CNBC’s Jim Cramer tries to quells investor worries about President Donald Trump’s threat to extend the U.S.-China trade war past the 2020 election. The “Mad Money” host checks in with Salesforce.com co-CEO Keith Block coming of the cloud software company’s latest quarterly report.
Wait and buy stocks unrelated to China
Traders on the floor of the New York Stock Exchange.
Brendan McDermid | Reuters
CNBC’s Jim Cramer on Tuesday offered some advice that could be soothing for investors after the stock market sold off on doubts that the U.S. and China would soon land a trade agreement.
“If the trade war were really all-important, the averages would never have been able to surge to record levels over and over and over again,” the “Mad Money” host said. “As tense as the negotiations may be, China’s simply a much smaller issue than most people seem to realize.”
Gauging Salesforce’s quarter
Keith Block, co-chief executive officer of Salesforce.com Inc., speaks during the opening keynote at the DreamForce conference in San Francisco, Sept. 25, 2018.
David Paul Morris | Bloomberg | Getty Images
co-CEO Keith Block told Cramer that the company’s earnings-per-share guidance cut is not a major concern.
Shares of the business software provider closed around $161, but fell around 2% in extended trading after it issued a per-share earnings guidance of $.54 to $.55 for the current quarter, which ends in January. Analysts had estimated $.61 per share.
“We had a great quarter. We have a lot of success,” Block said in the “Mad Money” interview. “Our business looks strong in the fourth quarter, it looks good for next year, and we’re in a great position to advise these customers.”
Cramer’s lightning round
In Cramer’s lightning round, the “Mad Money” host zips through his thoughts about callers’ favorite stock picks of the day.
: “Yes. Still, I think it’s a buy and I’ve been liking it since about the $17 level … and I do not want to sell it.”
DocuSign: “DocuSign’s a buy.”
Altria Group: “No, we’re not going to recommend any tobacco stocks. It’s just to heinous. … Please, don’t buy those stocks, O.K. They don’t deserve your money.”
Disclosure: Cramer’s charitable trust owns shares of Salesforce.com