Jim Cramer ranked his top telecom-equipment makers on TheStreet.com TV's Wall St. Confidential Web video Monday.
is No. 1 because it has some earnings," he told Gregg Greenberg, the host of Wall St. Confidential. The stock, which got an upgrade today, "is at the sweet spot of this."
was the No. 2 pick because of its "rock-bottom valuation." Cramer said then he would focus on
. If JDSU does execute well, Cramer said he believes the stock could see 4 points to the upside, and only 1 point to the downside in case it doesn't execute.
was Cramer's fourth pick because he believes it can't be taken over.
Before he saw the numbers for
, which reported Monday, Cramer said he had considered Ciena a takeover name.
However, now that Verizon is leading with the notion that its capital expenditure is "bigger," he believes "Ciena is at the cusp of this major spending cycle," as are JDSU, Alcatel-Lucent and Tellabs.
The last two, he said, are "really important" because they completely missed earnings and are still going higher.
On the other hand, even though
could go higher because of a short squeeze, this "principal taker of Verizon is falling apart," Cramer emphasized. Also, he said he believes
is a "disaster."
"Forget Nortel," Cramer said. "I would rather own
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. Watch Cramer on "Mad Money" weeknights on CNBC. Click
here to order Cramer's latest book, "Mad Money: Watch TV, Get Rich," click
here to order his 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
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.