Famed investor Jim Cramer is pounding the table on an under-the-radar semiconductor play: Qnity Electronics (NYSE: Q).
In a segment of CNBC this morning, he highlighted Qnity as a “remarkable spinoff” from DuPont that’s quietly become a $33 billion powerhouse in the materials space.
Cramer’s bullish remarks follow Q’s stellar first-quarter results, featuring an adjusted EPS of $1.08 – handily beating the $0.93 consensus – and an 18% increase in net sales to $1.32 billion.
Qnity stock has responded with vigor, currently up roughly 5% versus its previous close.
Why Cramer is bullish on Qnity stock
Q shares have been a lucrative investment in 2026, up some 90% versus the start of this year.
Still, Jim Cramer believes they could rip higher, citing their unique heritage as a DuPont spinoff.
The move enables this “high-margin” semiconductor materials business to finally shine away from the shadow of its parent firm, he added.
Cramer emphasized that Qnity provides the essential “building blocks” for the chips powering the global AI revolution, comparing its security and potential to market favorites like Vicor.
For the former hedge fund manager, the most compelling signal was the company’s guidance – Q didn’t just raise its outlook for the current quarter, but for the full year – indicating a trajectory of sustained, accelerating growth that Wall Street is yet to fully price in.
Q shares to benefit from AI data center supercycle
Qnity shares are attractive also because of the firm’s operational leverage and management’s future confidence.
In Q1, the NYSE-listed firm saw adjusted operating EBITDA come in up 22% on a year-over-year basis to $411 million, reflecting a healthy 31% margin that demonstrates its ability to control costs while scaling rapidly.
Executives now see at least $5.3 billion in full-year sales on up to $4.14 per share of earnings – an optimistic revision fuelled by double-digit organic growth rates in the firm’s “Semiconductor Tech” and “Interconnect Solutions” segments.
This proves Qnity is capturing a massive share of the AI-driven “data center supercycle” and high-performance computing markets.
How to play Qnity after its Q1 earnings release
Qnity’s quarterly print suggests it has solidified its position as a critical node in the semiconductor value chain.
Specializing in specialty chemicals and advanced materials required for high-speed signal integrity and thermal management, the company is insulated from the volatility in individual chipmakers – profiting instead from the broader industry expansion.
While some value-conscious investors may approach Qnity’s forward multiple (38x earnings) with caution, the combination of eight consecutive quarters of organic growth and a strong position in “phygital” infrastructure makes it a difficult name to ignore.
For those following Cramer’s lead, Q represents a rare find – a large-cap, fundamental winner that is only just beginning to capture the mainstream AI spotlight.
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