Um, ha- has your outlook in any way, Jim, changed regarding any of the hyperscalers based on the events of this past weekend and what you're hearing from folks there?

No.

All right, so it's great.

It's a great question 'cause on Sunday, all right, I'm coming from the game.

You know, the, the Eagles game.

And, sorry, because I know 'cause of Washington.

And I just said, "Oh my God.

Can you give us an idea of what you hope to, to get out of that?

Jim, back over to you.

All right.

Thank you so much, Mike.

And I'm gonna look at more obviously into the Nvidia numbers when, uh, when Jensen Huang comes and speak to us later.

Okay.

So uh, Dario, I, I wanna try to understand.

I mean, for people who aren't that, who are not that close to how technology works, right now you have a query.

You know, there's a huge amount of value that can be unleashed through this combination.

So how do you react when you get things right or wrong?

Well, like yesterday I said IBM.

I said I had really believed in Arvind Krishna.

I think he's terrific as a CEO.

I thought that they could transcend this problem of s- of software, uh, ge- getting pushed down.

They've got a good hardware business.

I did not see that the cost of smaller hardware like DRAMs had gone up so much, semiconductors, that people were saying, "You know what? Arvind, we can't buy your heavy machines right now.

What was it?

So...

Well, you know, but that's okay.

You can buy more.

Uh, uh, my friend Brad Gerstner said a lot of really good things about what the actual deal means.

I feel like that in some ways we're losing everywhere against the Chinese, or at least the press makes us feel like it, but we're not losing in space.

We're not losing in space 'cause Elon Musk has a vision.

You're allowed to buy a piece of what Elon Musk is doing.

It might take a while for this one to really be, you know, a, a, a massive wealth builder.

What do you make of this verdict?

Well, I think that Elon Musk did something very clever.

There are three ways for him to win.

One is that he tied up these guys.

It's open AI so that maybe he can come in first.

You want to come first in the shoot because that's when the most money will be.

That's the most that's left.

It's the biggest IPO.

Fidelity Brokerage Services LLC, member NYSE SIPC.

[upbeat music] Jim Cramer here to share a short preview of my take on the market from today's members-only CNBC Investing Club morning meeting.

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That's one word: morningtake.

[screen whooshes] I, I think the most important thing is that there's a near-term profit coming.

I, I think a lot of the naysayers are either doomers, people who believe that we're all gonna be working for machines, or people who think that there's no payoff.

Yeah

Did he mention how the landscape is maybe changing? Well,

behind the scenes, I did a lot of work on this.

And I'm just not getting that he's upset about them.

He remembers very well that it was Sam who really was the first to realize what Jensen had.

He's incredibly loyal.

He's not oblivious.

This is a company that at times has not demonstrated itself as a mature way.

It's not, obviously.

When did you realize that was your calling?

Okay, that was my mom who said, there was a big fight with my, it's actually kind of a, I'm going to tell a sad story for a sec, but there was a big, but this crowd will get it.

My mom had kidney cancer and she was a welder, she did metal sculpture, she worked at a museum gift shop and she got what's known as welder's cancer.

At that point, it was fatal, it's not fatal anymore.

And she was being bombarded by radiation.

And something happened in her brain that made it so that she could not control her brain.

She could not restrain herself.

Now,

Does Mark Zuckerberg have another breakout hit? And maybe it's the glasses.

I hate to go against him, and I love the glasses.

Uh, I think the glasses are a- a really, really good rival to the iPhone.

Um, but the...

People are used to one thing in their hands and they're not appalled.

They're not bummed out by it.

When I was using the glasses when I was fishing, I was like, "Wow, these are so cool.

Yeah.

Wow.

Because they have a high end and then they have the, the low end.

And the low end gives them the 10 mobile and the high end gives them the 20 mobile.

And I've been talking to Sanjay, whom I really like, and it's like, I'm like, "Sanjay, you have to, like, do this." (laughs) And he's like, "Jim, I don't need to do that." And so today he does it, the stock's down 12.

So I text him, I said, "Come on." He goes, "I'm in quiet." And I'm like...

And I wrote, "I'm not in quiet.

I think you're fabulous." (laughs) And, and, but that's because I remember the '95 breakdown where the- Yeah.

(laughs)

So-

I really believe that.

And if you go back over 100 years, you'll see that it's just been historical that that award, that that will work.

Uh, tobacco unfortunately is the best, the, the greatest performer of all time with Philip Morris.

But you could see that.

That's e- when people get hooked on a product, what a great... th- I didn't, but what a great product.

You get hooked on it and it's legal.

Yeah.

And, you know, sooner or later it's got to

happen.

Look, you're absolutely right.

I do think that AMD is telling a story which basically says, look, We're ahead of where the Grace Blackwell is by this time next year.

But the problem that Lisa Su has is it won't be against the Grace Blackwell.

It will be against the Vera Rubin.

So she's going to fall once again a generation behind.

Is there anything about the AI trade in terms of the concerns that investors have brought to the fore about financing, about maybe component costs eating into margins, about the circular nature of all the financing that concerns you? At what point do you say, you know what, maybe there's a few questions that need to be answered here?

I mean, have investors already made their money in this market in 2025?

I am concerned that you're coming in at a level where it may not be the best, but then again, you get Liberation Day, where the market fell apart.

And I was sitting right there at my desk and saying, finally, I'm getting my prices.

So their individual stocks give you individual prices.

Now, I know I want to be a little more timeless than just saying, listen, it's time to buy Boeing, which I think it is, by the way.

But there are always bargains.

I mean, even though the averages are up really big, there's tons of stocks in the S&P equal weighted.

How should we be thinking about this?

Give me the latest story of somebody who came up to you, gave you a hug and said, Jim, you did this for me.

