Cramer's 'Mad Money' Recap: Hansen Leaves Bad Taste
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"If I had to pick one stock for my Halloween show, then it is Hansen Natural (HANS)," Cramer told viewers of his "Mad Money" TV show Tuesday.
"It's a haunted house stock and probably a lose-your-money stock," he said."There's nothing more scary and terrifying than a momentum stock that has lost its momentum, Cramer said. "Momentum stocks don't generally come back from the dead." Cramer also believes there's nothing proprietary about the beverage maker. He performed a blind taste test on his show, sampling each of Hansen's drinks. Because all of the drinks tasted the same to him, Cramer said, it's time to sell the stock. "I have no idea which one is which," Cramer said. "It's a totally undifferentiated product." Hansen might try to make premium drinks at premium prices, but there's nothing premium about its drinks, Cramer said, adding that market players need to get out of Hansen before the company reports its next quarter. A lot of analysts believe in Hansen, but now even the bulls are worried about it, he said. In addition, Cramer said he doubts the beverage company is going to be saved by its energy drinks, as they may not be safe, and "it's only a matter of time before medical companies start turning on these guys." Energy drinks are a fad, he went on to say. The bottom line is that Hansen got its "head chopped" last quarter and has only risen two points since then. It's time to get out of this stock, he said. When a caller asked about Tootsie Roll (TR), Cramer said that because the company is at the top and Hershey (HSY) recently reached its bottom, it's time to make the switch out of Tootsie Roll and into Hershey.
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