Jim Cramer Warns Viewers About FOMO & Discusses These 19 Stocks

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7. Microsoft Corporation (NASDAQ:MSFT)

Number of Hedge Fund Holders In Q1 2025: 284

Microsoft Corporation (NASDAQ:MSFT) is the world’s largest consumer software company. It was also an early mover in the AI software market due to its partnership with OpenAI. However, 2025 has seen the narrative around Microsoft Corporation (NASDAQ:MSFT) shift a little bit as the firm’s relationship with OpenAI purportedly sours. Yet, at the same time, the stock has benefited from a strong earnings report which indicated to investors that Microsoft Corporation (NASDAQ:MSFT) has finally started to perform well in its cloud computing business. Cramer discussed the firm in the context of these factors and AI PCs:

“It’s moving because this Morgan Stanley piece revisiting Microsoft plus OpenAI. . . .Azure AI revenue, very strong. In keeping with what you [David] said, when you asked Sanjay Mehrotra the CEO [why the AI-enabled PC hasn’t taken off]. . his response was, just you wait. And that would be incredible for Microsoft. People don’t realize Sanjay, I know that Sanjay was a bit verbose, in his answers. . .look I’ve known Sanjay for years, you can tell him after this, but I think what you have is, you have a PC market that could be exploding. And I didn’t think that.”

Earlier the CNBC TV show host discussed Microsoft Corporation (NASDAQ:MSFT)’s relationship with OpenAI:

“We didn’t even talk about Microsoft and the war that must be going with ChatGPT.

“[On whether they’ve become pure enemies from frenemies] Yeah I think so, they got the US-China situation.

“Microsoft’s stock has done quite well. Incredible. But it’s [OpenAI] worth about a hundred billion of Microsoft’s market cap.”

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