Cramer's 'Mad Money' Recap: Investing for the Future
NEW YORK (TheStreet) -- Stocks are all about the future, not the present, Jim Cramer reminded his "Mad Money" TV show viewers Thursday as he hosted the show live from the business school at Villanova University in Philadelphia.
Cramer said that while there are many things to worry about in today's market, young investors should be thinking about the markets of 2020.
Cramer's "buy and homework" portfolio for 2020 needs to focus on long-term macro trends such as curing diseases, something at which U.S. biotech stocks thrive. He suggested picking up Gilead Sciences
Cramer said social media and cloud computing will likely be strong in 2020, which is why owning Google
There's also America's race towards energy independence, something that Cummins
America is also great at manufacturing, said Cramer, which is why the 2020 portfolio also should have Caterpillar
Finally, Cramer said his 2020 portfolio should include something international, such as the iShares MSCI Mexico
Cramer said younger investors shouldn't wait, because even a few dollars a month into a portfolio like this one will have bountiful yields in the future.
Xbox Marks the Spot
Even the best analysts sometimes get it wrong, Cramer told his audience as he dove into the most recent earnings of Microsoft
Cramer said Microsoft was left for dead by the analysts, who had tied the company solely to the decline in PC sales, forgetting about its many other businesses. Nearly all of the negatives had already been baked into the stock, Cramer continued, but none of the positives.