CNBC analyst Jim Cramer is now advising stock investors to stop buying into stocks while they are trading near ATH levels. Speaking on a recent “Mad Money” episode, the analyst said investors should grow more selective after the market’s recent run, warning that buying stocks near their highs is often “a license to lose money.”
The CNBC expert also cautioned against late-cycle enthusiasm in oil stocks, arguing that investors who bought producers near recent highs could be vulnerable if Venezuela ramps production and pressures crude prices. In addition, Cramer also flagged near-term risks in banks ahead of earnings season, even while calling the group chronically undervalued. At the same time, he praised tech stocks like Nvidia and Crowdstrike, stating that he could see their growth continuing but advising not to put all eggs in one basket. “By all means, own some unloved tech names, but save room for a quality consumer stock,” Jim Cramer said.
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In 2025, the US stock market had a bump experience, headlined by a strong market slump after Tariff announcements last April. Experts on Wall Street have forecasters this upcoming year to be a strong rebound. The S&P 500 index is projected to boom by as much as 50%, and AI/tech stocks are also forecasted to see another YoY rally.
Jim Cramer himself praised Nvidia CEO Jensen Huang, who recently described CrowdStrike as a core cybersecurity provider underpinning the $10 trillion AI-driven enterprise transformation. He also reiterated confidence in Microsoft, which has pulled back sharply since reporting earnings due to heavy AI spending, and Broadcom AVGO.