Jim Cramer says that “more Chinese means less for Nvidia Corporation (NVDA)”

We recently published an article entitled Jim Cramer discusses these 10 shares and says that he awaits the clarity of the GPU expenses. In this article, we will examine where Nvidia Corporation (Nasdaq: NVDA) comes down to the other actions that Jim Cramer has recently discussed.

During his last appearance on Squawk of CNBC in the street, Jim Cramer commented whether the low development costs demonstrated by the models of the deep AI of China would reinforce the expectations of investors of the IA expenditure . Since the start of the AI ​​wave in November 2022, companies have committed and spent hundreds of billions of dollars to obtain AI GPUs and develop data centers to host them. High expenditure requirements have also led President Trump to announce a huge Stargate project of $ 500 billion earlier this month.

However, the actions of the data center collapsed on Monday and destroyed a Billion of dollars of value because investors were concerned whether the low development costs of AI would mean that these expenses would not materialize. Cramer is divided on the general feeling with regard to the expenses of the AI ​​after the deep sale.

He commented that the lower costs are “the theme of the moment because some people saw him coming”. Cramer added “And yet they have always ordered. This would be the case of Zuckerberg, perhaps the musk piece.” On the other hand, he pointed out that the others “just say oh my, in what I am, I’m going to go buy a double nvidia short.” Finally, the CNBC host also shared a third category of people “who think it is (Wall Street’s favorite GPU stock) a hand cream”.

While investors were concerned about the drop in IA costs resulting in a lower request for articles such as GPUs, another story wondered if the lower costs meant that the development of AA would open to more companies and entities that higher costs had previously allowed it. Cramer admitted that this was possible, but added that it also meant that “the monopoly rent that people believe that” GPU’s first company “had left”. He added that he was in waiting mode and look at AI spending.

Cramer noted several events which could point out to him that the narrative change surrounding the expenses of the AI ​​was permanent. One of his tests “The test would be, uh, is, three miles, will not be reopened? It would be the one I must hear.” The second pilot who could convince the host of the CNBC television program of a paradigm shift for the expenses of the AI ​​would be reports of “any recoil (GPU). And I have not yet heard this “. Cramer added “But that’s not necessarily what people will announce:” Listen, I decided … If this thing only needs a tenth of the power, a tenth of the calculation, eh Well I go to cut my orders from nine tenths. I haven’t heard that yet, but this thing is.

History continues