Jim Cramer's Mad Dash: KBH AAPL

NEW YORK (TheStreet) -- KB Home (KBH) stock is rising after beating analysts' estimates. The company earned 12 cents a share in the first quarter, 10 cents higher than expected, with revenue up 11.2% year over year to $450.7 million. 

TheStreet's Jim Cramer, co-manager of the Action Alerts PLUS portfolio, said the company's earnings report was great. The only thing that could possibly "shoot this thing down" is if Federal Reserve Chairwoman Janet Yellen were to say the housing market was in a bubble, he said. 

The KBH earnings is also giving a lift to PulteGroup (PHM) and Toll Brothers (TOL). 

Cramer said raw costs are coming down for the homebuilders, which is helping to improve gross margins. He said it's "premature" to write off the homebuilders just yet. 

Turning to Apple (AAPL), an AAP holding, Cramer said analysts should stop trying "game" the stock by providing estimates for iPhone sales, earnings and other metrics. He said the analysts have been wrong for years predicting Apple's results, so they should stop trying. 

But while Apple has been vigorously iinnovative, that has yet to translate into better earnings and revenue. 

Cramer said Apple's problem is stagnant revenue and earnings per share growth. The company isn't in the midst of a turnaround either, making it hard for investors to find catalysts to own the stock, Cramer said. 

He concluded that companies embracing new technology, such as Adobe Systems (ADBE), are being cheered by the market. Old technology stocks that have failed to embraced new technology, such as Oracle (ORCL), are being sold.

- Written by Bret Kenwell in Petoskey, Mich.

At the time of publication, Cramer's Action Alerts PLUS had a position in AAPL.

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