For his "Executive Decision" segment of the popular Mad Money program on CNBC Thursday night, Jim Cramer sat down with Joey Levin, CEO of IAC/InterActiveCorp (IAC) . IAC is an online services conglomerate that owns 81% of Match Group (MTCH) and 84% of Angie Homeservices (ANGI) . Cramer said the value of these two investments alone is $19.7 billion, but IAC has a market cap of less than $18 billion.
Levin concurred with Cramer's assessment of their valuation, adding that IAC has plenty of other online properties in their portfolio, plus $1.7 billion in cash. He said the goal for all of their properties is to one day be publicly traded like Match and Angie, but there's no specific timeline to do so.
The share price of IAC has more than doubled since Cramer first got behind the stock in 2017, but let's see what the charts and indicators look like this morning.
In this daily bar chart of IAC, below, we can see that prices have been making higher lows and higher highs the past 12 months. IAC is within striking distance of a new high and is trading above the rising 50-day moving average line and the bullish 200-day moving average line.
The daily On-Balance-Volume (OBV) line has been rising the past year and tells me that buyers of IAC have been more aggressive for months.
The Moving Average Convergence Divergence (MACD) oscillator crossed the zero line in early January for an outright go long signal but it has narrowed to a likely crossover and take profits sell signal.
In this weekly bar chart of IAC, below, we can see an impressive rally the past three years - no wonder Cramer likes the stock.
IAC is above the rising 40-week moving average line and dips or tests of the line over the past three years have been buying opportunities.
The weekly OBV line shows a drift lower from late 2017 but it has been improving the past three months.
The weekly MACD oscillator has crossed to the upside from above the zero line for a fresh outright buy signal.
In this Point and Figure chart of IAC, below, we can see a potential intermediate-term price projection of $246.
Bottom line strategy: IAC is close to making a new high for the move up but crossing the "goal line" could take a few days or even a few weeks. Risk a close below $200 and stay patient. The upper $240's is our next price target.