2 stocks to consider buying on weakness, and what to expect from Morgan Stanley earnings next week
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 Friday’s key moments. U.S. stocks tumbled on Friday as traders digested bank earnings and weighed inflation concerns. This follows a series of volatile trading sessions for the market, with the S & P 500 and the Dow on track for a weekly decline. The Nasdaq , after Thursday’s surge, was on the bubble. The 10-year Treasury yield edged lower Friday after a spike spurred a sell-off in equities earlier in the week. The Club is considering adding to our Best Buy position as the overall market nears oversold status. We’re restricted until next week. Beer powerhouse Constellation Brands shares dropped Friday amid the broader market downturn. The decline reversed Thursday’s gains on a strong quarter . Management also delivered upbeat guidance for their full-year fiscal 2025. Members who don’t own Constellation could consider buying some if Mideast tensions were to further send the whole market down. On Thursday, following the release, we reiterated our buy-equivalent 1 rating on the stock and raised the Club’s price target to $300 per share from $270. Club holding Morgan Stanley will release earnings on Tuesday. Coming into the print, a pick-up in IPOs has been a positive sign for the firm’s investment banking business. But the focal point of recent quarters has been lackluster wealth management revenues, margins, and net new assets. We think new CEO Ted Pick needs to right the ship, fast. The Club was also disappointed by media reports that multiple federal regulators are probing Morgan Stanley’s Wealth Management business. It’s hard to say what will come of this, so we will wait for more information. Members check your email inboxes and texts for our full analysis of Wells Fargo ‘s earnings. (Jim Cramer’s Charitable Trust is long STZ, MS, BBY, WFC. 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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