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Jim Cramer
to make you money. I'm here to level the playing field for all investors. There's always a bull market somewhere and I promise to help you find it. Man, Money starts now. Hey, I'm Kramer. Welcome to Mad Money. Welcome to Cramerica. Other people make friends. I'm just trying to make a little bit of money. My job is not just entertain, but to educate. So call me at 1-800-743- CNBC. Tweet me at Shum Kramer. Sometimes just have to hold your nose and buy. It's a tough thing. Often you get the timing wrong, meaning you'll me lose money as your stocks keep falling. But when the averages come down too far too fast, history says you need to be a buyer because when the market gets oversold, it will inevitably bounce. You know what? I think that's what happened today. The average spent most of the session down down big before rebounding hard in the afternoon as the price of oil pulled back from its highs that they only finished down 204 points. SB declined just 0.27%. Nasdaq shed 0.28%. What a comeback based on a decline in the price of oil at the end of the day. But I think the oversold nature of the stock market had much more to do with it. The session started out really bad because we got another big rally in the price of oil. This spike, which was felt far more in Europe than the United States, happened because of a volley of attacks on oil fields. First, Israel bombing the giant South Pars gas field, Iran's biggest gas field, and then Iran hitting Qatar's biggest LNG facility, causing some serious damage. Unlike the US which is overflowing with natural gas, the rest of the world doesn't have enough to go around Qatar is the world's biggest exporter. So the price of that gas jumped globally, taking the world economy one step closer to a recession, even if it didn't impact our price. We're now headed toward our fourth down week in a row, even as most of our companies are doing quite well and interest rates, they've been tame. The president did say on Truth Social that no more attacks will be made by Israel on, quote, this extremely important and valuable South Parce field, end quote, unquote, Unless Iran attacks Qatar first, which in that case the whole South Pars field would be wiped out, Trump claimed. Now, is that an olive branch or just some random musings that kind of don't mean, honestly, it doesn't matter because at today's lows, we reach that hold your nose and moment where the market got so oversold, so negative that it really doesn't matter what happens. That's right, things turn around. How can I be so sure that today's afternoon rebound can continue? I can't. But all I have is history. I like history, though, because it holds up and I got sentiment well, at least as well as it can be measured. So let me make this tangible to you. Let's go. A checklist of what I like to look at. First of all, I like to look at the American association of Individual Investors poll. That poll right now is showing a shocking amount of bearishness. Right now the bulls are at 30.4%. Just so few bulls. Neutral 17.6%. And a phenomenal 52% of the people believe that the market's going to go down maybe big. They're bearish. And that's a highly unusual skew. It means there are far more bears than bulls. That matters because when just about everyone's already bearish, there's nobody left to sell. When you see this kind of ratio, it means that bears are more likely to convert the bulls on any positive news and they're going to put their money to work in stocks. And it's just unsustainable to have this many bears right now. No mind me, I don't have a reason justify that buying. Right. Maybe President Trump sticks by his word, but it somehow opens the Straits of Hormuz, destroying Iranian leverage. Maybe Iran says uncle, though I can't imagine that. Maybe a new source of oil comes to the market with a pipeline that we know about that's bigger than we thought. Maybe we just let the hostilities cool off a little bit. Second, CNN's got this index. I don't look at it that much, except for when it's extreme. Called the Fear and Greed Index. It's a total market sentiment tool. There are five elements of the semicircle. Extreme fear, fear, neutral greed, and extreme greed. Right now we're solidly in the extreme fear sector. Again, like the bulbert ratio, it's unlikely the panickers are going to be right. Historically, that would be highly unusual. They know nothing. Third, there's the trustee oscillator. That puts. It's put out by this organization called Marketedge. I swear by it. It measures overbought and oversold pressure on the s and P500. Now, I've been studying this oscillator since 1987. It comes out every day right when the market closes. And it's rarely steered me wrong. If you buy into an extremely oversold market like the one we have right now, you tend over the next 30 days to begin to make out like a bandit. The notion behind the oscillator is that there's a level of equilibrium between plus three and minus three where you're kind of in this thing. It's no man's land. The oscillator means nothing between those guideposts. Buy or sell. When it reaches minus 5 or plus 5, you begin to get some historical impact. Plus 5 signals that the market's overbought, which quite simply means that things are too bullish. Sell, sell, sell. There are. They're so positive that if there's any negative news, the average could have a severe setback. Same with the minus five gauge. If we get a flash of something positive in an oversold market, the bears are going to have to scramble, which rapidly moves up prices. At last night's close, the oscillator was at minus 7.5. And that's extremely oversold. At these levels, the odds now favor the bulls, which is one reason why I think we rebounded in the afternoon. No, it doesn't mean that the average definitely will fly higher. But it's very rare for the market to get this oversold. The last time we dropped more than yesterday was shortly after Liberation Day. The that was last year, April, when the oscillator clocked an incredible minus 10.62. Thirty days later, the S&P was up 13.6%. There hasn't been another minus 10 reading since then. They're very rare events. A study of the oscillator's history shows that an oversold reading this extreme almost always produces large gains. Out 30 days, the oscillators only led me astray. A Handful of times in the last 38 years. Mostly there were situations where we had genuine systemic risk. Think the miserable week before the crash of 87 or the weeks on end at the onset of the financial crisis. Then it was wrong. Those are the exceptions, though. As a rule, you have to buy something when the oscillator gets this oversold. You do. And that's why we did some buying for the Travel Trust that members of the CNBC investing club. No, we send out a bulletin that said we were buying two stocks, that we've held off that kind of commitment for a long time. But today, because of that oscillator, we pulled the trigger out of respect for the oversold condition. Now, I want to be very clear. I'm not saying that oil is peaking here, although I was surprised by the weakness in West Texas intermediate crude today. I hope you were. I'm not saying the war with Iran's winding down. No, Too many variables, including a president who only says the war is over and maybe they'll send in ground troops. I am saying that on any good news of any proportion, perhaps after retest here, there could be a snapback rally of some proportion. Here's the bottom line. History says that we get this oversold, there will be a meaningful rally, something lasting. I'm going with history. It's too stark, too accurate to do otherwise. James in California. James.
