- CNBC’s Jim Cramer said Tuesday that it may be too early to tell what changes GLP-1 diabetes and weight loss drugs will bring to companies, especially those that sell junk food.
- Cramer noted that Frito-Lay owner PepsiCo’s Tuesday earnings report beat Wall Street expectations, sending its stock price higher.
CNBC’s Jim Cramer said Tuesday that it may be too early to tell how GLP-1 diabetes and weight loss drugs will affect the stock prices of companies that sell food like Walmart and PepsiCo. Ta.
“Remember, it’s one thing for interest rates to rise and crush these stocks along with many others, it’s another thing to put your stock portfolio at risk of missing out on profits, especially if the stocks If it’s more expensive than the rest of the market,” Kramer said. “So, yeah, I think it’s good news that Walmart is seeing some slowdown, and I have no reason to doubt them, but I also think it’s good news that PepsiCo is doing well, at least for now. ”
Walmart said last week it was seeing “slight changes” in grocery shopping habits, some of which were customers buying less while using appetite suppressants such as diabetes drugs Munjaro and Wigoby. He said it might be due to this. reported by bloomberg.
Frito-Lay owner PepsiCo’s stock rose on Tuesday after the company reported a strong quarter that beat Wall Street expectations and raised its earnings outlook. Kramer suggested PepsiCo’s report may mean beverage and snack makers shouldn’t fear the weight loss drug’s popularity, but it’s too early to tell either way. he emphasized.
Cramer also advised investors to stay tuned to the bond market and hold onto 10-year Treasuries while yields are high.
“We don’t know what the weight-loss drug situation is going to be, but we do know that corporate bonds are in a good position. This should be a good reason to at least hold on to PepsiCo stock, both 10-year and both.” And at this level before it gets so high that it’s no longer worth grabbing. ” he said.
