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Jim Cramer on FactSet Research: “It’s Way Too Cheap”

FactSet Research Systems Inc. (NYSE:FDS) is one of the stocks on Jim Cramer’s radar. During the lightning round, a caller asked about the company, and Cramer said:

“Yeah, what the hell is this? It’s down, it’s at 15 multiple, I’m not going to tell you to sell a stock down at 15 multiple. I like it. Can’t tell you to buy it, but holy cow, it’s way too cheap.”

A laptop and a computer monitor display a detailed stock market technical analysis chart. Photo by Jakub Zerdzicki on Pexels

FactSet Research Systems Inc. (NYSE:FDS) provides financial data, analytics, and digital solutions that support investment research, portfolio management, and risk analysis. Baron Focused Growth Fund stated the following regarding FactSet Research Systems Inc. (NYSE:FDS) in its second quarter 2025 investor letter:

“Within Financials, modest declines from specialty insurer Arch Capital Group Ltd. and investment management tools provider FactSet Research Systems Inc. (NYSE:FDS) weighed on performance, overshadowing strong performance from leading online brokerage house Interactive Brokers Group, Inc. FactSet‘s shares detracted from performance despite above consensus fiscal Q3 earnings and upbeat commentary from management about prospects for the remainder of fiscal 2025. The stock experienced some volatility following the announcement that longtime CEO Phil Snow will retire later this year. However, remarks on a recent earnings call emphasized that this was a personal decision unrelated to company performance. We retain long-term conviction in FactSet given its large addressable market, strong execution across both new product development and financial results, and robust free cash flow generation.”

While we acknowledge the risk and potential of FDS 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 FDS 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.

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

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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?

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  • 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.

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