Dow futures edge lower as stocks mixed in a cautious overnight session heading into a plethora of Thursday headline risks, highlighted by the FDA's emergency use authorization hearing on the Pfizer/BioNTech vaccine.
In the last episode of Mad Money, Jim Cramer said that despite how it looks, this week's wave of IPOs won't collapse the market. After this new supply of shares has been absorbed, the market will be even stronger, fueled by the optimism of younger investors.
TheStreet's Katherine Ross and Cramer are talking about Chewy's and GameStop's quarterly earnings, and Tesla's price target lift.
Chewy Stock: Buy or Sell?
Chewy, (CHWY) - Get Report the online pet products provider, reported that its fiscal-third-quarter net loss narrowed to 45% higher revenue, with both figures stronger than Wall Street analysts expected.
For the quarter ended Nov. 1 the Dania Beach, Fla., company reported a loss of 8 cents a share compared with a loss of 20 cents in the year-earlier quarter. Revenue reached $1.78 billion from $1.23 billion.
"They are doing amazing, they are making money, it is a well-run company and people who use it know that it is cheaper, better, and faster," Cramer added.
GameStop Stock: Buy or Sell?
The Grapevine, Texas, company reported an adjusted third-quarter loss of 53 cents a share as revenue fell 30% to $1 billion.
Analysts surveyed by FactSet expected the company to post a loss of 85 cents a share on revenue of $1.09 billion.
Cramer said that he has "hated" GameStop for a long time, adding that not every stock can be bought. He thinks this is a company that has a unique business model like Blockbuster which failed after being an "incredible story" for a long time.
Cramer doesn't see investors making money with GameStop.
Tesla Stock: Buy or Sell?
The assessment from JPMorgan analyst Ryan Brinkman reflects some of the concern on Wall Street for the pace of Tesla's meteoric rise this year, which has added more than 660% to the group's share price and more than half a trillion dollars to the company's market value. Its net income for the third quarter of this year was $337 million.
Cramer said that younger investors are not using any of these traditional metrics by Wall Street analysts, because "what they know is what they see which is a car made by a genius that everybody wants and that they could build millions of and it would still be bought."
He added that the stock being expensive doesn't mean anything to young investors as it is not part of the equation.
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