Mad Money w/ Jim Cramer — October 13, 2025

Host: Jim Cramer (CNBC)
Episode Theme: Market Reversals, Speculation in Tech & Energy, Caution on Speculative Stocks, CEO Interviews

Episode Overview

Jim Cramer guides listeners through an extraordinary trading day marked by a sharp rebound in the stock market following political volatility. He breaks down speculative surges, significant deals in AI and data centers, and offers caution (plus actionable advice) about chasing risky outperformers. The episode features major interviews with Broadcom's Hock Tan, Levi Strauss’s Michelle Gass, and Rubrik's Bipul Sinha — each providing insider takes on AI, consumer trends, and cybersecurity. Cramer's signature Lightning Round and closing commentary focus on the tension between speculation and disciplined investing.

Key Discussion Points & Insights

1. Market "Do Over" and the Speculation Surge

• Market Context: A wild market reversal; after Friday’s panic over the U.S. threatening 100% tariffs on Chinese goods, rhetoric softened, and stocks rebounded dramatically on Monday ([01:39]).

  • Stats: Dow +588; S&P +1.56%; Nasdaq +2.21%.
  • Cramer’s Take: The rally left safer “tried-and-true” stocks underperforming, while speculative names soared.
  • Quote:

    “Today we got a do over... It almost never happens.” — Jim Cramer ([01:39])

• Tariff Threat & Rare Earth Minerals: China’s export data suggests it’s adapting without U.S. demand, further complicating the rare earth supply issue vital for technology manufacturing.

  • Implications: U.S. redoubles efforts to source domestic critical minerals.

2. Data Center & AI Boom, Big Tech Partnerships

• Broadcom-OpenAI Deal:

  • Third large AI chip/design deal for OpenAI (previous with Nvidia, AMD).
  • Broadcom leverages both its hardware and underrecognized software chops.
  • Quote: Cramer:

    “OpenAI is going to design chips made by Broadcom for the equivalent of 18 Hoover dams worth of electricity.” ([03:38])

• AI Skepticism vs. Real Demand:

  • Cramer confronts critics who see AI as a bubble, insisting on genuine end-user demand (ChatGPT, hyperscalers competing for computing power).

3. Winners and Warning Flags: Speculation vs. Fundamentals

• Biggest Winners:

  • Highly speculative: Bloom Energy (fuel cells), Oclo (nuclear), Rigetti/D-Wave (quantum computing), New Scale Power, MP Materials (rare earths).
  • Key Driver: Massive investments (e.g., $5B from Brookfield into Bloom), JP Morgan’s $1.5T push into cybersecurity, quantum, critical minerals.
  • Stocks with year’s worth of returns in a day; shorts squeezed.

• Cramer’s Warning:

  • Celebration of speculation is precarious.
  • He prefers rallies led by profitable, earning-backed stocks.
  • Quote:

    “I don’t love a day like today because the speculative stocks make for bad leadership.” ([06:35])

4. Lightning Round: Stock Calls & Advice

Notable Q&A:

• Dutch Bros (BROS):
  • “High PE, but has growth opportunity. Buy small now, add if it dips to the 40s.” ([07:48])
• Southern Company (SO):
  • "Take some profits, utility’s run is overdone." ([08:30])
• Freeport-McMoRan (FCX):
  • “I think you’re fine in the stock. The concern about Indonesia expropriating your mine seems overblown.” ([43:23])

Memorable Interviews

Broadcom CEO Hock Tan — The AI Infrastructure Arms Race

Timestamps: 11:50–23:56

• Deal Details: OpenAI deal is only for select, high-demand customers; custom silicon; focus on margin/ROI discipline.
• Power Supply Reality:
  • “There is a lot of power out there… you want it distributed… find locations on the grid for 50, 100, 200 megawatts… they’re very available now.” — Hock Tan ([13:29])
• Investment Rationale:
  • OpenAI’s private valuation >$500B, surging revenues.
  • Only select handful (about 7) of AI companies are worthy of Broadcom’s custom chips; only those with real purchase orders are prioritized.
• Outlook:
  • Generative AI is a secular (not cyclical) shift, likened to a "fourth industrial revolution."
  • Quote:

    “It is a phenomenon I’ve never seen before… not cyclical. Secular.” — Hock Tan ([22:23])

  • AI/knowledge work could grow to 40% of global GDP by 2030.

