We’re making 100% on a trim of this cybersecurity stock in an overbought market
Shortly after the opening bell, we’ll sell 30 shares of Palo Alto Networks at roughly $349.50 each. Following Monday’s trade, Jim Cramer’s Charitable Trust will own 230 shares of PANW, decreasing its weighting to 2.4% from 2.71%. We’re booking profits to start the new week following Friday’s dovish Fed-driven rally, which sent the S & P Short range Oscillator deeper into overbought territory. Federal Reserve Chairman Jerome Powell said in his speech from Jackson Hole that it’s time to start cutting interest rates. PANW YTD mountain Palo Alto Networks YTD Monday’s trim of Palo Alto Networks was signaled both before and after last week’s strong earnings report , especially when it was up about 8% last Tuesday . Although we are long-term investors, not traders, and view Palo Alto Networks as a best-of-breed company in cybersecurity, we liked the idea of selling back the 30 shares we bought near $300 in early August when the market was breaking down on recession concerns and throwing away tech stocks. Now that we are no longer restricted, we can make this sale. We will realize a gain of about 100% on stock purchased in February 2023. (Jim Cramer’s Charitable Trust is long PANW. 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.
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