2 takeaways from the Investing Club’s ‘Morning Meeting’ on Thursday
Every weekday the CNBC Investing Club with Jim Cramer holds a “Morning Meeting” livestream at 10:20 a.m. ET. Here’s a recap of Thursday’s key moments. We made two trades: AMD, CVX Quick mentions: AAPL, QCOM, HUM 1. Two trades: AMD, CVX Stocks turned mixed Thursday after originally dropping during Federal Reserve Chairman Jerome Powell’s morning comments at the Cato Institute. He indicated that central bankers will continue their aggressive monetary policy tightening in their fight against inflation. Despite Wednesday’s bounce, the S & P 500 Short Range Oscillator shows a market that’s still in oversold territory. So, early Thursday, we bought some shares of Advanced Micro Devices (AMD), whose stock has taken a hit since Club name Nvidia (NVDA) revealed last week that the U.S. government is restricting certain chip sales to China. Because AMD – unlike NVDA – said that this restriction would not have a material impact to their business, we see this recently downward trajectory in AMD as temporary and still like the stock. It bolsters our case that Stifel initiated coverage on AMD with a buy rating and $122 price target that reflects 50% upside. The stock rose more than 2% on Thursday. In the afternoon Wednesday, we sold the last of our position in Chevron (CVX). This wasn’t because of anything we dislike about the company, but because we have been looking to reduce our energy exposure as oil continues to struggle. In addition, we felt that our portfolio’s total of 34 stocks was too high, and wanted to take that number down. 2. Quick mentions: AAPL, QCOM, HUM Apple (AAPL) is still an “own it, don’t trade it,” after its big product event on Wednesday. One storyline to keep in mind from Apple’s upcoming launches is the analyst prediction in June that the company could use Qualcomm (QCOM)’s modems in its new iPhones. While this is merely speculation, it’s significant because QCOM stock could see a boost in its earnings from the increased business, even if it’s temporary as Apple looks to develop its own internal modems.’ We still like Humana (HUM) long-term since it’s a great defensive name, but we’re looking for a bigger pullback before we consider adding to our position. (Jim Cramer’s Charitable Trust is long AAPL, AMD, HUM, NVDA, QCOM. 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.
