Mad Money w/ Jim Cramer, December 13, 2025

Podcast Summary
Host: Jim Cramer (CNBC)
Episode Theme: Navigating market volatility amid a tech shakeout, sector rotation, major earnings, and insights from special guests— all delivered with Cramer’s signature energy and market wisdom.

Episode Overview

This episode tackles a turbulent market week, focusing on a pronounced sell-off in major AI and data center stocks, the ensuing rotation into “plain vanilla” sectors, and key strategies for listeners trying to make sense of it all. Cramer previews critical economic data and company earnings coming up, takes live calls on listener stock dilemmas, interviews Build-A-Bear Workshop’s turnaround CEO, breaks down Restoration Hardware’s (RH) results, and emphasizes—yet again—the necessity of portfolio diversification.

Major Discussion Points & Insights

1. Market Sell-Off & Sector Rotation

• Tech Rout & Rotation Dynamics (01:43–07:05)

  • Rough day for AI/data center stocks—big names like Qualcomm, Oracle, Broadcom, and Nvidia slammed.
  • “Ugly day if you own nothing but artificial intelligence companies. Normal decent day if you own anything else.” (Jim Cramer, 01:50)
  • Rotation into stable, so-called “plain vanilla” stocks—food, drugs, and staples.
  • Cramer maintains faith in AI as the Fourth Industrial Revolution, but says valuations need to come down before buying.
  • Nvidia: “Own it, don’t trade it. I’m not changing my tune.” (Jim Cramer, 02:38)
  • Warns investors the pain may persist for a few sessions as shell-shocked tech holders surrender before stabilization and rotation back.

• On Oracle’s Woes:

  • Oracle delays on data center buildout spooked investors, despite management’s denial.
  • “The fact that management could issue a point-blank denial and then it meant nothing to the stock... That’s bad news for Oracle, not the rest of the sector.” (Jim Cramer, 05:08)
  • Sees possible bargains emerging for data center hardware supply chain names (mentions Corning—“ultimate copper background”—as one to watch).

• Advice on Timing:

  • “You have to get these stocks to settle down before you go near them... The bargains could be upon us maybe by this time next week.” (Jim Cramer, 06:22)

2. Upcoming Economic Data & Earnings (The Game Plan)

• Critical upcoming events next week:
  • BLS Nonfarm Payrolls report—will drive Fed interest rate expectations (03:08).
  • NY Fed President Williams speaks day after jobs numbers—his dovish signals have swayed markets previously.
  • Retail sales: Weak numbers would justify more rate cuts, which the bulls want.
  • Jabil earnings (Wed): Manufacturer tied to data center demand; “Could be the data center turning point if we’re going to get one.” (Cramer, 07:10)
  • General Mills earnings: A litmus test for battered food stocks (07:24). “What could be better than the maker of Cheerios, Lucky Charms, and Cinnamon Toast Crunch?”
  • Darden (Olive Garden): Restaurant with minimal beef inflation exposure—a rare bright spot (08:10).
  • Nike & FedEx reports (Thu PM): Not quite time to go big into Nike; FedEx “could put up a monster set of numbers” due to e-commerce strength (08:24).
  • Friday: Carnival Cruise (discretionary spend), Conagra (at-home food trends), and Paychex (SMB payrolls) will round out the week’s multi-sector barometer.

3. Fan Calls & The Lightning Round

• Rapid-fire stock opinions, including sector rotation picks, trade strategies, and outlooks for:
  • UnitedHealth: Strong leadership, “has to be bought” (09:06).
  • Uber: No longer expensive, suggests buying in tranches (09:54).
  • RH, Home Depot, Lowe’s, Builders First Source, Starwood REITs, Bank of Santander, Caterpillar/Deere/Cummins, mid-cap index funds, nuclear stocks, T-Mobile, DuPont, pipeline operators (EPD vs ET), Cheniere Energy Partners, and more.
• Memorable Lightning Round Quote:
  “I like EPD, 6.7% yield. Growing really, really well. Understands natural gas liquids. That’s your company.” (Jim Cramer, 41:41)

Notable Interviews

Build-A-Bear Workshop CEO: Sharon Price John

(14:28–23:09)

