Is Jim Cramer Right About NVIDIA as Stock Price Fails to React to $500B Investment Plan?

15 Apr, 2025

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Pooja Khardia is a seasoned crypto content writer with 6+ years of experience in writing, including in blockchain, cryptocurrency, DeFi, and digital finance reporting. In her adventure journey, she is currently working with CoinGape Media and leading their Trending Section. Here, she uses her expertise to deliver analytics, market insights, price predictions, and information on what’s trending in the crypto space, aiming to keep the crypto and web3 community updated with market trends and important insights. Known for a user-centric and straightforward writing style, Pooja is passionate about making crypto easy and accessible. Her writing blends market research with storytelling, helping readers stay ahead in a fast-paced industry. When not behind the keyboard, Pooja embraces her creative side through drawing and crafting. Connect with Pooja on LinkedIn or X.

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Highlights

Jim Cramer labelled NVIDIA as meme stock as its price remains bearish.
NVIDIA has allocated $500b to develop US AI infrastructure, but investors' optimism remains low.
Expert supports Cramer's meme stock tag as it's moving towards a bigger downtrend, but the long-term outlook is bullish.

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NVIDIA (NVDA) has allocated $500 billion for US AI investment, but Jim Cramer cites it as the meme stock. Surprisingly, the NVIDIA stock price failed to react to this bullish news, showcasing investors’ declining interest in the asset. Although the Trump tariff fear is persistent, experts fear Cramer’s take might be true for this AI company.

JIM Cramer Calls NVIDIA ‘Meme Stock’ After Price Struggles

NVIDIA has announced a $500 billion investment in the US AI sector over the next four years. The GPU manufacturing company aims to strengthen the country’s AI infrastructure and reduce reliance on international supply chains.

Interestingly, this decision comes following Donald Trump’s tariff introduction on US imports. Although this is bullish news as it will create thousands of jobs in America, the investors remained less optimistic.

The NVIDIA stock price rose barely 3% with the $500 billion investment news before losing momentum. It currently trades at $110.71 and has crashed significantly with Trump’s tariff affecting the stock market.

Considering the NVDA’s performance struggle, Jim Cramer has called it a meme stock. In the recent CNBC post, Cramer revealed his top stock picks to buy but also targeted Apple, NVIDIA, and a few other companies for poor share performance.

The post mentioned that Cramer believes NVDA had become a meme before saying that he didn’t own meme stock. Again, he commented on NVIDIA’s failure to rise with the $500 billion announcement, adding that it should have broken out, but it did not as the meme crowd controls it.

Yesterday the “Chinese” stocks did quite well. They aren’t supposed to be. Yesterday Nvidia should have broken out, but it is being so seriously controlled by the meme crowd that it couldn’t rally.

Is Jim Cramer Right About NVIDIA Stock?

NVIDIA stock had a slower start and struggled with its price performance for years before the AI industry began to boom. After that, the stock grew higher and higher, setting its prime at $149.43 at the beginning of the year.

Considering the broader picture, NVDA’s meme stock stage seems momentary, as it is struggling just like the rest of the crypto stock prices. More importantly, it has the potential to rise amid the growing demand for the artificial intelligence system.

Notably, Trump’s tariff could influence its performance negatively. Additionally, few analysts believe that the NVIDIA price crash is imminent, but the long-term bullish outlook remains persistent.

Beasides, if Jim Cramer’s Cramer index is considered, this could be a buying opportunity, where the stocks he derogate performance wells.

Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.

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Frequently Asked Questions (FAQs)

1. Why is NVIDIA stock price down?

NVIDIA stock price is down due to investors' fearful sentiments, limited trading activity amid Trump's tariff chaos.

2. Is Jim Cramer's meme stock tag true for NVIDIA?

Jim Cramer's meme stock tag is based on its bearish price performance, which is not entirely accurate considering its long-term performance.

3. Will NVIDIA stock price crash next?

Uncertainty looms in the stock market, fearing experts on the continuity of a bearish downtrend in the NVIDIA stock price. If it continues, the NVDA might crash.

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Jim Cramer

Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.