Jim Cramer's Stop Trading: Buy Yelp for Earnings, Not Takeover Potential

NEW YORK (TheStreet) -- "No one, I think, is going to buy Yelp (YELP)," TheStreet's Jim Cramer, co-manager of the Action Alerts PLUS portfolio, said on CNBC's "Cramer's Stop Trading" segment. 

Not Yahoo! (YHOO), not Google (GOOGL), nobody. 

People who buy Yelp stock believe that it will be the Yellow Pages of the world. But right now, it's an earnings story, Cramer said, not a takeover story. 

Yelp CEO Jeremy Stoppelman wants to build a great company and take on the likes of GrubHub (GRUB) and OpenTable (OPEN), Cramer suggested. 

"Don't buy this stock for takeover, buy it because you believe in Stoppelman and the franchise," he said, before concluding that the stock is indeed a "buy."

-- Written by Bret Kenwell in Petoskey, Mich.

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At the time of publication, Cramer's Action Alerts PLUS held GOOGL.

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