Cramer's Morning Take: Market Sell-Off 8/5/24

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.

Jeff Marks (0:09)

Well, there were some stocks we did buy today, DuPont, Dover, Nextracker, and Wells. Well, let's go over those.

Jim Cramer (0:14)

Let's go over those. I mean, DuPont's breaking itself up. Great quarter last week.

Jeff Marks (0:17)

I'm not worried about PFAS.

Jim Cramer (0:18)

I mean, it had an amazing quarter.

Jeff Marks (0:20)

Yeah, beat and raise.

Jim Cramer (0:21)

It's had the best quarter of maybe all of our companies. Nextracker was fine. They said that, look, the orders-

You have to get realized that the orders are lumpy. That's exactly right.

Jeff Marks (0:30)

But rates are coming down, and that certainly works to their favor. I feel like that's being kind of missed in the South. The rate's coming down.

Jim Cramer (0:38)

Yeah, obviously, if Harris wins, the stocks at 60 and one in a straight line.

Jeff Marks (0:41)

And we talked about Wells, but also Dover, too, another company that had a good quarter. They just reported, didn't really indicate signs of a slowdown like many are extrapolating through the jobs data.

Jim Cramer (0:53)

Look, I mean, you've got to stock like this. You have a stock like Honeywell down six. That's an opportunity. I'm not lumping everything. If you don't earn any Honeywell, I think Honeywell is fine, by the way.

Jeff Marks (1:01)

And then we did get rid of our positions for when, Ford was after earnings we said.

Jim Cramer (1:06)

Right, I mean, remember, we're not looking, we don't look back and say, hold it, now it's at nine, we like it. We made a commitment for you to sell, and we can't come back to you and say, you know what, we're not gonna sell. We have to do what we said. That's just being consistent.

Jeff Marks (1:19)

Yeah, and when obviously there's just concerns around consumer spending still, a real negative reaction to MGM last week.

Jim Cramer (1:27)

Yeah, so we're getting one of the things that we're, remember, we're always teaching, well, we hope we're always teaching, and we sell losers to buy winners.

Jeff Marks (1:34)

Exactly.

Jim Cramer (1:35)

We do not sell winners to buy losers.

Jeff Marks (1:37)

Better balance sheets, more benefiting from secular trends, really strong management teams. I mean, the DuPont team is great.

Jim Cramer (1:43)

I buy Microsoft, I buy Amazon right here. I mean, look, I spent a lot of time talking to Amazon last week. I mean, a lot, certainly more than any of the analysts, and I can tell you, and I know the company very well, they were quite surprised. All they were trying to do is say, look, the consumer might be a little bit weaker, and the packages we're doing are the smaller packages. They're taking a lot of business away from Walgreens and CBS. And so you say to yourself, well, wow, that's a really terrible thing. No, you say, geez, they could, Walgreens and CBS have to close thousands of stores. This could be very good for Amazon.

Jeff Marks (2:12)

Why don't we squeeze in a quick rapid fire, and maybe get some final thoughts on the market, at least for the morning. Tyson earnings, a good quarter here.

Jim Cramer (2:20)

Okay, I have to tell you, I think Tyson's for sale. I think that they don't know what to do with John. I know John, it's a terrible thing. Those of us who had brushes with this know that it's a tough thing, tough thing. He's CFO.

Jeff Marks (2:33)

Kellenova higher after on a report from Reuters, Mars exploring a deal.

Jim Cramer (2:37)

It's gonna go much higher. I think there really is genuinely a bid. Obviously, if there's none, people feel like, what the hell do I do? It's up 28%, but I believe there's a bid.

Jeff Marks (2:45)

And then Lockheed Martin upgraded outperform at RBC, kind of interesting because of potential rising geopolitical tensions in the Middle East.

Jim Cramer (2:52)

I mean, Lockheed every day, analysts come in and they recommend the stock, because this is about both Gaza and Ukraine. And remember, Ukraine, they're heavily involved, because that's a full-scale, drag-out World War II style war. Now, I wanna go over again what you wanna do in a selloff. You're trying to find, this is still day one. You know, we, forget Friday. This is day one of the big selloff. So what you have is people were smart enough to buy the opening. Now the market goes up, and the European stocks stops, the pressure from Europe stops. So what happens is people then take their profits. So then we get knocked down again. This is probably not the bottom. We could probably get enough, but people who wanna play the bounce, go ahead. We're not bounce players. What we're looking for is to help our bases take advantage of the fact that some companies that have great quarters, DuPont, we get to buy because DuPont is kind of like Kellen Ode.