My Top 10 Notes Friday June 12th 1. Today is the day. SpaceX. Largest initial public offering in history, raising $75 billion. I want 25% to 30% pop when opening. Anything more encourages fins and weakens the company’s shareholder base. I don’t want to see what happened to Figma. I don’t want a repeat of Cerebras. 2. Stock futures are rising on hopes for a peace deal between the US and Iran that would reopen the Strait of Hormuz. Will we be able to meet before the G7 summit next week? Oil is doing what we think it should, with the US benchmark WTI down more than 3% to less than $85 per barrel. The 10-year US Treasury yield was little changed. This is a good setup for today’s session. 3. Along with the financial results, Adobe announced that CFO Dan Dern will be leaving the company to join Marvell. From software to semiconductors. Signs of this market. The search for a successor for Shantanu Narayan, Adobe’s longtime CEO, has already begun. Despite strong sales and bottom line results for the quarter, the stock price fell 7%. There is never a perception that things are slowing down. Downgrade from Stifel, Wolfe Research, Evercore ISI. 4. Advanced Micro Devices has been upgraded from Buy to Hold at Citi. Analysts were already optimistic that Agentnic AI would be a big tailwind for AMD’s central processing unit (CPU) business, but they now see AMD as a legitimate second source in the graphics processing unit (GPU) market after club name Nvidia. City expects Meta to buy far more AMD chips than Street currently models. 5. JP Morgan raised Nokia’s price target from $14 to $21. This makes a lot of sense here. Nokia has reinvented itself as an AI networking business and is partnering with Nvidia. Earlier this month on Mad Money, I recommended waiting for a pullback before initiating a small position in Nokia. Well, we got that pullback. 6. Big changes coming to the Nasdaq 100: Astera Labs, CoreWeave, Nebius, Rocket Lab, and Teradyne are set to join before trading opens on June 22nd. There are many names for AI infrastructure. Charter Communications, Cognizant Technology Solutions, Insmed, Verisk and Zscaler are among the companies excluded from the index. Many funds are tied to the Nasdaq 100 through Invesco’s popular QQQ ETF. 7. Amazing: Bank of America lowered its price target for its entire Medical Devices group. Intuitive Surgical, Medtronic, Stryker, Becton Dickinson, Boston Scientific. This group was very strong, but after the fall the situation deteriorated. Significant price-to-earnings compression. 8. Williams-Sonoma returns as a buy for Bank of America. The price target remains unchanged at $250, suggesting an upside of about 15%. Analysts said the company is in a “demographic sweet spot” thanks to a more resilient customer base. CEO Laura Alber has done a great job of positioning WSM as an affordable luxury. For the club, our specialty retailer is TJX, which operates at the HomeGoods value end. 9. Barclays lowers FedEx price target from $450 to $425 as stock adjusts for FedEx Freight spinoff. FedEx is one of Barclays’ top buying ideas in the transportation space. Analysts expect further upside to earnings and valuations as the economy improves and FedEx’s network integration progresses. We own both FedEx and FedEx Freight for the Club. 10. Keefe Brouillette said Google, owned by Alphabet Inc., poses a threat to Zillow and other real estate portals as its expansion into real estate advertising increases competitive pressure. Goldman made a similar argument and lowered its price target on Zillow from $53 to $40. Sign up for free for my Top 10 Morning Thoughts on the Markets email newsletter (See here for a complete list of Jim Cramer Charitable Trust 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.
