Tim Hortons' new valuation is now the same as Starbucks (SBUX - Get Report) , which has 7% consistent growth. Cramer says Starbucks is doing better in Canada that Tim Hortons. He adds this is starting to become a situation where investors think they are supposed to love this deal because Warren Buffett is involved. But Cramer says Buffett is taking a coupon and getting a good yield.
Cramer thinks Tim Hortons has gone up enough. He says Burger King makes "bad food" and Tim Hortons makes doughnuts. "These have not been exactly where you want to be on a secular trend," Cramer says. He points out that in the end, these are restaurants and the restaurants aren't doing all that well.