Jim Cramer Stays Bullish On Data Centers, Says If Trump Tariffs Eases, These AI Stocks 'Will Fly Again' Despite Wall Street Doubts

Despite growing skepticism on Wall Street, CNBC’s Jim Cramer remains optimistic about the future of artificial intelligence infrastructure and data center stocks.

What Happened: Cramer acknowledged the turbulence in AI stocks, especially following revelations from DeepSeek, a Chinese startup. On top of that, there’s anxiety about Donald Trump's tariff policies potentially hurting the broader economy.

However, he thinks the data center boom isn't slowing down, reported CNBC on Thursday.

The Mad Money host mentioned that executives at Amazon.com, Inc. (NASDAQ:AMZN) and Nvidia Corporation (NASDAQ:NVDA)  have said they're still spending big on data centers.

Microsoft Corporation (NASDAQ:MSFT) may be building fewer data centers for OpenAI, but Cramer said that's likely because ChatGPT-parent is now raising its own money to do it independently.

See Also: Trump Grants Tariff Reprieve to Tech – Including From China – In Surprise Move

He believes that if trade tensions ease and AI enthusiasm resurges, several sectors are poised for significant growth, including:

• Semiconductors: Broadcom Inc. (NASDAQ:AVGO), Arm Holdings (NASDAQ:ARM)
• Server and networking gear: Arista Networks (NYSE:ANET), Cisco Systems Inc. (NASDAQ:CSCO)
• Data center builders and power suppliers: CoreWeave Inc. (NASDAQ:CRWV), Constellation Energy (NASDAQ:CEG), Vistra (NYSE:VST)
• Cooling and climate control: Carrier Global (NYSE:CARR), Trane Technologies (NYSE:TT)
• Industrial manufacturers: Cummins (NYSE:CMI), Dover Corporation (NYSE:DOV)

"These are very much cyclical companies, so you can't just buy them if you think we're headed into a recession," he stated, adding, "But if we get a reprieve on some of…these tariff issues and investors return to the AI trade, I just gave you everything that's going to fly again."

Why It's Important: In January, DeepSeek's assertion that its AI model was built at a fraction of the cost of its U.S. competitors led to Nvidia losing $600 billion in market cap in just one day.

Meanwhile, earlier this week, the International Monetary Fund significantly revised down its 2025 growth forecast for the U.S., attributing the downgrade to President Trump’s broad tariffs and increasing economic uncertainty.

Benzinga Edge Stock Rankings gives the company a strong growth score of 94.78%. Click here to see how it stacks up against other top tech giants such as Microsoft, Amazon, Broadcom, Arm, and more.

Image Via Shutterstock

Read Next:

• Tariffs To Impact End Demand: Goldman Sachs Analyst Expects Drag On Corporate Spending, Hiring

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.