Jim Cramer on Palladyne AI: “I’m Not Recommending Stocks That Are Losing Money”

Palladyne AI Corp. (NASDAQ:PDYN) is one of Jim Cramer’s stock calls while he discussed the confusion surrounding the Trump-Iran conflict. Inquiring about  PDYN, a caller mentioned that they started a position in the stock when it was $9 a share. In response, Cramer said:

Well, people think it’s going to lose money next year. It is an okay company, but it’s artificial intelligence and machine learning, should work, but it is losing money. I’m not recommending stocks that are losing money. It’s been the right thing to do all 2026.

A stock market graph. Photo by energepic.com

Palladyne AI Corp. (NASDAQ:PDYN) develops embodied artificial intelligence and collaborative autonomy software that allows robotic systems to observe, learn, and adapt to unstructured environments in real time. On March 23, the company, along with Draganfly Inc., completed a major integration milestone by testing the SwarmOS platform with Draganfly drone components.

A successful flight simulation validated the system, and the development aims to provide advanced autonomous swarm capabilities for U.S. defense applications. President and CEO of Palladyne AI, Ben Wolff, said:

SwarmOS isn’t about pre-programmed drones flying in formation, it’s about giving every drone in the swarm the intelligence to read its environment, collaborate with its teammates, and make the right decision in milliseconds. Paired with Draganfly’s proven hardware, we are building something operationally significant for the U.S. DoW.

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

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