Caller
Hello, Jim, it's James calling from Indian Wells, California.
Jim Cramer
All right, what's going on? James, good to hear from you again. It's been a while.
Caller
Yeah. Love your book. Gave it to both my grandsons, Jackson and Hunter, for Christmas. And they're reading it, too, so that's great. Okay, thank you for that. Okay, my stock has been going down, down about 30% on this company that just had a great quarter, great buyback. What's going on? What's the catalyst for Reddit?
Jim Cramer
Oh, man, I got to tell you something. I've watched this Reddit. I mentioned it in how to Make Money, Any market. I never thought it would get down this low. I think it's an incredibly valuable property. It charges too little for advertising. It's got a great group of people who are very, very activ. Constantly checking the site. I'm sticking my red. As a matter of fact, I'd like to buy some stock right here at 27 times earnings. All right, look, when we get this oversold, history says we are in store for a meaningful rally. I think I gotta go to history. I'm sticking with history. Five below blew the doors off this latest quarter. So is this turnaround story just getting started? I'm running through the numbers to find out. Then here's one that you got to think about. Shares of JJ barely reacted yesterday. The FDA's approval of its oral treatment for a gigantic indication plaque psoriasis. So what is I'm getting to the bottom of this fantastic story, and Signet is shining bright today. Otherwise ugly tape. And I'm learning more about the company's earnings results from the CEO. So stay with Kramer.
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Dr. Guy Winch
their mental health at some of the highest rates we've ever seen, but most aren't getting the support they need, and that needs to change. I'm Dr. Guy Winch, your host for season three of the Visibility Gap, presented by Cigna Healthcare. This season we're focusing on men's mental health, bringing together real stories and expert insight to explore the pressures men face every day and why opening up can feel so difficult. Join us for the new season wherever you stream your podcasts.
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Jim Cramer
Last night we got an incredible set of numbers from 5 below. The discount retailers made a monster move over the past 12 months and the stock shot up more than 10% today. You just can't keep a good stock down, can you? This spectacular quarter almost came out of nowhere. Frankly, five Below falls into the same category as the dollar store, except with a higher price point five times the dollar stores. And this whole group has rallied like crazy since the post Liberation Day lows last April. Initially everyone thought these companies would be crushed by the tariffs because they rely heavily on cheap imports. But then most of these tariffs got rolled back, allowing the dollar stores to rebound. Lately though, the dollar stores have pulled back hard. Dollar General's down nearly 15% since it reported last Thursday morning the House of Pain. Dollar Tree had already started coming off its highs in it reported Monday the stock rallied 6.4% but since then it's given back all of its post quarter gains. Both Dollar General and Dollar Tree reported solid results, but it was somewhat disappointing guidance so going to Last night there was some concern, real concern that Five Below might blow up. Instead Five Below shot the lights out how they do it okay, keep in mind that Five Below has been roaring in large part because the company's under new management. When the old CEO stepped down in July of 24, he was not doing that good a job frankly. The company is having an identity crisis, making a push to sell product that costs more than $5 while pursuing an aggressive growth plan. After a period with an interim CEO, Five Below brought in Winnie park from Forever 21 of all places because that wasn't doing that well to take the reins in December of 2024. And park is a miracle worker. She transformed the company, reshuffled management, expanded Five Below's target demographic to include younger children. At the same time she's embraced social media and made it a top priority to quickly capitalize on new trends, which is the way it started out. That was the roots of Five Below Now. This was part of a huge strategy shift though. Before park took over, Five Below used to stick its higher priced items in a dedicated space to back the store. Now they're integrated into the rest of the stores, sorted by category just like everything else. And hey, when you put all the toys in the toy aisle, well guess what, you sell more toys. Especially the expensive toys. Now these moves have paid off as the stock caught fire last year. It is still on fire now Five Below reported last night. Expectations were high and they still managed to beat the stuff inside. The estimates Wall street was looking for 14.5% same store sales growth. Not bad. They delivered 15.4%. Net sales came in higher than expected, up more than 24% year over year. Five of those gross margin was only down 20 basis points from last year despite the tariffs. That's well ahead of expectations put all together and the company earned $4.31 per share. The analysts were only looking for four bucks. But the big difference between Five Below and the dollar stores was the guidance. The dollar stores disappointed with their forecast. Five Below on the other hand gave us a terrific outlook. I was worried after they were the other guys were guiding down that maybe the lower end consumer is not spending. I'm not sure. I think they're spending 5 below for the first quarter 5 below said it can do 14 to 16%. Same for sales growth. Street was only expecting 6% their debt sales guidance. Sales guidance was better than expected and on the bottom line Five Below said that they can earn $1.50 to $1.69. I thought this was the typo. The street thinks they were only looking for 97 cents. That's remarkable. As for their full year forecast, Five Below is talking about 3 to 5% same store sales growth which is better than the 2.7% number