Nvidia (NVDA) has long been a favorite of TheStreet's founder and Action Alerts Plus Portfolio Manager Jim Cramer, but he told a packed audience Saturday at his Boot Camp for Investors in New York why his charitable trust recently sold out of the stock.
He said the trust took a win and exited the name because "I think Nvidia is going to miss the quarter.
It turns out that Jim was right. On Thursday night, Nvidia reported earnings per share of $1.84. missing analyst estimates of $1.93. Revenue of $3.18 billion also fell short of the forecasts of $3.24 billion.
The stock proceeded to fall some 18% in after-hours trading as investors reacted to a Cramer dog with more bite than bark.
Despite the miss and his decision to exit Nvidia earlier this month, don't expect to hear the last about Nvidia, especially from Cramer.
"There are people who are going to say: 'Well, wait a second. Nvidia's done.' And then we're going to buy Nvidia back. ... You'll see us back in Nvidia [in the future], but if you take a look at the last quarter, they didn't deliver."
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