8 stocks that were discussed by Jim Cramer during the episode of Mad Money aired on December 1. 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 Was Recently Asked About These 8 Stocks
8. Newmont Corporation (NYSE:NEM)
Number of Hedge Fund Holders: 74
Newmont Corporation (NYSE:NEM) is one of the stocks Jim Cramer was recently asked about. A caller asked if the stock is a buy, given that analysts are raising price targets. Cramer commented, “I like Newmont. Now, I do like Agnico better, but Newmont is real, real good.”
Newmont Corporation (NYSE:NEM) is a mining company that produces and explores gold, while also seeking copper, silver, zinc, lead, and other metals. Cramer mentioned the stock during the October 24 episode of Squawk on the Street. He said:
“Now people are saying, listen, Newmont’s down bad. Well Newmont’s all in sustained, costs, is much higher than Agnico. And in this quarter was even worse. Now I like the Newmont guys in general, but their free cash flow was down 8% primarily due to a decrease in net cash provided by operating activities as a result of unfavorable working capital impact. Meaning, in other words, we screwed up. Okay so forget them. I think that you wanna go with Agnico. They are really on fire. What a great company.”
7. Klarna Group plc (NYSE:KLAR)
Number of Hedge Fund Holders: 50
Klarna Group plc (NYSE:KLAR) is one of the stocks Jim Cramer was recently asked about. A caller inquired if they should continue investing in KLAR or pull out. In response, Cramer said, “I saw the guy on TV today, he made a lot of sense. Sell it and buy Affirm.”
Klarna Group plc (NYSE:KLAR) is a technology-driven payments company that provides payment, advertising, and digital banking solutions. It is worth noting that during the September 10 episode, Cramer said that he prefers Affirm over the company’s stock, as he remarked:
“So, how does Klarna’s valuation look now? Well, when the Klarna deal priced above the range of $40 per share last night, the company was being valued at just over 15 billion. With the stock opening in the 50s today, that was closer to 20 billion. After the pullback, it’s now valued at over 17 billion, slightly higher than what the venture capitalists were paying earlier this year. I gotta tell you, I kinda like Klarna at this price. I really do.
Using some back-of-the-envelope… let me give you these numbers: I’m expecting Klarna to put up $3.23 billion in sales this year, up 15% from last year. That was its growth rate in the first half, and I’m just kind of projecting it forward. I think that’s reasonable. Using that assumption, stock’s now selling for roughly 5.4 times this year’s sales. Okay, remember this… This is sales. The nice thing is that we have some good publicly traded analogs. Affirm, the best-known buy now, pay later outfit, trades at just under seven times sales. Sezzle, which is more of a second-rate player if you don’t mind, is right around the same level at 6.9 times sales.
Unlike Klarna, those two are profitable though, but Klarna is heading in the right direction. The bottom line: While Klarna roared right out of the gate, the stock hasn’t gone to an insane valuation yet. I think the numbers look good. So I think it can be bought at these levels, even as I make no secret about it, I’ve liked competitor Affirm and its creative CEO Max Levchin for ages. And even up here, I prefer Affirm to Klarna.”
6. Hecla Mining Company (NYSE:HL)
Number of Hedge Fund Holders: 25
Hecla Mining Company (NYSE:HL) is one of the stocks Jim Cramer was recently asked about. During the lightning round, a caller asked if they should “try Hecla for silver”, and Cramer replied, “Come on, let’s stick with the shiny metal. Agnico Eagle was down a couple bucks today, I say [buy, buy, buy].”
Hecla Mining Company (NYSE:HL) produces and supplies precious and base metals, including silver, gold, lead, and zinc. During the July 28 episode, a caller inquired about an SEC filing indicating the company had sold 33 million shares and had 66 million additional shares registered and asked for Cramer’s thoughts. He replied:
“No, this is not unusual. Hecla, well, I just think it’s not a, you know, look, I hate to say it’s, I just don’t think it’s a high-quality mine. Pan-American for silver and Agnico Eagle for gold, those are the two, not going away.”
5. Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN)
Number of Hedge Fund Holders: 78
Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) is one of the stocks Jim Cramer was recently asked about. A caller asked if the stock, up 54% from its “summer lows”, can continue its momentum. Here’s what Mad Money’s host had to say in response:
“Yes, down 30 today… Well, it’s a $750 stock. Now, let me just tell you something. Regeneron’s move has been quiet, but Len Schleifer has been telling me, stay focused on what they’re doing. They’re doing a lot of good stuff. I lost sight of it. I shouldn’t have. This one and Amgen bother me. They happened without me, and that was my bad, and I’m glad you brought it to our attention.”
Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) sells medicines for eye conditions, immune disorders, cancer, cardiovascular issues, infections, and rare diseases. During the November 20 episode, a caller inquired about the stock, and Cramer responded:
“I should have been recommending Regeneron. That Len Schleifer pulled the rabbit out of a hat. It’s coming right back right now. By the way, I’ll give you a twofer, so is Amgen.”
4. Pfizer Inc. (NYSE:PFE)
Number of Hedge Fund Holders: 84
Pfizer Inc. (NYSE:PFE) is one of the stocks Jim Cramer was recently asked about. During the episode, a caller inquired if the company has any growth potential or if PFE is a dividend play. In response, Cramer said:
“2026, yeah, there is. It’s got, they got a lot of irons in the fire. I think Dr. Bourla is going to trace things out in January at the JPMorgan conference. I think you might like what you hear… 6.8% yield. Until then, I would hold onto it. That’s my, I would hold on to it.”
Pfizer Inc. (NYSE:PFE) creates and sells medicines and vaccines for several health conditions, including heart disease, infections, COVID-19, and rare diseases. Cramer mentioned the stock during the November 21 episode and stated:
“All right, next up, controversial, it’s Pfizer. It’s the big pharma titan, 6.9% yield. Now, I gotta tell you, these days I see Pfizer’s basically as a bond equivalent… It hasn’t given you much in the way of share price appreciation, hence its controversial nature. But since it yields nearly 7%, you can still get a decent return even if the stock does nothing. Although I obviously want it to do something… I think that Pfizer has the ability to use some of the businesses it’s acquired in recent years to build up a powerful pipeline, one that’s bountiful enough to offset the wave of patent expirations that everybody seems to be so worried about when it comes to Pfizer.
Pfizer used COVID cash to acquire Seagen, that’s a cancer specialist, and NURTEC, which is a revolutionary migraine treatment that they picked up from Biohaven Pharmaceuticals. Most recently, the company paid about $7 billion plus some milestone payment down to buy this company called Metsera, and that’s working on one of these GLP-1 weight loss drugs… Of course, pulling all this off, it’s going to be a tall order.
Many are betting that Pfizer can’t do it, which is why the stock sells for less than eight times earnings and nearly 7% yield. But I think they can easily cover the dividend with their $15 billion in free cash flow. And longer term, Pfizer has enough shots on gold that it can get through this tricky period and come out the other side as it gets more growth. Now, it’s controversial only because it’s done nothing, I think, and I think it can be near a breakout.”
3. Vertiv Holdings Co (NYSE:VRT)
Number of Hedge Fund Holders: 102
Vertiv Holdings Co (NYSE:VRT) is one of the stocks Jim Cramer was recently asked about. Highlighting the cooling system failure at a data center of CME Group, a caller asked if it could affect Vertiv. Cramer replied:
“Well, I think Vertiv actually opened down today because people felt that they were somehow involved with what happened with CyrusOne. All I know about Vertiv is their order book is really full. You need Vertiv. That’s Liebert. That’s the best cooling system. Everybody knows I first started buying Liebert in the 1980s, and that was the highest, best form of air conditioning. That’s what Vertiv is. That’s why everybody loves it. And by the way, I think it’s a buy right here.”
Vertiv Holdings Co (NYSE:VRT) makes and manages power and cooling systems for data centers and digital networks. The company also provides services to keep these systems running smoothly and efficiently. Cramer highlighted the company’s last quarter during the October 22 episode. He remarked:
“We saw the same thing with Vertiv… This is a stock that goes up 54% coming into the quarter. Terrific return. The company reported an amazing, a shockingly great number, but I don’t know a soul who follows this company who didn’t expect a monster quarter. When you expect a monster quarter and you get a monster quarter, it won’t be enough to move the stock.
