Stock Market Today: Reviewing the Boeing Report

Jeff Marks discusses the latest stock market news including the earnings of Boeing, Starbucks and AMD.
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Stocks declined sharply Wednesday as Wall Street turned cautious ahead of earnings from Tesla  (TSLA) - Get Report and Apple  (AAPL) - Get Report.

TheStreet's Katherine Ross and Jeff Marks discussed breaking news in the stock market. Marks spoke about the earnings of Boeing, Starbucks and AMD.

Boeing: Buy Or Sell?

Boeing  (BA) - Get Report shares fell after the Chicago aerospace giant posted a much wider-than-expected fourth-quarter loss and delayed the launch of its 777X widebody. The planemaker continues to grapple with generational changes in airline demand triggered by the global coronavirus pandemic.

Marks said he wouldn't focus too much on the loss because Boeing is a free cash flow story. "And what is going to drive free cash flow higher is the delivery of the 737 Max and more orders coming in, hopefully, this summer, as that pent-up travel demand picks up. A big order from China is also expected for the 737 Max."

AMD: Buy Or Sell?

Shares of AMD  (AMD) - Get Report slipped Wednesday even after the chipmaker posted fourth-quarter earnings that exceeded expectations.

AMD reported fourth-quarter adjusted earnings per share of 52 cents versus analyst expectations of 47 cents. Revenue was $3.24 billion vs. expectations of $3.03 billion.

Marks said we've seen this quarter after quarter over the past year that AMD could pose a serious threat to Intel  (INTC) - Get Report. "Their new products and the 7-nanometer [chips] sung exceptionally well. Intel missed the 7-nanometer boat as a whole. So, you're obviously seeing market share shift to AMD's products. The AMD stock has been hit over the past week since Intel announced their new CEO hire but I still liked this quarter."

Starbucks: Buy Or Sell?

Marks said his long term of the retailer was that it will leave the pandemic in an even stronger position than where they entered it. "There is some evidence in the quarter to prove that. Their consumer base in the U.S. is higher than pre-pandemic and China continues to grow as well with the adoption of mobile orders."

AMD, Boeing and Starbucks are key holdings in Jim Cramer's Action Alerts PLUS charitable trust. Want to be alerted before Jim Cramer buys or sells any stock? Learn more from Cramer and his membership team now.

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