Shares are back to flat after trading lower on Tuesday, despite the company beating revenue and earnings estimates for the fourth quarter.
"CVS is a monster," said Cramer, the co-manager of the Action Alerts PLUS portfolio. "The stock is a buy."
Cramer noted that the company's decision to drop tobacco from its stores was a "great" move. The company's pharmacy comparable-store sales results of 5.5% were stronger than Cramer's estimate of 3%.
"I thought that was interesting because that stock has had a great run," Cramer said, adding that CEO Howard Schultz has done a great job.
While many investors have been fretting about the strong U.S. dollar and its negative impact on international travel to the U.S., that doesn't seem to be the case, said Cramer.
Both Wyndham Worldwide (WYN) and Starwood Hotels (HOT) reported strong earnings results and Disney (DIS - Get Report) CEO Bob Iger also said in the company's recent conference call that theme park attendance remains very strong, Cramer noted.
-- Written by Bret Kenwell