Jim Cramer Put These 6 Stocks Under the Microscope

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1. Tesla, Inc. (NASDAQ:TSLA)

Number of Hedge Fund Holders: 126

Inquiring about Tesla, Inc. (NASDAQ:TSLA), a caller asked if Cramer thought that all the bad news was priced in. He replied:

“Do I think all the bad news is already priced in? What a great question. You know what? I’ll tell you that with the stock down 40%, when this stock’s down 50%, that’s when I feel, because that’s at the level where people just say, I’ve had it. So let’s take a, you know, a little bit more, little bit more pain and then some gain there.”

Tesla, Inc. (NASDAQ:TSLA) designs, builds, and sells electric cars and energy products. The company offers different services that include selling vehicles, offering financing plans, and providing solar power systems and energy storage solutions. ClearBridge Investments stated the following regarding Tesla, Inc. (NASDAQ:TSLA) in its Q1 2025 investor letter:

“Our active underweight to the Magnificent Seven added more than 100 basis points to relative returns for the quarter, with underweights to EV maker Tesla, Inc. (NASDAQ:TSLA) and Google parent Alphabet being among the largest relative contributors. We added to both positions, taking advantage of what we view as short-term weakness as Alphabet missed high expectations for cloud revenue growth in its latest quarter, while Tesla worked through negative sentiment over CEO Elon Musk’s role in the Trump administration.”

While we acknowledge the potential of Tesla, Inc. (NASDAQ:TSLA) 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. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than TSLA but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires

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