Mad Money w/ Jim Cramer 10/14/26

Workday

• Jim Cramer · CNBCBullish

  The SaaS apocalypse is over; Workday's rebound and AI strategy show it is not obsolete.

  Cramer says the software-as-a-service apocalypse fear has passed and the best enterprise software stocks have rebounded for months. Workday's stock is up 71% from its April lows after a strong August quarter. At its analyst day it laid out an AI strategy and reaffirmed financial targets, including a partnership with Anthropic that already uses Workday for its own HR and finance. He cites 7-Eleven cutting hiring time by 70% as proof the AI is not smoke and mirrors.

  “The software as a service apocalypse has come and gone. ... How did anyone ever believe Cloud would make this company obsolete?”at 30:30

• Jim Cramer · CNBCBullish

  Workday's agent governance built on its HR system is a real AI service, not empty guardrail talk.

  Cramer says tying agent permissions to the HR system is a natural extension for Workday. He contrasts this with companies that just talk about guardrails, arguing Workday has a real service going.

  “It's a natural extension out of HR. It sure is. I hope that everybody hears you because instead of just mindlessly talking about guardrails, it says that you got a real service going.”at 39:46

CoreWeave

Across the shows: 12 speakers in other episodes, 2 bullish and 11 bearish calls, past 30 days

• Jim Cramer · CNBCBearish

  CoreWeave's heavy, partly distressed debt is dragging the neocloud group and the market lower.

  Cramer says CoreWeave's free fall is spooking people because it is a big data center operator carrying a lot of debt, some of it now distressed. He thinks that debt is dragging down the whole neocloud group and possibly the market. He links the sell-off in new neocloud bonds to fears these firms may run out of money to build data centers. He is unimpressed when the CEO blames irrational markets, saying that is not reassuring.

  “It's a big company, a lot of debt. It's a data center operator with so much debt, some of which has now become distressed debt, that it's dragging down the whole group and maybe the entire market.”at 7:20

ASML Holding

Across the shows: 2 speakers in other episodes, 1 bullish and 0 bearish calls, past 30 days

• Jim Cramer · CNBCBullish

  ASML's earnings were fabulous on rising demand, despite its stock being clobbered.

  ASML reported a terrific quarter with rising demand that was much better than expected. Cramer expected it to offset a weak SK Hynix, but the stock reversed and fell after SK Hynix dropped further. He still calls the earnings fabulous and treats the sell-off as a disconnect from the fundamentals.

  “ASML, the gigantic Dutch semiconductor capital equipment maker, reported a terrific quarter this morning. Talked about rising demand, much better than expected.”at 8:07

Walmart

Across the shows: 3 speakers in other episodes, 1 bullish and 2 bearish calls, past 30 days

• Jim Cramer · CNBCBullish

  Walmart is the winner in this environment; keep it despite roughly 40x earnings.

  Cramer argues Walmart is the clear winner in the current high-inflation environment, where consumers are squeezed and value retailers gain. He advises a caller who bought at $111 not to sell and says to sell almost any other stock except Walmart and Costco. He concedes the stock trades at about 40 times earnings but still calls the company great.

  “You're not getting rid of Walmart. Walmart is the winner in this environment. ... Walmart is perfect for this environment. Even though it has 40 times earnings, I think these guys are great.”at 10:00

Space Exploration Technologies

Across the shows: 12 speakers in other episodes, 18 bullish and 8 bearish calls, past 30 days

• Jim Cramer · CNBCBullish

  SpaceX is his favourite; its recent decline is a buying gift to accumulate slowly.

  Cramer says he is a huge believer in SpaceX and prefers it to Tesla. He reasons that Musk buying Tesla makes sense, which is why he also believes in Tesla, but he likes SpaceX more. He calls the recent SpaceX decline a gift and recommends buying slowly in pyramid style, which he expects to work once the market's turmoil clears.

  “I am a huge believer in SpaceX. ... I do like SpaceX more, and this decline in SpaceX may be a gift.”at 11:31

Wells Fargo & Company

Across the shows: 3 speakers in other episodes, 5 bullish and 0 bearish calls, past 30 days

• Jim Cramer · CNBCBullish

  Wells Fargo's stock pullback is a buying opportunity; net interest margin is stabilising.

