Skip to main content

Fighting for the Economy: Cramer's 'Mad Money' Recap (Friday 3/20/20)

Next week, we'll see the collision of the coronavirus battle and the battle for the U.S. economy, says Jim Cramer. He has your survival plan.
  • Author:
  • Publish date:

After the worst week in the stock market since the financial panic of 2008, Jim Cramer told his Mad Money viewers that we are lucky things didn't end up a lot worse. There are still positives that could make stocks rally, Cramer said, but unfortunately, those positives are increasingly looking like long shots.

We are fighting a war on two fronts. First, we must beat the coronavirus, while simultaneously fighting to save our economy. That's why Cramer's game plan starts on Monday with the latest news on the government's stimulus bill, the latest coronavirus figures and any update on the price war in crude oil.

On Tuesday we get earnings from Nike  (NKE) , which may be able to provide an update on how quickly China is getting back online. Nike is followed on Wednesday by Paychex  (PAYX) , the small business payroll processor that has seen its shares cut nearly in half as many small businesses cease their operations. Cramer was equally bearish on Micron Technology  (MU) , which is unlikely to impress amid a slowing economy.

On Thursday we hear from Signet Jewelers  (SIG)  and Lululemon Athletica  (LULU) , but Cramer said all eyes will be on the initial jobless claims, which will begin to tell us the story of just how badly the coronavirus is impacting our economy. 

Finally, on Friday, we'll get a read on oil when the Baker Hughes rig count numbers are released. Cramer said fewer rigs would be a welcomed sign that maybe oil prices can begin to recover.

Cramer and the AAP team are looking at everything from economic data and earnings to the Federal Reserve. Find out what they're telling their investment club members and get in on the conversation with a free trial subscription to Action Alerts Plus.

Executive Decision: CrowdStrike

For his "Executive Decision" segment, Cramer spoke with George Kurtz, co-founder and CEO of CrowdStrike  (CRWD) , the cybersecurity company that just posted strong earnings that included revenues that surged by 99% in the quarter. 

Kurtz said that security is a basic need for all companies and this is shaping up to be the best competitive environment for CrowdStrike he's ever seen. Companies are eager to replace their legacy products with they're looking for the cloud and they're looking for artificial intelligence to help stem the constant barrage of attacks.

CrowdStrike is working closely with customers to help protect remote employees during the coronavirus outbreak. Kurtz said it doesn't matter where employees are, CrowdStrike can help keep companies safe. He cautioned that phishing and malware attacks mentioning the coronavirus are on the rise, so everyone needs to be on alert.

On Real Money, Cramer keys in on the companies and CEOs he knows best. Get more of his insights with a free trial subscription to Real Money.

Cramer's Medicine

If our economy is going to survive the coronavirus, we need big, bold actions from our government, Cramer told viewers. We're not fighting off a recession, Cramer said, we're fighting to prevent a depression. Millions of Americans live paycheck-to-paycheck and with the government mandating businesses close their door, those families will use up their savings in no time. 

If we don't take swift action to bail out businesses, we'll end up with only three retailers, Cramer said. Only Costco  (COST) , Walmart  (WMT)  and Amazon  (AMZN)  will survive. That would be unacceptable. We need to bail out critical industries, like Boeing  (BA) , which employs nearly two million people between all of its many suppliers.

Cramer said we hold all the cards when it comes to our relationships with Saudi Arabia. Now is not the time for a price war and the Saudis need to know it.

He also advocated the Federal Reserve buy up all the corporate bonds it can to help larger businesses stay alive.

Only by taking big, bold actions can we save our economy, Cramer concluded, which is why the $2 trillion stimulus being considered by Congress is still far too small.

Executive Decision: AMN Healthcare

In his second "Executive Decision" segment, Cramer also checked in with Susan Salka, CEO of AMN Healthcare  (AMN) , the healthcare staffing company working 24/7 to respond to the Covid-19 pandemic. 

Salka said it's been all hands on deck this week and AMN is helping to staff thousands of new positions around the country. She said while Washington, California and New York are hotspots, healthcare staffing needs are increasing around the country every hour. Nurses are among the most needed positions, Salka added, but they're also seeing high demand for radiologists, lab technicians, primary care doctors and more. 

On the bright side however, Salka said that with many elective surgeries being canceled, other health professionals are stepping up to help and AMN is working hard to place everyone who is available with places that can use them. 

Salka was also encouraged by several states, like New York, which are working to flex their licensing requirements to accept help from neighboring states. AMN is also remaining flexible, trying to get help to where it is needed most.

Off the Tape: Nextdoor

In his "Off The Tape" segment, Cramer spoke with Sarah Friar, CEO of the privately-held social network Nextdoor, which has seen an 80% spike in new users as people turn their attention locally. Friar was formerly the CFO of Square  (SQ)

Times of crisis are when we see the best of humanity, Friar noted, and on Nextdoor there are a lot of neighbors helping neighbors and people using the power of proximity to help their local communities. 

Among the initiatives that people on Nextdoor are promoting are things like Red Cross blood drives and helping spread the word about testing centers and other local resources.

When asked about helping local businesses advertise on their platform, Friar said there will more opportunities coming once the immediate crisis has passed.

Lightning Round

Here's what Jim Cramer had to say about some of the stocks that callers offered up during the Mad Money Lightning Round Friday evening: 

Annaly Capital  (NLY) : "I don't really know what they own. That makes them too hard."

Constellation Brands  (STZ) : "It's a great seller at restaurants and bars, so we don't know where the bottom will be." 

Rockwell Automation  (ROK) : "I'd buy some and buy more if it keeps going down." 

Del Taco Restaurants  (TACO) : "This is a lottery ticket at this point. " 

Co-Diagnostics  (CODX) : "This is another lottery ticket and I'd rather be in something more substantial." 

Abbott Laboratories  (ABT) : "This is worth every bit of this share price. I'd buy it today."

Search Jim Cramer's "Mad Money" trading recommendations using our exclusive "Mad Money" Stock Screener.

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

To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here.

At the time of publication, Cramer's Action Alerts PLUS had a position in COST, AMZN, ABT.