Jim Cramer Is Focused on These 15 Stocks This Week

1. Vertiv Holdings Co (NYSE:VRT)

Cramer likes Vertiv Holdings Co (NYSE:VRT) and its chairman but mentioned that the stock is high and recommended waiting for weakness in the stock before buying.

“It’s a pure play data center supplier. It’s a fantastic company with an amazing chairman, Dave Cote… and I like it very much. No Trump issues, but like so many other good stocks, Vertiv’s at $120, not far from the $130 high it reached on Monday. You could put a starter position on here, but I’d rather wait for a little more weakness.”

Vertiv (NYSE:VRT) designs and provides critical infrastructure solutions, including power management, thermal systems, and monitoring products for data centers, communication networks, and industrial environments. During an Investor Event held on Monday, it revealed an expansion of its liquid cooling portfolio, introducing two new CoolChip CDU (Cooling Distribution Unit) systems tailored for AI applications.

The CoolChip CDU 2300kW, a liquid-to-liquid system, provides an impressive 2.3 MW cooling capacity, offering the highest capacity per square foot in the industry. In addition, the company introduced the CoolChip CDU 350kW, a liquid-to-air cooling solution that operates without requiring facility chilled water systems.

On the same day, Vertiv (NYSE:VRT) revealed a partnership with Compass Datacenters, a company that designs, builds, and operates data center campuses for some of the world’s largest technology firms. Together, the two companies are developing a novel cooling solution that allows for flexible deployment between air and liquid cooling systems. This solution is specifically designed to support high-density computing environments, such as those required for AI applications.

Vertiv’s role in this collaboration is to develop and manufacture the cooling technology, while Compass will integrate it into its data center operations. The first units of this new system are scheduled for deployment at a Compass facility in the first quarter of 2025, marking the beginning of what is expected to be a multi-year, multi-billion dollar supply agreement between the two companies.

While we acknowledge the potential of Vertiv Holdings Co (NYSE:VRT) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than VRT but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.

Disclosure. None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and investors. Please subscribe to our daily free newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.