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Jim Cramer Says “Own NVIDIA, Don’t Trade It”

NVIDIA Corporation (NASDAQ:NVDA) is one of the stocks Jim Cramer commented on, along with the recent Fed meeting. Commenting on the events of the day, Cramer said:

“We had something very strange today, a story about how the Chinese government wants a full stop in buying NVIDIA’s artificial intelligence chips for some of the biggest clients. Those are the ones, they’re are made for China. We thought they’d be welcome there. Very confusing, very fluid story. Now, I have to tell you that the Chinese narrative has become the defining story with NVIDIA, and I think that is dead wrong. There’s lots of positions in play here.

You could argue that this is a ploy, something that can change on a dime when the president talks with President Xi about the People’s Republic… You could argue that NVIDIA looks like it’ll be shut out of the market, that’s worth about $50 billion in sales per year. Right now, NVIDIA has no China numbers… so don’t expect number cuts. That’s why I don’t think there was a reason to sell here. Me? Well, shocker. I say own NVIDIA, don’t trade it. And if you can get some in at the 160 level, oh boy, I’d be a buyer.

NVIDIA’s at the heart of AI. The new chips that are coming out are way ahead of the current ones. The Chinese government needs to be mindful not to shoot itself in the foot. Other countries will get these chips, which will take AI to levels where it can truly surpass humans in many different kinds of problem-solving and surpass all those Chinese companies, too. NVIDIA now has the worst-case scenario in China. Everyone knows that. I think that’s your best chance to buy.”

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NVIDIA Corporation (NASDAQ:NVDA) develops computing solutions spanning graphics, AI, data center platforms, networking, and cloud services, with applications across gaming, robotics, autonomous vehicles, and enterprise AI.

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.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

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

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When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

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  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

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