Cramer's Morning Take: Danaher 4/23/24

Jim Cramer (0:02)

I'm Jim Cramer, and you're about to hear a sample taken directly from today's CNBC Investing Club morning meeting. We do not have a strong month except for some different companies, including, by the way, Aerospace, which is really terrific.

Jeff Marks (0:18)

Yeah, seeing that across earnings today, I think by and large earnings have been pretty strong. So you're getting a nice day two of a rebound after a nasty week last week.

Jim Cramer (0:29)

And what do you think about the fact that even though cadence was weak, we were having NASDAQ do well?

Jeff Marks (0:34)

Yeah, cadence is interesting. It seems like they've been able to explain it out, but you also have yields pulling back. You did have a lot of tech stocks oversold. I mean, NVIDIA down 10% last Friday. So that's putting together a couple of good days in a row. And we were coming into the day still slightly oversold, according to the oscillator, not as much oversold as we were, say, the last couple of days. But you mentioned a weak march, and I think it's worth flagging here. You did have yields initially higher this morning, but then they started to move lower after S&P Global PMI, much weaker than expected.

Manufacturing under 50

Jim Cramer (1:07)

Big focus. Now, remember, we had a two-year today.

It's under five.

Jeff Marks (1:10)

A big two-year auction at one.

Jim Cramer (1:12)

I put in to get it, because I thought it was going to be five. Right now, it's not looking five, which is really pretty amazing. And don't forget, we have this three-year that Rick Santali is constantly talking about is really, really big.

It's a gauntlet that we have to get through. There's no doubt about it.

Jeff Marks (1:26)

Absolutely. Three big auctions.

Jim Cramer (1:28)

If we have companies that are doing okay, but not raising price, that's, remember, Procter put through price, had cost go down, had big margin. PepsiCo could not put through price.

Costs stayed the same.

Jeff Marks (1:46)

That's the elasticity that we're always trying to judge with consumer companies. It's why we like Procter because the volumes were improving. It's why we've liked Constellation Brands because that's a volume-driven story. But I do want to get back to earnings real quick for today.

Dan Aher, one of the top gainers in the market, a very clean beat, bioprocessing, getting closer to that inflection. He had a 21-cent earnings beat, revenues better than expected.

Key line in the press release really sent the stock off was Q1 orders increased mid-single digits sequentially from Q4. People were looking for a decline, so that's a true upside surprise. Booked a bill getting a little bit better, still slightly under one.

Jim Cramer (2:23)

But I would point out that when we have stocks up this much, you get a great second day, which is really rather extraordinary because you think a stock of $15 has no ammo to go to second day. The reason why it goes up to second day is because all the guys were bears come out and realize they better get on the Dan Hur train. So you have a second day rally.

Jeff Marks (2:40)

Yeah, especially with inventory normalizing. Imagine we're on the call, they're talking about the funding environment improving. We've been pointing that out with all the biotech deals that have been happening.

Jim Cramer (2:50)

And there's many coming.

Jeff Marks (2:51)

Yeah, and they said that's a positive indicator for the future.

Jim Cramer (2:56)

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.

SPEAKER_3 (3:08)

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, NBC Universal, or their 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. You should be aware of the risk of loss in following any strategy or investment discussed in the content from Cramer. To view the full CNBC Investing Club disclaimer, please visit cnbc.com forward slash investing club disclaimer.