We recently published a list of Was Jim Cramer Right About These 13 Stocks? In this article, we are going to take a look at where Advanced Micro Devices Inc. (NASDAQ:AMD) stands against other stocks that Jim Cramer discusses.
During the latest episode of Mad Money, Jim Cramer expressed his frustration over the negative outlook he believes the White House is projecting about the economy. He explained that while he felt a sense of optimism and wanted to get excited about positive developments in the stock market, he held back.
“I wanted to get excited, but you know what I had to do? I had to hold my breath because when this market’s getting ahead of steam going, you know what you can bet on? The president will post something rancorous, dispiriting, and confusing and the market will immediately get put through the meat grinder…
It’s not necessary to do this, nor will they highlight anything good that’s going on here. It makes people feel like everything’s terrible, which isn’t true…
So here’s the bottom line: Every day there is something to celebrate in the business world because the business world is fantastic. We’d be in much better shape if the administration would highlight that. Believe me, the bad doesn’t need your help. It’ll get the word out all by itself.”
Methodology
For this article, we compiled a list of 13 stocks that were discussed by Jim Cramer during the episode of Mad Money on March 21, 2024. We then calculated their performance from March 21, 2024, market close to March 13th, 2025, market close. We have also included the hedge fund sentiment for the stocks, which we sourced from Insider Monkey’s Q4 2024 database of over 900 hedge funds. The stocks are listed in the order that Cramer mentioned them.
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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
A close up of a complex looking PCB board with several intergrated semiconductor parts.
Advanced Micro Devices Inc. (NASDAQ:AMD)
Number of Hedge Fund Holders: 143
When asked about Advanced Micro Devices Inc. (NASDAQ:AMD), Cramer sounded positive despite the company’s struggles at the time, noting his admiration for the CEO:
“I like AMD here. I think AMD has been in the penalty box long enough, and I’ve got to tell you, I do live in Nvidia land, but I have not lost sight of the fact that Lisa Su is one of the greatest managers of our time. Can I own both Nvidia and AMD for my Charitable Trust? I’m coming around to thinking I can.”
It’s been a tough ride for Advanced Micro Devices Inc. (NASDAQ:AMD) since then, with the stock having dropped by 44%.
Although Jim Cramer appeared less optimistic about the stock on the 5th of February this year, he still has some hopes for the company, saying the following:
“And then you know AMD didn’t help the case. Because AMD did not do well last night. . . yeah that Citi downgrade was substantive.”
“They have a transition going on.
“You can’t [defend AMD] because it was indefensible. They basically talked about how things are going to be flat. That they don’t really have the right chips right now. They are doing very well versus Intel on the less expensive CPUs, but they kinda missed the cycle. Now they’ll catch up in the second half, but you don’t hear them in the mix. That’s the problem. Because they don’t have the right GPUs. That’s whats going on.
“[On CEO Lisa Su saying AMD delivered greater than $5 billion dollar data center revenue] Well true, but AI revenue is flat to down for the first half. And there’s going to be margin dilution. Which is why you’re seeing this. There’s an inventory build. There’s poor leverage to what they’re doing. This again cuts to you know who, I don’t need to say I anymore because I say it too much . . .NVIDIA.
“[on next month being the anniversary of stock touching $227] Well I mean there was a time, look she was putting up, Lisa Su was putting up very big numbers. She is. Uh took about five billion dollar projections, she’s making that. But what most people say is, wait a second, this a halcyon time for what she makes, the GPUs, and she’s not delivering.”
“But look I think she’ll be back. They’re making a lot of money. But it’s fallen very much out of favor. And you got a downgrade today, and I just feel that people just say, you know what, NVIDIA won. NVIDIA won another round and the long knives are out for NVIDIA we’re waiting to hear what they’re going to do with China, we know that there are a lot of people who say that Amazon’s going to talk about more custom chips. Maybe that’s Broadcom. But Amazon, so far is not using AMD GPU. And that was what the customer they really needed and we don’t see it.”
Overall, AMD ranks 4th on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of AMD as an investment, our conviction lies in the belief that 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 AMD but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.