Forget iPod, Apple desperately needs UPOD: Cramer

(Click for video linked to a searchable transcript of this Mad Money segment)

If Apple shares are to ever recapture former highs, Cramer says it needs this first and foremost.

"They need to rein in expectations – they need to under promise and over deliver or UPOD," explained the Mad Money host.

That's an actionable strategy Cramer first learned years ago from a major CEO and now worries is a foreign concept to Apple chief Tim Cook, who seems to have missed class the day they taught this.

"It's almost as if Cook never went to growth stock management school, or he somehow disdains it or that's he's above it. Cook acts as if it doesn't matter, what he promises or delivers."

In fact, Cramer says what Cook practices effectively the opposite of UPOD – that's OPUD - over promising and under-delivering..

"What did Tim Cook do last fall when he didn't have anything that pleased the critics? He said basically "you ain't seen nothing yet." He told people that 2013 would be filled with OMG products," Cramer said with frustration.

It appears Cook's idea of 'Oh My God' is rather underwhelming.

Getty Images

Tim Cook speaks at WWDC 2013 in San Francisco.

"Multi-colors? Is that what OMG is," exclaimed Cramer referring to Apple's introduction of new iPhones in yellow, red, green and other colors. "Touch screen ID's? Yeah, that's what I've been waiting for," added Cramer with sarcasm, referring to technology that allows new iPhones to recognize fingerprints.

Also, there hasn't been word of a deal in China; something also widely expected by the Street. "By not reining in those rumors you aren't practicing UPOD."

"If you look at so many of the fabulous growth stocks that hit new highs on Wednesday, like Netflix, Chipotle, Under Armour and Starbucks, you find companies with chief executives who know the game. They never let expectations get ahead of the reality. They don't make promises that they can't deliver on."

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"And while all of the execs who run these terrific firms would tell you they disdain focusing on the stock rather than just the business, they also know who owns the company, the shareholders, and they want to please them," Cramer added.

Until Cook gets the concept of UPOD, Cramer is skeptical that Apple can rally in any significant way. Their current practice of OPUD is no good; "when you practice that, shares simply get eviscerated!"

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