Sometimes skepticism feeds into itself. When it happens the Street can forget to properly weigh to fundamentals; instead it trades a stock on sentiment.
A shrewd investor can make a lot of money in that kind of environment.
"You remember the rap," Cramer said. "Best Buy was simply the showroom for Amazon. Best Buy was going to go the way of the book stores. Best Buy was a dinosaur akin to video rental stores."
As it turned out that thesis was dead wrong.
The video game cycle combined with a modest improvement in the economy have given sales a boost. But perhaps more important, "Best Buy has closed stores," Cramer added. "They've gotten leaner and meaner by implementing aggressive new cost controls. And they've improved customer service significantly."
These and other catalysts caught skeptics off guard. Shares ofBest Buy have rallied well over 200% year to date.
The advance illustrates something Cramer often says, ultimately fundamentals should move a stock and in the case of Best Buy the negative Street chatter didn't properly factor in the improving fundamentals.