My top 10 things to watch Wednesday, Aug. 28 1. Wall Street was heading for a slightly lower open after the Dow closed at another record and the S & P 500 came within a whisper of one as well. The Nasdaq was still about 5% away from its all-time high. In a Tuesday commentary , we explored why investors are rotating out to tech stocks as the Fed gets ready to cut interest rates next month. 2. Club name Nvidia is set to deliver earnings after Wednesday’s close in what’s been wrongly seen as a make-or-break moment for the Club chipmaker and the overall market. Expectations are off the charts : a $2 billion upside surprise in the reported quarter and a $2 billion guidance hike for the current quarter. Investors also want reassurance that we should not have to worry about delays in the next-generation Blackwell chip platform. 3. Club holding Salesforce also reports its quarterly results Wednesday evening. Can it join ServiceNow as the other company that’s figured out how to use artificial intelligence to the benefit of their clients rather than just talking about it? Key to Salesforce’s call will be commentary about the pace of deal activity, which last time around was described as “measured.” 4. Wells Fargo started Danaher with a hold-equivalent equal weight rating and a $280-per-share price target. The analysts see more downside than upside. I disagree. This Club name is finally ready to have the earnings breakout that has been delayed for years by Covid and China. 5. Foot Locker CEO Mary Dillon’s turn is at last upon us based on lowered inventory, better same-store sales and a very good selection of Nike, Adidas, and New Balance. The sneaker chain reported a smaller-than-expected quarterly loss and slightly better-than-expected revenue, though it maintained full-year guidance. Despite the improving picture, the stock was down more than 7%. Perhaps due to profit-taking since the stock has run up 24% in the past month. 6. Is Nordstrom back? Only a paltry $1-per-share price target bump to $20 by noted JPMorgan retail analyst Matt Boss. He kept his underweight sell on the stock. I think if it separated into the department store and the outlet store, it would be worth a lot more. Late Tuesday, Nordstrom delivered an earnings beat but cautious guidance. 7. PVH shares sank 8% on weak guidance from the fashion company. It was kind of surprising because Tommy Hilfiger and Calvin Klein looked good. Wells Fargo lowered its price target to $130 per share from $145 but kept its overweight buy rating on the stock. 8. SentinelOne reported in-line financial results. I would have expected more if this company were really challenging CrowdStrike , which reports after Wednesday’s close. But analysts are happy with SentinelOne and raised price targets. In cybersecurity, we own Palo Alto Networks , which has come off the boil after a post-earnings pop earlier this month. 9. Stay away from server maker Super Micro Computer . The allegations raised by Hindenburg are extraordinarily negative. This is not a $32 billion market cap stock and it is losing share to Dell . We are in a rotation that is against tech. But Dell reports after Thursday’s close, and I think that Super Micro’s pending losses are Dell’s gains. 10. Warren Buffett keeps selling Bank of America shares. Is he creating a very good opportunity in a bank with a stock that should be much higher? BofA has dropped roughly 5% in the past month but, as of Tuesday’s close, is still up nearly 18% for 2024. 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 Wednesday, Aug. 28
1. Wall Street was heading for a slightly lower open after the Dow closed at another record and the S&P 500 came within a whisper of one as well. The Nasdaq was still about 5% away from its all-time high. In a Tuesday commentary, we explored why investors are rotating out to tech stocks as the Fed gets ready to cut interest rates next month.
2. Club name Nvidia is set to deliver earnings after Wednesday’s close in what’s been wrongly seen as a make-or-break moment for the Club chipmaker and the overall market. Expectations are off the charts: a $2 billion upside surprise in the reported quarter and a $2 billion guidance hike for the current quarter. Investors also want reassurance that we should not have to worry about delays in the next-generation Blackwell chip platform.
3. Club holding Salesforce also reports its quarterly results Wednesday evening. Can it join ServiceNow as the other company that’s figured out how to use artificial intelligence to the benefit of their clients rather than just talking about it? Key to Salesforce’s call will be commentary about the pace of deal activity, which last time around was described as “measured.”
