Jim Cramer Says “I Do Want to Own Eaton”

Eaton Corporation plc (NYSE:ETN) is one of the stocks Jim Cramer evaluated, along with the fragile food market. When a caller asked about the stock, Cramer said:

Well, you know, it’s funny if it were, you know, this is a silly asterisk if it were not for the war, but I think because of the war, it’s going to make everyone feel a little bit dicier about owning stocks. So you have people selling it. But I do think the answer is yes, I do want to own Eaton.

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Eaton Corporation plc (NYSE:ETN) is a power management company that provides electrical, aerospace, and vehicle components. Its products include power distribution equipment, circuit protection devices, and specialized systems for aircraft refueling, engine valves, and electronic controls. RS Investments stated the following regarding Eaton Corporation plc (NYSE:ETN) in its fourth quarter 2025 investor letter:

Eaton Corporation plc (NYSE:ETN) provides products and services which manage power for electrical, hydraulic and mechanical systems. Eaton components and technologies primarily serve the utility, aerospace and automotive industries. Strong demand for data centers and the need for upgraded electric grids have accelerated sales for Eaton. The company has been able to increase margins with the increased demand and has been improving its return on invested capital (ROIC). Eaton has underperformed recently as the market is trying to determine the duration of increased sales for companies benefiting from AI and the buildout of associated data centers. Despite the stock lagging recently, we continue to believe that Eaton has strong long-term demand for its products, as the process of electrification and grid investment should provide improvements in ROIC for the company along with additional benefits from AI infrastructure spend.

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

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