Jim Cramer’s CNBC Investment Club hosts a “Morning Meeting” livestream every weekday at 10:20 a.m. ET. A recap of Friday’s key moments. 1. The three major indexes rose on Friday after April’s better-than-expected jobs report. The Labor Department said nonfarm payrolls rose by 115,000 people last month, exceeding economists’ expectations of 55,000. The unemployment rate remained unchanged at 4.3%. Jeff Marks, the club’s director of portfolio analysis, said the report weakens the Fed’s case for short-term interest rate cuts as the labor market remains stable. But Jim argued that interest rates still needed to be lowered, with much of the economy tied to housing and traditional consumer spending. “I still believe that the Whirlpool economy is what[incoming Fed Chairman Kevin]Warsh is focused on,” Jim said, referring to the slowdown in demand across housing and low-end consumer categories. 2. Wells Fargo downgraded Nike’s rating on Friday, citing concerns that the company’s turnaround may take longer than investors expected. Nike stock has fallen about 30% this year, making it the second-worst performer on the Dow Jones Industrial Average. Jim said the retail environment is becoming increasingly difficult as investors continue to favor AI stocks over traditional consumer stocks. Investing Club downgraded Nike’s ratings following the company’s most recent quarter, reflecting concerns that improving fundamentals alone are not enough to improve sentiment across the retail industry. 3. The club that owns Qnity Electronics reported on Tuesday morning. DuPont, the former parent company and namesake of the club, delivered an impressive beat-and-raise quarter earlier this week. Qnity stock continued its strong performance on Friday, rising about 80% this year. Deutsche Bank recently raised its price target to $170 from $140, citing continued strength in semiconductor demand. Jeff noted that more than 65% of Qnity’s business is related to semiconductors, and the company stands to benefit from continued spending on AI and data centers. Still, Jim and Jeff agree that after such a massive rally, investors will need to look for a “beat-and-raise” quarter to push the stock higher. 4. The stocks featured at the end of Friday’s video were CoreWeave, Texas Roadhouse, Cloudflare, DraftKings, and Airbnb. (Jim Cramer’s charitable trust has long included DuPont, Nike, and Knitty Electronics. See here for a complete list of stocks.) As a subscriber to Jim Cramer’s CNBC Investment Club, you’ll receive trade alerts before Jim makes a trade. After Jim sends a trade alert, he waits 45 minutes before buying or selling stocks in his charitable trust’s portfolio. If Jim talks about a stock on CNBC TV, he will issue a trade alert and then wait 72 hours before executing the trade. The above investment club information is subject to our Terms of Use and Privacy Policy, along with our disclaimer. No fiduciary duties or obligations exist or arise from your receipt of information provided in connection with the Investment Club. No specific results or benefits are guaranteed.
