These days Jim Cramer sees that companies can be divided into two groups. Those who are actually doing something to help shareholders and imposters who think they are doing to something to help—but really aren't. Especially a CEO like John Stumpf of Wells Fargo, a stock that Cramer considers to be the best financial in the world.
"In a trendless market with the bias to the downside like we have now, if managements adopt a laissez-faire attitude to their companies' stock prices, they often don't go anywhere at best, and then get swept away with the tide at worst and end up lower. Sometimes dramatically so," the "Mad Money" host said.
First, there is CEO Mary Barra at General Motors. And while Cramer thinks that Barra believes she is doing everything she can to create value for shareholders, he doesn't agree. That so-called huge buyback hasn't done anything.
Then the idea of a possible combination with Fiat Chrysler came along, a company that is all about creating shareholder value, and she told them GM has scale and they don't need a merger.
"I say what the heck? Fiat Chrysler ought to go buy GM! I know, facetious, but Marchionne seems uniquely driven to get his stock higher while Barra seems awfully satisfied with her poorly performing stock. I think she should be considering anything that's logical, including this merger approach," the "Mad Money" host added. (Tweet This)
Thus, the path to do what is right for investors is both easy and accessible. If money isn't flowing into a stock, that is a red flag that it will flow toward a management team who gets it.
"It's not rocket science, it's just common sense. But that sure seems to elude the obtuse or smug CEOs who think they are given her all she's got when in reality they aren't doing squat," Cramer said.