Investing Club: Cramer calls Nvidia CEO the GOAT, says buy shares on a dip

Published Thu, Feb 17 20221:09 PM ESTUpdated Thu, Feb 17 20222:20 PM EST

CNBC's Jim Cramer told Club members on Thursday's Morning Meeting livestream that Nvidia 's pullback on crazy expectations of even stronger forward guidance is a chance to buy stock in a company run by the GOAT. Cramer, who's never been shy about his praise of Nvidia CEO Jensen Huang over the years, just called him the greatest of all time — the Tom Brady of CEOs, if you will. The Club is undeterred by Nvidia's roughly 7% decline Thursday, the day after a nearly flawless quarterly earnings release and strong guidance, typical of the company's track record of not holding back. Cramer also said Nvidia's down "because people want to take profits in stocks that are up very quickly and it's a mistake." "I would buy that right now," he said of the stock, urging Club members to get in before Nvidia's GPU Technology Conference next month. "If you don't own Nvidia, you're getting a chance to buy it." GPUs, or graphics processing units, are the bread and butter for Nvidia. They're used in everything from video gaming to artificial intelligence. Cramer said that at the upcoming event Huang will be outlining the company's omniverse strategies, which we know are enterprise directed and aimed at creating process efficiencies by doing all the trial and error virtually and then applying that to real-world businesses. We'll likely also hear plans to supply the brains for self-driving cars, not to mention RTX ray tracing platform that creates life-like graphics. In our Club analysis of Wednesday's after-the-bell earnings from Nvidia, we stressed the perils of underestimating this company and this CEO. Perhaps, a victim of its own success, Nvidia tends to outperform even the rosiest of expectations, prompting Wall Street to cynically sell the stock on the apparently not-strong-enough guide—even after record quarterly revenue that rose 53% year-over-year and beat estimates, as well as better-than-expected adjusted earnings that increased of 69% year over year. (Jim Cramer's Charitable Trust is long NVDA. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust's portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.

Nvidia CEO Jensen Huang speaks during Mobile World Congress Americas in Los Angeles on Oct. 21, 2019.

Patrick T. Fallon | Bloomberg | Getty Images