Dow futures gain as hopes of a near-term stimulus deal offset concerns for rising coronavirus infection rates. House Speaker Nancy Pelosi and Treasury Secretary Steve Mnuchin will talk again Friday, but Senate Republicans are unlikely to support a deal that is likely to add a further $2 trillion to the current budget deficit.
In the last episode of Mad Money, Jim Cramer told investors to look no further than Tesla if they want to understand the seemingly unstoppable stock market. For years, the Wall Street analysts told us Tesla was doomed. Turns out, they were dead wrong.
TheStreet's Katherine Ross and Cramer are on Street Lightning talking about buying Chipotle, AT&T earnings, and the stimulus deal.
Chipotle Stock: Buy or Sell?
Shares of Chipotle Mexican Grill (CMG) - Get Chipotle Mexican Grill Inc. Report dropped Thursday even as three analysts including Andrew Charles of Cowen increased their price targets on the stock after Chipotle reported stronger-than-expected earnings.
Charles lifted his target to $1,550 from $1,400 and maintained his outperform rating.
Cramer said that this is an opportunity for investors to buy the stock right here, adding that Chipotle has a “near-flawless quarter.”
AT&T Stocks: Buy or Sell?
AT&T said adjusted earnings for the three months ending in September were pegged at 76 cents per share, down 19% from the same period last year and largely in-line with Street forecasts even after taking what the company estimated to be a 21 cents per share earnings hit linked to the coronavirus pandemic.
Cramer thinks that AT&T is getting better in selling HBO as it becomes popular. He said that the company had a better quarter than he expected and that the cash flow is good.
Stimulus Talks Are a Ploy 'Fooling Wall Street Traders'
Stocks were rising Thursday after House Speaker Nancy Pelosi said she was "hopeful" of agreeing to terms of a stimulus bill with the White House and investors digested a number of solid earnings reports.
The number of Americans applying for first-time jobless benefits registered a surprise dip last week, falling below 800,000 for the first time since the coronavirus pandemic began to impact the U.S. economy and jobs market.
Cramer said that these attempts of closing a stimulus deal are a “ploy that is fooling a lot of Wall Street traders.” He advised investors to start buying or selling regardless because companies are doing well.
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