On Monday, CNBC’s Jim Kramer said some of the winners of the epidemic who rallied on Monday would be able to hold on to their recovery and others would be disappointed.
The host of “Mad Money” says, “When you see all the so-called epidemic dramas roaring without the emergence of Covid, you have to take them on a case-by-case basis.” “Some of these will be one-end-completed rice, but I think the high-quality names have outgrown their bad aspects and could bounce more than a day before the steam runs out,” he added.
Technology-heavy Nasdaq Composite rose 1.9% on Monday after Tesla CEO Elon Musk bought a 9.2% passive share on Twitter. The Dow Jones Industrial Average rose 0.3% and the S&P 500 rose 0.8%, both for the second straight session.
To illustrate his point, Kramer selected nine companies that met on Monday and gave his thoughts on each.
Here is his analysis of each company:
“With [CEO Barry] In McCarthy Helm, I’m strong on Peloton. Even if this quarter is weak, I think it’s worth owning as a long-term bargain, “says Kramer.
Zoom “As well as being a well-managed video conferencing company, there’s something to be done.… If they’re like that, I’ll tell them to count on me,” Kramer said.
Kramer said he further believes Docusaine needs to be changed to perform better after the epidemic. “With the collapse of the cove, more deals will now be faced,” he said, adding that he believes the stock will continue to fall.
“Unless Elon Musk takes a huge position here, I’m betting [Monday’s rally] That would be a one-day move, “Kramer said.
“I actually have high hopes for this company in the long run. But because it’s losing money, I can’t recommend the stock,” Cramer said.
Company “Works in the long run“ But to be successful, it needs to increase its market cap, Kramer said.
Kramer says he believes Etsy stock prices should be higher than they are now.
“It’s going to be a loser and a loser,” Kramer said, adding that PayPal’s growth is slowing.
The stock is “not ridiculously cheap but… AMD is one of the best semiconductor names, a very enterprise-oriented business while the enterprise is the strongest of any group of customers,” Kramer said.
Disclosure: Owners of shares of Kramers Charitable Trust PayPal and AMD.