We recently published an article titled Was Jim Cramer Right About These 12 Stocks? In this article, we are going to take a look at where Marvell Technology, Inc. (NASDAQ:MRVL) stands against the other stocks.
Back then, Cramer was focused on the impact of future rate cuts and how different stocks would react. He argued that the market had become simple:
“Stocks that benefit from rate cuts get bought. Stocks that don’t benefit get sold.”
At that time, Cramer pointed to McDonald’s as an example of a rate-cut winner, despite the company having weak earnings at the time, saying:
“This market doesn’t care that it’s doing badly. It just treats the Golden Arches as a rate-cut winner.”
Meanwhile, he appeared rather bearish around big tech at the time. He warned against buying the “Magnificent 7”, saying that while they had thrived despite rate hikes, they wouldn’t necessarily benefit as rates came down. Here’s how he put it back then:
“For years now, the market has been rallying on companies that don’t need to borrow money, that don’t need rate cuts. But the flip side is that they won’t really benefit as rates come down.”
Tech stocks were under pressure at that time, and Cramer saw no short-term relief:
“For tech, the watchword is three words my staff loves to say: get out now.”
Cramer expressed some interesting opinions in that particular show. Let’s see how each prediction unfolded 7 months later.
Our Methodology
For this article, we compiled a list of 12 stocks that were discussed by Jim Cramer during the episode of Mad Money on July 30, 2024. We then calculated their performance from July 30th, 2024, market close to February 14th, 2025, market close. We have also included the hedge fund sentiment for the stocks, which we sourced from Insider Monkey’s Q3 2024 database of over 900 hedge funds. The stocks are listed in the order that Cramer mentioned them.
Note: This article covers Jim Cramer’s commentary from July 30, 2024, and does not account for any changes in his opinions regarding the stocks mentioned. Therefore, the commentary should not be mistaken for his latest opinions on any of the stocks that are mentioned.
Why are we interested in the stocks that hedge funds pile into? 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).
An assembly line in a semiconductor factory, with workers at their stations.
Marvell Technology, Inc. (NASDAQ:MRVL)
Number of Hedge Fund Investors: 103
A concerned caller asked Cramer about his opinion on Marvell Technology, Inc. (NASDAQ:MRVL), which Cramer saw as a stock that was under pressure, but still worth owning.
“The stock is probably being hurt, but Marvell the company, Matt Murphy is doing a terrific job.”
He believed the long-term AI trend still supported Marvell.
“I actually would own the stock,” he concluded.
That was indeed a very good call, as the stock has surged by almost 70% since the show aired in July.
Cramer has once again praised the company’s CEO for his strong conviction in a more recent episode of Mad Money:
“Matt Murphy is a very calm, very exciting triathlon, you know I’ll beat you no matter what, guy. And he kept trying to say it’s happening; the inflection is happening. I don’t think he got the word. So, then he just went and bought a million dollars of the stock. In the market. . . and said listen, you don’t believe me? Here’s a million bucks. And that was his money put in okay. I’m cancelling 10B, I’m putting in the Form 4. And that was the bottom! And that was a very important thing.”
Overall MRVL ranks 11th on our list of the stocks Jim Cramer recently discussed. While we acknowledge the potential of MRVL 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 MRVL but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.
Disclosure: None. This article is originally published at Insider Monkey.
