RealMoney Radio: They Laughed at News Corp.

Cramer says that the company has created instant value with its Google/MySpace deal.
Author:
Publish date:

"The equivalent of Brad Pitt and Angelina Jolie hooking up has taken place online," Jim Cramer said on his

"RealMoney" radio show Tuesday.

Google

(GOOG) - Get Report

is going to be handling the searches and ad placements for

News Corp.'s

(NWS) - Get Report

MySpace.com.

Even though other search engines wanted in on this deal, Google secured it by guaranteeing News Corp. $900 million in ad revenue over the next four years, Cramer said.

News Corp. is one of those amazing stories of a company that took bold action, and it paid off, he said. Cramer added that he remembers when people thought it was a wrong move for News Corp. to buy the company.

MySpace is not the only game in town, he said.

Facebook

is a company that Cramer believes is worth $1 billion.

MySpace has the potential to be a game changer for News Corp., and Cramer believes that the company is worth buying right here, right now.

One thing investors tend to do is buy a brand name company when they see it coming down Cramer said. But people should never just buy a stock without doing their homework first.

An example of a stock where its brand name didn't necessarily work is

Bausch & Lomb

(BOL)

.

In March, the stock was doing well in the $70 range; it is now at $46, said Cramer. The problems started in April with the company's Moisture Loc contact lens solution, and now no analyst wants to get behind the company.

Even though it's low, Cramer warned that Bausch & Lomb is still too dangerous and advised people to stay away.

On a separate note, he said that

Alon USA Energy

(ALJ)

and

Valero Energy

(VLO) - Get Report

are two oil plays people should look into if they want to get revenge from the pump.

Both of these companies are making a ton of money, he said.

To see the most recent edition of The RealMoney Radio Recap in its entirety, please click here. This recap is published every day around 3 p.m. ET.

At the time of publication, Cramer was long News Corp.

Jim Cramer is a director and co-founder of TheStreet.com. He contributes daily market commentary for TheStreet.com's sites and serves as an adviser to the company's CEO. Outside contributing columnists for TheStreet.com and RealMoney.com, including Cramer, may, from time to time, write about stocks in which they have a position. In such cases, appropriate disclosure is made. To see his personal portfolio and find out what trades Cramer will make before he makes them, sign up for

Action Alerts PLUS. Listen to Cramer's RealMoney Radio show on your computer; just click

here. Watch Cramer on "Mad Money" at 6 p.m. ET weeknights on CNBC. Click

here to order Cramer's latest book, "Real Money: Sane Investing in an Insane World," click

here to get his second book, "You Got Screwed!" and click

here to order Cramer's autobiography, "Confessions of a Street Addict." While he cannot provide personalized investment advice or recommendations, he invites you to send comments on his column by

clicking here.

TheStreet.com has a revenue-sharing relationship with Traders' Library under which it receives a portion of the revenue from Traders' Library purchases by customers directed there from TheStreet.com.