Stay updated with the latest stock market news and insights
Weekly insights + SMS alerts
CNBC's Jim Cramer is telling investors to ignore the noise and buy the dip. In a Tuesday segment, he argued that recent sell-offs in certain stocks have created real opportunities—if you're willing to look past the fear-driven headlines.
Cramer's message is simple: trade on fundamentals, not fear. And he's got two stocks in particular that he thinks are screaming buys right now.
First up is CrowdStrike Holdings (CRWD). The cybersecurity company's stock took a hit after Anthropic launched Claude Code Security, an AI tool that detects and fixes software vulnerabilities. That sparked worries that AI-native tools could disrupt the cybersecurity space, dragging down not just CrowdStrike but also peers like Palo Alto Networks (PANW) and Cloudflare (NET).
But Cramer isn't buying the panic. He said the concerns about AI competition are misplaced. "AI and Anthropic weren't headwinds for cybersecurity… They were tailwinds," he said, noting that CrowdStrike's stock rebounded strongly after its initial decline and gained further after a bullish analyst upgrade.
The logic makes sense: as more companies adopt AI, the need for cybersecurity only grows. AI tools might change how security is done, but they don't eliminate the need for it. If anything, they create new vulnerabilities to defend against.
Cramer also highlighted Microsoft (MSFT), which has seen a sharp drop recently. But he's not worried. "I am glad we didn't dump it… Could have been a big mistake," he said, emphasizing that Microsoft's core strengths remain intact.
That view is backed by Bank of America Securities, which recently reiterated a Buy rating on Microsoft with a $500 price target. Analyst Tal Liani said Microsoft is well-positioned for AI growth, with near-term stock performance tied to two key trends: Azure and Copilot.
Liani explained that Azure's growth depends on how quickly Microsoft can add AI capacity. Demand is strong, but infrastructure is a constraint. As Microsoft expands capacity, that should unlock upside. Meanwhile, Copilot adoption is critical for proving AI returns. Increased usage could drive higher revenue per user and ease competitive concerns.
Beyond AI, Liani pointed to steady growth in Microsoft's core businesses—Microsoft 365, Dynamics, and LinkedIn—as additional reasons to stay bullish.
Cramer's broader point is that during market volatility, investors need to lean on fundamentals, not panic. He said investors should have "faith in management, faith in the model, faith in the balance sheet, faith in the comeback" when evaluating stocks.
He acknowledged that not every stock will recover, but those who avoid panic selling often benefit. Investors who give in to fear, he warned, may later look back and wonder, "What were we thinking?"
Price Action: Microsoft shares were up 0.91% at $428.03, and CrowdStrike shares were up 1.26% at $455.26 during premarket trading on Wednesday, according to market data.
Real-time alerts on price moves, news, and trading opportunities.
Join 20,000+ investors. No spam, ever.
