Jim Cramer looks at the market’s green spots during the sell-off

Jim Cramer looks at the market’s green spots during the sell-off

my mission is simple to make you money
I’m here to level the playing field for
all investors there’s always a b Market
somewhere and I promise to help you find
it m money Starts
Now hey I’m Kramer welcome to M money
welcome to
Kramer other people make friends I’m
just trying to make you some money my
job is not just entertain but to educate
and teach you so call me at 1800 7.3 CBC
or tweet me at Jim Kramer it takes a
special kind of stock to do well when
the economy is slowing while inflation
just won’t quit I Ty we got this weak
gross domestic product number just 1.6%
growth anemic and a surging inflation
number connected to the GDP is up
3.7% bad combo which is why the Dow
tumbled 37 points as to be lost 46%
nasar jump a drop
64% but you got to tell you it was much
uglier at one point today the doubt was
down almost double where it went out as
we heard all day about the slower growth
and higher inflation and that meant the
dreaded term
stagflation and that environment is
toxic for stocks the house of pain on
top of that one of the markets greatest
leaders met a Platformers got crushed
today I mean just
annihilated uh that because of its
earnings which were Stellar but because
it committed a huge amount of spending
most of it directed toward generative
artificial intelligence what’s bad for
the metag goose though is good for the
Nvidia and broadcom Gander which is up
29 Points and 37 points respectively as
they’re going to get a huge chug of
capital expenditure budget I still
believe in meta more on that later in
the end this decline was all about a
slowing economy mixed with persistent
inflation which drove up bond yields and
brought sellers out throughout the day
so you got to ask yourself who can win
in this environment are we done do we
just fold up shop no we just have to
work harder let’s look at today’s sparse
winners first two the right our faces
let’s talk about Microsoft and alphabet
both of which are flying and after hours
trading Microsoft beat the estimates for
every major line item with 177% Revenue
growth which is incredible 20% earning
growth that’s looking good they aure
Cloud business growing nicely again I
much better than expected I got 30%
their integration of artificial
intelligence seems to be helping them
sell Enterprise software which is
Microsoft’s bread and butter these AI
workloads are incredibly strong for them
and they are seeing stability even in
the PC market yes it’s stabilized a lot
of stocks you can buy if that’s the case
it had been pretty awful nice quarter as
for
alphabet wow they finally did it it was
a magnificent set of numbers no wonder
the stock was so strong search and
YouTube cor businesses were much much
better than expect hey they finally
broke out some numbers for YouTube and
they were spectacular AI business
incredible Google Cloud was great
growing at 28.4% clip it’s up with the
other big boys authorized to get this
$70 billion buyback to strength share
count directly boosting the ear share
and
Hallelujah a dividend all right so it’s
only 20 cents doesn’t matter it’s a
great sign and the market loves it
unlike meta while they did say they will
be investing heavily to build with their
AI business they also said they’ll be
expanding margins as they they do so
which is why alphabet still gets credit
for its great results I haven’t seen a
quarter like this I can’t even recall
one where they delivered on everything
we wanted it’s like they listen to the
show next there’s MC all right the
secret here is key truda it’s the most
revolutionary anti-cancer drug in
history key tra sales came in at 6.9
billion 6.9 billion one quarter that’s
up 24% in cons cing which is astonishing
as merkus keeps finding different types
of cancers that can be treated by this
thing of course drug p patents don’t
last forever which is why Merk’s been
buying up new medicines to combat both
cardio and immunological disorders this
stock which gave you a 3% gain today
might be perfect for the current moment
given how it raised revenues raised
margins insured a terrific new drug
pipeline I I got to go on limb here a
little bit and Rob Davis is so great to
see but I think they could make a lot of
cancer chronic diseases that would
otherwise be fail fourth you got to take
a look at this Union Pacific I mean
here’s a railroad that I this had been
this and now it’s this triing Center
numbers mainly because it’s so much
better run now that CEO Jim van is
running the show this guy started as a
break man by the way 40 years ago don’t
you lot that in America last summer
under pressure from an activist hedge
fund the board picked B prote of the
late Hunter Harrison who practice what’s
known as Precision scheduled railroading
PSR this is a method of railroading that
makes more money by getting the trains
to run with maximum efficiency yes
trains on time even in a slower economy
un Pacific still can deliver an
excellent self-help story hence the
11-point rally it was spectacular it V
is a real deal fifth we’ve been boning
the performance of the gold miners here
versus the underlying commodity but this
morning Newmont Newmont reminded us that
not all gold companies are created equal
last year the newm bought new Crest and
I figured it’ just be one more sad sad
gold deal almost all of them are bad
were bad nope it was able to produce
much more gold than expected lower costs
and that’s how you outrun the economic
backdrop faster Revenue growth and lower
expenses gives you a 12% rally six real
equiping sh the lights out again maybe
people are used to it because it was up
a lot at the beginning of the day and
started coming in but still finished
positive it’s r one of the great ways of
cruising with record bookings so much
was good here from the return of high
yielding Chinese customers they’re back
to the fact that the repeat rate here is
30% higher than it was in 2019 there are
some powerful secular themes that can
Trump the noxious backdrop and travel
fits the bill remember Merk Express gave
us those amazing travel statistics uh
previous Friday well it it’s looking
that Royal Caribbean’s got the same
great thing going seven speaking of
resurgence of the Chinese consumer we
heard from Boston Scientific great
medical device company that the China
Market’s now roaring with strong double
digit growth for seven of their eight
business units who would think that some
that China’s coming back for some
companies this company by the way is
prolific it launched nine 0 new products
give you an astonishing 133% growth rate
what I like best about Boston Scientific
is it’s just crushing the rest of its
