Cramer's Morning Take: Alphabet 7/25/23

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Jim Cramer (0:28)

I'm Jim Cramer, and you're about to hear a sample taken directly from today's CNBC Investing Club morning meeting.

I've got to tell you something. Once again, we've got a very mixed picture, and the mixed picture comes from actual one-off things, like Raytheon not doing that well, RTX.

But I want to speak a little more about what's going to happen this evening, because I think we can look at Dow and how it did, but I had a very consequential interview last night with Jonathan Kanner. He is the Assistant Attorney General for Antitrust. Very different, by the way, from the FTC. He's offered a very cerebral analysis of what a monopolist is. He would not speak specifically about Alphabet, but I can tell you that if Alphabet has a good quarter and we do have position in Alphabet, the next thing you will hear is an Antitrust case that I think is very potent and will make them choose either the buy side or the sell side. I'm quite aware of this because when I helped run the street.com, suddenly out of nowhere, Google became both sides of the ad market, and we began to lose a huge amount of money. That's what he's focused on, so let's understand, and there should be a video on cnbc.com that was not on that money, which explains that I am genuinely concerned about our Alphabet position because of Antitrust.

Jeff Marks (1:44)

Yeah, it's in the analysis tab on the Investing Club site if you want a quick way to find it, but I thought his comments were very interesting, right? Traditionally, Antitrust, you think of a, is an acquisition vertical versus horizontal. He's saying everything is two-sided.

There are two-sided marketplaces now.

Jim Cramer (2:00)

Right, I mean, are they any?

Jeff Marks (2:01)

And that's a key difference from business, you know, a decade ago versus today.

Jim Cramer (2:06)

Exactly, and when he said yes, what he says is we're gonna bring back the Sherman Antitrust Act, which the Sherman Antitrust Act was used to say, who's a bad actor? If someone is a monopolist, we're going after that monopolist. Now, if you read their 180-page brief, they think that Alphabet is a monopolist. This is substantive to earnings. So my inclination is if Alphabet goes up when they report tonight, we're gonna begin to have to trim Alphabet because I fear Cantor far more than I fear Lina Kahn.

Start your day with my outlook on the daily market every morning at 10, 20 a.m. Visit cnbc.com/morningtake to access all the benefits of being a CNBC Investing Club member.

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