Cramer's 'Stop Trading': Heinz, Apple
NEW YORK(TheStreet) -- While option activity has been tremendous for Heinz (HNZ), Jim Cramer said on his Thursday "Stop Trading!" segment that you don't want to be in the stock without a takeover bid.
Cramer said during "Stop Trading!" that Heinz is a good stock, but it's not General Mills (GIS).
Cramer predicts the stock will retreat if the takeover speculation proves to be just a myth.
Cramer is also not feeding into the chatter that Apple's (AAPL) iPad isn't as innovative as expected or will cannibalize its other products.The life cycle of Apple's stock is as follows: they introduce a new product, hedge funds sell and take profit, investors worry it's not a good product, then six months later they realize the product is great, according to Cramer. For this reason, "don't make a judgment of the product based on how the stock is moving," he advised. Cramer owns Apple for his Charitable Trust portfolio. Meanwhile, while Banco Santander (BSBR) remains one of Cramer's favorite banks, he says he is currently worried about the stock on concerns over Greece.
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