Jim Cramer says Wall Street initially got Lowe's quarter and guide wrong. Here's why
Jim Cramer's daily rapid fire looks at stocks in the news outside the CNBC Investing Club portfolio. Lowe's : The home improvement chain beat on profit and revenues. The stock reversed higher despite conservative guidance. Lowe's is more levered to do-it-yourself projects, which continue to be soft. CEO Marvin Ellison was basically saying "January was week," Jim Cramer said Tuesday. But Cramer said January is often a weak month. Cramer said Stanley Black & Decker , a holding the CNBC Investing Club portfolio, is a buy off these Lowe's numbers. Macy's : The department store chain reported better than expected quarter but offered conservative guidance that missed forecast. The company, which has Bloomingdale's and Bluemercury under its umbrella, said it's leaning into these higher-end brands and reducing the Macy's store footprint. "Macy's, I'm really warming up to," Cramer said, explaining that former CEO Jeff Gennette did good things for the company and current CEO Tony Spring is continuing the work. In retail, the Club owns Costco and off-price retailer TJX , which might find it tougher to find good merchandise as the industry moves away from promotion, Cramer said. Zoom : The video conferencing company delivered a better-than-expected quarter and announced a buyback worth $1.5 billion. "They don't have the growth people want … to make it a growth stock. And people don't like value technology [stocks]. There's not much to do there," Cramer said. CFO Kelly Steckelberg will be on "Mad Money" on Tuesday evening. Unity Software : The platform for video game creators issued weak guidance amid concerns about market share loss. Unity announced 1,800 cuts jobs last month as part of a corporate restructuring plan. Competitor Applovin is kind of crushing Unity, Cramer said. Workday : The provider of enterprise cloud applications for finance and human resources reported a better-than-expected quarter but its guidance was softer. Cramer said Workday, ServiceNow and Club holding Salesforce are the "three best software-as-a-service companies in the world." He added, "I feel pretty good about Workday."