On Friday, Jim Cramer, the host of Mad Money, shared his thoughts on the events of the week, especially reflecting on how fear can be easily spread by discussions about potential tariffs. He pointed out that much of the day was filled with fear-mongering over the possibility of tariffs impacting anyone who buys or sells imported goods.
“You saw it all morning, although fortunately at least on our hour, we decried the negativity and suggested that perhaps we should take a glass-half-full approach. I’m in the minority.”
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He noted, “The market can’t get to where it might have to go, which is conceivably lower because there are many people who still believe that the tariffs will mean nothing.” Cramer mentioned that while it will be worse than that he does not believe the situation is as catastrophic as some might fear.
“Then there are other people, chiefly I think traders, who decided that the administration’s slapdash approach to these tariffs has created so much confusion that we could be headed for a stagflation economy and nobody hates stagflation more than Wall Street.”
In such an environment, Cramer noted, only short sellers would stand to profit. That said, Cramer mentioned that he does not think the direct consequences of the tariffs will be as severe as some expect. He believes that most people won’t feel much of a difference and that it won’t trigger another round of price hikes like those seen during the pandemic.
“In the end, what I saw here is bigger than a head and shoulders pattern…. The charts can’t stop it. The bears can’t stop it. But the palpable sense of dread that analysts and some of my compadres in the media can keep you out of it, they can. What can I say? Journalists’ fear mongering has done more to keep you out of big, long-term winners than any other force.”
Our Methodology
For this article, we compiled a list of 7 stocks that were discussed by Jim Cramer during the episode of Mad Money aired on March 21. 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).
Jim Cramer Talked About 7 Stocks & Stagflation Fears
7. Arm Holdings plc (NASDAQ:ARM)
Number of Hedge Fund Holders: 43
Cramer mentioned Arm Holdings plc (NASDAQ:ARM) during the episode, and here’s what Mad Money’s host had to say:
“We saw that Arm Holdings is desperately trying to meet demand. Tariffs won’t stop this kind of technology.”
Arm Holdings (NASDAQ:ARM) designs and licenses central processing units and related technologies, offering microprocessors, graphics processors, software, and system IP products for developing a variety of devices and applications. Earlier in February, Cramer, discussing ARM, said:
“They have the same problem when we speak to Rene Haas at Arm. I mean, people are asking for too much at these companies. They just are. People seem to think, well wait a second, you’re gonna claim that DeepSeek is good for you? Well if you’re claiming then shouldn’t you be raising in the out years and no one’s doing that because it’s not really the way that you look at things. They’re playing defense, not offense.”
6. Dell Technologies Inc. (NYSE:DELL)
Number of Hedge Fund Holders: 63
Cramer mentioned Dell Technologies Inc.’s (NYSE:DELL) CEO’s bullishness as he said:
“What else? I mean, I have never in my 40 years of knowing Michael Dell ever heard him be this bullish and that includes the 90s when things were going great.”
Dell (NYSE:DELL) designs, develops, and sells a wide range of integrated solutions, products, and services, including storage, servers, networking, desktops, workstations, and cybersecurity solutions, while also providing customer financing, support, and consulting services. On Thursday, Cramer discussed what might happen to the company if tariffs are implemented as he remarked:
“Now Dell is selling at nine times earnings. Now if they decide to tariff everything that Dell brings in our shores. Then it’s not selling at nine times earnings. Because it’s not gonna have those kinds of earnings. It’s gonna turn out to be much more expensive. So people don’t know what to do. I look at Dell’s cash flow, it is just huge. I look at what Michael Dell is saying about the second half of the year. And these data centers which are just chock-full and the spending is incredible. And I say, you can override whatever people are thinking. But that means you have to buy it in the teeth of a selloff. And people are much more comfortable buying up than they are buying down. And that is a major mistake that we have to break people off. . .”
