Two weeks into the second half of the year, we put together a quick look at the top three performers and the bottom three in Jim Cramer’s Charitable Trust, the stock portfolio we use for the Investing Club. The first full trading week of July saw Wall Street under some pressure Friday after a multisession winning streak. Gains month-to-date of roughly 2.4% for the Nasdaq add to the tech-heavy index’s best first half (up nearly 32%) in four decades. There are some new names on both the July leaders and July laggards list since we did this exercise looking at our January to June portfolio performance. July leaders HAL mountain 2023-06-30 Halliburton stock performance since June 30 close Oilfield services giant Halliburton (HAL) flips from a first-half loser (down 16%) to top our second-half winner. Month-to-date, HAL gained nearly 12%, a recent rally that we took advantage of Friday morning by booking in some profits. During our Monthly Meeting on Wednesday, we told members we were thinking about a HAL trim. We downgraded the stock in anticipation to a 2 rating . The recent HAL rally can be attributed to a feeling that oil and natural gas producers, like Club names, Pioneer Natural Resources (PXD) and Coterra Energy (CTRA), might need to boost production and that means they’d need the help of a Halliburton. We’ll look for more color around production trends in North America when the company reports its second-quarter earnings this coming Wednesday before the opening bell. CRM 1M mountain Salesforce stock performance month-to-date. Salesforce (CRM) advanced 8.6% in July after a 59% first-half advance. The enterprise software giant announced it will be increasing list prices for some of its top-selling products for new and existing customers by an average of 9%. This is the first time the company has raised prices in seven years. The changes will go into effect next month. The company’s latest move should help top-line growth, expand margins, and boost cash flow. So far this year, CRM stock has also benefitted from getting costs down through personnel cuts and reducing office space. It also bought back stock. It looks like CRM’s quarter will come in the latter part of August. META 1M mountain Meta stock performance month-to-date. Meta Platforms (META) remains a top performer in the portfolio to start the second half, rising 7.6% for the first two weeks of July after more than doubling in the first half. The Facebook and Instagram parent made another 52-week high intraday high of $316.24 on Thursday following the launch of its Twitter rival. Meta’s Threads platform surpassed 100 million signups since last week’s debut. However, there are recent signs suggesting activity has cooled off a bit. More broadly, investors have been sticking with Meta for its leadership in generative AI to attract and keep users on its platforms while offering advertisers AI-powered tools to improve monetization. Jim predicts Meta will deliver a strong second quarter on Jul 26. NVDA mountain 2023-06-30 Nvidia stock performance since June 30 close Nvidia (NVDA), one of our leading tech holdings in the portfolio, has continued its momentum to start the second half of the year. Shares of the semi-king are up 7.5% over the last two weeks of July. (Nvidia and Apple (AAPL) are our only own-it, don’t-trade-it stocks.) To start out the first half of 2023, Nvidia was our top-performing stock in the portfolio with nearly a triple. Nvidia, whose market cap now surpasses $1 trillion, has led the tech sector and the broader market rally, convincing investors like us that its infrastructure and technology needed to fuel the market’s artificial intelligence demand is and will be essential to bring the nascent technology to the mainstream. Nvidia is set to release earnings on Aug. 23. July laggards FL mountain 2023-06-30 Foot Locker stock performance since June 30 close Foot Locker (FL) dropped about 6.5% to start the month, and it was our worst first-half loser (down more than 28%). This week, Baird cut its price target on the footwear and athletic apparel retail to $24 per share from $32 and kept its neutral rating. The analysts warned that FL’s high exposure to lower-income consumers could pressure the second half of the year. A tough macro backdrop is an overhang for CEO Mary Dillon as she tries to resurrect poor financials. She did it with Ulta Beauty (ULTA) back in 2013, and we believe she can do it a second time with Foot Locker. When initiating our position in the shoe retailer in March, we knew about the obstacles. However, the turnaround may take longer than initially expected. The difficulties surrounding Foot Locker are why we have not added to our position since its disappointing first quarter, but we still have faith in Dillon’s leadership and want to be in the stock to catch the potential wave when the tide turns. Second quarter results are due mid-August. PANW mountain 2023-06-30 Palo Alto Networks stock performance since June 30 close Palo Alto Networks (PANW) dropped more than 5.5% month-to-date, moving it to the July laggards list after its 83% first-half advance that had landed the leaders list. Earlier this week, Microsoft (MSFT) announced an expansion of its cybersecurity offerings. It’s a space dominated by PANW, so it’s no wonder why the stock sank 7% on Wednesday. It did, however, claw back some of those losses. Palo Alto CEO Nikesh Arora told Jim in a “Mad Money” interview that