Jul 14, 2026 · 44 min
Zoom pitches enterprise AI as markets debate valuation
Mad Money w/ Jim Cramer 7/14/26
The episode connects stock-specific judgment with a larger question: whether AI expansion, bank earnings, and younger investors can overcome persistent market skepticism.
- 1Zoom presents enterprise AI as a broader workflow platform, not merely a video-meeting product.
- 2Cramer weighs semiconductor gains, IBM’s software shock, and major-bank results against competing valuation narratives.
- 3SoFi’s appeal rests on attracting younger savers while the lightning round tests convictions across defense, energy, and technology stocks.
Don't miss
Eric Yuan explains how Zoom is extending beyond meetings into an AI platform that supports preparation, collaboration, workflow, and follow-through.
The brief
Cramer opens with his investor-education mission, then moves through semiconductor valuations and Boston Scientific before confronting IBM’s software-driven earnings shock.
The market review widens to a crowded opening wave of major-bank results, with Cramer testing whether strong earnings can cut through recurring warnings that stocks are dangerously expensive.
A conversation with Zoom CEO Eric Yuan reframes the company as an AI-powered platform for preparation, collaboration, workflow, and follow-through rather than a meeting utility.
Yuan points to enterprise and vertical use cases, partnerships, product trust, and a buyback as Cramer argues that Zoom’s business deserves more recognition.
The lightning round spans defense, equipment, energy, and technology stocks, ending with Cramer’s broader case against repetitive bearish narratives and unhelpful market doomsaying.
What was said on this episode
52 statements · 40 positive · 9 negative · 1 mixed · 2 neutral
Cramer says the current market is not excessively frothy.
“I said, no.”
Listen at 0:59
High P/E valuations can be justified by sufficiently rapid earnings growth.
“A high P.E. multiple means a stock's expensive, unless it also has an incredibly fast growth rate to justify the valuation, in which case that could be acceptable.”
Listen at 2:03
Current inflation is lower than during the late-1999 period.
“We simply don't have the inflation we had back then, something that would inflate the value of the entire S&P 500.”
Listen at 2:51
“So that cuts to making stocks a lot more compelling now than they were then on the basis of that risk-free alternative.”
Listen at 3:07
A dot-com-style crash requires a series of substantial interest-rate hikes.
“You don't get a dot-com crash scenario without a series of tremendous rate hikes.”
Listen at 3:53
Current monetary policy has not reached dot-com-crash conditions.
“And we simply aren't there yet.”
Listen at 3:58
Stable inflation and less tightening pressure are bullish for stocks.
“I regard that as very bullish for stocks.”
Listen at 4:05
The S&P 500 trades at 20 times forward earnings.
“Right now, the S&P trades at 20 times forward earnings.”
Listen at 4:19
The S&P 500 is not expensive relative to its 2000 valuation.
“And while 20 isn't exactly cheap, it's certainly not expensive like 2000.”
Listen at 4:26
Cisco trades at 27 times earnings while its earnings growth is poised to accelerate.
“Now it's at 27 times earnings, and they are on the verge of accelerating.”
Listen at 5:00
Current stocks generally have earnings or sales unlike many dot-com-era companies.
“Is that the case now? Not at all. Not one bit.”
Listen at 5:41
Bank of America trades at 12 times next year's earnings.
“Yet Bank of America's stock sells for 12 times next year's earnings.”
Listen at 6:20
Goldman Sachs trades around 18 times earnings after its rally.
“Yet even after it's nine percent gain today, the stock sells for around 18 times earnings.”
Listen at 6:47
JPMorgan trades below the market multiple at 15 times earnings.
“What does it trade at? 15 times earnings. 15. Below the market multiple. Best bank in the world.”
Listen at 7:36
Micron trades at 13.5 times earnings.
“Micron, another red-hot commodity. Chipmaker trades at 13.5 times earnings.”
Listen at 8:22
SanDisk trades at 27 times earnings despite strong earnings growth.
“Sandisk. Stocks up 643% this year already, but only sells at 27 times earnings, even though it has stupendous earnings growth.”
Listen at 8:27
Nvidia trades at approximately 23 times next year's earnings.
“23 times next year's earnings is the one that's prevailing.”
Listen at 8:41
Dell and Nvidia earnings estimates are too low, making their valuations cheaper than expected.
“And I think those estimates are way too low. Those stocks are going to turn out to be much cheaper than we think.”
Listen at 8:50
SpaceX has substantial revenue and is expected to become highly profitable.
“But those guys have huge revenues. And I think a lot of hope. Bottom line. Well, I shouldn't use the word hope. A lot of, let's say they're going to make a lot of money one day.”
Listen at 9:03
Market froth is concentrated outside the stocks Cramer trades or owns.
“There is some froth, but the froth does not represent what we trade, what we own.”
Listen at 9:20
Boston Scientific investors should wait two quarters before acting.
“Nick, you've got to wait two quarters.”
Listen at 9:43
Anthropic’s Mythos can identify security vulnerabilities beyond prior human or model capabilities.
