Jim Cramer Considers Applied Materials to Be One of the “Best Capital Expenditure Stocks”

Applied Materials, Inc. (NASDAQ:AMAT) was among the stocks Jim Cramer covered on Mad Money as he discussed the wave of IPOs being the market’s possible biggest threat. Cramer mentioned the company during the episode and commented:

Throw in the four horsemen of Wednesday, and you could get a terrific opportunity to go back to an Intel if it goes down, or AMD or Arm Holdings, as well as Lam Research and Applied Materials. I regard those as the two best capital expenditure stocks. Obviously, I’m inclined to keep betting on AI. I am a disciple of Jensen Huang, the CEO of NVIDIA, who preaches the coming of the fourth industrial revolution.

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Applied Materials, Inc. (NASDAQ:AMAT) provides equipment, software, and services that help manufacturers produce semiconductors and other electronic devices. When a caller asked if the stock is a “good buy” on April 20, Cramer remarked:

No, it’s not a good buy, it’s a great buy. Applied Materials, Lam Research, KLA, of those, I’m going to order them, Lam, AMAT, and KLA. They’re all good because they are, this the only way we can get the, alleviate the shortages that we’re seeing in semiconductors. Those guys are it. And they have the intellectual property. They are the strong ones. Glad you came to me with Applied Materials.

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