Jim Cramer’s Best Performers List: 12 Stocks Cramer is Talking About

2. NVIDIA Corporation (NASDAQ:NVDA)

Number of Hedge Fund Holders: 179

Here’s what Cramer had to say about NVIDIA Corporation (NASDAQ:NVDA):

“People are just beginning to realize that maybe it wasn’t just a gaming company with some real fast graphics chips…Eventually, NVIDIA and its renaissance man, CEO Jensen, pioneered both accelerated computing and generative AI. We speak too much about the latter, not enough about the former. Accelerated computing is what makes things really work here. In other words, NVIDIA created machines that think faster than you do and soon will do almost anything better than you can do

Now, I don’t want you freaking out. We’re in charge here. We make the decisions, but AI saves a lot of time… which is why it’s such a revolutionary technology for the enterprise and it’s about to get even better because we’ll see an amazing jump on the fly thinking from generative AI when NVIDIA’s new line of Blackwell chips gets fully deployed next year. They are so powerful, so fast, these guys basically invented a chip that is so quick that it created the entire AI business outta thin air. It wasn’t possible before, but now it can do incredible things and very soon it’ll be both faster and better.

By the way, I think it’s gonna do some stuff with video that’s gonna blow you away. I’ve never seen a company have such demand for its products, including demand from Tesla, which needs Nvidia for self-driving cars… The whole thing’s remarkable and the stock’s 1072% gain over the past two years was right there for the taking. As CNBC Investing Club members well know, I do think it’s got more upside, which is why I always say own it, don’t trade it. It does put a smile on my face.”

NVIDIA (NASDAQ:NVDA) initially gained widespread recognition in 1999 with the introduction of the GeForce 256, celebrated as the world’s first graphics processing unit (GPU). Today, it maintains a dominant position in the GPU market, largely thanks to its A100 and H100 chipsets, which have significantly contributed to the company’s record revenue and profit growth over the past few years.

The company’s new Blackwell series GPUs are anticipated to become a major product for the company. CEO Jensen Huang recently expressed excitement about the overwhelming demand for Blackwell, commenting that interest is incredibly high and that many are eager to be at the forefront of this innovation.

Among the noteworthy advancements is NVIDIA’s (NASDAQ:NVDA) concept of “physical AI,” which involves the deployment of semi-autonomous robots capable of interacting in real-world environments. A significant partnership with Foxconn, the electronics supplier, is already in place to develop and train AI-driven robots.

In the second quarter, the company reported a remarkable 122% increase in revenue compared to the previous year, reaching $30 billion. It was fueled by a heightened demand for data center GPUs, particularly the H100 and H200 models.