During Friday’s episode of Mad Money, Jim Cramer offered his take on this week’s events in the markets and what lies ahead, especially as quarterly earnings season progresses.
“What can I say? We temporarily forgot who was in charge, who determined stock prices, who decides whether we’re going to have an up day or a down day. No, I’m not talking about the invisible hand of the market. I’m talking about the president. That’s right, because President Trump isn’t happy with his trade negotiations with the EU.”
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Cramer then went on to say that as the week progresses, attention will turn to an important inflation measure this coming Friday: the personal consumption expenditure (PCE) index. He explained that while the data point was once largely overlooked, it has gained importance under Federal Reserve Chair Jerome Powell, who considers it an important method for assessing inflation.
Cramer stressed that cooling inflation is essential, but achieving that is complicated when tariffs are driving prices higher. He clarified that tariffs essentially function as a sales tax on imported goods, as he stated, “It’s never really meant anything else.” He warned against trying to rationalize them as anything else.
“Bottom line: We’re heading into a fickle week, one that will no doubt be punctuated with presidential postings about our trading partners, their intransigence, their negligence, their perfidiousness. Of course, the market ultimately shrugged off the real negative postings from this morning and, instead, focused on the endless obsession, the 10-Year Treasury, which was steady enough to trump President Trump and his renewed call for high tariffs. I hope that can continue next week, but I’ll tell you something, I wouldn’t count on it.”
Our Methodology
For this article, we compiled a list of 12 stocks that were discussed by Jim Cramer during the episodes of Mad Money aired on May 23. 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’s Game Plan: 12 Stocks in Focus
12. Ulta Beauty, Inc. (NASDAQ:ULTA)
Number of Hedge Fund Holders: 42
Pointing out that retail is “hard to navigate”, Cramer recommended owning Ulta Beauty, Inc. (NASDAQ:ULTA) stock, not trading it.
“Lots of chatter, by the way, Ulta, that Ulta Beauty’s going to have a very strong quarter. Ulta is a stock that people like to make bets on. I don’t like that. I think retail’s very hard to navigate here. If you want to own Ulta… Please don’t trade it, just own it. Going back and forth will only lose you money. As long as you believe in the business, just hold on for the ride.”
Ulta Beauty (NASDAQ:ULTA) is a retailer offering a mix of branded and private-label beauty products. It also delivers beauty services through its physical locations, online store, and mobile platforms. On April 25, Cramer commented:
“I’ve been thinking a lot about it. I’ve been thinking a lot about it. One of the reasons I’ve been thinking about is, you know that Sephora is in Kohl’s, and Kohl’s is doing so poorly that I think people are going to gravitate away from Sephora and come back to Ulta. Ulta’s got new management…. I think they got horse sense.”
11. Zscaler, Inc. (NASDAQ:ZS)
Number of Hedge Fund Holders: 46
Cramer noted that Zscaler, Inc. (NASDAQ:ZS) stock is favored no matter “what this company reports” and said:
“Oh, and then there’s a… stock, Zscaler, cloud-based cybersecurity company that’s gotten into the habit of reporting upside surprises. It’s unnerving to me that it doesn’t seem to matter what this company reports. It seems to be so loved these days. That’s where the opportunity is.”
Zscaler (NASDAQ:ZS) is a cloud security company that offers solutions for secure user and device access across digital environments. The company provides services that include tools for safe connections to external and internal applications, protection of data in public cloud settings, and management of identity and access privileges. On May 23, JPMorgan analyst Brian Essex increased the price target on ZS stock from $250 to $275 and maintained an Overweight rating.
In a research note, the firm pointed to rising valuations among peers as the reason for the adjustment. The firm expects Zscaler (NASDAQ:ZS) to report a strong quarter, supported by demand for secure access service edge and security service edge. As per the firm, the company is set to capture more market share in security service edge and continues to benefit from its position with large enterprise spending.
10. Dell Technologies Inc. (NYSE:DELL)
Number of Hedge Fund Holders: 63
Calling Dell Technologies Inc. (NYSE:DELL) among the “integral parts of the data center”, Cramer said:
“Remember that also on Thursday night where there’s a lot of chatter about what Marvell Technology, MRVL, will report. Same with Dell. Both are integral parts of the data center, and there’s been a lot of speculation about how Marvell might miss the quarter while Dell will blow away the numbers. I’m not so sure that Marvell will disappoint. Matt Murphy’s a pretty good CEO, but I do expect Dell to be darn good. I bet they pull back a ton of stock just like Michael Dell said he would if the stock went down.”
Dell Technologies (NYSE:DELL) develops and sells a wide range of integrated technology products and services, including storage, servers, networking equipment, computers, and peripherals. The company also provides financing options and support services to help customers manage and modernize their IT infrastructure.
9. Marvell Technology, Inc. (NASDAQ:MRVL)
Number of Hedge Fund Holders: 73
Contrary to the chatter, Cramer mentioned that he does not think that Marvell Technology, Inc. (NASDAQ:MRVL) will announce a bad quarterly earnings report.
