The Nvidia Conundrum, Apple From the EU to AI, DOJ vs. Boeing? 6/24/24

Carl Quintanilla (0:00)

Market Moving Insight and Analysis join Jim Cramer, David Faber and me, Carl Quintanilla on the opening bell hour of CNBC Squawk on the Street.

Good Monday morning, welcome to Squawk on the Street. I'm Carl Quintanilla, Jim Cramer is back at Post 9 of the New York Stock Exchange. David Faber has the morning off. Final week of Q2 as the S&P is coming off three weeks of gains, up nearly 4% for the month. Busy week, PCE, the presidential debates, Micron earnings, Nike, Carnival, FedEx and more. Our roadmap begins with the final trading week of the first half, GDP, PCE coming, a lot of Fed speak on deck, while high flying Nvidia does look on track for a three day slump. All things Apple, the first company now charged with violating the EU's DMA rules and reportedly discussing an AI partnership with Meta and federal prosecutors want Boeing to face some criminal charges from the DOJ.

Let's begin with the market though, kicking off this new week of trading. Jim, you are a sight for sore eyes. Did you have fun?

Jim Cramer (0:57)

Oh, it was the greatest, it was with my two daughters and you can't beat it. It was all outdoors. I had not a lot of pay attention to the market, although I did my deep dive yesterday and I will say from the get go, it is almost impossible.

Yeah, that's a nice looking shot. You know what, the national park system is unbelievable.

Carl Quintanilla (1:16)

Yes.

Jim Cramer (1:17)

And these two are back to back. It's Yosemite and it's Teton and it's 100%.

I mean, by the way, Old Faithful is pretty amazing.

Carl Quintanilla (1:27)

Did you see?

Jim Cramer (1:28)

Oh yeah, I mean, it's complete, ours is a complete hack tourist, which I recommend everyone in this country to be a complete hack tourist because you just don't know how great our country is. And it's just nice to see something really work. National parks, John D. Rockefeller Jr., thank you for taking that.

Carl Quintanilla (1:44)

Your stuff on social during the week was great.

Jim Cramer (1:46)

Thank you.

Carl Quintanilla (1:47)

How much were you able to watch and what do you make of the equal weight outpacing the benchmark last week?

Jim Cramer (1:55)

Look, there was more written about the so-called outside move in Nvidia than I've read about any chart in a long time. Here's my problem.

And I did a piece this weekend for the investing club.

It's difficult to value Nvidia. I mean, it might turn out to be that the PE is much lower than people realize. People don't know what Nvidia does, that hurts it. We all know what Apple does. We all know what Microsoft does. So when it got to the rarefied area, I think a lot of people just said, what are we, who are these guys? It was like butch Cassidy and Sonny and his kid, not just because of Western metaphor. Who are these guys? And so I kind of look at it and I say, the market is turned on the idea that there could be somebody that could pass Apple and Microsoft. It was almost like there were heat seeking missiles the moment it got past Microsoft. So now everyone's possessed with the idea it's the top.

And given the fact that there are only a couple stocks that continue to provide all the upside, I think people just say, well, that's the one we got to take out and shoot. And I look, I say, let it come down. I like Nvidia, I'm the same thing. Own it, don't trade it. Nothing's changed for me since, I don't know, about $30. But I do recognize that the long lives are out because people just don't think it can possibly be worth more than Microsoft.

Carl Quintanilla (3:08)

12% off the highs, the record highs. Would you be surprised to see that get much larger?

Jim Cramer (3:14)

I think that we have Micron later this week. I think that Micron is gonna show an incredible number. And I think that that's going to make it so people say, well, wait a second, how can they have an incredible number without Nvidia moving higher? And Micron had two recommendations today. Now, look, I think Micron is gonna have a very big number and they've got this high bandwidth memory that really does matter. The HPM is where everyone's excited about.

If you're part of the 26 and you don't get hit, which is just incredible after the stock's moving up this morning, then I think people say, wait a second, we gotta go back. So I wouldn't be surprised if Nvidia, despite the fact that people feel it's like the grand T-Tom, which has the biggest head and shoulder pattern I've ever seen. Now, if David were here, I would say, listen, if you wanna know what it looks, just go to the grand T-Tom. It's okay, you'll see what it means like. But yeah, the bearish engulfing, I mean, I'm like thinking, I'm looking at grand T-Tom and I'm saying, hmm, Nvidia, oh boy, that'll be like a long slide down. It's dangerous stock, dangerous mountain, 5.5, 5.5 Nvidia, I mean, enough, enough. I mean, okay, okay, it's going down a little.