Oct 31, 2025 · 44 min
Cramer backs long-term investing as October tests markets
Mad Money w/ Jim Cramer 10/31/25
The episode weighs patient ownership against short-term pressure across consumer stocks, speculative technology names, and Meta’s costly AI expansion.
- 1Cramer frames October’s resilient market as an argument for long-term investing and teaching children financial discipline.
- 2Restaurant Brands pitches Burger King’s turnaround through menu innovation, scale, pricing, and a focus on consumer value.
- 3Cramer defends Meta’s data-center spending while separating established businesses from speculative stocks that still lose money.
Don't miss
Cramer argues that Meta’s enormous data-center and AI spending is productive rather than wasteful, comparing it with the 2000 technology bubble.
The brief
Cramer opens by treating October’s resilient market as a lesson in patience, then connects long-term investing with teaching children financial discipline through custodial accounts.
Patrick Doyle, executive chairman of Restaurant Brands International, explains Burger King’s improvement strategy alongside menu innovation, scale, pricing, inflation, and value across the company’s brands.
Hershey, Target, Costco, and Columbia Sportswear become tests of patience as Cramer weighs weak results, valuation, dividends, tariffs, pricing, and international growth.
The Halloween Lightning Round separates established businesses from money-losing speculation, covering SoundHound AI, Nextracker, AT&T, quantum-computing stocks, and Rocket Lab.
Cramer’s standout argument arrives on Meta: he says enormous data-center and AI spending is productive, not wasteful, and remains bullish on Mark Zuckerberg.
What was said on this episode
47 statements · 40 positive · 3 negative · 3 mixed · 1 neutral
AI-related stocks remain worth owning within diversified portfolios.
“I still think these stocks are worth owning, and great stocks are the best defense in any tough market, as long as you own them as part of a diversified portfolio.”
Listen at 1:51
Investors should own one or two AI stocks long term rather than trade frequently.
“you should own one or two of these and trust them. Own them long term, though. Do not try to go in and out and in and out.”
Listen at 2:03
Berkshire Hathaway is a strong company but may face additional profit-taking after Buffett leaves.
“I think Berkshire's a terrific company, and you have to expect more profit-taking as Buffett leaves.”
Listen at 3:22
Palantir shares are headed toward 250.
“When it got to 200 this week, I said it's headed to 250.”
Listen at 4:06
Palantir may see near-term profit-taking but remains attractive long term.
“After this run, I do expect some profit-taking in the quarter, but I'm not backing away from this one long-term”
Listen at 4:10
Pfizer’s dividend appears safe and supported by cash flow.
“I like growth, but that dividend seems safe and is backed up by cash flow.”
Listen at 4:54
Shopify is a reliable winning company.
“Shopify turns in its numbers, too. This is a good one. Canadian. Terrific. It's become a very reliable winner.”
Listen at 5:03
Shopify is an e-commerce leader serving small and medium-sized businesses effectively.
“It's an e-commerce champion that has a great way to work with small, medium-sized businesses.”
Listen at 5:12
AMD is challenging Nvidia in its core market.
“Lisa Su at AMD is challenging NVIDIA at its own game.”
Listen at 5:40
Axon is transforming law enforcement through connected devices and AI-driven police reports.
“Axon's upending the entire law enforcement paradigm with its tasers, its body cameras, its drones, and its automatic artificial intelligence drive police reports.”
Listen at 5:44
Caterpillar’s stock rise is justified by data-center equipment demand.
“I think that move is justified given how so much of their equipment is used to make and maintain data centers.”
Listen at 6:00
Caterpillar’s data-center-related growth opportunity is multi-year.
“Spoiler alert. I think it is.”
Listen at 6:13
Robinhood will report excellent results.
“I am betting we get some fantastic numbers.”
Listen at 6:57
Bank of America will report a relatively positive economic picture and remains inexpensive.
“I think it'll tell a relatively sanguine story about the state of the economy and the bank. And it could be uplifting. It's a very inexpensive stock.”
Listen at 7:13
Warner Bros. Discovery shares reflect anticipated takeover activity.
“To me, the stock's moved into arbitrage levels, meaning it's up in time in anticipation of a takeover.”
Listen at 7:33
Warner Bros. Discovery shares could rise further if a deal closes.
“But I think you could still catch a couple more bucks if they close any sort of deal.”
Listen at 7:38
Investors should continue buying Constellation Energy.
“Winners win. So you continue by Constellation.”
Listen at 8:20
November and December will generally outperform September and October.