“Remember that also on Thursday night where there’s a lot of chatter about what Marvell Technology, MRVL, will report. Same with Dell. Both are integral parts of the data center, and there’s been a lot of speculation about how Marvell might miss the quarter while Dell will blow away the numbers. I’m not so sure that Marvell will disappoint. Matt Murphy’s a pretty good CEO, but I do expect Dell to be darn good.”
Marvell Technology (NASDAQ:MRVL) is a semiconductor company focused on data infrastructure solutions. The company provides a wide range of products tailored for modern data center requirements. Artisan Partners stated the following regarding Marvell Technology, Inc. (NASDAQ:MRVL) in its Q1 2025 investor letter:
“Among our top detractors were West Pharmaceutical Services, Deckers and Marvell Technology, Inc. (NASDAQ:MRVL). Marvell Technology is a semiconductor company offering networking, secure data processing and storage solutions to customers worldwide. We believe Marvell has among the broadest range of intellectual property in high-demand areas (e.g., high-bandwidth data switching and storage applications) that positions it well for the growing requirements of data centers, wireless networks and autos. Despite earnings results that we viewed quite favorably, including 78% earnings growth in its data center segment, the company’s forward guidance did not meet lofty investor expectations, and shares significantly declined in the fragile market environment for companies leveraged to AI.”
8. The Gap, Inc. (NYSE:GAP)
Number of Hedge Fund Holders: 41
Praising The Gap, Inc. (NYSE:GAP) during the episode, Cramer commented:
“Hey, speaking of retail, ever since Richard Dickson became CEO of the Gap, almost two years ago, he’s been busy reinventing the place. We’ve had him a number of times. It is working people, and since the last quarter, analysts have been falling all over themselves about this story. And now here’s one that if it comes down ahead of the quarter, you have my permission, no, my blessing to pull the trigger and do some buying. Fall into the Gap.”
The Gap, Inc. (NYSE:GAP) is an apparel retailer that sells clothing, accessories, and personal care items for men, women, and children under several brands. The company also offers lifestyle products designed for activities like yoga, training, travel, and recovery.
7. Costco Wholesale Corporation (NASDAQ:COST)
Number of Hedge Fund Holders: 93
Cramer noted that Costco Wholesale Corporation (NASDAQ:COST) stock tends to go down after it reports earnings, even if the numbers are solid.
“Next, on Thursday, after the close, we hear from the company that I think has the most consistent earnings and also the most persistent sell-off after we see the earnings, even when they’re good, and I’m talking about Costco. It’s unnerving to watch a fantastic quarter and still see a stock go down. And that’s just how it’s done with this one, even as we have a fairly good idea how the company’s doing, because you know what?
This company gives us monthly numbers. As we tell investing club members, don’t buy Costco ahead of the quarter. It’s going to go down. It’s like TJX. You’ll usually get a much better price if you just wait a couple of days.”
Costco Wholesale (NASDAQ:COST) operates a warehouse business built on a membership model. The company sells a mix of brand-name and private-label goods in bulk as it aims to attract customers who prefer to save by purchasing larger quantities.
6. Salesforce, Inc. (NYSE:CRM)
Number of Hedge Fund Holders: 140
Discussing Salesforce, Inc. (NYSE:CRM) during the game plan, Cramer stated:
“Wednesday night is huge. We have not one but two big quarters from NVIDIA and Salesforce… Salesforce is a very tough call here. Some analysts are saying Agentforce with Agentic platform is producing a revenue breakout for the company. Others say that Agentforce is a distraction, making it harder for CEO Marc Benioff to make the numbers this quarter.
I’m not sure. So once again, the Charitable Trust is doing nothing ahead of the quarter. Oh, and tonight, we got a real complication… that Salesforce is once again in talks to acquire Informatica, the data management company. Now this is a deal that Wall Street clearly doesn’t want, as Salesforce’s stock tanked when it was first reported in April of last year, only recovering when they walked away from the deal.
And that’s why the stock fell nearly 4% today on the news that it might be back at the table. Now I am sure Marc Benioff is paying attention because the market could react… the same way that the market reacted to DICK’S-Foot Locker, bad.”
Salesforce (NYSE:CRM) provides an integrated platform that supports business functions such as sales, customer service, marketing, analytics, and e-commerce. The company’s solutions are designed to strengthen customer relationships and streamline daily operations.
5. NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holders: 212
Cramer mentioned that he will be focused on NVIDIA Corporation’s (NASDAQ:NVDA) call as he hopes that it will shed light on the company’s software side.
“Wednesday night is huge. We have not one but two big quarters from NVIDIA and Salesforce. NVIDIA’s regularly on the hot seat these days, so often we forget it’s been morphing from a hardware company into a hardware company with a huge software component. Yes, that’s what CEO Jensen Huang spoke about in the big speech in COMPUTEX in Taiwan earlier this week.
I bet we’ll see and hear more about the software side of NVIDIA going forward, including this call, because that helps explain why the stock could still have a lot more upside. We own it for the Charitable Trust, and for now, we’re just sitting on it… The stock’s in no man’s land.”
