CNBC “Mad Money” host Jim Cramer's sentiment toward Nvidia Corp. NVDA stock has blown hot and cold in the past. Earlier this month, the stock picker shared a cryptic tweet that supposedly suggested that Nvidia could be the real AI winner.
What Happened: Close on the heels of Nvidia’s fourth-quarter results, Cramer put out a tweet, urging everyone who has ever bought a tech stock to listen to the graphics chipmaker’s earnings call held late on Wednesday.
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“I have read it twice and I still can’t get my head around it. Going for a third…,” he tweeted.
The tweet sent his followers into a guessing game. Taking a dig at Cramer, one of his followers suggested with the stockpicker refraining from making any prediction, “how are we going to know what to short.” The CNBC host is notorious for making calls that more often backfire.
Another, apparently an Nvidia investor, commented, “Are you bearish on it Jim,” Please say yes. Please say yes.”
A third Twitter user said, “Can someone surmise it for me? I can't do it tonight.”
Why It’s Important: Nvidia, meanwhile, reported better-than-feared quarterly results, with beats on the top and bottom lines and also above-consensus first-quarter guidance.
CEO Jensen Huang and his team drummed up efforts underway at the company to further the AI revolution that has taken hold in the wake of the OpenAI and ChatGPT craze. The company also announced DGX Cloud, which is an AI-as-a-service offering partnering with Oracle Corp. ORCL, Microsoft Corp.’s MSFT Azure, and Alphabet Inc.’s GOOGL GOOG Google Cloud.
Gary Black, co-founder of Future Fund, said Nvidia rose 8% in after-hours trading “after using the term “AI” 18x in the summary section of the 4Q earnings release (before the financial table) vs just 2x in the summary section of the 3Q earnings release.”
Incidentally, on the call, AI mentions were about 90 times, including analysts' questions.
Fund manager Ross Gerber said, “Nvidia report AI AI AI. Up nicely AH. They deliver the goods.”
Price Action: In premarket trading on Thursday, Nvidia shares rose 7.93%, to $224, according to Benzinga Pro data.
Read Next: Trading Strategies For Nvidia Stock Before And After Q4 Earnings
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