Mad Money w/ Jim Cramer – Episode Summary (July 22, 2025)

Release Date: July 22, 2025

1. Market Rotation and Current Stock Movements

Timestamp: [01:24]

Jim Cramer, hosting "Mad Money," delves into the recent market dynamics, highlighting a significant rotation from high-flying speculative stocks to more stable, dividend-yielding companies. He observes:

"The stocks that have been beaten up endlessly, mainly the foods and the drugs and their fellow travelers in the restaurant space, all rallied while the speculative stocks and anything involving the data center ... get blown out of the water."
— Jim Cramer [01:24]

Cramer points out that major averages showed divergences, with the Dow Jones Industrial Average gaining 0.6% while the Nasdaq declined by 0.39%. This discrepancy underscores the shifting investor sentiment favoring established companies like Johnson & Johnson, Merck, and Procter & Gamble over more volatile sectors such as technology and crypto.

2. Analysis of Domino's Pizza Performance

Timestamp: [13:20]

A significant portion of the episode is dedicated to dissecting Domino's Pizza's latest quarterly performance. Despite some analysts expressing concerns over non-cash mark-to-market adjustments related to international investments, Cramer remains optimistic about the company's core strengths.

"Domino's represents a terrific value proposition ... it's really hard to come close to Domino's with its $6.99 mix and match deal for two or more items each."
— Jim Cramer [18:38]

He emphasizes Domino's successful product launches, such as the stuffed crust pizza, which has helped the chain regain market share from competitors like Pizza Hut and Papa John's. Additionally, partnerships with delivery platforms like Uber Eats and DoorDash are seen as strategic moves to capture higher-income customer segments.

Cramer also highlights management's confidence in sustained growth through aggressive marketing and supply chain advantages, suggesting potential upside for investors.

3. Commodities Focus: The Beef Market Boom

Timestamp: [23:20]

Cramer shifts focus to the commodities market, specifically the prolonged bull run in beef prices. He features insights from Carly Garner, a commodities expert, who expresses skepticism about the sustainability of rising cattle prices.

"Consumers don't have unlimited budgets, so sooner or later they'll swap out a red meat for poultry, pork or fish."
— Carly Garner [23:20]

Garner discusses factors contributing to the high prices, including supply constraints due to environmental issues like the screw worm fly outbreak and international tariffs. She analyzes live cattle futures, noting the overbought conditions and potential for a price correction. The correlation between cattle prices and the S&P 500 is examined, suggesting that a stagnation or decline in the stock market could negatively impact beef prices.

Cramer underscores the historical context, referencing the 2009-2014 bull market in cattle and the eventual consumer pivot that led to price stabilization.

4. Homebuilders Rally Amid Economic Concerns

Timestamp: [40:50]

The episode returns to market analysis with a spotlight on the homebuilding sector. Cramer discusses the impressive rebound of companies like DR Horton, which reported better-than-expected quarterly results.

"Despite high mortgage rates and previous declines, DR Horton beat earnings estimates and engaged in significant stock buybacks, leading to a 70% surge in stock price."
— Jim Cramer [40:50]

He attributes the rally to strong sales incentives, strategic pricing, and effective capital management. The anticipation of potential interest rate cuts by the Federal Reserve further fuels optimism in the sector. Cramer suggests that the homebuilders' ability to adapt and maintain sales volumes positions them well for continued growth, although he advises caution regarding future interest rate movements.

5. Lightning Round: Buy, Sell, Hold Recommendations

Timestamp: [40:43]

In the popular Lightning Round segment, Cramer provides swift recommendations on various stocks based on callers' inquiries:

• UPS (United Parcel Service): Cramer expresses concerns over fundamental issues despite attractive yields, advising caution.

  "I love that yield. But I do think that fundamentals are still hurting. I'm gonna have to take a pass on that one."
  — Jim Cramer [40:50]

• ConAgra: Predicts a short-term upward movement followed by a potential exit point, emphasizing the rotation trend.

  "ConAgra is going to be up because we're involved in a rotation. And then on day three, I think you want to exit stage right."
  — Jim Cramer [43:54]

• Soundhound: Advises against investing due to its inclusion in the current rotation selling spree.

  "Soundhound is one of those stocks that has to be eviscerated over the next couple days because it's part of the evisceration crowd."
  — Jim Cramer [43:52]

• Modine Manufacturing: Recommends considering alternatives like Dover for better investment potential.

  "We've been buying just, you know, for the Campbell Trust. We've been buying the stock of Dover. I think Dover is a better play for you than Modine."
  — Jim Cramer [43:52]

• ETR (Entergy Corporation): Advises against purchasing despite its strong run, citing undervalued aspects.

  "Don't buy."
  — Jim Cramer [43:54]

6. Kohl's and the Short Squeeze Phenomenon

Timestamp: [44:09]

Cramer examines Kohl's situation, drawing parallels to the infamous GameStop short squeeze. He criticizes the heavy short-selling on Kohl's and suggests that coordinated buying efforts could trigger a similar short squeeze.

"The short sellers have clearly overstepped their boundaries with Kohl's. They've run into a boat buzz to solve their own creation."
— Jim Cramer [44:09]

He argues that the company's strong value proposition and strategic partnerships make it an attractive target for investors looking to capitalize on short-selling excesses. Cramer encourages hedge funds to cover their short positions to avoid potential losses from a squeeze driven by retail investors and social media movements.

7. Conclusion and Final Thoughts

Cramer wraps up the episode by reiterating the importance of understanding market rotations and recognizing undervalued stocks poised for rebounds. He emphasizes staying informed and cautious, advising listeners to let market trends play out before making swift investment decisions.

"Don't jump the gun. Let the rotation play out and identify stocks with solid fundamentals that are ready to recover."
— Jim Cramer [End]

Notable Quotes:

• Jim Cramer [01:24]: "The high flyers have flown too high while the companies with good dividends have gotten too low. This is just temporary."

• Jim Cramer [18:38]: "Domino's sold a ton of junk food. So if people are craving chips and soda again, maybe they'll also crave food from General Mills and Campbell's."

• Carly Garner [23:20]: "Consumers don't have unlimited budgets, so sooner or later they'll swap out a red meat for poultry, pork or fish."

• Jim Cramer [40:50]: "The homebuilding business just isn't that bad right now... if you believe we've got tariff-induced inflation under control and the Fed will feel comfortable cutting rates relatively soon, then the homebuilders could have a lot more room to run."

Key Insights:

• Market Rotation: Investors are shifting from speculative tech and crypto stocks to stable, dividend-paying companies in sectors like consumer staples and healthcare.

• Domino's Resilience: Strong product launches and strategic partnerships are enabling Domino's to capture market share and maintain a robust value proposition.

• Commodities Caution: The beef market's prolonged price increase may be unsustainable due to supply constraints and changing consumer preferences, signaling potential price corrections.

• Homebuilders Optimism: Improved earnings and strategic buybacks have revitalized the homebuilding sector, with expectations of continued growth buoyed by possible interest rate cuts.

• Short Squeeze Potential: Heavy short-selling on stocks like Kohl's presents opportunities for coordinated retail investor action to induce short squeezes, reminiscent of the GameStop episode.

• Investment Caution: While certain sectors and stocks show promise, Cramer advises investors to exercise patience and avoid hasty decisions based on transient market movements.

This episode of "Mad Money with Jim Cramer" offers a comprehensive analysis of current market trends, sector-specific performances, and investment strategies. Cramer's insights aim to guide listeners through the complexities of Wall Street, emphasizing the importance of fundamental analysis and strategic patience in achieving investment success.