Apr 13, 2026 · 44 min
AI fears put software stocks and photonics in focus
Mad Money w/ Jim Cramer 4/13/26
The episode weighs whether artificial-intelligence disruption is exposing real weaknesses in software or creating an indiscriminate buying opportunity, while data-center demand reshapes the outlook for optical technology.
- 1Commodity inflation and interest-rate uncertainty frame Cramer’s market outlook before he turns to stock-specific questions.
- 2Photonics and fiber optics could become essential as AI traffic pushes data centers beyond conventional silicon, power, and cooling.
- 3Super Group’s international betting strategy and stablecoin plans offer a counterpoint to the episode’s technology-heavy investment debate.
Don't miss
Neil Menashe explains how Super Group combines international sports betting and casino operations with plans for a South African stablecoin.
The brief
Cramer opens with commodity inflation, interest rates, and the Federal Reserve outlook, then tests how those forces shape individual stock calls.
The central argument is that AI fears have punished software broadly, even though investors should distinguish vulnerable businesses from durable companies caught in short-selling.
The photonics discussion shifts attention from chips and cooling to the fiber-optic infrastructure needed to move rising AI traffic through data centers.
Super Group CEO Neil Menashe discusses profitable international betting, football exposure, sponsorship costs, taxes, and a planned South African stablecoin.
Cramer closes by sorting speculative names from favored stocks and arguing that some battered software companies may be unfairly discounted.
What was said on this episode
51 statements · 33 positive · 11 negative · 2 mixed · 5 neutral
The market is currently not responding proportionally to the Iran war.
“It's pretty darn clear that the market is not in sync with the war.”
Listen at 0:56
Historically, crude oil doubling has been followed by roughly a 20% S&P 500 decline.
“any time the price of crude doubles, the S&P 500 should go down roughly 20 percent.”
Listen at 1:35
If rates remain low, the incoming Fed under Kevin Moore will not raise short-term rates.
“As long as the rates don't move higher, the new Fed, the one that's about to emerge under Kevin Moore, certainly isn't going to raise short rates.”
Listen at 2:24
The incoming Fed environment may enable tax cuts.
“And they might even be able to bless us with tax cuts.”
Listen at 2:30
U.S. cars are more fuel-efficient than during previous oil shocks.
“our cars are a lot more fuel efficient than they were during any previous oil shock.”
Listen at 2:54
Gasoline prices are not especially high relative to inflation.
“gasoline isn't even that high versus inflation.”
Listen at 3:32
Previous comparable gasoline price levels did not cause an economic downturn.
“it didn't cause a downturn.”
Listen at 3:37
Natural gas is more strategically advantageous to the U.S. than oil.
“natural gas, not oil, is our secret weapon.”
Listen at 4:44
The Fed will likely treat tariff and gasoline inflation as temporary price increases.
“The Fed will most likely asterisk these as all one-off price increases.”
Listen at 5:29
New Fed chief Warsh will prioritize stimulating housing activity.
“Instead, new Fed chief Warsh will be thinking of housing and how to get it moving.”
Listen at 5:36
Spiking interest rates would cause a sharp stock-market decline.
“If interest rates were spiking, this market would be very different. We'd be down very hard.”
Listen at 5:57
Private-credit-related stock recoveries suggest the crisis may be contained.
“These gains are a sign that the crisis may be limited or cordoned off.”
Listen at 8:16
Investors should own NVIDIA rather than trade it.
“NVIDIA, own it. Don't trade it.”
Listen at 8:52
Figma is declining because investors believe Google can replicate its functionality.
“it's going down and down because a lot of people feel you can do the same thing that Figma does with Google.”
Listen at 9:30
Cramer favors Sempra stock.
“I like Sempra!”
Listen at 10:33
New AI platforms may severely undermine many software and services companies.
“Wall Street's terrified that companies in the software or services space will be steamrolled, or at least undercut by the rise of new AI platforms”
Listen at 12:05
Shopify is unlikely to be displaced by artificial intelligence.
“Shopify should not be considered a potential AI displacement victim.”
Listen at 12:58
Shopify's revenue growth is currently not deteriorating.
“Shopify's revenue growth doesn't seem to be eroding at all.”
Listen at 13:34
AI displacement fears have not affected Shopify's business so far.
“it's clearly not having any impact on the business right now.”
Listen at 13:57
Shopify trading at 62 times earnings is not excessively expensive for its growth.
“paying 62 times earnings for the stock isn't that crazy”
Listen at 14:22
Shopify stock has declined excessively and rapidly.
“Shopify stock has come down too far, too fast.”
Listen at 18:42
Shopify could experience another strong rally during spring.
“I think Larry's right to expect this one could give us another terrific springtime rally.”
