Nvidia Stock Outlook: Jim Cramer Says AI Chip Sales in China May Help, But Growth Is Strong Either Way

CNBC’s Jim Cramer has weighed in on the growing debate around Nvidia’s future in China, saying the company should be allowed to continue selling its advanced AI chips there. Speaking on “Mad Money,” Cramer argued that restricting access could backfire by pushing China to develop its own competing technologies faster.

Cramer warned that cutting off Chinese firms from Nvidia’s technology might not slow them down in the long run. Instead, he suggested it could accelerate innovation abroad, especially given China’s ability to scale infrastructure and power resources. In his view, keeping China dependent on U.S. chips could be strategically more beneficial.

The discussion comes as Nvidia CEO Jensen Huang was in China alongside former President Donald Trump for high-level diplomatic engagements. Nvidia’s business in China has faced ongoing uncertainty due to U.S. export restrictions introduced on national security grounds, limiting the company’s ability to fully tap into the world’s second-largest semiconductor market.

Despite some limited approvals for advanced chips like the H200, Nvidia has yet to generate meaningful revenue from those sales. The company itself has maintained a cautious outlook, with CFO Colette Kress noting that no China revenue is currently included in its financial guidance. However, Huang has recently signaled renewed activity, pointing to new purchase orders and restarting supply chain operations.

Looking ahead, Cramer emphasized that Nvidia’s long-term appeal doesn’t hinge on China alone. He highlighted the company’s dominant position in the artificial intelligence revolution and described its valuation as attractive compared to peers. “There would be no AI revolution without Jensen Huang and Nvidia,” he said, adding that investors should consider the stock a strong buy regardless of China-related outcomes.