Jim Cramer’s top 10 things to watch in the stock market Tuesday
My top 10 things to watch on Tuesday, March 17 1. Jensen Huang made a lot of news during his keynote at Nvidia’s GTC conference yesterday, including a new chip for AI inference. Independent CPU racks are coming. New innovations in networking, including optics. My takeaway from all this: Wall Street’s sales and earnings estimates are too low. The NemoClaw stack for deploying personal AI agents appears to be as important as ChatGPT. 2. Stock futures are in the green this morning despite the rise in oil prices. When oil is up, we have to be down in the market. At least not today. US benchmark WTI rose 2% to above $95 a barrel. Energy infrastructure in the UAE has been hit by a new wave of attacks. Israel says Iran’s security chief was killed in overnight airstrikes. 3. Honeywell may see a small hit to its first-quarter revenue and a small delay in Middle East shipments due to the Iran war, CEO Vimal Kapur said at a conference call this morning. But what is important is that Kapur said this will not affect the full year guidance. Remember, Honeywell is tearing itself apart, as is fellow club name DuPont. This is yet another hurdle investors must overcome to reap spinoff rewards. 4. HSBC downgraded club name Eli Lilly from sell as analysts lowered their medium-term sales forecasts for the GLP-1 market and suggested the stock was excellently priced. Here we will cover the other side of trading. Lilly’s obesity pill is on the way, and rival Novo Nordisk’s next-generation product line leaves much to be desired. 5. Dover upgraded to buy from hold on Wells Fargo, which sees the industrial conglomerate benefiting from the Iran war in two ways. If tensions ease, the market will focus on Dover’s accelerating organic growth and its move into businesses with shorter lead times, such as fuel pumps and cooling components. Analysts say Dover’s presence in the Middle East means its pricing power is limited and it has the cash to accelerate share buybacks if the conflict in Iran continues. 6. A series of minor price target increases for Dollar Tree, including Truist and Piper Sandler. The discount retailer had a surprisingly good quarter yesterday, topping both the top and bottom lines. The change in pricing strategy is starting to pay off. The reality is that people expected inventories to fall, but costs fell and sales increased. This way you get a 6% increase. 7. Tomorrow we’ll hear from discount retailer Five Below. Ahead of the quarter, Mizuho raised its price target to $205 from $185 but maintained its hold rating, citing high expectations. CEO Winnie Park has done an impressive job since taking over in late 2024. This remains the #1 low price product play. 8. Citi has become the latest shop to cut its price target on Lennar after the homebuilder’s earnings report made clear that the housing market is still weak. Citi rose from $113 to $104. Without interest rate cuts, this group of stocks is toxic. Mortgage rates have been heading in the wrong direction since the start of the Iran war. 9. T-Mobile received an increase to its price target from Citi, from $200 to $225, and maintained its hold rating. First PT increase in weeks for this. T-Mobile was the growing name among operators. But Verizon and AT&T shares actually performed better last year. 10. Argus downgraded DraftKings from buy, concerned about higher costs of customer acquisition, rising state taxes and competition from prediction markets. This last one is why this has become such a troubled stock. Sign up for free for my Top 10 Morning Thoughts on the Market email newsletter (See here for a complete list of stocks in Jim Cramer’s Charitable Trust.) When you subscribe 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 trading alert before buying or selling a stock in his charitable foundation’s portfolio. If Jim talked about a stock on CNBC TV, he waits 72 hours after issuing the trading alert before executing the trade. THE ABOVE INVESTMENT CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY, TOGETHER WITH THE DISCLAIMERS. NO CIVIL OBLIGATIONS OR DUTIES EXIST OR SHALL BE RESULTING FROM YOUR RECEIVING ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTMENT CLUB. NO SPECIFIC RESULT OR PROFIT CAN BE GUARANTEED.
