The company boosted its quarterly dividend by 9.4% to 46.5 cents per share, higher than the 44 cents per share some were expecting, TheStreet's Jim Cramer explained on CNBC's "Stop Trading" segment. Additionally, the company said it would implement a $1.25 billion buyback program, effective immediately.
Stocks are starting to trade like they did in the old days, reminding Cramer of how they traded back in the 1980s he said, adding that he likes the price action.
"This market likes simple things," he reasoned, "simple things like a buyback and a dividend boost."
Twenty-First Century Fox (FOX) - Get Fox Corporation Class B Report (FOXA) - Get Fox Corporation Class A Report is another great example. While Disney (DIS) - Get Walt Disney Company Report is acquiring a bulk of the company's assets in a blockbuster deal worth more than $52 billion, investors continue to bid shares of Fox higher. Given the company can generate such strong cash flow, there's no reason a big buyback and gigantic dividend boost couldn't come next, Cramer explained.
- Exclusive Video: Jim Cramer Reveals Why You Can't Dump Waste Management in 2018
- 4 Things We Just Learned About Disney's Streaming Plans After the Fox Deal
- Rupert Murdoch: Fox Isn't Going Away Following Sale of Assets to Disney
This is what investors want right now, said Cramer, who also manages the Action Alerts PLUS charitable trust portfolio. It's a more positive market, he concluded.
More of What's Trending on TheStreet:
- Alibaba's Stock Has Oddly Pulled Back 11% -- Buying Opportunity of Lifetime?
- U.S. Companies Can't Find Good Human Workers so Own These 14 Tech Stocks
- Apple's Colossal Stock Rally Is Just Beginning
- 6 Top Bitcoin Predictions For 2018
At the time of publication, Cramer's Action Alerts PLUS had a position in WM.