By Jim Cramer
Publication Date: 2025-12-21 19:40:00
Remember Nvidia? I want to do the unthinkable: give you the rap on Nvidia spouted by the myriad short sellers who seem to want to break this company’s stock and its intellectual property abilities. It’s daunting and, to some degree, beleaguering even for me, its principal supporter in the media. It’s a brutal parade of horrors, so steel yourself, and — spoiler alert — I don’t believe any of these will derail the story of the company that is now valued at $4.4 trillion. The list includes a narrative that is negative, malevolent, anti-Jensen Huang, and, for the selfish purposes of yours truly, oppositional to the trust’s portfolio. Seatbelts on, please. Here are five critiques loved by the Nvidia bears and short sellers, and why I believe they are wrong. Bear case No. 1: Nvidia is no longer the king of AI chips. There are now several better challengers to Nvidia’s chips. Advanced Micro Devices claims that its most powerful chip, the MI450, is quite simply better and cheaper than Nvidia’s next-generation Vera Rubin. That’s why OpenAI announced its monster deal with AMD two weeks after Nvidia’s $100 billion deal, which is regarded as a lazy Susan deal — Nvidia gives OpenAI the money, and OpenAI gets the chips it needs. If Nvidia’s deal were so hot, the AMD hookup wouldn’t have been required. Plus, the AMD deal was done at the highest level by CFO Sarah Friar, and until she made her “backstop” comments about the federal government taking care of deals, she was the…
