Jim Cramer on NVIDIA: “I Didn’t Think It’d Collapse So Fast on No News”

NVIDIA Corporation (NASDAQ:NVDA) was among the stocks Jim Cramer was focused on, as he discussed Mad Money’s latest game plan for the week. Cramer noted the stock’s recent declines, as he stated:

… The AI pioneer with a stock that’s been a bizarre underperformer of late, including today, where the company stock fell four points in the last few minutes of the trading session and finished down an ugly $3. It was a wild and inexplicable fall for the largest stock in the world. I didn’t think it’d collapse so fast on no news, no news at all. Maybe that’s a good place to start our game plan, then, because the week begins on Sunday night when Jensen Huang, the CEO, gives his annual COMPUTEX talk in Taiwan. Maybe something he says could reverse today’s inexplicable decline.

This year, Jensen plays host with some of his favorite partners, including Rene Haas at Arm Holdings; that stock held up, Matt Murphy from Marvell, Intel’s Lip-Bu Tan; that stock did not hold up, and Qualcomm’s Cristiano Amon. COMPUTEX has been a stake in the ground for many years now for Jensen Huang, and I think he may unveil something special here.

Now, why do I feel that way? We got a potential hint when NVIDIA’s official X account posted a cryptic tweet teasing, “A new era of PC.” The account for Microsoft Windows posted the same message. Grasping at straws? Doing everything I can for you. Maybe what we saw in late-day trading was some sort of end-of-the-month rebalancing out of some semis and into depleted software. Let’s hope NVIDIA can give investors a reason to get excited again with its COMPUTEX presentation, and we can get back to talking about the fundamentals and not just endless flip-flopping trading.

NVIDIA Corporation (NASDAQ:NVDA) develops accelerated computing and AI platforms, GPUs for gaming and professional use, cloud services, robotics and embedded systems, and automotive technologies.

While we acknowledge the risk and potential of NVDA 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 NVDA and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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