Jim Cramer’s top 10 things to watch in the stock market Friday

Jack Dorsey, co-founder and chief executive officer of Twitter Inc. and Square Inc., speaks during the Bitcoin 2021 conference in Miami, Florida, U.S., on Friday, June 4, 2021.

Eva Marie Uzcategui | Bloomberg | Getty Images

My top 10 things to watch Friday, Feb. 23

1. The aftermath of Nvidia’s earnings and the persistent belief that all the AI stuff is overdone. The chipmaker rose 16% on Thursday, boosting its market value by more than $250 billion, the biggest one-day gain ever. We looked at 3 surprises from the earnings report that help justify the stock action, along with how Nvidia’s AI strengths are enhancing the businesses of lots of our companies, including Alphabet and Microsoft.

2. Coterra Energy beat on the top and bottom lines. It’s just such a good allocator of capital. Even with the plunge in natural gas prices, the oil and gas producer delivered strong free cash flow — the most important metric for investors in the energy complex. Coterra returned $187 million to shareholders during the fourth quarter and more than $1 billion for the full year 2023.

3. Social media company Reddit is gearing up for an IPO, expected in March. Will it be oversubscribed and get to a premium because of retail investor love? Reddit has 72 million users but has lost money since its founding in 2005. The S-1 filing revealed that some Reddit moderators and users would be able to participate in the offering through a directed share program.

4. As predicted, everyone loves Block again as it is the anti-bank ecosystem for the $100,000 class. But the payments company can also grab them young with its Square card, and the endless allure of CEO Jack Dorsey no matter what. Shares jumped more than 14% in extended trading Thursday after the company posted an earnings surprise and strong guidance.

5. Intuit — don’t believe the negatives, it was quite a good quarter and the numbers for Credit Karma are fine. Lots of AI in running small businesses.

6. We’re just a day out from the Investing Club’s 2nd Annual Meeting, livestreaming for members starting at 1:30 p.m. ET on Saturday. Mark your calendars.

7. Booking Holdings, excluding Israel, is great but the bots will send shares down at first before it stabilizes. The stock is currently down 8% on softer guidance. The online travel booking company is better than Expedia, in sync with the now-sainted Royal Caribbean. Do not overlook Airbnb, it is terrific.

8. Live Nation numbers are extraordinary: Revenue of $5.84 billion, higher than the $4.79 billion analyst consensus. Inflation is insane here and no rollbacks.

9. Alphabet’s price target was raised to $170 from $165 at Redburn Atlantic. Despite sentiment turning negative on Google Search’s competitive advantages, the firm said it is in a “structurally stronger position than is appreciated” and is worth buying now.

10. Carvana catches multiple upgrades as the used car marketplace scales back growth and goes for profitability. Only owns 1% of the market, 32% short. Shares surged 33% in the premarket.

(See here for a full list of the stocks at Jim Cramer’s Charitable Trust.)

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