cowork with ease and they’re doing it
through pure Innovation something that
can’t be contained by slowing GDP growth
now here’s one and I don’t talk about do
I knew do as a sleepy Industrial company
which means frankly I didn’t know it at
all the new Do’s reinvented itself
moving aggressively and get this the
some companies are so darn smart they
moved into clean energy engineered
products for the data center Aerospace
and biofarma all four verticals are in
insane bull market mode I think the anal
are just now catching up the reality
like they that to’s a very strong
company the order grow terrific the
sales are coming in at the high end and
by the way they’re like not Promotional
and they’re humble that’s a nice combo
all right how about carrier speaking of
humble we’ve had CEO Dave gin a bunch of
times you know his company’s located in
Palm Beach not bad huh anyway you might
think that his heating ventilation air
conditioning business would be Hostage
to the broader economy you would be
wrong
wow commercial HVAC was never so
interesting up and astounding mid- teens
thanks to the large part to the need to
cool down those yes data centers I mean
they’re putting them up and these guys
are cooling them off gitlin delivered
280 basis points of margin Improvement
that is extraordinary Clos on a key
acquisition a vman European which
dominates the heat pump business Europe
desperately needs more heat pumps to
adjust to a warmer climate they they’re
much better for the sky in order to pay
for whisman uh carrier sold three
non-core business lines of fourth on the
way out put them in a great place to be
able to acquire something or even better
how about a monster
buyback caterpillar Miss RoR so you
think well wait a second must be hurting
heavy machinery no you’d be wrong there
too United Rental star of the show
equipment rental company levered more to
Fleet productivity and the sale of used
equipment both were terrific by the way
so many people have asked me if there is
an investment in the Baltimore rebuild
the answer is United Rentals so doing
almost everything about it I’m saving
the best for last okay we wanted to get
one but I think they’re out of it chipot
every line of Chipotle from expenses to
revenues same store sales to earnings
was better than expected the reason
demand they have what people want now
how do you know that how about because
you know that chipotle has this limited
time only they always call that lto is
it so hard to say limited time only
limited time only offering of chicken
outa store that is so popular get this
that the company’s urging its associates
to not order chicken dishes for
themselves because there isn’t enough
left for the
customers that’s incredible now the most
impressive statistic Cali put through a
steep minimum wage boost to 20 bucks so
Chipotle had to put through a six 6 to
7% price increase to pass on the cost do
you know the sales weren’t even dented I
mean holy cow that’s extraordinary when
we’re looking for reasons to buy a stock
in this environment we want cies to
generate constant self-help Chipotle
does it by improving throughput how many
people they can serve say every 15
minutes was out the way the way they
measure it especially at lunchtime it
just gets better and better and better
that’s got nothing to do with GDP or
inflation modes and now know how they’re
going to get the $4 million average unit
volume because they are surging bottom
line that kind of self-help is the
antidote to the big picture worries that
I heard about all day today which made
me feel like oh maybe it’s not worth
picking stocks that would be wrong too
okay I expect the bomb Market will be
our enemy for a little bit it’s probably
going to get worse I’m not even ruling
out stagflation I’m not even saying the
Magnificent said will never ride again I
am saying this it always like at the end
of the show you know what I say there’s
always a bu Market somewhere and even
when this Market down it gives you some
pretty darn good
stocks to buy House of pleasure Jonathan
in California
Jonathan Booyah Jin booah Jonathan
what’s up first time long time all right
I like that my best friends and I are
huge fans and you’ve even inspired us to
start a Mad Money group chat get out of
town put me in it have put Regina Gil in
my executive producer right now she’s
trying to get in the group chat trying
to she’s struggling all right what’s up
my question is what impact could future
fed interest rate adjustments have on
the broader banking sector and should we
buy sell or hold JP Morgan all JP
Morgan’s terrific the stock was down
very big Jamie Diamond of course came on
he had some negative things to say I got
to get that guy to cheer up I mean he’s
kind of like I don’t what’s with him uh
but Charlie sharf doesn’t need cheering
up that’s why I suggest you buy Wells
Fargo which is the exact right bank for
this environment the one that you and
get me on that chat get me on the chat
and I’m I’m very good I mean I have 2.1
million people who hate me on Twitter
but it’s all right Kevin in my home
state of New Jersey
Kevin hey yeah hi Mr clamer how are you
I’m good Kevin what are you up to what
are you in the Garden State Parkway I
where are you yeah yeah I am yeah you
don’t mind yeah I I just got pull
over is is this still a goodbye on I’m
semiconductor so glad you asked me that
cuz Renee hos has told me periodically
Jim you forget how good we are you
forget what we’re doing I’m going to
throw arm in so I was waiting for it to
get to the to 80 to rec re- reccommend
it it’s a 97 so Kevin here what you do I
would buy a quarter of a position here
and then every five down until it’s
finished that’s how I would buy it I
think arm’s great I think Rene H is
great I think the data Center’s great
and they’re in that big time all right
companies that are generating self-help
are the antidote to what’s ailing this
economy and I think you need to stay on
the lookout for those names while the
bomb Market Remains the enemy how about
that chipotle don’t order the chicken
because you got to say something for
guys like me with Alpa store but why
don’t they the barbar cola that’s
supposed to be very good made money
tonight Tractor Supply was a glimmer of
green in today’s ugly tap so what stood
out the company’s quar report let’s talk
the hell L then from Trash to Treasure
could WM be a winner for your portfolio
don’t miss my post ears exclusive and uh
there’s no Tractor Supply without a
tractor so why don’t we go and speak to
one of the largest space IO to see how
they stand so stay with
[Music]
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‘Mad Money’ host Jim Cramer looks at today’s market sell-off and the green spots amongst the red.