Oracle Slides, Morgan Stanley's Jonas Ups Tesla PT to $400, Google's "Quantum" Leap 12/10/24

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Jim Cramer (1:01)

It's Jim Cramer here. You're listening to the opening bell of CNBC's Squawk on the Street. Don't miss a minute of the action.

Carl Quintanilla (1:08)

Good Tuesday morning. Welcome to Squawk on the Street. I'm Carl Quintanilla with Jim Cramer, David Faber at Post 9 of the New York Stock Exchange. Futures are a bit mixed following Monday's momentum unwind, and as we await CPI tomorrow, tons of corporate news from Oracle to Disney to Boeing. A positive mention of Google has that stock up 4% pre-market. A roadmap begins with Oracle though, sliding on its earnings and its revenue miss. Biggest laggard on the S&P ahead of the bell.

David Faber (1:32)

Plus, Tesla is named the top pick at Morgan Stanley. It's getting a big price target increase. The stock, of course, is nearing a new all-time high. And how about Boeing? Well, it's restarting production of its 737 Max. That's about a month after, of course, the seven-week strike by more than 30,000 factory workers. Finally, it was brought to an end.

Carl Quintanilla (1:53)

We'll begin with Oracle this morning, down sharply in the pre-market. Quarterly results coming in just shy of expectations, despite cloud growth fueled by what the company calls record-level AI demand. Current quarter guidance a bit below consensus. Jim, we were just talking yesterday about where the sellers were. They came out.

Jim Cramer (2:09)

They came out. It's very interesting. I'll get to... Let me get to Oracle first. Look, when you're on an Oracle call, it's very rah-rah. It's hard for clients to always talk about. My forecast would be my forecast, and Larry Ellison jumps in and says, we're going to win. No one even is near us. Our buildings are best. I actually like it now. There was a time when I said, are you guys kidding me? But when you put on those points and you make that kind of money, I think you're serious. And I'm buying or, well, I'm not, don't have much travel trust, but I like the call. And I like what they said. And so did the analysts who congratulated them. I think you have to be careful selling this stock if only just because it ran up a lot. This might be the level to buy. But yesterday was the day I was looking at bespoke David.

Carl Quintanilla (2:50)

That's a great stat, I love that one.

Jim Cramer (2:52)

Crazy stat, all 26 of the Russell 1000 stocks that were up 100% on the year through last Friday were down today. And they're down an average of more than 5%. David, this may have been a basket someone put together to go after the companies that are up the most. And it did impact stocks.

David Faber (3:08)

Oh, without a doubt. I think yesterday was one of those, in the hedge fund business, they call it factor risk. I'm not gonna go into it. But it was one of the worst days since 22 In terms of the names are long and short and everything is sort of going the wrong way on them. It was one of those days, Jim. Not quite sure why. But I'm sure you have some theories.

Jim Cramer (3:27)

Well, one of my theories is that it's absurd that these stocks are all up like this. And it might be out of...

David Faber (3:33)

Well, you joked yesterday, Palantir, we talked about any number of these. Applovin yesterday, in terms of just the...