• Remarkable Turnaround: Stock up 5,000% from COVID lows; shifted company focus from “mall retailer” to “hospitality brand.”
• Cramer: “You have exploded this company... Into the greatness of the pantheon of what people look for and think about when it comes to retail.” (15:15)
• John emphasizes ‘brand unlock’:
  “Build-A-Bear is a place; Build-A-Bear is a feeling.” (Sharon Price John, 16:39)
• Hotel, tourist locations, partnerships (e.g. Great Wolf Lodge) drove new growth.
• Personalization, nostalgia, and “cadulting” (adults reliving childhood)—key trends keeping Build-A-Bear relevant.
• On managing tariffs: Pulled forward inventory to lessen impact, then managed via price increases and cost control (21:12)
• Returned $160M to shareholders since 2021 via buybacks and dividends.
• Holiday Season: Saw record Black Friday sales.
  • “We’re in a really interesting intersection right now of personalization and creativity and cadulting and the nostalgia economy.” (Sharon Price John, 17:52)
• Cramer closes: “The stock shouldn’t have gone down the way it did. It is obviously the right place to be for Christmas.” (22:45)

RH (Restoration Hardware) Earnings Breakdown

(25:11–35:00)

• Backstory: CEO Gary Friedman’s lifestyle brand ambitions, big bets, and wild stock swings.
• Current Q Notes: Better-than-expected top line, free cash flow positive ($83M vs -$96M prior year), but margin guidance ugly and full-year forecast cut.
• Tariffs: Ongoing headwind due to Southeast Asian exposure.
• Cramer quotes CEO Friedman:
  • “Not a time to underestimate risk, also not a time to run from it.” (paraphrased, 33:51)
  • “Building an iconic global selling platform... never to be duplicated in our times.”
• Cramer’s Take: “RH is high risk, high reward—but it really comes down to how you feel about housing.”
• If Fed stays friendly and housing rebounds, RH could be "a home run"; if not, major downside.

Practical Investing Lessons

1. Diversification as Survival

• Cramer’s Mantra:
  “If you pack all of your money into just a few red hot groups, you can get blown out of the game on a day like today.” (43:53)
• Use sector diversification to survive volatile splits between tech and staples.
• “Being diversified, knowing what you own—these are the difference makers.” (46:32)

2. Timing, Rotations, and Psychology

• Wait for most sellers to clear out before buying fallen “battleships” (like Broadcom).
• Adds that it takes patience and pain tolerance to profit from sector reversals.
• Warns about emotional overreaction and “house of pain.” Many investors bail at the wrong time.

3. Stay Engaged, Stay Educated

• Touts the benefits of CNBC’s Investing Club and a community to avoid mistakes of isolated, ill-informed investors.
• Strongly advises not to panic, to “never get blown out,” and always stay in the market with a diversified portfolio so “you’re always going to get another opportunity.”

Most Memorable Quotes

• “Ugly day if you own nothing but artificial intelligence companies. Normal decent day if you own anything else.”
  — Jim Cramer (01:50)

• “Nvidia: Own it, don’t trade it. I’m not changing my tune.”
  — Jim Cramer (02:38)

• “Build-A-Bear is a place; Build-A-Bear is a feeling... Operate really well-run vertical retail. It’s a cash machine.”
  — Sharon Price John (16:39)

• “Not a time to underestimate risk, also not a time to run from it.”
  — Gary Friedman, quoted by Jim Cramer (33:51)

• “If you pack all of your money into just a few red hot groups, you can get blown out of the game on a day like today.”
  — Jim Cramer (43:53)

Key Timestamps for Quick Reference

• [01:43] – Cramer’s market open, tech rout, sector rotation
• [07:00] – Upcoming events and game plan for the week
• [14:28] – Build-A-Bear Workshop CEO Sharon Price John interview
• [25:11] – RH (Restoration Hardware) quarter breakdown
• [39:06] – Start of the Lightning Round
• [43:53] – Diversification lecture and show wrap-up

Summary Takeaways

• Survive sector shakeouts with sector diversification
• Be patient; don’t try to “catch a falling knife” in overbought sectors
• Wait for fundamentals and seller exhaustion
• Pay attention to upcoming macro data and earnings for timing cues
• Look for secular tailwinds (AI, e-commerce, innovation) but buy at reasonable prices
• Don’t panic out of long-term winners on headlines or short-term volatility
• Stay engaged, seek community, and stay focused on learning

For more actionable advice, Cramer suggests—above all else—patience, discipline, and diversification.