Jim Cramer: This Consumer Cyclical Stock Is A 'One-Trick Pony'

On CNBC's “Mad Money Lightning Round,” Jim Cramer called Churchill Downs Incorporated (NASDAQ:CHDN) a “one-trick pony.”

On April 25, Barclays analyst Brandt Montour maintained a Churchill Downs rating of Overweight and lowered the price target from $125 to $124, while Mizuho analyst Ben Chaiken maintained the stock with an Outperform rating and reduced the price target from $140 to $137.

“I would indeed start a position, and I have been very on negative on UnitedHealth,” Cramer said. “I would start a potion at $400. That's a big change for me.”

On the earnings front, UnitedHealth (NYSE:UNH) reported first-quarter revenue of $109.58 billion on April 21, missing analyst estimates of $ 111.60 billion, according to Benzinga Pro. The company reported first-quarter adjusted earnings of $7.20 per share, missing estimates of $7.29 per share.

“If you want to be in that space, let's just go buy Dell (NYSE:DELL),” Cramer said when asked about Super Micro Computer, Inc. (NASDAQ:SMCI).

According to recent news, Super Micro reported weak preliminary results for the third quarter after the market close on Tuesday, citing delayed customer platform decisions that pushed sales into the fourth quarter. The company now expects to report third-quarter revenue of $4.5 billion to $4.6 billion, down from prior guidance of $5 billion to $6 billion. Super Micro also expects third-quarter adjusted earnings to be in the range of 29 cents to 31 cents per share, down from prior guidance of 46 cents to 62 cents per share.

Price Action:

• UnitedHealth shares gained 0.5% to settle at $411.44 on Wednesday.
• Churchill Downs shares fell 1.1% to close at $90.41 during the session.
• Super Micro Computer shares dipped 11.5% to settle at $31.86 on Wednesday.

Read Next:

• Top 2 Materials Stocks That May Fall Off A Cliff This Quarter

Photo: Shutterstock