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 Wednesday’s key moments: ‘Mixed picture’ for stocks Energy still good EL’s Tom Ford deal 1. ‘Mixed picture’ for stocks Markets edged lower Wednesday, with the S & P 500 down 0.54% and the tech-heavy Nasdaq Composite down 1.25% in midday trading. The moves come as Wall Street tries to make sense of a “mixed picture” for the economy, Jim Cramer said. On the positive side, October retail sales came in better-than-expected, rising 1.3%, excluding autos, compared with analysts’ estimates for a 0.6% increase. Club holding TJX Companies (TJX) also topped earnings-per-share estimates, helping send its stock up around 1.7% Wednesday. Conversely, Target (TGT) reported disappointing earnings and forward guidance, which pushed most retail stocks lower Wednesday. “The mixed picture, I think, skews to the downside because of Target’s really very negative message,” Jim said. 2. Patient on energy Energy was among the worst-performing sectors in the S & P 500 Wednesday, behind only consumer discretionary — which includes Target — and information technology. However, we still think energy is an attractive place to be, and we’re able to look past a down day like Wednesday. Energy has been the top-performing sector in the S & P 500 so far this quarter, climbing around 29%. The dividend payouts and buyback programs at Club holdings like Pioneer Natural Resources (PXD) and Devon Energy (DVN) allow us to be patient. 3. EL’s Tom Ford deal Estee Lauder (EL) officially announced plans to acquire Tom Ford for $2.8 billion , including debt. While the acquisition of the luxury fashion house is expected to be a near-term drag on earnings, we think Estee Lauder’s licensing plans for Tom Ford are smart. Estee Lauder is the newest Club holding and we continue to back the stock. But with shares trading around $226 apiece, we’re pausing momentarily. The stock has climbed about 19% since closing around $190 a share at the start of November. (Jim Cramer’s Charitable Trust is long TJX, PXD, DVN and EL. 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.
Jim Cramer at the NYSE, June 30, 2022.
Virginia Sherwood | CNBC
Every weekday the CNBC Investing Club with Jim Cramer holds a “Morning Meeting”…
Read More: Mixed economic picture, energy, EL deal