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[video] Jim Cramer Quick Take: Sell MasterCard; Buy Home Depot, Discovery Communications

Stocks in this article: MAVHDDISCASNI

NEW YORK (TheStreet) -- TheStreet's Jim Cramer has a few stock picks based on the headlines.

MasterCard (MA) announced late Tuesday it would do a 10:1 split, raise its dividend by 83% and initiate a $3.5 billion buyback plan after the current buyback expire. According to Cramer, the only two events that matter are the dividend and the buyback. 

He said Visa (V) is now cheaper than MA, and suggested investors sell MA right before the split and use the proceeds to buy V. 

Turning to Home Depot (HD), Cramer questioned what else shareholders could want from the stock. Management has done everything right and the company will hit 2015's estimates in 2014, helped along by strong housing prices. Cramer called the stock a buy on weakness. 

Finally, he said the deal between Discovery Communications (DISCA) and Scripps Networks Interactive (SNI) looks unlikely to get done for the time being, as per CNBC's David Faber. 

However, Cramer said SNI is undervalued and he likes both names. He suggested investors stay long SNI and DISCA. 

-- Written by Bret Kenwell in Petoskey, Mich.

Bret Kenwell currently writes, blogs and also contributes to Robert Weinstein's Weekly Options Newsletter. Focuses on short-to-intermediate-term trading opportunities that can be exposed via options. He prefers to use debit trades on momentum setups and credit trades on support/resistance setups. He also focuses on building long-term wealth by searching for consistent, quality dividend paying companies and long-term growth companies. He considers himself the surfer, not the wave, in relation to the market and himself. He has no allegiance to either the bull side or the bear side.

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