Jim Cramer expressed optimism about a resurgence in mergers and acquisitions (M&A) with the incoming Trump administration. Cramer predicts a more lenient approach to M&A approvals compared to the previous administration, which was known for its stringent antitrust scrutiny.

What Happened: Cramer highlighted that the regional banking sector could significantly benefit from increased M&A activity, allowing banks to grow by acquiring smaller entities or merging to form larger “super regionals,” CNBC reported on Thursday.

"I am very confident in the idea that, under President Trump, M&A's about to come back and come back bigly," he said. "Companies will no longer have to fear super-strict antitrust scrutiny, so long as they stay on the right side of our mercurial President elect."

He also suggested that antitrust regulations might be relaxed, potentially benefiting Big Tech companies that faced scrutiny under Biden’s appointees. However, Cramer warned that Trump’s personal views could still impact regulatory actions, referencing the 2017 attempt to block the AT&T Inc. ( T ) and Time Warner merger due to Trump’s issues with CNN. Time Warner was rebranded to WarnerMedia in 2018, following its acquisition by AT&T ( T ). In 2022, AT&T ( T ) then merged WarnerMedia with Discovery Inc. to form Warner Bros. Discovery ( WBD ) , making it the current parent company that encompasses what was formerly Time Warner.

Cramer noted that several prominent tech CEOs have publicly congratulated Trump, likely in anticipation of a more favorable regulatory environment.

See Also: Jim Cramer Blasts Super Micro Computer’s Earnings: ‘Better At Exonerating Itself Than Selling’ Nvidia GPUs

Why It Matters: The potential revival of M&A under Trump’s administration aligns with Cramer’s earlier remarks that Trump’s return to the White House is a “huge win for the stock market.” The election of President-elect Trump has brought relief to traders, who anticipate pro-business policies, lower taxes, and deregulation.

This optimism has already led to record highs in U.S. markets. The market rally post-Trump victory saw the Dow, S&P 500, and Nasdaq surge, with expectations of economic growth under Trump’s leadership.

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This story was generated using Benzinga Neuro and edited by Pooja Rajkumari