Yahoo! ( YHOO) chief Terry Semel must go, Jim Cramer said Wednesday on CNBC's "Stop Trading!" segment.

Cramer said Semel has become "one of those guys" whose disengagement atop a valuable but seemingly lost franchise is actually pulling down the stock. "I just want to say there is a level where you back out" Yahoo!'s cash and securities holdings, Cramer said. "People are underestimating the power of Yahoo!."

But Cramer said he doubts the market will resume recognizing the company's considerable strengths until its CEO steps down and clears the way for new leadership.

"Semel's greatness is in the past," Cramer said, likening the exec to Yankees manager Joe Torre, who is being lambasted in some quarters for failing to have won a World Series in an unthinkable six years. Cramer said Semel's departure could push the stock to "28 smackers" from a recent $24.

Cramer also said he would be a seller of the online brokers, which have been hammered on news of a Bank of America ( BAC) push to offer free online trading. As a result of the push, Ameritrade ( AMTD), E*Trade ( ET) and Schwab ( SCHW) were off sharply.

Fans of the online brokers counsel investors that they'll come back, but Cramer says it's time to sell once the panic ends. He said other big free-trading offers, such as one seven years ago at American Express ( AXP), "failed because there wasn't a concerted push." This time, he said, Bank of America is eager to get a hold of depositors' assets and will keep dangling the free-trading carrot.
At the time of publication, Cramer was long Yahoo!.

Jim Cramer is a director and co-founder of TheStreet.com. He contributes daily market commentary for TheStreet.com's sites and serves as an adviser to the company's CEO. Outside contributing columnists for TheStreet.com and RealMoney.com, including Cramer, may, from time to time, write about stocks in which they have a position. In such cases, appropriate disclosure is made. To see his personal portfolio and find out what trades Cramer will make before he makes them, sign up for Action Alerts PLUS. Listen to Cramer's RealMoney Radio show on your computer; just click here. Watch Cramer on "Mad Money" at 6 p.m. ET weeknights on CNBC. Click here to order Cramer's latest book, "Real Money: Sane Investing in an Insane World," click here to get his second book, "You Got Screwed!" and click here to order Cramer's autobiography, "Confessions of a Street Addict." While he cannot provide personalized investment advice or recommendations, he invites you to send comments on his column by clicking here.

TheStreet.com has a revenue-sharing relationship with Traders' Library under which it receives a portion of the revenue from Traders' Library purchases by customers directed there from TheStreet.com.

If you liked this article you might like

Qualcomm Nets Wireless Licenses in India

Qualcomm Nets Wireless Licenses in India

SEC Probes Other Deals: Report

SEC Probes Other Deals: Report

Cramer's 'Mad Money' Follow-Up: April 15

Cramer's 'Mad Money' Follow-Up: April 15

Cramer's 'Mad Money' Follow-Up: April 14

Cramer's 'Mad Money' Follow-Up: April 14

Cramer's 'Mad Money' Follow-Up: March 25

Cramer's 'Mad Money' Follow-Up: March 25