Jim Cramer says the market's positive reaction to Jeff Immelt stepping down as CEO is a good sign for GE's stock. - From CNBC
Cramer recalled what famed NFL head coach Bill Parcells, also known as The Big Tuna, used to say: "You are what your record says you are." In GE's case, Immelt's record showed he was unfit to remain at the helm, Cramer said.
Cramer acknowledged that some may consider it unfair to judge Immelt after he inherited GE from its legendary former CEO Jack Welch, who boosted the company's value by 4,000 percent during his time there.
"First, I could argue that Welch is mortal, and it's not like there was no way for anyone to overtake the man's record.
But that Apple CEO Tim Cook drove shares of Apple from $53 to $145 in six years after his iconic predecessor, Steve Jobs, passed away, which to Cramer meant that it can be done.
"We have been telling people, as part of our ActionAlertsPlus.com club, that it's worth holding on to for any change, and now that we're getting one, it makes no sense to sell," Cramer said, referencing his charitable trust.