This Stock Is 'Untouchable'

It is important investors know the difference between a broken stock and a broken company, Cramer said Thursday.

Take First Solar , for example. Based in Tempe, Ariz., it is both the U.S.'s largest solar power company, as well as the lowest cost producer of solar power. Cramer put FSLR on the "Sell Block" on September 10, 2010 and since then, it's lost nearly 60 percent of its value. Now selling at just 6 times earnings, some investors are wondering whether FSLR has become cheap enough to buy, especially given chatter it could be a takeover candidate.

First Solar's stock may appear ready to bottom, but Cramer thinks it could still go a lot lower. After all, he thinks the solar energy business is in decline. It's long been reliant on government subsidies, which has become increasingly problematic as policymakers are reducing spending and cutting funding to solar energy projects. So long as the solar industry struggles, Cramer thinks FSLR is "untouchable."

Call Cramer: 1-800-743-CNBC

Questions for Cramer? madmoney@cnbc.com

Questions, comments, suggestions for the Mad Money website? madcap@cnbc.com

Contact Mad Money

  • Showtimes

    Monday - Friday 6p ET
    Saturday 8a, 1p, 7p SYD
    Sunday 12a, 1a, 8a, 7p SYD
    New Zealand
    Saturday 10a, 3p, 9p NZ
    Sunday 2a, 3a, 10a, 9p NZ
  • Jim Cramer

    Jim Cramer is host of CNBC's "Mad Money" and co-anchor of the 9 a.m. ET hour of CNBC's "Squawk on the Street."

Mad Money Features

  • Grab the latest CNBC gear from the NBCUniversal Store!

  • Get a behind-the-scenes look at how Cramer formulates his investment advice. "Inside the Madness" is a column, which features e-mails and more with Cramer and his researcher Nicole Urken.

  • You’ve always wanted to hit the “Hallelujah!” button. Here’s your chance.

Mad Money Moments

Cramer's New Book