Sep 2, 2026 · 51 min
Cramer urges patience as yields challenge high-growth stocks
Mad Money w/ Jim Cramer 9/2/26
The episode weighs valuation discipline against AI-driven optimism as higher yields, inflation fears, and public distrust reshape the market’s risk calculus.
- 1High Treasury yields make expensive growth stocks harder to justify, strengthening the case for patience and valuation discipline.
- 2Cramer favors NVIDIA and Dell over Oracle as data-center capacity constraints threaten expectations for future growth.
- 3Data-center companies must demonstrate broader public benefits and rebuild trust as communities question rapid expansion.
Don't miss
Bipul Sinha explains why machine-speed, AI-driven attacks require rapid recovery and broader cyber resilience, even as Rubrik’s stock falls after strong results.
The brief
Jim Cramer opens with a market shaped by high Treasury yields, inflation concerns, and skepticism toward expensive growth stocks, arguing that investors should seek value when favored assets become costly.
On data centers, Cramer sees NVIDIA and Dell as better positioned than Oracle if construction constraints reduce expected capacity, while urging investors to avoid paying too much for uncertain growth.
Patti Poppe discusses PG&E’s reforms and financial exposure after California wildfire-liability reform failed, highlighting how legal and insurance risks can overwhelm utility valuations.
Rubrik CEO Bipul Sinha explains how machine-speed, AI-driven attacks are changing cyber resilience, while Cramer argues the company’s post-earnings selloff may create an opportunity.
The episode closes on a broader challenge: data-center companies must explain their economic benefits and rebuild trust with governments, local communities, and the public.
What was said on this episode
35 statements · 24 positive · 9 negative · 2 neutral
Comparing price-to-earnings multiples is the appropriate way to value stocks relative to one another.
“Comparing P.E. multiples is the apples to apples way to value one stock versus another.”
Listen at 2:28
NVIDIA is cheaper than ServiceNow based on earnings multiples despite its higher share price.
“NVIDIA with the $224 price target. It's just much cheaper than ServiceNow at $136.”
Listen at 3:57
Money managers are selling high-multiple stocks and buying low-multiple stocks.
“So they sell the high multiple stocks and crowd into the low multiple stocks.”
Listen at 4:47
MongoDB’s imperfect quarterly results caused a sharp stock decline.
“MongoDB is a really good company, but its quarter wasn't perfect, so it got killed.”
Listen at 5:49
Rising bond yields cause money managers to rotate from expensive to cheaper stocks.
“when bond yields go up, money managers dump their expensive stocks and swap into the cheaper ones with lower PEs”
Listen at 7:51
Cramer expects Corning to decline further before reentry.
“I think it's going to come down more and then we're going to get back in.”
Listen at 9:24
Cramer recommends favoring NVIDIA over Oracle.
“I would prefer to just stick right point blank with NVIDIA.”
Listen at 10:20
Cramer recommends owning Dell despite its elevated price.
“I think Dell is still a terrific stock to own even all the way up here.”
Listen at 10:24
The failed wildfire-liability reform deal drove PG&E and Edison International down about 20%.
“Sending stocks like PG&E and Edison International down roughly 20 percent over the past few days.”
Listen at 11:53
PG&E says it has dramatically reduced wildfire risk.
“We've reduced our wildfire risk dramatically.”
Listen at 14:04
PG&E reports four consecutive years without a major wildfire.
“This is our fourth year without a major wildfire.”
Listen at 14:07
PG&E says it has improved reliability by 30%.
“we've improved reliability by 30 percent.”
Listen at 14:13
PG&E’s post-cut capital plan totals $11.4 billion.
“We have an $11.4 billion capital plan after that $2 billion cut”
Listen at 15:21
Investment-grade status would allow PG&E to grow earnings at least 9% annually.
“it would allow us to grow our earnings at 9% plus every year.”
Listen at 18:22
PG&E plans for 1.8 gigawatts of data-center load by 2030.
“We have 1.8 gigawatts in our plan for 2030.”
Listen at 19:29
A qualifying wildfire-reform bill would have a high probability of passing.
“if that bill hits the print and it meets the minimum, the probability of it passing becomes really high.”
Listen at 20:28
Cramer considers Cardinal Health’s current price a favorable entry point.
“that's why I think you're still getting a great entry point here.”
Listen at 26:33
Cramer predicts Cardinal Health could be a major winner in the current environment.
“I think a stock like Cardinal Health could be a big winner.”
Listen at 27:11
Cramer recommends owning CVS rather than trading it.
“I think you should own it. Don't trade it. It's a terrific stock, and we want to buy it for the travel trust.”
Listen at 28:16
Cramer assesses Rubrik’s latest quarter as excellent.
“I think this quarter was excellent.”
Listen at 30:03
Rubrik says it is landing larger deals and repeat purchases are increasing.
“We are landing bigger deals than ever, and our customers are coming and repeating purchase with us.”
Listen at 30:52
Rubrik and CrowdStrike have a strong partnership.
“We have a great partnership with CrowdStrike.”
Listen at 31:16
Rubrik offers agentic runtime security and rewind capabilities for similar incidents.
“Rubrik has created a solution for agentic runtime security and agentic rewind should something like this happen.”
Listen at 32:45
Rubrik provides AI-speed recovery for machine-driven attacks.
“you need to also have the AI speed recovery. And that's what Rubrik is delivering”
Listen at 33:29
Cybersecurity prevention and detection alone are insufficient against current threats.
“prevention and detection, while important, is not sufficient.”
Listen at 34:03
Rubrik reports strong demand and market leadership in cyber resilience.
“we are seeing tremendous market demand for cyber resilience, and we are winning this market.”
Listen at 34:14
Cramer recommends buying Rubrik, CrowdStrike, and Palo Alto Networks after their declines.
“These are these stocks that are being put on sale and it's your opportunity and you got to take it.”
Listen at 34:56
Cramer advises against buying AeroVironment for now because competition is strong.
“the competition in their particular niche of defense work is so strong that I just have to say, not yet, not now.”
Listen at 42:39
Cramer considers critical-materials investments the best investable play.
“I think it makes sense. Look, we know we need those critical materials. That's the single best, most investable play in the situation.”
Listen at 43:38
Cramer does not expect critical-materials investments to move soon.
“But I don't expect anything to happen very soon.”
Listen at 43:45
Cramer recommends holding or buying Howmet Aerospace as the best aerospace exposure.
“It's being viewed as the best way to play aerospace because all the others are so fraught with difficulty. I say hold on to it or buy some.”
Listen at 44:48
Cramer sees limited upside in ATAI because it is merging with Lilly.
“That one's merging with Lilly, so I'm not sure there's a lot of upside.”
Listen at 45:16
Data centers will eventually be built somewhere because they are too profitable to halt.
“These warehouses full of servers will eventually be built somewhere. They're just too profitable to stop.”
Listen at 47:57
Cramer predicts data-center construction will provide blue-collar jobs for years.
“The data center build out will take years, making an endless source of solid blue collar jobs”
Listen at 48:35
Blocking data centers will not stop AI; construction will relocate elsewhere.
“stopping AI by blocking data centers, that's a fool's errand. They'll just move the data center somewhere else”
Listen at 49:56
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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