“It will only get worse”

We recently released a list 10 Jim Cramer stock watches in Trump tariff war. In this article, we will explore the positions of other stocks discussed by NVIDIA Corp (NASDAQ:NVDA) with Jim Cramer.

Jim Cramer talked about the latest signs of a downgrade in a trade war between the United States and China in a new plan for CNBC and told investors that even bear market rally could be a positive signal. However, Clay defaulted that the U.S. government has not yet made any clear views on China's policies.

"For heaven's sake, they always start with bear market rallies. They always start with bear market rallies. They are rarely based on the fact that it's hard. When you get this kind of rallies, this doesn't happen, it doesn't happen because someone gives you a green light to start buying. You don't get a statement from the president of the trade war that everything is behind normal."

In addition to active coverage of the U.S.-China tariff front, Kremer also mentioned the latest reports on President Trump's position on Fed Chairman Jerome Powell, saying that the possibility of Trump firing the head of the central bank seems to be "not on the table."

Please read also: 7 Best Stocks to Buy in Long-Term and 8 Cheap Jim Cramer Stock Investing.

In this article, we recently selected 10 stocks on his latest show on CNBC. In the case of stock per share, we all mention the number of hedge fund investors. Why are we interested in stocks that hedge funds to accumulate? The reason is simple: Our research shows that we can beat the market by mimicking the top stocks of the best hedge funds. Our strategy for quarterly newsletters selects 14 small and large stocks every quarter, returning 373.4% since May 2014, beating its benchmark by 218 percentage points (See more details here).

Jim Cramer of NVIDIA (NVDA): "It's just going to get worse"

Number of hedge fund investors: 193

Jim Cramer said in CNBC's latest plan that although he still believes in the long-term prospects of NVIDIA CORP (NASDAQ:NVDA), he doesn't think the stock has fallen.

"I saw stocks fall from here. I've been saying it's turned into a whipped boy. I've been saying that the tariffs tonight will get worse. Trust me, trust the stocks, but now understandable, it's not right now. Here, less than 25 times here, and less than 25 times the revenue this year, although I don't think NVIDIA can be cheap. It means the stocks are in the wrong hands."

Kramer is right. The market will continue to punish NVIDIA because they do not meet their huge (sometimes unrealistic) growth expectations. About 50% of the company's revenue comes from large cloud providers, which rethinks their plans as DeepSeek releases and looks for low-cost chips. NVIDIA's first-quarter guidance showed QOQ revenues rose 9.4%, down from the top 12% QOQ growth. Its adjusted profit margin is expected to drop significantly to 71%. The market didn't like it when Nvidia failed to release a strong quarterly season. The stock will remain stressed over the next few quarters, when the company will report impressive growth.

Nvidia faces challenges on multiple levels. Competition is one of them. Major competitors such as Apple, Qualcomm and AMD are competing for TSMC's 3NM capacity, which could limit Nvidia's access to these chips. Why? Because NVIDIA also uses TSMC's 3NM process node. Nvidia also faces direct competition from other giants who decide to make their own chips. Amazon and its Trainium2 AI chips offer alternatives. The Trainium2 chip provides cost savings and excellent computing power, which could shift AI’s workloads from NVIDIA’s products. Apple is reportedly working with Broadcom to develop AI server processors. Intel is also working to re-enter the game using the Jaguar Shores GPU, which will be produced on its 18A or 14A nodes.

The Alger Spectra Fund pointed out the following about NVIDIA Corporation (NASDAQ:NVDA) in its 2025 investor letter in its Q1 Investor Letter:

“Nvidia Corporation (NASDAQ:NVDA) is a leading provider of graphics processing units (GPUs) for a variety of end markets, such as gaming, PC, data center, virtual reality and high performance computing. The company is ahead of computing in most secular growth categories, especially artificial intelligence and supercomputing parallel processing technologies used to solve complex computing problems. We believe that NVIDIA's computing power is a key driver of AI and is therefore crucial for AI adoption. In the quarter, stocks hurt performance due to multiple factors. In January 2025, investors were worried about the emergence of advanced AI models in China, reportedly developed with lower costs and reduced computing requirements, which raised doubts about the market advantages of NVIDIA. In addition, U.S. President Donald Trump announced new tariffs aimed at the industry have increased concerns about higher operating costs. Despite these headwinds, Nvidia reported strong fiscal fourth quarter results, with its data center segment driving substantial revenue growth. On the revenue call, CEO Jensen Huang highlighted the growing computational requirements for future AI models, noting: “The more computations, the more ideas the model has, the smarter the answers,” adding that future inference models can require more computing resources. We believe that NVIDIA's leadership in expanding AI infrastructure, including advances in reasoning during inference and reasoning, can drive adoption between enterprises and startups, ensuring ongoing demand for their high-performance chips and software solutions. With older chips being reused and new clusters deployed, we see NVIDIA being well-placed to take advantage of rising computing demands in AI applications. ”

Overall, NVDA Ranked second On the stock list we discuss by Jim Cramer. Although we acknowledge the potential of NVDA as an investment, our belief is that AI stocks have greater hope in radar stocks that can provide higher returns in a shorter time frame. AI stocks have risen since the beginning of 2025, while popular AI stocks have lost about 25%. If you are looking for AI stocks that are more promising than NVDA but have less than 5 times its earnings, check out our report Cheapest AI stocks.

Read the next article: Buy 20 Best AI Stocks Now and According to the billionaire, there are now 30 best stocks.

Disclosure: None. This article was originally published in Internal monkey.