Google Still Shines in Comparison

To me, in the end the contrast isn't Google (GOOG - commentary - Cramer's Take) vs. Yahoo! (YHOO - commentary - Cramer's Take), where Yahoo! is actually down more than Google. The contrast is Goodyear (GT - commentary - Cramer's Take) vs. Google. You can own Goodyear, where your upside is capped by everything from raw costs to competition to the GDP, vs. Google, where you are capped by very little, frankly, other than valuation.

Now, here's the punch line: Google has fallen 10%, Goodyear went down 17%. In other words, the risk to owning a Google -- which I know many people believe is astronomical -- may not be nearly as great as owning a big, dumb cyclical. Now it is true that Google at one point was down 20%, but that was just pure after-market panic, coupled with a lack of liquidity.

I point out this contrast because I believe that, once again, you have to understand that if you are Harry Lange, who is doing a great job at Fidelity Magellan fund, you are sitting there and thinking, "You know what, this Google ain't so bad, and the risk is lower than I thought because it isn't down as much as if I owned a dirty stock that could blow, so let's buy more!"

Which is why Google's not going down more.

Random musings: If you want to know something that is unnerving, consider the rise in Chipotle (CMG - commentary - Cramer's Take). That seems just plain wrong to me up here. There are some seasoned players that are better. ... BlackRock (BLK - commentary - Cramer's Take) -- correct me if I am wrong, but didn't this go up on a suggestion that there would be a takeover that just turned out to be Wrong!? ... Timken (TKR - commentary - Cramer's Take) is now down 16%, on another dumb and dirty disappointment, so what really is the price of perfection?

Please note that due to factors including low market capitalization and/or insufficient public float, we consider Chipotle Mexican Grill to be a small-cap stock. You should be aware that such stocks are subject to more risk than stocks of larger companies, including greater volatility, lower liquidity and less publicly available information, and that postings such as this one can have an effect on their stock prices.

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At the time of publication, Cramer was long Yahoo!.

Jim Cramer is a director and co-founder of TheStreet.com. He contributes daily market commentary for TheStreet.com's sites and serves as an adviser to the company's CEO. Outside contributing columnists for TheStreet.com and RealMoney.com, including Cramer, may, from time to time, write about stocks in which they have a position. In such cases, appropriate disclosure is made. To see his personal portfolio and find out what trades Cramer will make before he makes them, sign up for Action Alerts PLUS. Listen to Cramer's RealMoney Radio show on your computer; just click here. Watch Cramer on "Mad Money" at 6 p.m. ET weeknights on CNBC. Click here to order Cramer's latest book, "Real Money: Sane Investing in an Insane World," click here to get his second book, "You Got Screwed!" and click here to order Cramer's autobiography, "Confessions of a Street Addict." While he cannot provide personalized investment advice or recommendations, he invites you to send comments on his column by clicking here.

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