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Jim Cramer's Stop Trading! Do the Dow Deal

TheStreet.com Staff

The takeover games aren't over at Dow (DOW Quote), Jim Cramer said Thursday on CNBC's "Stop Trading!" segment.

Cramer noted that the stock is up 3% even after the firing of two execs tied to an unauthorized leveraged buyout effort. Cramer said he believes the rise reflects Wall Street's belief that one of the two, former finance chief Pedro Reinhard, will quit the board and lead an unsolicited takeover bid.

Cramer also criticized Dow chief Andrew Liveris, a member of the Citigroup (C Quote) board, saying he and other Citi board members are "pro status quo."

Cramer gave a thumbs up to Sanford Bernstein's upgrade of Pepsi (PEP Quote) and said Gap's (GPS Quote) Old Navy unit is back.

Cramer is less taken with MGIC Investment (MTG Quote), saying it's going to get crushed by the collapse of subprime mortgage lenders.