We’re using Tuesday’s selloff to buy more of an AI giant just back in the portfolio
We’re buying 25 shares of Alphabet at roughly $327. Following Tuesday’s trade, Jim Cramer’s Charitable Trust will own 120 shares of GOOGL, increasing its weighting to 1% from about 0.8%. We’re nibbling on Alphabet shares as new tariff threats from President Donald Trump targeting the European Union bring volatility back to markets. While there are still plenty of unknowns out there on how Europe will respond, we’re buying the Google-parent small here in case there is some form of de-escalation over the next few days as leaders meet at the World Economic Forum in Davos, Switzerland. Also, our recent cash raising efforts give us the flexibility to be opportunistic into this decline. We booked profits across several positions in the portfolio last week with sales on Monday , Tuesday , Wednesday , and Thursday . In total, we increased our cash position by about $66,000, bringing its weighting in the portfolio to about 9.5%. Thanks to these moves, we are in a position to make a small buy in a high-quality company whose stock we’ve been waiting for to come down in price so that we can add more. And if geopolitical tensions do ratchet up, we’ll still have plenty of cash on the sidelines to protect us from volatility. GOOGL 1Y mountain Alphabet 1 year We added Alphabet back to the Charitable Trust, the portfolio used by the CNBC Investing Club, in late December because the tech giant’s leadership in artificial intelligence had become too strong to ignore. Since the launch of Gemini 3 in November, Alphabet has been gaining ground on OpenAI’s ChatGPT as the large language model (LLM) of choice. Last week, Apple announced a new multiyear partnership to integrate Gemini AI models into Apple products, a move we believe will be mutually beneficial for both parties. Developers are also increasingly opting for Gemini over other models. The Information reported Monday that Google is seeing a surge in developer requests, which could boost Google Cloud revenue in the future. (Jim Cramer’s Charitable Trust is long GOOGL, AAPL. 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.
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