Was Jim Cramer Right About Best Buy Co., Inc. (BBY)?

We recently published a list of Was Jim Cramer Right About These 11 Stocks? In this article, we are going to take a look at where Best Buy Co., Inc. (NYSE:BBY) stands against other stocks that Jim Cramer discusses.

Best Buy Co., Inc. (NYSE:BBY) has faced sluggish demand in the consumer electronics space, with investors waiting on a rebound at  the time. In that older episode, Jim Cramer positioned the stock as a long-term turnaround play tied to a future AI-powered PC refresh cycle. Here’s what he said back then:

“There are two challenge retailers that my charitable trust is positioned in that I’m not telling people to buy right now. I don’t expect anything good to happen but we’re sticking with them because the trust believes we have to be in early to anticipate the turnaround. I’m talking about Best Buy and Foot Locker. Both stocks act terribly as I would say my old hedge fund. […]

Best Buy will be the recipient someday of the new wave of PCs with integrated AI. Come to fall we want to get ahead of that because once they’re in the stores, I don’t think you’ll be able to buy Best Buy at a 5.3% yield, which it has right now. Because of AI, we should have the biggest PC refresh cycle in history, okay? Maybe even bigger than the ’90s, so I want that Best Buy exposure.”

Was Jim Cramer Right About Best Buy Co., Inc. (BBY)?

A busy retail store showcasing a wide range of consumer electronics.

Cramer’s early turnaround bet didn’t go far as Best Buy is only up 0.42%. Best Buy Co., Inc. (NYSE:BBY) is banking on a PC refresh cycle driven by AI adoption to revive sales and offset softness in consumer electronics demand.

Overall, BBY ranks 10th on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of BBY as an investment, 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 BBY and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

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