Cramer Weighs In on Big Banks, Tech and Staples

Cramer’s Latest Rundown of Market Leaders

In a recent set of comments, Jim Cramer assessed a group of large U.S. companies across banking, technology and consumer staples, focusing on recent earnings, stock performance and how investors are positioning for an anticipated economic slowdown. His remarks covered Bank of America, JPMorgan Chase, Intel, IBM, Procter & Gamble and Johnson & Johnson, highlighting both operational results and market reactions.

Bank of America’s Earnings and Market Reaction

Cramer described Bank of America’s latest report as a "really fine quarter," potentially the company’s best, after it posted a small top- and bottom-line beat. The bank reported 7% revenue growth and 18% earnings per share growth, with net interest income up 10%, slightly ahead of expectations. Despite these figures, the stock fell 4%, a move he characterized as an extreme reaction to strong results.

All four of Bank of America’s business lines beat revenue expectations, with global wealth and investment management and global markets both rising more than 10% year over year. The company benefited from lower than expected credit charges, which supported its earnings beat, while debt and equity underwriting remained light, similar to JPMorgan. Management guided for 5% to 7% net interest income growth in 2026, and CEO Brian Moynihan said the bank is bullish on the U.S. economy this year, even as various risks persist.

JPMorgan’s Strong Markets Unit and Softer Deal Activity

Discussing JPMorgan Chase, Cramer noted that the bank delivered a solid top- and bottom-line beat, excluding a $2.2 billion reserve tied to the Apple credit card portfolio acquired from Goldman Sachs. Net interest income increased 7%, and the Markets business, largely sales and trading, posted 70% growth. He called these numbers "fantastic" while pointing out that CEO Jamie Dimon’s commentary often heavily influences investor reaction.

JPMorgan’s investment banking business was a weak spot, coming in light with revenue down 5% year over year and 11% from the previous quarter, reflecting softness in both debt and equity underwriting. Cramer said this segment’s performance weighed on the overall results despite strength elsewhere. He also remarked that the stock had been "due for a breather" following its prior gains.

Intel’s Balance Sheet Cleanup and New Backers

Turning to technology, Cramer characterized Intel as one of last year’s most surprising comeback stories. He said the chipmaker had appeared to be losing ground to NVIDIA and AMD and described former CEO Pat Gelsinger’s manufacturing expansion plans as having worried investors about what he called a national treasure. According to Cramer, the situation changed after Lip-Bu Tan, whom he referred to as a favorite, became CEO and helped secure significant external support.

Cramer noted that the federal government took a nearly $9 billion stake in Intel, and NVIDIA subsequently made a $5 billion investment. He said the stock "has been on fire ever since" and argued that once Intel cleaned up its balance sheet, the company’s story improved and investors saw a better bottom line. Intel designs and manufactures processors, chips, memory and related hardware, along with software and AI-enabled platforms.

IBM’s Multi‑Year Rally and Valuation View

Cramer also highlighted International Business Machines as an "incredibly strong performer," citing a stock that has nearly tripled since late 2022 after breaking free from what he described as its all-time highs. Over the past 12 months, IBM shares have rallied more than 40%. He praised the company’s CEO and said the stock is inexpensive relative to its growth rate, pointing to encouraging daily chart patterns showing an upward trajectory.

IBM provides software, consulting and cloud and on-site technology solutions, along with financing to help clients use its products. The commentary framed IBM as a notable performer in the current market, as investors reevaluate mature technology names in light of their recent execution and growth.

Defensive Staples: Procter & Gamble and Johnson & Johnson

Cramer grouped Procter & Gamble and Johnson & Johnson together as companies whose products consumers buy regardless of economic conditions, such as toothpaste and medicine. He said J&J can thrive in a weak economy and observed that, based on its recent chart, investors might see it as having found a “fountain of youth.” However, he added that J&J’s stock is rising faster than he believes is justified by the pace of its fundamentals, attributing part of the move to money managers positioning for a slowdown and avoiding higher price-to-earnings names like Eli Lilly.

On Procter & Gamble, Cramer said the company has already signaled that business "isn’t that hot" and that it faces multiple problems, warning investors to be prepared because management has indicated that difficult conditions are coming. Despite that backdrop, the stock moved higher, which he interpreted as evidence that, even with weaker numbers, Procter & Gamble could still fare better than cyclical stocks in a downturn. He described owning Procter & Gamble in a charitable trust as a hedge against a weaker economy. The company sells branded consumer products across categories such as beauty, grooming, health care, home care and family care.