The people who panicked on

Google

(GOOG) - Get Report

lost money. Don't let that be you next time, James Cramer said Friday on his

"RealMoney" radio show.

Cramer said that Thursday's postclose selloff following Google's

strong second-quarter earnings was "pure unadulterated panic on the part of uneducated investors." The stock plunged 8% after hours on Thursday before staging a steady rally back toward break-even on Friday.

"The people who panicked didn't make a dime," Cramer said.

Despite all the negativity, Cramer emphasized that Google beat forecasts. Cramer said that people got worked up because management was talking about "seasonality" -- a topic that seemed to scare investors into thinking it wouldn't be a rosy summer for the Internet search giant.

Cramer said management may have fumbled the call by trying to play the "underpromise and overdeliver" game. Or maybe Google just has a bad media relations department.

"The numbers matter," Cramer said. "They speak for themselves. You don't need management to explain it to you."

The press also blew it, Cramer said, adding that journalists did everything they could to scare people. Yet after listening to last night's conference call, Cramer is now thinking the stock can go north of $350. And if you can't stomach looking at a stock that trades over $300 a share, then just "divide it by ten," Cramer said, and consider that in terms of valuation, Google is still cheap compared to, say,

Yahoo!

(YHOO)

.

If Google earns $8 next year, as Cramer thinks it will, then the stock should soar past $400 -- just by trading at the same multiple as Yahoo!.

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And if you use Cramer's formula that you can pay up to twice a company's growth rate for a stock, then you will find that even $500 is not unreasonable for Google. Google has been growing at 33% a year, Cramer said, which means he would pay up to 66 times earnings. Do the math and you will see that 66 times $8 a share will give you a price of $528.

More Than Just Google

Cramer did address a few other issues before the lightning round. First and foremost, he reiterated his love for the oil services sector.

Cramer said that if you missed the rallies in

Halliburton

(HAL) - Get Report

and

Schlumberger

(SLB) - Get Report

, you can still buy into

Ensco

(ESV)

, which is now the cheapest stock in the group.

Global ePoint

( GEPT) jumped after Cramer mentioned the small-cap video surveillance stock on the radio show yesterday. That's why he suggested investors who made a gain ring the register.

A caller asked for a good entry point into

Genentech

( DNA) after seeing its big spike. Cramer said you might jump in on an 8% to 10% pullback. But a better way to play it is to dip your toe in now and leg into the stock by dollar cost averaging.

Toll Brothers

(TOL) - Get Report

is now the most expensive homebuilding stock, so you may want to ring the register on it. You may want to swap into

Motorola

( MOT), which has a big analyst meeting coming up.

Lightning Round

Bullish:

Texas Instruments

(TXN) - Get Report

,

Bristol-Myers

(BMY) - Get Report

,

Schering Plough

( SGP),

Valero

(VLO) - Get Report

,

Texas Industries

(TXI)

and

Caterpillar

(CAT) - Get Report

.

Bearish:

Fortune Brands

( FO),

Dendreon

(DNDN)

and

3M

(MMM) - Get Report

.

At the time of publication, Cramer was long Halliburton, Motorola and Yahoo!.

James J. 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

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