CNBC Investing Club: Cramer’s Morning Take on FedEx 5/19/26

SPEAKER_1 (0:00)

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Jim Cramer (1:02)

Jim Cramer here to share a short preview of my take on the market from today's members-only CNBC Investing Club morning meeting. Join the club for full access to the morning meeting every day at 1020 a.m. Visit cnbc.com/morningtake to sign up today. That's one word, morning take.

Jeff Marks (1:24)

So we have a new position now in the portfolio. FedEx bought some yesterday fresh off your trip to Memphis where you sat down with CEO Raj Subramanian. He's orchestrated a great turnaround here, removing billions in costs, going after higher margin opportunities in business to business and business to consumer.

Jim Cramer (1:43)

Yeah, remember, we bought very small and we're going to do what we do with all these large dollar amount stocks. Just wait for new levels so it's meaningful. The main thing that makes me want to buy FedEx, by the way, there's a fuel surcharge. Don't worry about that. The main thing is that this is an unbelievable share take versus a well established story company, which is United Portia.

And a lot of the really fancy difficult kinds of packagings you have for business, they do business with business, people want FedEx over UPS. And this point was made over and over again.

The overall amount of e-commerce obviously is tremendous and growing. But I think that FedEx's mark, Raj's mark on FedEx will be, he offers a superior supply chain product to UPS. And he also had a much better holiday season. And I think that that's unbeatable because this is a integral supply chain company. That's what you want it for.

Jeff Marks (2:42)

Let's get into earnings, home depot. Expectations were low. They did a little bit better than analysts' estimates. So those have been coming down. Still waiting for the housing recovery.

Jim Cramer (2:54)

It was the worst hedge.

Now it feels like the worst hedge. I will say this over and over again. I would do this again. I would do it again. The reason I say that is because it is the best way to play any sort of decline in interest rates, better than toll even. But the president is doing these things that make it so you don't get the decline.

Jeff Marks (3:17)

And earlier this year, we did hear a lot more activity from the administration about finding ways to improve housing affordability. We sold into one of those rallies. It was a good sale. Well, it should have just sold it all. Haven't bought any of that back. Still waiting, though, just because of rates.

Jim Cramer (3:34)

I mean, arguably, I could say we should buy some. I mean, it's to buy back the stock that we sold.

Jeff Marks (3:40)

Yeah, I guess I asked what the catalyst is.

Jim Cramer (3:42)

But the problem is, is that I think rates are still going higher, which is one of the reasons why it's hard to be really bullish. And we've been trimming.

SPEAKER_5 (3:53)

All opinions expressed by Jim Cramer on this podcast and in connection with the CNBC Investing Club are solely Cramer's opinions and do not reflect the opinions of CNBC or its parent company or affiliates and may have been previously disseminated by Cramer on television, radio, internet or another medium. No specific outcome or profit is guaranteed in connection with your reliance upon or other use of the content from Cramer. The opinions offered in connection with this podcast and the CNBC Investing Club are not an attempt to induce any particular trading behavior, investment or strategy. To view the full CNBC Investing Club disclaimer, please visit cnbc.com/investingclubdisclaimer.