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Jim Cramer's 'Mad Money' Recap: 'Sell in May' Is Just a Stupid Limerick

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"Sell in May and go away," isn't an investment strategy, it's just a stupid limerick, Jim Cramer told his Mad Money viewers Tuesday. Perhaps a better adage would be to sell what's run too much and keep what's valuable. That may not rhyme, Cramer admitted, but it certainly makes more sense.

Cramer told viewers to stay grounded and focus on what matters, mainly the three big bull trends in the market right now. They include oil going higher, China bottoming and the U.S. dollar weakening. These trends are not in force every day, Cramer said, but that doesn't mean they're not alive and well.

As for what's working, Cramer said not all retail is down and out. He likes the Costco (COST - Get Report) upgrade today and took note of CVS Health (CVS - Get Report) and its 2.4% gain.

Must Read: Cramer on Apple: I'm an Outlier

Cramer also called out the run in Clorox (CLX - Get Report) to all-time highs as bullish for the consumer packaged goods stocks. Meanwhile, Pfizer (PFE - Get Report) was up 2.7% after a gigantic quarter and even the embattled Valeant Pharmaceuticals (VRX - Get Report) posted a nice gain of 9.6%.

With these major bull trends in place, Cramer concluded there will be a lot more moves like we saw today in the days and months ahead. The moves won't be in a straight line, but that doesn't mean investors should simply "go away."

Not all revenue is created equal, Cramer told viewers, and service revenue is turning out to be revenue that rules them all. Services are slowly becoming assets in the minds of customers, Cramer explained.

Costco has service revenue, Cramer continued, and the company's annual membership fee is something its customers can't live without. So, too, is Netflix (NFLX) , a monthly service that many customers would likely pay double for and still see as a value.

And let's not forget the king of all services, Amazon.com (AMZN) and its "Prime" service that affords members free shipping, streaming media and a lot more.

Finally, there's Apple (AAPL) , a stock...


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