Nvidia CEO's CES Keynote, Apple Hit With a "Sell" Rating, Meta-Mania from Fact-Checking to UFC 1/7/25

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Jim Cramer (0:31)

It's Jim Cramer here. You're listening to the opening bell of CNBC's Squawk on the Street. Don't miss a minute of the action.

Carl Quintanilla (0:38)

Good Tuesday morning. Welcome to Squawk on the Street. I'm Carl Quintanilla with Jim Cramer, David Faber at Post 9 of the New York Stock Exchange. Stocks look to add to Monday's strength in tech, at least, as Nvidia's presentation is well received. But we do have an eye on the 10-year testing 465 this morning and some rare downgrades of both Apple and Tesla. Our roadmap is going to begin with Nvidia reclaiming the most valuable crown pre-market. Jensen Huang at CES says AI agents and self-driving cars will be among the next multi-trillion dollar growth opportunity for the tech giant.

David Faber (1:11)

Plus the corporate step Trumpwards. Meta is the latest to make a shift, appointing Trump friend and UFC CEO Dana White to its board. It also ends its years old third-party fact-checking policy. It's now in favor of an ex-like community-driven system to check facts. And Apple shares are lower this morning. This ahead of the open MoffettNathanson downgrades the stock. It's now a sell. They're pointing to a drum beat of bad news.

Carl Quintanilla (1:41)

Let's begin though with Nvidia. Jensen Huang delivering the keynote last night at CES. A lot to unpack. This is what he had to say about the Blackwell GPU and where it fits into the company's AI picture.

Jensen Huang (1:53)

You've got this incredible graphics card here, Blackwell. We're going to shrink it and put it in there. Does that make any sense? Well, you can't do that without artificial intelligence.

Carl Quintanilla (2:05)

Not just AI Jim, but physical AI is all the talk.

Jim Cramer (2:08)

You talked about the evolution. I've got to tell you this. Physical, first thing I'm going to say is that there's just a huge amount of people saying Amazon's gunning for Nvidia. Well, Amazon's, they play a good game of chess. No, they play checkers. After this, Amazon's a checkers player. Jensen's playing chess.

David Faber (2:30)

So what does that mean?

Jim Cramer (2:31)

Well, because Amazon, well, the big reason why Amazon, that Amazon's supposed to be gunning for Nvidia, right? Microsoft's supposed to be gunning for, good luck. He left that behind because he's doing physical. So what he's doing...

David Faber (2:44)

Well, what you're, just to stop, what you're talking about is the development of their own chips. Is that what you're saying when they're gunning for them? But they use Nvidia chips as well, but they also use arm-enabled architecture for things that help them in the data center.

Jim Cramer (2:57)

These guys are using micron for high bandwidth. No, I'm saying, welcome back, first of all, because I'm one of those guys, like the guests that come over and you hit them. They say, well, first, I really enjoy you.

David Faber (3:06)

Welcome back, guys. I like your tie.

Jim Cramer (3:07)

Okay. Thank you.

David Faber (3:08)

Beautiful.

Jim Cramer (3:09)

Okay. That's not tearing me there. All right. So here's what's going on. There have been a lot of scrum about who's to maybe inference, then Amazon's moving into training.

Mark Zuckerberg (3:18)

Nvidia's not talking about anything but that.

Jim Cramer (3:20)

Nvidia's talking about robots. They're talking about the way you build a factory. They're talking about physical, they're talking about Toyota going the way that Tesla's going. They basically just said, you and I are going to have robots. I don't know, Carl, maybe get a robot, maybe not.

David Faber (3:34)

Well, he keeps talking about the ChatGPT moment, right, for robotics. Others have been saying, talking about that a bit as well lately.

Jim Cramer (3:42)

Yep, but no, my point is that he's leaving everyone behind. And that's why its stock can go higher, because if we're doing physical, what that means is that you are going to have a robot that is going to be doing exactly what we can do. A robot will be able to talk, it will be able to be our buddy, it will do things that we hadn't been able to think they could do. And this is what this is about, this is about productivity and robots. Now, yes, the PC that we showed, that's going to be for sale for a very good price. I think that's going to be very competitive, maybe there's really going to be AI. But I was just blown away by the digital twin for manufacturing, the Toyota being like Tesla, the humanoids, remember, keeps you in the humanoids. They even threw a bone in for Apple Vision Pro, which the downgrade says is a bust. Okay, fine.