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Cramer Interviews Xilinx CEO

“Have the semiconductor stocks finally bottomed?” Jim Cramer asked Thursday on CNBC’s “Mad Money.” And if so, are we looking at a tradable bottom or an investable bottom?

Because there is a difference, he said. A tradable bottom if what happens when people get too negative, while an investable bottom comes before a real turn in a company’s business.

Intelmay have given us a tradable bottom on Wednesday, but Cramer wanted to tap into Xilinx for more intelligence. The San Jose, Calif.-based chip maker reported better-than-expected earnings of 47 cents a share last night but guided down expectations, giving a “pretty dire” forecast for the next quarter. The firm announced gross margins of 66 percent but forecast that sales would decline by 4 to 8 percent sequentially due to slowing order rates.

Now, Cramer said Xilinx looks cheap — trading at just 11 times 2013 expected earnings with a long-term growth rate of 12 percent.

So, should we be concerned or is management simply under-promising now to over-deliver later?

To dig deeper into the quarter and find out more about the company’s prospects, Cramer welcomed Moshe Gavrielov, president and CEO of Xilinx, onto Thursday’s program. Watch for the video to see the full interview.

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