On Monday, Jim Cramer, the host of Mad Money, provided his analysis of the day’s market activity, highlighting that stocks had rebounded due to growing investor optimism that a clearer global trade outlook could be emerging.
“Declaring victory while you’re still playing is a dangerous game unless you’re President Trump. Today felt a lot like a declared victory…. The victory I’m talking about is a nonstop commitment by companies to building things here, things that otherwise wouldn’t be built here. You gotta admit that it’s pretty amazing.”
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Cramer also observed a shift in how companies now approach doing business in the U.S. He noted that companies now have a clear set of expectations to meet if they want access to American markets. As he put it, “They just gotta play ball with Trump and with our country,” following years of enjoying an unbalanced advantage.
According to Cramer, the stock market has always had a keen understanding of President Donald Trump since it recognized his determination to revive American manufacturing via tariffs, making it one of his main focuses.
“And now that we’re getting these announcements, he’s suddenly willing to be more targeted with his tariffs, declaring victory.”
In trying to understand why the shift is happening now, Cramer noted two main reasons. First, the April 2nd tariff deadline is fast approaching, which has spurred foreign companies to line up one by one to demonstrate their desire to maintain access to U.S. markets. Cramer noted that the companies know that to keep those doors open, they will need to be willing to make concessions. He then added:
“Second, Trump’s been listening. Now he’s seen executive after executive from American companies and he’s asked them what he can do to help their businesses do better. He doesn’t want to harm U.S. companies that hire here and expand here. He does want to harm those that don’t.”
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 March 24. 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).
8 Stocks on Jim Cramer’s Radar
8. KB Home (NYSE:KBH)
Number of Hedge Fund Holders: 32
Cramer commented on KB Home (NYSE:KBH) during the episode and said:
“I know that Mark Carney, new Canadian prime minister… he’s got a snap election coming up, isn’t going to play ball with an election coming up. No. Therefore, lumber’s in play. And I think the rally in the home builders has some danger to it, especially after KB Home reported just so-so number tonight. I think the reciprocity, I didn’t, I’ve not heard a lot of reciprocity between the United States and Canada. They’re very unhappy [with] that 51st State rhetoric. I can’t blame them.”
KB Home (NYSE:KBH) is a homebuilder that constructs and sells various types of homes, in addition to providing financial services including insurance, title services, and mortgage banking.
7. NVIDIA Corporation (NASDAQ:NVDA)
Number of Hedge Fund Holders: 223
Discussing business executives’ meetings with President Trump, Cramer mentioned NVIDIA Corporation (NASDAQ:NVDA) and stated:
“I’m told the behind-the-scenes meetings with the president are convivial and substantive. Executives who I thought would be lambasted for asking for special treatment are instead finding a president who’s complimentary and constructive and wants them to do well, which they say, which they all say is to a person, is a better deal than they got from the previous president. For example, NVIDIA’s CEO Jensen Huang had some very good things to say about his meeting with Trump. They didn’t make this stuff up.”
NVIDIA (NASDAQ:NVDA) is known for its innovations in graphics, computing, and networking technologies, particularly its graphics processing units and the CUDA software platform. On Friday, Cramer discussed the company as he said:
“[Dan Ives on Wedbush warning about something have to change, Jonas cutting PT to $410 from $430 and saying it’s a top pick because firm is transitioning to AI and robotics] Well, you know what’s a highly diversified play on AI and robotics? It’s the unfathomably bad acting golden negative bear cross, NVIDIA. . . So I mean if you want AI, I’ll give you NVIDIA. You want self-drive, I’ll give you NVIDIA. And I’ll tell you, do want some NVIDIA? I’ll give you NVIDIA. That stock can’t even seem to hold 117…
You can’t build these centers. And you can’t do AI, without NVIDIA. And I think that Jensen Huang, if you actually parsed his words, you would have realized the demand is just ridiculous. He claims that they can make so many more than they could, the yield in the first quarter wasn’t that good. I think the numbers are going to inflect. I think the gross margin’s going to go from 71 to 75%, but right now the stock is gripped with all the negativity that’s captured the stock market.”
