Jim Cramer attributed Nvidia's recent share surge to reports of chip scarcity and strong resale value, along with Elon Musk's commitment to place what could be the largest set of orders in the company's history. Nvidia shares have risen 17.5% year-to-date, including a 16.8% jump since July 29. Cramer noted that Musk's exclusive Nvidia AI purchases overshadowed a strong quarter from AMD, whose stock would have risen otherwise. The debate around Nvidia centers on the sustainability of AI spending, with bulls citing an 85% revenue growth rate and a forward P/E of 22.88, while bears warn of risks from custom chips and margin pressure. Hedge fund ownership of Nvidia stood at 264 out of 1,041 funds in Q4 2025 and 275 out of 1,022 in Q1 2026, compared to 132 and 134 for AMD.
