CNBC’s Jim Cramer, on his “Mad Money” TV show, spoke highly of VeriFone, a company that makes point-of-sale electronic payment devices – the credit- and debit-card-swiping machines found at checkout counters that people use to make purchases. He described it as an example of an opportunity for investors continuing to profit from holiday sales, even after other holiday oriented shares complete their run-up.
Source: Haaretz Online
VeriFone has risen 2.4% over the past four days, following a two month run-up of about 33% that began with its purchase of Israeli firm Lipman Electronic Engineering.
Cramer explained that VeriFone is “by far the market leader in this game,” with a hold on 34% of worldwide POS sales.
In addition, the company has a big upgrade cycle coming in the U.S., and the terminals will need to be replaced. Cramer noted that VeriFone’s customers make most of their money during the
holidays, and they should be willing to shell out money to upgrade their machines now.
“The bottom line is that the stock is cheap and should be bought”, he said.