My top 10 things to watch Tuesday, Dec. 10 1. Oracle shares dropped more than 7% after the enterprise software giant missed the quarter and issued a light outlook. The drop was keeping a lid on the market. But I don’t know how much Oracle can really go down. The demand for data centers is not ephemeral. Wall Street seems to agree as many analysts increased their price targets on the stock. 2. The head of Comcast cable said the company expects to lose 100,000 broadband customers in the fourth quarter. Bank of America said that Monday’s 9.5% stock decline was overdone. I say the planed separation of the two companies shows no value creation, according to the stock market. Comcast owns NBCUniversal and CNBC. 3. Citi raises its Broadcom price target to $205 per share from $175; yet, at the same time, analysts are talking about expecting muted guidance. I don’t know how that’s possible, and I think earnings from the Club chipmaker after Thursday’s close might surprise to the downside. 4. Have the standards for Taiwan Semiconductor Manufacturing gotten too high? Seems so when a 34% surge in November orders is not enough to boost the stock, which dropped about 1%. TSMC makes chips for Club holding Apple and Nvidia . 5. Citi named Apple a top pick. The analysts maintained their December quarter estimates with “services sales tracking modestly ahead and products modestly below.” The pace of iPhone upgrades will be set by the staggered rollout of Apple Intelligence features. 6. Citi also tapped Dell as a top pick. The analysts cited a “growing diversified base of customer wins in AI coupled with their full stack offerings across compute, storage and services.” They also believe a higher mix of commercial/high-end PCs will benefit from the AI personal computer refresh. 7. Piper Sandler raised its price target on Club name Meta Platforms to $670 per share from $650. The analysts cited an advertising buyer survey showing teen engagement on Instagram is improving. The analysts call Mark Zuckerberg the best CEO among consumer-focused internet companies. 8. Bank of America started Club stock Eli Lilly with a buy and a $997 price target, which implies nearly 25% upside from Monday’s close. The analysts expect bouts of volatility but think Lilly is a must-own core holding. Lilly announced Monday a $15 billion buyback and 15% dividend boost. 9. BofA began coverage of Amgen with a sell, saying the premium from the biotech’s experimental weight loss drug is coming out the stock. Regeneron rated a sell, too, as Eylea is losing business fast. Moderna started with sell as it’s a bad time for vaccines. 10. Club holding Costco remains the gold standard in retail, according to Oppenheimer. Analysts raised their price target on the retail giant to $1,075 per share from $980, a nearly 9% premium from Monday’s close. The stock’s valuation may look extreme, but the firm believes strong membership gains should continue and its global growth opportunity is attractive. Sign up for my Top 10 Morning Thoughts on the Market email newsletter for free (See here for a full list of the stocks at Jim Cramer’s Charitable Trust.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
Oracle Chair and Chief Technology Officer Larry Ellison speaks at the Oracle OpenWorld conference in San Francisco on Sept. 16, 2019.
1. Oracle shares dropped more than 7% after the enterprise software giant missed the quarter and issued a light outlook. The drop was keeping a lid on the market. But I don’t know how much Oracle can really go down. The demand for data centers is not ephemeral. Wall Street seems to agree as many analysts increased their price targets on the stock.
2. The head of Comcast cable said the company expects to lose 100,000 broadband customers in the fourth quarter. Bank of America said that Monday’s 9.5% stock decline was overdone. I say the planed separation of the two companies shows no value creation, according to the stock market. Comcast owns NBCUniversal and CNBC.
3. Citi raises its Broadcom price target to $205 per share from $175; yet, at the same time, analysts are talking about expecting muted guidance. I don’t know how that’s possible, and I think earnings from the Club chipmaker after Thursday’s close might surprise to the downside.
