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Jim Cramer Reviews the Earnings Report from Solstice Advanced Materials

Solstice Advanced Materials, Inc. (NASDAQ:SOLS) is one of the stocks Jim Cramer shared his thoughts on as he discussed Big Tech’s AI spending. Cramer highlighted why the stock has been a “fantastic performer,” as he commented:

Last October, one of my long-time favorites, Honeywell, spun off its specialty chemical business as Solstice Advanced Materials, which started trading at just under 49 bucks. This is a company that makes advanced materials for semiconductor manufacturing, data center cooling, refrigerants, nuclear power, healthcare packaging, and the defense industry. Those are all strong end markets. Hence why the stock’s been just a fantastic performer, ran… all the way up to $83 as of last night’s close. Okay, when Solstice reported this morning, it delivered higher than expected sales, slightly better than expected adjusted earnings, but their net income came in a tad below consensus.

At the same time, management didn’t raise the full-year forecast, which is not what you might want to see, given you have a stock that’s up 64% year to date. Maybe that’s why it fell 2%. It’s okay. Still, many of their core businesses are doing great: electronic materials up 21%, refrigerants up 19%, nuclear business, which is all about making fuel, jumped 27%. Club members know that we thought that was really exciting… You know we’ve liked this. You know that this is not just nuclear, but it is the only nuclear one that we’ve been saying can actually make money.

Solstice Advanced Materials, Inc. (NASDAQ:SOLS) is a specialty materials company that provides solutions for applications in refrigerants, semiconductor manufacturing, data center cooling, alternative energy, protective fibers, and healthcare packaging.

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

READ NEXT: 33 Stocks That Should Double in 3 Years and 15 Stocks That Will Make You Rich in 10 Years 

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