CNBC Investing Club: Cramer’s Morning Take on Meta 4/30/26

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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.

First, let's go over the hyperscalers, one by one. The best of the night was Google, and that was because YouTube was terrific, but Google Cloud was the standout, and Jim and I, General Search, almost every single firm that covered it raised the price targets rather dramatically.

Second best was Amazon, and that was Amazon Web Services doing well, food doing well, satellite, very intriguing, commerce doing well, that's of course Amazon Prime, Amazon Web Services doing extremely well, growing at 28%, I remember just three years ago it was growing at 12%, so that's a monumentally large business, growing tremendously, all price targets up. Now we get to a more controversial one, Microsoft. Microsoft said that Azure, which is the cloud business, went from 39, 40 from 36 A lot of people got excited about that, but it turned out that there's a lot of aspects of Microsoft that just feel like software. In other words, that they're not going to be able to charge as much as they used to. Thank you Ben Rice for pointing this out to me. Over at Melius, the CapEx was also a little bit higher than Consensus.

Everybody raised price targets, but I have to tell you, I do not think that you need to buy Microsoft. You know, we own it. And then fourth was Meta. And Meta was disappointing even though their growth was really incredible for advertising. They have to spend more money. They're doing a $25 billion bond offering.

The 8 million advertisers was the most growth in five years, but the problem with this is simple. They, unlike Google with Google Cloud, unlike Amazon with Amazon Web Services, and unlike Microsoft with Azure, they do not have a cloud. And that's difficult because what's happened is a lot of these companies, people had their business on-prem. I had this happen to me at thestreet.com. We had all of our computers on the 14th floor. We couldn't afford it. We moved it to the cloud. It took a two-year hit actually, really hurt our earnings to go to Amazon. But what's happening right now is that if you are on-prem, on premises, you have to spend a huge amount of money keeping up. And keeping up means buying things from Micron, buying things from Sandis, buying things from Seagate and Western Digital. Now, today, interestingly enough, Western Digital, Seagate, they have been strong. Sandis is being insane. So those are, remember I said at the top of the show yesterday, that the shortage stocks are going to continue to do well. Those are shortage stocks. Intel giving up some of the gain, but that's because it's been straight up. So I want to just say it's convincing. Google's a buy.

Amazon is a buy because it's down. I have no interest in buying Microsoft and I am troubled by Metta and have a lot of work to do on it.

SPEAKER_2 (4:21)

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.