This Day On The Street
Continue to site
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

Jim Cramer's Mad Dash: HRB GILD

NEW YORK (TheStreet) -- H&R Block (HRB - Get Report) is higher on Friday after announcing it will spin off its banking division, which is being sold to BofI Federal Bank (BOFI)

On CNBC's "Cramer's Mad Dash" segment, TheStreet's Jim Cramer, co-manager of the Action Alerts PLUS portfolio, said the move allows H&R Block to shake the oversight from the Federal Reserve, allowing the company to return cash to shareholders. 

He added H&R Block has "oodles of cash" but has been unable to do a share buyback program, which many investors wanted. 

Cramer said everyone's taxes are now almost "impossible" to complete themselves without leaving money on the table, due in part to Obamacare. This means the need for accountants, and that's giving the tax business momentum at a time when investor optimism is rising. Cramer said this bodes well for the stock. 

Turning to biotech stocks, Cramer said Gilead Sciences (GILD - Get Report) could have some competition in the hepatitis C drug business because Merck (MRK) has a drug in phase II trials. 

He added that quality biotech stocks will continue to get hammered down to attractive levels because investors continue to sell the biotech exchange-traded funds including the SPDR Biotech ETF (XBI) and the iShares Nasdaq Biotechnology ETF (IBB)

When the ETFs decline, it drags down all of the stocks in its holdings, regardless of the quality, he said.

-- Written by Bret Kenwell in Petoskey, Mich.

-- Written by Bret Kenwell in Petoskey, Mich.

-- Written by Bret Kenwell in Petoskey, Mich.

At the time of publication, Cramer's Action Alerts PLUS had no position in companies mentioned.

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
Only $9.95
14-Days Free
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!
GILD $101.38 -1.90%
HRB $31.23 -2.44%
AAPL $124.75 -1.13%
FB $80.78 -1.86%
GOOG $524.05 -1.83%


DOW 17,826.30 -279.47 -1.54%
S&P 500 2,081.18 -23.81 -1.13%
NASDAQ 4,931.8150 -75.9760 -1.52%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs