Cramer Suggests Broadcom Over Ambiq Micro Amid Market Changes
Cramer Suggests Broadcom Over Ambiq Micro
In a recent episode of CNBC's "Mad Money Lightning Round," Jim Cramer advised investors to be cautious with Ambiq Micro, Inc. (NYSE: AMBQ). He highlighted that while Ambiq may seem appealing, there are numerous strong contenders within the semiconductor space. Cramer pointed to Broadcom Inc. (NASDAQ: AVGO) as a far better investment choice in the current market climate.
Ambiq Micro's Earnings Report
The warning comes after Ambiq Micro reported a quarterly loss of 43 cents per share on revenue of $17.90 million. Despite the challenges, Cramer noted that Ambiq is not alone in facing difficulties, as many firms in the semiconductor industry have been navigating through a challenging economic landscape.
Mixed Sentiments towards Other Companies
During the segment, Cramer expressed a negative view on Albertsons Companies, Inc. (NYSE: ACI). Despite this, RBC Capital analyst Steven Shemesh maintained an Outperform rating for Albertsons while adjusting the price target from $23 to $21. This reflects a cautious optimism as the grocery sector adjusts to evolving consumer habits.
uniQure N.V. Concerns
Speaking on uniQure N.V. (NASDAQ: QURE), Cramer remarked, "After a parabolic move, I cannot support it. Even if I believe in its potential, the uncertainty is too great at this stage." He indicated that investors should remain vigilant and be prepared for volatility.
Chevron Corporation Insights
Reflecting on the energy sector, Cramer acknowledged Chevron Corporation (NYSE: CVX). He suggested that while it may be worth considering, potential investors should brace for fluctuations in oil prices, anticipating they might drop below $60.
LCI Industries As a Solid Investment
Cramer pointed out LCI Industries (NYSE: LCII) as a positive pick, noting their recent strong earnings report, which exceeded expectations. This performance has positioned LCI favorably amidst ongoing economic changes.
Dillard’s Assessment
When discussing Dillard’s, Inc. (NYSE: DDS), Cramer advised partial profits, stating, "Let's take some off the table while allowing the remainder to grow." This approach emphasizes a balanced investment strategy as market conditions shift.
Stock Movements After Cramer's Insights
Following Cramer’s comments, here’s how some stocks have moved:
- Ambiq Micro shares edged up by 0.5% to close at $29.83.
- Albertsons saw a slight increase of 0.2%, settling at $17.38.
- uniQure shares rose by 0.8%, closing at $54.92.
- Chevron remained relatively stable with a 0.1% increase to $153.55.
- LCI Industries increased by 1%, closing at $94.41.
- Dillard’s shares, however, fell 1.2%, settling at $616.25.
Frequently Asked Questions
What did Jim Cramer say about Ambiq Micro?
Jim Cramer advised caution regarding Ambiq Micro, recommending investors consider Broadcom instead.
How did Ambiq Micro perform financially?
Ambiq Micro reported a loss of 43 cents per share on sales of $17.90 million in their latest quarterly earnings.
What stocks did Cramer endorse?
Cramer endorsed Broadcom and LCI Industries, while expressing hesitance over Ambiq Micro and uniQure.
What sectors did Cramer highlight?
Cramer highlighted the semiconductor and energy sectors, noting the challenges and opportunities present.
How did the stocks react to Cramer's statements?
Stocks generally moved slightly in response to Cramer’s evaluations, with some seeing modest gains while others like Dillard’s experienced a drop.
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