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RealMoney Radio Mailbag: Don't Chase Cognizant Here

TheStreet.com Staff

Editor's note: The following are questions received from listeners of "RealMoney Radio." To send Cramer a question about topics from his radio show, click here. Listen to Cramer's latest radio show by clicking here.

What do you think of Cognizant (CTSH Quote)?

-- Joel

Jim Cramer: I believe Cognizant is a phenomenal company, but the stock is phenomenally expensive as well. Cognizant is growing faster than 99% of companies out there, even in tech, and has been one of the best outsourcing stocks over the past couple of years. However, given the valuation, I don't see any reason to chase it here. On a pullback below $70, I believe, it is a clear buy.

Want more Cramer? Check out Jim's rules and commandments for investing from his latest book by clicking here.