Cramer: Terrific stock in terrific tech
(Click for video linked to a searchable transcript of this Mad Money segment)
Developments in the tech sector have impressed Cramer. And that's not easy to do. In fact, he's so impressed, he's putting money to work in the sector for his charitable trust.
"Not only was Wednesday a good day for the market, it was a fabulous day for technology stocks, and it might be the first of many.," he said.
The Mad Money first cited earnings from Ciena, a global supplier of telecommunications networking equipment, which beat estimates with revenue surging 13.56% to $538.4 million from the year-earlier quarter..
"The Ciena news suggests to me that JDSU, Infinera and even Alcatel-Lucent all belong on the radar. That's how strong this cycle could be, given that T-Mobile, Sprint and AT&T are now all trying to catch up to Verizon in building out their networks," he said.
Comments from Cramer were even relatively bullish on Apple.
"We got an estimate bump up, not a cut, but an estimate increase for Apple, as well as a new recommendation. It looks like Apple's slumber is over," he said.
However, of all the stocks in the sector, Cramer is perhaps most enthusiastic about Xilinx.
"When I play the space, I look for a stock that's proprietary and not shackled to the personal computer. For me that's a stock like Xilinx, a semiconductor company that's the number one maker of programmable logic devices."
"My charitable trust owns the stock," he added.
Cramer said that Xilinx makes, for lack of a better word, a 'smart' microchip; "that can be programmed and customized for each customer as needed."
And although Xilinx currently controls about 50% of the market he thinks the company still has considerable room to grow.
------------------------------------------------------
Read more from Mad Money with Jim Cramer
7 reasons to raise cash
Syria strike could send oil... tumbling
Cramer's fantasy football stock picks
------------------------------------------------------
"These programmable logic chips make up just 2% of the total $300 billion semiconductor market, so I think Xilinx can grow simply by taking share from traditional semiconductor players who make chips that can't be customized."
And, although the fundamentals are strong, Cramer sees another catalyst for Xilinx, as well as many other tech stocks. Often times tech shares ebb and flow and "we've now entered what is, seasonally, the strongest part of the year for tech."
Call Cramer: 1-800-743-CNBC
Questions for Cramer? madmoney@cnbc.com
Questions, comments, suggestions for the "Mad Money" website? madcap@cnbc.com