Oct 12, 2026 · 44 min
GM defends its portfolio as hardware retakes market leadership
Mad Money w/ Jim Cramer 10/12/26
The episode tests whether a sharp market rebound signals a bottom while examining how GM is adapting its products, supply chain, and capital allocation.
- 1Cramer sees extreme pessimism and an intraday rebound as possible evidence that the market has found a bottom.
- 2Mary Barra outlines GM’s slower EV transition, software ambitions, defense business, and efforts to localize its supply chain.
- 3Cramer argues hardware stocks are regaining leadership as investors reassess software’s dominance in technology markets.
Don't miss
Mary Barra explains why GM expects personal vehicle ownership to remain important even as autonomous ride services develop.
The brief
Jim Cramer opens by asking whether severe inflation data and a powerful intraday rebound marked a market bottom, with pessimism itself becoming a market signal.
A viewer’s question about Venture Global leads Cramer toward established energy names, while pressure from oil prices and interest rates sets up his examination of General Motors.
Mary Barra defends GM’s broad portfolio, from trucks and SUVs to software, OnStar, Super Cruise, and defense, while explaining why the EV transition is moving more slowly.
The GM interview turns to localized supply chains, MP Materials, subscriptions, buybacks, tariffs, autonomy, Chinese competition, and the company’s decision to leave Europe.
After reviewing Argon and taking rapid-fire stock questions, Cramer argues that hardware names including Micron, Intel, Dell, HPE, NVIDIA, and AMD are regaining leadership.
What was said on this episode
53 statements · 44 positive · 7 negative · 2 mixed
Extreme pessimism caused the October 2022 market bottom.
“In short, extreme pessimism is what caused the bottom.”
Listen at 2:20
The rally despite severe inflation indicated limited remaining downside concerns.
“The fact that we could rally on that kind of inflation figure meant that there really wasn't much left to worry about.”
Listen at 2:29
NVIDIA’s May 2023 earnings were the biggest upside surprise in history.
“NVIDIA's earnings on May 24th of 2023. It was the biggest upside surprise in history.”
Listen at 4:28
NVIDIA’s valuation reached $1 trillion one week after its May 2023 earnings.
“And it propelled NVIDIA's valuation to a trillion dollars a week later.”
Listen at 4:32
Long-term investors should not fear interest-rate hikes.
“We should not fear rate hikes if we are long-term investors.”
Listen at 6:57
Stock investing has historically provided superior returns.
“investing in stocks has proven to be a superior way to get a return”
Listen at 7:27
Regular investing across stocks and indices is the best wealth-building strategy.
“Putting money to work regularly in good and bad times, in stocks and indices, is by far the best strategy toward wealth.”
Listen at 8:24
Investors should remain invested and continue buying.
“The bottom line, stay in, keep buying, don't lose faith.”
Listen at 8:42
Venture Global has limited upside around $13 per share.
“stuck here at 13, I don't see as much upside as I'd like.”
Listen at 9:33
LNG is a better investment than Venture Global.
“I think LNG is better.”
Listen at 9:36
Investors should put money in LNG.
“I would put my money in that.”
Listen at 9:40
ET offers a good return and merits investment consideration.
“I would also do ET, by the way, which gives you good return.”
Listen at 9:41
General Motors is a strong company that has performed well.
“This is a great company. They've been doing very well.”
Listen at 11:12
General Motors stock is undervalued.
“we do think the stock is undervalued.”
Listen at 12:23
General Motors has its strongest-ever vehicle portfolio.
“we have the strongest vehicle portfolio that we've ever had.”
Listen at 12:25
GM’s product strength is driving its business.
“the strength of the product is what's fueling our business.”
Listen at 13:44
General Motors EV sales will continue growing at a slower pace.
“we think it will continue to grow, but it will be slower.”
Listen at 14:50
GM will offer customers EV, combustion, and hybrid vehicle choices.
“We'll have a portfolio where we're going to let the customer choose.”
Listen at 15:14
EV battery development remains at an early stage.
“I believe we're in the first lap of the 24 hours of Le Mans when you look at battery development.”
Listen at 16:03
Future battery technology will make EVs more attractive.
“what is coming that will only make the EVs more attractive.”
Listen at 16:11
GM’s digital sales and services business is material and will grow.
“I believe it's material now and will continue to grow.”
