Jim Cramer says to buy these two stocks — including one with nearly 20% upside

An important development from the financial markets: Every weekday, the CNBC Investing Club with Jim Cramer holds a "Morning Meeting" livestream at 10:20 a. Here's a recap of Thursday's key moments. Stocks edged higher Thursday after reports that the U.

and Iran agreed to extend their ceasefire for 60 days and begin negotiations over Iran's nuclear program. That's become the big macro story of the day, Jim Cramer said. Earlier in the morning, the personal consumption expenditures price index — the Federal Reserve's preferred inflation gauge — rose a seasonally adjusted 0.

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4% in April, slightly below economists' expectations for a 0. On an annual basis, headline inflation held at 3. 8%, in line with estimates.

The report helped calm some fears about persistent inflation and offered modest relief for markets. Shares of data analytics company Snowflake surged 35% after a strong quarterly report Wednesday night. "That was one of the most pronounced pivots I've seen in ages," Jim said, praising CEO Sridhar Ramaswamy for shifting Snowflake from a "plain vanilla software" company into a more AI-focused business.

But Jim said the biggest takeaway from the quarter is what it signals for Club holding Amazon . Snowflake disclosed a roughly $6 billion commitment to Amazon Web Services, expanding its use of Amazon's custom Graviton chips and AI computing infrastructure. "One of the things that makes fly is because they bought Amazon chips," Jim said.

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The deal reinforced Jim's confidence in Amazon's growing custom chip business after previously questioning whether the chips would hold their value over time. He added that investors should use Thursday's slight pullback in Amazon shares as a buying opportunity. Club holding Starbucks is showing signs of improvement in a key area of its turnaround: afternoon traffic.

Jim pointed to new CNBC reporting that said visits to U. coffee shops after 2 p. are growing , especially during the 3 p.

Management identified strengthening afternoon sales as critical to better leverage staffing levels and improve profitability. "It's time, if you don't own Starbucks, to buy some Starbucks," Jim said, adding he sees the stock reaching $120, implying roughly 17% upside from current levels. Stocks covered in Thursday's rapid fire at the end of the video were: CVS , Eli Lilly , and Marvell .

Financial markets are tracking the development closely as investors assess the likely impact.