The analysts are all vying to see who can be the most negative, but in reality, things just aren't that bad, Jim Cramer told his Mad Money viewers Friday. Wall Street tends to be binary. Things are either great, or they're horrible. But our economy tends to be far less black and white. So while the pundits fret over an inverted yield curve, Cramer told viewers to stick to the fundamentals.
Cramer's game plan for next week starts on Monday, when the markets will be responding to the latest durable goods report and any news out of Ukraine. There's always a chance of good news, but don't hold your breath.
Next, on Tuesday, Acuity Brands AYI will be reporting earnings, but Cramer said no matter what happens, this company can't win.
Wednesday brings earnings from Levi Strauss (LEVI) and Greenbrier (GBX), the railroad equipment maker. Cramer was cautious on both companies as cost pressures rule the day. We'll also get the Federal Reserve meeting minutes on Wednesday, which hopefully will reassure investors the Fed has a plan for inflation.
Rounding out the week, we have Constellation Brands (STZ) and ConAgra Foods (CAG) on Thursday, and the Baker Hughes rig count on Friday. Both Constellation and ConAgra are recession stocks that should do well, but the rig count isn't likely going to show oil prices declining any time soon.
Executive Decision: Blue Owl Capital
In his first "Executive Decision" segment, Cramer spoke with Marc Lipschultz, co-founder and co-president of Blue Owl Capital (OWL) , the investment firm that enables private equity-backed companies to grow.
Lipschultz said investors can think of Blue Owl as an enabler, allowing companies to access alternative capital solutions. 98% of the company's revenue stems from management fees on companies permanent capital and real estate. That makes Blue Owl both stable and predictable, Lipschultz said.
Blue Owl offers long duration capital solutions, the kind companies flock to in volatile times like we find ourselves in now.
When asked why Blue Owl chose to come public via a SPAC rather than a traditional IPO, Lipschultz explained that a SPAC was the only way to bring together all three of their businesses under a single roof. A three-way SPAC merger was the perfect mechanism to get the job done, he said.
Sports Plays
If you've ever dreamed of owning a sports team, but don't have billions of dollars laying around, then Cramer's got some stocks to consider. Sure, you won't get the chance to make decisions on players, but you can share in the economic benefits.
First up, you can own Madison Square Garden Sports (MSGS), owners of the New York Knicks and the Rangers. Shares of Madison Square Garden are still trading below their pre-Covid levels, but your upside is limited as 70% of the company is still controlled by the Dolan family.
Next is Manchester United (MANU), the terrific soccer team that's been a dog of a stock. If soccer is your thing, this is the way to go.
Then there's Liberty Media, which owns stakes in Liberty Braves Group (BATRK) and Formula One Group (FWONA). The Altanta Braves have seen huge revenue growth and the stock is a good one, although it's hard to win multiple World Series. Formula One is also seeing a resurgence as of late.
Finally, there's Endeavor Group (EDR), the talent agency that also has an events and experiences arm. Buried within Endeavor you'll find the Ultimate Fighting Championship (UFC) and the Professional Bull Riding League.
Executive Decision 2: Broadridge
For his second "Executive Decision" segment, Cramer also spoke with Tim Gokey, CEO of Broadridge (BR), the financial technology firm that helps individual investors be heard by managing proxy voting.
Gokey said there are number of market trends that are making proxy voting more important than ever.
First, there are more retail investors than ever, and many younger investors want their voices heard.
Next, there has been a sharp increase in the number of environmental social governance, or ESG, proposals as of late, and investors are clamoring to weigh in one way or another.
Lastly, Gokey said that Broadridge has made it far easier to vote than ever before. Gone are ballots by mail that require a signature and postage stamp. Now, over 85% of investors are notified electronically and can vote their shares using the Broadridge app.
Lightning Round
In the Lightning Round, Cramer was bullish on 23andMe (ME), but only for the long term.
Cramer was bearish on WW International (WW), Nikola (NKLA) and Joby Aviation (JOBY).
No Huddle Offense
In his "No Huddle Offense" segment, Cramer said there are a lot of misperceptions about how the Federal Reserve deals with inflation. Many people are worried about the size and velocity of the Fed's rate hikes, but in reality, the Fed doesn't control prices directly.
Case in point, housing. Over the past few weeks, we've seen mortgage rates jump from 3% to 5%, all in anticipation of the Fed making a move. Home buyers are already starting to pull back, but it'll be months before the home builders do.
That's how our shortage of homes quickly becomes a glut and how the prices of everything that goes into a home, from doors and windows to appliances, will see their prices fall. All it could take is one rate hike and a little time to play out.
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