Jim Cramer praised Nvidia Corporation (NASDAQ:NVDA) over tech behemoths like Apple Inc. (NASDAQ:AAPL) and Microsoft Corporation (NASDAQ:MSFT). Cramer’s endorsement of the Jensen Huang-led company is based on its future earnings potential, making it a more attractive investment.
What Happened: Cramer’s analysis underscored the tech industry’s growing dependence on Nvidia’s chips, CNBC reported on Monday. He emphasized that any company that manufactures hardware, connects to the internet, or operates multiple data centers requires Nvidia’s chips to stay competitive.
Cramer also mentioned that Nvidia’s stock, despite being priced at 46 times earnings, has historically been a good investment. He argued that the company’s stock price seems overvalued only superficially. In reality, Nvidia’s stock tends to be undervalued ...