On Tuesday morning, Verizon announced that it would be buying AOL for $4.4 billion, or $50 a share. (Tweet This) And despite the fact that last week AOL reported an amazing quarter that showed all of CEO Tim Armstrong's hard work paying off, Wall Street still wanted nothing to do with the stock even though the positives were staring at it right in the face.
AOL proved that it has reinvented itself, with a transformation from an old dial-up internet provider into a company with various attractive online properties. These include the Huffington Post, TechCrunch and Engadget websites, which would help to give Verizon the edge in video that it is looking for.
Cramer is always looking for companies that have products that work on a cellphone at least as well as they do on desktop. This is the primary reason why he is a believer in both Facebook, and also believes that Twitter might be able to figure out how to monetize itself and why Yelp will ultimately be taken over.
"It is also why I had such high hopes for AOL after its latest quarter when I saw how mobile was truly taking off for them, including mobile video," Cramer said.