Jim Cramer -- Why Do Investors Continuously Underestimate Priceline?

Unlike Hertz (HTZ) , which is plunging to new lows on Tuesday thanks to its earnings, shares of Priceline (PCLN) are hitting new earnings-inspired 52-week highs. 

The online travel-booking site saw "extraordinary" results from its hotel division, TheStreet's Jim Cramer, co-manager of the Action Alerts PLUS portfolio, said on CNBC's "Stop Trading" segment. 

Priceline has been a Cramer fave for many years now. Part of the reason is the company's clientele. "The snobs on Wall Street" aren't the ones using Priceline to hunt out the best deals, he explained. For that reason, the stock is continuously underestimated, Cramer said. 

Companies like Priceline and Expedia (EXPE) continue to do an excellent job, he concluded. 

At the time of publication, Cramer's Action Alerts PLUS had no position in companies mentioned.


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