Dilara Irem Sancar | Anadolu | Getty Images
My top 10 things to watch Wednesday, April 16
1. Nvidia last night issued a warning that its throttled-down, made-for-China H20 artificial intelligence chips need an export license from the U.S. government. The requirement led to a $5.5 billion charge. The Club stock sank 6%.
2. The Nasdaq was headed for a sharply lower open today due to the big drop in Nvidia shares. The S&P 500 was also poised to open lower. Other chipmakers and a wide swath of tech stocks were hitting hit.
3. Another weak quarter from semiconductor equipment maker ASML, which makes cutting-edge lithography key to chip manufacturing. China is 27% of its business. Used to be 41%. Total uncertainty, confusion.
4. Bank of America cut its price target on the Club’s other chipmaker, Broadcom, to $240 per share from $260 due to worries about tariffs. What do we do with this one and Nvidia? The Club’s Monthly Meeting is at noon ET.
5. Morgan Stanley was among the Wall Street firms cutting their price targets on Club name Microsoft. The Morgan Stanley analysts, who kept their overweight buy rating, cited a “wall of worry” due to demand concerns.
6. Club name Abbott Laboratories reported a mixed quarter, beating on earnings per share but missing on revenue. Segment sales: Nutrition beat, diagnostics missed, pharmaceuticals beat, and medical devices beat.
7. Big call from Goldman Sachs, downgrading Target to neutral from buy and cutting price target to $101 per share from $142. The analysts cited discretionary spending concerns and Trump tariff uncertainty.
8. United Airlines reported a quarterly beat on EPS but a miss on revenue. United maintained its full-year forecast but offered a second outlook should the U.S. slip into a recession. Either way, the airline expects to turn a profit.
9. Bernstein raised its Johnson & Johnson price target to a buck to $159 per share. The analyst see tariffs being offset by the now weaker dollar. U.S. multinationals have long complained about a strong dollar.
10. Piper Sandler cut its Tesla price target to $420 per share from $450. The analysts think quarterly numbers will underwhelm. But they are still positive about the big picture for the leading EV maker.
Sign up for my Top 10 Morning Thoughts on the Market email newsletter for free
(See here for a full list of the stocks at Jim Cramer’s Charitable Trust.)
As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade.
THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY, TOGETHER WITH OUR DISCLAIMER. NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
