Apple Inc. (AAPL): I Will Support It Until It Loses To Samsung, Says Jim Cramer

Apple Inc. (NASDAQ:AAPL) is one of the Jim Cramer Warns Viewers About FOMO & Discusses These 19 Stocks.

A wide view of an Apple store, showing the range of products the company offers.

Apple Inc. (NASDAQ:AAPL) is one of Cramer’s favorite companies, a position that he’s held despite the shares having lost 17.5% year-to-date. The firm has struggled due to investors’ disappointment with its AI strategy, troubles with Chinese manufacturing, and slowing iPhone sales. In this particular appearance, in a long-drawn discussion with co-host David Faber, Cramer stressed that he likes Apple Inc. (NASDAQ:AAPL) because of its user base and product quality:

“[On why he got sad as soon as Apple was mentioned] Okay because I think they’re gonna maybe miss this quarter but the 17 might not be selling that well. We got a President that went from I think very grateful for 550 billion dollars of spend here to being someone who I think, I don’t wanna say ridicule, but had some sport with Tim Cook, who is maybe one of the greatest if not the greatest executives of our time. I didn’t like that. He moved to China. That was supposed to be loved. But that turned out to be hated. So he moved to India, which is a country which we really wanted under our umbrella. And that he’s made sport of the Indian move. And he does not have an AI strategy, I’m talking about Tim Cook. And I wanted him to buy Perplexity, a month ago because Perplexity is by far the. . .

“But what they do buy, and this has really gotten me down, is they just keep buying their stock. And I think that from one look at their stock, that’s not working. It’s not working anymore.

“[Commenting on a JPMorgan report pointing about demand moderation] There was a critical line in that piece. Which talked about the PE multiple. The price-to-earnings multiple and says we have to pay less for what Apple’s doing. Now David, it sells for 28 times earnings. IS that 20 times earnings? 22? Now I think Apple, you I think it’s the greatest company on earth. . .okay I do think NVIDIA’s the greatest company, but I do think that it makes the greatest product on earth. As long as they do that, I’m gonna stick with it for my charitable trust. As long as they do that.

“The superior product is going to win. The billion, the number of users. The fact is everybody wants their installed base. But I also know that Alphabet paid them 20 billion to be the default and that seems to be the part of discussion now.

“No and then the revenue stream with Epic Games maybe you don’t get the 30% from them. They’re challenged on every front. . .As long as they have the greatest product in the world, I am going to support that company.

“[On when he would change his mind] When Samsung takes some share away from them, then I will. When Samsung takes appreciable share, when there’s not enough retention, then I will change. But I don’t believe that, but that’s when I would have to change my view. But right now, I can’t change my view on that.”

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READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.