that Wall street anticipated. And their full year Earnings forecast was $7.74 to 8.25per share. The street was only looking for 711 on the conference call last night. It was a joyous call. By the way, Winnie park kicked things off by taking a well deserved victory lap saying quote we made a fundamental shift in how we operate, how we engage with our customers and how we strategize and deliver growth of the business and the brand. End quote. Then she went on to say our maniacal focus on our target customer has pushed us to be more agile in delivering newness and great value at great value and importantly communicating with our customers in the social media channels they live in. I can tell you that their social media was nonexistent for winning park, now part of the wonderful tale of broad based growth saying the five Below quote saw strength across all our merchandising worlds and we grew in all 170 districts, all vintages of stores and of course all income cohorts. End quote. The company had both traffic and ticket growth which she attributed to quote, improved marketing, amazing new product packed with compelling value, better in store execution and positive customer response to our simplified pricing strategy. Amen. Overall she said that the company won by executing its strategy which focuses on three pillars. A maniacal focus on target customer covered delivering a connected customer journey from social to in store and collaborating cross functionality to enhance execution throughout the year. End quote. Why don't we do this one at a time for the target customer which part defined as gen Alpha Gen Z and you can't Forget the millennial moms, right? Five Below made sure that its product marketing and store experience resonated with the customers that want it's retail, one on one people. But they weren't doing a very good job of it before park took over. How about this connected customer journey thing? Basically Five Below doubled down on social media marketing. That's where the kids are. That was so smart. Direct appeal to children. She mentions amplifying viral moments like the current squishy dumpling craze. Canaly I was not aware of the squishy dumpling craze, but that's why Park's running this business and I'm not running it. I'm not the CEO. 5 below from after 5 below hears from the customers on social media, they follow up with targeted content, direct communications. They're clearly doing digital marketing very well. Others are going to have to copy them filing park said the company is quote changing how we work, end quote, by aligning merchandising, marketing, supply chain, it and store teams around six key items times of the year. That's what you really need to do if you're doing this. Seasonal retail spring break, Easter, summer, back to school, Halloween and the winter holidays. Those are your biggest shopping moments when you're a kid. Apparently it's working because they're moving a ton of merchandise. They were not doing that before. Put it all together. You can see why Five Below pulled away from the dollar stores this quarter. The company has delivered several incredibly strong quarters in a row at this point. And though it's through its guidance, it's indicating that it should keep going higher. I know it seems odd, but I think it will. The bottom line. At the end of the day, this turnaround is all about management. Under the leadership of Winnie park, five Will has become a company that knows its target customer and is serving that customer incredibly well. Stock has already more than tripled over the last 12 months. And even if today's magnificent move, you know what? I think it's got more room to run back.
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Coming up, Cramer thinks a piece of great news was lost in yesterday's market turmoil. He's breaking down the critical development for Johnson and Johnson next.
Jim Cramer
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Jim Cramer
Yesterday we got some terrific news from Johnson and Johnson, but because the tip is so ugly, the stock did nothing actually finished the session down 0.35%. Always a brutal session. Oil going higher thanks to the war, as well as a scorching hot producer price index number and a fairly hawkish press conference from outgoing Fed chief Jay Powell. Still, none of that has anything to do with the price to earnings multiple J and J. Sometimes a terrible, horrible, no good, very bad day for the averages creates buying opportunities for you. And I think we're getting one right now in Johnson Johnson. Why? Because yesterday morning we learned that they got FDA approval for icotide. Now that is their oral treatment for moderate to severe plaque psoriasis. Now this drug is what's known as an interleukin 23 receptor antagonist, and it's the first one of these that comes in a form of a pill. And that's what you need to know. It's a pill. Right Now, Abbey and Johnson Johnson both have injectable drugs in the same category, but nobody wants to use a needle if they can use a pill. Instead, Abbie's plaque psoriasis drugs, skyrizi did over $17.5 billion in sales this year. Now JJ has a pill version that I think could conceivably eat that drug a lot. We're talking about an enormous total addressable market here and yet the stock actually went lower in response. It's silly, of course. J and J has been a phenomenal performer of, you know, I talk about this one and we look at that. Wow. Okay. After bottoming at 140 earlier last year, the stock soared to $251 at its highs earlier this month. Then it pulled back to $237 and change. As of today, that's still up about 69% from last year's lows. That's better than the one we own for the Chapel Trust. We've been trying on this one. I think that right now it's just trying to catch its breath. But it is such a winner. Well, anyway, you can see where I like it now. I've been pushing J and J hard since last September. That's when the Stock was at 178.50. Their medical device business, excellent. Their pharma business had to be proven. It's surprisingly resilient in the face of major patent laws for top