Jim Cramer's Stop Trading! Buy Yahoo!

Yahoo! (YHOO) looks like a good takeout target for a newly assertive Microsoft (MSFT), Jim Cramer said Friday on CNBC's "Stop Trading!" segment.

Cramer said Microsoft's $6 billion acquisition of aQuantive (AQNT) is "such an overpay" that it unmistakeably sends the signal that Microsoft plans "to consolidate everyone" in the online advertising sector. Cramer said this move may well be "the beginning of the land grab against Google (GOOG)."

Cramer said he believes Microsoft should buy Yahoo!, given that the Sunnyvale, Calif., Net company "still has fabulous traffic" and that such a deal, however costly, "could at last put Google on the defensive."

"These guys have been schooled by Google," Cramer said of Yahoo!. But now that Microsoft is making its intentions clear, "you cannot take anything off the table anymore."

Cramer said Yahoo! could go to $34 from a recent $29.50 if CEO Terry Semel just quits -- let alone any premium tied to any takeover.

Cramer urged investors to buy Under Armour (UA) ahead of next week's Dick's (DKS) earnings call, and said the Citi analyst behind Friday's upgrade of Verizon (VZ) is "late to the party." He also reiterated his bullish take on the oil drillers, on the basis of the latest Baker Hughes (BHI) rig count.

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