Dec 13, 2025 · 44 min
Cramer makes the case for plain-vanilla stocks
Mad Money w/ Jim Cramer 12/12/25
As speculative technology shares retreat, the episode tests whether diversified exposure and established companies can better withstand market volatility.
- 1Cramer argues that ordinary companies can provide resilience when speculative AI and data-center stocks sell off.
- 2Build-A-Bear CEO Sharon Price John details the retailer’s turnaround, holiday demand, expansion, and approach to shareholder returns.
- 3RH, housing-linked stocks, energy names, and rapid-fire calls reveal the trade-offs between growth, yield, and risk.
Don't miss
Sharon Price John explains how Build-A-Bear managed tariffs, holiday demand, and shareholder returns while extending its retail turnaround.
The brief
Cramer opens after a difficult session for AI stocks, arguing that plain-vanilla companies are gaining ground even as he remains bullish on AI and Nvidia.
The episode’s standout conversation is with Build-A-Bear CEO Sharon Price John, who explains how personalization, expansion beyond malls, and international growth reshaped the retailer.
John also discusses holiday demand, Black Friday, tariffs, inventory planning, pricing, expense management, buybacks, dividends, and shareholder returns.
Cramer then weighs RH’s luxury expansion against its dependence on housing, while contrasting Builders FirstSource with the lower-risk familiarity of Home Depot.
A Lightning Round covers energy, pipelines, technology, telecom, and DuPont before Cramer returns to the case for diversification over concentrated thematic bets.
What was said on this episode
43 statements · 31 positive · 9 negative · 2 mixed · 1 neutral
AI will constitute a fourth industrial revolution.
“I still believe in AI as the fourth industrial revolution.”
Listen at 1:56
Many AI stocks become worth buying after valuations decline.
“most of these stocks will be worth buying once their valuations come down to less lofty levels.”
Listen at 2:00
Investors should own NVIDIA rather than trade it.
“own it, don't trade it.”
Listen at 2:11
Weak employment data would allow the Fed to continue cutting rates.
“If the labor report is weak, that means the Fed can keep cutting.”
Listen at 3:12
Lennar becomes a buy if rates move lower.
“Then Lenar is a buy.”
Listen at 3:19
AI data-center stocks may offer bargains by next week.
“the bargains could be upon us maybe by this time next week.”
Listen at 4:12
Investors should start small with Corning among data-center stocks.
“Corning, because it's working to displace copper wiring everywhere. And the data center is the legitimate copper, ultimate copper background. That would be the one I would suggest to start with. Start small.”
Listen at 4:25
Weaker retail sales are needed to justify additional rate cuts.
“I think they need to be weaker to justify more rate cuts.”
Listen at 5:12
Jabil could mark a turning point for data-center stocks.
“I expect this could be the data center turning point if we're going to get one.”
Listen at 5:32
FedEx may report exceptionally strong quarterly results.
“FedEx could put up a monster set of numbers.”
Listen at 7:24
Broadcom has no fundamental problem despite its sell-off.
“I don't think anything's really wrong with Broadcom.”
Listen at 8:05
Oracle’s data-center strategy creates significant concern.
“I have been worried about Oracle ever since they decided it was going all in on data centers.”
Listen at 8:14
UnitedHealth should be bought.
“I think the UnitedHealth has to be bought.”
Listen at 9:06
Uber remains a favorable investment.
“Uber's good. Uber's good.”
Listen at 10:01
Uber is unlikely to fall much below the suggested price range.
“I don't think it goes much below that.”
Listen at 10:19
Well-run vertical retail operations can generate substantial cash.
“if we could operate really well-run vertical retail, it's a cash machine.”
Listen at 14:16
Build-A-Bear’s strongest stores were located in tourist destinations.
“it was that they were in tourist locations.”
Listen at 15:03
Build-A-Bear returned approximately $160 million to shareholders since 2021.
“since 2021, we've returned about $160 million to shareholders.”
