Nvidia Rises 2.22% to $204.87, Yet Intel Emerges as Cramer’s Top Pick Following Powerful Analyst Upgrade

Nvidia continued its winning run on Thursday, with shares climbing 2.22 percent to $204.87 as demand for AI chips remained strong. However, the bigger conversation on Wall Street shifted toward Intel after Cramer backed the company as his favorite semiconductor stock following a major analyst upgrade. The latest move has sparked fresh debate over whether Intel’s turnaround story could offer more upside than Nvidia’s already impressive rally.

Why Is Cramer Turning Bullish on Intel?

The shift came after Bank of America upgraded Intel from Underperform to Buy and lifted its price target from $96 to $135, representing potential upside of more than 40 percent from earlier expectations.

According to Yahoo Finance, the brokerage believes Intel’s recovery is gaining momentum because of stronger server CPU demand, improving AI infrastructure spending, and growing confidence in its foundry business. Cramer agreed with the bullish outlook, calling Intel his number one semiconductor stock and suggesting the market is beginning to recognize the company’s improving fundamentals.

Nvidia Still Leads AI, But Intel’s Valuation Is Drawing Attention

While Intel grabbed the headlines, Nvidia continued to deliver solid market performance. The AI chip leader ended the session at $204.87, up 2.22 percent, supported by ongoing investment in data centers, cloud computing, and artificial intelligence infrastructure.

So why are investors still discussing Intel?

The answer is valuation. Many analysts believe Nvidia already reflects much of its future growth after a massive rally, while Intel could have greater room for appreciation if its turnaround continues to meet expectations.

What Is Driving Intel’s Recovery?

Several factors are improving investor confidence. Intel’s server processor business is expected to benefit from rising enterprise AI spending, with some analysts projecting the company could capture nearly 25 percent of the server CPU market by 2030.

Its foundry business is also becoming an important growth driver as more companies look for alternative semiconductor manufacturing partners. The combination of AI infrastructure, advanced chip packaging, and manufacturing expansion has strengthened the long-term investment case.

What Do Intel’s Latest Financial Numbers Show?

Recent financial results also support the improving outlook. Intel reported Q1 FY26 revenue of $13.58 billion and net income of $1.49 billion, showing progress as the company continues restructuring its business and investing heavily in AI-related technologies. Meanwhile, the new $135 analyst price target highlights increasing confidence that Intel’s recovery could continue if management delivers on execution.

Market Outlook: What Cramer Means for Investors

Cramer’s latest comments are not a negative signal for Nvidia. Instead, they reflect how the AI investment story is expanding beyond one company. Nvidia remains the industry leader in AI GPUs and continues to benefit from exceptional demand across hyperscale data centers. At the same time, Intel is beginning to attract investors looking for a lower-valued semiconductor stock with improving earnings potential, stronger analyst support, and meaningful exposure to AI infrastructure.

For investors, the message is clear. Nvidia continues to represent premium AI growth, while Intel offers a recovery opportunity that could deliver strong returns if its foundry expansion, server CPU business, and AI strategy continue gaining momentum. The coming earnings reports and execution on these growth plans will likely determine whether Cramer’s bullish call proves correct.

Disclaimer

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