In our recent publication, we highlighted a selection of stocks that Jim Cramer focused on during his popular show, Mad Money. Today, we delve deeper into Caterpillar Inc. (NYSE:CAT) and evaluate its current standing in relation to other stocks discussed by Cramer.

On Friday, Jim Cramer, the influential host of Mad Money, voiced his apprehensions regarding President Donald Trumps emphasis on the long-term advantages of tariffs. Cramer argued that the immediate repercussions of these tariffs are much more impactful and problematic.

The president seems to be fixated on the long-term when discussing the trillions of dollars he believes tariffs will generate, Cramer remarked. He pointed out that while Trump claims the tariffs will enable funding for tax cuts and contribute to a reduced budget deficit, the reality of the short-term effects presents a much grimmer picture. Putting aside whether thats going to be true or not, I dont think we have the full luxury right now of focusing on the potential long-term benefits because the short-term is a horror show, he added, firmly emphasizing the urgent need to address current challenges.

Cramer elaborated on the adverse impacts of these tariffs, describing them as excessive, poorly executed, and lacking the necessary reciprocal nature that would ensure a fair trade policy. He observed that this approach has unleashed unnecessary chaos in the financial markets. The current state of the stock market, according to Cramer, is far from ideal, as it struggles to function properly, particularly affecting private equity firms whose stock values are experiencing significant declines.

He noted that these private equity firms, which manage a considerable number of highly leveraged businesses, had anticipated going public under Trumps administration. However, due to the ongoing market turbulence, there are increasing fears that many of these planned initial public offerings (IPOs) could be scrapped altogether. Expressing his concerns, Cramer stated, If we want to get out of this mess, we need some signs that the president understands the need for a functioning market.

Furthermore, Cramer highlighted that while the U.S. currently enjoys low unemployment rates, this situation may not remain stable unless the immediate economic issues are adequately addressed. He stressed that the electorate expects their leaders to not only aim for long-term progress but also tackle pressing issues that affect their daily lives. Cramer urged President Trump to rethink his approach, advocating for the establishment of more constructive trade relationships with nations willing to engage in negotiations.

The President needs to make a commitment to assist companies that are eager to circumvent the tariffs. He should reach out to world leaders and communicate that some tariffs can be rolled back, provided they are willing to negotiate in good faith, he advised. Cramer poignantly warned, Mr. President, dont cause a crash. It will be your legacy and it can easily be avoided.

In line with our methodology for this article, we compiled a curated list of the eight stocks that Jim Cramer discussed during the Mad Money episode that aired on April 4. These stocks have been ranked in ascending order based on hedge fund sentiment from the fourth quarter of 2024, utilizing insights from Insider Monkeys extensive database of over 1,000 hedge funds.