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How Tom Brady led Cramer to Home Depot

Cramer says all that strategy you're putting into Fantasy Football could help you do more than win your pool. It could make you're a better stock picker.

"With the first game of the NFL season kicking off on Thursday, I'm sure many of you are getting ready for your own Fantasy Football draft," Cramer said.

And as you make your picks, Cramer suggests reflecting on the strategy you're using to identify your fantasy players. The process of building a strong stock portfolio is surprisingly similar.

For example, if you're picking a quarterback, Cramer said "you need someone who's consistent, someone who can throw a lot of passes and put up a lot of points. For my fantasy football team I'd want a guy like Tom Brady from the Patriots or Drew Brees from the Saints."



Source: CNBC

And for your stock portfolio, Cramer says the same kind of analysis could lead you to Home Depot and Under Armour.

"I like to think of Tom Brady as more of a Home Depot player; like Brady, Home Depot just delivers and delivers. It's a pocket passer with incredible consistency," Cramer said.

In other words, when you draft a quarterback, you're look at leadership, and Cramer says Home Depot is a leader in many ways. "Not only does it have top-notch management, it's the company with leading market share among home improvement stores."

Cramer said the numbers reflect the strength.

"Home Depot's most recent results were truly stellar, with same store sales rising by 5.8 percent and management raising their full year earnings guidance. Even better, big ticket purchases accelerated dramatically during the quarter, up 8.4 percent, driven by strength across a wide variety of categories."

And, despite reports that Home Depot may have been the object of a hacker attack, Cramer remains a buyer. "I think this is a temporary hit that's giving you a chance to get in the stock at a terrific entry point, because champion stocks don't stay down for long."

Of course, there are many great quarterbacks in the NFL and there are many great companies in the stock market. If Tom Brady and Home Depot fail to win your applause, Cramer can also see going with someone like Drew Brees, a player that puts up excellent numbers for the New Oreleans Saints. "And like Brees, Under Armour also keeps putting up excellent numbers," Cramer added.

How does Under Armour do it?

Cramer says Under Armour is actually "a stealth technology company;" one that's leveraging proprietary technology to develop winning new fabrics and products.

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Cramer believes the proof is in the pudding, or in this case, on the field.

"Under Armour's latest quarter, reported at the end of July, was downright magnificent; it was the third consecutive quarter where sales increased by 30 percent or more, and it was their 17th consecutive quarter where sales were up more than 20%. Who else do you know that's more consistent? Only Drew Brees!"

And even though Under Armour is up huge for the year, and a relatively expensive stock, Cramer says the best players always command a premium. "Therefore, I could see it heading higher, still."

(Click for video of this Mad Money segment)

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