(Click for video linked to a searchable transcript of this Mad Money segment)
With shares down about 5 percent over the past month, Cramer thinks too many investors are walking away from Yahoo!
"I arrive at that conclusion because the market seems to really like , a China based e-commerce site that's somewhat similar to Amazon."
And Cramer believes if the market likes the JD IPO, it will absolutely love the Alibaba IPO.
Taken one step further, "if the market loves Alibaba, then you have to consider owning Yahoo, which has a 24% stake in what looks to be a company, loosely based on JD's valuation, that could be worth $200 billion," Cramer said.
But that's not the only reason why Cramer is a fan of Yahoo! stock.
"I am a huge balance sheet guy and have stressed to you over and over again that a company with a good balance sheet has immense flexibility to reinvent itself, turn itself around or buy growth if it doesn't have enough to sate Wall Street," Cramer added.
Because Yahoo will be eligible to sell 40 percent of its stake in Alibaba when it comes public, even after it pays taxes, Cramer says it will have a war chest of $9 billion in after tax proceeds.
And he thinks that's more than enough money for someone as creative as Yahoo! CEO Marissa Mayer to stun the Street by making some dramatic changes.
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If Mayer were to consult with Cramer, he'd tell her to make some fast and strategic acquisitions; specifically he'd tell Mayer to buy OpenTable and Grubhub and Yelp, three Internet sites that he thinks could complement one another significantly if they were under one roof.
"What does Yahoo get with these? Instant relevance, which it craves. What do you get as a user? The convenience you deserve. It's all pretty simple, it should happen lickety split. And best of all for Yahoo, I'm not even demanding a cut of the deal! "
But whether Mayer takes Cramer's advice or not, "right now there's Yahoo ennui in the market," Cramer said. But as the Alibaba IPO grows closer, ennui may quickly shift to c'est magnifique.
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