We recently published an article titled Jim Cramer Discusses These 18 Stocks & President Trump’s $500 Billion AI Plan. In this article, we are going to take a look at where GE Vernova Inc. (NYSE:GEV) stands against the other stocks Jim Cramer recently discussed.
In his latest appearance on CNBC’s Squawk on the Street, Jim Cramer had a lot to say about a lot of stocks. Along with stocks, he was also full of comments about the new Trump administration and how it’s different from the previous one. Cramer shared, “If you go back over the councils that were disbanded post-Charlottesville, what you would see are a lot of traditional industrialists and drug companies.” According to him, “These were the people that were not drawn to, by Elon Musk. Elon Musk has changed the equation” to increase the role that technology companies and executives are playing this time around.
Commenting further on Musk, Cramer shared, “Now, by the way, there’s a lot of talk now about where is Elon Musk?” This means wondering where he is “in terms of having people in powerful positions say, in the Defense Department.” Cramer believes that Musk “doesn’t seem to have them” and added, “If Musk wants to be meaningful, I don’t want a seat at the table, I want a table.”
The CNBC host also mentioned some industries that will benefit from AI. As part of a discussion about the returns from the multiple billions of dollars that firms have invested into AI, Cramer cautioned not to “forget healthcare.” He believes “Healthcare’s gonna be a very big, very big part of AI. David, it’s not yet. And we need that, well-meaning people who believe in the industry have to have what people who are more than just trying to figure out how to make it so there’s a call center that’s better.”
Cramer also shared his thoughts about the breadth of market performance during the day. While markets were rising, he noted, “Yet the S&P oscillator I follow, [inaudible] is slightly overbought, there’s a lot more room.” Cramer believes “there’s a considerable part of the market that has done nothing. Nothing for years. And that’s coming on.” He doesn’t like small-cap stocks either. “And I’m not a small cap aficionado,” Cramer commented. He believes, “That stuff doesn’t work. People always try to chin that up. And then somebody sells a big small cap derivative.” The host added that instead of small-cap stocks, he likes “companies that frankly, what we, you know we didn’t think all that much of the second tier tech companies that are really taking off. The semis that haven’t done anything lately.”
As for President Trump, Cramer believes that he needs to look at insurance costs that affect a large number of Americans. According to him:
“The President has to take a look at these issues. Because this is where the, the copay, your insurance, your group insurance, your property, casualty insurance. That’s where the President’s going to put it. If he wants to put a stake in the inflation. He goes after the pharmacy benefits managers.”
Our Methodology
To make our list of the stocks that Jim Cramer talked about, we listed down all the stocks he mentioned during CNBC’s Squawk on the Street aired on January 22nd.
For these stocks, we also mentioned the number of hedge fund investors. Why are we interested in the stocks that hedge funds invest in? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points. (see more details here).
Wind turbines against a backdrop of the sky, signifying the power of renewable energy.
GE Vernova Inc. (NYSE:GEV)
Number of Hedge Fund Holders In Q3 2024: 89
GE Vernova Inc. (NYSE:GEV) is an industrial equipment company that caters primarily to the needs of the power generation industry. The firm is a key player in nuclear power generation, and it has been a standout stock for Cramer when it comes to benefiting from growing nuclear power demand from data centers. In his previous remarks, Cramer has stressed multiple times that GE Vernova Inc. (NYSE:GEV) is the only viable nuclear play despite the fact that it doesn’t expect returns from nuclear before the next decade. His latest comments built on this opinion:
“I think that one of the most important things that came out of it that’s not been talked about, he, Scott’s just basically said, he didn’t take back his nuclear stuff, being that it’s 2032-2033. He did say that the orders they are getting now to reboot these decommissioned [nuclear plants] are extraordinary. There’s going to be a renaissance. And it’s ahead of schedule. I asked him, I said listen, don’t do this to me, I’m going to go all heavy on this ship. I don’t, hold me back, hold me back. And he goes, okay, you see [inaudible] five gigawatts of nuclear power in the US between existing facilities and restarting existing fleets of approximately sixty five plants. Five gigawatts would power approximately four million US homes. They’re talking about South Carolina, they’re talking about doing a Diablo Canyon. They’re going to Japan! Where Japan is recommissioning after Fukushima. To London. It is a nuclear renaissance and it is now.
“[on South Carolina] And that’s going to be them. They have the capability of bringing these back online. And it’s cause of the data centers. This is a real good story.”
Overall GEV ranks 7th on our list of the stocks Jim Cramer recently discussed. While we acknowledge the potential of GEV as an investment, our conviction lies in the belief that some 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 GEV but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
