'RealMoney' Radio Recap: Caught on Tape

"Stocks are not expensive versus their long-term prospects," said Jim Cramer on his "RealMoney" radio show Thursday, so don't be a tape-fighter.

A tape-fighter doesn't believe in this rally, and likely points to rising interest rates, a cooling housing market, an ever-increasing national debt and the war in Iraq as reasons why the market should be going down.

But Cramer sees it another way. He sees a bank stock like Citigroup (C Quote), which is no higher than it was six years ago, he said, or Wells Fargo (WFC Quote), which is up just $8 during that time.

Has Citigroup created no value in the past six years? Cramer asked. How can Wells Fargo be up just $8 after having gone from a good regional bank to a "national powerhouse"? he asked. "Ridiculous," said Cramer.

Among tech stocks, Cramer said Intel (INTC Quote) is just one-third the price it was six years ago. The stock sells at 19 times earnings and is growing at 19% a year, he said. Cramer is willing to pay up to twice the growth rate for a stock.

Microsoft (MSFT Quote) is still 15 points away from almost getting back to where it was six years ago, he said. Microsoft still dominates the software market and sells at just 20 times earnings, according to Cramer.

Of Google (GOOG Quote), Cramer said the company was mispriced to begin with and it can still go to $450.

"This market is cheap vs. where it was the last six years."

Karmazin Can

Commenting on Wednesday night's "Mad Money" interview with Sirius Satellite Radio (SIRI Quote) CEO Mel Karmazin, Cramer said it is foolish to bet against Karmazin. There is a "great man" theory of investing, he said, and Karmazin is someone you want to bet with, not against. (Sirius was voted on by TheStreet.com readers as Cramer's weekly stock to discuss. To vote on a stock for Cramer to pick apart next week, vote in our poll at the end of this story.)