Following are some of 2012's best performing IPOs.
VipShop Holdings - a Chinese social media IPO. "They're a leading player in China's nascent flash sales market," Cramer explained.
Proto Labs - a company that rapidly manufacturers custom parts for prototyping. "Their technology is allowing them to take share for the traditional rapid injection molding businesses," Cramer said.
HomeStreet - a full-service community bank that operates in the Pacific Northwest. "They have a highly profitable mortgage business. Remember the housing resurgence and the rise of the regional banks are two of my top ten favorite themes for 2013," Cramer said.
Guidewire - a tech company that provides software systems to the property and casualty insurance business. "It's a niche software company with rapid growth, defensible barriers to entry, and highly visible earnings streams," said Cramer.
Intercept Pharma - an orphan drug developer. "Intercept's lead drug had very strong data and a large market opportunity. It's a company with growth that's protected and predictable," said Cramer.
Nationstar Mortgage Holdings - the largest specialty mortgage servicer in the country. "Nationstar has been aggressively taking share in the $10 trillion mortgage servicing market," Cramer said.
Eloqua - a service company that's a leader in the revenue performance management space. "Eloqua provides companies with a platform that helps them figure out the value of their marketing initiatives; that's a big challenge for many businesses," said Cramer.
WageWorks – a provider of on demand employee spending account benefits programs. "Just like companies can outsource your payroll to an ADP or a Paychex, companies can outsource the management of their flex spending accounts to WageWorks," said Cramer.
What's the one thing that all these winning IPO's have in common?
"Simple. One word. Growth," said Cramer.
"Last year, the IPOs with real, sustainable, unquestionable growth were the best performers, and this is a dynamic that should continue in 2013," he said. "I don't expect the market's appetite for growth to be easily sated."