Intel ( INTC) shorts were set up Tuesday with a Wall Street Journal article saying that there was a lot of double ordering of the company's chips, Jim Cramer said on TheStreet.com TV's Wall St. Confidential Web video Wednesday.

In the article, "Intel Soars; Did Customers Overorder?" the writer uses a source from Pacific Crest who had a sell rating on the stock, he said.

"A lot of people don't understand the nature between the media and what happens," Cramer said. "It's really remarkable how powerful the press is, particularly when it's emphasizing a negative story right at the time when a really positive story comes."

However, Cramer still believes Intel is going to $30 because "it's all in the numbers," he said. "There was no double ordering, the strength was just there." Intel was trading at $26.42 recently.

"This has always been an inventory play," Cramer continued. "When you go into the fourth quarter with lean inventories, and these were the leanest inventories in years, that means you're going to see average selling price not come down, but maybe even lift a little."

Not only was there no double ordering, but there was a shortage, he said. That's what the inventory tells people, and in fact, "there may actually be a grain market where customers are going to be getting Intel chips that they can't get."

"When you have revenue guidance that's higher, when you have inventories very low, when you have gross margins going up, it all increases the prospects for a very big January upside surprise," Cramer explained. "I would urge people to realize that this was the first good quarter that Intel's had in years, and that stock is a screaming buy anything below $27."

"This was a beautiful Intel quarter, just a beautiful one."

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 clicking here.

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