Mad Money w/ Jim Cramer – October 27, 2025 Episode Summary

Overview
On this episode, Jim Cramer takes listeners on a high-energy, opinion-driven ride through the latest Wall Street developments, with a focus on the mega-cap tech companies, earning season surprises from Ford and GM, speculation on the next U.S. company to hit a $1 trillion valuation, technical market analysis, and the ever-popular Lightning Round. As always, Cramer balances market insight, education, and entertainment to serve both seasoned investors and newcomers.

Key Discussion Points & Insights

I. The "Magnificent Seven" and Market Direction
Timestamps: [01:08]–[09:01]

• Cramer begins with the significance of mega-cap tech stocks (Alphabet, Microsoft, Meta, Amazon, Apple, Tesla, Nvidia), which constitute about 35% of the S&P 500’s value.
  • “When you have stocks with market capitalizations that are larger than some countries’ GDPs, you can't ignore—you have to handicap them.” [01:17]
• The market’s near-term fate will be dictated by these companies’ earnings. Cramer warns against trading on headlines alone:
  • “If you trade off the headlines on any one of these, you are a first-class moron and I question your critical faculties.” [02:16]
• Breakdown of expectations and wish lists for each:
  • Alphabet: Focused on Google Cloud growth, new energy initiatives, and quantum computing mentions. YouTube’s ad model remains strong. Surprise at Google Search thriving alongside Gemini.
    • “Google has so much more business than they can handle, they gotta do it. I call that a high-quality problem.” [03:22]
  • Meta: Eye on user growth metrics (family daily active people), average revenue per person. Hopes Zuckerberg touts AI competitive advantage and real gains from Meta Glasses.
    • “We’re looking for $14 for average revenue per person... We need upbeat, stern Zuckerberg.” [04:04]
  • Microsoft: Azure's growth is key. Need to see 37.5–40% YoY constant currency growth to hit new highs.
    • “If Azure grows at 40%, this $531 chain stock will take out its all-time high of $555.” [04:52]
  • Amazon: “All AWS all the time”—the web service unit’s growth rate and positive outlook are crucial. Hopes for tighter collaboration with Nvidia, new chip development, and reassurance after outages.
    • “My wish list: I want to hear that Amazon is working with Nvidia to develop new chips...” [05:41]
  • Apple: Momentum hinges on iPhone 17 reception, service revenue acceleration, and, ideally, news of becoming a default AI system for hyperscalers.
    • “If they say it’s terrific in each major country, that’s a home run... The secret to $300 is many of the hyperscalers want to pay Apple to become their default AI system.” [06:36]
• Bottom Line: Wall Street’s focus on “ridiculous” metrics can be frustrating, but Cramer stresses knowing the rules.
  • “Wall Streeters are by nature Lilliputians with teeny tiny minds who are fickle and pick ridiculous metrics to determine the direction of these trillion-dollar monsters.” [07:57]

II. Lightning Round – Quickfire Stock Opinions
Timestamps: [09:01]–[12:01] and [39:46]–[43:48]

• Arista Networks (ANET): “Don’t touch Arista. That one’s a beast. That’s going higher. $200 billion. Jayshree Ullal... what an amazing CEO.” [09:25]
• Kava Group (KAVA): “Put Kava in the magic circle... I think it’s going to be them, maybe the next Chipotle from before the decline.” [09:54]
• TKO (UFC/WWE parent): “You can own that stock. That’s a very, very good company.” [10:40]
• Rivian (RIVN): “Sell, sell, sell, sell, sell, sell. I want you to continue your steak dinners—I don’t want you to chop sirloin.” [31:14]
• Applied Digital (APLD): “This thing’s hot as a pistol... I’m going to bless it.” [40:05]
• Super Micro (SMCI): “Sell that stock and buy the stock of Dell right here tomorrow morning.” [41:42]
• Tara Wolf (WULF): “If you want Bitcoin, buy Bitcoin... sell to Terawolf.” [42:12]
• Netskope (NTF): “There’s Crowdstrike and Palo Alto, and then there’s everyone else. We’re going with Crowdstrike and Palo Alto.” [42:43]
• Others: Kindle Holdings (KD), ThreadUp (TDUP), Palantir (PLTR) (whose price target Cramer contemplates raising during the show).

