Cramer's 'Mad Money' Recap: Think Big in Tech

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"The oils and staples are out, and tech is in," Jim Cramer told viewers of his "Mad Money" TV show Thursday. The only big risk, he warned, is in not buying the big tech names.

"Right now, I see a bull market in tech," and it's not going to stop going up, Cramer said. People have been selling the oil stocks and are starting to sell consumer staples. "When you move your money out of a sector, it has to go somewhere else."

Cramer noted that if you want to make money, you have to buy the obvious, not the obscure, adding that "you should be able to get in now and not miss much." The fourth quarter is nirvana for technology, Cramer said, pointing out that tech stocks have consistently outperformed all other stocks. On average, over the last five years, the Goldman Sachs Technology Index has been up 17.3% in the fourth quarter, compared to the S&P 500's 8% move, he said.

Cramer said that the big names you should be buying now are Motorola(MOT Quote), Oracle(ORCL Quote), Microsoft(MSFT Quote), Cisco(CSCO Quote), Google(GOOG Quote), Adobe Systems(ADBE Quote), Qualcomm(QCOM Quote) and Apple(AAPL Quote). "These are the tech stocks that should make you money."

Cisco is in a great position fundamentally, Cramer said. Meanwhile, Apple is having a monster back-to-school season. "Now their machines are much better than Microsoft's. They've become more than an iPod store, and they're taking more market share," he said.

Cramer said that Adobe has new software updates set to debut that should launch the stock, while Microsoft is expected to launch the Vista operating system to business users next month and then to home users in January.

Motorola is not complicated, said Cramer. "They have market share gains and have a lot of room to expand [their] margin," he said. Qualcomm is another name to get into because they make the guts of these cell phones. In addition, the stock "had been totaled from a lawsuit," but since that case was thrown out, there's still 7 points of upside left for the stock to make up, he said.

Cramer again reiterated that Google is a $420 stock that can go to $500, adding that the Internet company has locked up a key demographic with its purchase of YouTube.com. Meanwhile, Cramer said that Oracle just broke through a 52-week high and is still cheap.

Tech stocks generally have great fourth quarters, Cramer said. "We're following the money into tech. It's a gift. I need you to be pulling the trigger."

In response to a caller, Cramer said that Advanced Micro Devices(AMD Quote) realized that video games are the growth part of the industry. The combination with ATI Technologies(ATYT Quote), which AMD announced it will be purchasing for $5.4 billion, will have big returns.