In this article, we will discuss: Jim Cramer Took A Side On Biggest AI Debate & Discussed These 5 Stocks. For more stocks, you can head to Jim Cramer Took A Side On Biggest AI Debate & Discussed These 13 Stocks.
5. Intuit Inc. (NASDAQ:INTU)
Number of Hedge Fund Holdings in Q4 2025: 91
Intuit Inc. (NASDAQ:INTU) is a productivity software provider. Its shares are down by 53% over the past year and by 51% year-to-date. May 21st was a tough day for the stock as it closed 20% lower. On the 20th at market close, the firm had announced that it was going to cut its workforce by a whopping 17%. For its fiscal third quarter earnings, Intuit Inc. (NASDAQ:INTU) reported $8.56 billion in revenue and $12.80 in earnings per share to miss analyst revenue estimates of $8.61 billion and beat the earnings estimates of $12.57. The results and the subsequent share price movement came after Cramer asserted that he had faith in Intuit Inc. (NASDAQ:INTU)’s CEO:
“Well I have Sasan Goodarzi tonight, and obviously there are many people who feel that you can beat him, using Anthropic. Perplexity put out a thing that basically says listen you don’t need them. I am glad there are some divisions that are weaker. But this man, he’s just not gonna take it down lying down. He’s got the best, the IRS when you use them, doesn’t like to audit you. . .this man has a good product.”
Eagle Capital Management discussed Intuit Inc. (NASDAQ:INTU) in its Q1 2026 investor letter:
“SAP, Workday, and Intuit are highly entrenched application software businesses. Intuit Inc. (NASDAQ:INTU) is a household name because of TurboTax, but its largest business and growth engine is QuickBooks, which operates as a functional monopoly in small business accounting software in the U.S. Software is lately controversial due to AI-driven disruption. AI is deflationary for engineering costs and will change many workflows in how software is used. The technology is widening the distribution of 5- to 10-year outcomes for these businesses. In some cases, the central tendency shifts lower; in others, it’s stable or even shifts upward. The entire space has sold off over the past year, and we believe the recovery will be more heterogeneous than the decline. Many businesses will be impaired, but a number will likely benefit.
We have positioned ourselves with companies that we expect to be comparatively resilient, that also have idiosyncratic earnings growth paths or call options. Intuit’s QuickBooks has singularly valuable distribution to small businesses and is weaving AI capabilities into its products to better serve this hard-to-reach customer. We expect EPS growth of around 20% for the group.”
4. Target Corporation (NYSE:TGT)
Number of Hedge Fund Holdings in Q4 2025: 58
Merchandise retailer Target Corporation (NYSE:TGT)’s shares are up by 35% over the past year and by 25% year-to-date. Wells Fargo discussed the firm on May 12th as it raised the share price target to $140 from $135 and kept an Overweight rating on the stock. The bank commented that Target Corporation (NYSE:TGT) could post a strong set of first-quarter earnings results and provide investors with an upside surprise and a guidance raise. Barclays also raised the share price target to $115 from $108 on the back of an improving sales environment. Target Corporation (NYSE:TGT)’s earnings saw its $25.4 billion in revenue and $1.71 in earnings per share beat analyst estimates of $24.64 billion and $1.46. Cramer discussed the firm following the report:
“Great numbers. . .okay so they thought it was very important, I think, to give conservative guidance. . .last year was the Nintendo Switch launch, they had a fantastic Nintendo Switch launch, so it’s going to be very difficult. 4% net sales growth, guidance, reflects some moderation from Q1. . .but you gotta remember, two percentage points higher than our initial guide, which is what I care about. They just, they’re tamping down things. . .underpromise, overdeliver. I want to buy the weakness. I think Target is in a major turn. A lot of it has to do with a complete change in merchandise. . .this is a fabulous turn. . .my favorite thing, no buyback, pouring the money into stores, pouring, the stores look terrible. Some of them hadn’t been done in a decade. That’s no longer acceptable for management. And I like this management.
“I was going over fashion with them. . .they have just blown up the product line. It is so much better than even a year ago. So don’t lose faith on that conservative guidance. They have it now. Now are they the old target? I mean everyone thinks they’re a shadow of their former self. It doesn’t have to be like that.”
