On Tuesday’s episode of Mad Money, host Jim Cramer expressed concern over how President Donald Trump’s actions have been impacting the stock market as he pointed out the confusion they create among investors and the encouragement they seem to offer short sellers.
“This market is struggling with something real basic. It’s just not doing a good job of valuing stocks, which is exactly what a market’s supposed to do.”
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Cramer argued that the market has consistently been mispricing companies, and the ongoing misjudgment has only added to investors’ frustration. He said that the current climate is one where people are increasingly losing trust in the market’s ability to do its job properly. He added:
“When you examine the market’s mistakes, they share a common theme: The president’s distorting pretty much everything, especially with his tariffs and his jingoistic approach to the rest of the world, and it’s continually confounding traders and investors alike.”
It has led to a situation where many traders would rather bet against stocks than take long positions as they expect the market to decline on a near-daily basis. He even remarked that Trump has almost single-handedly brought short selling back into fashion and revived a strategy that profits from falling stock prices.
“The bottom line: These short sellers, they’ve grown way too confident, and today we found out they can lose big because lots of businesses are doing great. It’s just that Wall Street only notices on days when the White House doesn’t take up too much bandwidth. Oh, and thank you, Secretary Bessent, for your measured cerebral approach. I actually find that a breath of constructive fresh air, and your demeanor is duly noted right here every day that you represent the White House.”
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 June 3. 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).
Jim Cramer’s Thoughts on These 12 Stocks
12. Arrowhead Pharmaceuticals, Inc. (NASDAQ:ARWR)
Number of Hedge Fund Holders: 27
When a caller inquired about Arrowhead Pharmaceuticals, Inc. (NASDAQ:ARWR), Cramer said:
“You know, look, it doesn’t make any money. I’ve been waiting for it to do something, break out. I just don’t know if it has the horses.”
Arrowhead Pharmaceuticals (NASDAQ:ARWR) develops RNA-based treatments for a wide range of hard-to-treat diseases, with multiple drug candidates in clinical trials targeting conditions such as cardiovascular disorders, liver disease, pulmonary illness, and rare genetic disorders. Additionally, in 2019, Cramer said the following about the company:
“I looked at Arrowhead recently and I didn’t see that much. You know, everyone’s so excited about it. I don’t get that. I have been saying that it’s absolutely O.K. to own stocks that have to do with slicing and dicing and genes, but I’m not gonna endorse it for anything other than speculation.”
For context, since the above comment was aired, Arrowhead Pharmaceuticals (NASDAQ:ARWR) stock declined more than 75%.
11. GoodRx Holdings, Inc. (NASDAQ:GDRX)
Number of Hedge Fund Holders: 30
Noting that Cramer has not said anything about GoodRx Holdings, Inc. (NASDAQ:GDRX) in a long time, a caller asked about the company. In response, Cramer said:
“Sometimes, like my Nana Mary said, if you don’t have anything good to say about someone, don’t say it at all.”
GoodRx (NASDAQ:GDRX) provides tools that help people find lower prices on prescription drugs, along with subscriptions, telehealth services, and healthcare solutions for both humans and pets. In 2022, when a caller asked about the company during a lightning round, Cramer said, “These are all no-go. They’re in a no-fly zone. You’ve just got to look at it like that.” For context, GDRX stock has gone down more than 82% since the comment was aired.
10. Fluor Corporation (NYSE:FLR)
Number of Hedge Fund Holders: 51
Answering a caller’s query about Fluor Corporation (NYSE:FLR) during the lightning round, Cramer remarked:
“Fluor’s always a bridesmaid, never a bride. I mean, that engineering construction, but people have lost money more on Fluor than, I actually did a study for Harvard that owned Fluor. And I said, you gotta sell Fluor no matter what, and that was in 1982.”
Fluor (NYSE:FLR) is an engineering, construction, fabrication, and project management services company that provides services across industries, including energy, infrastructure, advanced manufacturing, and government programs, with expertise in both traditional and emerging low-carbon technologies. On May 15, Cramer said that he prefers other stocks instead of Fluor (NYSE:FLR), as he said:
“No, FLR. Engineering and construction, we’re going to buy letter J, we’ll buy Jacobs. Now I’ve gotta tell you, the best one happens to be private, which is Bechtel, but the next, we’ll take J, that’ll do it. AECOM is not bad either.”
