NEW YORK (TheStreet) -- On Thursday, Jim Cramer's charitable Action Alerts PLUS portfolio announced that it would buy 200 more shares of Starwood Hotels (HOT) and sell 500 shares of General Motors (GM) stock. Jim Cramer, portfolio manager at Action Alerts PLUS, spoke with Brittany Umar on the reasoning behind the latest move.
Despite the rumors of a General Motors merger with Fiat Chrysler (FCAU), Cramer is not impressed with the how General Motors stock is doing. Cramer said that one of the ways to measure a CEO's performance is to watch the stock performance. Despite Mary Barra's opinion that the company is doing well, Cramer disagreed, saying that GM's stock "ain't doin' jack."
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Cramer predicted that Adam Aron, the temporary CEO at Starwood Hotels, will do something major with the hotel company even though Aron's position isn't permanent. Adam Aron is one of the big reasons why Cramer wants to own Starwood Hotels.
Cramer thinks that shares of Starwood could rise 10 points from where Action Alerts PLUS bought it, as the Stamford, Conn.-based hotel company attempts to become the next Marriott (MAR), which has done extraordinary things and created wealth too.
Cramer assured viewers that he and his analysts at Action Alerts PLUS are not against seeing one of their stocks go down, because the drop in price provides the opportunity to buy more of the stock and increase the stock position at a cheaper price.