Jim Cramer Commented on 12 Stocks Linked to Data Centers

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4. NVIDIA Corporation (NASDAQ:NVDA)

Number of Hedge Fund Holders: 223

Cramer noted the investors’ slipping confidence in data centers, which carries the possibility of impacting NVIDIA Corporation (NASDAQ:NVDA) but urged that the company’s upcoming earnings release will clarify many things.

“Tomorrow evening, Nvidia reports so right now I think we have two markets. There’s the market that’s dependent on Nvidia and its fellow tech titans… The selling in Nvidia world is so vicious. To the sellers, it can be only one victor and they think it’s not gonna be the data centers…

In the end, though, I don’t think things are nearly as binary as it seems. The house is not divided against itself. 24 hours from now, we’ll know if NVIDIA’s selling a lot of product or if it can’t because it doesn’t, it can’t make it fast enough. We’ll know if it’s possible that it has more large customers than just the tech titans. Oh, so we can stop counting those dollars. We’ll know if it can avoid making chips for China entirely so that that’s not a concern. It can be taken off the table. We’ll know these things to be self-evident, including all the orders. And then after we know that, life will go on. Consider NVIDIA’s earnings to be what I call a clearing event. All of the sturm und drang will already be done and the damage will be complete.”

NVIDIA (NASDAQ:NVDA), known for its advancements in graphics, computing, and networking technologies, is seeing significant growth due to its GPUs and the CUDA software platform, both of which are essential to AI infrastructure.

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