Broadcom Inc. (AVGO) Should Be Insulated From Trump’s Chip Tariffs, Says Jim Cramer

We recently published 10 Stocks On Jim Cramer’s Radar Including Big Tech Firms. Broadcom Inc. (NASDAQ:AVGO) is one of the stocks Jim Cramer recently discussed.

Broadcom Inc. (NASDAQ:AVGO) is one of the most important semiconductor design firms in the industry. Its shares have gained 31% year-to-date as investors remain bullish about AI’s future. Broadcom Inc. (NASDAQ:AVGO) is a key player in the AI industry due to its ability to design chips that could complement NVIDIA’s products in case of tight AI GPU supplies. Cramer’s recent remarks about the firm have praised the firm’s CEO, Hock Tan, and called him one of the most respected figures in the industry. This time, he commented on whether Broadcom Inc. (NASDAQ:AVGO) would suffer from President Trump’s semiconductor tariffs:

“But, I think that all of these companies you’re seeing there, like Broadcom, yeah they got exposure, but they sell to Apple, I mean, they make it in China, they sell it to Apple, that’s supposed to be okay.”

Here are Cramer’s earlier remarks about Broadcom Inc. (NASDAQ:AVGO):

“It’s the AI-related chips that are on fire today. . .Broadcom’s moving up again. That’s a giant company. Let’s again speak of the stock market rather than Sweden’s gonna do, what’s happening in Sweden. The stock market is reacting incredibly positively to stuff and there are people who don’t want to react to it or think that somehow those points aren’t valuable. I think they’re crazy. We’re having a good rally.

“[On stock being up 92%] That’s Hock Tan. He’s doing a fantastic job. My charitable trust owns that because a lot of it is that we met Hock Tan, when I was in San Francisco. I think he’s not nearly as respected as he should be. He’s a tough guy. In that industry, a lot of tough guys.”

While we acknowledge the risk and potential of AVGO as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than AVGO and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

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