My Top 10 Things to Watch Friday, February 20 1. Observers are once again warning of a “canary in the coal mine” over Blue Owl Capital’s loan sales as part of its plan to return capital to investors. Although many private credit loans appear to be incorrectly marked, this situation does not seem to be inherently tragic. 2. Stock futures fell as the initial forecast for US GDP in the fourth quarter came in at 1.4%, much lower than expected. The government shutdown is likely a drag on growth. PCE, the Fed’s preferred inflation measure, rose 0.4% in December, slightly above consensus. 3. Texas Roadhouse stock rose more than 3% this morning, with the market forgiving the steakhouse chain for a weak fourth quarter as the ongoing first quarter got off to an explosive start. However, there is no sign that the beef bull market is over and Texas Roadhouse will see a respite in beef inflation. 4. Barclays has lowered the price target for CrowdStrike from $610 to $550 as software-related woes continue. However, Barclays maintained its buy rating on the stock. We have also told club members that cyber withdrawal is an opportunity. 5. Morgan Stanley initiated GE Aerospace with a Buy rating and a $425 price target, suggesting an upside of about 27% from yesterday’s closing price. Analysts wrote that the engine maker’s cash flow is at “full throttle.” The air travel bull market is one of the most powerful stories out there. Boeing is our way of doing it for the club. 6. Pfizer started with a sell rating at Barclays as analysts fear the stock will remain range-bound until more data is available on its obesity pipeline. The firm gave “buy” ratings to the club names Bristol-Myers, which has new buds in the pipeline, and Eli Lilly, the obesity leader. I also like Merck. 7. Citi raised its price target for club-owned Costco from $990 to $1,000, barely above yesterday’s closing price. The timing seems odd given that the long-awaited Supreme Court ruling on tariffs could come as early as this morning. Costco has filed a lawsuit against the Trump administration seeking refunds. 8. Barclays lowered Molson Coors’ price target from $49 to $47 and reiterated its post-earnings sell rating. Analysts said Miller Lite’s parent company’s softer-than-expected 2026 outlook on Wednesday may still be a “too high starting point.” I’ve been saying for a while that I would stay away from alcohol stocks. People are drinking less, and aluminum tariffs aren’t helping brewers either. 9. Live Nation shares rose 3.5% this morning after Ticketmaster’s parent company beat quarterly revenue expectations, supported by strong demand for concerts and live experiences. Early ticket sales for 2026 are up double digits, with over 80% of shows at large venues already booked. These numbers are further evidence that consumers are still willing to pay for things like travel and concerts. 10. Klarna delivered a quarter of a disaster yesterday. The buy now, pay later provider not only reported a higher-than-expected net loss, but also missed its fiscal 2026 outlook on a number of key metrics. As a result, JPMorgan lowered its price target on Klarna to $20 from $40, calling the report “disappointing.” UBS cut PT from $46 to $20. Affirm is my preferred way to play in the BNPL space. Sign up for free for my Top 10 Morning Thoughts on the Markets email newsletter (See here for a complete list of Jim Cramer Charitable Trust stocks.) As a subscriber to Jim Cramer’s CNBC Investment Club, you’ll receive trade alerts before Jim makes a trade. After Jim sends a trade alert, he waits 45 minutes before buying or selling stocks in his charitable trust’s portfolio. If Jim talks about a stock on CNBC TV, he will issue a trade alert and then wait 72 hours before executing the trade. The above investment club information is subject to our Terms of Use and Privacy Policy, along with our disclaimer. No fiduciary duties or obligations exist or arise from your receipt of information provided in connection with the Investment Club. No specific results or benefits are guaranteed.
