With the markets falling further into correction territory, Jim Cramer decided to start adding to some of the positions in his Charitable Trust.
"We are making a number of buys on the dip," Cramer said Friday morning in a letter to members of CNBC's "Investing Club."
He attributed the continued decline in the overall markets Friday to Netflix Inc's (NASDAQ:NFLX) weaker-than-expected subscriber outlook. Shares plunged more than 20% after announcing quarterly financial results after the close.
"While it may seem tough to buy anything right now with the market as treacherous as it is, we actually see Friday’s down open as a good set-up to buy into as usually it is the up opens that traps investors as soon as the buying momentum slows," Cramer said.
Related Link: Why Netflix Shares Are Diving Today
He increased his stake in Salesforce.com Inc (NYSE:CRM), Marvell Technology Inc (NASDAQ:MRVL) and Bausch Health Companies Inc (NYSE:BHC).
CRM: With Salesforce approximately 30% below its highs, Cramer told Investing Club members he's making a stand.
"Although CRM has become a little controversial of late because it is a high multiple software stock, the recent action in some of the highest quality software franchises has been encouraging," Cramer said.
He bought 50 shares of Salesforce Friday morning around the $220 level.
MRVL: "We are huge fans of this company for its peer leading growth rate and exposure to secular themes in the cloud, 5G, and auto," Cramer said.
He trimmed 200 shares of his Marvell position in December following a surge in share price and purchased half of those shares back about two weeks ago.
With the stock down more than 10% over the last week, Cramer bought another 100 shares, bringing the position size back to where it was before he began selling in December.
BHC: "This stock has been a bit of disappointment since our initiation (as has most of the market), but we are not backing away from our thesis that Bausch Health’s breakup will unlock value for shareholders," Cramer said.
Bausch is still inexpensive relative to its peers, according to Cramer. He noted that Bausch is one of the smallest positions in the portfolio.
See Also: Why Jim Cramer Is Warning You To Be 'Careful' With Dogecoin
What's Next: "Outside of this morning’s trades, we are still actively looking to add to some of our existing positions and for new names," Cramer said.
He also announced he's expecting money to flow out of crypto and into stocks.
i think there will be a wave of money coming from crypto into stocks... If you are looking for ideas please check our investing club.. we have a great recommended list
— Jim Cramer (@jimcramer) January 21, 2022
CRM, MRVL, BHC Price Action: At publication time, Salesforce was trading flat at $222.92, Marvell was up 0.39% at $74.09 and Bausch Health was up 0.86% at $25.13.
Photo: Owen Byrne from Flickr.
