NEW YORK ( TheStreet) -- "Don't be too skeptical of big trends that can make you money," Jim Cramer told the viewers of his "Mad Money" TV show Thursday. On the 10-year anniversary of the Nasdaq's all-time high, Cramer said there are stark differences between the tech rally back then, and the tech rally of today. Cramer said sometimes it seems like this market just won't quit, with even the most speculative of tech stocks heading higher and higher day after day. But unlike the dot-com tech bubble of 2000, Cramer said today's tech rally is not about mindless speculation, but rather speculation done right. He said today's speculative companies aren't being judged on eyeballs or page views, but instead on actual earnings. What's driving the current tech rally? Cramer identified three themes powering tech stocks higher. The first is the need for a faster Internet that's capable of carrying more services, including video, to more and more consumers. He said this theme is driving stocks like F5 Networks ( FFIV), JDS Uniphase ( JDSU) and Akamai ( AKAM), to triple-digit gains for the year.
Mobile Internet Tsunami PlayIn the "Executive Decision" segment, Cramer once again spoke with Bob Bruggeworth, president and CEO of RF Micro Devices ( RFMD), to discuss Cramer's mobile Internet tsunami thesis, and how it's affecting his company. Bruggeworth confirmed that the mobile internet is still alive and well, with RF Micro's 3G cellular business up 80% year over year. He said the company's new product portfolio is taking the market by storm and has proven that RF Micro's leadership has helped differentiate it from other commodity players. Bruggeworth also highlighted some of his company's other technologies, some of which are helping to make cable TV and broadband providers more energy effecient and is helping to make the smart-power grid into a reality. He said the company's smart-power grid products alone are set to double in 2010. When asked about the company's plans to diversify away from a few select customers, Bruggeworth said that RF Micro continues to diversify, with major pushes in China and Korea, where it has done very well so far with its leading technologies. Cramer said RF Micro still has a lot of room to run.
Red FlagsIn the Thursday "Sell Block" segment, Cramer told viewers the headlines don't always tell the whole story. He said the "earnings beat" from liquor purveyor Brown-Forman ( BF-B), wasn't anything of the sort. Cramer said when the maker of Jack Daniel's and Southern Comfort reported its earnings, the headlines crowed about a 10-cents-a-share earnings beat on 80- cents-a-share in revenue. But Cramer noted that in the details, eight to nine cents a share of those earnings came from inventory shifts, while another seven cents a share came from currency translation. Cramer said adding up these accounting maneuvers quickly turned Brown-Forman's 10-cent beat into a five- to six-cent a share disappointment. Making matters worse, the company reported earnings-per-share declines of 10%, on lower operating income of 2%. In fact, Cramer noted that this is the third straight quarter where the company has seen price declines for its products. The major issue facing Brown-Forman, said Cramer, is that consumers are trading down for lower priced alternatives. The company noted that even the flagship Jack Daniel's brand saw price declines. Perhaps the biggest red flag for Cramer was on the company's conference call, where management spend considerable time recapping the company's 10-year history, rather than focus on current operating results. Cramer said Brown-Forman is a sell, sell, sell.
Mad MailCramer told a viewer that the research and asset management arms of big brokerages like Goldman Sachs ( GS) are completely separate, so it's not uncommon to see the firm recommending a stock, while selling shares at the same time. Cramer told a second viewer that he's not familiar with the Cohen & Steers Realty Fund ( RQI), but said that Cohen & Steers have some of the best money managers around. Finally, Cramer said that the sellers of ON Semiconductor ( ONNN) are totally wrong, as that semiconductor stock continues to head higher.
Lightning RoundCramer was bullish on Ezcorp ( EZPW), Ford Motor ( F), Range Resources ( RRC) and Clean Energy Fuels ( CLNE). He was bearish on Amylin Pharmaceuticals ( AMLN), Fuel Systems Solutions ( FSYS), XTO Energy ( XTO) and A123 Systems ( AONE).
Closing CommentsCramer advised taking some profits in Citigroup ( C) ahead of the government's likely move to sell its stake in the company soon. "Don't be greedy," he said, "we can buy it back cheaper." -- Written by Scott Rutt in Washington D.C. To watch replays of Cramer's video segments, visit the Mad Money page on CNBC.