It’s not too late to buy Abbott stock after Friday selloff
Every weekday the CNBC Investing Club with Jim Cramer holds a “Morning Meeting” livestream at 10:20 a.m. ET. Here’s a recap of Monday’s key moments. U.S. stocks jumped Monday as the Nasdaq and S & P 500 attempts to recover from back-to-back weekly losses. Major gains were seen in tech stocks to start the new week. Nvidia shares rose as the company kicks off its GTC developers conference and investors await CEO Jensen Huang’s keynote address. Apple and Alphabet gained ground after media reports indicated that Google may help power future AI features on the iPhone. Jim Cramer said this partnership would be a positive for both firms. “It’s one of those weeks where a lot of people would be focused on the Fed, but instead it’s a lollapalooza tech situation,” he added. The Club trimmed 30 shares of our Meta Platforms position Monday. The stock’s outperformance in 2023 and 2024 had swelled its portfolio weighting to about 5%. “Meta’s been a gigantic winner,” Jim said. “It’s so good we had to right-size the position.” To be sure, the trade wasn’t a thesis-changing event. Our discipline dictates a small trim of the mega-cap name. We’re still bullish on the Facebook parent given its solid fundamentals and long-term growth prospects. Abbott Laboratories shares were modestly lower Monday following Friday’s nearly 3% selloff. Abbott stock hit a one-month low after an Illinois judge ordered rival firm, Reckitt Benckiser , to pay $60 million to a mother whose premature baby died of an intestinal disease disease known as NEC after using Enfamil baby formula. Analysts at JPMorgan said there’s currently no scientific data showing Abbott’s Similac baby formula causes NEC. There are hundreds of pending lawsuits against Reckitt and Abbott. Based on the information available, Jim said Monday there’s “no real risk” to Abbott, and the selling in the stock can still be bought. The Club added to Abbott on Friday’s weakness. (Jim Cramer’s Charitable Trust is long AAPL, GOOGL, META, NVDA, ABT. See here for a full list of the stocks.) 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.