9. Dover Corporation (NYSE:DOV)
Number of Hedge Fund Holders: 53
Inquiring about Dover Corporation (NYSE:DOV), a caller asked if Cramer thinks that the stock will ever hit $222. He replied:
“I look wrong right now on Dover for the club… but I think I’m going to be right. Why? Because I think that Tobin is very smart, the CEO and the stock should never have been thrown back, 19 times earnings. It even went down when steel tariffs went on. I say enough is enough. Buy Dover right now, tomorrow morning.”
Dover (NYSE:DOV) produces items like pumps, flow meters, refrigeration systems, printing and coding equipment, vehicle lifts, winches, and fluid dispensing tools. Additionally, the company provides software and services used in fuel handling, industrial processing, climate control, and product traceability across various industries. During an episode of Squawk on the Street in April, Cramer commented:
“Okay so here’s a good example of the craziness of this market. Dover reports. Dover did what RTX did the other day. They actually said okay listen the tariffs are hurting us. Okay, here’s how they’re hurting us. Stock was immediately down seven bucks. Down 7. And I was like I own it for my charitable trust and I’m like meumughmhgm . . .and then well people figured out, wait a second, they told the truth! Now the stock’s up nice.”
8. Dell Technologies Inc. (NYSE:DELL)
Number of Hedge Fund Holders: 63
Praising Dell Technologies Inc.’s (NYSE:DELL) recently reported earnings results, Cramer said:
“You’ll love this. Last Thursday night, Dell Technologies, we all know it reported a set of numbers that confounded Wall Street. I thought it was a good quarter, but the stock still dropped more than 2% on Friday before sinking another 2.9% on Monday… Dell got hit yesterday because the Wall Street Journal reported that the Trump administration is looking to reduce spending with 10 technology providers, including Dell…
I’m a huge fan of Michael Dell for decades, decades. I’ve been bullish on Dell’s stock ever since it returned to the public market in late 2018… I’ve tried to keep my eyes on the prize, which is that AI infrastructure spending, still going strong, and Dell can clean up selling servers as huge companies spend fortunes to build out data centers. So far, though, throughout all the noise of the last 12 months, none of that’s looked at all impaired. The bull thesis was perfectly intact…
Why am I so enthusiastic about the darn quarter? First and foremost, because Dell’s guidance was fantastic. For the current quarter, the company expects revenue of 28.5 to $29.5 billion. Do you know the analysts were only looking for $25.3 billion? That’s insanely better than expected… Focus on the secular growth story, meaning the AI infrastructure story, which hasn’t shown any signs of slowing, and Michael Dell’s certainly a complete believer.
In fact, Dell’s AI-related businesses are on fire. The company said it generated $12.1 billion in AI orders in the quarter, which surpassed the entirety of the company’s shipments in all the previous fiscal year. Wow. They now have a $14.4 billion backlog of AI business. The estimates are a bit shakier for these AI… but according to data from Bloomberg, the analysts were only looking for about $5 billion AI orders and an AI backlog of less than $8 billion. They were dramatically shorter. Things were much better than people thought. In short, Dell’s doing much more, much better than anyone believed, and that’s why their guidance for the current quarter was so strong, and it’s another reason why the stock should be bought…
Putting it all together, Dell deserves a lot more credit for the quarter it reported last week. The bottom line: Their AI business is on fire, and more generally, the company’s on track to grow sales by 8% and earnings by 15% this year despite tariff headwinds and economic uncertainty. At 12 times earnings, that’s enough for me to stay bullish on Dell, waiting for the day that the fundamentals matter again.”
Dell Technologies (NYSE:DELL) designs and sells a variety of technology products that include storage systems, servers, networking gear, computers, and accessories. The company also provides financing and support to help customers upgrade and maintain their IT systems.
7. Palantir Technologies Inc. (NASDAQ:PLTR)
Number of Hedge Fund Holders: 77
During the episode, Cramer discussed Palantir Technologies Inc. (NASDAQ:PLTR) as one of the risky stocks he would recommend for a baby who has $1000.
“When you give money to a baby, what you’re really doing is investing in long-dated assets that can compound over time. Truly amounts to something by the time the kid turns, I don’t know, even 18. So what should the baby do with her money? Well, I just have a plan. We need this baby to take risk, but we also need her to be diversified. I know that the prevailing money management orthodoxy is to go all in on index funds because the experts don’t believe you’re smart enough to handle your own money. But the truth is that in this case, you can… split the baby’s account.
You want to put $500 in the Nasdaq 100 to get diversified exposure, and this one does skew toward tech, I don’t mind that, and then you want to pick five stocks for the other 500. I prefer the first one to be risky. You could take a Palantir, ridiculously expensive stock, consulting company uses AI to conquer organizations, show them how to become more efficient.”
