Lightning Round: Don't sell Carmax right now, says Jim Cramer

Key Concepts

• REITs (Real Estate Investment Trusts)
• Tariff impact on retail
• Diversification into smaller cap companies
• Aerospace manufacturing
• Travel Trust portfolio
• Carvana vs. CarMax
• Gold as an investment
• High-yield stocks
• Pipeline companies

Analysis of Caller Questions and Jim Cramer's Responses

1. Simon Property Group (SPG) - Paul

• Caller's Question: Paul asks about the tariff impact on Simon Property Group (SPG), a REIT with a strong balance sheet and management team.
• Jim Cramer's Response: Cramer acknowledges SPG's exposure to retail but considers it a "terrific company" with a 5.7% yield. He recommends buying SPG "right here."
• Key Takeaway: Despite potential tariff concerns, Cramer is bullish on SPG due to its strong fundamentals and attractive yield.

2. Lemaire Vascular - Alex

• Caller's Question: Alex is looking to diversify into under-the-radar, smaller-cap companies and asks about Lemaire Vascular, a medical device company that pays a dividend.
• Jim Cramer's Response: Cramer admits he doesn't know the company and needs to do some work. He also jokes about potentially mispronouncing the name.
• Key Takeaway: Cramer emphasizes the importance of due diligence and admits when he lacks knowledge about a specific company.

3. Transdigm Corp (TDG) - Harvey

• Caller's Question: Harvey asks for Cramer's thoughts on Transdigm Corp (TDG), an aerospace manufacturer.
• Jim Cramer's Response: Cramer likes aerospace but prefers GE, which is reporting earnings the next day. He mentions considering GE for his Travel Trust portfolio but is hesitant to add names due to the market not being oversold enough.
• Key Takeaway: Cramer favors GE over Transdigm in the aerospace sector and expresses caution about adding stocks to his portfolio in the current market conditions.

4. CarMax (KMX) - John

• Caller's Question: John asks whether to hold or sell CarMax (KMX).
• Jim Cramer's Response: Cramer reveals he is a "Carvana guy" and is surprised by CarMax's 24% decline, calling it a "remarkable decline" for a high-quality company. He advises against selling at the current low price, attributing the decline to broader market issues.
• Key Takeaway: Cramer acknowledges CarMax's quality but expresses concern about its recent performance, advising against selling at a low point. He also highlights broader market concerns affecting stock prices.

5. Barrick Gold (GOLD) - Gary

• Caller's Question: Gary asks for Cramer's opinion on Barrick Gold (GOLD).
• Jim Cramer's Response: Cramer believes gold is going higher and that Barrick Gold has more room to run. He mentions Agnico is doing better but still sees gold as a good place to be.
• Key Takeaway: Cramer is bullish on gold and Barrick Gold, suggesting it's a favorable investment in the current market.

6. Plains All American Pipeline (PAA) - Paul

• Caller's Question: Paul, a repeat caller and club member, asks if Cramer is still positive about Plains All American Pipeline (PAA) and if it's a good time to start a position.
• Jim Cramer's Response: Cramer says his understanding is that Plains is doing "quite well," despite a tough moment for the group with many sellers. He says he will "redouble my efforts" because it is a little higher.
• Key Takeaway: Cramer expresses cautious optimism about Plains All American Pipeline, acknowledging challenges in the sector but suggesting the company is performing well.

Synthesis/Conclusion

Jim Cramer provides a mix of bullish and cautious recommendations based on individual company analysis and broader market conditions. He emphasizes the importance of due diligence, acknowledges his own knowledge gaps, and adjusts his investment strategies based on market trends. He favors companies with strong fundamentals and attractive yields, while remaining cautious about adding stocks to his portfolio in an uncertain market. He is bullish on gold as an investment.