Every weekday, Jim Cramer’s CNBC Investment Club releases the Homestretch, a practical afternoon update to coincide with the last hour of trading on Wall Street. Stocks have fallen for the second consecutive session as the S&P 500 index hits a new 2026 low. The drawdown from the all-time high closing price on January 27th is currently around 5.75%. Historically, the S&P 500 experiences 5% declines several times a year, and it never feels good while that happens. Keeping emotions in check is exactly why we rely on the S&P oscillator in this way. This technical indicator helps identify when the market is oversold and sentiment is too negative. We’re in a highly oversold situation, so we’re buying small amounts of one or two stocks each day, while holding on to enough dry powder in case geopolitical tensions escalate and oil prices rise. DuPont is seeking shareholder approval for a reverse stock split ranging from 2-for-4 to 1-for-4, with the exact ratio to be determined by the company’s board of directors, the company announced late Wednesday. Reverse stock splits are not common among established companies. These are typically done by small businesses whose stock prices have fallen sharply and who need to exceed certain thresholds to remain listed on the exchange. However, there is some precedent from peers who have made similar significant changes. GE conducted an 8-1 reverse split in July 2021. This preceded the spin-off of GE Healthcare and GE Vernova. The company made the move to reduce its then-approximately 8.8 billion shares outstanding “to a level more consistent with a company of GE’s size and scope.” DuPont ended 2025 with approximately 420 million shares outstanding, which is significantly different from GE. We’d like more clarity on why DuPont is pursuing this, but the company has been building goodwill with investors over the past six months following its spinoff of Qnity Electronics to create value. As for Qnity, the company announced Wednesday that it is working with Nvidia to accelerate AI-driven innovation. The companies are partnering to advance research and development of materials that support next-generation AI, high-performance computing, and advanced packaging technologies. While this news doesn’t move the needle for Qnity on Thursday, it’s progressively positive to see the company deepen its partnership with Nvidia to support future AI demands. FedEx will report after the closing bell on Thursday, highlighting CEO Raj Subramaniam’s commentary on how geopolitical tensions and rising fuel costs are impacting global commerce. There are no major financial results or economic indicators released on Friday. (See here for a complete list of Jim Cramer Charitable Trust 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.