Palantir (NASDAQ:PLTR) develops software platforms that help organizations analyze complex data, support decision-making, and execute operations, with tools designed for intelligence, enterprise data integration, and AI-powered workflows.
6. PayPal Holdings, Inc. (NASDAQ:PYPL)
Number of Hedge Fund Holders: 92
When a caller asked Cramer about PayPal Holdings, Inc. (NASDAQ:PYPL) during Mad Money’s lightning round, he replied:
“Alright, listen to me, listen to me, sunshine. Alex Chriss is really coming, he did not deliver in a couple of quarters. I now think he is ready to roll. I like the stock of PayPal. It is a crowded space, admittedly, crowded space, and you know, there’s a lot of companies that are trying to do the, somewhat of the same thing, including Affirm. But I will tell you that I think Alex Chriss, he’d be the man, and he will get you where you have to go.”
PayPal Holdings, Inc. (NASDAQ:PYPL) offers a digital payments platform that connects consumers and merchants, enabling transactions across various channels using multiple funding sources, including cards, bank accounts, and cryptocurrencies. During the April 17 episode of Squawk on the Street, Cramer mentioned the company along with a couple of others, and here is what he had to say:
“People should know that it’s PayPal, Stripe, Square, all against them. And I think that these guys could be very powerful versus those. PayPal, if you remember, it’s kind of dropping back a little. Square’s had a little bit of problems. Stripe is on fire. Maybe this is against Stripe.”
5. Snowflake Inc. (NYSE:SNOW)
Number of Hedge Fund Holders: 94
During the lightning round, a caller inquired about Snowflake Inc. (NYSE:SNOW). Here’s what Cramer had to say in response:
“Oh, Snowflake…. I mean, it is just, you know, I was thinking about this, but Ramaswamy first comes in, not sure, then he takes off, and why? Because the guy is cerebral, and he’s got a real good closing sense. And man, does he ever have momentum? He is project momentum.”
Snowflake (NYSE:SNOW) provides a cloud-based data platform that helps organizations unify, analyze, and share data efficiently, using AI to drive insights, build applications, and solve complex business challenges. On May 21, Cramer praised the company’s CEO yet again, as he said:
“Tonight, I’ve got Snowflake, which is right now at the cusp of a breakout. That’s Ramaswamy, he’s done a really terrific job.”
4. GE Aerospace (NYSE:GE)
Number of Hedge Fund Holders: 104
A caller inquired about GE Aerospace (NYSE:GE) during the episode. Cramer replied that he loves the stock here.
“GE Aerospace… is about as good as it gets. That guy from June of last year, he knew that GE Aerospace was good. That guy’s so smart. I gotta get him on the show… I truly love GE Aerospace right here.”
GE Aerospace (NYSE:GE) develops and services aircraft engines and related systems for both commercial and defense sectors. The company provides advanced propulsion technologies, maintenance solutions, and components for a wide range of aviation applications. During the Mad Money episode aired on April 22, Cramer had many positive things to say about the company:
“Let’s start with the best, GE Aerospace, because that’s the closest thing to a commercial aerospace pure play. It’s got the least defense exposure by far. Not coincidentally, it’s also the only one of these stocks that roared in response to earnings, jumping $10 and 83 cents. That’s more than 6%. Even though GE Aerospace posted a small revenue miss, they gave you a monster 22 cents earnings beat off a dollar 27 basis. Management said the total orders grew 12% in the quarter. That’s really good. Company reiterated its entire full-year forecast. Now, look, in normal environment, merely reiterating your outlook after such a big earnings beat would be, considered to be, let’s say, a big win but nothing that would make you go crazy about it but this time, it is huge. GE explicitly said that their outlook now includes the impact of the administration’s tariff policies, including less air travel.
Wow. Here’s how GE Aerospace Chairman, CEO Larry Culp put it, “The macroeconomic dynamics we are operating in today require us to take a number of strategic actions, such as controlling costs and leveraging available trade programs. Based on what we know today, these actions, along with our solid first quarter and commercial services backlog of over $140 billion, enabled us to maintain our full-year guidance.” Basically, GE held serve. They delivered a solid beat for the first quarter and found a way to reiterate their outlook, which was good enough to send the stock much higher.”
3. GE Vernova Inc. (NYSE:GEV)
Number of Hedge Fund Holders: 111
During the episode, Cramer showed optimism around GE Vernova Inc.’s (NYSE:GEV) capability around building nuclear plants, as he said:
“I know that the prevailing money management orthodoxy is to go all in on index funds because the experts don’t believe you’re smart enough to handle your own money. But the truth is that in this case, you can… split the baby’s account.