Levi Strauss CEO Michelle Gass — Reinventing the Denim Icon

Timestamps: 24:48–34:13

• Store Redesign & Strategy: Expanding beyond jeans to tops, womenswear, and “denim lifestyle”; significant growth potential.
  • “Women's is only 37%... should be 50% easily. Big upside in tops: only 22% of business.” ([25:50])
• Beyoncé Effect:
  • “Her [Beyoncé’s] song named after us… exceeded expectations… propelled the women’s business and overall brand equity.” ([27:03])
• International Growth:
  • Asia and Europe, especially strong; Japan DTC now 75% of sales, up 50% in recent years.
• Direct-to-Consumer vs. Wholesale:
  • Both models essential and complementary, not an "either/or.” Digital traction rising, aiming for $10B+ annual revenue.
• Price Strategy Amid Tariffs:
  • Diverse product tiers (core, elevated, value) allow flexibility; being "surgical" with price adjustments, maintaining value.
  • “We have always... stood for value: amazing quality, durability and the right price point.” ([31:08])

Rubrik CEO Bipul Sinha — Cybersecurity Realities in an AI Era

Timestamps: 34:35–40:42

• Big Picture:

  • “Cyber attacks are inevitable. Prevention and detection are not enough. Cyber resilience is required.” ([35:31])

• Attacker Tactics:

  • Credential theft (logging in, not hacking in) now the #1 threat vector.
  • AI enables attackers to know more about your business than you do.
  • Quote:

    “They are not hacking in anymore, they're logging in.” — Bipul Sinha ([36:02])

• Rubrik’s Solution:

  • Focuses on post-attack recovery: “resilience.”
  • “Our job is to give businesses the confidence that do not pay ransom. Keep your business up and running.” ([38:15])
  • New “rewind button” to undo malicious or accidental AI-based changes.

• Financials:

  • Rapid growth (+50% top line), newly free cash flow positive.
  • Emphasizes profitability and engineering-driven leadership.

Cramer's Closing Commentary: The Dangers of Speculation

Timestamps: 43:57–47:16

• Warns against the current “tsunami of speculation” reminiscent of the dot-com era.
• Fundamentals matter—investors should “ring the register” on speculative winners.
• “This is a very challenging moment for disciplined investors who are trying to invest long term.”
• “I was hoping speculation could peak… We ran into the biggest tsunami yet… led by chimerical nuclear power stocks, quantum computing stocks, and the rare… earth minerals.”
• “At the end of the day, it’s hard to believe that greed’s been repealed, and greed is the root of almost all speculation.” ([46:08])

Notable Quotes & Timestamps

• Cramer on Today’s Rally:

  "It was just another day in what I call the year of magical investing." ([06:00])

• Broadcom CEO Hock Tan:

  "The market for compute capacity is large and growing much faster than any one of us can handle." ([20:14])

• Levi's CEO Michelle Gass:

  “As we sit here today, the Levi’s brand has never been stronger. And it’s something I don’t say lightly…” ([27:13])

• Rubrik CEO Bipul Sinha:

  “You can’t prevent the unpreventable… That's why resilience is so fundamental to every business.” ([35:31])

Key Timestamps for Major Segments

• [01:39] – Main market commentary begins
• [11:50] – Broadcom / Hock Tan interview
• [24:48] – Levi Strauss / Michelle Gass interview
• [34:35] – Rubrik / Bipul Sinha interview
• [41:01] – Lightning Round (stock Q&A)
• [43:57] – Cramer's End-of-Show Market Commentary

Episode Takeaways

• Cramer’s Advice: Beware speculative rallies and don't expect them to continue indefinitely; focus on companies with strong fundamentals, profitability, and real demand.
• Tech & AI: Massive, secular investments ongoing, with high selectivity at corporate level (Broadcom, OpenAI).
• Consumer Shift: Even legacy brands (Levi’s) are successfully diversifying and adapting to changing markets, but must manage pricing/tariffs wisely.
• Security Mandate: In a world where prevention is no longer enough, companies must invest in cyber resilience (Rubrik).
• Investors: Remember the lessons of past bubbles and maintain discipline—even when speculative FOMO is strongest.

For listeners: This episode packs both timely market context and timeless investment wisdom, balanced by fascinating CEO insights into the bleeding edge of tech, retail, and cybersecurity.