Oracle (ORCL)'s "The Only One I'm Worried About," Says Jim Cramer

We recently published 11 Stocks Jim Cramer Discussed, Including A Potential “Worst Stock Ever”. Oracle Corporation (NYSE:ORCL) is one of the stocks Jim Cramer recently discussed.

Oracle Corporation (NYSE:ORCL) has become one of the most important companies in today’s AI race. The firm hosts and provides computing capacity for AI software firms. The shares also saw significant action last month after Oracle Corporation (NYSE:ORCL) revealed a $455 billion cloud backlog. The revelation sent its shares soaring, and Cramer has discussed the firm several times since then. He has opined that Oracle Corporation (NYSE:ORCL) could become the next trillion-dollar firm due to its success with the AI positioning. At the same time, Cramer has also cautioned that ” there should be some recognition of the risk that these guys are taking.” In this appearance, he reiterated that he was concerned about Oracle Corporation (NYSE:ORCL):

“Look, the only one I’m worried about, and I’ve been assured by Hock Tan, he’s one of the toughest guys in the world, not to worry about the Oracle, it’s fine.”

As for the reason why Cramer’s worried about Oracle Corporation (NYSE:ORCL), here is what he said on Mad Money on October 27th:

“At this point, basically, all of the major players in the AI data center trade, from Nvidia to Broadcom to AMD to CoreWeave, are taking a risk in that they’re assuming OpenAI will be good for the massive amounts of money it’s committed to spending and no one has more exposure to that than Oracle, which is expecting to get 60 billion per year from OpenAI in their five year deal. Wow. Everyone in the industry seems to think OpenAI will be good for the money, but no one needs them to be good for like Oracle does.”

While we acknowledge the potential of ORCL 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.