Apr 1, 2026 · 44 min
Cramer tests the rally against AI spending and market breadth
Mad Money w/ Jim Cramer 4/1/26
The episode weighs whether a fragile rebound can broaden into durable leadership while AI infrastructure spending and new drug competition reshape individual stocks.
- 1A durable rally requires sustained leadership across data centers, retailers, financials, and other sectors rather than isolated winners.
- 2Dylan Patel argues AI infrastructure demand and multiyear contracts support hyperscaler spending despite Wall Street skepticism.
- 3Cramer separates strong businesses from overheated stocks while assessing Palantir, Microsoft’s Copilot, and Eli Lilly’s oral GLP-1 treatment.
Don't miss
Dylan Patel explains why large-scale GPU benchmarks provide an empirical test of AI hardware and company claims.
The brief
Jim Cramer opens by asking what would make the market’s rebound durable, looking for leadership that persists across data centers, retailers, financials, and the trading day.
His first-quarter review contrasts the S&P 500’s winners with Nasdaq-100 technology losers, framing the rally as uneven after a difficult quarter and an oil-price shock.
Dylan Patel of SemiAnalysis challenges Wall Street’s pessimism on AI infrastructure, pointing to rising GPU demand, empirical benchmarks, and multiyear contracts supporting hyperscaler investment.
The conversation turns sharper on Microsoft Copilot and software disruption, where weak execution and growing use of alternative AI tools complicate the spending story.
Cramer closes with lightning-round judgments and an examination of Eli Lilly’s oral GLP-1 treatment, comparing convenience, pricing, and competition with Novo Nordisk.
What was said on this episode
39 statements · 20 positive · 17 negative · 1 mixed · 1 neutral
Memory and storage stocks may continue rising because capacity remains constrained.
“their stocks might continue to roar higher”
Listen at 2:04
NVIDIA deserves a premium valuation multiple because its products are highly demanded.
“NVIDIA deserves a premium price during its multiple.”
Listen at 2:22
Microsoft has lost direction and needs to substantially redo Copilot.
“there's a palpable sense that something's very wrong there, that it's lost its way, that Copilot needs to be redone.”
Listen at 4:19
Microsoft will eventually correct its current strategic problems.
“I think Microsoft gets its act together”
Listen at 6:03
Cramer believes Microsoft may soon be removed from his trust portfolio.
“the stock in my trust portfolio, it's on borrowed time.”
Listen at 6:07
RH carries approximately $2.4 billion in debt.
“RH has a mountain of debt, $2.4 billion.”
Listen at 7:10
Cramer has recommended shorting Snapchat for many years.
“I've been recommending is short for many, many years.”
Listen at 8:08
Snapchat’s activist investor may force changes or a company sale.
“Maybe they can get them to do something or even sell themselves.”
Listen at 8:13
The easiest gains in memory stocks have probably already occurred.
“my guess is that the easy money's already been made here.”
Listen at 11:34
Fiber-optics stocks can continue gaining if AI data-center construction persists.
“As long as the AI data center buildout continues on a beta, I think these fiber optics stocks can keep winning.”
Listen at 11:52
Dow and LyondellBasell may decline if the war ends and the Strait reopens.
“I think Dow and Lionel Bazel might be at risk of a pullback of the war ends and the strait reopens.”
Listen at 13:20
Fertilizer shortages will increase food prices.
“the food price is going to go up.”
Listen at 13:51
Cramer increasingly agrees that AI will damage the discussed technology companies.
“I'm starting to agree with them.”
Listen at 17:11
Atlassian is too risky for betting against AI displacement.
“This is not one of them. I think it feels too darn risky.”
Listen at 17:56
Intuit deserves a larger stock-price comeback.
“I think it deserves to.”
Listen at 20:51
Cramer rejects the claim that AI will eliminate DoorDash’s network effects.
“I don't buy that.”
Listen at 21:16
Established online marketplaces are difficult to displace once their user bases exist.
“I think it's very hard for these marketplaces to be toppled.”
Listen at 21:19
Cramer recommends buying DoorDash at its current valuation.
“DoorDash is now the cheapest it's ever been. I like it. I think the stock of DoorDash can be bought here.”
Listen at 21:23
Design schools will eventually switch students from Adobe to Canva.
“One day, the design schools will leave behind Adobe and start their students on Canva.”
Listen at 22:51
Shopify faces no compelling current case for AI-driven disruption.
“I don't think there's a compelling AI disruption case against Shopify.”
Listen at 23:18
Palantir’s strong customer support and product will produce a strong 2026–2027.
“their business is strong. I'm relying on the customers. The customers love them, and therefore I think they've got a great product, and therefore I think they will have a great 2026 and 2027.”
Listen at 24:52
H100 GPU prices have increased amid a compute shortage.
“the price of H100s have gone up.”
Listen at 27:21
Software businesses with low customer-acquisition costs are vulnerable to cheaper AI replication.
“If your customer acquisition cost is not high, then your business is finished because your product can be replicated at a much lower cost than the R&D you spent over the last X amount of period of time.”
Listen at 28:14
Average users no longer need Adobe subscriptions.
“the average user no longer needs Adobe subscriptions.”
Listen at 29:28
Adobe must reinvent its products or business model.
“Adobe has to reinvent themselves.”
Listen at 29:58
Current hyperscaler AI capital spending is positioning them to win future markets.
“every dollar they put to work is them winning the future.”
Listen at 32:54
Google and Amazon are making the correct AI investment decisions and will win future markets.
“Google and Amazon are the ones that are right because they're going to win the future.”
Listen at 33:08
Google’s free cash flow will be approximately zero next year.
“Google's free cash flow will be basically zero next year.”
Listen at 33:24
Microsoft has failed to execute effectively in AI.
“they've just failed at executing.”
Listen at 34:40
SemiAnalysis spends 20–25% of total expenditure on AI.
“20 to 25% of my spend is actually on AI now as a percentage of total.”
Listen at 34:57
Claude Code performs some data-analysis tasks more efficiently than Excel for Patel’s company.
“They actually just tell Cloud Code to point at this data set, look at the CSV and do it. And it's better, more efficient, faster, and we're able to get more work done.”
Listen at 35:35
Boeing will be one of 2026’s major-performing stocks and can rise substantially.
“Boeing is going to be, Bill, one of the big stocks of 2026. I think it can run.”
Listen at 37:58
Cramer advises against buying Bentley Systems.
“So I'm going to have to say no.”
Listen at 38:52
Cramer recommends Agnico Eagle instead of VZLA for long-term precious-metals exposure.
“you want to own Agnico Eagle, I don't want you to own that stock.”
Listen at 39:14
Cramer advises against owning VZLA because he considers it risky.
“I don't want you to own that stock. I think it's a Vancouver risky stock.”
Listen at 39:15
Cramer evaluates AECOM as a high-quality company.
“I think AECOM is a great company.”
Listen at 39:35
Lilly’s oral GLP-1 pill is competitively superior overall to Novo Nordisk’s pill.
“When placed head-to-head against the competing pill from Novo Nordisk, I think Lilly's got a winner.”
Listen at 40:58
Lilly’s pill’s flexible dosing provides a major competitive advantage.
“These little things do add up to a gigantic advantage.”
Listen at 41:14
Lilly is using weight-loss-drug revenue wisely to develop breakthrough medicines.
“The money that Lilly gets from its weight loss drug is being used wisely to come up with breakthrough drugs.”
Listen at 42:20
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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