Listen at 17:05
General Motors is selling all vehicles it can produce.
“we're selling everything we can make.”
Listen at 18:45
GM’s future production capacity will remove constraints and enable growth.
“that will uncap us and give us room to grow.”
Listen at 19:15
GM sold over 700,000 vehicles priced below $30,000 last year.
“last year we sold over 700,000 vehicles that had an MSRP, Manufacturing Suggested Retail Price, of under $30,000.”
Listen at 19:50
General Motors and its stock price are undervalued.
“We believe the company and the stock share price today is undervalued.”
Listen at 21:36
General Motors’ organizational strength is supply-chain agility.
“our superpower is agility.”
Listen at 22:15
GM is progressing toward hands-off, eyes-off personal autonomy by 2028.
“They're making so much progress on our goal to have eyes off, hands off in the 28 time frame.”
Listen at 24:02
Demand for GM Defense infantry squad vehicles exceeds 10,000 units.
“there's demand for over 10,000 of those vehicles as we move forward.”
Listen at 24:43
General Motors can compete with Chinese automakers on a level playing field.
“I'm confident that we can compete on a level playing field.”
Listen at 25:49
GM’s sale of Opel benefited Opel, General Motors, and PSA.
“it was a win, win, win, a win for the Opel team, a win for General Motors and a win for PSA”
Listen at 26:31
Cadillac Lyriq and Vistiq won German luxury SUV-of-the-year awards.
“The Cadillac Lyric and the Cadillac Vistik, which are two-row and three-row luxury SUVs, won German luxury car SUV of the year”
Listen at 28:09
Cadillac has regained strength as a brand.
“it's back.”
Listen at 28:40
Natural gas will provide near-term electric-grid expansion.
“For the foreseeable future, natural gas is how we'll be boosting the electric grid.”
Listen at 31:11
Argon is well positioned for power-generation demand.
“I like Oregon's position here.”
Listen at 31:21
Substantial new power infrastructure will be built.
“I think substantial new power infrastructure will get built.”
Listen at 35:15
The power-infrastructure construction trend is unlikely to stop.
“This train is just too powerful to stop.”
Listen at 35:17
Investors should hold Argon stock for the long term.
“I like Argon's business enough to endorse holding the stock for the long haul.”
Listen at 35:59
New Argon investors should buy gradually and add if the stock weakens.
“For someone starting fresh, I buy some gradually and leave room to add on weakness”
Listen at 36:18
Argon will not be a great stock unless its valuation becomes cheaper.
“it won't be a great stock unless it becomes more affordable.”
Listen at 36:29
Nokia is a core component of data-center growth.
“I think that they're actually a core component in the growth of the data center.”
Listen at 37:23
Applied Aerospace stock is attractive.
“I like the stock.”
Listen at 37:53
Investors should continue holding Applied Aerospace stock.
“I would stick with the stock.”
Listen at 37:58
BlackBerry stock is highly attractive.
“I like BlackBerry very much.”
Listen at 38:14
Investors should not abandon BlackBerry stock.
“I would not abandon that one.”
Listen at 38:19
Food stocks are unattractive investments.
“I am not crazy about the food stocks.”
Listen at 38:40
Investors should avoid buying Mondelez stock.
“let's not go there.”
Listen at 39:04
Construction-engineering stocks are oversold.
“I think they're being oversold.”
Listen at 39:25
AMRC stock is not recommended.
“I'm not going to recommend that stock.”
Listen at 39:34
Ambarella lacks sufficiently attractive fundamentals and valuation.
“I don't feel that way about Ambarella.”
Listen at 40:06
Enterprise hardware stocks significantly outperformed enterprise software stocks.
“So the enterprise hardware stocks started to seriously outperform the enterprise software stocks.”
Listen at 41:31
Since late June, software stocks rose 23% while semiconductor stocks fell 10%.
“Since the end of June, we've seen a furious rally in software with the IGV, that's the software index, up 23 percent, while the SMH, the semiconductor index, is now down 10 percent.”
Listen at 42:33
Software has regained market leadership over hardware.
“Software is once again king while hardware is reverted to pawn.”
Listen at 43:11
It is too early to identify bottoms in SanDisk and Seagate.
“Until then, it's too difficult to call the bottom in the sand disk in the C-gauge”
Listen at 43:17
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.