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Best Buy Co., Inc. (BBY): Jim Cramer Shares Major Catalyst

Best Buy Co., Inc. (NYSE:BBY) is one of the Jim Cramer Warns Viewers About FOMO & Discusses These 19 Stocks.

Best Buy Co., Inc. (NYSE:BBY) is an American technology products retailer. The firm’s shares have lost 20.8% year-to-date as the firm has struggled from weak earnings performance and tariffs. Best Buy Co., Inc. (NYSE:BBY) cut its 2026 earnings guidance to a midpoint of $41.5 billion from an earlier $41.8 billion based on the assumption that tariffs will stay consistent until the end of this year. Best Buy Co., Inc. (NYSE:BBY)’s stock also struggled in 2024 as the firm bet heavily on AI PCs only to be left with excess inventory as demand failed to materialize. Cramer commented on this particular aspect:

“It’s moving because this Morgan Stanley piece revisiting Microsoft plus OpenAI. . . .Azure AI revenue, very strong. In keeping with what you [David] said, when you asked Sanjay Mehrotra the CEO [of Micro] [why the AI-enabled PC hasn’t taken off]. . his response was, just you wait. . .People don’t realize Sanjay, I know that Sanjay was a bit verbose, in his answers. . .look I’ve known Sanjay for years, you can tell him after this, but I think what you have is, you have a PC market that could be exploding. And I didn’t think that. That’s BestBuy situation, but it also makes sense with AMD going up every single day. Because that could be PC.”

A busy retail store showcasing a wide range of consumer electronics.

In his earlier remarks about Best Buy Co., Inc. (NYSE:BBY), Cramer discussed the firm’s earnings:

“The numbers out today were much better than expected—not better than expected, not better than feared, much better than expected. There was without a doubt a shock when you saw how good these were, because what it said is that Corie Barry and raised the div to, in this environment, is just doing incredibly well. And then there was this paragraph at the end of her talk where she said, of course, tariffs are coming, get a lot of stuff from China and Mexico, and we’re going to have to raise prices. We’re not sure how much we’re going to have to raise prices.”

While we acknowledge the potential of BBY as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

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.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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