Facebook and Instagram parent Meta set a new 52-week high Friday. Investors who are long Nvidia should stay long, as Jim considers it a stock to own, not trade - a designation that he's only bestowed on one other stock, Club stock Apple (AAPL) Our other large-cap technology Club stocks have dazzled, too. "If you haven't bought any Nvidia, let it come down in," Jim said Friday. The fervent demand Nvidia is seeing from customers lends credence to the idea that AI is not just a flash in the pan, but a trend with real financial implications for companies. Those revisions were needed after Nvidia issued an impressively strong outlook, fueled by demand for its accelerated computing chips used to train generative AI applications. NVDA YTD mountain Nvidia's stock performance so far in 2023. Nvidia closed at a record high -above $400 per share - this past Tuesday. Improbably, Nvidia's stock actually got cheaper during that rally because of dramatic upward revisions in forward earnings estimates. That milestone came during a five-session stretch, from May 25 to Thursday, in which Nvidia shares climbed 30% following its blowout earnings report after the close May 24. Earlier this week, the chip designer's market valuation briefly entered the rarefied air above $1 trillion. Nvidia, whose industry-leading hardware and software are the train's locomotive, has beamed the brightest, with a stock price that's rocketed about 170% higher so far this year. After a bruising 2022, tech has regained its shine. For now, what we can say with certainty is the Nasdaq has been the clear winner this year as investors jumped aboard the AI hype train. Whether that hope is misguided will become clear over time. And, an employment report that didn't move the near 80% market odds of a Federal Reserve interest rate pause in June was icing on the cake. The debt ceiling, in particular, had been a dark cloud over stocks for the past few weeks. default - offer some hope that it may have legs. But the reasons behind Friday's expansive move - a strong but not too strong May jobs report and congressional approval of legislation to raise the debt ceiling and avert a U.S. "We run a diversified portfolio, so we don't want one-quarter of our portfolio driving everything." Of course, one day a trend does not make. "We needed" this wider rally, Jim said Friday afternoon on the Homestretch. In the S & P 500, the top three performing sectors Friday - materials, industrials led by Caterpillar, and energy led by fellow Club holding Halliburton (HAL) - were still in the red since the start of April. Year to date, the Nasdaq surged more than 26% as of Friday's close. Entering Friday's session, the Nasdaq climbed more than 8% in the past six weeks - compared with a roughly 2% decline in the Dow during the same stretch. At first blush, Friday was the kind of broad-based rally that's eluded Wall Street for quite some time and prompted market observers to sound the alarm about a top-heavy market - one in which tech stocks seen as artificial intelligence beneficiaries left the rest in the dust. DJI YTD mountain The Nasdaq Composite versus the Dow Jones Industrial Average so far in 2023. All three of those stock benchmarks were higher on the week.IXIC. The S & P 500 on Friday split the difference, gaining roughly 1.5%. However, enough of the tech sector still advanced and boosted the Nasdaq by 1% on Friday, catapulting the index to a 52-week high. Meanwhile, the tech darlings that have recently propelled the market higher - including top-performing Club stocks Nvidia (NVDA) and Meta Platforms (META) - took a relative backseat Friday. Before it really got going Friday, Jim Cramer said during our Morning Meeting that CAT was one of the most undervalued stocks in our portfolio. Club name and Dow stock Caterpillar (CAT) was one of the leaders, soaring more than 8% and accounting for over 100 points of the 30-stock average's 700-point surge. The winner's circle on Wall Street widened out - on Friday, at least - as sleepier parts of the market like industrials powered the lagging Dow higher by 2%. Personal Loans for 670 Credit Score or Lower Personal Loans for 580 Credit Score or Lower Best Debt Consolidation Loans for Bad Credit
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