Every weekday, the CNBC Investing Club with Jim Cramer publishes Homestretch, a helpful afternoon update just in time for the final hour of trading on Wall Street. We no longer record audio, so we can get this new written feature to members as quickly as possible. Here is Friday's edition.
To the wire: It's been a hectic day. The key part is that the market recovered its initial losses, ignoring a hot reading on producer prices and rising bond yields. It's a different trading pattern than Tuesday when a the hot mark on consumer prices Bond yields soared and stocks fell. He S&P 500 ended at a record level on Thursday, putting the index just above the week's balance line. If the gains hold, that would mean the S&P 500 closed higher on a weekly basis in 15 of the last 16 weeks. It has been such a great career.
Expanding: What's notable on Friday is that the S&P 500 is holding strong without much help from the Magnificent Seven. Alphabet, Apple, Amazon, Metaplatforms, microsoft, Nvidia and Tesla. Most of them are trading lower during the session, with the notable exceptions of NVIDIA and tesla. Remember, Jim Cramer kicked out Tesla and renamed the group of mega-cap market leaders the Significant Six. We own all six of the Club's portfolio. The main sectors in the market on Friday are materials, health care and consumer staples.
Club winners: Wells Fargo was the best performer this week, thanks to Thursday's 7% rise in response to regulators canceling a consent order. GE healthcare He was second on the list. UBS upgraded the healthcare company to neutral on Monday. HSBC initiated coverage with a price target of $100, the street's high, on Thursday. Surprisingly, despite the news of a secondary offering of 13 million shares linked to General EnergyWith its stake in GEHC, the stock reversed Friday's initial losses and traded higher. That's a great sign. Other notable highlights this week included Eli Lilly, shoe drawer, Danaher, Lindeand disney.
Lagging club: Mega-cap tech stocks led our portfolio lower this week, with Alphabet, Microsoft, Apple and Amazon among the worst performers. starbucks also underperformed. After consecutive ugly sessions, aggregate to our position in Starbucks on Wednesday as the stock fell back to its pre-earnings levels. While the coffee giant needs to prove it can accelerate same-store sales growth again, the fact that the stock didn't fall in earnings despite the bad news told us that the market has priced in a lot of downside in these levels.
Next week: Four portfolio companies are scheduled to report in the upcoming holiday-shortened week following the club's recent lull in earnings. Palo Alto Networks and Nvidia are after the closing bell on Tuesday and Wednesday, respectively. They are the greats. Both stocks are off to a blistering start to the new year. Bausch Health and Coterra Energy both report Thursday. Outside the portfolio, we make profits of Walmart and House deposit.
Mark your calendars: On Saturday, February 24, we will host our second annual CNBC Investing Club Member Meeting with Jim Cramer. Check your email for more details.
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