On Thursday’s episode of Mad Money, host Jim Cramer made a clear distinction between two forces shaping the markets and commented on mega-cap stocks.
“I’m talking about the extreme dichotomy between focusing on a body of wisened economists who are being pushed around by a president who wants to run the central bank and focusing on the free ruling capitalism of the semiconductor business, with some bizarre federal intrusions in the age of artificial intelligence. That dichotomy plays out every day around here, including this one.”
READ ALSO Jim Cramer Recently Shared His Thoughts on These 12 Stocks and Jim Cramer Commented on 7 Stocks and the Recent Fed Meeting
Cramer pointed out that much of the market’s movement is dictated not by the performance of individual companies, but by how index funds react to shifts in the bond market. He explained that the bulk of invested capital is in these index funds, which move in lockstep with interest rates rather than company fundamentals. He said, “When interest rates go up, the indices tend to go down.” He added that despite this tight linkage, most people are only told to invest through index funds that respond directly to what the Federal Reserve does.
However, Cramer stressed that it does not have to be the case for all investors. He mentioned that individuals are fully capable of selecting and owning individual stocks, especially mega-cap technology names, that are not necessarily bound by movements in the federal funds rate. He argued that these large-cap companies often operate independently of central bank policy, and investors who ignore them in favor of passive index investing may be missing significant opportunities.
“The bottom line: If you want to make money in the market, you have to recognize that mega-cap stocks are their own animals and don’t have to be linked to the federal funds rate. If you want to ignore them and focus solely on some index fund… that marches to the tune of the Fed, be my guest, but I sure wouldn’t recommend it. You can do both. That’s right. It’s easier than walking and chewing gum at the same time.”
Our Methodology
For this article, we compiled a list of 12 stocks that were discussed by Jim Cramer during the episode of Mad Money aired on September 18. We listed the stocks in the order that Cramer mentioned them. We also provided hedge fund sentiment for each stock as of the second quarter of 2025, which was taken from Insider Monkey’s database of over 900 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 Recent Takes on These 12 Stocks
12. LENZ Therapeutics, Inc. (NASDAQ:LENZ)
Number of Hedge Fund Holders: 17
LENZ Therapeutics, Inc. (NASDAQ:LENZ) is one of the stocks Jim Cramer recently gave takes on. Commenting on the company’s eyedrops, VIZZ, Cramer said:
“Overall, I’m inclined to believe that there’ll be enough patients eager to try the product. We’re talking a total addressable market of 128 million people. You don’t need to get that many in order to have a big hit here. Of course, if you buy LENZ here, you’re not early to the story. Stock’s… up nearly 150% from its April lows… If you buy LENZ here, you’re betting that its $1.19 billion market cap doesn’t reflect the true scale of the opportunity. And since I was asked, I’m not against taking a flyer on LENZ at this point, right before they really start pushing the eyedrops.
It would’ve been better to spot this one before, but you have to pay a premium if you’re coming into a biotech name after its key drug has already gotten approval. In the end, I think LENZ Therapeutics has a promising story, and with the recent FDA approval of the company’s lead asset, I’m optimistic that these eyedrops can find their way to a critical mass of patients. I do, again, want to make it clear that with these smaller biotechs, the biggest money is often made during the run-up to approval and not the gains made once the approval occurs.
The bottom line: Maybe these eyedrops for farsightedness fizzle like we saw with AbbVie’s similar product a few years ago, but I’m betting Lens can make this thing work. If the drug’s a success, the stock’s going higher. It might even be a, I don’t know, maybe a takeover target, especially when you consider a big company like AbbVie, coveted the class and the category.”
LENZ Therapeutics, Inc. (NASDAQ:LENZ) is a biopharmaceutical company developing therapies for vision improvement.
11. Kenvue Inc. (NYSE:KVUE)
Number of Hedge Fund Holders: 72
Kenvue Inc. (NYSE:KVUE) is one of the stocks Jim Cramer recently gave takes on. When a caller mentioned the company’s litigation risk, Cramer commented:
“I don’t think the litigation risk is nearly as bad as people think. This stock is at 4.5%. It’s got new leadership. I don’t want to dump it right here. I just don’t, but I don’t expect a lot of upside here. That’s the problem.”
