Jim Cramer's Stop Trading! Buy Costco

Costco (COST Quote) is a buy for reasons beyond its real estate position, Jim Cramer said Tuesday on CNBC's Stop Trading! segment.

Cramer lauded a Piper Jaffray upgrade of the warehouse retailer that focuses on the company's ownership of most of its big-box stores. But while the call was "really good," Cramer adds that a better reason to buy Costco is CEO Jim Sinegal's unparalleled skill as a merchant.

Cramer also likes St. Jude (STJ Quote), saying the fundamentals have bottomed in the implantable cardiac device market and that "the bad news is in these stocks." Cramer said he would buy both call options and common shares in St. Jude, which he sees as the most natural takeover candidate in its peer group, which also includes Boston Scientific (BSX Quote) and Medtronic (MDT Quote). ...