Cramer calls this AI stock ‘a terrific story,’ sticks with Starbucks
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 Monday’s key moments. 1. The Dow fell more than 400 points, coming off its largest weekly slide in almost a year, as oil prices continue to increase. West Texas Intermediate crude broke above $119 per barrel overnight, raising concerns of stagflation, a scenario in which unemployment grows alongside inflation. “We’re going to see an acceleration decline” if oil returns to its overnight high, Jim Cramer said. In his Sunday column , Jim said that the war could send oil as high as $200 a barrel. “This market is guilty until proven innocent,” he added. We trimmed shares of Cisco this morning to have some cash on hand in case the sell-off deepens. 2. GE Vernova got a double upgrade to a buy rating from a sell by Rothschild. The analysts said demand indicators for AI and gas turbines have accelerated sharply since October, when the stock was downgraded. While analysts acknowledged it’s a risky economic environment, they see substantial upside to guidance and consensus for both 2026 and 2027. The firm raised GE Vernova’s price target to $1,100 from $560. “They’re sold out [of their turbines]. It’s really a terrific story,” Jim said. 3. Wolfe Research resumed its coverage of Starbucks with a hold-equivalent rating, down from a buy. The firm’s analysts said Starbucks is in the early stages of a multiyear turnaround and that a comparable sales target of 3% is reasonable. But Starbucks’ competition could put a ceiling on its comps and pricing power, the firm argued, and questioned if it merits a premium valuation. “I don’t question it because [Starbucks CEO] Brian Niccol is not going to do something stupid,” Jim said. “He has actually proven over and over again that he’s done the right things. So I want to stick with him, of course.” 4 . Stocks covered in Monday’s rapid fire at the end of the video were: Netflix , Citizens Financial Group , Truist Financial Corporation , and Zions (Jim Cramer’s Charitable Trust is long CSCO, GEV, SBUX. 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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