Cramer said that he remained a big fan of PVH as it continues to grow and reward shareholders.
Food for Thought
For his third "Executive Decision" segment, Cramer spoke with John Foraker, CEO of Annie's (BNNY), a stock that's up 14% since Cramer recommended investors get in on the company's initial public offering earlier this year. Annie's just reported a penny-a-share earnings miss on better than expected sales with upbeat guidance.Foraker admitted that Annie's could have done better in this most recent quarter if only it was able to keep more items on store shelves. He said his company has a great brand but certainly needs to execute better in order to meet growing customer demand. Foraker also noted the Annie's brand is moving more mainstream, with over 7,000 stock-keeping units, or SKU, moving from the specialty health food aisle to more traditional placements inside many stores. Annie's pays slotting fees for these moves, but the company is happy to pay them as more and more customers are exposed to the brand. Annie's is a driver of growth and profits for retailers, noted Foraker, as the health food consumer is well educated and is willing to spend more for the items they eat. He said that Annie's is all about building both nutrition and great taste into their products, without the use of genetically modified ingredients. When asked about the company's new line of frozen pizza, Foraker said that while results are still early, pizza is now in 2,500 stores and is selling well. He said pizza will be the first of many extensions of the Annie's brand into the frozen food aisle. Cramer said that Annie's, along with Hain Celestial (HAIN), remains among his favorite healthy-eating stocks.