OK, well, there is a police officer I saw outside of Barnes and Noble and he came up to me and he whispered any kind of.

tried to hug me and I wasn't sure what was going on.

And he said, you made me a million dollars in Nvidia.

I said, so you're a millionaire? And he said, yeah, and I am a police officer and I love what I do, but I made a million dollars.

And I know he was fighting back tears because I had named my dog NVIDIA in 2017.

He had been Everest.

How do you handicap the quote unquote economy when we're not one economy anymore?

Sure.

This is the strangest thing about the modern market.

OpenAI is like this character that exists off-screen.

It's not public.

It's the most important character in the, in the movie- By far.

By far.

All right? So, we're all watching a movie, and the main char...

And it ended up being that way.

What was special about NVIDIA? What's your advice on how to identify some of these breakout names that are going to be a covering for some of the mistakes that every investor makes?

Well, a lot of times what you want to do is you want to gauge the perception versus the misperception.

For instance, I thought that NVIDIA was a gaming chip company.

And then I went to the Audi showroom, this now 12 years ago, and I saw these technological marvels.

And I started badgering the guy who ran North America.

I said, well, whose technology is this? Oh, it's just technology.

I said, no, whose is it? And he said, it's NVIDIA.

Is this another name that needs to be on investors' radars as we continue to see more potential winners or dealmaking, I guess I should say, for the future?

HE NAMED HIS DOG NVIDIA.

that I would name my, well, I didn't say, I said, I've got a way to be able to make it so people believe.

And then that next, I came in and just said, listen, 17.

I said, here's what, in 2017, I said, guys, I renamed my dog NVIDIA.

He'll answer to it if I have a piece of steak, but I couldn't get people to focus on it.

And by the way, no one wanted to believe because it was too crazy.

I mean, I got into his office and the first thing he did was have me He had me speak to a computer.

What people don't realize, your road to get to where you are in that seat, to where you've been able to host, what, Mad Money for over 20 years now? 20

What kind of factors have you looked at over time that have led you to some of that superior outperformance? We can say growth, but what exactly are the factors within growth that you are looking at specifically to help pick those stocks and those types of stocks that go into a portfolio that outperforms?

Absolutely.

I'm looking for companies with scale that have had not any big degradation during any of the recessions or the slowdowns that we've had.

I'm looking for companies that don't have a lot of debt.

I'm looking for companies that I think we would all listen to and recognize on CNBC as companies that are in areas that are not cyclical, except for what I do say, that they're groups that used to be great.

The food stocks are no longer good.

But I try to just tell you how to do it.

How exactly then do you separate the investing paradigm you used to deal with, say, 20, 30, 40 years ago with what you see developing in the next 10 to 20 years here?

In what sense? Yes.

Well, look, I think that what I'm trying to do is democratize things.

I want people to be at home, to be every bit as good as you guys in terms of facility.

You're pure stock pickers.

But I want people to understand what you say, because it's incredibly valuable.

And I want, for instance, I spend a huge amount of time on the P.E. multiple.

What's the multiple? Because I never hear anybody talk about it.

Investors have different and greater access to more securities and asset classes

How do you think about, though, the AI boom in the in the idea that we're now getting into we talk about vendor financing last week, you know, when NVIDIA does this sort of massive deal with open AI? And I don't know if you saw Bill Gurley actually out online over the weekend saying this is when you get into a situation where it gets more complicated.

Who is going to go against Gurley? He's terrific.

And what I would say is this.

That was the one that really disappointed me.

Because as long as you don't have vendor financing, it's very hard to be like Nortel.

I have a piece this weekend for clubs.

And it's very hard to have Lucent.

Right.

Mm-hmm.

We didn't have that much ...

I- it was like our whole profit was, went to the auditors, and they were a real pain in the butt because we didn't know really how to do it, and the CFO had to huddle.

We'd lose that person for 20 days.

But as an investor, I want all the information possible.

So, I kind of feel like, look, you can give us two reports, but you've got to give us a report that would make us, uh, you know, in the, the non-SEC, make us understand why we should be paying X for you.

Again, the, the price Mm-hmm.

(laughs)

Think about all the momentum funds.

It was up 10 on no volume.

And then you normally would give it up.

And then it came up 10 on huge volume on Friday.

Let me tell you why I think you're right.

OK, first, the skepticism is pretty great because, you know, we're going to get a ruling from Judge Mehta, not Mehta AI as Faber told me, Judge Mehta, which may say that, look, Google can't pay him 20 billion.

We all know that.

Well, I just

What do you do? What does it mean? What do investors do?

Well, we've heard a lot of good wisdom from the panel.

I know that Brian was talking about how you have to be in there for the hard days, so to speak, to turn into good days.

But, you know, a couple of things we've learned.

Went home last night and all the people who were short Apple, were short Nvidia, short the Mag 7, you know, anything.

They were high-fiving and completely thrilled.

And I say that if you, when the market goes down this much, day after day after day, that the shorts, well, they might just send me an invitation to your funeral.

I think he said buy the market this morning.

What do you make, first of all, of Steve's assessment that, look, a lot of these stocks were punished too much, that they still have an overwhelmingly large competitive advantage, and now's the time, you might not time it perfectly, but why not today?

Look, I think the problem is you can never pretend that you know when you don't know.

And it's always gutsy to come out and say, listen, I don't know.

I mean, look, right now, Jensen wants with the president.

I would like to hear what he has to say.

And we need if you're long this stock, you need to hear that the president wants to undo what Biden did right at the end, which is to say, listen, we're only going to let them sell a lot to 18 friendly countries.

Which, by the way, they left off some major countries like Israel, which is supposed to be a friend as far as I know.

Mm-hmm.