“Mythos, or Fable 5, as the publicly accessible version of the model is called, has the ability to identify security vulnerabilities in a way that no human or a model has ever been able to before.”
Listen at 14:52
Tech hardware shortages may persist through 2028 and push prices higher.
“Everyone knows these shortages could last until 2028, which means prices could go ever higher.”
Listen at 15:54
Cramer does not recommend buying IBM because its weakness may persist.
“I can't tell you to buy this stock in weakness because I think the weakness could very well be persistent.”
Listen at 17:28
High hardware prices reduce corporate IT spending available for IBM products.
“Corporate IT budgets are getting squeezed by sky-high prices for all the hardware that's in short supply, which means less money to spend on stuff from IBM.”
Listen at 18:30
Cramer does not recommend IBM despite its sharp price decline.
“which is why I can't recommend IBM, not even after today's severe decline.”
Listen at 18:43
Goldman Sachs reported $20.3 billion quarterly revenue, 39% year-over-year growth.
“Goldman generated $20.3 billion of revenue in the quarter, up 39% year-over-year, and more than $4 billion ahead of expectations.”
Listen at 20:55
Goldman Sachs earned $20.98 per share, nearly double the prior year and above expectations.
“Goldman earned $20.98 per share, more than six. Higher than Wall Street was looking for. Nearly double what they earned the year before.”
Listen at 21:22
Large-cap corporate M&A increased 90% through the first half of 2026.
“large cap corporate M&A up 90 percent through the first half of 2026.”
Listen at 23:34
Goldman Sachs delivered the strongest quarter among the major banks.
“The report from Goldman Sachs was indeed a cut above the rest.”
Listen at 25:26
Cramer believes the fundraising and dealmaking cycle remains in its early stages.
“I think we're still in relatively early innings of this fundraising and dealmaking cycle”
Listen at 25:39
“I think that's a great level to get involved.”
Listen at 26:47
Cramer expects Goldman Sachs’s strength to continue.
“I think the strength in Goldman can continue.”
Listen at 27:08
Zoom’s stock rose approximately 22% over the prior twelve months.
“But over the past 12 months, Zoom stock has rallied almost 22 percent.”
Listen at 27:58
Zoom trades at approximately 15 times earnings.
“But you know that even up here, it sells for just 15 times earnings.”
Listen at 28:02
Anthropic could be worth substantially more if it reaches an IPO.
“Well, it's totally valued at $1.3 billion. Could be worth a lot more as we get to a, who knows, an IPO event.”
Listen at 28:30
Zoom aims to connect workplace conversations through task completion.
“We really want to become a system of action that can connect work from a conversation to a completion.”
Listen at 30:03
Zoom differentiates through customer satisfaction and trust.
“Because when customers, when they are using Zoom, they feel very happy because our culture is to deliver happiness to our customers.”
Listen at 32:36
Zoom AI Companion paid users grew 184% year over year.
“AI companion paid users 184% year over year”
Listen at 32:44
Zoom AI Companion reached 1.5 million licensed users in four months.
“reach 1.5 million licensed users in just four months”
Listen at 32:50
Eric Yuan expects Salesforce and ServiceNow to perform very well in the future.
“I think not only they are doing okay, I think they will do very well in the future as well.”
Listen at 35:12
Cramer recommends buying Zoom at its current price.
“I think it makes a lot of sense to be able to buy right here.”
Listen at 36:00
Cramer wants to buy Kratos after its defense-sector decline.
“I think that they've been punished enough. I actually want to buy Kratos.”
Listen at 36:59
Cramer no longer supports EquipmentShare after misjudging the company.
“I can't stick with it. I just didn't see the difference between this and you or I, and I made a mistake, and I'm sorry.”
Listen at 37:30
Cramer expects Cheniere to dominate the LNG export market.
“I want to continue to back them because I think we're going to own the LNG export market because we have the most of any country in the world.”
Listen at 37:54
Cramer declines to endorse PICO after its substantial rally due to uncertainty.
“I don't know what it owns. And so, therefore, I'm afraid after this tremendous run that I'll be coming in late to the party.”
Listen at 38:31
Cramer cannot recommend Pool because housing transactions are at a 40-year low.
“Pool needs more transactions in the housing business, and transactions are at a 40-year low, so I cannot recommend Pool.”
Listen at 38:57
Cramer prefers Dell or HPE over Super Micro Computer.
“I prefer either Dell or even HPE to those guys.”
Listen at 39:26
The semiconductor index may be restarting after its recent decline.
“The semiconductor index was up almost 3% today. Maybe that's the restart.”
Listen at 41:20
Falling CPI means interest rates will not rise.
“Believe me, if the CPI is going down, rates aren't going up.”
Listen at 42:02
Investors who like their companies should buy more amid negative coverage.
“Do you like the companies you own? Then get ready to buy more into this heavily crafted negativity.”
Listen at 43:25
Index-fund investors should buy more despite negative headlines.
“Are you in an index fund? Get ready to buy more.”
Listen at 43:30
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.
Weekly email
State of the Pod, every Monday
The week's most-discussed names and stories from podcasts, with the moments behind them. Free, five minutes, unsubscribe in one click.