We’re adding two new stocks to our Bullpen watchlist
Every weekday, the CNBC Investing Club with Jim Cramer releases the Homestretch — an actionable afternoon update, just in time for the last hour of trading on Wall Street. Stocks are lower on Thursday, with the S & P 500 down by about 0.5% and the Nasdaq falling about 1%. It’s the fourth down session in the past five for the S & P 500. Bonds and oil prices continued to weigh on the market. After finding some relief on Wednesday following the Treasury Department’s intervention in long-dated bonds , yields spiked Thursday, erasing all of the prior day’s slide. Oil climbed about 2%, with WTI crude getting as high as $89 per barrel after the Trump administration threatened economic sanctions against Iran. WTI crude is on track for its highest close since July 24, putting oil back near the levels it traded at before the U.S. and Iran agreed to a temporary pause in hostilities. We’re adding two new companies to the Bullpen, our watchlist of stocks. The current members are Solstice , Arm Holdings , RTX Corp and Sempra . Here’s who is joining them: First up is BNY , formerly known as the Bank of New York Mellon. BNY is a trust bank. Unlike JPMorgan or Club name Wells Fargo , whose core business is collecting deposits and issuing consumer and commercial loans, BNY’s main focus is servicing, safeguarding and moving financial assets for institutions. Some of BNY’s peers are State Street and Northern Trust . BNY is the world’s largest custodian and collateral manager, as well as a provider of issuer services and the primary settlement agent for U.S. government securities. Roughly 70% of its revenues are fee-based, meaning it is less levered to changes in the yield curve and net interest income than other banks. The stock has been one of the best performers in the financial sector under the leadership of Robin Vince, who took over as CEO in 2022. During this period, the company has delivered steady revenue growth, significant margin expansion, and ever-growing profitability metrics. From 2022 to 2025, the company’s revenues have grown from 16.5 billion to $20.1 billion, while pre-tax margin has improved from 21.1% to 35.1%, leading to earnings per share growth from $2.88 to $7.40. The other addition is Cadence Design Systems . President and CEO Anirudh Devgan appeared on “Mad Money” earlier this week. Cadence is known for its electronic design automation, or EDA, software and services, which are essentially the tools used to design and verify semiconductors before they are sent to a foundry like Taiwan Semiconductor Manufacturing Co. for production. The company is a close collaborator with Club names Nvidia and Broadcom; Cadence is also working with Intel to help them develop its 14A manufacturing process. Historically, the two companies haven’t worked closely together as Intel preferred its internal EDA resources, but that has changed under new Intel CEO Lip-Bu Tan, who previously served as CEO and chairman of Cadence. In June, Cadence and Intel Foundry announced an expanded collaboration and a new multiyear agreement that combines Cadence’s agentic AI-driven EDA and Design IP solutions with Intel’s process innovation and advanced design expertise. Cadence shares hit a high of about $416 in early June but have since pulled back roughly 25%, wiping out almost all of their year-to-date gains. Some of the slump this year may be due to concerns that AI will disrupt its core business. For example, in July, Chinese startup Moonshot AI said its Kimi K3 model used open-source EDA tools to design its own semiconductor chip. While that’s a risk worth monitoring, the company sees advancements in AI playing out differently. They believe agentic AI will increase demand by driving greater use of the company’s EDA engines. After the closing bell Thursday, TJX Companies’ off-price competitor Ross Stores will report earnings. The market will be looking at how the two companies’ same-store sales performance stacks up, with TJX’s numbers Wednesday adding to concerns about competition from Ross Stores. Looking ahead to Friday, BJ’s Wholesale reports before the opening bell. On the data side, we’ll see S & P Global US Manufacturing and Services PMI. (See here for a full list of the stocks in Jim Cramer’s Charitable Trust.) 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.
