Jim Cramer, host of Mad Money, reviewed the most significant market events for this week on Friday, including earnings reports from various companies. He also pointed out that Wall Street’s anxiety is expected to persist as uncertainty over tariff policies continues.
“Looking forward to next week for a game plan, I’m focused on the unrelenting negativity and how it’s bringing about real but ignored values, ignored because it’s very hard to buy stocks ahead of the tariffs and a Fed that’s no longer willing to help by cutting interest rates, at least for the moment.”
READ ALSO: 9 Stocks on Jim Cramer’s Radar and Jim Cramer Discussed These 10 Stocks Recently
Cramer highlighted that on Thursday, pending home sales will be reported, which could offer a clearer picture of the housing market’s current state. He mentioned that while some companies are reporting troubling signs, it is important to assess whether these are isolated issues or part of a broader slowdown in the housing market.
The data could provide the much-needed clarity that the Federal Reserve cares about, especially since there is a lot of uncertainty surrounding the housing sector. In addition to the home sales data, Cramer pointed out that personal consumption expenditure (PCE) numbers will also be released on Thursday. He said that the PCE is the Federal Reserve’s preferred measure of inflation, but Cramer noted:
“Unfortunately, hasn’t been a good one. Sentiment … seems to be turning south.”
Although, he admitted that it is hard to say for certain. The global geopolitical concerns are contributing to this uncertainty, but Cramer stressed that hard data to support this shift in sentiment is still lacking. Cramer also mentioned that he is especially looking forward to the University of Michigan Consumer Sentiment Index, which is set to be released on Friday. The data could provide valuable insight into the public’s mood, and if the numbers are significantly negative, it would confirm the downtrend he has been seeing in the market over the past few weeks.
“So here’s the bottom line: There’s a lot going on next week, but until we get some resolution on the trade front, you need to expect more uncertainty, more volatility like we saw today. There’s just too much negativity, and for the moment it seems impossible to fight it. Although when it gets extreme for no reason as it did this morning, you still have to pounce if only for a trade.”
Our Methodology
For this article, we compiled a list of 9 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’s Game Plan: 9 Stocks in Focus
9. Dutch Bros Inc. (NYSE:BROS)
Number of Hedge Fund Holders: 41
Cramer mentioned Dutch Bros Inc.’s (NYSE:BROS) investor day event on Thursday and commented:
“We also have an investor day event for Dutch Bros. I like the BROS and I like the BROS CEO, Christine Barone. Well, man, oh man, this is one expensive stock, regional and national growth story for the coffee chain is still very much in place, which means Dutch Bros can be bought on weakness.”
Dutch Bros (NYSE:BROS) operates and franchises drive-thru locations across the U.S. under various brands, including Dutch Bros Coffee and Dutch Bros Rebel. Polen Capital stated the following regarding the company in its Q4 2024 investor letter:
“Dutch Bros Inc. (NYSE:BROS), a drive-through coffee and beverage company with nearly 1,000 locations, reported compelling quarterly results, raising its full-year revenue and EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) guidance. Robust same-store sales and steady unit growth have driven top-line growth of +28% year-over-year. Earnings growth appears poised to accelerate as the company ramps up unit growth in 2025, innovates its menu (into the untapped opportunity to drive food sales), and margins inflect higher with scale. We believe it’s still early days for Dutch Bros, which has a unique concept and is just starting to tap into proven value drivers like online ordering and food. We believe Dutch Bros has the potential to be a substantially long-duration EPS (earnings per share) growth business.”
8. Lululemon Athletica Inc. (NASDAQ:LULU)
Number of Hedge Fund Holders: 60
Lululemon Athletica Inc. (NASDAQ:LULU) was commented on during the recent episode of Mad Money, and here’s what Cramer said:
“Thursday, we’re going to hear from Lululemon. And oh man, this is a battleground, I mean, just incredible. Lots of short sellers betting that Lulu won’t sell enough because of its high price point. I think this is a remarkable company that makes me want to buy the stock on any weakness.”
Lululemon (NASDAQ:LULU) creates, produces, and markets athletic clothing, footwear, and accessories. Appearing on Squawk on the Street in early March, Cramer stated:
“Athleta, David, could be taking share from Lulu. I asked whether there was an existential threat to Lulu. Lulu’s much more expensive. . .everything is much more expensive.”