This article originally appeared Jan. 26, 2014, on Real Money. To read more content like this, + see inside Jim Cramer's multi-million dollar portfolio for FREE Click Here NOW.
When the market plunged Friday -- with losses of around 2% for all three major indices -- I got excited. In fact, I would hope for more sessions like this next week.
Before you write me off as a traitor, understand the most fundamental law of investing: The price you pay determines the money you'll make when you close the deal. The best time to pick up stocks, then, is when prices are heading down -- so, particularly for value investors, days like Friday are what get the juices flowing.
General Motors (GM), for instance, sank some 4% to around $37 Friday, bringing its total year-to-date loss to 10%. If you manage to bag this one -- preferably under $30 -- you'll be buying an asset that could be worth $50 or more in a couple years thanks to a streamlined manufacturing process, generally rising new-auto sales and the government's recent sale of its last GM shares, among other things.
eBay (EBAY), too, is on the radar screen now that activist investor Carl Icahn is asking the company to spin off is its crown jewel payment-processing unit, PayPal. While Icahn currently owns just a small percentage of the company, he has publicly told eBay that he is prepared for a proxy fight if necessary.
Icahn also recently added another $500 million to his stake in Apple (AAPL), and he has begun to publicly complain about the company's failure to buy back more shares.