Kenvue Inc. (NYSE:KVUE) is a consumer health company that provides self-care, skin health, beauty, and essential health products under its brands. Meridian Hedged Equity Fund stated the following regarding Kenvue Inc. (NYSE:KVUE) in its second quarter 2025 investor letter:
“Kenvue Inc. (NYSE:KVUE) is a consumer health company with leading brands like Tylenol, Listerine, and Neutrogena. Spun off from Johnson & Johnson, we see significant opportunities for Kenvue to unlock value by reinvesting in historically underfunded brands, optimizing its cost structure, and improving margins toward peer levels. The stock underperformed in the period due to operational challenges that may slow the turnaround timeline, a new 145% import tariff that negatively impacted margins, and softer-than-expected demand for some of its products. Despite near-term challenges, we continue to believe that the stock appears inexpensive on a sum-of-the-parts basis relative to the quality of its brand portfolio.”
10. Occidental Petroleum Corporation (NYSE:OXY)
Number of Hedge Fund Holders: 64
Occidental Petroleum Corporation (NYSE:OXY) is one of the stocks Jim Cramer recently gave takes on. When a caller asked for help with the stock, Cramer replied:
“No. I’m going to give you help with OXY. You don’t want to be in it. There’s your help. That’s all you need to know. It’s an oil company and not even a good one.”
Occidental Petroleum Corporation (NYSE:OXY) explores and produces oil, natural gas, and NGLs, while also operating chemical manufacturing and midstream marketing businesses. When a caller asked for Cramer’s advice on the company’s stock in May, he replied:
“Let me take it from here. As you heard… I talked about not thinking about where you bought it… thinking about where you’re going to go with it. And this company, even though it’s owned by Berkshire Hathaway, Occidental, is not going to go anywhere. I wish I didn’t have to say that, but I don’t see this company getting a bid, and I don’t see oil going higher.”
9. Nordic American Tankers Limited (NYSE:NAT)
Number of Hedge Fund Holders: 12
Nordic American Tankers Limited (NYSE:NAT) is one of the stocks Jim Cramer recently gave takes on. Answering a caller’s query about the stock, Cramer remarked, “Oh no, no, no. I mean, no, no, we’re not going to be, that thing’s 2,3,2,3,2,3,2,3,2,3.”
Nordic American Tankers Limited (NYSE:NAT) owns, operates, and charters a fleet of Suezmax crude oil tankers. The company reported a Q2 2025 net loss of $0.9 million, in comparison to $4.2 million profit in Q1. Net voyage revenue rose 5.8% year-over-year to $40.15 million, while the fleet’s average time charter equivalent (TCE) increased to $26,880 per day from $24,714 in the prior quarter, with 14 of 20 vessels operating in the spot market.
8. MNTN, Inc. (NYSE:MNTN)
Number of Hedge Fund Holders: 22
MNTN, Inc. (NYSE:MNTN) is one of the stocks Jim Cramer recently gave takes on. A caller sought clarification about what is happening with the stock, and Cramer said:
“Well, okay, here’s what happened with Mountain. I mean, the stock took off like a, you know, just, just like a, a giant, colossus, and then it reported a quarter, and the quarter wasn’t that great. Now, we have to see another quarter because that was really a suboptimal situation. I’m not going to back it… I mean, honestly, I thought it was going to be a good quarter. I want to back it. I love the business. I just need a good number.”
MNTN, Inc. (NYSE:MNTN) provides a self-serve platform that enables performance marketing on Connected TV, allowing brands to easily run ads and track outcomes such as conversions, revenue, and site traffic. Cramer mentioned the company in an August episode and commented:
“We got the first-ever earnings report from Mountain, the ad tech company that helps small, medium sized businesses take advantage of connected TV advertising. It was a doozy. Mountain came public at $16 in late May, and in less than a month, it’s run to $31 and change [as] of tonight’s close. When Mountain reported after the close, we saw even more reasons to like it, better than expected revenue, better than expected earnings before interest, taxes, depreciation, and amortisation, not to mention the Ryan Reynolds seal of approval. He’s the chief creative officer. At the same time, management gave very strong guidance for the current quarter. Still, stock is trading lower after hours. I think it’s because the quarter included a large gap, bottom-line loss, something that’s really just a result of the IPO process. It should not matter to investors.”
7. Johnson Controls International plc (NYSE:JCI)
Number of Hedge Fund Holders: 75
Johnson Controls International plc (NYSE:JCI) is one of the stocks Jim Cramer recently gave takes on. A caller asked for Cramer’s short-term and long-term outlook on the stock. He replied:
“Johnson Controls has done a very good job of moving into the data center. I do like Vertiv more, but Johnson Controls is a very good company, and it didn’t used to be.”
