This tech company is killing it in China & Europe

What's hot in tech with Avnet CEO
What's hot in tech with Avnet CEO   

After Sandisk's high-profile bomb last week that left Jim Cramer thinking technology stocks were dogs, he is willing to have a change of heart and take a second look.

To start, he looked at the world's largest supermarket of technology, Avnet. The company is the No. 1 distributor of electronic components, and one of the largest distributors of IT hardware and services. Cramer called it the "Costco of tech."

Avnet reported a 6 cent earnings beat from a $1.21 basis on Thursday morning, with higher than expected revenues. The "Mad Money" host is impressed with this considering that it has taken a major hit on its sales in Europe thanks to a weaker euro.





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Cramer sat down with Avnet CEO Rick Hamada to find out how Avnet managed to be so successful in Asia and Europe, considering the strong headwinds that most companies are facing.

"I've talked in past quarters about the momentum we have built in our components business in Europe," said Hamada. "It's a combination of excellent execution, as well as taking advantage of some new opportunities, new investments we have made such as our MSC acquisition and it's also about gaining some market share."

Hamada explained that their components business, which is primarily concentrated in central Europe around Germany, is doing better than the average. Additionally, the company's IT business has also proved its strength in the United Kingdom.

Going forward, Avnet will also play a central role in the "Internet of things." This refers to the movement around technology, in which everyday objects will offer connectivity to the Internet.

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"The Internet of things is real; we are seeing it happening. We are thinking about the connections all the way from the sensors to the servers, and the entire spectrum that Avnet can offer across those opportunities…There is a wealth of opportunity across that total value chain," Hamada said.

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