If you are looking for the upside of Walt Disney (DIS - Get Report) without owning shares in the filmmaker, you can snap up shares of Hasbro (HAS - Get Report) and Electronic Arts (EA - Get Report) , which produce toys and video games, respectively, to complement Disney's film franchise, TheStreet founder Jim Cramer said.
"What people are saying is, 'Listen, I want the part of Disney that is not ESPN, so I'll buy these,'" said Cramer, manager of the Action Alerts PLUS portfolio.
Electronic Arts beat expectations on Tuesday when it announced revenue of $4.57 billion for fiscal 2016, ended March 31, against expectations of $4.53 billion. EA reported fourth-quarter revenue of $924 million, versus an estimated $889 million.
"I didn't expect that [Electronic Arts] would so get ahead of us," Cramer said. "I mean, EA is Star Wars, but they have some other games. EA is now up. People were shorting EA because they heard the Star Wars game isn't doing well -- kind of funny because [Disney CEO Bob] Iger had told you the previous quarter it was doing well. The lack of trust for Iger is insane."
EA Chief Financial Officer Blake Jorgensen said on a conference call with analysts Tuesday that Star Wars: Galaxy of Heroes helped drive its strong fourth-quarter revenue performance.
"Hasbro is just a great long-term play. I mean, they have Captain America stuff in the stores," Cramer said.
In April, the toy company reported revenue of $831.2 million for the first quarter, an increase of 16% year over year, and said money brought in from its Star Wars, Disney Princess and Disney's Frozen product lines boosted revenue growth.
"When I look at a stock like Disney or a stock like Apple (AAPL - Get Report) -- these are two very similar to me -- run by two great executives," Cramer said, referring to Iger and Apple CEO Tim Cook, "right now people have turned on them, and I think when people turn on really great executives, they surprise you and they come back."