Cramer said Tibco continues to do well and is at the top of its game.
Know Your IPO
In the "Know Your IPO" segment, Cramer said the initial public offering drought may be coming to an end after the disaster that was Facebook (FB). The IPOs of travel website Kayak and network security purveyor Palo Alto Networks go public next week.
Cramer said the underwriter in both deals is the beleaguered Morgan Stanley (MS), a firm that has no choice but to price these IPOs low enough to ensure a first day spike in price. Morgan Stanley can't afford another miss.
Kayak is a beloved travel website that offers the usual array of deals on airfare and hotels, but has an ad-supported model. Revenue at the company are up 30% year-over-year. Kayak plans to offer 3.5 million shares between $22 and $25 a share. That puts its valuation between 20 and 23 times earnings, inline with its peers.Palo Alto Networks is a next-generation network security company that plans to come public between $34 and $37 a share, placing its valuation at five times sales. In both cases, Cramer recommended investors get in on the IPO deal itself and sell those shares on the initial pop. "This is not a tech-friendly environment," Cramer reminded viewers, which is why flipping the shares on the first day of trading is the only move that makes sense.