(L-R) Jim Cramer and Edward Felsenthal attend TIME100 Next Gala at SECOND Floor on October 25, 2022, in New York City. CRAIG BARRITT/BENZINGA
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Prominent market commentator Jim Cramer reportedly said on Thursday it’s important to stick with the “Magnificent Seven” winning stocks, even if it feels tiresome to go with the big tech names in current times.
According to a CNBC report, the seven stocks that Cramer believes are “all-pro” include:
Some of these stocks have more than doubled this year. Nvidia shares have registered a whopping 177.82% returns on a year-to-date basis while Meta has gained 118.54% during the period. Tesla stock, too, has gained 91.97%.
“What are we supposed to do? Challenge all seven gunfighters? And somehow blast them to kingdom come?” Cramer questioned. “Bad idea — they deal in lead and you don’t want to be their competitor.”
The market expert asserted the success of these companies is no accident. Cramer pointed to Apple’s consistently high customer satisfaction rate while he highlighted Microsoft’s triumph in the face of the tech industry’s slowdown and its $10 billion on-the-money bet on ChatGPT.
He said Meta was right about artificial intelligence and so was Nvidia — securing an enormous supply of essential graphics cards that lifted its quarterly guidance by $4 billion, according to the report.
Cramer also praised Alphabet and noted that Tesla is witnessing high profits in the U.S., Europe and China by selling high-quality cars at a relatively low price. “Do you want to own the petrified villagers in the Dow, or would you rather stick with what’s winning — the Magnificent Seven?” Cramer asked.
Google and Microsoft are noted as the top two tech companies that are in the AI game as Microsoft has invested in OpenAI.
“Do you want to own the petrified villagers in the Dow, or would you rather stick with what’s winning — the Magnificent Seven?” Cramer said. “Remember, you don’t want to wait for the villagers to turn things around, but you bet on the actual gunfighters.”
Cramer has stated that he doesn’t mind a narrow market. The majority of the tech company run on Saas (Software as a Service).
Produced in association with Benzinga
Edited by Alberto Arellano and Joseph Hammond
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