Jim Cramer’s top 10 things to watch in the stock market on Tuesday
My top 10 things to watch for Tuesday, May 19 1. Stock futures are lower this morning. High bond yields pose a challenge to stocks, something I’ve been warning about for weeks. Low oxygen values for stock circles. President Donald Trump said last night that he was canceling the plan to attack Iran at the request of some regional leaders in the Middle East. 2. The problem with oil these days: It goes down a little when Trump says there is a glimmer of peace, and goes up a lot when there are rumors of war. All this carrot-and-stick silence leads to ever-higher prices. Without a peace deal soon, oil may rise back to $119 levels from $108 today. And if so, could the inflation-sensitive 10-year yield reach 5.5%? It is at 4.62% this morning. 3. Club name Home Depot was heavily reported on the first quarter results line this morning. Full year guidance is emphasized. Nothing good, nothing bad. Stocks suffered because mortgage rates didn’t cooperate, which weakened the housing market. This one needs low prices to go up. Time. We will have a full analysis of the quarter after the management and investor conference call. 4. Intel CEO Lip-Bu Tan told me on “Mad Money” last night that their innovation business is booming. Tan could not comment directly on the reports that Intel signed a production agreement with Apple, but said that its production quality has improved so much that foreign customers are very interested. The key to both its reform and US national security. Tan’s progress at Intel in 14 months is impressive. 5. HSBC raised its price target on Nvidia to $325 from $295 ahead of tomorrow night’s earnings report. A purchase order is maintained. HSBC believes that earnings momentum and an impressive product roadmap are irrelevant issues now. Analysts have argued that diversifying revenue away from the cloud service provider’s customer base could help propel the stock. 6. Broadcom’s target price was raised to $582 from $490 at Evercore, with analysts saying it is a leader in bringing optical networking technology closer to the chip (co-packaged optics). We own Broadcom primarily because of its chip business, but networking is also a key driver. Corning is our mainstay in Club optics. Evercore also increased PT on Broadcom rival Marvell to $155 from $133. 7. Interesting headline here: Private equity giant Blackstone and Club name Google are teaming up to create a new AI cloud company that runs on Google’s Tensor Processing Units (TPUs), the Wall Street Journal reported. Broadcom co-designs TPUs. Blackstone and Google stocks are not moving much, but so-called neoclouds like CoreWeave and Nebius are lower. This extends to their area. 8. Mizuho raised Micron’s PT to $800 from $740, citing price tailwinds as memory supply remains tight in 2027 due to AI. I’ll say it again: Micron is the one to buy on the pullback. Shares fell more than 2% this morning and shed nearly 6% yesterday after Seagate’s CEO commented on the pace of expanding new capacity. 9. Goldman Sachs raised its price target on top real estate owner Ventas to $110 from $100, which is about 25% higher than yesterday’s close. A purchase order is maintained. The aging population of the US is the structural driver here. CEO Debra Cafaro joined me on “Mad Money” last month, where she explained how Ventas is leveraging its financial strength to act as a producer. He said the construction of high-end houses is at a very low level. 10. Bank of America raised its price target on railroad operator CSX to $51 from $49. Analysts are seeing more volatility after the board approved a $5 billion share buyback of about 6% of the outstanding shares. That’s the biggest in the company’s history. CSX is the kind of stock that wins when the economy gets good. 4 more things on my radar 11. Here’s a potential winner: StubHub. The Guggenheim upgraded the ticket market from held to buy and raised its price to $12.50 from $8.50. Analysts pointed to headwinds such as the World Cup this summer and light fourth-quarter comps as the basis for their call. Shares are up about 5% on the market, but have struggled since the September IPO. It ended yesterday down 31% year to date. 12. We added a new company to the team’s portfolio yesterday afternoon, calling it our Bullpen Watch List. You can read our startup story here, where we do a proprietary story. We like to start our positions small and scale over time. 13. A few more Club news were published yesterday for Club members: We explained our reasons for “owning, don’t trade” Nvidia and why it’s not too late to start a position in the leading AI chip maker. We also raised our prices on our cybersecurity stocks. Barclays raised PT on CrowdStrike to $650 from $550 this morning. 14. Elon Musk’s SpaceX is preparing to test launch a new version of its reusable Starship rocket this week, less than a month from its first public offering. While Club Linde’s name is poised to be the winner of the deal as one of SpaceX’s major gas suppliers, I’m concerned that all these big IPOs could be problematic for the broader market. Sign up for my free Top 10 Morning Thoughts on the Market email newsletter (See here for a full list of stocks from 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 stock in his charity portfolio. When Jim talks about a stock on CNBC TV, he waits 72 hours after issuing a trade warning before making a trade. THE PRIVATE INFORMATION OF THE BURNING CLUB IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY, AND OUR PRIVACY POLICY. 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