Johnson Controls International plc (NYSE:JCI) delivers HVAC, refrigeration, fire, security, and smart building technologies. In addition, the company provides energy efficiency solutions, maintenance, and technical services for commercial, industrial, and government clients. During a June episode, Cramer said that the stock has been “strong now for ages,” as he commented:
“Then, if you want to stretch things, let’s roll in Johnson Controls. Yeah, HVAC, right? It creates big cooling systems. Very much needed to keep data centers from overheating. Sometimes, I think that they just got really lucky to have this business. Stock’s been strong now for ages, it might be a collateral play on what… [has] been the most potent stock in the market, CoreWeave, which closed yesterday as a four-bagger from its recent IPO before pulling back hard today. It’s kind of a bit of a meme stock. Yeah, you know what that is.”
6. The Western Union Company (NYSE:WU)
Number of Hedge Fund Holders: 36
The Western Union Company (NYSE:WU) is one of the stocks Jim Cramer recently gave takes on. During the lightning round, when a caller asked about the stock, Cramer said:
“You know what? It’s just, it’s, it’s got no growth. It does have that big yield, but that’s not what we want. We want growth. Growth and compounded income is how we make money here, not something like that.”
The Western Union Company (NYSE:WU) provides global money transfer and payment solutions through retail agents, digital platforms, and mobile services. The company also offers bill payments, money orders, prepaid cards, foreign exchange, and digital wallet services. On September 9, The Western Union Company (NYSE:WU) formed a partnership with dLocal, (NASDAQ:DLO) to add more digital payment options for people sending money in Latin America. Customers will be able to use local methods like bank transfers and cards on Western Union’s online platforms, giving them more choice, faster transfers, and lower costs. The deal also supports the region’s growing shift to digital services, following record remittance levels of $161 billion in 2024.
5. Black Rock Coffee Bar, Inc. (NASDAQ:BRCB)
Number of Hedge Fund Holders: N/A
Black Rock Coffee Bar, Inc. (NASDAQ:BRCB) is one of the stocks Jim Cramer recently gave takes on. Cramer said that while there is nothing wrong with the company, Dutch Bros offers “better risk-reward.” He said:
“They have 1.8 million rewards members. These people make up 63% of their transactions. That’s very good. So even though I’m a little suspicious that this is a kind of a knockoff Dutch Bros, I think it’s worth looking at the numbers because they’re excellent. Last year, Black Rock Coffee put up 21% revenue growth, which accelerated to 24% in the first half of this year. In the latest quarter, they put up 10.9% same-store sales growth, which is terrific, and that’s up 3.9% in the same quarter last year. Nice growth…
What do you pay for a small coffee chain with strong numbers and huge growth ambitions?… The company has a market capitalization of roughly 1.4 billion right now. And in the last 12 months we have data for, they did 179 million in sales, meaning the stock’s trading at 7.8 times sales. Hmm, that’s not a small number. I mean, for some perspective, Starbucks trades at 2.6 times sales. Dutch Bros is a much closer comparison, trades at 6.6 times sales despite being legitimately profitable. Again, much of Black Rock Coffee Bar’s business is very similar to Dutch Bros…
The bottom line: if you want an Oregon-based coffee chain, or at least one that started there with drive-throughs and energy drinks that sound like they’ll give you an immediate proverbial heart attack, I go to Dutch Bros. Nothing wrong with the Black Rock Coffee Bar. It’s just that I think BROS has a much better risk-reward.”
Black Rock Coffee Bar, Inc. (NASDAQ:BRCB) runs a chain of drive-thru coffee shops serving specialty coffees, teas, smoothies, and energy drinks.
4. UnitedHealth Group Incorporated (NYSE:UNH)
Number of Hedge Fund Holders: 159
UnitedHealth Group Incorporated (NYSE:UNH) is one of the stocks Jim Cramer recently gave takes on. A caller asked if the stock is still a buy, and Cramer remarked:
“Okay, so UNH, when I read that they are throwing their weight around in Washington and spending a lot of time with the, in the executive offices and really spending a, really making a point of touching bases with all the people who might be able to rub up against some of the people who are trying to hurt them, like maybe prosecutors, it makes me feel that UNH is bottomed. And I did think that they would be, they could have the death sentence of being investigated for Medicare fraud. It does seem like that might be off the table. I don’t, do I want to go buy it here? I would, if I bought it, I would buy with calls. I would not buy with common stock.”
UnitedHealth Group Incorporated (NYSE:UNH) provides health insurance plans, pharmacy benefits, and care services across diverse customer groups. It also delivers technology, data, and consulting solutions through its Optum businesses.
