We're buying an AI stock that we recently took profits on and upgrading another
We’re buying 90 shares of Qnity Electronics at roughly $131 each. Following Thursday’s trade, Jim Cramer’s Charitable Trust will own 870 shares of Q, increasing its weighting in the portfolio to 3% from 2.7%. If leverage is out of the AI infrastructure stocks, then it’s time to get more positive on the theme after their recent decline. That’s the view we are taking on Thursday following news that an AI stock-focused hedge fund was forced to unwind all its public positions. With that in mind, we’re making a couple of moves and rating changes in the portfolio. Q YTD mountain Qnity YTD We’re upgrading our rating to a 1 and nibbling on some shares of Qnity, the electronics material supplier whose stock has fallen from a high of $175 in late June to $131 in Thursday’s trading. With this trade, we’ll buy back some of the stock we sold in June and April in the low $140s. Additionally, all signs point to a robust demand environment despite the recent pullback. Samsung is Qnity’s largest customer, and the Korean tech giant reported strong results overnight. Lam Research reported a strong beat and raise on Wednesday, raising its calendar year 2026 wafer fab equipment spending outlook. We also note that peers in electronic materials have reported good quarters so far this earnings season. Solstice Advanced Materials reported a beat and raise on Thursday with electronic materials sales up 15%. GLW YTD mountain Corning YTD We also would be nibbling on some Corning shares if we were not restricted from trading the stock. Accordingly, we are upgrading our rating on the specialty glassmaker to a buy-equivalent 1. Even with Thursday’s roughly 7% gain, Corning is still down about 9% for the week and roughly 50% from its all-time high in June. The company reported a quarter on Tuesday that did not live up to the market’s lofty standards, even as the long-term growth story remained unchanged. The company said it is “entering a new phase of accelerating growth,” with sales growing at a compound annual growth rate of 19% from the fourth quarter of 2026 to the fourth quarter of 2030. Earnings are expected to grow even faster than sales. Corning became a small position in the portfolio, partly because the stock has been hammered, and partly because of three well-timed sales in June at progressively higher prices—roughly $ 200 , $ 222 , and $ 260 per share. With the stock cut in half over the past month, we would be buying some of those shares back. (Jim Cramer’s Charitable Trust is long Q and GLW. 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.
