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Jim Cramer Says You Should Avoid Zoominfo Technologies (ZI)

We recently published a list of Jim Cramer’s Latest Calls: Top 10 Stocks. In this article, we are going to take a look at where Zoominfo Technologies Inc (NASDAQ:ZI) stands against other stocks highlighted in Jim Cramer’s latest calls.

Jim Cramer in a recent program talked about Bitcoin and reminded investors that he has always believed in the cryptocurrency.

“I want to discuss Bitcoin, really. I do—not to the detriment of stocks but in addition to stocks. I come to praise Bitcoin, not buy it. First, let’s dispel the idea that I’ve never believed in Bitcoin. Now, if you search YouTube, you can see that I first bought Bitcoin on September 15, 2020, when it was at just over $10,000.”

Cramer said he likes the idea of Bitcoin being the store of value and said he always recommended investors to allocate 10% of their portfolio to the currency. However, he again urged investors to look to stocks for the rest of their portfolios.

“I heard Fed Chief J. Powell talk about how he believes people are buying Bitcoin as a store of value, like gold, because there’s not much transaction done in Bitcoin. I’ve always endorsed keeping up to 10% of your portfolio in gold as a kind of insurance against the world’s lunacy. But for years now, I’ve also been saying Bitcoin is a fine alternative to gold for that 10% position. Why not?

I think the federal budget deficit is at impossible levels…Sure, you might have been all in on Bitcoin. You know what? Terrific. Me too. But what if I told you there are indeed other ideas hidden in plain sight in the stock market? Ideas that you could have owned with the other 90% of your portfolio that wasn’t Bitcoin.”

Cramer then mentioned a few stocks that have posted dramatic gains since their IPOs to show investors the power of stock investing.

READ ALSO: Jim Cramer’s Latest Lightning Round: 11 Stocks to Watch and Jim Cramer on AMD and Other Stocks

For this article, we watched the latest programs of Jim Cramer and picked 10 stocks he recently talked about. With each stock we have mentioned the number of hedge fund investors. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).

A meeting of professionals in a boardroom discussing engagement platform strategies for their organizations.

Zoominfo Technologies Inc (NASDAQ:ZI)

Number of Hedge Fund Investors: 37

Jim Cramer was recently asked about Zoominfo Technologies Inc (NASDAQ:ZI). He said the company does not have enough specialty and moat.

“Technology and marketing company, I—you know, not enough specialty, not enough moat. Let’s pass on that.”

Zoominfo Technologies Inc (NASDAQ:ZI) is aiming for growth in 2025 by concentrating on enterprise clients. The company’s shift away from riskier small and medium-sized businesses and its focus on high-value enterprise and mid-market customers is expected to help stabilize its revenue.

Still, ZoomInfo faces tough competition in a fast-changing industry, particularly from Salesforce (CRM). Salesforce’s Sales Cloud and its extensive CRM platform offer a robust solution for customer relationship management and sales enablement, creating a major hurdle for ZoomInfo.

Zoominfo Technologies Inc (NASDAQ:ZI) tries to stand out with its proprietary database, which provides sales and marketing teams with actionable insights, giving it a unique edge despite Salesforce’s large user base.

Overall, ZI ranks 6th on our list of stocks highlighted in Jim Cramer’s latest calls. While we acknowledge the potential of ZI, our conviction lies in the belief that under the radar 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 ZI but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock

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

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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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  • 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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