The markets took it on the chin on Friday, as Apple (AAPL) - Get Apple Inc. Report led the way down a day after supplier Taiwan Semiconductor Manufacturing (TSM) - Get Taiwan Semiconductor Manufacturing Company Ltd. Report issued a weak forecast, and a report from Morgan Stanley said iPhone sales for the June quarter will disappoint.
Still, General Electric (GE) - Get General Electric Company Report surprised with a quarterly gain, and Schlumberger (SLB) - Get Schlumberger N.V. Report and Honeywell (HON) - Get Honeywell International Inc. Report beat estimates.
Jim Cramer: Intel Is in No Man's Land
"Okay," Cramer observes, "I will tell you what's not to like. Because of all of those great things this stock simply hasn't come in. Yep, it's the semiconductor stock the smart money is hiding in while they wait out the storm of cellphone slowdowns and Chinese retaliatory actions."
But Cramer's ultimate problem "is that there's a love affair with software right now, especially cloud based software and there's a big hate on hardware and I don't see what's going to change that."
Twitter a Bright Spot as Apple, Semiconductors and Oil Struggle
"One bright spot" on Friday, writes Real Money columnist James DePorre, "...is Twitter (TWTR) - Get Twitter Inc. Report . It bounced back strongly in sympathy with the move on Netflix (NFLX) - Get Netflix Inc. Report earnings and has enjoyed a couple of recent positive analyst upgrades. Last week Goldman Sachs made favorable comments about the stock and today it was upgraded and given a $40 target by MKM Partners."
How to Play Roku and Rival Streaming Media
Real Money Pro columnist Ed Ponsi says that, "Once, entertainment was broadcast over the airwaves. Then the widespread adoption of cable television changed our viewing habits. Now streaming media is about to transform the way we receive information and entertainment once again."