Mad Money

IBM's new supercomputer unveiled—A needle mover?

Cramer goes inside IBM's Watson
Cramer goes inside IBM's Watson

After years of underperformance, Jim Cramer decided to take a closer look at IBM to see if maybe it has started to turn things around. Investors know that Warren Buffett has a large position in IBM and he continues to buy the stock on the premise that it has a great buyback and a growing dividend.

"I think that after the last quarter, which was better than expected, things are improving for this company because it's reinventing itself," Cramer said.

Scott Eells | Bloomberg | Getty Images

Part of that reinvention involves IBM's latest venture in an analytics ecosystem that uses cognitive thinking under a rubric called Watson. Its cloud-based platform can actually learn and reason utilizing huge amounts of data to help provide the insight needed.

Cramer spoke with IBM's CFO Martin Schroeter to learn how Watson can transform not only industries such as healthcare, but can also interpret Twitter and create delicious food recipes.

"What Watson really is at its very core, is a terrific example of what IBM as a company does, which is build solutions to solve our client's most difficult problems," Schroeter said.

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