Updated from 10:12 AM EDT.
NEW YORK (TheStreet) -- Shares of Medtronic (MDT) - Get Report are declining 1.44% to $82.06 on Monday afternoon after the company agreed to acquire HeartWare (HTWR) in a transaction valued at about $1.1 billion.
"It's just a home run for them," TheStreet's Jim Cramer said of Medtronic on CNBC's "Squawk on the Street" this morning.
The medical device maker will pay $58 per share in cash for HeartWare, which is a premium of 93.5% to HeartWare's Friday closing price of $29.98.
"It seems like a smart deal," Cramer added in the above video.
Cramer pointed out that Medtronic made a tax inversion deal earlier this year to acquire Covidien (COV).
"It was a huge deal. Fabulous for them," Cramer said about the Covidien deal.
"Medtronic has used the inversion to build a powerhouse that is almost unassailable," he noted.
Medtronic did "quite well," Cramer added, "They were very smart and they figured it out ahead of others."
Shares of HeartWare are surging 92.16% to $57.61 on heavy trading volume Monday afternoon. Roughly 8.24 million of the company's shares were traded so far today, compared to its average volume of 240,119 shares per day.
Separately, TheStreet Ratings Team has a "Buy" rating with a score of A- on the stock.
The company's strengths can be seen in multiple areas, such as its compelling growth in net income, revenue growth, largely solid financial position with reasonable debt levels by most measures, solid stock price performance and reasonable valuation levels.
The team believes its strengths outweigh the fact that the company shows weak operating cash flow.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: MDT