Jim Cramer on Richtech Robotics: “You Buy it, But You Recognize That it’s Your Spec”

Richtech Robotics Inc. (NASDAQ:RR) is one of the stocks Jim Cramer shared insights on. During the lightning round, a caller asked for Cramer’s thoughts on the stock, and he remarked:

“Okay, here’s what you do with a stock like that: you buy it, but you recognize that it’s your spec. You’re allowed to have one real spec when you say you do a six or five-stock portfolio… And accept the fact that you could lose everything.”

Stock market data. Photo by Photo by Alesia Kozik

Richtech Robotics Inc. (NASDAQ:RR) designs and sells robotic solutions for service industry automation, including delivery, cleaning, and food and beverage systems. Its portfolio features robots like Matradee, Medbot, Titan, and Skylark, along with a self-owned cafe brand and related support services. On August 27, Freedom Brooker downgraded Richtech Robotics Inc. (NASDAQ:RR) to Sell from Buy while maintaining a price target of $2.50. The firm said the recent stock rally is ahead of the company’s fundamentals and expects a possible pullback as momentum slows.

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

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Disclosure: None. This article is originally published at Insider Monkey.