Update: Jones Soda (JSDA) Gets Hammered After the Close; Cramer Says “Sell!!!”

Jones Soda (JSDA), a stock whose story I told a couple weeks ago, reported disappointing earnings after the close today (Thu 5/3).  The stock was down $4.20, 16.6%, in the after hours to around $21.  That’s down about $10.50, or 33%, from the $31.54 it closed at on Mon 4/16 when I told the story of its spectacular run – and its inevitable ending. 

Sales grew only 5% from last year’s 1st quarter and were down about $1 million, or 10%, sequentially.  Even at $21 the stock is still trading in rarefied air at about 13 times sales for the last 4 quarters. 

Apparently, Cramer turned bearish on the shares on Monday, giving them a thumbs down in the Lighting Round from his “Mad Money” show that day.  The shares took it on the chin on Tuesday – dropping $1.50 to $23.  They rallied Wednesday and Thursday but look to take a big whack tomorrow.

And, like I said, when Cramer says “SELL”, as he appears to be now, this stock should take a big hit as the Cramer-icans, who bid this stock up, sell like there’s no tomorrow. 

UPDATE (Fri 5/4, 11:00am PST): Jones Soda is down about 11% to $22.50, bouncing off its lows at the open around $20.  It could’ve been a lot worse.

Longbow downgraded the shares from “Buy” to “Neutral” today.  So the analysts, recently universally bullish, are starting to change their tune:

Longbow: Neutral – downgraded from “Buy”, Fri 5/4

Stifel Nicolaus: Hold – downgraded from “Buy” Mon 4/23

ThinkEquityPartners: Sell – downgraded from “Buy” Tue 4/17

Piper Jaffray: Buy – re-iterated Thu 4/5

So, this isn’t what I like to see for a stock I’m bearish on, because as the stock falls analysts can upgrade the stock and give it a boost.