Jim Cramer is bullish on cybersecurity stocks CrowdStrike, Palo Alto

Every weekday the CNBC Investing Club with Jim Cramer holds a “Morning Meeting” livestream at 10:20 a.m. ET. Here’s a recap of Friday’s key moments. 1. Stocks were higher Friday with the S & P 500 on pace for its fifth straight session of gains. Jim Cramer pointed out that the speculative trade is on — as investors pile into riskier bets. Rallies in both bitcoin and Nvidia have “given people license to buy a lot of stocks that are probably not deserving,” Jim Cramer during the Morning Meeting. “I am uncomfortable recommending stocks that have no fundamental basis,” he added. In this environment, we’re reiterating our focus on stocks that trade on how the businesses of the companies they represent are doing. 2. Best Buy shares rallied more than 3.5% on Friday after JPMorgan raised its price target to $117, implying 35% upside as of Thursday’s close, and kept its overweight buy rating. While anticipating a comparable sales miss next week, JPMorgan is bullish that Best Buy is at the beginning of a replacement cycle for AI-powered electronics. The analyst made the Club stock a top pick for 2025. To be sure, JPMorgan does see Trump tariff risk for Best Buy since lots of electronics are made in China. This is why we sold some Best Buy shares on Wednesday. 3. CrowdStrike shares jumped more than 3% on Friday — continuing their comeback since one of the cybersecurity company’s software updates caused a global IT outage in July. Jim believes CrowdStrike has more room to run as indicated by the Club’s buy-equivalent 1 rating on the stock. The company reports earnings next week. Wells Fargo analysts said, “While these next two quarters could be choppy, we believe Crowdstrike is still the single-best solution for stopping breaches.” Jim added fellow Club cybersecurity stock Palo Alto Networks is a buy on Friday’s weakness as the market digests this week’s earnings print. 4. Stocks covered in Friday’s rapid fire at the end of the video were: Ross Stores , Gap , Abbvie , and PepsiCo . (Jim Cramer’s Charitable Trust is long NVDA, BBY, CRWD, PANW. 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.