Jim Cramer Thinks AI Revolution Can Boost These 5 Stocks

This article presents an overview of Jim Cramer Thinks AI Revolution Can Boost These 5 Stocks. For a detailed overview of such stocks, read our article, Jim Cramer Thinks AI Revolution Can Boost These 10 Stocks.

5. Eaton Corporation PLC (NYSE:ETN)

Number of Hedge Fund Investors: 63

Power management solutions company Eaton is one of the stocks Jim Cramer believes can grow on back of the AI revolution. Cramer said that Eaton is among the top companies that will see huge demand to handle the excess burden on the “ailing” power grid caused by the rise of generative AI applications.

As of the end of the fourth quarter of 2023, 63 hedge funds out of the 933 funds tracked by Insider Monkey had stakes in Eaton. The most significant stake in the company is owned by Philippe Laffont’s Coatue Management which owns a $960 million stake in the company.

ClearBridge Sustainability Leaders Strategy made the following comment about Eaton Corporation plc (NYSE:ETN) in its Q3 2023 investor letter:

“While renewable stocks have come under pressure of late, energy efficiency and decarbonization remain strong drivers for our industrials holdings, where Eaton Corporation plc (NYSE:ETN) and Trane Technologies (TT) were strong contributors. Eaton, whose electrical equipment enables the electrification of the power grid and electrical vehicle charging infrastructure, is benefiting from tax incentives supporting clean energy, growth in reshoring and expanding manufacturing in North America and the need for grid resiliency amid broad demand for electrification.”