Jim Cramer Discusses These 10 Stocks & Says He’s In Waiting For AI GPU Spending Clarity

4. NVIDIA Corporation (NASDAQ:NVDA)

Number of Hedge Fund Holders In Q3 2024: 193

Cramer started his show once again by commenting on AI GPU giant NVIDIA Corporation (NASDAQ:NVDA). The firm’s shares have lost 12.6% this week after paring back some of their losses during the DeepSeek selloff. The tepid sentiment surrounding NVIDIA Corporation (NASDAQ:NVDA) is driven by investors’ re-calibration of AI spending as they fear that lower costs demonstrated by China’s DeepSeek might lead to significantly lower demand for the firm’s GPUs. Here’s what Cramer said about NVIDIA Corporation (NASDAQ:NVDA):

On whether DeepSeek uncovers NVIDIA’s liabilities “Look I think that there’s a perception that more is less. More chips, more people who know how to use them, more out of China means less for NVIDIA. NVIDIA’s been quiet. But they may have advised people who look at CES, uh, post-interview. Not good enough. I think people have decided that we had a rebound. But the reality is that the order will decline. By the way therefore the power will decline. Because people are figuring out how to use more with less. And David, that’s the big negative thesis.

“. . . NVIDIA has to come out and either say democratization is terrific, but we’re really on a plane doing different things. Or NVIDIA can say, you know what, we gotta work harder because the other guys have something we don’t. If he says the latter, then the multiple will shrink. If he says the former, then the multiple could grow and we could regain . . . “