Investment Insights from Jim Cramer’s CNBC Club

Jim Cramer’s CNBC Investment Club streams a “Morning Meeting” every weekday at 10:20 a.m. ET, and here’s a recap of the key moments from Thursday.

1. It’s the last day of April, and while stock performance on Thursday showed some flat to slightly down movements, the S&P 500 remains on track for an impressive month, up nearly 10% as it approaches the close. The Nasdaq is faring even better, increasing almost 14% this month. The Dow isn’t far behind either, looking at a rise close to 7% for April. When it comes to post-earnings reactions from our four hyperscalers, results were quite mixed. Jim Cramer ranked them as follows: Alphabet, Amazon, Microsoft, and Meta Platforms. Notably, only Alphabet saw a rise, increasing by 5%, while Meta was the biggest loser, dropping around 10%. Jim suggests that Amazon is the one stock worth considering for purchase.

2. There’s a prevailing market belief that this quarter is when AI investments really begin to pay off and be reflected in the financial results. However, Nvidia faced challenges in its hyperscaler earnings report on Thursday, with its stock—having previously rebounded—falling over 4%. There’s been considerable discussion from Alphabet about their custom TPU chips and from Amazon regarding their in-house Trainium silicon. That’s all interesting, but all four major companies continue to rely heavily on Nvidia products. Jim described the drop in Nvidia stock as a “horror story.” He advised against selling Nvidia, as the company will release its earnings in a few weeks, providing clarity on hyperscalers’ spending on Nvidia products. He mentioned that for those without a position in Nvidia, it might be a good opportunity to buy, especially if the stock dips further.