The company makes transmitters for cellphones, and beat on top and bottom line expectations. It also provided better-than-expected guidance for both earnings per share and revenues for next quarter.
While Cramer, the portfolio manager of the Action Alerts PLUS portfolio, acknowledged that rival Skyworks Solutions (SWKS) also had a great quarter of earnings, he said Qorvo had the best results out of its industry.
The company's gross margins were stronger than expected, which surprised many investors because they were under the impression that margins in the sector were being squeezed, Cramer said. Qorvo had strong sales for Apple (AAPL) and into China, he added.
While Qualcomm (QCOM) recently made investors feel pessimistic about the cellphone industry, Qorvo's management did the opposite. "This was a great conference call," Cramer said.
While now may typically be the time to sell these stocks, seasonally speaking, Cramer thinks stocks like Qorvo, Skyworks Solutions and NXP Semiconductor (NXPI) may go on to make new highs.