Apple, Google Can Right the Ship

The importance of Apple (AAPL - commentary - Trade Now) and Google (GOOG - commentary - Trade Now) continues to be lost on the people I speak with about this market. These are "owned" stocks by retail. Wherever I go, I speak to people who own a couple of shares of one or the other. They are big among the account bases of many midsize investors who like to own stocks. They are visible, and they are exciting.

I point this out because I think when they are running, as they do, it is a wake-up call that there is money being made in this market.

The interesting focus here is that usually retail has a wrong-headed focus, centered on low-dollar amount stocks -- such as Oilsands Quest (BQI - commentary - Trade Now) or 8x8 (EGHT - commentary - Trade Now) or DryShips (DRYS - commentary - Trade Now) or Delta Petroleum (DPTR - commentary - Trade Now) or MDRNA (MRNA - commentary - Trade Now) or DepoMed (DEPO - commentary - Trade Now)or Paramount Gold and Silver (PZG - commentary - Trade Now) or Cell Therapeutics (CTIC - commentary - Trade Now) -- of the lowest quality. Or they are endlessly focused on Citigroup (C - commentary - Trade Now) and Bank of America (BAC - commentary - Trade Now), two that I think make sense to look at but are, frankly, very tough to get a handle on. We don't know who is going to run Bank of America, but I think the opportunities are large and I own it for Action Alerts PLUS. Citigroup? Here's one I think could surprise, but the numbers I am using, $12 target by 2012, will probably make people impatient.

But there is nothing impatient about Google and Apple's run to higher prices, notably the $600 and $264 respective targets I am using. Google's figured out a way to monetize YouTube, has advertisements coming out of its ears and the biggest enemy may be the government. Apple's numbers, I believe, are way too low, and a phone like the iPhone could be sold through for years as it goes from 3% share to who knows what. Could it be the next iPod? Given the applications and the worldwide appeal, it wouldn't shock me. I would buy the stock aggressively right here.

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At the time of publication, Cramer was long Bank of America.

Jim Cramer is co-founder and chairman 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. Watch Cramer on "Mad Money" weeknights on CNBC. To order Cramer's newest book -- "Jim Cramer's Stay Mad for Life: Get Rich, Stay Rich (Make Your Kids Even Richer)," click here. Click here to order "Mad Money: Watch TV, Get Rich," click here to order "Real Money: Sane Investing in an Insane World," click here to get "You Got Screwed!" and click here for Cramer's autobiography, "Confessions of a Street Addict." While he cannot provide personalized investment advice or recommendations, he appreciates your feedback and invites you to send comments by clicking here.

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