You want to put $500 in the Nasdaq 100 to get diversified exposure, and this one does skew toward tech, I don’t mind that, and then you want to pick five stocks for the other 500. I prefer the first one to be risky… Yeah, something nuclear. Let’s go [for] at least a legitimate one like GE Vernova because they actually know how to build nuclear plants. Basically, this first position is the highest risk, speculative stock, even meme stocks.”
GE Vernova (NYSE:GEV) provides technologies that support the generation, movement, conversion, and storage of electricity, with a focus on gas, nuclear, wind, and digital electrification solutions. The company’s offerings aim to modernize energy systems and enable a more sustainable power infrastructure.
2. Salesforce, Inc. (NYSE:CRM)
Number of Hedge Fund Holders: 140
Salesforce, Inc. (NYSE:CRM) was discussed extensively during the episode, and here’s what Cramer had to say:
“How come I’m sticking with this one?…. Look, I can’t dispute that the growth of the core business is slowing here, but that’s, I think, simply the law of large numbers… I don’t care that old Salesforce is seeing slower growth because it’s also seeing a significant increase in profitability. People are treating this like it’s an ailing revenue growth story, and that’s why they bought in Informatica to kind of hide it. But it’s increasingly become an earnings growth play, and the earnings growth is excellent, and Informatica doesn’t worry me.
As for the other legs of the controversy, again, the Informatica deal and the Agentforce ramp up, I gotta give you what might be a really unsatisfying answer: This is now a show me story. I hear Benioff’s arguments for why Informatica is good for Salesforce, but I understand why the market’s unconvinced. He’ll have to prove over time that the deal makes sense. I don’t think Marc wants to sit there and buy back a lot of stock…. He’s itching to buy more businesses if they’re additive, if they make the company faster growing, if they augment Agentforce. I see nothing wrong with that, but I don’t mind big buybacks either.
Now, how about this Agentforce? Again, Salesforce will just have to prove that the product’s a winner over time. What do we really want to see? I’ll tell you what we really want to see. We want to see more bold-faced customer wins, but more importantly, we need to see companies that use Agentforce engaging in large-scale, yes, layoffs….
In the end, look, I’m going to stick with Salesforce because they got an incredible track record. Every time there’s been some… uncertainty about the company’s outlook, the right call was to trust Marc Benioff and his team. Plus, at this point, the stock’s gotten surprisingly cheap. The numbers keep rising, yet the stock has struggled. I mean, the darn thing’s over 23 times earnings. That’s the cheapest Salesforce has been in ages…
Right now, I think you’re getting a steal, but here’s the bottom line: Salesforce is hated here because Wall Street doesn’t believe in the Informatica deal or in the core business, and they think it’s slowing, and the idea that Agentforce can somehow grow fast enough to make up for that difference, uh-uh. This is a moment where you need to have some faith in management. I have faith, but you need to decide for yourself if you’re willing to trust Marc Benioff and his team because ultimately that’s all this comes down to, and for many I know, that’s just not enough.”
Salesforce (NYSE:CRM) provides a single platform that covers sales, marketing, customer service, analytics, and e-commerce. The company’s software helps companies handle customer relationships and improve how they run daily operations.
1. NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holders: 212
Cramer said that despite NVIDIA Corporation (NASDAQ:NVDA) stock’s recent setback, its rebound shows that the skeptics around AI are possibly “dead wrong.”
“Oh, and NVIDIA for months, it was a chronic underperformer, but hey, it turns out the bear case on AI may have been dead wrong. For instance, have you seen the stock of NVIDIA? It climbed from $86 and change at its lows in April all the way to the mid-130s when it reported an incredible quarter with an amazing forecast, much better than expected. Stock then rallied to 143 after the quarter. But then it was thrown back when the White House refused to let NVIDIA sell China even its lesser semiconductors.
The stock gave back a big chunk of its post-earnings gains, and the shorts, well, they were in there, congratulating themselves…. We realized the market got things wrong today, though, when we saw Meta’s lining up 20 years’ worth of nuclear power from Constellation Energy for AI. You don’t sign up 20 years’ worth of nuclear energy with a plant that’s about to close three years from now because you think that the data centers are dying a slow death. Next thing you know, NVIDIA’s right back to 141…. What a relief.”
NVIDIA (NASDAQ:NVDA) designs advanced graphics, compute, and networking solutions spanning gaming, AI, data centers, and automotive technology. The company’s products include GPUs, AI platforms, cloud services, and software tools tailored to accelerate innovation across industries.
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.
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