Why Cramer thinks this retailer is the “ultimate trade-down game.”
Posted by Israel News | Jul 25, 2023 | Health | 0 |
Every weekday, the CNBC Investing Club hosts a “Morning Meeting” live stream with Jim Cramer at 10:20 am ET. Here’s a recap of Tuesday’s key moments. Healthcare Focus “Ultimate Trade Down Game” Watch the Bullpen 1. Healthcare Focus Club holdings Danaher (DHR) and GE Healthcare (GEHC) reported better-than-expected earnings ahead of Tuesday’s trading session. Shares of Danaher were down about 0.25% in morning trade after the life sciences company again cut its guidance. Jim Carmer said he knows owning Danaher has been a challenge lately, but urged investors to stick with it. GE Healthcare shares plunged more than 2% Tuesday morning. “This is a mistake. Let them sell it,” Jim said, expressing confidence in GEHC’s multi-year history. We will provide a full breakdown of both earnings releases later on Tuesday. 2. “Ultimate trade-down game” Investors recognize that Costco Wholesale (COST) is perfectly positioned to benefit from inflation-wary buyers looking for value, Jim said. This development helps explain why Costco stock is up for 11 straight sessions and is up more than 7% since July 10. Costco is back in the green Tuesday. The wholesaler is the “ultimate trade-down game,” Jim said. We continue to believe in Costco as a long-term investment opportunity, with potential additional catalysts such as a membership fee increase and a special dividend still on the horizon. 3. Watch the Bullpen RTX Corp. (RTX), the aerospace and defense company formerly known as Raytheon Technologies, is becoming an increasingly attractive investment opportunity as the stock fell 14% Tuesday morning, Jim said. Shares in RTX — a stock that has been in the club’s bullpen since December — plummet after the company issued a warning regarding some of its engines. This is likely to be a costly problem for RTX, Jim acknowledged. “Even so, I’ve waited and waited and waited to get into RTX,” he said. (Jim Cramer’s Charitable Trust consists of DHR and GEHC. A full list of shares can be found here.) As a CNBC Investing Club subscriber with Jim Cramer, you’ll receive trade alerts before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling any stock in his charitable foundation’s portfolio. When Jim spoke about a stock on CNBC television, he waits 72 hours after the trade alert is issued before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY, ALONG WITH OUR DISCLAIMER. THE RECEIVING OF YOUR INFORMATION PROVIDED IN CONNECTION WITH THE INVESTMENT CLUB SHALL HAVE NO FOCUS OBLIGATION OR DUTY. NO PARTICULAR RESULTS OR PROFITS ARE GUARANTEED.
