My top 10 things to watch Tuesday, May 21 Wall Street is set for a muted open Tuesday after the Nasdaq closed at a record to kick off the week. The S & P 500 also touched a record during the session before closing flat. My trusted momentum indicator, the S & P 500 Short Range Oscillator , remains overbought but far below the extreme levels we saw last week. Palo Alto Networks is better than it looks. Billings is not the correct metric, and the sellers of the cybersecurity Club stock on a modest quarter are missing the big picture. It’s all about remaining performance obligations (RPO) and new clients, which are incredibly robust as seen in Monday evening’s earnings . Palo Alto also bought back $500 million worth of stock. Shares were down 9% after hours but ahead of the open cut the decline to 6%. Lowe’s shares are up nearly 3% as the home improvement company beat on quarterly earnings and revenue. A comparable sales decline of 4.1% wasn’t as bad as expected. Positive comps in Pro and online partially offset do-it-yourself customers spending less on big-ticket items. Lowe’s sticks with its full-year forecast. Macy’s delivers a better-than-expected quarter, and the stock rises roughly 4%. The department store owner raises full-year earnings guidance. The company’s Bloomingdale’s and Bluemercury are strong. Women’s footwear and beauty are strong. Closing 150 Macy’s nameplate locations. Citi starts a positive catalyst watch on Gap . The stock is up 2%. The analysts think the Gap, Banana Republic Old Navy and Athleta company is primed for a quarterly beat. Gap reports earnings next week. UBS raises Abercrombie & Fitch price target to $155 per share from $145. The analysts say upward revisions are coming. The stock in the owner of the Abercrombie and Hollister brands is up Tuesday after closing 3.75% higher. JPMorgan CEO Jamie Dimon signaled Monday that retirement may be sooner than previously anticipated. The bank’s stock dropped 4.5%. It’s up modestly Tuesday. Baird, Piper Sandler and Keefe Bruyette raise their price targets on JPMorgan, citing an overall strong Investor Day that got lost in the Dimon retirement speculation and his comments about “not going to buy back a lot of stock at these prices.” Zoom Video sees almost no growth, with quarterly revenue up on 3.2%. The stock sinks almost 3%. Zoom did, however, beat the quarter on the top and bottom lines. Citi boosts price target on Dell Technologies to $170 per share from $125. The analysts see Dell gaining market share in artificial intelligence. Dell, which makes servers and PCs, is a close partner of Club name Nvidia . Norwegian Cruise Line CEO Harry Sommer told me on “Mad Money” that younger generations are becoming more interested getting out on the water. The stock is up modestly Tuesday, a day after rising 7.5% on raised guidance. Lost of price target boosts followed on Wall Street. Sign up for my Top 10 Morning Thoughts on the Market email newsletter for free (See here for a full list of the stocks at Jim Cramer’s Charitable Trust.) 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.
My top 10 things to watch Tuesday, May 21
Wall Street is set for a muted open Tuesday after the Nasdaq closed at a record to kick off the week. The S&P 500 also touched a record during the session before closing flat. My trusted momentum indicator, the S&P 500 Short Range Oscillator, remains overbought but far below the extreme levels we saw last week.
Palo Alto Networks is better than it looks. Billings is not the correct metric, and the sellers of the cybersecurity Club stock on a modest quarter are missing the big picture. It’s all about remaining performance obligations (RPO) and new clients, which are incredibly robust as seen in Monday evening’s earnings. Palo Alto also bought back $500 million worth of stock. Shares were down 9% after hours but ahead of the open cut the decline to 6%.
Lowe’s shares are up nearly 3% as the home improvement company beat on quarterly earnings and revenue. A comparable sales decline of 4.1% wasn’t as bad as expected. Positive comps in Pro and online partially offset do-it-yourself customers spending less on big-ticket items. Lowe’s sticks with its full-year forecast.
Macy’s delivers a better-than-expected quarter, and the stock rises roughly 4%. The department store owner raises full-year earnings guidance. The company’s Bloomingdale’s and Bluemercury are strong. Women’s footwear and beauty are strong. Closing 150 Macy’s nameplate locations.
Citi starts a positive catalyst watch on Gap. The stock is up 2%. The analysts think the Gap, Banana Republic Old Navy and Athleta company is primed for a quarterly beat. Gap reports earnings next week.
UBS raises Abercrombie & Fitch price target to $155 per share from $145. The analysts say upward revisions are coming. The stock in the owner of the Abercrombie and Hollister brands is up Tuesday after closing 3.75% higher.
JPMorgan CEO Jamie Dimon signaled Monday that retirement may be sooner than previously anticipated. The bank’s stock dropped 4.5%. It’s up modestly Tuesday. Baird, Piper Sandler and Keefe Bruyette raise their price targets on JPMorgan, citing an overall strong Investor Day that got lost in the Dimon retirement speculation and his comments about “not going to buy back a lot of stock at these prices.”
Zoom Video sees almost no growth, with quarterly revenue up on 3.2%. The stock sinks almost 3%. Zoom did, however, beat the quarter on the top and bottom lines.
Citi boosts price target on Dell Technologies to $170 per share from $125. The analysts see Dell gaining market share in artificial intelligence. Dell, which makes servers and PCs, is a close partner of Club name Nvidia.
(See here for a full list of the stocks at Jim Cramer’s Charitable Trust.)
What Investing Club members are reading right now
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.
