Jim Cramer Urges Nvidia Investors to Take Profits After Huang Resigns

Jim Cramer urged Nvidia investors with sizable paper gains to trim holdings Thursday, Nov. 12, framing it as capital preservation after CEO Jensen Huang resigned from the company.

“You should take something off the capital, because you have to preserve capital,” Cramer said. He said reducing a position did not mean he considered Nvidia worthless or valued its shares at $100 or $200. He described the decision as part of a disciplined approach to investing.

Cramer said some investors who followed his recommendations had become millionaires through Nvidia holdings. His first recommendation of the stock came in 2009, when Nvidia was still chiefly associated with graphics cards for gaming. The Charitable Trust began its Nvidia position in 2017, and the Investing Club has remained invested since 2019 while selling portions of its holding over time.

Cramer expressed confidence in interim CEO Colette Kress, the company's longtime finance chief, and in engineers whose work made Nvidia's graphics processing units (GPUs) market-leading AI chips.

Cramer has also discussed technology leadership shifting beyond Nvidia and Microsoft.