We recently published a list of Jim Cramer Wants US To Be “As Good As” Europe & Discusses These 12 Stocks. In this article, we are going to take a look at where Cisco Systems, Inc. (NASDAQ:CSCO) stands against other stocks that Jim Cramer discusses.
Cisco Systems, Inc. (NASDAQ:CSCO) is one of the largest networking and communications products companies in the world. In today’s era of AI-driven stock market returns, the firm’s shares have gained 8.4% year-to-date despite a 13% drop after the Liberation Day tariff announcement in April. Cisco Systems, Inc. (NASDAQ:CSCO)’s shares gained 5% in mid-May after the firm’s fiscal 2025 midpoint revenue and earnings guidance of $56.6 billion and $3.78 surpassed previous estimates. The revenue guidance also beat analyst estimates of $56.5 billion. In his earlier remarks about Cisco Systems, Inc. (NASDAQ:CSCO), Cramer outlined that he preferred the firm over rival Arista Networks. Here are his latest thoughts:
“Last night I spoke with Chuck Robbins. He is positioning himself as being now the backbone of the internet with AI. It reminded me very much about John Chambers being the backbone of the internet. He began to get Cisco having its big move. But you also know David, remember the customers. The customers of Cisco, the telcos, its got a little telco feel to it. I think.
“Now I’m putting it as the cheapest AI story there is. It’s a combination of Splunk and the traditional Cisco.
“See what’s interesting Carl, in the old days there would be 15 companies that followed Cisco and they all raised numbers on this. Now it’s not like that because Cisco’s large cap. And people want to know, should I take a shot at GitLab, down here. Is it time to by DataDog? This may be the moment for Oklo. David, I don’t know.”
Engineers using the latest Cisco TelePresence technology to collaborate with colleagues around the world.
Cramer has also previously commented on Cisco Systems, Inc. (NASDAQ:CSCO)’s partnership with NVIDIA:
“People are talking about NVIDIA. And there is a nice deal this morning with Cisco. I think it’s actually much more important than people realize. Cisco’s the first to qualify. It’s going to be a real partnership. And that uh Chuck Robbins working closely with Jensen. But there is an overwhelming sense that this market keys on NVIDIA at a moment when we have no idea what the federal government’s gonna do to NVIDIA.”
While we acknowledge the potential of CSCO 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.
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