selling drug and the President's reform for drugs. Most of all though, I like the new drug pipeline especially for autoimmune conditions and oncological just as important JJ mainly the main legal headwind, the one that everyone was really so angry about, is the saga of endless lawsuits from plaintiffs who accused the company of causing cancer with its baby powder. And it's finally fading away. After years of trying and failing to settle all these cases at once, management pivoted to fighting them individually. What a great strategy for them. JJ still takes the occasional loss in court, but the stocks don't hang on each and every verdict. They win an awful lot on appeal too. Since I started recommending aggressively last September, the stocks only gotten better. In mid October, JJ announced plans to spin off its orthodox orthopedic orthopedics business. A little slower growing Dupuy census and that's to be a standalone company. A lot people don't like it. This is exactly the kind of corporate breakup that we love because it can unlock value. Just like when JJ spun off its over the counter business. As can view a few years ago, the orthopedics business is a solid asset but it's got much slower growth than pharma or their cardiovascular device business. I think people will be willing to pay more for the remaining company after the breakup. Meaning the price journey's bulb should expand. The dupuise that this spin off should be completed within the next year and a half will be following pretty closely. But the big new development here is what happened yesterday. The FDA granting this approval to iCrime. Now according to JJ's press release, psoriasis affects more than 8 million Americans impacting their physical comfort and quality of life. Especially when lesions are on visible or sensitive areas. You call it just dry skin. Your doctor may call it the heartbreak of psoriasis. And with the moderate to severe plaque psoriasis, it's especially brutal. This is the kind that you can't treat with skin cream. Instead you need to get a shot either JJ's Trimfire, which is a very good seller or Abbvie Skyrizi which together they did over $22 billion in sales this year. The sales are huge because these injections are incredibly expensive costing the neighborhood of $100,000 per year. There are some oral treatments on the market for plaque psoriasis. Bristol Myers has one. But they're from a different class of drugs that are way less effective than those two injections. JJ studied icotide, the plaque psoriasis pill against the treatment from Bristol Myers and delivered superior skin clearance with a similar safety profile. And this is why I and many others expect that I go Tide could quickly carve out a ton of market share in the plaque psoriasis space. We don't yet know how it will compare to Trim Fire and Skyrizi, the two injections on costs. Yesterday JJ only said that they'll offer financial support to patients who prescribe the drug. But even if it comes at a similar price, around $100,000 per year, I think it's going to be successful because people prefer a pill to an injection. Now look, they're also studying this ICO Tide for additional indications. Psoriatic arthritis, ulcerative colitis, Crohn's disease. Including all those indications, management thinks their new drug can ultimately do 5 billion in peak sales. I think I think that's a very low ball number. Some of Wall street even more bullish on more Citi is Citi thinks 5.5 billion. Jeffrey says it could do 7.5 billion in peak sales. I like that more. I think it's very reasonable. Remember Abby Skyrizi the top dog that I've mentioned in this business is a $17.5 billion drug. Overall I think the approval of icotide is a huge pause for jj. Even it wasn't exactly reflected the stock yesterday again this is what happens that oil morasses just blinding people like I said at the top of the show now some it's also because the FDA's decision didn't take everybody by surprise. Still there was one major tell about the significance of I could tight approval. If you look if you knew where to look it's this. It's Abbvie. Their shares plunged 5.2% yesterday because their best selling drug is about to encounter some brutal competition. Today Abbie got hit again while JJ managed to rebound slightly in the last two sessions. Now AbbVie, here it is. Lost $24 billion worth of market capitalization approval of the JJ drug. Hey, that should take you something, right? But here's the bottom line. The market wide sell off yesterday. Ms. Very good news for JJ with their novel plaque psoriasis pill gaining FDA approval. I think you're getting a great buying opportunity here because this was genuine positive development that absolutely it did nothing for the share price because of what's happening in Iran. Long story short, JJ story keeps getting better and better and better and it's still not too late to buy the stock. Plus, this company is more or less immune to the price of oil. It's a textbook slowdown stock. I think the economy is going to get weaker. It's in a more rational market. I think stocks have been up 5% yesterday. Not kidding. And it should be. Hey, you know what? We should take calls. Let's go to Dylan in Pennsylvania. Dylan.
Caller
Hi Jim. Thank you for taking my call.
Jim Cramer
Of course.
Caller
What is the single most important metric for this company right now? Procedure growth system placements or hospital utilization. And the company is Intuitive Surgical. Thank you very much.
Jim Cramer
It's hospital. Thank you. It's hospital utilization. And what gets me down here is that the stock, the earnings are good, but the multiple is too high. And when I say that you have to go back to how to make money any market. My book spends a lot of time about the idea that, you know, what if the multiple is too high, it doesn't matter what the sales are and for the earnings, it's just not going to be able to go higher. And that's going on with Intuitive. It's just gotten too expensive for share. How about we go to Lori in Connecticut? Lori, hi.
Caller
Booyah.
Jim, hi. Thanks for taking a call.
Jim Cramer
Sure.