Listen at 18:45
LightWave Logic's polymers convert electrical signals to optical signals more efficiently than traditional materials.
“The company develops electro-optic polymers that convert electrical signals into optical signals more efficiently than traditional inorganic materials.”
Listen at 20:57
LightWave Logic's material enables faster switching, lower voltage, and smaller devices.
“That means faster switching, lower voltage, and smaller devices.”
Listen at 21:33
Integration into silicon photonics workflows could give LightWave a scalable business model.
“If LightWave's material can be integrated into existing silicon photonics workflows, this doesn't have to be a company that sells one box or one component at a time.”
Listen at 21:42
LightWave Logic development agreements do not establish volume production.
“A development agreement is not the same thing as volume production.”
Listen at 22:59
LightWave Logic is difficult to recommend at nearly $2 billion while losing money with minimal revenue.
“it's hard for me to recommend this as a nearly $2 billion company when it's losing money, making a couple hundred thousand bucks in revenue”
Listen at 23:43
Investors should prefer Coherent, Lumentum, or NVIDIA over LightWave Logic.
“I'd rather stick with Coherent or Lumentum, although you missed a nice part of the run there, or buy some NVIDIA.”
Listen at 23:55
Optics will become increasingly important as AI infrastructure expands.
“I think the market's right that optics will matter more as AI infrastructure scales up.”
Listen at 25:03
Efficient high-speed, low-power data-center technology has a significant long-term opportunity.
“I also think there's a serious long-term opportunity for somebody that can help deliver higher speed and lower power to the data center at a reasonable cost.”
Listen at 25:12
Conservative investors should not chase LightWave Logic after its sharp rise.
“I have a hard time telling a conservative investor to chase light wave here.”
Listen at 25:36
Investors should keep LightWave Logic on their watch list rather than buy immediately.
“Keep it on the watch list, I think.”
Listen at 26:07
Super Micro Computer will probably rebound to 30 before investors should exit.
“It's going to bounce probably to 30, and then I need you to get out of it.”
Listen at 27:13
Accounting irregularities are a reason to sell a stock.
“accounting irregularities in my book equals sell.”
Listen at 27:16
Super Group views Africa, Canada, and the UK as profitable markets.
“So Africa's big, Canada's big, the UK we big. So it's all about markets where we see profitability.”
Listen at 31:08
The 48-team World Cup will create substantial betting content for Super Group.
“the World Cup is going to be super interesting because they're 48 teams.”
Listen at 31:46
Super Group's sportsbook offerings are fundamentally different from prediction markets.
“our offerings are, as a sports book, are fundamentally different to predictions.”
Listen at 32:20
Super Group's South African stablecoin will launch within weeks.
“it launches in the next few weeks.”
Listen at 33:06
Super Group can generate substantial profits outside the United States.
“We're an international business outside of the U.S. And there's a ton of money to be made.”
Listen at 34:15
Super Group is a cash-generating, growing company that aims to exceed expectations.
“We are cash machine. We continue to grow dynamic and we want to exceed expectations.”
Listen at 35:25
Investors should buy Goldman Sachs after its stock decline.
“I would take advantage of the fact that that stock is down and pick up some Goldman Sachs.”
Listen at 36:46
Red Cat is a worthwhile speculative investment.
“I think it's a good spec.”
Listen at 37:21
Cramer views Element Solutions favorably.
“I think Element Solutions is good.”
Listen at 37:56
Successfully solving alopecia could double Veridermic's value.
“if it can be solved, it's worth double.”
Listen at 39:14
The IGV ETF has been used to short software-related stocks broadly.
“they're all represented in this silly iShares software ETF, the IGV, which has been used and abused to bet against anything even tangentially related to software.”
Listen at 40:10
Microsoft currently does not appear to be an AI net winner.
“They're not looking much like an AI net winner right now.”
Listen at 40:48
ServiceNow's stock can rise further.
“It can go higher.”
Listen at 41:04
Salesforce's buyback represents roughly one-third of its shares at current prices.
“This buyback should not be ignored. It represents one-third of the company's stock at these levels.”
Listen at 41:11
AI supports cybersecurity companies by creating more exploitable vulnerabilities.
“AI isn't gobbling them. It's supporting them because it creates so many new vulnerabilities that hackers can exploit.”
Listen at 42:11
Palantir's stock is expected to rise further tomorrow.
“I expect to go further tomorrow.”
Listen at 42:36
Investors wanting to sell battered software stocks should wait for a rebound.
“If you want to sell them, wait for the rebound reaction, please.”
Listen at 42:57
Statements are attributed to the speaker as said on the episode and reflect their view at the time, not PodLume's. They are not advice.
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