Jim Cramer's Stop Trading! Ride Wells Fargo

This morning's Wells Fargo (WFC Quote) quarter was a "thing of beauty," James Cramer said Tuesday on CNBC's "Stop Trading!" segment.

Cramer said Tuesday's bank earnings brought out the good, the bad and the ugly for investors. The good was Wells Fargo, which Cramer said is showing consistent, internal growth, rather than the hyped-up acquisition-driven growth that the likes of Bank of America (BAC Quote) have been leaning on.

The bad was Commerce Bank (CBH Quote), which fell 9% in heavy trading after the bank said regulators are looking at certain transactions involving officers. Still, Cramer said he believes that the probe isn't likely to be material and that investors willing to make a bet on the Fed cutting interest rates will find a "the best run bank in North America" selling at two times book value. The stock, he added, is "becoming cheap," given the right rate situation.

The ugly is IndyMac (NDE Quote), which Cramer would sell despite Tuesday's 7% decline. He said the bank shares the woes of two troubled sectors: the homebuilders and the subprime lenders. That quality means the stock is "everything bad rolled into one," Cramer said.

Cramer said he believes that Bank of America should shy away from making further acquisitions but that he could see the company buying National City (NCC Quote) or Comerica (CMA Quote).

Cramer, citing a call by CGM Funds manager Ken Heebner, also likes commercial real estate plays SL Green (SLG Quote) and CB Richard Ellis (CBG Quote). "Heebner owns this segment," Cramer said. "No one is better than Heebner."