CNBC’s Jim Cramer stated Friday that a number of tech companies that went public over the last few years are starting to recognize their errors, and he cautioned financiers to take their dollars in other places.
“The companies out here in San Francisco have only just begun to realize that they overexpanded and, in many cases, some of these companies should never have come public,” the “Mad Money” host stated.
“Especially for the most bogus companies that were invented in the last three years, I say they should never have come public, but in many cases they shouldn’t even exist. Harsh? Maybe, but I’m trying to help you preserve your capital,” he stated.
Cramer’s remarks followed he invested a week in San Francisco speaking with tech leaders. He stated Thursday that a number of informed him that there are impending layoffs throughout Silicon Valley and some business prepare to move beyond California.
Looking to next week, Cramer stated he has his eye on the Federal Reserve’s two-day conference on Tuesday and Wednesday that will expose the magnitude of the next rates of interest walking.
“If they do act more aggressively, will the market welcome that news, or will we get another sell-off? We’ll have to wait and see,” he stated.
Cramer likewise previewed next week’s slate of revenues and financier conferences. All revenues and profits quotes are thanks to FactSet.
Monday: Oracle
- Q4 2022 revenues release after the close; teleconference at 5 p.m. ET
- Projected EPS: $1.37
- Projected profits: $1161 billion
Cramer stated he anticipates a trip de force teleconference. If the stock decreases later, “we know that tech is sunk and the depths are not yet plumbed,” he stated.
Tuesday: Affirm, DuPont
Affirm
Cramer stated the conference ought to shed some light on the state of the buy now, pay later company.
DuPont
“If [CEO Ed Breen] states we’re entering into an economic downturn, I need to know for how long,” Cramer stated.
Thursday: Kroger, Adobe, Honeywell
Kroger
- Q1 2022 revenues release at TBD time; teleconference at 10 a.m. ET
- Projected EPS: $1.29
- Projected profits; $4385 billion
Cramer stated that financiers should not wager versus the grocery business in spite of skyrocketing food inflation.
Adobe
- Q2 2022 revenues release after the close; teleconference at 5 p.m. ET
- Projected EPS: $3.31
- Projected profits: $4.35 billion
“Adobe is a terrific long-term growth story, so if it gets hit you actually might want to buy some on weakness, but don’t count on it to turn around anytime soon,” he stated.
Honeywell
Cramer stated he does not prepare to purchase shares of Honeywell for the Charitable Trust, however would consider it if the stock plunges.
Friday: Centene
” I wish to find out about whether the business is continuing in the custom of the late [former CEO] Michael Neidorff, the male who produced this health-care powerhouse,” Cramer stated.
Disclosure: Cramer’s Charitable Trust owns shares of Honeywell.
