What Cramer is watching Thursday — Buffett reveals big HP stake, EU's addiction to Russian energy

Published Thu, Apr 7 20228:25 AM EDTUpdated Thu, Apr 7 202211:08 AM EDT

What I am looking at April 7, 2022 The truth about why the Russian sanctions may not be working: The European Union has paid $38 billion for Russia energy since Russia invaded Ukraine, a top EU official said Wednesday, according to the Wall Street Journal. It will be a painful road back to sovereignty for Germany after becoming so beholden to Russia ... Less likely to default and not talked about. Warren Buffett's Berkshire Hathaway r eveals an 11% stake in HP (HPQ). Shares up more than 15% in premarket trading Thursday. Good quarter, but is work from home dead? Makes things, buys back stock and $1 billion in dividends. What do you do when homebuilding companies, which sell at historic low multiples, face an accelerated run off and higher rates. Will it be different this time? Yeti Holdings (YETI) upgraded to buy from hold at Berenberg with $92 price target. We recommended recently on Mad Money. Pioneer Natural (PXD) price target raised to $322 from $274 at Piper Sandler. Citi says to buy Roblox (RBLX) and Unity Software (U). Both have really been blown up, big names for Cathie Wood's Ark Invest. Rite Aid (RAD) downgraded to sell from hold at Deutsche Bank. I agree all retail pharmacy segment runs down. JPMorgan upgrades AutoNation (AN) to buy from hold. But analyst cools on Lithia Motors (LAD). General Motors (GM) price target lowered to $59 from $68 at Barclays, cites risks to autos and auto parts sectors from rising interest rates. It is why we had to trim Club holding Ford (F) yesterday but at a big profit. We think the next quarter is fine, but not clear what happens if there's a recession. Home Depot (HD): Piper Sandler cuts price target to $314 from $342, citing trifecta of head winds: 1. Higher gasoline prices; 2. Build out of stay-at-home and now switching to services; 3. higher mortgage rates. Wells Fargo cuts to $350 from $400. Lowe's (LOW) price target lowered to $260 from $295 at Wells Fargo ... $243 from $267 at Piper Sandler ... stay-at-home bubble popping with rates rising. WWE "vastly undermonetizing" its fan base say Barclays, lifts price target two bucks to $57. Southwest (LUV) price target to $55 from $59 at Barclays because of climbing fuel and labor costs, although capacity restrictions could raise numbers. Levi Strauss (LEVI) beat consensus but no one cares — yet. Citi lowers price target a buck to $27. Shares currently around $19. Costco (COST) price target raised to $645 from $620 at Oppenheimer — great month. Baird likes it, too. SoFi Technologies (SOFI) lowered full-year guidance because of extension of federal student loan moratorium. Fiscal year 2022 EBITDA estimate cut by $42 million to $100 million. Wells Fargo lowers Williams-Sonoma (WSM) price target to $140 from $160 after meeting with management and finding out about a slow March. Two price cuts in Floor & Decor (FND) at Piper Sandler and Wells Fargo. If you are bearish is this the best short? (Jim Cramer's Charitable Trust is long F. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust's portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.

Warren Buffett at Berkshire Hathaway's annual meeting in Los Angeles California. May 1, 2021.

Gerard Miller | CNBC

What I am looking at April 7, 2022

The truth about why the Russian sanctions may not be working: The European Union has paid $38 billion for Russia energy since Russia invaded Ukraine, a top EU official said Wednesday, according to the Wall Street Journal. It will be a painful road back to sovereignty for Germany after becoming so beholden to Russia ... Less likely to default and not talked about.
Warren Buffett's Berkshire Hathaway reveals an 11% stake in HP (HPQ). Shares up more than 15% in premarket trading Thursday. Good quarter, but is work from home dead? Makes things, buys back stock and $1 billion in dividends.