Sony (SNE) - Get Report reported earning Friday morning, sending the stock racing higher by nearly 20%. So should investors buy it? Not necessarily, when you can buy Facebook (FB) - Get Report instead, according to TheStreet's Jim Cramer, co-manager of the Action Alerts PLUS portfolio.
Facebook's virtual reality company, Oculus VR, will have the hottest product in 2017 and will be a hit in the gaming community, Cramer said. Plus, it's not as if Facebook didn't just report a great earnings result of its own.
Moving to semiconductors, Cramer called Nvidia (NVDA) - Get Report one of his favorite semi stocks. Why? Because it isn't as levered to Apple (AAPL) - Get Report as many of its peers are. Although Apple is an enormous company, smartphone sales growth is slowing, and that will likely be the case for a while.
Once Apple introduces a new iPhone, sales could reaccelerate though, Cramer said. If the rumors about Apple are true regarding wireless charging, investors may also want to check out Integrated Device Technology (IDTI) - Get Report , he added.
Shifting gears, Cramer turned his attention to Yahoo! (YHOO) , saying investors can stay long in the stock even though it trades based completely on how shares of Alibaba (BABA) - Get Report are trading. Alibaba reported pretty good earnings results recently, but no one wants to own Chinese companies right now, he said.
Still, the core Yahoo! business is trading with a valuation close to zero, which isn't right, he said. That's why investors can stay long.
Cramer also said he likes shares of Intercontinental Exchange (ICE) - Get Report and PayPal (PYPL) - Get Report . He sees PayPal going "much higher." Visa (V) - Get Report and MasterCard (MA) - Get Report also reported strong earnings, he added.
Finally, Cramer took a look at Phillips 66 (PSX) - Get Report . "I don't like anything connected with fossil fuels," he said, explaining that even though oil prices have bounced from the lows, they are still too low for most American producers to be making any money.
At the time of publication, Cramer's Action Alerts PLUS had a long position in FB, AAPL, PYPL and TWTR.