Jim Cramer Comments On Michael Burry's NVIDIA (NVDA) Short Position

We recently published 10 Stocks Jim Cramer Discussed Including His Palantir Deep Dive. NVIDIA Corporation (NASDAQ:NVDA) is one of the stocks Jim Cramer recently discussed.

AI chip giant NVIDIA Corporation (NASDAQ:NVDA) factored into the discussion as Cramer discussed Palantir and Michael Burry’s short position in the data analytics company and the chip designer. Burry’s fund has bought more than a billion dollars of put options in the two companies’ shares, with $187 million belonging to NVIDIA Corporation (NASDAQ:NVDA). Cramer defended NVIDIA Corporation (NASDAQ:NVDA) against Burry and commented that the firm is the “best” technology company that’s crossed his radar:

“Look I, it’s interesting this fellow, Burry whom I don’t know, I mean he’s shorting NVIDIA too. Now that’s another one who I’ve looked at. 5 trillion dollar company. Well is it worth 5 trillion? It’s the best tech company I have ever seen. And I don’t know how to value it, other than to say when I look at the past, I see it selling at 28 times earnings when it looked like it was selling at 80 times earnings.

“[On a WSJ report saying how his lobbying for the China sales ran into a brick wall when it came to the Secretary of State and some others] I just think that there was this unfortunate dichotomy between the best or the worst. There are plenty of chips that I think that would have made it so the Chinese were on the hook to us. But I know it became globalist versus non globalist. Jensen is really perceived as being the ultimate globalist in Washington. I think his view was, if you let them write on our stuff, the software, we’ll be more powerful and they were never going to use us for defense anyway. I think both sides had decent arguments. I came down, look I came down with Jensen cause I thought he was more persuasive. The other guys I just think are just saying, listen, they’re not going to get it, so we’ll just, we’ll keep it from them.”

“I know that when you speak with the Peter Navarro contingent, Peter’s been rather quiet, in the White House. He would say that listen, that he’s the foremost globalist of our time. And I would say no, if you listen to him, what he’s saying is, if you want to know what the Chinese are up to, have them write on our hardware. And I thought that made sense.”

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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.