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Cramer's 'Mad Money' Recap: Bull Market, Better Economy

Cramer said Apple could easily prop up its shares with a stock buyback or a dividend boost or a transformative acquisition, but so far management hasn't hinted at any of those, leaving analysts to focus on increased competition and supply constraints. He said the stock has certainly overshot to the downside but may not yet be at its bottom.

Lightning Round

In the Lightning Round, Cramer was bullish on Research in Motion (RIMM), Salesforce.com (CRM), Realogy (RLGY) and Mattel (MAT).

Cramer was bearish on NetSuite (N), Allegheny Tech (ATI) and JC Penney (JCP).

Overcoming Low Expectations

In his second "Executive Decision" segment, Cramer spoke with Rick Hamada, CEO of Avnet (AVT), the tech component supplier that reported an 18-cent-a-share earnings beat today, sending its shares up 6.9%. Shares of Avnet are up 21% since Cramer last spoke with Hamada on Oct. 26.

Hamada explained that at the end of the third quarter customers were becoming increasingly cautious about their businesses, which is why Avnet set low expectations for the fourth quarter. But after deferring and delaying purchases in that third quarter, many orders came in during the fourth quarter, allowing Avnet to beat lowered expectations handily.

Hamada also credits Avnet's adjusting of expenses and reduction of inventory as drivers that allowed the company to have enough working capital to fund the growth seen in the fourth quarter. Avnet was also able to buy back a lot of company shares, he added, at around $28 a share.

When asked about the tech market overall, Hamada reiterated Avnet serves a broad industrial customer base and is now seeing strength in many areas. He said while the third quarter was weak, many companies adopted the "use it or lose it" mentality when it came to their IT budgets towards the end of the year.

Cramer remained bullish on Avnet.

No Huddle Offense

In his "No Huddle Offense" segment, Cramer opined that if Apple ever wants to get its mojo back, it needs to pay attention to the younger generation, which is now seeing the company as old and stale.

He said while Apple may not yet be in the same situation as Tiffany (TIF), Coach (COH) or Microsoft (MSFT), which have no relevance to the younger demographic, it is certainly not as cool as Twitter or Netflix (NFLX).

Apple needs to pay attention before it's too late, Cramer concluded.

To sign up for Jim Cramer's free Booyah! newsletter with all of his latest articles and videos please click here.

To watch replays of Cramer's video segments, visit the Mad Money page on CNBC.

-- Written by Scott Rutt in Washington, D.C.

To email Scott about this article, click here: Scott Rutt

Follow Scott on Twitter @ScottRutt or get updates on Facebook, ScottRuttDC

At the time of publication, Cramer's Action Alerts PLUS had a position in AAPL, BMY, SLB.

Jim Cramer, host of the CNBC television program "Mad Money," is a Markets Commentator for TheStreet.com, Inc., and CNBC, and a director and co-founder of TheStreet.com. All opinions expressed by Mr. Cramer on "Mad Money" are his own and do not reflect the opinions of TheStreet.com or its affiliates, or CNBC, NBC Universal or their parent company or affiliates. Mr. Cramer's opinions are based upon information he considers to be reliable, but neither TheStreet.com, nor CNBC, nor either of their affiliates and/or subsidiaries warrant its completeness or accuracy, and it should not be relied upon as such. Mr. Cramer's statements are based on his opinions at the time statements are made, and are subject to change without notice. No part of Mr. Cramer's compensation from CNBC or TheStreet.com is related to the specific opinions expressed by him on "Mad Money."

None of the information contained in "Mad Money" constitutes a recommendation by Mr. Cramer, TheStreet.com or CNBC that any particular security, portfolio of securities, transaction, or investment strategy is suitable for any specific person. You must make your own independent decisions regarding any security, portfolio of securities, transaction, or investment strategy mentioned on the program. Mr. Cramer's past results are not necessarily indicative of future performance. Neither Mr. Cramer, nor TheStreet.com, nor CNBC guarantees any specific outcome or profit, and you should be aware of the real risk of loss in following any strategy or investments discussed on the program. The strategy or investments discussed may fluctuate in price or value and you may get back less than you invested. Before acting on any information contained in the program, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.

Some of the stocks mentioned by Mr. Cramer on "Mad Money" are held in Mr. Cramer's Action Alerts PLUS Portfolio. When that is the case, appropriate disclosure is made on the program and in the "Mad Money" recap available on TheStreet.com. The Action Alerts PLUS Portfolio contains all of Mr. Cramer's personal investments in publicly-traded equity securities only, and does not include any mutual fund holdings or other institutionally managed assets, private equity investments, or his holdings in TheStreet.com, Inc. Since March 2005, the Action Alerts PLUS Portfolio has been held by a Trust, the realized profits from which have been pledged to charity. Mr. Cramer retains full investment discretion with respect to all securities contained in the Trust. Mr. Cramer is subject to certain trading restrictions, and must hold all securities in the Action Alerts PLUS Portfolio for at least one month, and is not permitted to buy or sell any security he has spoken about on television or on his radio program for five days following the broadcast.

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