What we're looking for when Disney posts quarterly earnings on Tuesday morning

Published Mon, May 6 202411:59 AM EDT

Every weekday the CNBC Investing Club with Jim Cramer holds a "Morning Meeting" livestream at 10:20 a.m. ET. Here's a recap of Monday's key moments. U.S. stocks rose on Monday, adding to the prior session's gains when the S & P 500 , Dow and Nasdaq popped over 1% each on a softer-than-expected jobs report. Investors celebrated signs that the Federal Reserve's monetary tightening campaign seemed to be working, pushing the U.S. economy in the right direction for interest rate cuts. Monday kicks off a "benign week" for the market, Jim Cramer said, citing the lack of key economic prints or Fed speak to influence sentiment in the days to come. Former Starbucks CEO Howard Schultz posted on LinkedIn on Sunday that the coffee giant needs to amp up its U.S. store experience to win back customers. These comments followed last week's terrible quarter. Management also cut its full-year forecast, and the stock plummeted on the release. "Howard, like us, expected a bad quarter, but we didn't expect the worst quarter of the year," Jim said. The Club is not taking action on Starbucks stock, which was slightly higher Monday. Walt Disney gained about 1.5% after Deutsche Bank and Loop Capital analysts raised their price targets. Disney reports earnings on Tuesday morning. We will be watching for positive updates on Disney's lagging direct-to-consumer business, which houses streaming services like Disney+ and Hulu. This is expected to be the DTC's second to last unprofitable quarter. But breakeven figures on Tuesday would be welcomed news for shareholders like us. (Jim Cramer's Charitable Trust is long SBUX, DIS. 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.