he wasn’t concerned about Microsoft products because they’re for an area of the cybersecurity market that his company has been in for years. Jim said he was not worried about Wednesday’s sell-off and still sees PANW as the best way to play cybersecurity. PANW is expected to issue earnings late next month. LLY mountain 2023-06-30 Eli Lilly stock performance since June 30 close Eli Lilly (LLY) shares fell 4% in the first two weeks of July. Shares of the pharmaceutical company have recently been pressured after a Reuters report that cited a study that found most patients using weight loss drugs like Novo Nordisk ‘s (NOVO) Ozempic, stop within a year. Another article last week reported that several patients using Ozempic had thoughts of suicide or self-harm. These headlines were negative read-throughs to Club holding Lilly, which makes the diabetes drug Mounjaro that’s being reviewed for obesity by regulators. Although we cannot fault anyone who wants to take profits in Eli Lilly after another stretch of significant outperformance (up 28% in the first half of 2023), we think the selloffs from both stories will prove to be overreactions. Lilly started to claw back some of its recent losses in a good session Friday. Jim maintains that Lilly’s Mounjaro will be the best-selling drug in history and that investors should not sell LLY stock. He also likes the company’s pipeline which includes a potential Alzheimer’s treatment, which would be a huge win for the company long term. Lilly is due to report its quarter Aug. 8. JNJ mountain 2023-06-30 Johnson & Johnson stock performance since June 30 close Johnson & Johnson was under pressure to kick off the second half, falling nearly 3.5% month to date and there are a couple of reasons for that. Health care is an out-of-favor defensive sector in a market attracting high-growth tech names. The other headwind : The company is awaiting the outcome of a pivotal talc trial. The verdict, which is expected any day now, could determine whether the many plaintiffs suing the company elsewhere will accept or reject J & J’s settlement offer of $8.9 billion. The ongoing legal disputes have been an overhang on J & J all year as the stock fell more than 6% in the first half. Given the uncertainty, we have held off on buying more of the drug maker. The talc trials have someone dimmed the light on the separation of its consumer products division from its pharmaceutical and medical technology units, which we viewed as a positive for shareholders. J & J reports earnings this coming Thursday. (Jim Cramer’s Charitable Trust is long HAL, META, CRM, LLY, PANW, FL, PXD, CTRA, MSFT, NVDA, JNJ, AAPL. 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.
Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., July 12, 2023.
Brendan McDermid | Reuters
Two weeks into the second half of the year, we put together a quick look at the top three performers and the bottom three in Jim Cramer’s Charitable Trust, the stock portfolio we use for the Investing Club.
The first all-new compact Mopar since the malaise-era K-Car, the Dodge Neon was a revelation. Its fun, approachable face, its “Hi.” marketing campaign, all of it was pitch-perfect for the uncertain times it was launched into. Now, a generation later, Stellantis faces similarly uncertain times – and a new Neon could go a long way towards helping the old Chrysler Co. do what it does best: come back from the brink.
If they wanted to, Stellantis could make it happen tomorrow.
Today, Stellantis is in trouble. Much like it was in the early 90s, the company is hemorrhaging cash, fighting with the unions, and struggling to sell higher-end cars. Today as then, what the company needs is an affordable, simple new car to get people in the showrooms – and in 1994, that new car was the Neon.
In the mid-late 1990s, the Dodge Neon was everywhere. It was affordable, fun to drive, and more or less reliable. It was also economical and fuel-efficient, but it wasn’t that way. It was sold as a fun, smiling face with funky round lights. In R/T and ACR spec, it was sold as an even more fun, smiling face, and offered serious performance chops that still get the grizzled Gen X guys at the SCCA/NASA track days excited.
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Stellantis is selling a car right now, today, that meets all that criteria. It’s the right size, it’s reasonably affordable, and it’s got the right tech – available as both a PHEV and a pure EV – for its time.
Check out the original launch ad for the 1995 Plymouth Neon, below, and tell me they couldn’t do a shot-for-shot remake with a rebadged Ypsilon and make it immediately relevant to car buyers in 1995 in the comments.
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Faraday Future unveiled its upcoming FX Super One MPV on Thursday, which appears to be a rebadged Great Wall Motors Way Gaoshan.
Which brings us to the question: is this how we might see more Chinese EVs make their way to the US?
The EV market in China has grown rapidly in recent years, not just in terms of total sales and revenues for its largest companies, but also in terms of the hundreds of EV companies vying to survive the current highly competitive market there.
But despite massively rising EV sales in the country, EV production is still scaling even faster. This has led to a price war within China due to this glut of cars, and also to Chinese companies seeking more buyers overseas.
