The Homestretch is an afternoon update from the CNBC Investing Club with Jim Cramer, providing investors with actionable insights for the last hour of trading on Wall Street. In a recent update, it was noted that the broader market was unable to hold onto its early session gains, despite lower-than-expected initial jobless claims and a solid expansion in the ISM services index. However, the Magnificent 7 stocks were performing well, with nearly every stock trading in positive territory, while healthcare stocks, led by McKesson, were experiencing losses after giving a disappointing adjusted earnings forecast. Procter & Gamble also faced challenges in China, with 15% of its business remaining soft due to low consumer confidence and value-seeking behavior. CFO Andre Schulten noted that while there has been some stabilization in the Chinese market, it is still not yet in recovery.
When speaking at the Barclays Global Consumer Staples Conference, Procter & Gamble reported that approximately 85% of its business is growing solidly, in line with pre-Covid trends, while the remaining 15%, including sales in China, is struggling. Schulten mentioned that the performance of this 15% will be a determining factor in where Procter lands in its 3%-to-5% organic sales growth outlook. Despite the challenges in China, Schulten remains optimistic about the majority of the business and believes that if certain regions stabilize, Procter could reach the upper end of its sales growth outlook. However, the company remains cautious about the situation in China, which is why they have been selling shares into its recent strength. With upcoming earnings reports from Broadcom, Samsara, and DocuSign, the focus will also be on the non-farm payroll report to be released on Friday, which is expected to show an increase in jobs and a decrease in the unemployment rate.
As a subscriber to the CNBC Investing Club with Jim Cramer, individuals will receive trade alerts before Jim makes a trade in his charitable trust’s portfolio. Jim follows a specific protocol, waiting 45 minutes after sending a trade alert before buying or selling a stock. Additionally, if Jim has discussed a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. It is important to note that the information provided by the Investing Club is subject to their terms and conditions, privacy policy, and disclaimer. There is no fiduciary obligation created by receiving information from the Investing Club, and specific outcomes or profits are not guaranteed. By staying informed through the CNBC Investing Club, investors can gain valuable insights and guidance for navigating the stock market and making informed investment decisions.
