Jim Cramer Says "Chatter" About NVIDIA (NVDA)'s Circular Deals is "Nonsense"

We recently published 14 Stocks on Jim Cramer’s Radar.  NVIDIA Corporation (NASDAQ:NVDA) is one of the stocks on Jim Cramer's radar.

NVIDIA Corporation (NASDAQ:NVDA) is a regular stock on Jim Cramer’s radar. The CNBC TV host is one of the stock’s biggest proponents. As January kicked off, Citi reiterated a Buy rating on the shares and kept a $270 share price target. The bank commented that NVIDIA Corporation (NASDAQ:NVDA) had surprised it during meetings held at the Consumer Electronics Show in Las Vegas. CES was a packed event as the firm announced its Rubin chips. More recently, Cramer was impressed by a discussion between NVIDIA Corporation (NASDAQ:NVDA) CEO Jensen Huang and Eli Lilly’s David Ricks, where the two discussed extending the human lifespan. Cramer defended the stock on X on the 26th when he commented that he was “not oblivious to the fact that the stock does not ‘act’ well but Nvidia, the company, is doing extremely well and i remain steadfast that you should own not trade the stock.” Cramer added that:

“Understand when i say “sloppy” about Nvidia, i mean the stock. I did think it would go higher today… until i heard endless chatter about circular deals, which I think is Nonsense.”

NVIDIA Corporation (NASDAQ:NVDA) also expanded its relationship with CoreWeave yesterday after it invested $2 billion in the firm as part of an AI Factory, or an AI data center, buildout acceleration deal. While the shares closed 0.64% lower, Cramer commented:

“If you go back over what Jensen said this morning he confirmed strong demand, he made it clear that the Coreweave relationship is about cementing a relationship that can help many companies that otherwise may not have access to Nvidia chips.”

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.

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