BYD has also put out feelers about building a factory in Mexico, but those plans are on pause, ironically because BYD doesn’t want its technology to be stolen by the US (put that one on for some perspective about how far we have fallen behind on EVs, fellow Americans).
But we haven’t yet seen the kind of Chinese EV that the rest of the world is getting – one of those many eye-openingly cheap numbers that could finally bring true affordability to the US market (or bring it back, that is).
That’s due to tariffs, and it’s intentional. There are various arguments given for tariffs’ existence, but they boil down to: the US can’t make cars as cheap as China, and wants to protect its auto industry, and therefore making Chinese EVs more expensive will forestall their entry into the US while we try to get better at making them. I personally find these explanations wanting and consider these tariffs unwise (and they have only gotten more unwise).
But in a world where these tariffs exist, and depending highly on what final form they take, companies will look for ways to minimize their exposure to them and to still bring cars into the US. Much of the EV industry is sourced through China (again, one of the issues the Inflation Reduction Act tried to remedy), so parts will have tariffs on them, in various amounts.
This is where I speculate that the Faraday Future FX Super One could come in. At last night’s unveiling event, it became quite clear that the car is strikingly similar to the Great Wall Motors Wey Gaoshan.
This similarity is not coincidental – Faraday told us that it is working with “a Tier 1 Chinese automotive supplier,” one that we have heard of, to build the FX Super One. That supplier will send stamped bodies to Faraday’s US factory in Hanford, CA, where Faraday will take care of the final assembly.
Faraday didn’t let us take pictures of the interior, even from the outside, but what we saw of the interior on a short ride around the parking lot looked quite similar to the interior of a Wey Gaoshan, just with different controls (for example, the the pull-out fridge in the bottom of this photo is identical to the one I saw in the FX Super One).
Faraday said the interior hasn’t been finalized yet, but also said that it thinks it can have 100-150 cars built by the end of the year. Which is less than half a year away, for a company that has to date built 16 cars (though those it built on its own). So there’s not a lot of time for further changes at this rate.
So, here we have a company that intends to sell a car in the US, much of which originated in China. This seems like it would run afoul of tariffs.
But, depending on how (or if…) these tariffs get edited or finalized, they might be much lower for parts and/or for vehicles that undergo final assembly in the US. So Faraday might be able to get away with importing something very similar to a GWM, doing enough to it here to qualify its way past tariffs, and getting it on the market at a price that doesn’t incorporate the however-many-hundred-percent the US has ridiculously decided to tack on this week.
Faraday also mentioned during its presentations about the FX Super One that it has a US-based software team, which has been at work for some time.
The software in Faraday’s previous vehicle, the FF91, is pretty good, despite being such a low volume vehicle. And it’s gotten much better between the first time I sat in it and when I had a short demo this month of Faraday’s newly-upgraded voice recognition system (now supporting 50+ languages) and swipe gestures for setting volume and HVAC.
We didn’t get to interact with the software on the FX Super One at all, but we would be cautiously optimistic about it based on prior showings.
But more importantly for the purposes of this article, Faraday’s software team is based in the US. And given current US threats to ban any and all Chinese software from vehicles, this too would allow Faraday to swap out some chips and memory cards and make a car perfectly legal from a US perspective.
So it’s possible that Faraday is on to something here, and has found a reasonable way to get Chinese EVs into America, while complying with US law, and while giving the company a much easier way to increase its scale than trying to get numbers up for the slow-growing FF91 project. Faraday does not have the resources to build out mass market manufacturing currently, so this is another option.
Now… this is no $11k Dolphin Seagull, the Wey Gaoshan starts in the mid-$40k range in China, and is considered a luxury model. And here in the US, Faraday is positioning the car as a premium model as well, though hasn’t yet announced pricing or really gotten its messaging straight on whether it’s a mass market vehicle or a VIP/Cadillac Escalade competitor.
But if this is Faraday’s plan, and if the plan works, it could give the US a taste of the EVs that the rest of the world is getting access to, and could show a potential way of getting those cars across the border. There are both pros (competition good, cheaper prices good) and cons (race to the bottom for manufacturing, loss of important American industry) for the US auto market here, so you’ll have to decide which side of that equation you land on, but this could be a harbinger of one way cars from the now-biggest auto exporting country in the world could make their way out into markets that have exhibited hostility to that idea.
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Scooter here, back with another electric mobility review. This time, I tested out the Meepo Go electric skateboard. It is a sturdy, smooth deck designed for riders of all sizes, with some unique tech I had never encountered before. Be sure to check out my full video review below.
The Meepo Go is a versatile skateboard built for everyone
The Go electric skateboard from Meepo comes in one standard design. It usually has an MSRP of $699, but it is currently on sale for $569, so now is an excellent time to buy.