Caller
I'm a long term watcher of your show. Thanks for all the hard work you do to help everybody watching make money.
Jim Cramer
Thank you. Thank you very much. That's great to hear and I'm thrilled that you called. How can I help?
Caller
Okay, the stock in question is Booking Holdings. It's going to be doing a 25 to 1 split and two things. I'm wondering if that's, if that's too high anyway to bother to be, you know, buying. And if it's not, is it better to buy before or after the split? And lastly, they had acquired Priceline and I bought Priceline as an IPO and I sadly sold it a year later.
Jim Cramer
Well, what matters here is the fundamentals in the quarter last time quarter. People didn't like it. I didn't mind. By the way, the quarter is Glenn Fogel and he's going to snap right back here on a 25 to 1 for the first literally four weeks there's just a huge amount of people saying hey I got 5 shares more I can see sell or 10 shares. It causes a lot of churning. You can't buy this for four weeks after it splits 25 to 1. And I've looked at these before and that's typically the way you have to go. But I do like the stock. The approval of icotide is another example of how JJ is firing on all cylinders and I don't think it's too late to buy the stock even if it's had a very big move. Now on mailbinding tonight I got my sit down with Signet. The jewelry retailer beat expectations with Holley. So is this name proving to be haha a diamond in the rough? I'm finding out from the company stockbrands and buying a stock when it's in free fall isn't an easy thing to do and I'm revealing my methods. Make sure you can master the process and it is working even today, of course. All your calls, rapid fire and tonight's edition of the lightning round. So stay with ramp. Look at the stock of Siga Jewelers run this morning. The parent company K Sales and Jared put up a robust quarter in a very difficult environment. Stocks shot up nearly 14% in response. That's a huge run considering that even though Singapore delivered a solid earnings beat, its full year forecast came in a little light. But they've cleaned up the balance sheet matches generated a huge amount of cash flow. $525 million. That's up 20% year over year. That was enough to get buyers very excited. Even though stocks up 58% over the past 12 months. I think it's not getting full credit. But don't take it from me. Let's check in with JK Semantics. He's the CEO of Signature Jewelers. Mr. Semantics, welcome back to Man Money.
JK Semantics, CEO of Signature Jewelers
Thank. Thanks for having me, Jim. Glad to be with you.
Jim Cramer
Well, I got to tell you jk I've never seen the whole fleet do so well. Everything's working. I know you credit the team and that is fantastic. But what is, is it price? The consumer recognizes some value? Is it just the assortment? Because this is a monumental quarter for signal.
JK Semantics, CEO of Signature Jewelers
Well, I appreciate it. I do think it starts with the team. I mean we've digested a lot of change. You pointed it out in the intro. It's not an easy environment. I think a simplified operating model really does help clarify accountability and allows us to leverage scale and truly our focus on our core brands is, is a critical part of the success story. K Zales, Jared represent over 70% of our revenue. And it's just like, you know, it's just like us as humans. If the core is healthy, then the rest of the business works better. And I think that that outsize focus and really operating from the core is a key to driving strength across our business.
Jim Cramer
I'm glad you did it. I mean, you went from eight to four. It's really hard in any business to run even four. Things got a little bit too spread out, didn't they?
JK Semantics, CEO of Signature Jewelers
Well, I think it's, you know, we've grown a lot. I think we've picked up a lot of capabilities through, through some of those acquisitions over the years. But I think the ability to really focus it through a consumer lens to think about, you know, something that isn't eight independent businesses that are operating and maybe stepping on each other to a core of four engines within the portfolio that are really driving value, I think helps us not only leverage scale and cost, but it actually helps us with consumer focus so much more.
Jim Cramer
Well, consumer focus. I think that you're drilling down on all different consumers now. A lot of people keep telling me, look, the consumer is not doing well. You have some, some pricey merchandise, so to speak. It seems like everything was selling well.
JK Semantics, CEO of Signature Jewelers
Yeah, I think, I think for the most part, the business worked well. Now, you know, Q4, you know, not, you know, it's not news. We started a little slower and I think November, we, you know, with all of the consumer malaise that a lot of my peers have talked about, we certainly weren't immune to it. I think we felt that a little more on the lower and the middle end. But, you know, I love that we've got a portfolio that speaks the full, you know, cross section of incomes across the consumer landscape. It gives us lots of room to flex our business and grow. And certainly we saw that consumer respond. We've seen that Momentum carry into Q1. We're halfway through, through the quarter and we've seen growth across all income bands.
Jim Cramer
What I love is that Valentine's Day was good. I find that from my father sold gift wrap. If you could have a good Valentine's Day, that is a, that is an amazing thing because your first quarter tends to be dry versus the fourth. It means that the consumer got reliqued or Has a lot more money than we thought.
JK Semantics, CEO of Signature Jewelers
Yeah, I think, I think we've seen it. I mean we've seen a resilient consumer. You know, in our category. I still think average unit retail is a little more of the growth story, although maybe different than what we saw in Q4. Units are much more balanced. So when we look at our business quarter to date, I would actually call it much more even across income bands, balance between bridal and engagement and a good mix of some average unit retail expansion, but also some modest improvement in unit performance.
