5 Jim Cramer Stock Picks This Week

3. NVIDIA Corporation (NASDAQ:NVDA)

Upside Potential: 24.03%
Price target: $506.72

NVIDIA Corporation (NASDAQ:NVDA) is a company that designs and develops graphics and computer networking solutions. It’s been one of the biggest winners amid the artificial intelligence boom depicted by the stock rallying over 200% and propelling the company to a market cap of over $1 trillion.

While there have been concerns about the stock’s valuation, Cramer believes there is still some significant upside potential given that the AI race is starting and NVIDIA Corporation (NASDAQ:NVDA) is a force to reckon with. The company launching a new AI-tailored chip all but underscores its tremendous potential to dominate the segment for many years to come.

“The more Nvidia chips you buy the more you will save on the rest of your business. No wonder this stock is the year’s biggest winner. Find me another company that can invent something that upends the world as we know it that can impact $50 trillion in heavy industry when you look at it through that lens Nvidia absolutely deserve this 1.1 trillion valuation, if anything this number is too low,” Cramer said.

Likewise, NVIDIA Corporation (NASDAQ:NVDA) commands an average $506.72 a share price target on Wall Street, implying a 24.03% upside potential from current levels.