Google cuts jobs, Netflix delivers

news7g01/20/2023

1 5 minutes read

My Top 10 Things to Watch for Friday, January 20 1. Alphabet (GOOGL) lays off 6% — about 12,000 workers — or the amount Google’s parent company and holdings Club added last year. Smart move for a company that discovers it’s cyclical. Join the wave of tech job cuts Don’t forget Google’s self-driving device, Waymo, will be on display at the Super Bowl. 2. GOOGL stock has weathered a steep decline in a row at Nasdaq, and they’re up more than 2.5% early Friday. The Dow Jones Industrial Average and the S&P 500 will be mixed after a three-day losing streak. As of late Thursday, the Dow was negative for the year. 3. Netflix (NFLX) is up about 6%, also supporting Nasdaq’s gains early Friday, after the streaming giant beat expectations for additional subscriber numbers in the fourth quarter. Slate content is what matters. This is how Netflix added so many people. It discovered that titles make the world go round. That is the real secret. 4. Netflix co-founder Reed Hastings steps down as co-CEO but remains chairman. He will still participate. But Hastings got it right. Greg Peters, creator of the ad-supported tier, will join Ted Sarandos as co-CEO. They will do great together. 5. Salesforce (CRM) downgraded to market performance from better performer (hold from buy) at Cowen, which also lowered its price target to $160 per share from $175 la. Senior Executive Revenue Analyst at Holding Club; fierce competition for Slack; budgetary pressure. In addition, cost pressure. Salesforce needs to withdraw between $3 billion and $5 billion. The protrusion is very large. 6. Not enough people or time for Eli Lilly’s (LLY) Alzheimer’s drug trial yet, but so far so good. It will stretch out a bit. The Food and Drug Administration denied expedited approval for donanemab. Phase 3 trial results are still being released in the second quarter. Donanemab is not a reason to own shares as we have made this clear to Club members many times. 7. Mounjaro is the main driving force for Lilly’s future. Already approved for type 2 diabetes, the drug will also soon be approved by regulation for the treatment of obesity. The indication for weight loss could make it the greatest drug of all time. According to Zach Reitano, CEO of direct-to-patient healthcare company Ro, who was interviewed for the “Mad Money” program on Thursday night, $1700 a month and possibly paid by insurance. 8. MKM Partners downgrade Pinterest (PINS) to neutral from buy; keep a price target of $27 per share. Cautious in the short term. Negative information from an exclusive advertising agency survey of Facebook’s parent company and Google’s Meta Platform Holders Club (META), YouTube and Snap (SNAP). 9. Shares of Nordstrom (JWN) fell 6% early Friday after the department store chain posted weak holiday sales and cut guidance. Total painful profits. The cheap hypothesis is challenged. “Consumers are becoming more selective with their spending due to the broader macro environment,” said CEO Erik Nordstrom. 10. Barclays upgraded Ralph Lauren (RL) from balance (buy from hold); raised its price target to $134 per share from $101. Same upgrade for PVH Corp (PVH). Barclays increased its PT for the company behind Tommy Hilfiger, Calvin Klein and Van Heusen to $106 from $72. (The long-term Jim Cramer philanthropic trusts are GOOGL, CRM, LLY, META. See here for a full list of stocks.) As a subscriber to the CNBC Investment Club with Jim Cramer, you will receive a transaction notification before Jim executes the transaction. Jim waits 45 minutes after sending the trading notice before buying or selling shares in his charity’s portfolio. If Jim had talked about a stock on CNBC, he would have waited 72 hours after issuing a trading warning before taking a trade. INFORMATION ABOUT THE ABOVE INVESTMENT CLUB IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY, PLUS OUR DISCLAIMER. NO Fiduciary Obligations OR OBLIGATIONS EXIST, OR BE CREATE, BECAUSE OF YOUR RECEIVING ANY INFORMATION PROVIDED IN RELATED TO THE INVESTMENT CLUB. NO SPECIFIC RESULTS OR PROFITS GUARANTEED.