Jim Cramer
Jk, there was this kind of a big move in to do lab grown. And that makes sense. And then people start saying a lab grown don't hold the value. You got to have the real diamonds. And now I'm told by the more fashion plate oriented that this lab grown has really exploded, particularly because of the gold bands that it's become much more fashionable than it was a year ago.
JK Semantics, CEO of Signature Jewelers
You know, diamonds, both lab grown and natural diamonds are critical. And I would say they're pretty balanced in terms of opportunity across the business. Lab grown diamond fashion growth I think is higher because there's an affordability and accessibility gem that wasn't there before with natural diamond for your lower and middle income consumers. And so the penetration of that grew to 20% of our total fashion penetration in Q4. That's because there wasn't much center stone business there. On, on the engagement side, we still see customers that, that seek the, the beauty and the rarity of a natural diamond and you know, they'll navigate, you know, probably more according to what price point their budget is. But, but the aspirational side of it, you know, we still see opportunity for growth in natural diamonds as well. And they're both unique propositions for our business and, and important for growth for our future.
Jim Cramer
Right now. One of the things I think is really exciting about your company is now that you're out of the buying these different things and they were all good things and put together be fine. The amount of cash here. I did not know you could generate this amount on cash flow. I found myself thinking what would I if I were jk, what would I be doing? What? You don't want to buy back too much stock, but the stock, why not? The stock is very cheap versus what it could be. We all want a dividend, but the fact is the balance sheet is so much better than it was even five years ago. What are you going to do?
JK Semantics, CEO of Signature Jewelers
Yeah, I think I appreciate the recognition for it. I think our team's worked hard to Strengthen the balance sheet. Our, our CFO and our finance team have really driven discipline across the business. And I'm, I'm, I feel we're fortunate to be in that position. We really are balancing the choice between, you know, the opportunity to return capital to shareholders via buyback or where are the opportunities to invest in organic growth. We, you know, this year we know we've got an opportunity as it relates to customer experience. And I would say the two critical investments for us. First is digital. Our website experience, front end experience, I'm not talking about back end platform, but how we interact and communicate with customers has not changed since 2019. Suffice to say that the consumer has, has evolved in that time period. And so the fact that we're still seeing growth in traffic to our sites and we're, we're seeing improved resonance with our customers, I know that if we can make the investment to deliver a better brand experience there, it's going to help unlock more value for us. Same is true in our stores. We're increasing our investment in store environment. 30% more stores touched this year than we did last year. We're seeing outsized returns, particularly in the brands were further along. And so, so we'll continue to balance that investment. Looking for ways to return capital to shareholders but also, you know, leaning into those opportunities for organic growth that we think will make a difference for tomorrow.
Jim Cramer
That'd be great. You get that top of the funnel going with the digital, you get even more assortment but within the four rather than eight and then you give us maybe some more buyback and dividend. This stock is one of the things we think about as a great retailer we'll be buying not as a special situation, which is what it's been, but as a great retailer. J.K. symancy is the CEO of Signatures. This is a different company from the way it was. Congratulations.
Caller
Thank you.
JK Semantics, CEO of Signature Jewelers
Thank you, Joe. Appreciate it.
Jim Cramer
Mad money back everybody.
Podcast Host / Announcer
Coming up, you've got questions. Kramer's got the answers. Get charged up for a fast fire lightning round next.
Caller
Oh yeah, Jim Kramer. I'm a first time caller, a happy club member. I want to thank you for being the people's champion of investing. Thank you for helping me become a millionaire.
Jim Cramer
It is time. It's time for the lights from rap stocks up there on my steppers. But you plan it sound and then the lightning round is over. Are you ready, ski daddy? Time for the light round. Crank. For this money, let's go to John in Florida. John.
Caller
Jim, the Jacksonville Jaguars love Blue Star and Nvidia Nvidia will double, but today's stock will triple from $9 to $27. It has FDA approval. When you interview a CEO, it's magical. Like Jensen or Dell. Please interview and bring to your show Patrick Soon Chong Immunity Bio.
Jim Cramer
Immunity Bio had a big crossing of a huge amount of stock right at the end. I don't know where that stock went to. I'd like to see the stock come in and see if that block holds before I buy that because that stock is part of the magical thinking era. Let's go to Sunny in Massachusetts. Sonny Jim.
Caller
I'm a club member and I want to know when you're coming to Massachusetts so I get a signed copy of your book. No comments. My kids now roll up their sleeves and pants because they want to be like Kramer. Do Ben and Jeff have the same fashion sense?
Jim Cramer
Love it.
Caller
Talk to me about Skyworks.
Jim Cramer
Okay. Ben and Jeff love them both. All right. Now problem with Skyworks is that it's totally cell phone. It just doesn't have enough. It's got to merge with someone. Frankly doesn't have five and a quarter percent yield. But I don't own tech for you. Let's go to Chris Implant. Chris.
Caller
Hey, Jim. Long time. First five.
Jim Cramer
Long time.
Caller
Thanks for everything you do for us home gamers. All right, I got something really quick for you. I'm in the doghouse. I'm in the the house of pain with Stellantis stock.
Jim Cramer
I can't, I just can't recommend it. Another, another 52 week low. It is, it is. Don't buy. Don't buy. Don't buy it. Blue finish, I think. Let's go to Alex in Oregon, please. Alex.
