Arm Holdings Inc. (NASDAQ:arm) is one of the Jim Cramer releases latest stock call as he discusses bullish AI investment thesis amid Iran conflict. Cramer noted that the company is becoming “increasingly important” to the semiconductor industry, saying:
As we celebrate the arrival of artificial intelligence at NVIDIA’s annual conference, I want to highlight a company that is becoming increasingly important to the entire semiconductor industry: Arm Holdings. The semiconductor design company is committed to delivering CPU designs that maximize energy efficiency, especially for smartphones. This expertise makes Arm the partner of choice for many artificial intelligence systems, including those from NVIDIA. Still, for some reason, the stock has struggled over the past few years, trading sideways. Can it restore magic? Because I have to tell you, it’s back to profitability… The stock has been rising since last quarter, but it’s nowhere near reflective of what the business will be like over the next year and a half that Rene just outlined.
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Arm Holdings plc (NASDAQ: ARM) designs and licenses CPU architecture, system IP and software for automotive, computing, consumer and IoT applications.
While we acknowledge ARM’s potential as an investment, we believe certain AI stocks offer greater upside potential and less downside risk. If you’re looking for an extremely undervalued AI stock that would also benefit greatly from Trump-era tariffs and homegrown trends, see our free report on AI stocks Best Short-Term Artificial Intelligence Stocks.
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