We are making three buys Tuesday: We are buying 5 shares of BlackRock at roughly $875. Following the trade, Jim Cramer's Charitable Trust will own 135 shares of BLK, increasing its weighting to 3.9% from 3.75%. We are buying 30 shares of Dover at roughly $162. Following the trade the Trust will own 660 shares of DOV, increasing its weighting to 3.5% from 3.36%. We are buying 50 shares of Starbucks at roughly $83. Following the trade the Trust will own 1,000 shares of SBUX, increasing its weighting to 2.75% from 2.6%. BlackRock has a lot going for it. The world's largest asset manager reported solid first-quarter results earlier this month, highlighted by strong 6% organic fee growth and net inflows that looked better than what was reported after adjusting for some low-fee institutional index outflows. More importantly, we were encouraged by the confidence CEO Larry Fink had in his private market expansion plan. Basically, these are assets that don't trade on public exchanges. Think loans to companies, known as private credit, and other investments into infrastructure projects such as data centers and ports. This small purchase will also improve our average cost basis . Dover reports Thursday before the opening bell and we are hesitant to make this nibble a call on the quarter. But Danaher's bioprocessing revenue beat and raised guidance was a sign of continued momentum in Dover's single-use biopharma business. That represents one of five business lines (20% of the company's portfolio) Dover expects to grow double digits in 2025. We've also been buying Dover in the recent market sell-off ( most recently on April 9) because management had $2.8 billion of dry powder at its disposal at year-end. We expect management will use that cash to opportunistically repurchase shares and/or pursue value-creating deals that could boost earnings. Lastly, we are adding to our position in Starbucks and upgrading our rating to 1. We trimmed our position in the coffee chain a couple of times in February and locked in big gains with the stock trading above $110 per share. At the time of those sales, we talked about confidence in CEO Brian Niccol's turnaround strategy but acknowledged that some speed bumps were bound to happen. Indeed, that is what has occurred. Concerns about a weakening consumer, tariffs, and Starbucks' China exposure have pushed earnings estimates slightly lower and the stock has dropped about 25% from those sales. With expectations more balanced, we are buying back 50 of the 150 shares we sold earlier this year. Although the uncertain macro could delay Starbucks' turnaround, this is more of a self-help story. For example, one of Niccol's main goals is to unlock same store sales by improving throughput and getting each cup of coffee to customers in four minutes or less. ( Jim Cramer's Charitable Trust is long BLK, DOV and SBUX. 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.
Traders work on the floor at the New York Stock Exchange on April 21, 2025.
