Jim Cramer Reveals Big Debate Surrounding AI Stock NVIDIA Corporation (NVDA)

We recently published 10 Stocks Jim Cramer Discussed As He Warned About Big Risk To Big Tech. NVIDIA Corporation (NASDAQ:NVDA) is one of the stocks Jim Cramer recently discussed.

NVIDIA Corporation (NASDAQ:NVDA)’s shares turned a small corner on Thursday after they marked a 60 basis point gain. Cramer is one of the firm’s biggest bulls and believes that apart from AI, NVIDIA Corporation (NASDAQ:NVDA) will also be a key player in the robotics market. However, in this episode, he pointed out that investors were wondering whether the firm’s GPUs were priced to deliver profitability to customers:

“By the way there’s a tremendous, tremendous [inaudible] of thought about whether NVIDIA is giving you bang for the buck. And if Jensen Huang has been saying, and there’s been a lot of good stuff, a lot of good benchmarking lately saying that we’re back to the, you get, you buy an NVIDIA high-end custom made chip and you’re going to make a lot of money, more than you spend.

“[On stock coming off of a five day down] I’m so used to saying that the reason why it’s down is off that weak quarter and then I go over the quarter, it’s probably one of the fastest growing quarters I’ve ever seen. But people, like I said the long knives are out for NVIDIA.”

Recently, Cramer discussed NVIDIA Corporation (NASDAQ:NVDA)’s shares and profit-taking:

“The worst stocks today, as befits the horrendous wave of profit taking, are the best ones of the year. That’s what I told you about when you get to this point in the year, you start ringing the register, which means the artificial intelligence components we all know about, namely NVIDIA and its compadre, remember the long knives… Long knives are what is out for NVIDIA. These stocks are so huge, they can swing the entire market. In this tape, one company can be so big with so many tentacles that it can cast a pall on everything else.”

While we acknowledge the potential of NVDA 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 extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

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