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Stock Market Today With Jim Cramer: How to Trade Okta

Jim Cramer shares stock-market news, including Okta and its plans to take on CyberArk and SailPoint, the impact of chip shortage on Apple and Constellation Brands.

Stocks were rising Friday as investors looked past data from the U.S. and China that renewed concerns over higher inflation.

TheStreet's Katherine Ross and Jim Cramer discussed breaking news in the stock market. Cramer spoke about identity management software companies like Okta, CyberArk and SailPoint, the impact of chip shortage on Apple and Constellation Brands.

Okta: Buy Or Sell?

Shares of Okta  (OKTA) - Get Okta Inc. Report rose Friday after the maker of identity-management software reiterated its guidance for the year and introduced two new products that could expand its addressable market.

Cramer said Okta is the premier identity company that can stop cyber threats. "If you know who somebody is and Okta is the only company that everybody trusts to be able to do that, then you can stop a cyberattack. Now they're going after CyberArk Software  (CYBR) - Get CyberArk Software Ltd. Report and SailPoint Technologies  (SAIL) - Get SailPoint Technologies Holdings Inc. Report, companies that work with privileged accounts and enterprise identity governance. I would sell both these stocks because Okta is coming after them."

He urged investors to take a long position on Okta.

Apple Hurt by Chip Shortage

Tech giant Apple  (AAPL) - Get Apple Inc. Report is postponing MacBook and iPad production amid the ongoing shortage in global semiconductors, Nikkei Asia reported Thursday.

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Nikkei said MacBook Pro production is being hit by a lack of chips that are mounted on the computer's circuit board, while the iPad is being slowed by issues in the supply chain for display components

Cramer said we know that what matters is Apple iPhones because they contribute to earnings. "A lot of companies were reluctant to order chips ahead of time but not the Chinese. The Chinese double order has confounded everybody," he said.

Constellation Brands and Canopy Growth

Shares of Constellation Brands  (STZ) - Get Constellation Brands Inc. Report slipped Friday a day after the maker of Corona beer and a variety of spirits posted better-than-expected fourth-quarter earnings thanks in part to solid beer sales and improving margins for high-end wines and spirits.

Constellation has a controlling stake in Canadian marijuana firm Canopy Growth  (CGC) - Get Canopy Growth Corporation Report.

Cramer said Constellation needs to urge Canopy to do more than they're doing. "I was hoping Canopy would do more than just buy a company for stock," said Cramer.

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