Cramer's Stop Trading! Ballmer Might Be the Wrong Guy (5/26/11)

 |  Includes: HAIN, MDLZ, MSFT, TOL
by: Miriam Metzinger

Stocks discussed on Jim Cramer's Stop Trading! TV Segment, Thursday May 26.

Microsoft (NASDAQ:MSFT), Hain Celestial (NASDAQ:HAIN), Kraft (KFT), Toll Brothers (NYSE:TOL)

With renewed talk about the performance of Microsoft (MSFT) CEO Steve Ballmer, and whether there should be a new leader at the helm, Cramer said, "When a stock has done nothing for so long, you have to question the CEO." While Cramer said there is reason to think the problem could be with the company's hard business model and the decline in PCs, "Ballmer may be the wrong guy."

While Cramer at one time said Kraft (KFT) should have bought Hain Celestial (HAIN) rather than Cadbury, now Hain is too high to be a takeover and gains in its product lines are extraordinary. "There is something that is changing in the demographic. Young people have heard the obesity story and don't want to be obese."

Comments from Toll Brothers' (TOL) CEO Robert Toll indicate that the foreclosed market is hurting, but it is not hurting the non-foreclosed market. Cramer thinks it is a mistake that these two categories are lumped together.


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