NVIDIA (NASDAQ:NVDA) creates computing, graphics, and networking technologies used in gaming, artificial intelligence, data centers, and automotive systems. The company delivers hardware, software, and cloud-based services that support high-performance computing and enterprise AI.
4. Macy’s, Inc. (NYSE:M)
Number of Hedge Fund Holders: 37
Macy’s, Inc. (NYSE:M) was mentioned during the episode, and here’s what Mad Money’s host had to say:
“Wednesday morning, well, let’s see, we got two retailers, DICK’S Sporting Goods with a stock that’s been crushed and it’s announced its plan to buy Foot Locker last week and Macy’s, the now chronically underperforming department store chain.”
Macy’s (NYSE:M) is a retailer that provides a broad selection of products, including apparel, accessories, beauty goods, and home décor, through its Macy’s, Bloomingdale’s, and bluemercury brands. Discussing how tariffs will impact companies that import items, Cramer mentioned the company and said in March:
“I have to imagine that Macy’s or a Kohl’s could get hung up on these things too… Of course, these stocks are part of the S&P 500. Right now, they’re considered heavy. There are so-called death crosses all over the place, a chartist term that means the stock’s gonna really roll over and hurt you.
And yes, it is hard to stick your neck out because the president’s people haven’t been able to quell fear so the hunker down is going to hurt retail even if you believe that the White House has very good reasons to get tough on our trading partners, and they really do although the administration’s bad at articulating them and if the president makes some exceptions, then things are all part of one big no exclusions policy, well, that’s pretty positive. Me? I don’t know.”
3. DICK’S Sporting Goods, Inc. (NYSE:DKS)
Number of Hedge Fund Holders: 44
Noting that DICK’S Sporting Goods, Inc. (NYSE:DKS) stock has recently gone down, Cramer commented:
“Wednesday morning, well, let’s see, we got two retailers, DICK’S Sporting Goods with a stock that’s been crushed and it’s announced its plan to buy Foot Locker last week and Macy’s, the now chronically underperforming department store chain. It is imperative that DICK’S explains its rationale for the Foot Locker deal. Maybe the stock can get some footing, but right now, people think this deal is a game changer in a real bad way for DICK’S. I don’t know what they can say to change that, but I’ll tell you, the stock has just been eviscerated.”
DICK’S Sporting Goods (NYSE:DKS) is a multi-channel retailer that provides a wide range of sports items, including gear, apparel, shoes, and accessories. Conventum – Alluvium Global Fund stated the following regarding DICK’S Sporting Goods, Inc. (NYSE:DKS) in its Q4 2024 investor letter:
“DICK’S Sporting Goods, Inc. (NYSE:DKS) (up 10.2%) again released better than expected results. Management noted that its House of Sport rollout continues to progress well, and upgraded its guidance. There was no change to our analysis. In our view it remains most reasonably priced as it continues to generate very high returns on capital, yet trades at around 16 times earnings. But, taking into account the 5/10/40 Fund holding restrictions, and noting Dick’s had grown to 7.7% of the portfolio, we sold a little. It is now 7.1% of the Fund. We are generally comfortable with this holding, despite our niggling concerns regarding possible tariff changes under the Trump Administration.”
2. Okta, Inc. (NASDAQ:OKTA)
Number of Hedge Fund Holders: 65
Cramer mentioned that he agrees with analysts who are recommending buying Okta, Inc. (NASDAQ:OKTA) stock ahead of the quarterly earnings report.
“After the close Tuesday, we hear from a company that’s suddenly adored, and it’s Okta… Todd McKinnon has been on a bunch of times, cybersecurity specialist that handles login and verification credentials. Analysts have been climbing up all over themselves to recommend the stock ahead of the quarter. I think they’re right. I think the numbers will be tremendous.”
Okta (NASDAQ:OKTA) provides various identity and access management solutions that enable organizations to securely handle user identities and regulate access to applications, devices, and data. Cramer was similarly bullish on the company when he was asked about it in April, as he said:
“I think Okta is terrific. It’s one of the greatest companies. I tell you, anybody who works there has a great time, and they have done remarkable things. And Todd McKinnon is terrific, and so is cybersecurity…. This one is a winner.”
1. AutoZone, Inc. (NYSE:AZO)
Number of Hedge Fund Holders: 67
Cramer started his game plan for this week with AutoZone, Inc. (NYSE:AZO) as he commented:
“We have some high-profile companies reporting on Tuesday. Now we start with one of the top performers of the year, and that’s a company called AutoZone, AZO. This auto parts chain has been on fire, and it doesn’t hurt that AutoZone has one of the most aggressive buybacks I have ever seen. They’ve more than cut half of the stock… in the last decade. If the stock gets hit, please do this, you should just go buy it because management will be right there alongside you buying it after a few days. What a horse.”
AutoZone, Inc. (NYSE:AZO) provides a wide range of automotive replacement parts and accessories. The company’s products include hard parts, maintenance supplies, and items unrelated to vehicles.
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