So while GE is getting back to its roots as a great industrial company, Stanley is leaving its mainstay as a first-rate tool maker to become an ailing security company. Cramer said GE could see shares hit $30 a share, while Stanley shares will likely do nothing until that company can split itself up or turn itself around.
In the Lightning Round, Cramer was bullish on BioMarin (BMRN), ViaSat (VSAT), Starwood Property Trust (STWD), Kodiak Oil & Gas (KOG), Union Pacific (UNP), ChannelAdvisor (ECOM) and Salesforce.com (CRM).
Scaling the Tower
The wireless tower business is transforming into a happy oligopoly, Cramer told viewers, and that should be music to investors' ears.Cramer said today's announcement that Crown Castle (CCI - Get Report), our country's largest cell tower operator, is buying 600 towers from AT&T (T) is just another in a wave of consolidation that is making tower companies hot commodities. Just a few months ago, American Tower (AMT), the number two player, announced that it was buying the number five player, in what will certainly be a continuing trend, said Cramer. While Crown Castle's shares got dinged by 1.7% on today's announcement, Cramer told viewers these are high-quality assets, ones that will be paying off for shareholders for years to come. In addition to the consolidation, Cramer said that Crown Castle is also following in American Tower's footsteps and converting itself into a REIT, meaning even more rewards for shareholders. But more important are the commitments by all four of America's wireless carriers to invest substantially in 4G and LTE services over the next few years. This huge pickup in spending will only mean additional revenue for the tower operators, Cramer said. Crown Castle may trade at 49 times earnings, Cramer concluded, but with a 45% growth rate, shares remain inexpensive.