Jim Cramer recently discussed the importance of discipline during market rallies, advising investors to take profits when necessary. He emphasized the need to prepare for the future and not give in to market euphoria. Cramer referenced the post-COVID rally of 2020 and cautioned against holding on to stocks too long as gains can evaporate quickly. Cramer’s latest portfolio includes stocks that hedge funds are accumulating, as research has shown that mimicking their picks can outperform the market. One such stock is Nvidia Corp (NASDAQ:NVDA), which has 186 hedge fund investors and is considered a strong buy by Cramer.
Cramer believes that Nvidia Corp (NVDA) should be owned but also traded, as the stock has been on a strong bull run. He remains a true believer in Nvidia but acknowledges the massive gains the stock has seen. Analysts expect a pullback in Nvidia stock in the coming weeks, and Cramer advises taking profits when necessary. Nvidia’s latest products and future plans indicate continued growth, with new AI architecture and chips outperforming competitors. Wall Street estimates predict significant growth for Nvidia, with the stock currently trading at an attractive valuation.
The RiverPark Large Growth Fund highlighted Nvidia’s impressive performance in the first quarter of 2024, driven by strong data center sales and demand for its GPUs. Nvidia has evolved from a gaming-focused chip supplier to a leading semiconductor/software company, with consistent revenue growth and increasing free cash flow. The company’s CEO, Jensen Huang, anticipates a shift towards accelerated computing as businesses adopt generative AI technology. Despite Nvidia’s potential, some AI stocks may offer higher returns in a shorter period.
Overall, Nvidia Corp (NVDA) is ranked first on Insider Monkey’s list of the 10 best stocks to buy from Jim Cramer’s latest portfolio. While the stock shows promise, investors may consider exploring other AI stocks with potential for higher returns. Analysts project a $25 billion opportunity for Nvidia moving forward, and Cramer recommends keeping an eye on these 10 stocks for June. This article was originally published on Insider Monkey.
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https://finance.yahoo.com/news/jim-cramer-said-nvidia-corp-153125266.html
