Jim Cramer - Mad Money

They reported a beat today and raised guidance based on very high demand for compute in the next few years. CRWV is a huge buyer of Nvidia chips; CRWV has borrowed heavily to buy which some feel exceeds CRWV's current means. Today, the CEO of CRWV responded that demand for computer far exceeds supply. CRWV has been rising prices and expanding margins. The CEO feels that the Democratic push-back and anti-data centre sentiment won't slow down DC building at all, because he would build overseas instead. Meanwhile, the NVDA chips bought 5 years will be worth more next year because CRWV will own them outright--and can be rented to other companies for pure profit.

After a weak year, shares have jumped 74% since last September and broke resistance levels in mid-October. MACD (momentum) is now on a strong buy signal while RSI is above 70 and is overbought. The chart shows higher highs and higher lows. He doesn't care for the stick, but Lang targets $200-250, which would shock him.

It gapped down after a bad earnings miss last May and has languished since then. But the chart shows a long base which makes it the perfect time to enter and go long. SHAK broke above its 200-day moving average. The MACD (momentum) is now bullish, but the RSI shows overbought. Lang sees 25% upside based on options calls.

This has been rangebound for months, but QSR's strong start this month is different. The MACD (momentum) has flipped to strong buy, and the RSI doesn't show overbought yet. Watch QSR as it approaches the low-$80s, and if it breaks above that, it's a breakout and could easily top $100.

The current CEO has changed Teva from a pure-play generics to a biopharma, and lifted shares from $9 to $43. Today, at its first R&D conference, the CEO explained how its new drugs could generate $6-7 billion a year by 2030.

It's the only Chinese stock he could possibly buy, but not now because the Chinese consumer is so weak.

There's way too much competition in gambling stocks and too much gambling in the U.S.

A cheap bank stock, not a good yield, but he likes it.

They had an excellent quarter and the CEO is doing a fine quarter. He targets $200.

CEO Jensen Huang admitted to an affair with a woman who could be a Chinese spy. NVDA's board is investigating and Huang removes CEO, but we have to consider a Jensen-less Nvidia. We don't know who could replace Jensen, but there is a real bench at the company. Don't dump Nvidia; if you dumped Apple after Steve Jobs died, you lost a fortune when Tim Cook took over. Nvidia has the best technology and remains the undisputed leader in the industry, but AMD is becoming a more capable competitor. Would Jensen, now distracted, remain as competitive? Did Jensen give up any plans or secrets to the alleged Chinese agent? If yes, then it would jeopardize Jensen's role at NVDA. Our interest remains: Is NVDA still a buy? His answer: Yes, still a buy, but be prepared for a CEO change. NVDA can go forward just on the strength of its multi-year product plan already developed, but he's concerned that the Democrats will slow data centre growth. NVDA relies on this growth to keep beating estimates; NVDA is worth less now than before the Midterms. Voters rejected data centres in 40 of 41 ballot measures. It could lead to in 2028 Washington regulating the data centre industry, a definite negative, like it monitors pipeline builds. He feels there is a window to permit new data centres in some parts of the U.S., but the endless build-out is over. You have to scale back your data centre holdings; he started to when the group went parabolic, before the vote. It looks what happened at the end of last week was a liquidation by hedge funds who held too much of the data centre stocks. We remain in a period of high volatility. He isn't judging Jensen Huang, but feels Nvidia is a less attractive stock than a week ago, even if the business remains strong. 

They reported one miss, and the market is so unforgiving that we need to see two good quarters to offset that. He's on the fence, and prefers other stocks.

Remains a good hold. A fine CEO, but it shot up from $85 to $148, so the stock is consolidating now.

Anthropic.

The company is about to go public.

Last quarter, their 3D printing business grew 11.4% year-over-year and CBC machining, their biggest segment, grew 16.4%, and accounted for nearly half of all revenues. NASA are Raytheon are customers. Aerospace and defence are a quarter of sales. They served slightly fewer customers last quarter than a year ago, but each customer spent 17% more. Recently, they reported Q3 revenues up 14% YOY, a company record, beating estimates. Adjust earnings also beat. PRLB projects 10-11% sales growth this year, up from 8-10%, ahead of Wall Street forecasts. However, adjusted EBITDA missed while adjusted gross margins were light. Shares have fallen since then, down 26% the past month but still up 36.5% this year. Rising costs have squeezed margins. It trades at over 30x PE, but grows in single digits only, so it's rich. They have cash flow and no doubt, though. This is a speculative stock.