My top 10 things to watch Friday, January 20

first. Alphabet (GOOGL) layoffs 6% — about 12,000 workers — or what Google’s parent company and Holding Club added last year. Smart move for a company that discovers it’s cyclical. Join the wave of tech job cuts. Don’t forget Google’s self-driving device, Waymo, will be on display at the Super Bowl.

2. GOOGL stock has overcome a sharp decline in a row in Nasdaqand they are up more than 2.5% early on Friday. The Dow Jones Industrial Average and S&P 500 is set to be mixed after a three-session losing streak. As of late Thursday, the Dow was negative for the year.

3. Netflix (NFLX) is up about 6%, also supporting Nasdaq’s gains early Friday, after the streaming giant more than expectation to add subscribers in the fourth quarter. Slate content is what matters. This is how Netflix added so many people. It discovered that titles make the world go round. That is the real secret.

4. Netflix Co-Founder Reed Hastings Relinquish the role of co-CEO but continued to serve as president. He will still participate. But Hastings got it right. Greg Peters, creator of the ad-supported tier, will join Ted Sarandos as co-CEO. They will do great together.

5. Sales force (CRM) downgraded to market performance from better performer (hold from buy) at Cowen, which also lowered its price target to $160 per share from $175. Senior Executive Revenue Analyst at Holding Club; fierce competition for Slack; budgetary pressure. In addition, cost pressure. Salesforce needs to withdraw between $3 billion and $5 billion. The protrusion is very large.

6. There are not enough people or time on Eli Lilly (LLY) Drug trial for Alzheimer’s disease, but so far so good. It will stretch out a bit. Food and Drug Administration refuse accelerated approval for donanemab. Phase 3 trial results are still being released in the second quarter. Donanemab is not a reason to own shares as we have made this clear to Club members many times.

7. Mounjaro is the main driving force for Lilly’s future. Already approved for type 2 diabetes, the drug will also soon be approved by regulation for the treatment of obesity. The indication for weight loss could make it the greatest drug of all time. It’s $1700 a month, and can be paid for with insurance, says Zach Reitano, CEO of direct-to-patient healthcare company Ro. interview for “Mad Money” on Thursday night.

8. Downgraded MKM Partner Pinterest (PINS) to neutral from buy; keep a price target of $27 per share. Cautious in the short term. Negative information from an exclusive advertising agency survey for parent company Facebook and Club Hold Meta . Platform (META), Google’s YouTube and take a shot (SNAP).

9. northern (JWN) shares fell 6% early Friday after the department store chain posted weak holiday sales and cut guidance. Total painful profits. The cheap hypothesis is challenged. CEO Erik Nordstrom says“Consumers are making more choices with their spending in the broader macro environment.”

ten. Barclays upgrade Ralph Lauren (RL) to overweight from balance (buy from hold); raised its price target to $134 per share from $101. Similar upgrade for PVH Corp (PVH). Barclays increased its PT for the company behind Tommy Hilfiger, Calvin Klein and Van Heusen to $106 from $72.

(Jim Cramer’s Charitable Trust has long had GOOGL, CRM, LLY, META. See more here for a complete list of stocks.)

As a subscriber to CNBC’s Investment Club with Jim Cramer, you’ll receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending the trading notice before buying or selling shares in his charity’s portfolio. If Jim had talked about a stock on CNBC, he would have waited 72 hours after issuing a trading warning before taking a trade.

INFORMATION OF THE ABOVE INVESTMENT CLUB IS OUR DEPARTMENT TERMS AND CONDITIONS AND PRIVACY POLICYACCOUNTING WITH US DISCLAIMER US. NO Fiduciary Obligations OR OBLIGATIONS EXIST, OR BE CREATE, BECAUSE OF YOUR RECEIVING ANY INFORMATION PROVIDED IN RELATED TO THE INVESTMENT CLUB. NO SPECIFIC RESULTS OR PROFITS GUARANTEED.