So after Vertiv opened up 10 points, it then plummeted 20 points because their monster quarter wasn’t the kind of super duper monster quarter… Organic orders up 60%. That’s crazy good. I was expecting crazy good, though, which is why the stock still got… [stung] because we got crazy good… Once again, you need to know that nothing’s wrong with Vertiv except the fact that the stock was already up a lot coming into the session.”
2. McDonald’s Corporation (NYSE:MCD)
Number of Hedge Fund Holders: 83
McDonald’s Corporation (NYSE:MCD) is one of the stocks Jim Cramer was recently asked about. When a caller showed curiosity about the stock, concerning the stock price and the dividend with respect to commodities, Cramer said:
“Okay, here’s how I think about that. There’s two ways I want to look at it. I don’t know if you’re, if you’re on the app of McDonald’s or you get the deals. Every day, they come at you with something that just is, just a doorbuster idea. Secondly, I think cattle’s peaked. I think it was, I think it was a generational high, and it’s coming down, and that to me says buy, buy, buy the stock of McDonald’s.”
McDonald’s Corporation (NYSE:MCD) operates and franchises restaurants that provide burgers, chicken sandwiches, fries, beverages, and desserts. During the November 5 episode, Cramer noted that the company understands what the customers are going through, as he commented:
“Or how about a stock like McDonald’s? Headlines come out this morning, they say it’s a big disappointment, a huge disappointment. It was a big miss on revenues, big miss on earnings, red ink. Well, it made it look like the stock had to go lower, right? But what if the red ink is wrong? What if it was just one more trick of the index sellers? All restaurants have been challenged during this period. What matters is how they respond to the darn challenge. McDonald’s, unlike so many other chains that lack the scale and the strength, is lowering prices, lowering them dramatically, and it’s working. The other guys keep hoping customers will just get wealthier, come back. They don’t want to admit that they’re taking prices way too high to levels where the consumer’s too cash-strapped to afford them because they didn’t want to miss their quarter, and they’re missing their quarters big now. That’s what we were looking at. I said before the market open, you gotta buy McDonald’s, because it understands what our customers in our country and the world are going through right now. There’s been too much inflation. So what they did, they cut prices. That’s what they did. And even though the market was bad, this stock finished up big. Why? Because the next quarter’s got the $5 sausage, egg, and cheese McMuffin, coffee, and a tater. That’s like the old days, five bucks. That’s what matters.”
1. Reddit, Inc. (NYSE:RDDT)
Number of Hedge Fund Holders: 80
Reddit, Inc. (NYSE:RDDT) is one of the stocks Jim Cramer was recently asked about. A caller asked if they should hang on to the stock or trade around it. In response, Cramer said:
“Okay… I am not going to recommend that you trade around this. I’ll tell you why. It’s at $42 billion. I think this company has within it more quality things to train on, more quality ideas, more quality writing than people realize. It’s incredibly undervalued. Steve Huffman should come on the show. We would go over many of the different sectors. I go to Reddit constantly. I don’t know about you. I think it’s worth a heck of a lot more than it’s selling for.”
Reddit, Inc. (NYSE:RDDT) runs an online platform that hosts communities where users connect over shared interests, exchange ideas, and share content such as posts, images, and videos. Cramer mentioned the company while discussing the stocks related to the AI space during the November 3 episode. Mad Money’s host stated:
“Who else can make a fortune from AI without much upfront investment? Here’s when you haven’t thought about it all, and it’s Reddit… Not only did Reddit put up nearly 70% revenue growth, their margins have soared. They had a 91% gross margin, 40% adjusted EBITDA margin. That’s very impressive for a company that was barely profitable when it came public; a lot of people felt it would never be profitable. There’s a reason the stock jumped 7.5% last Friday, though it did give back a bit of that today.
The other number that stood out to me… on Reddit’s report was the company’s capital expenditures figures came in at 2.1 million in the third quarter… See, Reddit’s partnering with the chatbots to license its data because that data is essential for training generative AI models. Keep that word in mind. Companies like OpenAI and Google already pay Reddit to license its data, and though this is still a relatively small portion of the business, I think it can grow very big over time. Why? Because many of the other generative AI companies are allegedly using Reddit’s data without paying them a dime… Keep in mind, most of these chatbots rely on Wikipedia and Reddit.”
While we acknowledge the potential of Reddit, Inc. (NYSE:RDDT) 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 RDDT and that has 100x upside potential, check out our report about this cheapest AI stock.
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