Cramer's Morning Take: Nvidia & Morgan Stanley 3/5/24

Jim Cramer (0:01)

Jim Cramer here to share with you a sample of my take on the market from today's CNBC Investing Club morning meeting. I do feel a little more cautious here because I do think that we had this, what I call the super micro blow off yesterday, which I really don't like.

I don't like it when you have a stock that opens up big and comes down and follows through with more decline today. So, I know that certain stocks can be forerunners. I don't want that to be a forerunner of NVIDIA.

Jeff Marks (0:28)

No, absolutely not, especially ahead of their big GTC event in a couple of weeks. But to your point about what's happening in some of the big mega caps today and in tech, it is a little bit of a rotation happening. Same thing as yesterday.

You know, hard to say broadening out with the index down that much, but we are seeing some good moves in banks, staples, utilities. So it's just all not down. Some healthcare stocks holding in as well that we own.

Jim Cramer (0:53)

Don't forget Target wheels. So some retailers, Dollar General, Dollar Tree.

So low to medium sized retailers doing quite well. And I think that's important because what this says speaks again to health of the consumer. We know that the consumer is not getting big wage growth, but we do know that consumer continues to be important.

Jeff Marks (1:11)

And I know at the end of Mad Money yesterday, you kind of just sounded a little bit more of a cautious tone that you had about the markets here after the big run.

Jim Cramer (1:21)

And this is one of those things that is much more a gut. I just say we've been up since November. Bulls make money, bears make money, pigs get slaughtered. If you don't think you've been a pig by taking your cash position up to, say, 10%, which is what we do, which is very extreme for us, then I think that you're making a mistake because you can trim some Morgan Stanley here that we bought a lot lower and feel very good about it.

I don't want to just walk around with all the stock that we have as if it hasn't been up, and it's just time to start buying. That's not the case.

Jeff Marks (1:56)

Yeah, no, I totally agree. Morgan Stanley was up about 4% yesterday.

Mentioned on the homestretch, maybe there was one analyst note. There was no real catalyst why it was up 4%. One of the better names in the S&P 500, by the way, on yesterday. So this morning, we decided to trim some. It's a very large position, so we're taking some back.

You know, yeah, sure, you know, management practiced U-Pod potentially with that wealth management margin guide last quarter, which the stock got crushed on. It has recovered all those losses, but they still have to deliver. That remains to be seen.

Jim Cramer (2:27)

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SPEAKER_3 (2:45)

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