Listen at 16:57
Build-A-Bear had its largest Black Friday ever.
“we had our biggest Black Friday in the history of the company.”
Listen at 17:48
Build-A-Bear reaffirmed its financial guidance.
“we reaffirmed guidance.”
Listen at 19:14
Build-A-Bear stock is attractive for the Christmas season.
“The stock shouldn't have gone down the way it did. It is obviously the right place to be for Christmas.”
Listen at 20:24
RH offers highly leveraged exposure to a potential housing recovery.
“RH remains what has been a highly levered way to play a potential housing recovery.”
Listen at 26:44
Lower rates could revive housing and make RH perform strongly.
“If we get some more relief on interest rates, meaning if the Fed stays friendly, then housing can rebound and RH will be a home run over the next couple of years.”
Listen at 26:48
RH faces severe downside if housing stays weak and expansion continues amid tariffs.
“But if the housing market doesn't materially improve and the company continues to be rocked by tariffs and Gary Friedman keeps forging boldly with his expansion strategy, even if market conditions don't really warrant it. Well, then some very, very bad self-inflicted outcomes could be on the table.”
Listen at 27:02
Home Depot and Lowe’s are preferred lower-risk housing investments.
“I had to default and switch to Home Depot and Lowe's.”
Listen at 28:00
Builders FirstSource could deliver extraordinary growth.
“Builders First Source is a moonshot. It could be unbelievable.”
Listen at 28:03
Starwood Property Trust requires portfolio clarity before recommendation.
“I would feel better recommending because I was quite surprised they could have such precipitous fall”
Listen at 29:15
Investors expecting housing recovery should favor RH.
“If you believe in a housing turnaround, I think that you should also believe in RH.”
Listen at 29:30
Investors should avoid adding to profitable positions unless exceptionally compelling.
“Unless it's incredibly, incredibly compelling, don't do it.”
Listen at 30:52
A 24/7 market would have only disadvantages.
“There's just nothing but cons”
Listen at 31:18
Deere is the cheapest among Caterpillar, Cummins, and Deere.
“I think Deere is the cheapest.”
Listen at 33:36
Investors concerned about S&P concentration should use equal-weighted funds.
“If you feel that way, just go into an equal-weighted fund.”
Listen at 33:46
Investors should sell Oklo and most nuclear stocks, retaining GEV.
“I would sell Oclo. I just would sell everything nuclear except for GEV.”
Listen at 34:21
Investors should own Cheniere Energy Partners for its yield.
“I want you to own, because they're obviously inclined and done a lot of work, Schneer Energy Partners with a 6.27% yield.”
Listen at 35:56
Enterprise Products Partners is Cramer’s preferred pipeline investment and is growing well.
“My favorite in that group, because you know my book, is Enterprise Product Partners. I like EPD, 6.7% yield, growing really, really well.”
Listen at 37:09
Lumentum is a better company but should not be owned now.
“This is a better company, but I don't want you to be in it.”
Listen at 38:03
Elon Musk’s satellite strategy could materially hurt T-Mobile margins.
“I think that his satellite gambit can really hurt the margins of T-Mobile.”
Listen at 38:28
Investors should wait before buying T-Mobile.
“I have to wait. It has not settled down yet.”
Listen at 38:39
Investors should continue holding DuPont.
“Do not sell DuPont.”
Listen at 39:08
Data-center demand will grow.
“I believe in the growth of the data center.”
Listen at 40:19
Investors should buy Broadcom after its sell-off stabilizes.
“I like to buy this kind of stock, not in free fall, which is right now, but usually a couple of days after the free fall.”
Listen at 40:31
Concentrated portfolios can prompt investors to abandon markets during sell-offs.
“I want it because on days... today, lots of investors will go, what have I done with my money?”
Listen at 41:35
Diversification prevents catastrophic portfolio losses and preserves future opportunities.
“if you're diversified, you're never going to get blown out, which means that you're always going to get another opportunity.”
Listen at 43:19
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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