  Cramer's charitable trust owns Wells Fargo and he upgraded it after the drop. Revenue missed, but EPS beat by 2 cents, and net interest margin stabilised and came in slightly higher than expected after missing estimates for nine of the past ten quarters. The efficiency ratio improved to 63% from 65%. He says the CEO's bank is set up to do better in a higher-rate environment, and he believes him.

  “I think we're getting a viable pullback here, which is why we just upgraded Wells Fargo for the Charitable Trust.”at 17:09

JPMorgan Chase & Co.

Across the shows: 8 speakers in other episodes, 7 bullish and 0 bearish calls, past 30 days

• Jim Cramer · CNBCBullish

  JPMorgan's positive net interest income outlook for 2027 makes its intermediate-term future bright.

  JPMorgan missed on headline revenue and earnings, with weak fixed income trading and asset management. The call changed the picture: management gave a positive net interest income outlook for the current quarter and for 2027, which Cramer calls shockingly positive. He also notes Dimon's tone was not doom and gloom. The stock recovered after its early drop, so Cramer sees the intermediate-term future as bright even though the present quarter was not hot.

  “Even if the present is not so hot for JPMorgan, the intermediate term future is looking bright. That one's a winner.”at 18:36

Citigroup

Across the shows: 5 speakers in other episodes, 4 bullish and 1 bearish calls, past 30 days

• Jim Cramer · CNBCBullish

  Citigroup's turnaround is intact; its selloff after outperformance is a buying opportunity.

  Citi posted a clean top and bottom line beat, with IB earnings up 27% year over year even excluding a major one-time item. Net interest income beat, and full-year NII guidance was raised to the mid-to-high 6% range from 5-6%. Revenue was the best third-quarter result in a decade, and it was the only bank to beat on fixed income trading. Cramer thinks the stock was punished for its recent outperformance, and he believes in the turnaround.

  “But if you believe in the turnaround as I do, this is a buying opportunity.”at 20:00

The Goldman Sachs Group

Across the shows: 6 speakers in other episodes, 4 bullish and 2 bearish calls, past 30 days

• Jim Cramer · CNBCBullish

  Goldman's stock sell-off after a strong quarter is wrong; the trust upgraded it to buy.

  Cramer's charitable trust owns Goldman and upgraded it to a buy. Goldman beat badly, with revenue of $18.68 billion against $16.71 billion expected and 39% earnings growth. Equities revenue rose 72%, investment banking fees rose 21%, and the efficiency ratio was 59.4% against about 65% expected. The CEO stressed AI infrastructure financing and the CFO said the banking backlog was very robust. Cramer thinks the market is dead wrong to sell it and believes the boom times are not over.

  “For me, this is straightforward. I think the market is dead wrong... Basically, a buy, and we said we'd be happily to be buyers at this level.”at 26:27

PayPal Holdings

Across the shows: 1 speaker in other episodes, 0 bullish and 1 bearish calls, past 30 days

• Jim Cramer · CNBCBearish

  PayPal is too limited; at about 10x earnings he would rather own Goldman.

  Cramer says he has not been a fan of PayPal. He likes what the new CEO may be doing, but says the stock sells at 10 times earnings and he would rather buy Goldman Sachs at a bit of a premium. He thinks PayPal is too limited. He does not like buying stocks on takeover hopes.

  “I've not been a big fan of PayPal. I like what Enrique might be doing there, but my problem is it sells at 10 times earnings... I just think that that PayPal is too limited.”at 29:37

X-energy Reactor Company

Across the shows: 1 speaker in other episodes, 1 bullish and 0 bearish calls, past 30 days

• Jim Cramer · CNBCBearish

  X Energy is losing too much money, so Cramer does not recommend it in a rising-rate environment.

  A caller pitched X Energy, citing nuclear power demand growing nearly 10% a year, with plenty of cash, 900 employees and a DOE-backed project. Cramer rejects it because the company is losing too much money. Since rates started rising and the Fed started raising them, he avoids companies that lose money.

  “No. It's losing too much money. And since the rates started rising and the Fed started rising, I do not recommend companies that lose money because I will end up losing money for you.”at 41:17

US inflation

• Jim Cramer · CNBC

  Hot September CPI shows inflation worsening as fuel costs spread through the economy.

  Cramer says the CPI print came in hotter than expected, with the monthly rate rising 0.6% from August to September. He ties the rise to fuel costs from the war with Iran that are now infiltrating the whole economy. He calls the increase incrementally worse and says a hot PPI could restart the debate about further rate hikes.

