Mad Money with Jim Cramer – September 2, 2025

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On this episode of Mad Money, Jim Cramer unpacks a turbulent day on Wall Street, marked by a broad sell-off in both stocks and bonds. He explores the reasons behind the market downturn, reflects on historical trends for September, and offers perspective on how investors can navigate volatility. The show also features in-depth analysis of Hasbro's surprising outperformance, technical warnings about market sentiment and risk, a revealing interview with the new CEO of Signet Jewelers, and the ever-popular Lightning Round stock Q&A. The evolving stories of activist investing in consumer stocks and sector rotations round out a timely discussion for uncertain markets.

1. Market Turmoil and September Seasonality

Turbulent Start to September

• [02:14] Jim Cramer laments a day when "everything went wrong," describing market weakness across stocks, bonds, and negative news headlines.
• The Dow dropped 249 points, S&P down 0.69%, Nasdaq lost 0.82%, despite a late rally.

Seasonality: September Is Infamous

• Cramer reminds listeners that September is typically the worst month for stocks:

  "Sell, sell, sell, sell, sell, sell. Four out of the last five years, September has been down. It's averaged a decline of 2% for the last decade. Horrendous, a bear could say. I rest my case." ([02:50])

Why the September Drop?

• Fund managers take profits after good years.
• Tax considerations for funds with fiscal years ending soon.
• “I did it every year at my hedge fund when I was up this big at this time, I was done. Yeah, finished for the year." ([03:30])

Bad News Galore

• Court ruling challenges the President's tariffs—potential for budget fallout and bond market anxiety.
• Anxiety ahead of the upcoming non-farm payroll report.
• Ongoing global tensions involving China, Russia, and India cast further doubt.

Cramer’s Guidance Amidst the Panic:

• Don’t react rashly to one bad day.
• Selling in panic leads to missed rallies:

  “If you know what you own and why you own it, these days are just garden variety pullbacks. The kind that's rain rain for your garden.” ([07:39])

Investment Discipline

• Remind yourself of the strength of big tech and why they command high valuations.
• Wait for entry opportunities, not whipsaw trades.

• "Trust the companies you believe in. Trust the market. That's the only way to make big money in stocks long term." ([10:58])

2. Lightning Round: Cramer’s Buy/Sell/Hold Opinions

A rapid-fire Q&A with callers seeking Jim's opinion on specific stocks.

Select Highlights

• Dutch Bros (BROS) Entry Point

  "Because I like this stock so much. The answer is yes." ([11:53])

• Citigroup

  "Citi's fine. It's a good buy. I do like Wells Fargo more, but Citi's been just a gigantic winner." ([12:28])

• Micron (MU): Wait & Watch

  • "I prefer other stocks ... but I feel off because I like Sanjay Broder so much." ([30:51])

• Reddit

  "Steve Huffman is the most self-effacing of great CEOs of this generation. ... Hold on to the stock. It's a winner." ([32:17])

• Dr. Horton (DHI) & Toll Brothers (TOL)

  "I like Dr. Horton. ... And I raise you with Toll Brothers." ([43:56])

• Lamar Advertising

  "Not my favorite. I think appetizer is not a good business. But that is the best of the lot." ([44:42])

3. Hasbro: The Unlikely Winner in Consumer Discretionary

[15:43]
Cramer spotlights Hasbro as a standout in a troubled sector:

• Up more than 42% this year; rival Mattel up just 2%.
• Transition from toys (low margin) toward high-margin gaming, led by Magic: The Gathering and Dungeons & Dragons.
• Impressive earnings:
  • "More than 70% earnings go up for heaven. So 70% 7 0."
• Digital games have little tariff exposure; company’s sales mix is improving rapidly.

  "Their games are high margin. The toys, what can I say? They're very low margin. And that's a real tough business." ([20:06])

• Stock still trades at low multiples given its growth and transformation.

Key Insight:

"We think of it as a toy maker, right? But its main business is now tabletop and digital games ... this is a gaming stock that still trades like a toy maker, which is why I think it's got much more room to run." ([21:50])

4. Off the Charts: Are We Due for a Correction?

[23:35]
With technical analyst Carly Garner, Cramer examines whether market euphoria (especially in risk assets like stocks and crypto) is hitting unsustainable levels.

Key Points:

• Too many bulls and too few bears—potentially an overcrowded trade.
• Investors shunning bonds in favor of red-hot stocks and crypto.
• Excessive use of AI for stock picking:

  "Please, I'm begging you, don't take investment advice from AI." ([25:10])

Chart Analysis & Warning Signs

• S&P 500 futures hitting long-term resistance; technical indicators suggest momentum is waning.
• Bitcoin has been leading the S&P 500 on upside and downside; if it fails to rebound, stocks could follow.

