Q2 Playbook, Disney and Peltz Ramp Up Proxy Fight, Bears Claw At Tesla 4/1/24

David Faber (0:00)

Market insight and analysis. You're listening to the opening bell of CNBC's Squawk on the Street.

Carl Quintanilla (0:05)

Good Monday morning. Welcome to Squawk on the Street. I'm Carl Quintanilla with Jim Cramer, David Faber's back at Post 9 of the New York Stock Exchange. We kick off Q2 at record closing highs. Best start to a year since 2019 for the S&P. Big week with Tesla delivery data, Disney's annual meeting and a jobs number on Friday. Our roadmap begins with the playbook for Q2. More upside ahead or do we brace for a pullback?

David Faber (0:26)

Also, Tesla investors saying good riddance to the first quarter, but the company is being hit with bearish Wall Street calls ahead of the delivery number that's going to be delivered this week.

Plus the Disney Nelson Peltz proxy battle. We're in the homestretch now. The Media Giants crucial shareholder meeting just a few days away.

Carl Quintanilla (0:45)

Let's begin with a new trading quarter after a bullish Q1 for stocks. Jim, although you wrote this morning, overbought here better a seller than a buyer?

Jim Cramer (0:52)

Yes, well, I mean, we haven't been this overbought since the beginning of January, which was a kind of rough time. I think that we do have very little actual earnings news. We have lots of very, very things that are very important. We got some spinoffs, too. We got 3M spinoff GE. They'll be very exciting. But yeah, I mean, I just feel like I don't like to buy it here. We are, for the club, are huge believers that the risk reward is bad. We offer this S&P, the oscillator is part of our package. And it has been uncanny in telling you when not to buy.

And David, I know you were on assignment last week, but we've had kind of a long term.

Tough assignment. We've had a lot of power in stocks that are not Mag-7, I mean, home builders, transportation, some auto, really good just general industrial.

David Faber (1:51)

But that's being embraced as a real positive.

Jim Cramer (1:54)

But if you look at the charts, they're straight up. I don't know, I'm getting concerned.

David Faber (1:57)

You are getting concerned, even though when we began the year, many were hoping that we would see this broadening of the market that we have seen. We've seen the reduction of the Mag-7 to basically a Fab-4.

Jim Cramer (2:08)

Yes, donors, share donors.

David Faber (2:10)

But the fact is that many of the areas you just mentioned have been beneficiaries of a much stronger market overall. And so we have seen this broadening.

Jim Cramer (2:19)

But now we're about to have earnings. I don't know if they're all equal to the task. And that's the problem. I mean, right now, this week, this week you can play. But I do think that we have a lot of stocks that have run in anticipation that the Fed's gonna cut, run in anticipation that profits are good. And so when you finally get the profits are good, so what?

That's all.

Moved up, Magnificent 7, I love the broadening. We can probably stop talking about the Magnificent 7 That was a good movie.

David Faber (2:48)

Yeah, those days are over.

Jim Cramer (2:50)

Right, that was, we're done with the Magnificent 7

Carl Quintanilla (2:53)

So no more Yule Brenner jokes?

Jim Cramer (2:54)

No more.

Carl Quintanilla (2:55)

No more obscure references?

David Faber (2:57)

To names that neither Carl or I actually know.

Jim Cramer (3:00)

Eli Wallach, you know?

David Faber (3:01)

We know him.

Jim Cramer (3:01)

Brooklyn, but no, I think that it's time to move on, but a lot of people are doing fab for, I mean, there's like, I'm tired of like the monikers. No, I mean, come on, Tesla's bad, Apple's just not so good, and then everything else all right, and look, NVIDIA is one of my favorites.

David Faber (3:20)

Oh yes, that I don't think is news for anybody.

Jim Cramer (3:22)

You know, I wrote a piece this weekend about how he made fun of me when it was at $3.

Carl Quintanilla (3:27)

That was the subject of the piece?

David Faber (3:29)

Well, I never made fun of you. What are you talking about?

Why do you rewrite history like that?

Jim Cramer (3:34)

Because that's my ability. I'm allowed to have revisionist history. That's one of the great things about-

David Faber (3:38)

I never ever made fun of you about NVIDIA ever.

I've made fun of you about a lot of things. But not NVIDIA.

Jim Cramer (3:43)

I just think that NVIDIA, Supermicro, they have some wind at their back still because Genevieve I's-