Jim Cramer says conflicts like the Russia-Ukraine crisis can drag on for months. Investors need to have a plan, a shopping list and cash to buy stocks on sale.
Why are investors always so negative? That was the question Jim Cramer offered his Mad Money viewers Tuesday, after another wave of selling on Wall Street spurred by the development in the Russia-Ukraine crisis.
Make no mistake, Russian President Vladimir Putin is a bad guy, Cramer told viewers, but wars don’t happen overnight, and this conflict could drag on for months. That’s why investors need to treat every selloff as a learning experience and not simply use them as an excuse to panic.
Over on Action Alerts PLUS, Bob Lang and Chris Versace are focusing on the fundamentals amid geopolitical tensions and global markets volatility. They say they’ll learn what’s positive for existing positions and look for new ones, putting to work the cash that they’ve built up. Get in on the conversation and get more trading strategies from the Action Alerts PLUS investing club.
Selloffs are when the market puts your favorite stocks on sale, Cramer said. That means investors need to have their shopping lists ready with the prices they’re willing to pay. If your stocks reach those prices, don’t panic, just buy. If they don’t reach your targets, no problem. Just be patient.
Cramer recommended stocks of companies that just reported earnings, as they’re the least likely to surprise you. Both Cisco Systems (CSCO) – Get Cisco Systems, Inc. Report and Walmart (WMT) – Get Walmart Inc. Report reported last week and both are now well off their highs. Cisco trades for just 16 times earnings with a 2.7% yield, while Walmart gave investors a spectacular outlook for the rest of 2022. Neither of these companies is affected by Russia, Cramer noted, which is why they’re safe bets.
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