Jim Cramer is discussing where the workers have gone, Nvidia, Ford, the airlines, and more.
Watch the full interview with Katherine Ross in the video below:
Where Did the Workers Go?
"Where did all the workers go? What happened to them? This is THE question of the moment and we must find out because no one seems to know," wrote Jim Cramer in his Real Money column on Tuesday, June 22. "We do know that there are almost double the number of people who are looking for work and can be considered unemployed versus the months before the pandemic began - 5 million versus 10 million - yet the mismatch of workers is palpable and is causing havoc with just about every company in the U.S. The numbers are the ultimate conundrum."
"How did this happen? What gives? When you speak to as many CEOs as I do and hear how baffled they are it's certainly worth looking in to. It's pretty stunning how little people seem to know. The only thing I hear is "Amazon (AMZN) hired 500,000 people. They took the supply." Obviously that's not the best answer but it is the one I get when I press," he continued. "That's not good enough. Here are some theories. First, people have gotten so much stimulus money that they don't need to work at least yet. It hasn't run out."
Pandemic Wins Which Still Have Strength
"If your company made a killing during the pandemic, it's become toxic in this market, even if sales are still through the roof. Case in point: Thor Industries (THO) - Get Report, which peaked at $146 a share in May, only to slide lower ever since. Shares now trade for less than $100. The same is true with boat maker Brunswick Corp. (BC) - Get Report, which peaked at $115 in May and has also fallen below $100," wrote TheStreet's Scott Rutt in his Mad Money recap. "Investors seem to think that this is the last great quarter for these companies and that demand will vaporize once travel and entertainment fully reopens. But nothing could be further from the truth as both companies have multiyear backlogs."
"The same pattern can be seen in companies from Campbell Soup (CPB) - Get Report to Take-Two Interactive (TTWO) - Get Report, but Cramer said the most frustrating is Walt Disney Co. (DIS) - Get Report. Disney soared last year on the success of Disney+, but now, the company has movies, theme parks and cruises to look forward to," he continued. "Cramer said he's still a fan of all of these stocks, along with Southwest Airlines (LUV) - Get Report, Delta Air Lines (DAL) - Get Report and Airbnb (ABNB) - Get Report."