Be ready to ‘pounce’ when the market is oversold

CNBC’s Jim Cramer on Friday warned investors to keep their portfolios open and be ready to take advantage of good deals.

“Ultimately, you’re just going to be sorry if you don’t buy anything in the big selloff. However, when the market finally gets oversold enough, that’s when you have to go ahead,” Cramer said.

Stocks rose on Friday but ended a volatile week lower, with losses fueled by hotter-than-expected economic data, a 75-basis-point hike in rates by the Federal Reserve and its hawkish rhetoric on inflation.

“We’re in a wildly emotional moment that has a lot to do with how individual companies are doing and what Wall Street expects from them. The bottom line? Until those expectations are lowered, you shouldn’t feel safe about anything,” he said.

Cramer said he expects the release of the consumer price index next week, as well as speeches from Cleveland Fed President Loretta Mester, which could shake up the market further.

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He also looked at the earnings schedule for the next week. All earnings and revenue estimates are provided by FactSet.

Monday: BioNTech, Take-Two Interactive

BioNTech

  • Publication of Q3 2022 earnings at 5 a.m. ET; conference call at 8 a.m. ET
  • Estimated EPS: $3.34
  • Estimated revenue: $2.02 billion

He said investors targeting BioNTech should take note that the company reports that China has ordered “more than a billion” Covid-19 vaccines.

Take-Two Interactive

  • Revenues for the 2nd quarter of 2023 at 4:05 p.m. ET; conference call at 4:30 p.m. ET
  • Estimated EPS: $1.37
  • Estimated revenue: $1.55 billion

Cramer said it’s unfair that the company is known as a pandemic play.

Tuesday: GlobalFoundries, Disney, AMC Entertainment

GlobalFoundries

  • Q3 2022 earnings announcement ahead of call; conference call at 8:30 a.m. ET
  • Estimated EPS: 62 cents
  • Estimated revenue: $2.05 billion

He said he was interested to know if the chip shortage would improve before the economy began to deteriorate.

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Disney

  • Publication of Q4 2022 earnings at 4:05 p.m. ET; conference call at 4:30 p.m. ET
  • Estimated EPS: 55 cents
  • Estimated revenue: $21.28 billion

The charitable foundation is willing to buy more Disney stock if it declines enough, Cramer said.

AMC Entertainment

  • Publication of Q3 2022 earnings at 4:15 p.m. ET; conference call at 5 p.m. ET
  • Estimated loss: 22 cents per share
  • Projected revenue: $961 million

He said that while AMC could turn a profit in its latest quarter, he wouldn’t bet on it.

Wednesday: Wynn Resorts

  • Publication of Q3 2022 earnings at 4 p.m. ET; conference call at 4:30 p.m. ET
  • Projected loss: $1.14 per share
  • Estimated revenue: $871 million

Cramer said his Charitable Trust is sticking with stocks.

Thursday: Compass, Matterport, Toast

Compass

  • Q3 2022 earnings announcement after the call; conference call at 5 p.m. ET
  • Projected loss: 29 cents per share
  • Estimated revenue: $1.45 billion
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Matterport

  • Q3 2022 earnings release after closing; conference call at 4:30 p.m. ET
  • Estimated loss: 13 cents per share
  • Estimated revenue: $36 million

“The age of excess allowed anyone and anything to come up, so they did,” Cramer said of Compass and Matterport.

A toast

  • Publication of Q3 2022 earnings at 4:05 p.m. ET; conference call at 5 p.m. ET
  • Estimated loss: 8 cents per share
  • Estimated revenue: $720 million

Toast has a good product, but good product doesn’t necessarily make for good stock, Cramer said.

Disclaimer: Cramer’s Charitable Trust owns shares in Disney and Wynn Resorts.

Cramer's game plan for the trading week of November 7

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