On the Tuesday, July 20 episode of CNBC’s Mad Money, Jim Cramer told viewers now was a good time to rotate out of speculative technology and into industrial blue chips. “In the end, today was a day to buy FedEx. It was a day to pick up some Honeywell Aerospace. Hey, how about buying some GE?”
Cramer argued the NASDAQ is under speculative pressure in both the U.S. and Korean markets and told viewers “to buy more tech only if we get a washout, sell-off first, where all the margin mongers and the option ogres, they just get blown out.” But for now, “It’s time to go to other sectors. They can make you money without the volatility.” The VIX volatility gauge closed at 18.77 on July 17, 2026, up 24.9% for the week and sitting in the 71.2 percentile of its 12-month range.
GE Aerospace Falls Despite a Record Order for 1,000 LEAP Engines
Cramer’s loudest complaint was about GE Aerospace (NYSE:GE | GE Price Prediction). “It was down a ridiculous amount even after it got the biggest order for its ones ever, 1000 LEAP engines to power the Airbus A320neos, part of a joint venture. That wasn’t enough. I was shocked that the stock wasn’t up on that news.” Shares fell nearly eight dollars despite the order.
GE’s Q2 2026 adjusted EPS came in at $2.02 versus a $1.86 consensus, its fifth consecutive beat, on revenue of $13.35 billion, up 21.11% year over year. LEAP engine deliveries rose 24%, and management raised full-year adjusted EPS guidance to $7.65 to $7.85, with free cash flow guided to $8.90 billion to $9.20 billion. CEO Larry Culp cited an “over $210 billion backlog” in the Q2 earnings release.
Yet GE has slid 8.86% month to date through July 20, closing at $341.30. Wall Street’s consensus target sits at $397.86, with 16 buy and 3 strong-buy ratings.
FedEx’s Freight Spin and $1 Billion in Savings Simplify the Story
FedEx (NYSE:FDX) offers a turnaround industrial story. The Q4 FY2026 report on June 23, 2026 delivered adjusted EPS of $6.31 versus $5.95 expected, on revenue of $25.01 billion, up 12.54%. Full-year adjusted EPS reached $20.24 versus $18.19 the prior year, and permanent cost savings exceeded $1.0 billion.
The FedEx Freight spin-off closed June 1, 2026, and management guided calendar-year 2026 adjusted EPS from continuing operations to $16.90 to $18.10, with up to $1 billion in opportunistic buybacks. The stock has slipped 5.78% over the past month but remains up 63.98% year to date.
Honeywell Aerospace Gives Investors a New Aviation Pure Play
Cramer’s reference to Honeywell Aerospace (NASDAQ:HONA) points to the freshly independent business spun out of Honeywell (NASDAQ:HON) on June 29, 2026, now trading on NASDAQ under the ticker HONA. In Q1 2026, Aerospace Technologies posted $4.32 billion in revenue, up 4%, with a 1.1x book-to-bill. The prior quarter delivered 21% organic sales growth in Aerospace Technologies, a datapoint that captures the commercial aftermarket and defense build-up powering the space.
Parent Honeywell reaffirmed FY2026 adjusted EPS of $10.35 to $10.65 against a backlog of $38.3 billion. HON shares are down 5.83% over the past month but up 11.71% year to date.
What to Watch
Jim Cramer recommends avoiding speculative technology stocks unless a sharper sell-off clears out leveraged traders. Until then, he prefers industrial names such as FedEx, GE Aerospace, and Honeywell Aerospace because they offer exposure to cost-cutting, increasing aviation demand, and large order backlogs with less speculative volatility.
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