Nvidia (NVDA) Stock: Jim Cramer Weighs In on Whether to Buy During the Dip

Key Takeaways

• Nvidia shares have declined approximately 3% following the outbreak of the Iran conflict on February 27
• According to Jim Cramer, quantifying war’s effect on Nvidia proves challenging, yet underlying demand stays robust
• Wells Fargo suggests Nvidia’s $1 trillion data center revenue projection for Blackwell and Rubin GPUs appears understated
• Wells Fargo’s Aaron Rakers identifies potential 15–20%+ increase above 2026–2027 consensus data center projections
• Major cloud service providers plan to roll out approximately 22GW and 25GW of AI infrastructure during 2026 and 2027

Since hostilities in Iran commenced on February 27, Nvidia shares have experienced a roughly 3% pullback, leaving market participants uncertain about which portion stems from geopolitical tensions versus other factors.

NVIDIA Corporation, NVDA

During Thursday’s “Mad Money” episode, CNBC’s Jim Cramer offered his perspective, presenting a framework for assessing Nvidia’s current position. His verdict: the share price weakness can’t be attributed solely to warfare, and the company’s core fundamentals remain intact.

President Trump has pushed back the deadline for resuming strikes on Iranian energy infrastructure until April 6, injecting additional ambiguity into already anxious markets. Cramer emphasized that predicting when hostilities will cease remains virtually impossible.

From a supply perspective, the technology sector faces shortages in both computing power and memory, indicating that demand for Nvidia’s processors is being limited by pricing considerations rather than lack of interest.

Cramer also mentioned that sovereign wealth funds from Gulf nations have contributed financing for data center development. Uncertainty exists regarding whether such capital flows might diminish. However, following his attendance at Nvidia’s GTC conference this past week, Cramer reported witnessing “incredibly strong” demand signals.

His bottom line: while not aggressively bullish, when forced to decide, he prefers entering positions slightly ahead of schedule rather than missing potential gains. “You’re ultimately being given a chance to buy a high quality stock at a lower price than you’d normally expect.”

Wells Fargo Projects Higher Revenue Than Nvidia’s Own Estimates

In a separate development Thursday, Wells Fargo analyst Aaron Rakers suggested that Nvidia’s internal $1 trillion data center revenue projection — spanning its Blackwell and Rubin GPU product families through 2027 — may prove overly cautious.

Rakers maintains an Overweight rating alongside a $265 price target for NVDA, projecting potential upside of 15–20% or more relative to consensus estimates for 2026–2027 data center revenues.

His reasoning centers on deployment figures: the five largest cloud infrastructure providers are anticipated to implement approximately 22 gigawatts of AI capacity in 2026 and 25 gigawatts in 2027. Such deployment volumes suggest considerably higher Nvidia revenues than what current Wall Street models reflect.

Breaking Down the $1 Trillion Revenue Pipeline

From the disclosed $1 trillion-plus Blackwell and Rubin pipeline, Wells Fargo calculates that approximately $840 billion should be delivered during the 2026–2027 timeframe. By January 2026, roughly $150–$155 billion had already been recognized as revenue.

Rakers calculates that Nvidia had rolled out around 9 gigawatts of Blackwell infrastructure by the conclusion of fiscal Q4 2026, with Blackwell GPUs representing approximately 65–70% of that capacity. This translates to roughly $25 billion per gigawatt deployed.

While Rakers hasn’t officially revised his financial projections upward yet, he indicated willingness to do so should deployment figures continue exceeding expectations.

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