Why Cramer thinks owning Apple is ‘not about quarters’
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 Thursday’s key moments. 1. U.S. stocks rose Thursday, with equities on track for their fourth-straight day of gains. The S & P 500 and the Nasdaq Composite were both up roughly 1.5% in midmorning trading. Bond yields, meanwhile, pulled back after the Federal Reserve held interest rates steady on Wednesday. The yield on the 10-year Treasury was hovering at just above 4.6%. And oil prices edged up by around 0.7%, with West Texas Intermediate crude trading at roughly $81 a barrel. 2. Club holding Starbucks (SBUX) reported much better-than-expected quarterly results Thursday, sending its stock soaring by 10%, to $100.50 a share. The coffee maker delivered dynamic margin expansion at 18.2%, compared with 15.1% during the same period last year. Meanwhile, Club name Eli Lilly ( LLY) also delivered an earnings beat Thursday, even as the pharmaceuticals firm slashed its full-year guidance on charges related to recent acquisitions. Several big drugs missed on revenue, but in our view there is only one line that matters: Mounjaro revenue of $1.41 billion beat estimates of $1.28 billion despite intermittent delays fulfilling orders. Eli Lilly stock was up more than 5% in midmorning trading, at $582.58 a share. Stay tuned for a full Club analysis of both earnings reports later Thursday. 3. Club holding Apple (AAPL) is set to report fiscal fourth-quarter results after the closing bell Thursday. Wall Street expects sales to be mainly flat year-over-year, while earnings-per-share should climb around 10 cents on an annual basis. We’ll be looking closely for any commentary Apple management provides on the current quarter. “I say own it, don’t trade it,” Jim Cramer reiterated Thursday. “It’s not about quarters. If it were about quarters, you would have left” a while ago, he added, explaining Apple remains a long-term play regardless of quarterly performance. (Jim Cramer’s Charitable Trust is long SBUX, LLY, AAPL. 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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