Lots of positives behind Monday’s rally — plus, Disney gets mostly good marks
Every weekday, the CNBC Investing Club with Jim Cramer releases the Homestretch — an actionable afternoon update, just in time for the last hour of trading on Wall Street. Market moves : Stocks were trading higher to start the new week with both the S & P 500 and tech-heavy Nasdaq gaining more than 1%. The rally in the S & P 500, which is led by Apple , puts the index within about 15 points of its record close on Oct. 8. Apple, a longtime Club name, was on track to close at a record high after positive mentions from Wall Street analysts and encouraging iPhone sales numbers. Another factor behind Monday’s strength in the overall market was optimism around easing trade tensions between the U.S. and China. The Wall Street Journal reported that the Trump Administration is tempering some of its “reciprocal” tariffs. Monday’s gains come ahead of a busy week of third quarter earnings, with more than 80 companies in the S & P 500 scheduled to report. Mouse house : Club stock Disney rose more than 1% on Monday after Citi raised its price target on the stock to $145 from $140 in an earnings preview note. While expecting results largely in line with Street estimates for the quarter, the analysts are projecting fiscal 2026 to come in above consensus, driven by stronger performance in Disney’s sports and entertainment businesses. Citi’s forecast for the experiences division, however, was trimmed due to softer macroeconomic conditions. Investors will focus on subscriber trends in Disney’s direct-to-consumer after data subscription analytics company, Antenna, showed monthly churn rates for Disney+ and Hulu doubled in September — from 4% and 5% to 8% and 10%, respectively — following the temporary suspension of Jimmy Kimmel’s ABC late night show. The Citi note does mention cancellations based on earlier data — so churn numbers are starting to get baked into expectations. Up next : No Club earnings are set to be released after Monday’s close. Before Tuesday’s opening bell, we get Club name Danaher . Investors will also be parsing earnings from GE Aerospace , Lockheed Martin , RTX , General Motors , 3M , and Coco-Cola . After Tuesday’s close, Netflix portfolio holding Capital One report. (See here for a full list of the stocks in 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.
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