• "The downside risk far outweighs the upside profit potential. That's why she's recommending taking something off the table." ([28:50])

• September and early autumn seasonality is especially dangerous.

Cramer’s Bottom Line:

• Stay disciplined, don’t chase, but also don’t get blown out in a correction and never get back in.

  "Stay the course. I've seen too many people get blown out right here and never get back in." ([29:30])

5. Executive Interview: J.K. Semansky, CEO of Signet Jewelers

[34:05]
Cramer interviews the new chief of Signet (parent of Kay Jewelers, Zales, Jared) following strong earnings:

Notable Themes:

• "Taylor and Travis" (Swift/Kelce) engagement has boosted consumer focus on engagement rings and love-related jewelry.

• Brand segmentation — Jared for luxury/custom, Zales for fashion/self-purchase, Kay for milestone occasions.

• Lab-grown diamonds are expanding the affordability and reach of diamond jewelry.

  "Lab-grown diamonds are a category extender for fashion ... really makes it accessible for people every day." ([37:15])

• Managing impact of high gold prices: high-value purchases less price sensitive, lower-end more affected.

• E-commerce brands growing; Blue Nile brick-and-mortar stores are an innovation.

• Ongoing share buybacks as a way to return value.

Cramer’s Take:

• The company's transformation and agility under new leadership are strong positives, especially after this quarter's "healthy revenue beat and enormous earnings beat." ([34:05])

6. Market Activism: Elliott’s Stake in PepsiCo

[45:09]
Cramer weighs in on Elliott Management’s activist position in PepsiCo:

• Activism isn’t about "gunslingers"—Elliott is disciplined, does its homework, and wants to unlock value.
• PepsiCo’s historic premium to Coca-Cola has faded.
• Brands like Frito Lay may struggle in the GLP-1 diet drug era; other subsidiaries are underperforming or scattered.
• Leadership needs to focus, not try to be "all things to all people."

  "There has to be a core to the business, and I don't feel there's a core there anymore." ([46:23])

Cramer’s Advice:

• CEOs should welcome smart activists and treat them like free management consultants.
• PepsiCo may benefit from broader engagement, but the company needs to reevaluate its brand strategy to regain its premium.

7. Notable Quotes & Memorable Moments

• On market panic:

  “Selling creates and begets more selling. And those who don't know what they own get blown out.” ([07:11])

• On tech leadership:

  "The answer is because they're the best and they can weather anything. Tariffs, global craziness, antitrust, Chinese genius, you name it." ([09:22])

• On staying the course:

  "Days like today are the reason why an Apple or Microsoft or yes Nvidia haven't made more people millionaires. ... You have to trust the companies you believe in. Trust the market." ([10:58])

• On Hasbro’s transformation:

  “Basically Hasbro's gaming division is simply a much better business. It's, it's growing faster, it's more profitable. So as this becomes more, more of a gaming play and less of a toy play, of course the stock deserves to go higher.” ([21:10])

• On lab-grown diamonds:

  “When you get particularly in engagement rings below $2,000, that's about maximum emotional value. And that's where Lab really has played.” — J.K. Semansky ([37:15])

• On activism at PepsiCo:

  "If I were running the company, I definitely want to brainstorm with Elliott. PepsiCo can and again will be if they listen, the premium food and beverage company, but not if it keeps being run the way it's managed now." ([47:16])

8. Timestamps for Key Segments

• Opening Market Recap & September Warning: [02:14]–[11:22]
• Lightning Round: [11:22]–[13:31], [41:03]–[44:59]
• Hasbro Analysis: [15:43]–[22:13]
• Technical Analysis w/ Carly Garner: [23:35]–[30:42]
• Signet CEO Interview: [34:05]–[40:39]
• PepsiCo Activist Commentary: [45:09]–[48:33]

9. Takeaway and Cramer’s Advice

• Don’t let market panics push you out of quality holdings.
• Know what you own — and why.
• Beware September’s volatility, and take a prudent approach (consider booking some gains if overexposed).
• Focus on companies with momentum, resilience, and management vision, like Hasbro and Signet.
• Recognize the value (and limitations) of technical and AI-based trading.
• Watch for constructive activist involvement in consumer stocks.

Summary prepared for listeners seeking a clear, insightful map of Cramer’s actionable advice and the evolving market landscape.