Today, Greg Newman and Jim Cramer - Mad Money commented about whether NVDA-Q, SOFI-Q, U-N, TWLO-N, NVAX-Q, VST-N, M-N, RH-N, REGN-Q, MA-N, ZTS-N, DRI-N, KR-N, ACN-N, C-N, KBH-N, LEN-N, BEP.UN-T, AEM-T, BMO-T, TRP-T, V-N, WCP-T, WELL-T, NVDA-Q, DFY-T, CNQ-T, SBUX-Q, AGF.B-T, ZQQ-T, RCI.B-T, ALA-T, AMZN-Q, TFII-T, BBD.B-T are stocks to buy or sell.
They report Monday. Housing the linchpin of the economy and prices keep climbing. We need to hear if they will build more homes or keep the supply so tight that housing prices won't come down. The buildings are limiting supply to keep gross margins up and prices up, but it's terrible to fight inflation. Housing stocks have hung up because we have a housing shortage, but how long can this last when we see pushback on the prices of other items like dining out, apparel and airline tickets, all of which have risen dramatically in the last 5 years.
They report Tuesday. Housing the linchpin of the economy and prices keep climbing. We need to hear if they will build more homes or keep the supply so tight that housing prices won't come down. The buildings are limiting supply to keep gross margins up and prices up, but it's terrible to fight inflation. Housing stocks have hung up because we have a housing shortage, but how long can this last when we see pushback on the prices of other items like dining out, apparel and airline tickets, all of which have risen dramatically in the last 5 years.
He's bullish pharmas if the economy weakens. He likes it for growing organically, not buying companies, and in developing its drugs in-house or with partners. Their drug pipeline overcomes worries of their existing drugs coming off patent. Their key drug, Eylea, topped $1.04 billion in Q1 and $5.89 billion in full-year US net sales. But Roche has released a rival drug, while Eylea will come off patent in a couple years as they successfully protect their patent in court. Also, REGN just developed a new version of Eylea. Dupixent is their second-biggest drug and is performing well as well. Despite its growth, REGN trades at only 22x forward PE, and announced a $3 billion share buyback.
They keep posting disappointing numbers and after the latest, the stock dropped 17% today. Is the CEO a visionary or driving RH to ruin? Pre-2021, RH was a juggernaut as they build luxurious stores including dining around the world at their stores. Also, they're moving into real estates, including spas and hotels. They're spending a fortune to build luxurious experiences. But their core business of luxury furnishings is struggling. They've borrowed money to fund this expansion, however, they spent a big chunk of that money to buyback shares just as interest rates rose and the housing market tightened. Can rates fall fast enough to save RH? Doesn't think so. The outlook is dwindling, but the CEO keeps spending.
Company continues to improve. Liquids spin out good for business. Would be a good place to buy. Cheap stock price valuation. Would recommend buying at current price. Assets very hard to replicate.