On Thursday’s episode of Mad Money, Jim Cramer addressed the growing friction between Federal Reserve Chairman Jerome Powell and President Donald Trump.
“President Trump, what took you so long? This man went almost a hundred days before he finally said he’d like to see Fed Chief Jay Powell ousted for keeping interest rates too high. I thought he would’ve done it weeks ago. Of course, it’s illegal for him to fire Powell as the Fed’s an independent agency, but it certainly sounds like the White House wants more control over the Federal Reserve.”
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The market, however, seemed relatively unaffected, which Cramer interpreted as a sign that this kind of rhetoric had already been priced in or expected. Cramer mentioned that job availability remains strong across the country. He argued that as long as Americans remain employed in large numbers, the constant chatter about an imminent recession may be overstated. However, he acknowledged that this time feels different due to the uncertainty surrounding the global trade war. He warned that the situation carries a serious risk, especially if tensions escalate. He added:
“China’s like a squid with its tentacles and everything from auto parts to rare earth minerals to anything made of plastic and almost all textiles, very hard to wean our economy off that merchandise overnight.”
Cramer reminded his audience that there is a cost to imposing tariffs and disrupting international commerce. He drew a parallel to a grim historical precedent, recalling that sweeping tariffs preceded the Great Depression. He added:
“Call Powell worried. He’s read the history. He knows his facts. Some wonder if President Trump wants to fire him. Powell’s considered style must just drive this man crazy…. If I were Trump, I’d stop trying to fire Powell, which he can’t do, at least not legally, and keep him around as a whipping boy if we really do go into recession.”
Our Methodology
For this article, we compiled a list of 5 stocks that were discussed by Jim Cramer during the episode of Mad Money aired on April 17. We listed the stocks in ascending order of their hedge fund sentiment 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 Thoughts on These 5 Stocks
5. Webull Corporation (NASDAQ:BULL)
Number of Hedge Fund Holders: N/A
When a caller asked about Webull Corporation (NASDAQ:BULL), Cramer said, “Webull is missing one word after bull. I’m going to say absolutely no to that one.”
Webull Corporation (NASDAQ:BULL) is a fintech company that provides a trading platform with features like market data, investment tools, investor education, and access to wealth management products. Since launching in 2018, it has expanded to 15 regions across Asia Pacific, Europe, and Latin America.
As of March, according to the company, the app has been downloaded over 50 million times and has 23.3 million registered users globally. Webull Corporation (NASDAQ:BULL) projects that equities notional value traded on its subsidiaries’ platforms will grow from US$473 billion in 2024 to US$828 billion in 2026, based on expected growth in users, customer assets, and retail trading activity.
4. AMC Entertainment Holdings, Inc. (NYSE:AMC)
Number of Hedge Fund Holders: 20
A caller asked Cramer if AMC Entertainment Holdings, Inc. (NYSE:AMC) could get back to its pre-pandemic growth, and in response, Cramer remarked:
“No, the answer is that they should have reorganized by now, and they haven’t. They have way too much debt. I want you to stay away from that one.”
AMC Entertainment (NYSE:AMC) operates through its subsidiaries in the theatrical exhibition industry in the United States and Europe. The company owns, runs, or holds stakes in various theatres. On April 16, Roth Capital reduced its price target on AMC stock from $3.25 to $3 and maintained a Neutral rating.
The firm expects AMC Entertainment (NYSE:AMC) to gain from a stronger box office lineup starting in Q2 and continuing over the next couple of years. Despite this, free cash flow is still expected to stay negative in 2025 and possibly into 2026. The analyst noted that raising more equity might be required. Roth also mentioned that while the company’s financial situation is likely to improve, its continued cash burn is still a concern.
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