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“Rotation Carnage”: Jim Cramer Blames a Bad Rotation for Abbott Laboratories (ABT)’s Fall from Grace

We recently published a list of Jim Cramer’s Game Plan: 15 Stocks to Watch. In this article, we are going to take a look at where Abbott Laboratories (NYSE:ABT) stands against other stocks that Jim Cramer discusses.

On Friday, Mad Money host Jim Cramer outlined what investors should focus on in the week, especially pointing to earnings reports from major banks.

“Rumor, innuendo, intrigue these are the stuff of great novels, of fabulous miniseries, riveting plays, and now they’re the stuff of the stock market.”

READ ALSO: Jim Cramer Discussed These 12 Stocks and 10 Stocks on Jim Cramer’s Radar Recently.

He noted the chaotic nature of the current environment and remarked that “this tape has it all,” and emphasized how unpredictable developments from the White House have added to the turbulence. Cramer noted that information is being released constantly, through press conferences, posts on Truth Social, or casual remarks, and that each has the potential to move vast sums of money across asset classes.

“Trillions of dollars in and out of bonds, of currency, of gold, of crypto,” he said, all based on impulsive statements. He pointed out the sheer volume of contradictions in the news cycle and stressed, “Except this isn’t an eight-part blockbuster, it’s our money.” Cramer lamented how even social media activity, like tweets, can trigger massive swings in the markets. He noted that Friday’s market action felt like it was shaped entirely by this dynamic.

Cramer questioned whether the market might be in the process of forming what he called a “liberation day bottom,” a moment when selling pressure finally ends because investors feel that all the bad news is out. But he acknowledged the uncertainty of that theory as he said, “Not sure, I’m just not sure.” He added:

“Have you ever noticed the weekends don’t provide relaxation anymore because the president’s got advisors? He’s got to put people out. He wants to tweet. He’s got meetings. No relaxation time, no downtime…. Monday’s trading, well, let’s just say that it looks like that it’s earning season so it’s gonna be even harder than usual.”

Our Methodology

For this article, we compiled a list of 15 stocks that were discussed by Jim Cramer during the episode of Mad Money aired on April 11. We listed the stocks in the order that Cramer mentioned them. We also provided hedge fund sentiment for each stock as of the fourth quarter of 2024, which was taken from Insider Monkey’s database of over 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).

Abbott Laboratories (NYSE:ABT)

Number of Hedge Fund Holders: 66

As Abbott Laboratories (NYSE:ABT) is set to report on April 15, Cramer remarked:

“Wednesday morning, Robert Ford from Abbott Labs will tell his usual terrific story about the company’s strong franchises while having to mention the special baby formula lawsuits that have hurt the stock’s valuation for such a long time. It was 14 points higher not that long ago during that ridiculous rotation where I told you I had to sell some. These stocks are now all the way back down. That rotation was horrendous and I’ll still like to find out what firms did that because they should be kept away from anybody’s money.”

Abbott Laboratories (NYSE:ABT) is a healthcare company involved in researching, developing, producing, and promoting a broad range of medical products. On March 14, during an episode of Squawk on the Street, Cramer said:

“Now I do wanna point out a stock that we’ve been selling for the Charitable Trust, Abbott Labs. There’s a lawsuit that’s been overturned, we talked about that when Robert Ford was on last time. About a very particular kind of specialized infant baby food. A shocking overturning and I’m getting ready to wanna buy the stock back.”

Overall, ABT ranks 5th on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of ABT as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than ABT but that trades at less than 5 times its earnings, 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. This article is originally published at Insider Monkey.

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Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

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  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

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