This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Jim Cramer's 'Mad Money' Recap: Stay Along for the Ride

Bachelder was also optimistic about her company's prospects globally, saying that not only can it double in size in the U.S., but there are many opportunities to position the brand to compete internationally and so far profits have been strong overseas as well.

When asked whether the weakness in the stock is an opportunity to buy back more shares, Bachelder reiterated that the company plans to retire $15 million to $20 million worth of stock this year, but remains committed to investing cash to grow organically. She said that AFC has delivered 22 consecutive strong quarters and the company wants to be a reliable investment for shareholders.

Cramer said while AFC may have guided expectations lower, any other restaurant chain would kill to have the growth even at the low end of AFC's guidance. This stock is a buy, not a sell, he concluded.

Sell Block

In his Thursday "Sell Block" segment, Cramer said he made the tough decision to add Abercrombie & Fitch (ANF - Get Report) CEO Mike Jeffries to his "Mad Money" Wall of Shame, the list of the worst CEOs that need to retire and turn their companies over to new management.

Cramer said in an environment where even JCPenney (JCP) had some positive things to say, Abercrombie announced hideous earnings last week and has seen its stock fall 27% for the year. While Jeffries has a great track record of successes in the past, Cramer said the aging CEO has simply lost touch with his customers, turning Abercrombie into an irrelevant brand.

While the apparel retailer continues to close underperforming stores in the U.S., Cramer noted that its still building new ones overseas, this despite the fact that sales overseas also continue to erode. The company has also been horrible at managing expectations, having slashed its estimates by more than half so far this year. Abercrombie simply isn't cool anymore and the company hasn't changed with the times, Cramer said.

The good news is that Jeffries' contract expires at the end of the year, and Cramer said he hopes the company fires him promptly and brings in new, younger management that understands just how bad a situation Abercrombie is now in.

2 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
AHS $23.39 -0.97%
ANF $21.72 -0.87%
KMB $106.37 0.05%
AAPL $123.25 -0.80%
FB $83.30 0.35%


DOW 17,712.66 +34.43 0.19%
S&P 500 2,061.02 +4.87 0.24%
NASDAQ 4,891.2190 +27.8570 0.57%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs