Stop Trading!
Cramer's 'Stop Trading!': Pass on Yahoo!
TheStreet.com Staff
05/02/08 - 03:01 PM EDT
Jim Cramer said on CNBC's "Stop Trading!" segment Friday.
On the Microsoft (MSFT Quote - Cramer on MSFT - Stock Picks) bid for Yahoo! (YHOO Quote - Cramer on YHOO - Stock Picks), Cramer said he predicts that CEO Steven Ballmer "sweetens it a little bit." Cramer said, however, that people misjudged Ballmer. "He's not a friendly man. ... There's no reason for him to make a friendly offer," Cramer said.
Cramer said he wouldn't buy Yahoo! in hopes of an increased bid from Microsoft. He said he thinks Microsoft is cheap at these levels, but he'd rather own his "new tech" stocks such as Parker Hannifin (PH Quote - Cramer on PH - Stock Picks) and Eaton (EAT Quote - Cramer on EAT - Stock Picks).
Cramer was also bullish on agricultural chemicals company Agrium (AGU Quote - Cramer on AGU - Stock Picks). "Agrium's a great story," he said. "People have continually thought, 'Well, fertilizer, well isn't that manure?' ... This stuff is the heavy-duty stuff that really does produce a big yield." He said he also likes Potash (POT Quote - Cramer on POT - Stock Picks) now that it's come down a little bit.
Cramer pointed out that if the U.S. government backs away from its ethanol program, a lot of stocks in the agriculture space could see a quick dropoff.