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Cramer's tips for finding a stock with an explosive growth story

  • "Mad Money" host Jim Cramer knows a solid growth story is hard to come by. When he finds one, he hangs on for the ride.
  • Using Facebook as an example, Cramer argues that companies that were once frowned upon can turn around and attract waves of investors.

CNBC's Jim Cramer is an expert at detecting a stock with an attractive growth story, even when it's not the popular thing to do.

After all, Wall Street is merely a fashion show with stocks falling in and out of favor quickly.

"Solid growth stories are hard to come by, and when you find them, you need to hang on for the ride," the "Mad Money" host said.

It might be hard to remember, but Facebook was once considered a disappointing company that failed to live up to its potential for about a year after it came public.

It seemed to Cramer that Facebook missed the entire migration to mobile from desktop, and the stock was pummeled.

At that time, Facebook was trading in the $20s and Cramer started digging into the company's conference call transcripts.

He found that the company not only reported a good quarter, but that as the company adopted the switch to mobile, advertisers were flocking to it.

Cramer's charitable trust bought Facebook in the mid-$20s and was fortunate enough to catch a huge rally after that.

He hung on to the stock because each quarter showed an improvement in the numbers and the stock's price to earnings multiple wasn't expanding.

"You were simply playing the same amount for even bigger earnings growth. That is the best kind of situation," Cramer said.

The top takeaway for Cramer is that one must recognize that companies can change, and when they do, it's worth letting gains ride.

WATCH: Cramer's bull case for growth stocks

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