III. Race to the Next U.S. Trillion-Dollar Company
Timestamps: [14:21]–[21:23]

• With 10 U.S. “trillionaires” already (including Apple, Nvidia, Microsoft, Alphabet, Amazon, Meta, Broadcom, TSMC, Tesla, Berkshire Hathaway), Cramer analyzes which company will reach $1 trillion next:
  • MasterCard [50:1 odds, $517B cap] and Visa [40:1, ~$700B cap]: “Slow and steady, just winners. If they keep it up, Visa should be a trillionaire within three years.”
  • Eli Lilly [15:1, $780B cap]: “Needs a catalyst... perhaps an FDA approval for a new indication. Until then, odds at 15 to 1.”
  • Walmart [10:1, $833B]: “Stock’s not cheap, but they’ve made major improvements.”
  • Oracle [4:1, $800B+]: “If based on momentum alone, Oracle’s the favorite—cloud deals are driving massive gains. Risk is huge OpenAI exposure.”
  • JP Morgan Chase [3:1, $832B]: “Favorite in this race. Fortress balance sheet, Jamie Dimon at the helm. If we get a little multiple expansion, JP Morgan wins this race in a heartbeat.”
• Wildcards: OpenAI (private, $500B+ rumored), HCA. “Bottom line: The next trillionaire will likely be one of the six closest: JP Morgan, Oracle, Walmart, Eli Lilly, Visa, MasterCard. And I’m putting them in that order.” [20:59]

IV. Automaker Earnings: Ford & GM Surprise
Timestamps: [23:16]–[30:25]

• General Motors: Stock up 15% in a day after a big top/bottom-line beat, revised earnings guidance up, and strength in trucks, SUVs, and software.
  • “GM... shocked Wall Street with a huge top and bottom line beat. Revenues came in at $48.6 billion—analysts looking for 45...” [23:41]
• Both GM and Ford benefited from less-than-feared tariff hits, strong U.S. demand, record crossovers/SUVs, and a pivot away from aggressive EV expansion.
• Ford: Overcame production worries after Novelis fire, delivered record quarterly revenues, and the traditional truck/SUV business “crushed the estimates.”
  • “The Bronco… had another record quarter... Expedition had its best third quarter performance in two decades.” [25:44]
• Both stocks considered cheap, with Cramer predicting further upside if the Fed continues to ease rates.

V. Market Technicals and Breadth with Jessica Inskip
Timestamps: [33:45]–[39:46]

• Jessica Inskip (Fidelity, Market Maker Podcast) shares technical analysis: S&P 500 is in a long-term bull market, with upward-sloping moving averages as support.
  • “Right now, the S&P has been in a long-term secular bull market and it is intact.” [34:06]
• Bollinger Bands and RSI readings favor more upside unless key breaches occur.
• S&P Equal Weight Index showing breadth—bull market not just concentrated in mega caps.
• Health Care sector (XLV ETF) turnaround could further strengthen bull case. Technical breakouts and MACD crossovers indicate upside potential.
  • “Health care’s headed in the right direction... If the sector can clear this hurdle, she expects it to soar.” [38:29]

VI. Caution Amidst Market Froth: AI & Semiconductor Stocks
Timestamps: [43:49]–[48:09]

• Palantir’s relentless rally: “The super intelligence AI defense company... tempted to raise my $200 price target to $250.” [43:54]
• Qualcomm’s surge on new AI chip news, reminiscent of “dot-com era” froth:
  • “Action in Qualcomm today reminds me of the action of Qualcomm in 1999, when that stock advanced 2,600%... I do not like the parallel.”
• Warns of “hot money” rotating between chips and AI names on press releases.
  • “We’re advancing past the bold to the ridiculous with this Qualcomm move. Just like 1999...” [46:40]
• Advocates for cautious optimism: “We need to throw water on the fire of froth, not gasoline... I don't want to be caught up in 1999 again, but I can't be oblivious.” [47:36]

Notable Quotes & Memorable Moments

• Jim Cramer: “If you trade off the headlines on any one of these, you are a first-class moron and I question your critical faculties.” [02:16]
• Jim Cramer on Wall Street’s metric obsession: “Wall Streeters are by nature Lilliputians with teeny tiny minds.” [07:57]
• On automakers: “Ford and GM are doing much, much better than we thought. As long as the Fed keeps cutting rates, these stocks continue to run.” [29:42]
• Jessica Inskip (attribution through Cramer): “As long as the S&P remains above its 13-week moving average, the index remains in a bullish trading cycle.” [34:15]
• On market froth: “We’re advancing past the bold to the ridiculous with this Qualcomm move... I question the judgment of the buyers and the entire market.” [46:40]

Timestamps for Key Segments

• Magnificent Seven analysis – [01:08]–[09:01]
• Next trillion-dollar company – [14:21]–[21:23]
• Automaker earnings (Ford & GM) – [23:16]–[30:25]
• Technical analysis w/ Jessica Inskip – [33:45]–[39:46]
• Lightning Round – [09:01]–[12:01] and [39:46]–[43:48]
• AI/Semiconductor froth warnings – [43:49]–[48:09]

Overall Takeaways

• This week's mega-cap tech earnings will set the tone for markets.
• The next "trillionaire" may well be JP Morgan, with Oracle and Walmart in close contention.
• Ford and GM defied market skepticism with strong legacy vehicle sales and margin resilience.
• Technical indicators point toward continued bull market breadth.
• Cramer is bullish yet vigilant, warning of excessive speculation—especially in AI and chip sectors.

For actionable advice, market color, and Cramer’s signature candor, this episode delivers a robust toolkit for investors navigating Q4 2025 and beyond.