3. Baxter International Inc. (NYSE:BAX)
Number of Hedge Fund Holders: 31
Baxter International Inc. (NYSE:BAX) is one of the stocks Jim Cramer recently gave takes on. A caller asked whether they should continue to hold or sell the stock, and Cramer commented:
“Oh my god, you know, Baxter, go buy Abbott Labs. I mean, I gotta tell you, Baxter’s been such an incredible disappointment. It’s painful. I don’t know why they continue to disappoint. They are the king of disappointment, and that’s saying something. I’m, you know, the knight of disappointment or the bishop. They’re the king.”
Baxter International Inc. (NYSE:BAX) provides medical devices, pharmaceuticals, and digital health technologies used across hospitals, clinics, and home care. Its products include IV solutions, infusion systems, surgical products, respiratory devices, and specialty injectables. Here is what Parnassus Investments has to say about Baxter International Inc. (NYSE:BAX) in its second-quarter 2025 investor letter:
“Despite Baxter International Inc.’s (NYSE:BAX) defensive characteristics, we became concerned about its capital allocation decisions, recent management changes and sensitivity to hospital budgets. We traded Baxter for Linde, where we see higher long-term risk-reward potential.”
2. Merck & Co., Inc. (NYSE:MRK)
Number of Hedge Fund Holders: 92
Merck & Co., Inc. (NYSE:MRK) is one of the stocks Jim Cramer recently gave takes on. Answering a caller’s query about the stock, Cramer said:
“Oh, they’ve got some good stuff in the, they’ve made a couple good acquisitions. The dividend seems safe. I think Rob Davis is turning the stock around. I think you continue to hold it. I don’t want to buy more because I don’t feel confident enough in the FDA, because they can throw you a curve. But I like your long-term thinking about Merck.”
Merck & Co., Inc. (NYSE:MRK) develops pharmaceuticals, vaccines, and health solutions for humans and animals under brands like Keytruda, Gardasil, Januvia, and Bravecto. The company also partners with global biopharma companies on cancer therapies, vaccines, and innovative biologics. Cramer discussed the company in a July episode and said:
“What do we make of the numbers that we got from Merck this morning? The pharma titan reported what some thought was a mixed quarter. I actually liked it. Small revenue miss, paired with an 11-cent earnings beat. Stock got hit, finishing the day down nearly 2% although it was a lot lower at one point.
Merck’s had a tough time over the past year, falling 45% from its highs in June of 2024 before recovering only modestly over the past couple weeks. Wall Street seems to be worried about that looming patent cliff for their blockbuster… best drug ever, Keytruda, which accounts for about half of the company’s sales. Doesn’t help that GARDASIL, their HPV vaccines, really struggled thanks to persistent weakness in China… While Merck’s made some excellent acquisitions to expand the drug pipeline, stock hasn’t gotten much credit for it. I think that’s wrong.”
1. Aquestive Therapeutics, Inc. (NASDAQ:AQST)
Number of Hedge Fund Holders: 18
Aquestive Therapeutics, Inc. (NASDAQ:AQST) is one of the stocks Jim Cramer recently gave takes on. Cramer said that the stock “has found new life” over the past few years and remarked:
“For the past few years, this stock has found new life, climbing back to the mid single digits, mostly thanks to the growing excitement about their EpiPen replacement that can be taken by mouth for emergency allergy treatments… I think people are right to be excited. If this drug can be approved, I think it could be huge. That’s right, huge… The real question here is whether it still makes sense to buy the stock at these levels. You need to understand that this is a totally binary situation. If Anaphylm gets FDA approval in the next few months, Aquestive stock will soar…
If the drug is rejected by the FDA… then the stock’s going to plummet. If you can’t stomach that range of outcomes, please don’t get involved. But man, I am inclined to bet on this story. I think Aquestive works as a speculative biotech pick because I believe the FDA will give this EpiPen replacement its blessing. And if that happens, you need to understand that you definitely haven’t missed the move here. Aquestive is currently valued just under $600 million, but management believes that their EpiPen replacement could do over a billion in annual revenue if it’s approved. I’m not quite sure how aggressive that projection is, as the current epinephrine market is just $800 million in the United States, but Aquestive believes it can grow to $2 billion by 2031 simply because of the increasing prevalence of allergies…
The bottom line: Aquestive Therapeutics is the kind of speculation that I can really get behind as long as you understand the risks that come with binary situations where the stock’s fate is totally in the hands of the FDA… I think it’s worth taking a chance on, but only with money that you can afford to lose.”
Aquestive Therapeutics, Inc. (NASDAQ:AQST) develops and commercializes oral and sublingual film-based medicines for conditions such as epilepsy, opioid dependence, Parkinson’s disease, ADHD, and severe allergic reactions. Additionally, the company advances proprietary drug delivery platforms for central nervous system and emergency treatments.
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