Jim Cramer Urges Investors: Time to Sell Super Micro Computer

Author: Owen Jenkins Updated: 10-28-2025 08:20 AM

Jim Cramer’s Insight on Tech Stocks

On a recent episode of CNBC's "Mad Money Lightning Round," investment expert Jim Cramer shared his thoughts on various stocks, notably recommending the sale of Super Micro Computer, Inc. (NASDAQ: SMCI) and TeraWulf Inc. (NASDAQ: WULF). Cramer’s insights provide investors with crucial information about the current state of these companies.

Market Analysis of TeraWulf Inc.

TeraWulf Inc. has been in the spotlight recently, especially after announcing the pricing of $3.2 billion in senior secured notes. This substantial financial maneuver indicates their ongoing commitment to growth and infrastructure improvements. However, analysts believe this could indicate potential volatility in the company’s stock.

Cramer’s Take on Super Micro Computer

While discussing Super Micro Computer, Cramer noted that the company received a Neutral rating from JPMorgan analyst Samik Chatterjee, who has lowered the price target from $45 to $43. This reduction in target price has raised flags for investors, suggesting that caution may be warranted regarding their investments in SMCI.

Spotlight on Applied Digital Corporation

Cramer also discussed Applied Digital Corporation (NASDAQ: APLD), stating, "This thing's hot as a pistol." He mentioned that while he typically wouldn’t endorse such stocks, the company's contracts and business model suggest promising prospects. Applied Digital recently signed a lease with a major U.S.-based investment-grade hyperscaler for its Polaris Forge 2 Campus, which could lead to approximately $5 billion in contracted revenue over 15 years.

Potential in Kyndryl Holdings

In addition to discussing SMCI and WULF, Jim Cramer advised viewers to consider acquiring shares of Kyndryl Holdings, Inc. (NYSE: KD). He suggested taking a position in the stock and remaining observant as they prepare to release quarterly results, which could provide additional insight into the company's performance and market position.

Investment Recommendations Summary

Cramer also pointed out Dell Technologies Inc. (NYSE: DELL) as a viable investment option, reflecting on their recent performance in the market. Investors looking for reliable technology stocks may want to consider DELL as part of a balanced portfolio. As the tech sector continues to evolve and adjust to market conditions, staying informed is crucial.

Current Stock Performance

The stocks highlighted by Cramer have seen varied movement recently:

Applied Digital shares increased by 2.8%, closing at $34.35.
Kyndryl shares rose 1.4% to settle at $28.90.
Super Micro Computer shares climbed by 6.8%, finishing the day at $51.57.
In contrast, TeraWulf's shares experienced a minor decline of 0.5%, closing at $13.64.

Frequently Asked Questions

What stocks did Jim Cramer recommend selling?

He recommended selling Super Micro Computer, Inc. (NASDAQ: SMCI) and TeraWulf Inc. (NASDAQ: WULF).

What was the market reaction to TeraWulf's recent announcement?

The announcement about pricing secured notes led to increased scrutiny of TeraWulf's stock performance.

Which stock did Cramer express strong support for?

Cramer showed considerable enthusiasm for Applied Digital Corporation (NASDAQ: APLD).

What are the implications of the lower price target for Super Micro Computer?

The lowered target indicates potential challenges ahead and may prompt investors to rethink their holdings in the company.

Why is Kyndryl Holdings noteworthy now?

Cramer advised watching the upcoming quarterly results of Kyndryl which may impact their stock performance significantly.

About The Author

Hi there I'm 38-year-old author and financial consultant Owen Jenkins. Having worked in the financial sector for more than ten years, I am well-versed in the subtleties and complexity that mold our financial environment. Following a degree in finance, I worked in a number of financial institutions honing my abilities in market analysis, financial planning, and investment strategies.

My love is teaching others about investing and personal finance. My goal in writing many books and articles has been to demystify financial ideas and give readers the information they need to make wise financial decisions. I write with a direct, useful style that emphasizes doable suggestions for daily living.

Along with writing, I lead webinars and seminars where I impart knowledge on how to successfully negotiate the financial world. I also write for financial journals and show up as a guest expert on financial news programs a lot. Whether they are new to investing or want to improve their approach, my mission is to enable people to take charge of their financial futures.

Beyond work, I like to hike, play the guitar, and spend time with my family. I think that balance is crucial and want to encourage people to strike a balance between their financial aspirations and their hobbies. I want to help people succeed and achieve financial security through my work, so having a good influence.

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