Microsoft sets the record straight, and Nike’s CEO shakes up senior leadership
Every weekday, CNBC Investment Club with Jim Cramer publishes Homestretch, an actionable afternoon update just in time for the final hour of trading on Wall Street. Market moves: Stocks rose after a softer open on Wednesday. AI business initially suffered a setback due to a story from The Information that said Microsoft was lowering AI software sales quotas/growth targets. The stock quickly recouped its losses after the software giant denied the story. Outside of technology, there was notable strength in financials as the November ADP report showed a decline in private sector employment and ISM services data fell, with the price index falling to its lowest level since April 2025. These two reports could prompt the Fed to cut interest rates at its policy-making meeting next week. Executive change: Nike CEO Elliott Hill announced Tuesday that the company is making a number of changes to its senior leadership team. In a memo to employees, Hill announced the promotion of nearly 20-year Nike vet Venkatesh Alagirisamy to a new chief operating officer position and the elimination of roles and removals of several senior leaders. Hill also announced that senior leaders across Nike’s four geographies will join the senior leadership team and report directly to him. CFO Matthew Friend takes on more responsibilities, overseeing global sales and Nike Direct in addition to his role as CFO. Altogether, we view these changes as positive because eliminating one layer of management will lead to faster decision-making and increased efficiency. Next up: Salesforce, Snowflake, Five Below and PVH report after the closing bell on Wednesday. We’ll see earnings from Dollar General, Kroger, Hormel Foods and Brown-Forman before Thursday’s open. On the data side, we’ll see the November Challenger layoffs report and the government’s weekly unemployment claims on Thursday morning. (For a complete list of stocks in Jim Cramer’s Charitable Trust, including MSFT, NKE, CRM, see here.) When you subscribe to the CNBC Investment 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.
