Sitting on big gains in Nvidia? Jim Cramer's advice on what to do next

After CEO Jensen Huang resigned Thursday, Jim Cramer offered advice to Nvidia investors who had built up big gains in the stock. "The No. 1 principle behind the Club since we started is capital preservation," Jim said on the Morning Meeting. "Don't let a gain turn into a loss. Make sure that you are balanced in terms of taking profits." Jim said many members followed his recommendations and bought Nvidia shares long before the company's market cap approached $6 trillion last month, back when Huang had yet to become a rock-star CEO. In some cases, he added, they have become millionaires from their Nvidia positions. Addressing those investors with sizable profits on paper, Jim said: "You should take something off the capital, because you have to preserve capital. That does not mean that I think Nvidia is worthless, or that I think it's worth $200 or that I think it's worth $100. ... The Club is about discipline. It's about rules. It's about the way you invest." Despite a leadership shakeup that would've been unthinkable a few weeks ago, Jim said that shares sitting around $163 intraday, well off their morning lows, "is an opportunity to be able to say, you know what, I've got to cut back." Jim first recommended buying shares of Nvidia in 2009 , when the company was still best known for its graphics cards used for video games. His Charitable Trust, the portfolio used for the Investing Club, initiated a position in 2017, when its push into the data center and AI computing was still in its early days. The Club has owned shares uninterrupted since 2019, while booking profits along the way. Regardless of the stock, Jim has long said that you haven't made any money until you ring the register. During the Morning Meeting, Jim reiterated his confidence in interim CEO Colette Kress, the chipmaker's longtime finance chief and a familiar face to the investment community. He also pointed to the many talented engineers inside the company who helped turn its graphics processing units (GPUs) into the market-leading AI chips. His comments echoed what he said Wednesday night , when reports of a second extramarital affair — this time with an executive who reported to Huang — further jeopardized the CEO's future. Jim said he wasn't giving up on the company, pointing to how Apple succeeded after Steve Jobs died in 2011 and handed the reins to Tim Cook. "Strong CFO. A company that has a great track record, but the most important discipline is capital preservation," Jim said Thursday. "If you are one of those millionaires, don't become a hundred-thousandaire." (Jim Cramer's Charitable Trust is long NVDA. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust's portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.