Caller
Oh yeah, Jim, thanks for taking my call. I'm calling about a under the radar
Jim Cramer
niche name that does chemicals and specialty
Caller
gases for satellites and semiconductors. The company's called Element Solutions.
Jim Cramer
That sounds like a good story. I am going to talk to Ben Stodo about that. That sounds like a good story. Another way to be able to probe some of these especially chemical stocks are all working right now and I don't know the stock well enough but I'm going to learn about it. Let's go to Brian in Michigan. Brian.
Caller
Hey Jim. It's a pleasure to talk to you again.
Jim Cramer
Yeah, fabulous. What's up?
Caller
Hey, I sold half of my position yesterday in this stock up 130%. My question is, what do I do with my remaining shares of GE Verona?
Jim Cramer
GE Verona is what I call an upgrade stock. It's got, it's Just got the best book of business, which is almost every data center because they need gas turbines. I think they're turbines, but they call them turbines. Let's go to Chris in Florida. Chris.
Caller
Jim, how you doing?
Jim Cramer
Well, Chris, how about you? Booyah.
Caller
I'm doing well. Listen, this stock. I'm up 153% since 2022. We had a high of 34. We're sitting at 2494 around there. Upgraded today, we had oil issues. We got war earnings.327. Tell me, CCL, what was the stock?
Jim Cramer
Oh, Carnival. Yeah, I saw the. I like the upgrade. It looks like, you know, actually, the reservations are coming through. That's an inexpensive stock. And that, ladies and gentlemen, is the conclusion of the Lightning Round.
Podcast Host / Announcer
The Lightning Round is sponsored by Charles Schwab. Coming up, it can be scary to buy stocks on the way down but if you bought Dell during its descent, it ended very well for you.
Jim Cramer
Why?
Podcast Host / Announcer
Kramer's explaining the strategy next.
Caller
Hey, Jim. Your mission has been very successful in our family. I listen to your show multiple times
JK Semantics, CEO of Signature Jewelers
a week for investing knowledge.
Caller
I just want to say thanks. I love your show. Thanks for always looking off the blue guy.
Jim Cramer
A huge thank you for all you've done to make me a better investor.
Caller
I gotta call Kramer because I can't make a move without this guy.
Jim Cramer
I want to make people better investors if they make money. Fantastic. Let's go to work.
Podcast Host / Announcer
Tomorrow. Kick off the trading day with Squawk on the street live from post nine at the nyse.
Jim Cramer
I'm not saying that there's anything nefarious. I am saying that goodbye growth. And I'm not going to ever recommend a stock that doesn't have growth. Because if I want that, I'll go buy American Electric Power which has been pretty good stuff.
Podcast Host / Announcer
It all starts at 9:00am Eastern.
Caller
Booyah, Jim. Your integrity makes you the Booyah Saint of Wall Street. Booyah, Jimmy chill. Booyah, Jimmy chill. Booyah, Jim.
Jim Cramer
Quadruple. That's a lot of booyah. Lots of people ask me how the Chapel Trust got into so many good stocks at such low prices. Well, it's pretty simple. We waited until the stocks were in free fall and nobody wanted them, and then we. Sounds easy. But nothing's harder than buying a stock when it's in a tailspin. Lots of times you buy and it turns out you're too early. That was a lot to me. You get beleaguered. You can't believe how dumb you were. I question myself. But sometimes you get so fed up in yourself that you just sell the whole position at a loss instead of buying more on the way down. And I don't do that because it tends to be a mistake. A big one, because most stocks, if you've done the homework, they get cheaper as they go lower. When you're dealing with high quality companies, you have to buy more on the way down rather than just throwing in the towel. That's wrong. Consider the case of Dell Technology. Excellent company, as I hope you can tell. When I interviewed Michael Dell, a man I've known since he was building computers in his college dorm at the end of October, when the NASDAQ peaked in the air, related names like in video rolled over. After months of blistering gains, Dell shares begin this strange plummet from $168 all the way down to 110. Nobody seemed to care that Dell bought back a ton of stock. Nobody, nobody, nobody. By the way, they didn't care that Dell's servers had become the principal wafer for businesses to buy Nvidia chips. No one seemed to pay attention to the fact that Dell has two major competitors, HP Enterprises and Supermicro. But neither one of them has a clean enough balance sheet to lend to customers in scale foundational when they buy such expensive equipment. Dell can afford to do vendor financing though, and it's a huge advantage for them. Yet all people did was sell, sell, sell. If you bought Dell on the way down, you felt like a total chump. When it got to $110 and no white flag went out, nobody said, wow, you got to buy at a terrific time. It's the bottom. All you knew was that the company is buying back stock with you at unusually high levels. Last month, Dell reported a quarter where they raised their buyback by $10 billion while boosting the dividend by 20% and talking about a very high backlog. They have the best book of business in the industry. Plus the big worry that they'd be hurt by higher semiconductor prices didn't come to fruition. It was not Michael Dell's first DRAM squeeze. He was ready. Probably why they bought so much stock back. Now you go back to over how you might have bought this one on the cheap. The key was to buy Dell small and then keep buying it as it got cheaper. That's how you get a better cost basis. You buy what I call a pyramid style cheaper and bigger. You had to ask yourself if anything was really wrong to that sickening decline down to 110. But if you did the homework, you would have known that everything was good. Frankly, if you just watched the show, you would have known if you waited to buy the stock until the coast was clear. Well, the coast never goes clear. It's not the way it works. You'll miss the move. In retrospect, we marvel at how easy it must have been to buy Dell near its lows. Dividend increase, giant buyback, ton of orders. It seemed totally gettable, but it was only gettable to the people who believed that the stock was wrongly priced higher. Believe me, that was not the conventional wisdom at the time. Now let me give you some caveats. Not every kind of stock can be bought steadily on the way down. Doesn't work if companies that have no earnings, miserable balance sheet, magical investing. They may never bounce. But with a fine company like dell, where the CEO's terrific track record, you can get incredible bargains if you're simply willing to buy the stock at moments where it's wrongfully hated. We didn't catch Dell for the travel Trust I keep mentioning on air, which locks us out of buying for the investing club. That's how we missed it, but you could have easily got this one yourself. You just watched the show. In the end though, this method only works if you have conviction, because it requires taking some pain the house of pain. And that's impossible to do if you don't believe in the underlying business and of course, the CEO. I like to say there's always more markets, so my prompts are found just for you right here. Man Money. I'm Jim Cramer. See you tomorrow.
