Cramer's Morning Take: Nvidia & Broadcom 4/10/25

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Jim Cramer (1:31)

Jim Cramer here to share with you a sample of my take on the market from today's CNBC Investing Club morning meeting.

So let's talk about what we're seeing right now with NVIDIA and trade. Now there is a right at the crux, the absolute crux of everything is back to the data center. Is the data center slowing or not? Yeah, I am doing such an immense amount of work with this and I will tell you that there is no slowing in the data center. There is a slowing of MAGA, I mean I call it MAGA, but the mega caps. They, the hyperscalers, are trying to pull back. They can't. Why can't they? Because this is a game of not being someone who loses like anyone who went against Google. It's too important for perplexity or for a grok or for a gemini to be left behind. Because it was winner take all, loser take none for Google search. And they are worried it's going to be the same thing for this. What is the secret to having the most? NVIDIA. So they may not want it. They don't want an arms race. But if you want an arms race, you buy NVIDIA.

Jeff Marks (2:41)

Yeah, you had Alphabet. They said yesterday they reaffirmed their commitment to $75 billion in CapEx this year. A lot of that is going to go to servers, data centers, Andy Jassy on CNBC this morning.

Jim Cramer (2:50)

Didn't disagree.

Jeff Marks (2:51)

No attenuation in demand for AI. We'll continue to keep building data centers. And then you had the monthly sales from Taiwan Semi. March sales, they were up 10%. Month over month, 46% year over year. Wedbush says that puts Q1 sales above street estimates. A lot of that is NVIDIA chips.

Jim Cramer (3:07)

Right. And I just think that you want to keep an eye on that. Now, Broadcom was into me yesterday saying, they're not nearly as exposed as I thought in China. And yesterday, the stock was up 18 I would say that that one, if that is wrapped up in other things that could have a tariff. And that's what you're looking at, is not that the actual product that made, there are many products that are exempt. But if they're wrapped in something else, it doesn't matter. They're too expensive and they get hurt, which is why I was concerned about Broadcom.

Jeff Marks (3:38)

They did hold an investor call yesterday. Canter published a note with some takeaways from it. Some of it being AI demand still strong, software stable and providing cash flow. Of course, that cash flow allows them to do big share repurchases. They announced that $10 billion one early this week. Canter said they think that Broadcom has been pretty quick to put it to work.

Jim Cramer (3:58)

Well, would you buy that? You're knowing that they've got that buyback that's going to be in there today?

Jeff Marks (4:04)

Yeah, I definitely.

Jim Cramer (4:05)

I attempted to buy.

Jeff Marks (4:06)

It's still interesting, down 25%. I mean, again, it's coming off a historic move yesterday.

Jim Cramer (4:10)

But I like that price. Join the CNBC Investing Club with Jim Cramer to catch my member exclusive morning minis every day at 10:20 a.m. Visit cnbc.com/morningtake to become a member today. That's one word, morning take.