We recently published a list of 10 Jim Cramer Stocks to Buy and Sell Now. In this article, we are going to take a look at where NVIDIA Corporation (NASDAQ:NVDA) stands against other stocks that Jim Cramer discussed.

Jim Cramer in a latest program on CNBC talked about President Donald Trump’s attack on Federal Reserve Chair Jerome Powell and said he was expecting this to happen “weeks ago.” Cramer said that he “likes” Powell and thinks the central bank chief is now in a difficult situation. Cramer thinks it’d be “illegal” for Trump to fire Powell.

“The Federal Reserve never cuts rates when inflation’s out of control, which it very well could be once the tariffs are all in. I think the Fed chief wants to find out if that’s going to happen. I like Powell, you know that. I think he’s generally done a good job, a good public servant. Unfortunately, right now, he’s stuck between a rock and a hard place. Now, history says he should be doing exactly what he’s doing, but history is now in the eye of the beholder, and there’s only one beholder in this whole country, and it ain’t J. Powell.”

Cramer said that tariffs will result in higher prices, and that will in turn make the central bank’s job difficult because it cannot cut rates when prices are going up.

READ ALSO: 7 Best Stocks to Buy For Long-Term and 8 Cheap Jim Cramer Stocks to Invest In.

For this article, we picked 10 stocks Cramer was talking about in his recent programs. With each stock, we have mentioned the number of hedge fund investors. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

NVIDIA Corporation (NASDAQ:NVDA)

Number of Hedge Fund Investors: 193

Jim Cramer said in a latest program on CNBC that investors were expecting a bump in NVIDIA Corporation (NASDAQ:NVDA) shares when the GTC started, but the stock actually fell.

“You’d expect some sort of impact on the stock market or at least in the stock of Nvidia but that sure didn’t happen today. We learn that nothing’s more powerful than multiple compression as Nvidia stock actually slid $410. It declined 3.4%. I say, ouch. Okay, I can see a bear case here although I don’t share. My charitable trust is a big position stock and Nvidia stock isn’t cheap unless everything goes right, and in this climate of fear environment, it’s hard to see everything go on right even for a company that is this special. And oh my, after watching today’s keynote, it always reminds you how special it really is. Just because 17,500 people get together to listen to Jensen Huang, that doesn’t mean you’re going to get higher stock prices. Sometimes the tape is simply against you. End of story.”

The market will keep punishing Nvidia for not coming up to its gigantic (and sometimes unrealistic) growth expectations. About 50% of the company’s revenue comes from large cloud providers, which are rethinking their plans amid the DeepSeek launch and looking for low-cost chips. Nvidia’s Q1 guidance shows a 9.4% QoQ revenue growth, down from the previous 12% QoQ growth. Its adjusted margin is expected to be down substantially as well to 71%. The market does not like it when Nvidia fails to post a strong quarterly beat. The stock will remain under pressure in the coming quarters when the company will report unimpressive growth.

Nvidia is facing challenges at several levels. Competition is one of them. Major competitors like Apple, Qualcomm, and AMD are vying for TSMC’s 3nm capacity, which could limit Nvidia’s access to these chips. Why? Because Nvidia also uses  TSMC’s 3nm process nodes. Nvidia is also facing direct competition from other giants that are deciding to make their own chips. Amazon, with its Trainium2 AI chips, offer alternatives. Trainium2 chips could provide cost savings and superior computational power, which could shift AI workloads away from Nvidia’s offerings. Apple is reportedly working with Broadcom to develop an AI server processor. Intel is also trying hard to get back into the game with Jaguar Shores GPU, set to be produced on its 18A or 14A node.

Parnassus Growth Equity Fund stated the following regarding NVIDIA Corporation (NASDAQ:NVDA) in its Q4 2024 investor letter:

“NVIDIA Corporation (NASDAQ:NVDA) continued to lead the market for graphics processing units and semiconductor chips needed to power AI applications. Because our position in the stock is an underweight relative to the nearly 12% of the benchmark it now represents, it was a relative detractor for the year.”

Overall, NVDA ranks 1st on our list of stocks that Jim Cramer discussed. While we acknowledge the potential of NVDA as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than NVDA but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.