“November and December tend to be much, much better.”
Listen at 8:45
MNTN is a better company than its current valuation implies.
“I think it's a better company than it's trading.”
Listen at 9:58
MNTN offers advertisers a strong opportunity.
“I do believe that MNTN offers a great opportunity for advertisers.”
Listen at 10:01
U.S. consumers will eventually return to spending more.
“The consumer is going to come back, I'm confident, exactly when we don't know.”
Listen at 15:52
Restaurant Brands can increase customer value through better food, service, and restaurants.
“The way you give more value without just pulling the price lever is improve your food, improve your service, have better looking restaurant, all of those things.”
Listen at 17:20
Popeyes has the best food in its industry.
“The food is the best in the industry.”
Listen at 18:04
Long-term investment in Restaurant Brands may capture its next growth run.
“I love, yes, the long term investing versus the short term trading will make it so you miss the next run in what is really a company that is so vastly improved.”
Listen at 18:20
Hershey’s worst performance may be over.
“I think the worst might be behind this one. Really, I do.”
Listen at 20:16
Investors could consider a small Hershey position after its decline.
“It's tempting to put on a small position here with the stock down at the lowest level since early July.”
Listen at 24:59
Hershey’s next-year results may exceed expectations.
“there's a good chance next year's numbers will come in higher than expected”
Listen at 25:16
Hershey shares are probably near their bottom.
“I think that even if the stock hasn't bottomed yet, it's probably close to a bottom.”
Listen at 25:39
Costco is preferable to Target for a longer-term investment.
“Costco has come down so much that I think Costco is the way to go.”
Listen at 26:42
Costco offers stronger growth than Target’s dividend-focused appeal.
“I care about growth, and Costco's got that.”
Listen at 26:49
Costco is the best purchase opportunity in its industry.
“Costco is the best buy in the industry.”
Listen at 28:12
Investors may consider starting a Hershey position now.
“I think now might be an interesting time to start a position.”
Listen at 28:26
Columbia Sportswear’s non-U.S. markets are performing well.
“almost every market outside the U.S., in fact, it could be all of them, are doing very well.”
Listen at 30:12
Columbia Sportswear expects growth and improvement through product and marketing investment.
“this is where I think the company is going to be growing and differentiating itself and improving.”
Listen at 31:05
China will ultimately become Columbia Sportswear’s largest product geography.
“China, which I believe ultimately will be the company's largest product geography, is growing well.”
Listen at 32:46
Columbia Sportswear expects its Prana brand to perform well.
“So we believe strongly in it. We've got a great management team in Prada now. And I think we're poised to do very well with that brand.”
Listen at 34:20
SoundHound AI is speculative because it currently does not make money.
“you need to know it does not make money. It's got to make money before I can get seriously behind it”
Listen at 37:09
Nextracker is a strong company trading at 24 times earnings.
“This company is a tremendous company. It still only sells at 24 times earnings.”
Listen at 37:51
Investors should avoid the competitive U.S. telecom sector.
“I don't want to get involved. It seems like there's just too many cross cars. Let's stay away from that.”
Listen at 38:21
IBM will lead the quantum-computing race.
“it's going to be IBM that leads the way.”
Listen at 38:49
Rocket Lab is a potentially good speculative investment but loses substantial money.
“I think it is a good spec, but it loses so much money, you've got to be aware.”
Listen at 39:23
Zuckerberg’s aggressive spending aims to preserve and expand Meta’s global social platforms.
“My belief is that Zuckerberg's spending so aggressively because he wants to maintain, improve, and grow his social initiatives worldwide.”
Listen at 41:21
Insufficient Meta spending could invite competitive pressure from OpenAI.
“If Meta doesn't spend heavily, I think it is reasonable to expect OpenAI will come after them.”
Listen at 41:44
Meta’s heavy spending is worthwhile if it prevents OpenAI competition.
“If this spending can keep out OpenAI and its compadres, then I think it's a small price to pay, actually.”
Listen at 42:19
Meta’s data-center spending will generate excellent returns.
“He's actually putting it to work. He's spending it where he'll get terrific returns, and I have total faith in that.”
Listen at 42:39
Sufficient spending can keep Meta dominant in social media for years.
“The genius of Zuckerberg is that as long as he spends enough to fend off the competition, Meta can remain the ultimate social media platform for years to come.”
Listen at 43:11
Cramer recommends buying Meta shares after the decline.
“Call me a buyer.”
Listen at 43:20
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.
Books & mentions
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