3. The Home Depot, Inc. (NYSE:HD)
Number of Hedge Fund Holdings in Q4 2025: 98
Home improvement retailer The Home Depot, Inc. (NYSE:HD)’s shares have struggled recently. They are down by 15% over the past year and by 9% year-to-date. Piper Sandler discussed the firm on May 15th as it trimmed the share price target to $421 from $422 and kept an Overweight rating on the stock. The impact of higher gas prices on consumer discretionary spending factored into Piper Sandler’s coverage. Wells Fargo cut The Home Depot, Inc. (NYSE:HD)’s share price target to $375 from $420 and kept an Overweight rating on May 14th. The bank remarked that the firm could suffer due to softness in the discretionary sector. Cramer discussed the firm after its earnings report:
“But what it shows you is that, Home Depot, once they got into the call, they said [inaudible] pretty good. And, their professional stance may not have been as bad, I know I was worried that they went all into professional. But it’s starting to work. SRS was good. I will say that Home Depot was down a lot worse. . .no, look, Home Depot even in the depths of 2007, 2009, put in some really good numbers. I think Home Depot is struggling right now, as everyone is, one of the reasons why is everyone was hoping for a rate cut until what’s happened with Iran. Well because of that, these are great companies. . .”
2. Intel Corporation (NASDAQ:INTC)
Number of Hedge Fund Holdings in Q4 2025: 96
Chip manufacturing giant Intel Corporation (NASDAQ:INTC)’s shares are among the best performers in the market this year. They are up by a whopping 472% over the past year and by 200% year-to-date. Freedom Broker discussed Intel Corporation (NASDAQ:INTC) on April 28th as it upgraded the shares to Buy from Hold and bumped the share price target to $100 from $25. The financial firm remarked that the chip manufacturer’s first-quarter earnings report was a marker of the transition to a new thesis under CEO Lip-Bu Tan. Cramer also discussed Intel Corporation (NASDAQ:INTC)’s CEO:
“Well that stock is going much higher, what can I say. I mean Lip-Bu, he’s the CPU guy, and the CPUs turned out to be far more important because of the agents. And all we hear about, agent, agent, agent. Well, David, agents are the future and Intel is where you get the chips for the agent.
“Well what Lip-Bu was saying, the CEO of Intel, was look it’s the age, the intellectual property age of hardware. And the software has been, kind of, not wiped out, but the Anthropics, the OpenAIs, you can mimic a lot of stuff, better.”
1. Atlassian Corporation (NASDAQ:TEAM)
Number of Hedge Fund Holdings in Q4 2025: 57
Atlassian Corporation (NASDAQ:TEAM)’s stock is down by 60% over the past year and by 46% year-to-date. Oppenheimer discussed the firm on May 11th as it raised the share price target to $110 from $100 and kept an Outperform rating on the stock. As part of its coverage, the financial firm shared its optimism about Atlassian Corporation (NASDAQ:TEAM)’s AI strategy. More recently, an engineer laid off from the firm appeared in a video on YouTube where he explained the firm’s products in detail. Cramer discussed the appearance:
“Let me tell you how bad things are. There’s an outfit called TEAM, Atlassian, TEAM is the symbol. Great product. You can work, coordinate. One of their engineers left and put on YouTube everything you need to be able to make it so that you don’t need Atlassian. Showed you exactly how they make the product. This is the new world. Where this guy completely, he got let go and he basically just showed you what the secret sauce of Atlassian none of us knew. Now you don’t need Atlassian.”
Parnassus Mid Cap Fund discussed Atlassian Corporation (NASDAQ:TEAM) in its fourth quarter 2025 investor letter:
“Atlassian Corporation (NASDAQ:TEAM), which sells tools to software developers, underperformed amid concerns that AI automation could disrupt the software engineering space. We exited Atlassian due to AI-related uncertainty, as its predominantly seat-based pricing model and focus on developers leave it exposed to potential disruption from “vibe-coding” start-ups.”
While we acknowledge the potential of TEAM to grow, our conviction lies in the belief that some 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 TEAM and that has 100x upside potential, check out our report about the cheapest AI stock.
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