We are exiting our position in Abbott Laboratories , selling 250 shares at roughly $129. Following the trade, Jim Cramer’s Charitable Trust will no longer hold a position in Abbott. Abbott Labs reported a mixed quarter on Wednesday as strength in its medical devices business was partially offset by softness in its nutrition and diagnostics units. For such a high-quality company with a long track record of beating analyst estimates and raising its full-year outlook, this was the second consecutive quarter where it either cut or maintained its guidance. Shares of this diversified health-care company have had a solid year, gaining about 14% and outperforming the broader health-care sector’s gain of about 4%. However, the stock has stalled out since July alongside the lack of positive earnings revisions from the second-quarter report. Another quarter without a guide up could mean the stock will continue to trade sideways. Instead of holding on to this tiny position, we are freeing up this capital for better opportunities. Finally, this sale will increase our cash position to around 7.5% of the portfolio. Due to the market’s sensitivity to trade relations with China, having this extra cash will give us more flexibility should we see another headline-driven sell-off. From this sale, we will realize an average gain of about 24% on stock purchased in April and May 2024. (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.
