Shares of Deere (DE) are climbing Thursday, up 2% after announcing its 4.6 billion euro ($5.2 billion) acquisition of Wirtgen Group.
This company "keeps doing everything right," TheStreet's Jim Cramer, manager of the Action Alerts PLUS portfolio, said on CNBC's "Mad Dash" segment.
The acquisition allows Deere to further diversify away from agriculture, as Wirtgen is in the road construction-equipment business. More specifically, this centers Deere squarely on European infrastructure, which should do well if the European economy continues to rebound the way Cramer thinks it will.
This is a remarkable transformation the company is making, he reasoned.
With shares up 21% in 2017 and a whopping 51% over the past 12 months, though, are there still reasons to like the stock? According to Cramer, yes.
Deere is becoming a faster-growing, less cyclical company, and that's great news. "My hat's off to these guys," Cramer said, adding that he applauds management's aggressive moves.
We're not just talking about an agriculture company anymore. We're talking about Deere as a global machinery company that makes the best products, he concluded.