Features at a glance:
Bamboo and fiberglass deck provides durability, flexibility, and stability, suitable for heavier riders over 200 lbs.
Impact-resistant plates and a scratch-resistant underside.
Dual belt drive 1500 watt stator 4230 motors
12s2p 345.6WH/8AH battery with flame-retardant and water-resistant protection
JK-FOC24B Electronic Speed Controller (ESC)
Offers smooth, jerk-free acceleration with customizable speed and braking settings
Meepo is an exciting electric skateboard manufacturer whose goal is to make this particular form of travel accessible to anyone and help reduce carbon emissions. You know we love that.
The company has built hundreds of thousands of electric boards, all of which are rigorously tested and constantly revamped for better quality and efficiency. For my first-ever encounter with Meepo, I was sent its Go electric skateboard – a sort of all-in-one deck designed to support heavier riders.
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I didn’t realize this was a heavy rider board until I read its description on the website. I don’t think that was the reason Meepo recommended this one, but it’s nice to know I wouldn’t have to worry about breaking the Go for being too heavy (I’m only 200 pounds right now, okay?).
The unboxing was incredibly simple. You first unwrap your shiny new, assembled Meepo Go deck, complete with wheels, trucks, motors, and battery. Below that is some instructions, a charger with cables, a couple of adjustment tools, plus two extra motor belts.
Last but not least is Meepo’s J6S ergonomic remote. According to Meepo, the remote’s upgraded control logic allows riders to double-click to change speed modes, reducing accidental toggles, and can stay connected to the board at a max range of 46 meters.
My full haul is pictured above and in the video below. Zero assembly is required; simply plug and play. The Meepo Go electric skateboard can recharge when fully drained in four hours.
Aside from its sturdy design, thanks to a Bamboo and fiberglass deck, I found the Meepo Go quite aesthetically pleasing. I liked its unique grip tape design and carved-out handle for easier carrying (see below).
Once the Meepo skateboard was fully charged, it was time to power up and take it out for a first spin. My initial impression was just how smooth a ride the Go is, thanks in part to its wheels, which Meepo recently revamped to enable better wet-weather traction and anti-slip capabilities.
The trucks initially took some getting used to as they are 45-degree as opposed to 50-degree on traditional configurations, but once I got used to the difference, I felt much more stable at high speeds and making sharp turns. Meepo also provided a truck tool to tighten or loosen your configuration to your preferences.
The Meepo Go’s dual 4230 brushless motors combine for a total output of 3,000 watts, offering a top speed of up to 28 mph or 45 km/h. While that’s pretty damn fast for an electric skateboard, Meepo said “not so fast” to new riders for their own safety.
Go riders must travel 10 km (6.2 miles) in the lower two “L” and “E” speed modes to unlock the S and S+ modes, which allow the 28 mph top speed and higher acceleration. S mode was honestly too fast for my liking, but it was nice to know I had those speed capabilities whenever I’m feeling saucy. The truth is, at my age and skill level, I’m beyond satisfied cruising and carving around 20 mph.
Luckily, the Meepo Go electric skateboard delivers both speed options and then some.
The Meepo Go also allows you to customize its braking intensity from 0% to 100%. This is a feature I had never personally seen on an electric skateboard that genuinely impressed me. It just adds to the overall smoothness this deck provides on all levels.
As mentioned in the key features above, the Go’s dual motors are powered by an eight-amp-hour battery, which enables an all-electric range of up to 20 miles or 32 km.
Aside from speeds nearing 30 mph, you really feel the Meepo Go’s capability on hills. It was configured to tackle 15-degree (30%) inclines with ease, and having tested it, it’s true.
What may be most impressive about this particular Meepo skateboard is its advanced JKFOC-24B electronic skate controller (ESC), which is essentially the brain of the entire powertrain.
The ESC delivers smooth acceleration with no jerking or lag. It also enables full user customization of acceleration, top speed, and braking sensitivity, so once you get comfortable, you can tailor every aspect of your riding experience to your liking. This is another super cool feature that was new to me personally.
Overall, the Meepo Go is smooth, powerful, and very tech-forward. With more than enough speed, I truly enjoyed the lag-free cruising and carving of the 45-degree trucks and the ease of use of its ergonomic remote.
I was genuinely impressed by the tech used to customize this skateboard, enabling anyone to customize their ride. As such, I’d highly recommend the Meepo Go because of its feel, utility, and universal rideability for virtually everyone, not to mention its competitive pricing.
If you’d like to try out the Meepo Go electric skateboard for yourself, click here. Be sure to check out my full video review below.