But Sony doesn't necessarily need to break itself up for the stock to go up, Cramer said. All that needs to happen is for the Street to recognize that if it did, the stock would be worth even more.
After calculating and computing, Cramer came up with multiples for Sony's gaming, financial, film and electronics businesses. Once Cramer had a value for each division, he determined the stock's breakup value to be $61 to $72. Moreover, the catalyst to get into this stock now is that it reports on Jan. 30, he said. Cramer recommended Sony to market players looking for a value play in the consumer-electronics sector. In addition, he said that Sony should come under increasing pressure to break itself up, which would be "icing on the cake."
Blockbuster Satisfaction
A second option for a loser company is Blockbuster (BBI Quote), Cramer told viewers. He believes that this stock is still a buy, even though it is up significantly from when he recommended it in November. Netflix (NFLX Quote) was previously crushing it, but Blockbuster's CEO John Antioco struck back with an online business, Cramer said. In addition, now Blockbuster customers have the luxury of dropping off their online-rented DVDs at the store, which has given this stock a "big leg up," he said.- Loading Comments...
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