Jim Cramer again blasts Mellanox

"I sell a stock when the CFO unexpectedly announces his decision to leave for personal reasons."

Market commentator Jim Cramer continued his blitz on Mellanox Technologies Ltd. (Nasdaq:MLNX; TASE:MLNX) in his "Mad Money" program on CNBC at the weekend. Cramer recommended selling three stocks: Allscripts Healthcare Systems (MDRX), Herbalife (HLF) and Mellanox. On Mellanox he said, "I don't like owning stocks where the CFO leaves. The chief financial officer is the key man or woman, the one who handles the books."

Cramer was referring to the resignation of Mellanox CFO Michael Gray in September. "Although the resignation isn't necessarily a sign of trouble, why take chances? If you're putting money to work put it elsewhere. As a matter of discipline, I sell a stock when the CFO unexpectedly announces his decision to leave for personal reasons," Cramer said.

In less than four months, Mellanox's share price has halved, from a peak of $120 in early September, to a current price of just over $60.

On the Tel Aviv Stock Exchange this morning, Mellanox is down 0.65%, at NIS 230.40.

Published by Globes [online], Israel business news - www.globes-online.com - on December 23, 2012

© Copyright of Globes Publisher Itonut (1983) Ltd. 2012

5 Comments
View comments in rows
Update by email about comments talkback
POST
Comments
Your name
Please insert your name
Content
Hyperlink in a new window Hyperlink Right Left underline italic bold Bulleted List Ordered List Face1 Face2 Face3 Face4 Face5 Face6
Your comment

Thanks
You comment was recieved and soon will be published.
In posting comments, I agree to abide by the Terms of Use
Globes encourages lively and frank debate, but posts that the editors consider merely abusive or otherwise inappropriate will be removed. Report inappropriate content
Thank you for posting your comment, which will be reviewed for publication.
Loading Comments...load
Load more comments
MORE FROM GLOBES
Twitter Facebook Linkedin RSS Newsletters גלובס