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NEW YORK ( TheStreet) -- This quarter's earnings season has been difficult to navigate, Jim Cramer told "Mad Money" viewers Wednesday, but that doesn't mean there aren't winners out there. Cramer said all the companies that have been bucking the trend of disappointments have one thing in common -- great execution. Case in point, PPG ( PPG) versus DuPont ( DD), a stock Cramer sadly owns for his charitable trust,
Executive DecisionIn the "Executive Decision" segment, Cramer sat down with Martin Franklin, executive chairman at Jarden ( JAH), a company that just delivered an earnings beat of 4 cents a share and a stock that's more than doubled since Cramer first recommended it in November 2009. Franklin said Jarden is all about innovation, which is why his company makes a $1 million brand investment into itself each and every day. Whether it's developing new products, replacing older ones or promoting the products they have, Franklin said innovation will always be key to having a great company. One such innovation Franklin debuted was a small and stylish smoke detector. He said it turns out smoke detectors don't have to be white, nor do they have to be so large or so boring. Other areas of innovation include the company's Rawlings sports equipment brand, which has invested heavily in a new football helmet design that debuted recently.
Jarden also has a commanding lead in the outdoor equipment market and is, in fact, the world's largest supplier of such equipment. Franklin said whether it's lanterns, snowboards, tents or sleeping bags, Jarden probably has a new, innovative product to show you. Among Jarden's other accomplishments is its share price. The company recently performed a $500 million Dutch tender offer for its own shares. Franklin explained that during times when Jarden can't find a new brand to invest in, it is choosing to invest in itself by buying back shares to reward shareholders. Yet, despite the company's bold move, shares still trade at a paltry 11 times earnings. Cramer continued his recommendation on Jarden.
Liking FacebookWas the 20% jump higher in Facebook ( FB) justified? It was, according to Cramer, and the company may just be getting started after what remains the worst initial public offering in the history of the stock market. Facebook not only had a terrific quarter but also a great conference call, one where it gave analysts and investors the answers they've been seeking for months. Facebook proved that its mobile strategy is in full swing now that its service is tightly integrated into the iPhone. A full 70% of users are now using Facebook on mobile devices and advertisers apparently love it. Facebook is now turning its attention to Google's ( GOOG) Android platform. Facebook also indicated that the problems with Zynga ( ZNGA) did not spill over into the overall gaming sector, which was the fear of many investors. Zynga now represents just 7% of Facebook sales, down from 12%. Cramer said the strength in Facebook's quarter may be strong enough to overpower the share lockup expirations coming due soon, and he would be a buyer on weakness.
Lightning RoundIn the Lightning Round, Cramer was bullish on Cummins ( CMI), American Capital Agency ( AGNC) and Costco ( COST). Cramer was bearish on Halcon Resources ( HK) and Ford Motor ( F).
In the PipelineIn his second "Executive Decision" segment, Cramer sat down with Dr. Francois Nader, president and CEO of NPS Pharmaceuticals ( NPSP), an "orphan" drug maker that Cramer recommended on Sept 18. Shares of NPS spiked up 31% a month later on Oct. 12, at which time Cramer advised selling the stock. But he now says it may be worth investing in again as NPS has more than one new drug in its pipeline.
Nader explained that NPS looks for value in the drug market and orphan drugs provide that value because they have no competition, they cost far less to develop and there is still a true need for the products. Compare that to the $1.3 billion needed to bring a traditional blockbuster drug to market and it's easy to see why orphan drugs are far more attractive. However, even with the orphan drug distinction, Nader noted NPS is still not going it alone. The company has major partners and licensing agreements for almost all of its drugs, helping to provide it with the cash it needs as well as a predictable profit picture in the future. Cramer said that this drug maker is doing things right and he wants to continue to be a buyer.