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Home » “Market cooling” is an opportunity to buy plummeting AI stocks
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“Market cooling” is an opportunity to buy plummeting AI stocks

adminBy adminJune 5, 2026No Comments4 Mins Read
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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. Stocks fell on Friday as investors digested May’s jobs report and volatility in the tech sector. The tech-heavy Nasdaq fell 1.7%, the S&P 500 index fell nearly 1%, and the composite index was on pace for a weekly decline after nine straight weeks of gains. Nonfarm payrolls rose by 172,000 in May, more than consensus expectations, and the unemployment rate was unchanged at 4.3%. In response, U.S. Treasury yields rose on the possibility of a rate hike before the end of the year, which would be negative for stocks. Jim Cramer added his view on the market pullback, saying this “cooling off period” could be an opportunity to take advantage of declining semiconductor stocks, as “there really is no negative theory in data centers.” Portfolio laggards on Friday included Arm Holdings, Intel and Corning. With the stock down 6% on Friday, Jim called Intel “a great level to buy.” We did a little shopping ourselves. The chipmaker has extended its decline in the wake of Broadcom’s disappointing guidance on Wednesday, sending the stock up 20% this week. Investors are moving money into the defense sector, particularly health care. This unpopular sector is coming back, with shares of Johnson & Johnson, Eli Lilly and Cardinal Health rising on Friday. 2. CrowdStrike stock extended its decline on Thursday, dropping another 3.4%. CEO George Kurtz appeared on “Mad Money” with Jim last night to discuss the company’s results and explain that investors’ expectations that Anthropic’s AI model, Mythos, would boost earnings were premature. Mythos is part of Anthropic’s Project Glasswing, a cybersecurity AI initiative that also includes CrowdStrike, to help find vulnerabilities in software. Jim said it’s wrong for people to “not see an opportunity” for AI-native cybersecurity companies. Jim believes the exit will be an entry point for new members, as he expects “this[current]quarter to be very big.” 3. Apple will hold its Worldwide Developers Conference on Monday, with investors expecting big upgrades to Siri built on Google Gemini with chatbot-like features. The event “is going to be very positive,” Jim said, adding that Siri will continue to improve. Honeywell, which owns the club, will host a 2026 guidance update for its Honeywell Aerospace unit, which will become a separate publicly traded company, on June 29, followed by an investor day on Thursday. Jim is interested in adding to the Honeywell position at the club at a lower price. Finally, the long-awaited SpaceX IPO is scheduled for next Friday. S&P announced in a release Thursday that it will not adjust SpaceX’s inclusion in its index. In addition to the Anthropic and OpenAI IPOs scheduled for later this year, Jim remains wary of investors potentially selling existing holdings to make room for SpaceX. 4. The stocks featured at the end of Friday’s video were Lululemon, Chipotle, Qualcomm, and Tesla. (Jim Cramer’s charitable trusts are long AVGO, ARM, INTC, GLW, JNJ, LLY, CAH, CRWD, AAPL. See here for a complete list of stocks.) As a subscriber to Jim Cramer’s CNBC Investment Club, you will 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.



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