  “...the number comes in, and it was a little hotter than expected. ... rose point 6% from August to September. That is incrementally worse.”at 2:50

US Treasuries & yields

• Jim Cramer · CNBC

  30-year Treasury yield could rise to 6% if the Fed does nothing, raising housing costs.

  Cramer notes the 30-year Treasury is at 5.5% and says that if the Fed does nothing, it could rise to 6%. That would increase the cost of housing and other goods. He says a move above 6% would crush a whole list of other industries.

  “if the Fed does nothing, I think it's actually possible that the thirty year treasury, currently at 5.5%, goes to 6%, increasing the cost of housing among other goods.”at 5:02

US housing

• Jim Cramer · CNBC

  Housing is the worst part of the economy, and rising long rates would worsen it.

  Cramer says housing is currently the worst part of the economy. He links further increases in the 30-year Treasury yield to higher housing costs, because mortgage rates would rise with it. He says the cost of housing would climb even if the Fed does nothing.

  “Right now, housing is the worst part of the economy, the worst.”at 5:09

US rates & the Fed

• Jim Cramer · CNBC

  Further Fed tightening may be wasted if peace drives oil lower, though hot CPI argues for more.

  Cramer says the hot CPI makes another hike look necessary, since one hike is not enough. But oil is the core driver of inflation, and if the Iran war ends oil could plummet. In that case the Fed would have tightened for nothing, so a second hike could be wasted. He also warns that a hike could slow business and cost jobs.

  “The Fed has tightened once. What if it tightens again and then the war conundrum solved? ... The Fed would have tightened for nothing.”at 5:32

Oil & fuels

• Jim Cramer · CNBC

  Oil could be cut in half if the Iran war ends; wells and refineries are running flat out.

  Cramer believes every oil well is running full out and every refinery is near 100% of capacity, so there is no spare supply. He argues that if peace breaks out, oil prices could plummet and be cut in half or more. That would cut inflation, and he says a peace deal would send stocks rallying strongly.

  “Right now, I believe that every well with oil is running full out. ... I think oil prices could plummet should peace break out. Plummet. I think oil could be cut in half.”at 5:43

Banks

• Jim Cramer · CNBC

  Bank stocks are falling despite solid earnings, showing investors fear the future.

  Cramer says most of the big banks fell after reporting, even though many quarters contained plenty of positives. He attributes this to investors worrying about the future, given persistent inflation, rising interest rates and wobbly capital markets. He says that is why the group is hard to own now, and that no two banks behave alike anymore.

  “Frankly, it's strange to see such [universally] negative reactions to a set of quarters that contain plenty of positives. But this is what happens when investors are worried about the future.”at 28:14

Credit markets

• Jim Cramer · CNBC

  Cramer is most worried about corporate bonds, citing too many problematic new bond issues.

  Cramer says the bonds of these companies are what worries him most. He cites way too many issues and says he is determined to get to the bottom of what is happening in the bond market with new issues. He gives no specific data in this passage.

  “The only thing I'm really more worried about are the bonds of these companies. That's what I'm really concerned about. There's been way too many issues.”at 43:02

AI chips & semiconductors

• Jim Cramer · CNBC

  Hardware stocks' selloff is multiple compression, not earnings; bottom is not yet called but demand persists.

  Memory and chip companies keep raising estimates and ASML reported strong results, yet their stocks fell. Cramer attributes this to price-earnings compression rather than earnings, with investors now paying less for the same estimates. He says it is too early to call a bottom in hardware because the moves are too violent. Still, hardware will be needed to build data centers and remains in short supply.

  “My take, too early to call bottom and hardware. Moves are too violent. But in the end, you will need the hardware to build data centers. All this stuff remains in short supply.”at 46:47

Software & SaaS

• Jim Cramer · CNBC

  Fears that AI would wipe out enterprise software were overblown; these stocks can keep rising.

  Enterprise software sold off as investors assumed Claude, ChatGPT and similar tools would make these companies obsolete, with stocks like Veeva, ServiceNow, Salesforce and Workday cut by large amounts. Cramer says that disruption never came to pass. Software companies are now adding AI with endorsements from OpenAI and Anthropic, and investors are paying more for their earnings. Their stocks should not have been so low, so they can keep rising. He notes no analysts have raised numbers for them yet.

  “The enterprise software companies, they can keep going higher because their stocks never should have been so low in the first place... It never came to pass. And with the changes they're making, it never will.”at 46:47