Rocker rocks TheStreet
This thought came to mind after reading about the SEC subpoenaing journalists from Dow Jones as well as Cramer himself in connection with a complaint about negative stories written about Overstock.com.
According to SEC filings, with 4.97% of the stock, David Rocker was one of the largest shareholders of TheStreet.com at the end of 2005. While this puts him well behind co-founder Cramer -- who owns 9% -- Rocker is still a significant owner.
What I find interesting is that in the last six months, Cramer has been pounding the table for one of Rocker’s significant investments – Powerwave (PWAV) -- on his CNBC show and on TheStreet.com. According to SEC filings, with 5.04% Rocker was the largest shareholder of PWAV at the end of 2005 – a position he began building in 2004. Since September 2005, Cramer has sounded a bull horn for PWAV on at least 10 separate occasions, based on my analysis of articles posted on TheStreet.com’s web site. Since his first bullish mention on September 12, 2005, PWAV has appreciated 33%.
I’m curious whether Cramer’s bullishness on PWAV has anything to do with Rocker’s. Given his evident power to move stocks, I think Cramer’s viewers deserve a disclosure of this alignment of interests as they consider his trading advice.