CoreWeave (CRWV)'s Really Important to NVIDIA, Says Jim Cramer

We recently published 10 Stocks Jim Cramer Discussed.  CoreWeave, Inc. (NASDAQ:CRWV) is one of the stocks on Jim Cramer discussed.

CoreWeave, Inc. (NASDAQ:CRWV)’s shares, like those of OpenAI’s, have seen friction over the past couple of months. Since late October, they have lost 45% amidst chatter in the market about sluggishness in data center buildout and an AI bubble. CoreWeave, Inc. (NASDAQ:CRWV)’s shares have seen analyst action as well in December. For instance, Citi resumed coverage with a Buy rating but cut the share price target to $135 from $192 on December 19th. Citi’s coverage followed Mizuho’s, which cut CoreWeave, Inc. (NASDAQ:CRWV)’s share price target to $92 from $120 on December 16th and kept a Neutral rating. Mizuho explained that the data center company might experience tailwinds from the software sector in the form of AI, data modernization, and other factors. For his part, Cramer has remained optimistic about CoreWeave, Inc. (NASDAQ:CRWV) despite the recent share price headwinds. In this appearance, he commented on the firm’s proximity to AI chip giant NVIDIA:

“People don’t understand Intrator. Intrator is the guy who NVIDIA calls when they want to have these sites managed, they want to build. There were some unfortunate things that happened, but they were tied up with Core Scientific. Everybody’s going to have trouble building these things, because you just can’t get the workforce. . . we don’t have enough people who don’t know what the heck they’re doing.”

While we acknowledge the potential of CRWV 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.

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