Jim Cramer Says “Tesla (TSLA), the Tech Company, is Much More Powerful than Tesla the Automaker”

We recently published a list of Jim Cramer Put These 14 Stocks Under the Microscope. In this article, we are going to take a look at where Tesla (NASDAQ:TSLA) stands against other stocks that Jim Cramer discusses.

During the episode, Cramer showed optimism toward Tesla, Inc.’s (NASDAQ:TSLA) humanoid robot business as he said:

“Despite all the negative publicity and the horrendous sales versus the competitors, it’s done nothing to hurt the stock of Tesla. In fact, as Morgan Stanley’s Adam Jonas… predicted, the fading of Tesla’s car sales has actually brought to the fore all of Musk’s other big initiatives… I’m talking about self-driving specifically in Austin, Texas, next month at this time.

But most importantly, I’m talking about Optimus, his humanoid robot project that will soon be a business, and when it launches, it will be a fabulous one. Musk’s full self-driving initiatives run on AI, specifically neural networks, which give you more adaptive human-like behavior than the other systems. And that’s why investors can ignore Tesla’s car sales.

They believe Musk got the best-selling self-driving technology, and that’s what’s going to matter. That’s why the stock won’t quit. And then if President Trump gets involved, it won’t be pushing for cars to go from Austin to Houston. It’ll be having Tesla self-driving all over the interstate highway system, which, last I looked, is still federal. Tesla, the tech company, is much more powerful than Tesla the automaker, and that’s why the stock finished up nearly 7% today.”

Tesla (NASDAQ:TSLA) develops and sells electric vehicles along with energy generation and storage solutions. The company also provides solar and battery systems for residential and commercial use.

Overall, TSLA ranks 4th on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of TSLA as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than TSLA and that has 100x 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.