Legal Disclaimer Narrator
All opinions expressed by Jim Cramer on this podcast are solely Kramer's opinions and do not reflect the opinions of CNBC or its parent company or affiliates and may have been previously discussed disseminated by Kramer on television, radio, Internet or another medium. You should not treat any opinion expressed by Kramer as a specific inducement to make a particular investment or follow a particular strategy, but only as an expression of his opinion. Cramer's opinions are based upon information he considers reliable, but neither CNBC nor its affiliates and or subsidiaries warrant its completeness or accuracy, and it should not be relied upon as such. To view the full Mad Money disclaimer, please visit cnbc.com madmoneydisclaimer trading@schwab is powered
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Mad Money w/ Jim Cramer 3/19/26 — Episode Summary
Date: March 19, 2026
Host: Jim Cramer
Podcast: Mad Money w/ Jim Cramer (CNBC)
This episode of Mad Money features Jim Cramer analyzing the market volatility spurred by geopolitical tensions and a spike then pullback in oil prices. Cramer explores how oversold conditions and investor bearishness might set the stage for a rebound, walks through key sentiment indicators, and comments on strategies for buying in bear markets. He dives into company-specific stories including Five Below’s surprise breakout quarter, Johnson & Johnson’s big FDA approval, and Signet Jewelers’ turnaround. The listener call-in “Lightning Round” segment offers rapid-fire buy/sell takes on several stocks. Throughout, Jim emphasizes strategy, history, and temperament as keys to winning during turbulent markets.
Main Theme:
Turbulent geopolitical events (notably Israeli and Iranian strikes affecting energy facilities) sent global oil and gas prices higher, contributing to a major market selloff—which then sharply reversed by the session’s end as oil prices pulled back.
Key Points:
Quotes:
Deep Dive:
Quotes:
Notable Moment:
Cramer credits social media strategy and nimbleness in following (and amplifying) youth-driven trends—e.g., the “squishy dumpling craze.”
Key Discussion:
Quotes:
Interview with CEO JK Semantics (30:03–37:17):
Quote, JK Semantics:
Sample Buy/Sell Blurbs:
Lesson:
Buying high-quality companies while in free fall is emotionally difficult but often rewarding. Cramer illustrates with the Dell Technologies plunge—ignoring panic, buying on the way down, and pyramiding in if the thesis holds.
Quote:
| Time | Segment | Notes / Quotes | |------------|----------------------------------|--------------------------------------------| | 00:45 | Market/Opening Commentary | Oversold signals, history lessons | | 08:09 | Lightning Round #1/Reddit call | “I’d like to buy some Reddit here…” | | 11:35 | Five Below Deep Dive | CEO turnaround, social media focus | | 20:03 | Johnson & Johnson FDA approval | J&J’s oral psoriasis drug | | 26:47 | Lightning Round #2/Listener Q&A | ISRG, Booking Holdings, fundamentals talk | | 30:03 | Signet Jewelers CEO Interview | Brand & strategy focus | | 37:22 | Lightning Round | ImmunityBio, Skyworks, Stellantis, etc. | | 41:49 | Dell Example: Buy the Drop | Pyramid buying strategy |
Cramer’s signature fiery, rapid-paced, and enthusiastic delivery is present throughout. He balances humor (“it’s retail, 101 people!”), calls for discipline, and empathetic understanding of how hard it is to buy when there's blood in the streets. The episode is a mix of practical investing tactics, breaking news interpretation, and colorful, plainspoken advice.
Jim Cramer guides listeners through volatile markets, urges disciplined buying in oversold conditions, and spotlights winning management and strategy in companies like Five Below and Johnson & Johnson. The episode underscores the value of contrarian thinking, rigorous homework, and emotional fortitude when taking buy-the-dip opportunities—while never forgetting fundamentals and management quality.