“I Saw the Movie. I Don’t Want the Sequel.” Jim Cramer Warns Nvidia’s Latest $250 Billion Deal Is How Companies Died in Dot Com Bubble

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AJ Tiarsmith

Tue, July 28, 2026 astatine 4:52 AM CDT 4 min read

Quick Read

Cramer warns $NVDA's $250 cardinal OpenAI financing warrant mirrors the vendor lending deals that erased telecom instrumentality stocks for decades aft the dot-com crash.
JP Morgan strategist Michael Lewis calls the existent AI rhythm 'too adjacent for comfort' to dot-com, with 34% of the S&P concentrated successful conscionable 10 stocks.
Nvidia posted $81.6 cardinal successful Q1 revenue, up 85%, but carries $119 cardinal successful proviso commitments that anchor Cramer's counterparty default concerns.
Don't wait: the expert who called NVIDIA successful 2010 conscionable revealed his apical 10 AI stocks. See the afloat database FREE now.

Jim Cramer opened Mad Money connected July 27, 2026 with a informing that pulled straight from his ain trading history. "A spectre is haunting this market. The spectre of the twelvemonth 2000," helium told viewers, earlier turning to the woody that has go the flashpoint of the existent AI cycle: NVIDIA's (NASDAQ:NVDA) reported financing statement with OpenAI.

A bald antheral with a goatee, Jim Cramer, successful a acheronian suit and reddish patterned tie, is shown from the thorax up, looking to the close with a flimsy smile. He is seated successful beforehand of aggregate blurred integer screens displaying fiscal information and logos. Prominently disposable are 'NYSE' successful yellow, 'yext' successful white, and 'SQUAWK ON THE STREET' connected a acheronian surface successful the foreground. The inheritance screens amusement columns of multicolored numbers and letters, indicative of marketplace activity.

Cramer's interest centers connected Nvidia guaranteeing $250 cardinal worthy of financing for OpenAI information centers. His presumption is that the operation mirrors the vendor financing arrangements that helped detonate the telecom instrumentality assemblage during the dot-com collapse. "Makes consciousness fixed that OpenAI is 1 of their large customers," helium said. "But determination is history. Boatloads of it. And it is precise negative."

The Vendor Financing Trap Cramer Says He Lived Through

The halfway acquisition Cramer pulled from 2000: "What we learned successful 2000 is that you don't lend to customers who bargain your goods. They mightiness default and your net get smashed." Back then, telco instrumentality suppliers booked immense gross by financing lawsuit purchases, lone to ticker their stocks instrumentality decades to revisit erstwhile highs aft customers defaulted.

His statement is that OpenAI's illustration fits the hazard pattern. OpenAI is not concern people and is known to beryllium burning important cash. It has not gone nationalist and its quality to wage is uncertain. That, Cramer contends, is precisely the illustration investors ignored during the past cycle.

Don't wait: the expert who called NVIDIA successful 2010 conscionable revealed his apical 10 AI stocks. See the afloat database FREE now.

He extended the critique to the broader lawsuit base. "So galore of the buyers of Nvidia AI chips had tremendous equilibrium sheets a twelvemonth ago. That's nary longer the lawsuit now. Some desperately request much wealth to decorativeness their information halfway buildouts, and it mightiness not beryllium available," helium said. Cramer noted his ain hedge money exited 2000 tech stocks astir a week earlier the highest by watching purchaser equilibrium sheets crook grotesque.

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