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Next Week's Game Plan: Cramer's 'Mad Money' Recap (Friday 12/4/20)

Updates from Salesforce, Starbucks and others are due in the week ahead.

Jim Cramer took a look at next week’s game plan on CNBC’s “Mad Money” TV show on Friday.

On Monday, investors will be hoping to have some sort of traction in Washington regarding a stimulus bill. At this point, even a smaller deal would be good for the economy, but without one, investors may grow worried, Cramer cautioned.

We’ll also have earnings from Coupa Software  (COUP) - Get Coupa Software, Inc. Report and Toll Brothers  (TOL) - Get Toll Brothers, Inc. Report, as housing has been a major bright spot.

On Tuesday, Salesforce  (CRM) - Get salesforce.com, inc. Report will host its Investor Day. This couldn’t come at a better time following the company’s just-announced plan to acquire Slack  (WORK) - Get Slack Technologies, Inc. Class A Report, Cramer reasoned.

On Wednesday, it’s more Investor Day meetings, this time from Lowe’s  (LOW) - Get Lowe's Companies, Inc. Report and Starbucks  (SBUX) - Get Starbucks Corporation Report. Cramer expects to hear positive developments from both companies, as Lowe’s works through its turnaround and as Starbucks’ China business continues to hum along.

Adobe Systems  (ADBE) - Get Adobe Inc. Report and Campbell’s Soup  (CPB) - Get Campbell Soup Company Report will also report earnings on Wednesday.

Thursday brings one more Investor Day meeting, this time with Disney  (DIS) - Get Walt Disney Company Report. Cramer will also be waiting to see the quarterly results from Broadcom  (AVGO) - Get Broadcom Inc. Report and Costco Wholesale  (COST) - Get Costco Wholesale Corporation Report, two Action Alerts PLUS holdings.

Finally on Friday we’ll get consumer confidence data, which should shed some light on how consumers are feeling as the coronavirus rages on, Cramer reasoned. 

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Executive Decision: CrowdStrike

On the show’s “Executive Decision” segment, Cramer spoke with George Kurtz, co-founder, president and CEO of CrowdStrike  (CRWD) - Get CrowdStrike Holdings, Inc. Class A Report.

The company recently reported a “blowout set of numbers,” Cramer said, with a top- and bottom-line beat to go alongside “excellent guidance.” Is there still upside?

Kurtz explained that Covid-19 is not just a one-time event. All it did was accelerate the trends that were already in place. As a result, the move to the cloud and the need for cybersecurity will continue for the long term.

This is a sustainable trend, he reasoned.

More recently, hackers are attacking drug companies thousands of times a day now that such a valuable vaccine is in development. But it doesn’t stop with vaccine makers. Companies of all sorts are increasingly being forced to migrate to the cloud to better manage their workloads.

As long as that continues -- and it will -- there will be a need to secure it, Kurtz said. 

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SPAC Focus

Cramer wanted to take a closer look at another SPAC offering, this time with Hennessy Capital Acquisition  (HCAC) - Get Hennessy Capital Acquisition Corp. IV Class A Report. The company will merge with Canoo, with the ticker symbol eventually becoming “CNOO.”

The company, which plans to offer "subscriptions" to the electric vehicles it makes, has been getting a lot less hype than its other SPAC peers. That coupled with the fact that Canoo has serious potential makes it a decent buy for speculative investors who are willing to add on a dip closer to $10 and who can embrace volatility, he explained.

Canoo is led by a strong management team that plans to take a “skateboard approach” — which is to build the vehicle’s chassis, which can then be used for multiple types of vehicles. That can include sedans, vans and trucks.

Even though Canoo doesn’t plan to begin production until 2022, it’s generating revenue from engineering services in the meantime. The fact that it will have sales before production makes it better than a lot of its peers already.

If Canoo can even come close to some of its multi-year revenue estimates, the stock should fly higher, Cramer reasoned.

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Executive Decision: Zscaler

On the show’s second “Executive Decision” segment, Cramer spoke with Jay Chaudhry, chairman and CEO of Zscaler  (ZS) - Get Zscaler, Inc. Report.

Like CrowdStrike, this company also “knocked it out of the park,” Cramer said, highlighting its earnings and revenue beat, and “magnificent” guidance.

Also like CrowdStrike, Chaudhry said Covid-19 has only accelerated the digital transformation trends that were already in place. Companies are going to continue migrating to the cloud — they have to — and as a result, cybersecurity will remain in demand.

Zscaler processes over 140 billion transactions a day. For context, Chaudhry noted that Google processes about 8 billion to 9 billion search requests per day.

To put it in simpler terms, he referenced an international airport. Not only does Zscaler need to check every theoretical passport that comes to the kiosk, but it also needs to check each piece of luggage that comes in to make sure there’s nothing bad in it.

More so, Zscaler has to make sure nothing good, like confidential information, is slipping out. With so many customers and a near-endless amount of data, investors can see why this is such a busy business.

With one last note on the airport, Chaudhry said not only does Zscaler have to be incredibly secure, but it has to be fast. No one wants a slow experience. This combination of security and speed is why so many of its competitors can’t keep up, he concluded.

No Huddle Offense

On the show’s “No Huddle Offense” segment, Cramer wanted to give credit where credit was due: to the young investors.

These young investors are sometimes referred to as “Robin Hoodies,” Cramer said, named after the brokerage house. Many of these investors have been crushing it in names like Tesla  (TSLA) - Get Tesla Inc Report, Snowflake  (SNOW) - Get Snowflake, Inc. Class A Report and DocuSign  (DOCU) - Get DocuSign, Inc. Report.

They’ve also done well by having optimism in the airlines, cruise stocks and other companies that hinge on the reopening of the economy.

Despite the pessimism on Wall Street regarding the coronavirus, stock dilution, valuation, debt and other concerns, these young investors have seen their optimism pay off, he concluded.

To watch replays of Cramer's video segments, visit the Mad Money page on CNBC.

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Lightning Round

In the Lightning Round, Cramer was bullish on Luminar Technologies LAZR, Lululemon Athletica  (LULU) - Get Lululemon Athletica Inc Report, Regeneron  (REGN) - Get Regeneron Pharmaceuticals, Inc. Report, Advanced Micro Devices  (AMD) - Get Advanced Micro Devices, Inc. Report and BlackRock  (BLK) - Get BlackRock, Inc. Report.

He was bearish on Velodyne Lidar VLDR, Canada Goose  (GOOS) - Get Canada Goose Holdings, Inc. Report and Fiverr  (FVRR) - Get Fiverr International Ltd. Report.

At the time of publication, Cramer's Action Alerts PLUS was long AMD.