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Jim Cramer's Stop Trading! Buy Polo

TheStreet.com Staff

Polo Ralph Lauren (RL) is headed higher, Jim Cramer said Thursday on CNBC's "Stop Trading!" segment.

Cramer said Polo is "stealing margin" from the major department stores, based on its strong brand. He likened this change to the 1990s, when the pricing power shifted from the PC makers -- Dell (DELL) and Gateway (GTW) -- to the makers of PC innards -- Microsoft (MSFT) and Intel (INTC) -- because the key intellectual property was based on those two suppliers.

"This is a balance of power shift," Cramer said. "Analysts are starting to get it." He said Ralph Lauren could easily hit $120 from a recent $98.

Cramer said bullish comments from Ameritrade (AMTD) chief Joe Moglia could be "a godsend" in possibly foreshadowing the return of the individual investor to the market.

Cramer also urged investors to continue playing the bull markets in agriculture and minerals and aerospace, rather than look for the rare tech stock that works, which he likened to the "needle in the haystack." Cramer said Ciena (CIEN) and Apple (AAPL) are needles, whereas the Boeings (BA) and Deeres (DE) are the haystack.