Popular TV personality Jim Cramer is one of the most popular market news anchors in the United States. He is best-known for energetically delivering his hot takes on stocks, bonds, and all th
Popular TV personality Jim Cramer is one of the most popular market news anchors in the United States. He is best-known for energetically delivering his hot takes on stocks, bonds, and all things finance.
Cramer says he began studying stocks in the fourth grade itself. After graduating with a BA degree from Harvard, he worked for a few years as a reporter.
Old habits die hard.
So when he went back to Harvard to study law, he was making enough money from stock trading to pay his tuition fees.
In 1984, he joined Goldman Sachs in the sales and trading division but left the investment bank in 1987 to start his own hedge fund. In 2001, he retired from managing the fund.
A frequent guest commentator on CNBC in the late 1990s, he began hosting the show "Mad Money" on the network in 2005. Today, it's one of the most popular TV programs.
Crypto just can't avoid Jim Cramer (3:38)Many traders have observed that the market often moves in a direction opposite to what Cramer is pointing towards, birthing the "Inverse Cramer" theory.
It simply means that an asset endorsed by the popular CNBC host will most likely crash and one dissed by him rally. In fact, there was once even an “Inverse Cramer Tracker ETF” that took positions contrarian to those of the popular host.
On Oct. 13, a caller asked him what he thought of IREN Limited (Nasdaq: IREN). In his conspicuously blunt response, Cramer said,
“If you want to be in that business of the neocloud, the only one that I trust and want to be in is CoreWeave (Nasdaq: CRWV)."
A neocloud company is a specialized cloud infrastructure provider dedicated to AI workloads.
Both IREN and CoreWeave have followed a similar trajectory so far. These companies began as Bitcoin miners — the process of mining new BTC coins using enormous amounts of computing power.
But once mining stopped generating substantial returns, these firms sought to capitalize on the artificial intelligence (AI) boom.
Related: What is Bitcoin mining? Explained
Thanks to their ready data infrastructure, it didn't take long for them to make the dramatic pivot.
CoreWeave has completed abandoned Bitcoin mining for AI operations. However, IREN is still engaged in mining to a degree, along with AI.
Both, heavily reliant on NVIDIA (Nasdaq: NVDA) for chip supply, are among the leading neoclouds today.
IREN's main customers include NVIDIA, Microsoft (Nasdaq: MSFT), and Perplexity.
CoreWeave counts NVIDIA, Microsoft, Anthropic, and OpenAI among its customers.
Cryptocurrency mining rigs at a facility in Buenos Aires, Argentina, on Monday, Dec. 2, 2024.
The IREN stock has crashed almost 15% since Cramer's bullish call on Tuesday. The stock, which opened at $33.41 that day, was trading at $28.45 at the time of writing.
However, the performance has little to do with the CNBC host's call as the stock is already down 24% this year.
IREN, Source: Yahoo Finance
The same holds true for the stock Cramer ditched. CoreWeave, which opened Tuesday at $76.32, was trading more than 15% lower at $64.41 at the time of writing.
CRWV, Source: Yahoo FinanceThe CoreWeave stock is down 10% this year.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments are highly volatile and risky. Always conduct your own research before making any investment decisions.
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